A Purolator driver wears a mask as he makes deliveries in Toronto on March 24, 2020. With online sales set to hit record highs this year, Statistics Canada says that wholesalers, rather than retailers, have benefited most from the trend toward online shopping. Statistics Canada says $85 billion of Canada’s $305 billion in online sales last year went to wholesalers, while transportation and warehousing companies got $60 billion, manufacturing was worth $38 billion, and retailers grossed $22 billion.THE CANADIAN PRESS/Frank Gunn

A Purolator driver wears a mask as he makes deliveries in Toronto on March 24, 2020. With online sales set to hit record highs this year, Statistics Canada says that wholesalers, rather than retailers, have benefited most from the trend toward online shopping. Statistics Canada says $85 billion of Canada’s $305 billion in online sales last year went to wholesalers, while transportation and warehousing companies got $60 billion, manufacturing was worth $38 billion, and retailers grossed $22 billion.THE CANADIAN PRESS/Frank Gunn

Online shopping set to hit record this year in Canada

Study suggests that majority of shoppers looking online for holiday gifts

Online sales are set to hit a record this year in Canada, Statistics Canada said on Monday, amid limits on in-person shopping during the COVID-19 pandemic.

The new data is in line with Statistics Canada’s estimates from the spring, when retail e-commerce sales more than doubled from February to May.

Online shopping fell this summer from its high of $4 billion in May as more stores opened to in-person shopping.

Nonetheless, Statistics Canada says that 2020 is on pace to beat 2019’s total e-commerce sales of $305 billion, a figure that has more than doubled since 2013 and includes business-to-business sales as well as retail purchases.

A separate online survey of 600 adults from Google Canada in late October also suggested that 70 per cent of respondents were looking online, not in-store, for holiday gifts. (The polling industry’s professional body, the Marketing Research and Intelligence Association, says online surveys cannot be assigned a margin of error because they do not randomly sample the population.)

The data comes as Canada’s biggest city, Toronto, and neighbouring Peel Region entered a lockdown ahead of the key holiday shopping season, limiting non-essential retailers to curbside pickup an online sales. Only essential businesses, such as grocers and pharmacies, are open to in-person shopping for the next 28 days, and store capacity is limited to 50 per cent. Other municipalities across Canada are also tightening restrictions amid rising COVID-19 case counts.

Meanwhile, several Canadian retailers, including Le Chateau, Mountain Equipment Co-operative, GNC Holdings, and Aldo, have filed for creditor protection this year.

Up until last year, online sales represented about eight per cent of revenue for Canadian businesses with five or more employees, Statistics Canada said in the report. As of 2019, 39 per cent of large businesses had online sales in Canada, compared with 23 per cent of small businesses, the report said.

Statistics Canada also noted that in the past, wholesalers and shippers, rather than retailers, have been the top beneficiaries of the trend toward online shopping.

Wholesalers contributed $85 billion toward total online sales last year, while transportation and warehousing represented $60 billion, manufacturing was worth $38 billion, and retailers grossed $22 billion.

While one in four Canadian businesses had some online sales in 2019, Statistics Canada said goods sold in retail stores were often bought in bulk online from higher in the supply chain, meaning that the majority of online sales across the country were business-to-business.

READ MORE: Canada Post urges holiday shoppers to buy gifts early amid surge in online shopping

Anita Balakrishnan, The Canadian Press


Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

CoronavirusShopping and Classifieds

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Dr. Bonnie Henry, provincial health officer, updates British Columbians about COVID-19 at a press conference earlier this week. (B.C. Government image)
B.C.’s 1st case of COVID-19 confirmed a year ago today

Here’s a look at some of the key dates in the province’s fight against the novel coronavirus

The second of two massive hydro-electric turbines headed to the Site C Dam project near Fort St. John sits in Prince Rupert ready for the Jan. 27 trek across the province. The load is so large and heavy it needs counterweights on the 120 ft transport truck and trailer (Photo: K-J Millar/The Northern View)
Second of two giant turbines and multi-vehicle convoy hit the road to Site C Dam

Massive turbine load from Prince Rupert needs one truck pulling it and two trucks to push it

Hays Creek in Prince Rupert requires more than $1.5 million to repair the creek and walls built in the 1950s and 1960s, Prince Rupert City Council heard on Jan. 25. (Photo: K-J Millar/The Northern View)
Prince Rupert City Council briefs:

More than $1.5 million needed to restore Hays Creek in Prince Rupert

Staff at Acropolis Manor, a Prince Rupert long-term health care facility in April 2020 where no cases of COVID-19 were reported until an outbreak on Jan. 19, 2021. As of Jan. 25th, 32 people associated with the residence have tested positive for the virus. (Photo: K-J Millar/The Northern View)
Staff at Acropolis Manor a Prince Rupert long term health care facility, take pride in their work place that no COVID-19 cases have been reported in the facility during the pandemic.This photo taken, April 20, from outside, looking through a window shows staff adhering to strict protocols and best practices to keep residents happy and healthy. (Photo: K-J Millar/The Northern View)
COVID-19 numbers increase at Acropolis Manor – 32 infected

Prince Rupert man concerned about temp. staff from out of region working at long-term care facility

Ken Veldman vice president, public affairs and sustainability, at Prince Port Port Authority on Jan. 21 addressed local employers in an online presentation about a new community recruitment program to attract employees to Prince Rupert. (Photo: K-J Millar/The Northern View)
New recruitment campaign to be launched in Prince Rupert

Web platform will use community collaboration to attract new employees to Prince Rupert

British Columbia Health Minister Adrian Dix looks on as Provincial Health Officer Dr. Bonnie Henry addresses the media during a news conference at the BC Centre of Disease Control in Vancouver B.C. (THE CANADIAN PRESS/Jonathan Hayward)
B.C. announces 485 new COVID-19 cases, fewest deaths in months

‘The actions we take may seem small, but will have a big impact to stop the virus,” urges Dr. Henry

Grad student Marisa Harrington and her supervisor Lynneth Stuart-Hill say preliminary results from a study into the affects of stress on hospital nurses show an impact on sleep and heart variability. (Courtesy of Marisa Harrington)
University of Victoria study shows stress impact on B.C. nurses

Stress may be impacting sleep, heart health of hospital nurses in Victoria region

Keith Thorpe/Peninsula Daily News
Search called off for small plane that went down in rough water south of Victoria

Plane bound for Port Angeles from Alaska believed to have one occupant, an Alaskan pilot

Royal B.C. Museum conservator Megan Doxsey-Whitfield kneels next to a carved stone pillar believed to have significance as a First Nations cultural marker by local Indigenous people. The pillar was discovered on the beach at Dallas Road last summer. Museum curatorial staff have been working with Songhees and Esquimalt Nation representatives to gain a clearer picture of its use. (Photo courtesy Royal BC Museum)
Stone carving found on Victoria beach confirmed Indigenous ritual pillar

Discussion underway with the Esquimalt and Songhees about suitable final home for the artifact

Former Vancouver Giants forward Evander Kane is seen here in Game 7 of the second round of the 2009 WHL playoffs against the Spokane Chiefs (Sam Chan under Wikipedia Commons licence)
Gambling debts revealed in details of bankruptcy filing by hockey star Evander Kane

Sharks left winger and former Vancouver Giants player owes close to $30 million total

Othman “Adam” Hamdan, pictured in front of Christina Lake’s Welcome Centre, was acquitted of terrorism related charges in 2017. He has been living in Christina Lake since November 2020. Photo: Laurie Tritschler
Man acquitted on terrorism charges awaits deportation trial while living in Kootenays

Othman Ayed Hamdan said he wants to lead a normal life while he works on his upcoming book

B.C. Premier John Horgan wears a protective face mask to help prevent the spread of COVID-19 prior to being sworn in by The Honourable Janet Austin, Lieutenant Governor of British Columbia during a virtual swearing in ceremony in Victoria, Thursday, November 26, 2020. THE CANADIAN PRESS/Jonathan Hayward
Premier Horgan calls jumping COVID vaccine queue ‘un-Canadian’

Horgan says most people in B.C. are doing their best to follow current public health guidelines

Prime Minister Justin Trudeau, left, and Vancouver Mayor Kennedy Stewart share a laugh while speaking to the media before sitting down for a meeting at City Hall, in Vancouver, on Friday August 30, 2019. (THE CANADIAN PRESS/Darryl Dyck)
Vancouver mayor, Health Canada to formally discuss drug decriminalization

Kennedy Stewart says he’s encouraged by the federal health minister’s commitment to work with the city

Downtown Fernie is pictured after a snowfall.

Most Read