Canada Day is arguably the most celebrated summer holiday in the country, and restaurants are hoping to capitalize on that. One business and financial tech company said that local restaurants could see an uptick in sales over the long weekend and throughout the summer season.
A survey from business and financial tech company Square Canada found that the Canada Day holiday could bring a 30 per cent boost for Canada’s bar and restaurant owners.
“Last year, we saw 36 per cent sales increase over July 1st weekend, which rolled into a strong two-month sales sprint,” said Karisa Marra, Manager of Sales, Business Expert, Square Canada.
The poll also found that with tariff tensions between Canada and the U.S., Canadians are looking to keep their cash local.
“Seventy-two per cent of the Canadians that we surveyed planned to spend more time vacationing in Canada this summer and 47 per cent of them said they want to make the most of Canada this year, and that included spending time at their local restaurants and bars,” said Marra.
One association, though, said that more sales don’t necessarily mean more profits.
“We’re still seeing a lot of uncertainty on the business front,” said Milena Stanoeva, senior director of public affairs and communications at Restaurants Canada. “President Trump indicated that the tariff war is potentially back on. What that’s doing is making it harder for business owners to plan and make investments, but it’s also scary. It’s also really affecting consumer confidence.”
A recent Restaurants Canada report found that despite a strong start to the year with the GST/ HST holiday tax break, restaurant sales are projected to contract this year, in part due to the ongoing trade war with the United States. The association is suggesting that the federal government permanently remove the GST/ HST tax on food to help drive consumers back to these businesses.
“We know Canadians want to have the opportunity to dine out more often, and we think this is a great kind of win-win way to improve affordability for Canadians and improve the health of the restaurant industry and bring more sales to us in a sustainable, long-term way,” said Stanoeva.
Michelle Doucet is the supervisor at Storm Crow Manor in Toronto, said to be Canada’s largest nerd restaurant. She said the warmer weather means more patrons filling seats.
“For us, it’s really important because it’s like our bread and butter to see everyone out.”
Mythili Narayanan is the owner of Madras Curry, a local Indian restaurant in Toronto. She said the summer sales also help restaurants like hers survive the colder months.
“As much as we are making the money in the summertime, that’s the thing we can make and survive in the winter as well.”
