The revival of Zellers, a quintessential Canadian discount retailer, is poised to gain significant traction in Ontario. Initially launched with a single location in Edmonton, the brand’s expansion plan includes the opening of two new stores this summer. A store will debut on Orfus Road in Toronto on June 18, and another will be established at Windsor’s Tecumseh Mall in July.
Expanding the Zellers Brand Across Canada
Joey Benitah, Zellers’ Chief Operating Officer, outlined the company’s strategy to nationalize the Zellers brand. “Our goal is to establish a presence in every major market from coast to coast,” he said during an interview. Currently, negotiations are ongoing for new leases in various locations, including:
- Brampton
- Scarborough
- Calgary
- Vancouver
- Ottawa
Product Offerings and Customer Feedback
The Ontario locations will reflect the offerings of the Edmonton store located at Londonderry Mall, which opened last October. Shoppers can expect a diverse range of products, including:
- Apparel
- Home goods
- Luggage
- Seasonal items
Prominent brands such as Adidas, Juicy Couture, Dickies, and Von Dutch will be featured. In addition, Zellers plans to introduce two new product categories: snacks and toys. The snack options will include popcorn, chips, and candy, while the toy selection will feature plushies, puzzles, and outdoor games. Initially hesitant about entering the toy market, Benitah acknowledged customer feedback and the popularity of toys as a motivating factor for expansion.
The Market Landscape and Future Plans
The timing of Zellers’ expansion coincides with several changes in the retail landscape, particularly the potential sale of Toys “R” Us Canada. While the brand is closing many of its stores, Benitah has stated that the current focus remains on Zellers, despite the opportunity to enter the toy market more aggressively.
Ownership and Brand History
The Benitah family’s involvement in Zellers is rooted in their ownership of additional retail businesses, including Fairweather and Designer Depot. They acquired the rights to the Zellers name in the previous year from Hudson’s Bay Company (HBC). HBC had filed for creditor protection and ceased operations for its stores, which included Zellers departments.
This acquisition included the Zellers logo, the beloved mascot Zeddy, and the Club Z loyalty program. While court documents suggested the trademarks may have been purchased for as much as $100,000, specific financial details were not disclosed by the Benitah family.
Legal Challenges and Historical Context
Historically, Zellers operated as a standalone business until HBC incorporated Zellers departments. Most standalone locations were closed by 2013, with liquidation outlets remaining until 2020. Meanwhile, the Moniz family in Quebec filed trademark applications for terms associated with Zellers dining services. This led to legal complications, with HBC suing for intellectual property infringement, currently overseen by Les Ailes de la Mode, which has taken over as the plaintiff.
As Zellers prepares for its resurgence, the stage is set for a new chapter in the history of one of Canada’s iconic retail brands.
