The higher penetration of internet retailing led to a continuous decline in sales in the home shopping channel over the last five years. This negative trend is expected to persist, as home shopping is losing its charm and losing sales to internet retailing.
TV shopping is the largest single source of home shopping revenue in Canada, whereas mail order catalogues and direct mail have become very uncommon. However, stagnancy in the number of television viewers is likely to hinder the future of TV home shopping.
Internet-connected smart TVs have been gaining popularity, as Canadian consumers are gradually shifting away from traditional TVs. Changing consumer behaviour is propelling the transition of home shopping to the digital world.
Home shopping in Canada has been dominated by a few large players, with few new entrants. However, the channel might be shaken as Amazon starts tapping into traditional retail channels.
Today's Shopping Choice, owned by Rogers Communications, became the largest player in home shopping in 2017, and maintained this position in 2018. It offers a wide selection of products at different price points to target different consumer needs.
Sears Canada closed its home shopping operations in 2018, after it failed to revitalise itself in the competitive retail market. Sears was the largest player in home shopping until 2016, supported by its wide product mix, strong private label lines and popular print catalogue.
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This industry report originates from Passport, our Retailing market research database.