Retail and wholesale trade remain significant components of Toronto’s economy. This sector employs over 400,000 individuals across the Greater Toronto Area. The retail sector faced major hurdles during the pandemic but is likely to remain an important component for spurring economic growth in the coming years. Looking forward, it is likely that the retail workforce will grow, as retail innovation expands, and more people continue to shop from anywhere. The retail industry also presents opportunities for entrepreneurs and often requires only minimal start-up capital. Indeed, retail remains the heart of Toronto’s small business community.

While the pandemic halted in-person retail shopping for most of 2020, the growth and popularity of e-commerce is allowing the sector to rebound in new and innovative ways.  Indeed, there are now over 4,500 online retailers calling Toronto home. Grocery stores, home improvement suppliers, drug stores, and mass merchants all benefited from changes in consumer behavior, as well as their designation as essential services. Others, such as apparel and department stores, have struggled since the pandemic’s onset. While longer term impacts on Toronto’s retail sector remain speculative in nature, one of the most discussed topics coming out of the pandemic is digital acceleration. The pandemic has taken the volume of digital interactions to new levels, and it is highly likely that consumer online buying habits are now ingrained.