Sales of existing homes in Canada fell by 14.3 percent in March compared to February, according to data from the Canadian Real Estate Association. The economic turmoil surrounding the COVID-19 pandemic caused both buyers and sellers to increasingly retreat to the sidelines over the second half of the month. However, the news wasn’t all bad: actual (not seasonally adjusted) sales activity was still running 7.8 percent above a quiet March in 2019.
Most home improvement retailers in Canada have closed their doors to customers in favour of deliveries and curbside pickup. Those that admit customers do so on a limited basis that involves physical distancing and precautions for employees such a masks and plexiglass screens.
More than one million Canadians stopped working in March, a drop of 5.3 percent, according to StatCan. Reflecting the initial impact of the COVID-19 pandemic’s rise in Canada, the country’s employment rate fell 3.3 percentage points to 58.5 percent. That’s the lowest rate since 1997.
Most home improvement retailers have discontinued their paper flyer programs, including Canadian Tire, whose weekly specials are a Canadian tradition. Advertising on radio is directing customers to look online for weekly specials by retailers including Home Depot Canada and Lowe’s Canada.
Dealer groups and buying groups are doing the same. They include TIMBER MART. According to a spokesperson for the national buying group, “many of our independent members have suspended or significantly reduced their printed and online flyer frequency and have instead re-focused their flyers on the essential needs of their customers and are using them to maintain customer awareness that they’re still operational within their local communities.”
The RONA, Reno-Depot and Home Depot sites all feature messaging encouraging digital purchases. Canadian Tire is asking consumers for patience as high demand has precipitated crashes on its e-retail site. Canac’s transactional website was to be operational this week.
Independents are seeing their online sales grow. Susan Robinson at Fletcher Home Building Centre in Princeton, B.C., reports that her store has processed more orders in the last month than it has in the previous five months. And the last two weeks has accounted for a big jump in that volume.
