Annual retail trade, 2024
Released: 2026-02-11
Chart 1
Operating revenues, retail sales by subsector, 2024
Retail spending in Canada increased 3.0% to $865.2 billion in 2024, of which $73.7 billion was e-commerce revenue. E-commerce sales grew 9.0%, as the trend toward digital shopping continued to increase.
The growth in retail operating revenue was generated in several subsectors, led by health and personal care retailers (+6.3%), motor vehicle and parts dealers (+5.0%), and general merchandise retailers (+4.1%).
Prices remained a significant concern for consumers. Headline inflation rose 2.4% on an annual average basis in 2024, down from 3.9% in 2023. Despite slowing, inflation remained higher than annual averages seen before the COVID-19 pandemic.
Households also benefited from falling interest rates in the second half of 2024, spending less of their disposable income on interest on their debt. However, the average unemployment rate ticked up by 1.0 percentage points to 6.4%, weighing on some households.
After record population growth in 2023 (+3.2%), Canada's population grew more modestly in 2024 (+1.8%). Retail sales in volume terms reflect this, as they increased 1.1% in 2024—nearly half the rate of growth in 2023 (+2.0%), according to the Monthly Retail Trade Survey.
The cost of goods sold by retailers stood at $634.4 billion in 2024, representing 73.3% of total operating revenue.
Total operating expenses were $181.3 billion, including $87.1 billion in labour remuneration.
Automotive retail industry and gas stations
Operating revenue for motor vehicle and parts dealers rose 5.0% to $240.2 billion in 2024. The cost of goods sold grew 5.9% to $200.4 billion, while operating expenses increased 2.9% to $31.2 billion. The resulting profit margin for the subsector was 3.6%, down from 4.0% in 2023.
New car dealers led the increase in operating revenue (+5.7%) in 2024. Prices for new passenger vehicles increased 2.1%, according to the Consumer Price Index (CPI). Inventory turnover occurred, on average, every 67 days, and these dealers increased their inventory purchases by 2.2%.
Profitability at new car dealers decreased from 3.9% in 2023 to 3.4% in 2024.
Passenger car sales decreased 2.0% in 2024, while truck sales increased 11.4%, according to the New Motor Vehicle Sales Survey. Additionally, new zero-emission vehicle registrations increased 43.6%, representing a 14.6% share of total new motor vehicle registrations, up from 11.0% in 2023.
Operating revenue for gasoline stations and fuel vendors decreased 0.4% to $84.7 billion in 2024. The cost of goods sold declined 0.2% to $71.2 billion, and operating expenses decreased 2.0% to $8.1 billion. The resulting profit margin for the subsector was 6.4%, unchanged from 2023.
According to the CPI, the price of gasoline decreased 0.2% in 2024, after falling 7.6% in 2023.
Food and beverage retailers and general merchandise retailers
Operating revenue for food and beverage retailers increased 2.0% to $159.5 billion in 2024. The cost of goods sold rose 1.9% to $112.9 billion, and operating expenses increased 2.7% to $35.6 billion. The profit margin for the subsector was 6.9%, little changed from 2023 (7.0%).
While prices for groceries remained elevated, price growth for food purchased from stores was significantly lower in 2024 (+2.2%) compared with 2023 (+7.8%).
Operating revenue for general merchandise retailers, including warehouse clubs, supercentres and dollar stores, increased 4.1% to $108.1 billion in 2024. The cost of goods sold rose 4.2% to $82.2 billion, and operating expenses increased 5.0% to $19.2 billion. The profit margin for the subsector was 6.1%, down from 6.4% in 2023.
The share of food at retail continued to grow in the general merchandise subsector, rising from 27.0% in 2023 to 28.3% in 2024.
Provincial performance
The retail landscape among the provinces in 2024 was little changed from 2023. Ontario (37.7%), Quebec (22.3%), British Columbia (13.9%) and Alberta (12.7%) accounted for the largest shares of total operating revenue, representing a combined total of $748.5 billion out of $865.2 billion.
Outlook for 2025
The Canadian retail environment was expected to face challenges and opportunities alike in 2025. Though retail sales grew at a faster pace in 2025 and inflationary pressures continued to ease, retailers looked to adapt to a changing landscape marked by global trade uncertainties and the ongoing evolution of e-commerce.
Notably, retail businesses were impacted by trade tensions with the United States. The most common impacts were price increases, changes in demand for products and delays in the supply chain, as a result of US tariffs and Canadian countermeasures.
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Note to readers
Data have been revised for 2023.
The operating profit is obtained by subtracting total operating expenses and the cost of goods sold from total operating revenues. The ratio is expressed as a percentage of total operating revenues. The gross margin is the difference between total operating revenue and the cost of goods sold.
Trucks include minivans, sport utility vehicles, light and heavy-duty trucks, vans, and buses. Zero-emission vehicles are battery electric vehicles or plug-in hybrid electric vehicles that have the potential to produce no tailpipe emissions.
Data were collected for the 12-month fiscal period that ended on April 1, 2024, or between that date and March 31, 2025.
Inventory turnover is calculated by dividing the cost of goods sold by the average value of the opening and closing inventory for 2024. The result gives the number of times the new car dealers subsector sold and replenished its inventory in a year. To get the number of days for inventory turnover, divide 365 by the result.
These and other data related to business and consumer services can be found at the Business and consumer services and culture statistics portal.
Contact information
For more information, or to enquire about the concepts, methods or data quality of this release, contact us (toll-free 1-800-263-1136; 514-283-8300; infostats@statcan.gc.ca) or Media Relations (statcan.mediahotline-ligneinfomedias.statcan@statcan.gc.ca).
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