Strategy CANADIAN NEWS December 27, 2024
Top 10 of 2024: Canadian Stories
Labour strikes, geopolitics and key appointments rounded out the most popular stories among Canadian readers this year.
It was quite an interesting year for Canadian promo. A high-stakes executive battle at a Counselor Top 40 supplier lasted nearly six months. Countrywide labour disputes threatened an already-fragile supply chain. U.S. President-elect Donald Trump threatened tariffs on Canadian products immediately upon taking office. There were feel-good stories too: a Counselor Top 40 distributor expanded its U.S. presence, and the women of Canadian promo (along with a few American supporters) gathered in Niagara-on-the-Lake, ON, in the spring for networking, education and fun. Here are ASI Media’s top 10 stories from our Canadian coverage in 2024.
1
Unionized Postal Workers Continue To Strike in Canada
A holiday season strike by the Canadian Union of Postal Workers completely froze all movement of mail and parcels through the Canada Post system for more than a month. The stoppage caused small businesses and citizens (particularly those in rural areas) considerable cost and time as they searched for work-arounds. It finally came to an end less than two weeks before Christmas when (at the behest of the federal government) the Canada Industrial Relations Board ordered employees back to work and extended the workers’ current contract to May 2025. Even though many promo companies said they don’t frequently use Canada Post, companies that serve rural areas were certainly challenged during the busy (and critical) holiday season, and the ongoing updates definitely captured the interest of readers.
2
Trump Pledges ‘Day One’ New Tariffs on Mexico, Canada & China
Just three weeks after he won the U.S. presidential election, Donald Trump announced that, immediately upon taking office in January, he’d be implementing 25% tariffs on imports from Mexico and Canada and 10% levies on products from China. For Canada in particular, Trump cited unfettered immigration and illicit substances crossing the border from the U.S.’ neighbor to the north. While some industry experts said the saber-rattling is a negotiating tactic, others expressed concern, saying that the move could negatively impact existing cross-border relationships and hike prices on promotional products.
3
Gildan Shareholders Back Activist Investors’ Board Candidates, Chamandy Installed as CEO
In May, after several months of wrangling over control of the company, Glenn Chamandy again assumed the CEO role at Counselor Top 40 supplier Gildan (asi/56842). It all started a year ago this month, when the company’s board of directors ousted Chamandy in favor of Vince Tyra, who was slated to take over the president/CEO role. But Chamandy, who’s been a part of his family’s company for more than 40 years, wouldn’t go down without a fight. Less than six months later, Chamandy received a vote of confidence at Gildan’s annual shareholders meeting, which also elected eight new board members, and once again assumed the CEO position.
4
ASI Research: Canadian Promo Market Constricted in 2023
Traditionally valued at 10% of the U.S. market, the Canadian promo industry shrank to 8% of its American counterpart in 2023, or about 2.8 billion Canadian dollars, according to Canadian State of the Industry data from ASI Research. Promo companies pointed to a number of reasons for the constriction, including a slow economy and purchasing normalization after the post-COVID purchasing rush. Indeed, 2023 was tough for all of North America, with factors like high inflation, interest rate pressures, world conflicts and general economic uncertainty all putting downward pressure on promo’s performance.
5
Trains Come to a Halt Across Canada
Critical rail networks were shut down briefly in late summer, when union workers at Canadian National and Canadian Pacific Kansas City railways (Canada’s two largest) went on strike over wages, shift scheduling, work hours and fatigue management. The stoppage was poised to significantly impact industries across North America, including promo; companies importing from Asia largely rely on rail to move product from West Coast ports into the interior of the country. Just a few days later, Labour Minister Steven MacKinnon stepped in and sent the dispute to the Canada Industrial Relations Board for binding arbitration, citing the critical role that trains play in the North American economy.
6
Exclusive Inaugural Report: Top ESP Searches for Canada
In a first, ASI Research tracked the most searched-for products in ESP among Canadian distributors for 2023. At the top of the list, just like in the U.S., was “pens,” which hit number one in three of four quarters last year. Other popular searches included “water bottles” and “sunglasses” ahead of the sunny summer months, as well as “golf” and “luggage tags” as end-buyers continued to make plans for in-person events post-pandemic. In line with that trend, trade show items and office products also were ranked highly among distributors.
7
Mandi Rudd Joins Genumark as Director of New Markets
The interconnected printing and promotional products industries took major notice of this deal, which saw ASI acquire PRINTING United Alliance’s Power Meetings events and Print & Promo Marketing media brand. Especially notable, the deal also marked the formation of a new long-term strategic partnership between ASI (which of course serves the $26.1 billion promo industry) and the Alliance, a nonprofit member-based printing and graphic arts association in North America that serves industry professionals with education and training. The partnership would grow through 2024, with announcements of a new dual membership available now and an ASI Show Pavilion to be held at Alliance’s PRINTING United Expo in 2026.
8
Congestion Increases at Port of Vancouver
A glut of imports arriving plus a dearth of railcars this past spring resulted in serious congestion and delays at the Port of Vancouver for several weeks. The port is crucial for Canadian promo, with much of the industry’s overseas imports arriving there (as well as to Prince Rupert) before being railed or trucked to their Canadian destinations. At the time, promo firms had yet to feel significant impact but were already building in buffer time to account for delays.
9
Vantage Apparel Partners With Redwood Classics Apparel
When one Counselor Top 40 distributor acquires another, the promo products industry is going to take a keen interest. That was the case when Counselor Top 40 distributor iPROMOTEu (asi/232119) bought fellow Counselor Top 40 distributor AIA Corporation (asi/109480). Combined, the companies had $365 million in 2023 revenue. Post-acquisition, AIA is operating as a division of iPROMOTEu, and Lori Bauer, CEO of iPROMOTEu and a current member of Counselor’s Power 50 list of promo’s most influential people, is overseeing the combined senior leadership teams of both distributorships.
10
Industry Professionals Convene for ‘Unforgettable’ Women’s Empowerment Event
This year marked the 15th year of the annual Women’s Empowerment Event (WEE) hosted by Promotional Products Professionals of Canada, where 60 women from Canada and the U.S. enjoyed two days of professional development and networking at the White Oaks Resort & Spa in Niagara-on-the-Lake, ON. Speakers included Lisa Bragg, author of Bragging Rights: How To Talk About Your Work Using Purposeful Self-Promotion, and Angela James, a former women’s hockey player for Canada, member of the Hockey Hall of Fame and Officer of the Order of Canada. Attendees also enjoyed an evening at the nearby Wayne Gretzky Estates. “Witnessing the growth of longtime attendees was phenomenal,” said Ann Baiden, CEO & founder of Innovatex Solutions (asi/231194) and a WEE committee member, “and watching industry women come together to strengthen both each other and the industry makes the hard work worthwhile.”