A retail analyst and advisor doesn’t think an online movement to boycott Dominion stores in the province this month will have much of an impact.
Organizers created the initiative to push back against major retailers, such as parent company Loblaws, who they say are engaging in price-gouging.
But Bruce Winder says while he empathizes with those taking part, he doesn’t believe the boycott will accomplish much.
“There’s really not much that Loblaws can do,” says Winder. “It’s like asking a fish not to swim. They have to sell food, they have to make money.
“It’ll probably be a lot of huffing and puffing but I don’t think a lot of material results will come out of it.”
That said, Winder does believe the boycott will get the industry’s attention.
“Definitely everyone’s watching, and I’m sure Loblaws is watching this carefully,” he said, noting the company recently lowered prices on about 35 items by 30 per cent, including basics such as eggs, bread and milk.
“So I think they’ve already tried to respond — maybe not from a public relations standpoint, but more from an operations standpoint. I think they realize they need to rebuild some trust with the customer and that’s sort of their way of showing it.”
Maple Leaf Foods, meanwhile, is reporting a profit in its first quarter, despite sales edging lower.
Sales totalled $1.15 billion dollars, down slightly from $1.17 billion for the same quarter last year. Maple Leaf earned $51.6 million, up from a loss of $58 million a year earlier.