Gift Shops & Card Stores in Canada - Market Research Report (2013-2028)
New York, United States
Last Updated: August 2023
NAICS 45322CARevenue
$3.5bn
Past 5-Year Growth
Profit
$XXX.Xm
Employees
16,051
Businesses
3,771
Wages
$XXX.Xm
Gift Shops & Card Stores in Canada industry analysis
The Gift Shops and Card Stores industry in Canada comprises retailers selling gifts, gift wraps, novelty merchandise, souvenirs, greeting cards, party supplies and seasonal decorations. The industry is highly fragmented and excludes retailers primarily operating as used merchandise stores, electronic shopping and mail-order houses or discount retail stores. Over the past five years, industry revenue has risen. Besides the declining popularity of retail shops, stagnating economic performance due to COVID-19 and the decrease in inbound international travel hindered industry revenue growth in 2020.Outbound international tourism has also declined, further eroding demand for souvenirs and other items, one of the industry's largest product segments. As the pandemic subsides, IBISWorld expects industry revenue to rise at an annualized rate of 1.2% to $3.5 billion over the five years to 2023. This includes a forecast decline of 0.7% in 2023 alone due to the steady economic recovery after the peak of the coronavirus.More generally, the industry has been largely in decline over the majority of the past two decades. Industry revenue is traditionally linked to consumer confidence and disposable income levels, as industry goods are considered discretionary. Although both of those drivers have improved during the five-year period, the rise of competitors has siphoned more dollars away from the industry and pressured profit. In particular, consumers have turned to discount retailers such as Walmart that offer one-stop shopping options. Further, the expansion of e-commerce and online sales opportunities have allowed consumers to purchase gifts at competitive prices from their homes, and the percentage of sales conducted online has been steadily rising.While inbound and outbound tourism figures will rise, external competition will increase as consumers shift to online shopping. As a result, industry revenue is projected to rise an annualized 0.9% to $3.6 billion over the five years to 2028.
Trends and Insights
- Disposable income levels have been volatile over the past five years as inbound international travel to Canada has decreased dramatically. These declines are mainly due to COVID-19, but the industry has recovered as vaccines have been rolled out and restrictions have been eased.
- High-income consumers are gift shops’ top spenders. As consumers earn more, their willingness to spend on vacations and souvenirs grows. Lower-income earners have smaller budgets for trips and gifts.
- The geographic spread of industry establishments closely follows the population distribution in Canada. Moreover, demand for products is usually higher in densely populated regions, especially regions anchored by large cities popular with domestic and international tourists.
- The industry suffers from significant competition. Many competitors are discount retailers such as Walmart that provide many industry products at levels often lower than industry stores can provide.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has grown at a CAGR of 1.2 % over the past five years, to reach an estimated $3.5bn in 2023.
Trends and Insights
External competition undermines the industry
- Industry operating conditions are becoming increasingly difficult, partly due to an evolving consumer shopping environment.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
External competition pressures prices
- With intensifying competition from discount and big-box retailers, industry companies must keep prices low to remain competitive.
Biggest companies in the Gift Shops & Card Stores in Canada
| Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
|---|---|---|---|---|
Canadian Tire Corporation Limited | N/A | N/A | N/A |
To view the market share and analysis for all 1 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Souvenirs and novelty items, Seasonal decorations and Greeting cards. Souvenirs and novelty items is the largest segment of the Gift Shops & Card Stores in Canada.
Trends and Insights
Souvenirs and novelty items make up the industry's largest product segments
- As a result of COVID-19, this segment's share of industry revenue has decreased substantially.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- E-Commerce & Online Auctions in Canada
Complementors
- Hobby & Toy Stores in Canada
- Florists in Canada
International industries
- Gift Shops & Card Stores in the US
- Online Greeting Card Sales in the US
- Online Greetings Card Retailers in the UK
Table of Contents
About this industry
Industry definition
The Gift Shops and Card Stores industry in Canada retails a range of gifts, gift wrap, novelty merchandise, souvenirs, greeting cards, party supplies and seasonal and holiday decorations. This industry excludes retailers that operate primarily as used merchandise stores, electronic shopping and mail-order houses or discount retail stores.
What's included in this industry?
Retailing greeting cardsRetailing gifts and gift suppliesRetailing souvenirs and novelty merchandiseRetailing party suppliesRetailing seasonal and holiday decorationsCompanies
Canadian Tire Corporation LimitedPurchase this report to view all 1 major companies in this industry.
Related Terms
POINT-OF-SALE (POS)RADIO-FREQUENCY IDENTIFICATION (RFID)SMARTPHONESOCIAL NETWORKING WEBSITESIndustry Code
NAICS 453220 - Gift Shops & Card Stores in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Disposable income levels have been volatile over the past five years as inbound international travel to Canada has decreased dramatically. These declines are mainly due to CO...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
High-income consumers are gift shops’ top spenders. As consumers earn more, their willingness to spend on vacations and souvenirs grows. Lower-income earners have smaller bud...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
The geographic spread of industry establishments closely follows the population distribution in Canada. Moreover, demand for products is usually higher in densely populated r...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each province in 2023
- Number and share of revenue each province accounts for in 2023
- Number and share of wages each province accounts for in 2023
- Number and share of employees in each province in 2023
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The industry suffers from significant competition. Many competitors are discount retailers such as Walmart that provide many industry products at levels often lower than indu...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
The Gift Shops and Card Stores industry in Canada primarily consists of several small stores. The vast majority of industry establishments have fewer than 10 employees and al...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Canadian Tire Corporation Limited's performance by revenue, market share and profit margin from 2017 through 2023
Detailed analysis
- Description and key data for Canadian Tire Corporation Limited, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The industry is not subject to many industry-specific regulations. But the industry is subject to various national and provincial regulations that govern the Canadian retail ...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
The industry comprises both chain retailers and nonchain stores, many of which are nonemployers. Cost structures vary somewhat across the industry depending on the size of in...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Assets (2016-2021)
- Liabilities (2016-2021)
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Gift Shops & Card Stores industry in Canada in 2024?
The market size of the Gift Shops & Card Stores industry in Canada is $3.5bn in 2024.
How many businesses are there in the Gift Shops & Card Stores in Canada industry in 2023?
There are 3,771 businesses in the Gift Shops & Card Stores industry in Canada, which has declined at a CAGR of 2.4 % between 2018 and 2023.
Has the Gift Shops & Card Stores industry in Canada grown or declined over the past 5 years?
The market size of the Gift Shops & Card Stores industry in Canada has been growing at a CAGR of 1.2 % between 2018 and 2023.
What is the forecast growth of the Gift Shops & Card Stores industry in Canada over the next 5 years?
Over the next five years, the Gift Shops & Card Stores industry in Canada is expected to grow.
What are the biggest companies in the Gift Shops & Card Stores market in Canada?
The biggest company operating in the Gift Shops & Card Stores market in Canada is Canadian Tire Corporation Limited
What does the Gift Shops & Card Stores in Canada include?
Retailing greeting cards and Retailing gifts and gift supplies are part of the Gift Shops & Card Stores industry.
Which companies have the highest market share in the Gift Shops & Card Stores in Canada?
The company holding the most market share in Canada is Canadian Tire Corporation Limited.
How competitive is the Gift Shops & Card Stores industry in Canada?
The level of competition is high and increasing in the Gift Shops & Card Stores industry in Canada.
