Urban trekkers enthusiastically took to the streets, but weren’t necessarily in the mood to spend last year. Colliers Canada’s recently released overview of foot traffic trends, drawn from anonymized cell phone data, reveals discount retailers, quick service restaurants and free attractions typically recorded a significant uptick in patronage in 2023.
All retail centre formats enjoyed more traffic in 2023 than the previous year, but neighbourhood malls and power centres generally outdrew regional and super-regional malls. Outlet malls welcomed a 23 per cent year-over-year increase in prospective shoppers versus a 7.5 per cent increase in arrivals at super-regional malls.
Similarly, both quick-service and full-service restaurants drew more walk-ins, but gains were more pronounced for quick-service brands. In the latter cases, though, the disparity is partly attributed to greater growth in the number of quick-service locations over the course of 2023.
Drilling down to retailers, there was a double-digit jump in foot traffic for those offering discount or mass market merchandise — most prominently seen in Canada Tire, which registered a 24 per cent gain over 2022. Within the beleaguered fashion sector, what Colliers typifies as “youth-oriented and casual” retailers captured a growing share of walk-in prospects, while foot traffic declined to those offering higher-end and professional attire.
“High borrowing costs and inflation are pushing consumers to economize on food, home supplies and recreation, and this is clearly driving traffic to discount merchants,” Colliers analysts maintain. “Staple workwear and downtown brands experienced a decline in 2023 as Canadians embraced hybrid work and attended a more casual workplace post-COVID.”
Attendance patterns show the greatest divergence in the split between free attractions and those that involve an admittance fee or other spending upon entry. Casinos suffered the steepest year-over-year drop in visitor volume, falling by 26 per cent in 2023. Attendance declined by 16 per cent at movie theatres, 14 per cent at large event spaces and 10 per cent at convention centres compared to 2022. Meanwhile, foot traffic to libraries climbed by 12 per cent and upwards of 60 per cent more visitors sought out nature in provincial and national parks.
