Like a cat with nine lives, Zellers simply refuses to die.
Driving the news: Discount retailer Zellers officially relaunched today in Edmonton under new ownership, reviving a Canadian brand that once had a footprint of 350 stores across the country. It’s the first step in a wider national rollout that will begin next spring.
- The Zellers brand — which Hudson’s Bay acquired in 1978 — was sold to a Québec retailer, Les Ailes de la Mode, in August, following the collapse of the Bay.
- The new owners say they’ll operate in smaller retail spaces, including old Hudson’s Bay stores, and focus on budget apparel, home goods, and seasonal items.
Catch-up: Competition from Walmart and other big-box chains ultimately put Zellers out of business, with most stores closing in 2013. A brief attempt by the Bay to resurrect the brand in 2023 ultimately fell flat.
Why it matters: With a homegrown brand that’s beloved across the country, Zellers could become an appealing option for the growing number of shoppers who are prioritizing both discounts and Canadian roots.
- There’s proof that demand is there. Thanks to the insatiable appetite for bargain goods, Dollarama has become the most valuable dollar store chain in North America.
Yes, but: It’s not 2005 anymore, and Zellers now has e-commerce giants like Amazon to contend with. Even with more Canadians chasing deals, Zellers 3.0 will have to prove it's bringing something new to the table.—LA