The Restaurant Industry in the Greater Toronto Area

The Restaurant
Industry in the Greater
Toronto Area
This is the Greater Toronto Area (GTA)
The GTA’s population of 6.1 million
includes 2.3 million immigrants, making
it one of the most culturally diverse
demographic in the world.
The GTA is the largest
metropolitan area in
Canada, and 5th largest
in North America.
The GTA consists of 25
municipalities, including
the City of Toronto and 4
region`s.
The GTA’s population will
increase by from 6.1
million in 2009 to 9.1 million
in 2036 (50% increase).
Area:
•7,000 square kilometers
(2,700 square miles)
The GTA’s Strong International Standing
Restaurants Industry Profile
“There’s something happening in Toronto.
While so many cities lament the global
economic crisis and the dulling effects of
globalization, boutiques and restaurants
seem to open every week in Toronto, and
immigrant neighbourhoods still feel
linguistically, gastronomically,
gloriously distinct.”
Sarah Wildman, The New York Times, 2012
“While hotel development slumps in some
parts of the globe, one cosmopolitan location
is set to add a slew of luxury lodgings in
2012:
Canada’s financial capital, Toronto.”
Top Ranked Cities of Opportunity
New York
1,112
London
1,111
Toronto
1,096
Paris
1,073
Stockholm
1,062
San Fransico
1,061
Singapore
1,045
Hong Kong
Chicago
1,015
997
Forbes Travel Guide, 2012
Source: PwC, Cities of Opportunity, 2012
Restaurant Cluster in Toronto
Restaurants Industry Profile
• The City of Toronto has 8,100 restaurants,
caterers and bars
• The cluster generates $5.8 billion in revenues
• Represent 6.5% of all businesses in Toronto
According to Zagat’s 2012 Toronto Restaurants Survey
• Torontonians dine out at an average of 3.1 times per
week putting the city in the same ranks as Chicago
(2.8), New York City (3.0), Las Vegas (3.3), and
Los Angeles (3.4)
• Dining out is up by 28% compared to 2011
• Online reservations are the method of choice for 53%
of surveyors in Toronto, followed distantly by phone
reservations at 37%
• Restaurant marketing trends for 2012: here
The GTA – the center of luxury in Canada
Restaurants Industry Profile
New Luxury Brands and Retailers Choose the GTA
• Nordstrom has secured retail space for its upcoming
expansion into Canada.
• Ann Taylor’s first two Canadian stores recently
opened in Toronto.
• Canadian high-end retailer Holt Renfrew recently
expanded one of its Toronto stores by120,000 sq feet.
• High-end department store Bloomingdale’s is
looking to expand into Canada.
Toronto’s luxurious retail strip on Bloor Street West
was the only location in Canada to make the Top 50 in
Colliers International’s world study of retail leasing
costs.
High-end Yorkdale Shopping Centre (right) recently
completed a $220-million expansion; 6 of the 27 new
stores made their Canadian debut.
Real Estate Boom in the GTA
Restaurants Industry Profile
Toronto Leads
the Western
Hemispheres
in high rise
construction
giving
restaurants the
flexibility in site
selection.
Toronto’s New Southcore Financial District
Restaurants Industry Profile
Toronto’s business district is growing and moving beyond the historic Financial District boundaries
• Spurred by a robust commercial market, growing company sizes and limited office space in the
financial core, developers are setting up closer to the water
• The Southcore Financial District is responding to a new generation seeking to live, work and play
in close quarters
Potential Restaurant Locations in Toronto: Financial District
Restaurants Industry Profile
The district is Toronto’s central point for law firms, investment
banks, and the movers and shakers in Bay Street which is
Toronto’s equivalent to Wall Street in New York City.
• It is home to the Toronto Stock Exchange (TSX) which is the
3rd largest North America, has the tallest towers in the city, and
a focal point for power lunch spots and private clubs.
• Average annual income of $ 93,645 CDN
• High traffic area on weekdays and weekends due to close
proximity to Toronto Island Airport that brings tourist and
business travelers, Roger’s Center sports stadium, Union
station which is the city’s multimodal transportation hub, and
multitude of events
• Assumed target segments include: white collar, after work
crowd, happy hour crowd, high net worth individuals
(HNWI), and business travelers
Potential Restaurant Locations in Toronto: Yorkville District
Restaurants Industry Profile
Yorkville is home to a wide range of upscale restaurants,
pubs, and luxury business establishments. More than 700
shops can be found on the 27 blocks that make up the
Bloor-Yorkville Business Improvement Area, including
galleries, museums and restaurants.
• Year-round attractions include the Royal Ontario Museum, the
Gardiner Museum of Ceramic Art and the Village of
Yorkville Park. The district is also home of the annual Santi
Wine Festival in May and events for the Toronto International
Film Festival in September.
• Average annual income of $ 203,150 CDN
• Assumed target segments include: white collar, after work
crowd, high net worth individuals (HNWI), Hollywood
celebrities, and luxury tourists
Potential Restaurant Locations in Toronto: Entertainment District
Restaurants Industry Profile
The district consists of eight city blocks that houses
every type of entertainment. The area boasts a host of
dining choices from pubs and bars to upscale bistros
serving everything from seafood to international
entrees.
The area has nightlife spots from dance clubs and live
music venues to theatres like Roy Thompson Hall and
the Royal Alexandra Theatre.
Some of the city's biggest attractions like the CN Tower
and the Rogers Centre sports stadium, and a myriad of
shops, hotels and services are all part of the District.
Average annual income of $ 110,684 CDN
Assumed target segments include: white collar, after
work crowd, happy hour crowd, high net worth
individuals (HNWI), and live entertainment and music
aficionados
Associations: Networking Channels for New Restaurants
Restaurants Industry Profile
Canadian Restaurant and Foodservices Association (CRFA)
• The largest association in Canada representing the foodservices industry
including restaurants, bars, cafeterias, coffee shops, and caterers
Ontario Restaurant Hotel and Motel Association (ORHMA)
• The largest provincial hospitality association in Ontario (City of Toronto is the
capital)
Food & Consumer Products of Canada (FCPC)
• The Food & Consumer Products of Canada is a national association
representing the food, beverage, and consumer products industry.
Canadian Food Exporters Association (CFEA)
• The CFEA is a voluntary non-profit industry association founded in September
1996 by a group of 14 companies with the aim enhancing the export efforts of
the food and beverage industry, particularly on the part of small to medium-sized
enterprises (SMEs).
Restaurants and Food Services Conferences in 2013
Restaurants Industry Profile
Canadian Foodservices and Restaurant (CFRA) Show 2013 (over for this year)
The CRFA Show attracts 12,000 industry professionals and puts them face to face with exhibitors showcasing all their
latest products. From new trends in foodservice through to the latest in energy efficient equipment, restaurant
owners, operators and buyers will find everything they are looking for at this convenient, one-stop marketplace.
• Date: March 3 - 5, 2013
• Conference Location: Direct Energy Centre 100 Princes' Boulevard Toronto, ON M6K 3C3
SIAL Canada 2013
SIAL Canada is one of the top notch conference in Toronto for the food and beverage industry. Around 200,000 visitors
will be visiting in the show from over 200 countries.
• Date: April 30 - May 2, 2013
• Conference Location: Direct Energy Centre 100 Princes' Boulevard Toronto, ON M6K 3C3
The 3rd Canadian Food Summit (2013)
The Conference Board of Canada is hosting a two day Food Summit conference. Canadian food system leaders,
retailers, senior government officials, food organizations, and national and international experts will discuss the latest
research, share insights from other jurisdictions, and determine how to address Canada’s major food challenges and
opportunities.
• Date: April 9 - 10, 2013
• Conference location: Metro Toronto Convention Centre, 255 Front Street West, Toronto ON, M5H 2W6
2013 Canadian Restaurant Investment Summit
The primary objective of the conference is to provide a learning and networking forum for attendees from the
Canadian restaurant industry.
• Date: May 29 – 30, 2013
• Location: Hilton Toronto Hotel, 145 Richmond Street West Toronto, ON M5H 2L2
Information Links
Restaurants Industry Profile
Best restaurants in Toronto: here
Choosing a location for the restaurant: here
Starting a restaurant business in Toronto (Canada Business Ontario): here
What it takes to open a restaurant in Toronto - the policies, regulations and the
taxes: here
Article 1: Restaurant deals sizzle in Toronto’s Core
by the GlobeandMail.com - discusses the restaurant boom in downtown Toronto
Article 2: Creating a Scene
by Amy Rosen /November 2012 - features the growth of the luxury market
including high-end hotels and restaurants in Toronto due to a strong Canadian
economy
Growth & Business Opportunities
Restaurants Industry Profile
Main Drivers
Growth and opportunities
5th Largest Metropolitan City in North America
• The multi-cultural population of the GTA is expected to
reach 9 million people by 2036.
Substantial infrastructure growth
• As of 2011, Toronto has the most new skyscrapers under
construction amongst the 26 cities included in the PwC’s
Cities of Opportunity report.
Low Risk Business Environment
• Toronto’s financial services industry remains strong despite
the economic crisis.
Access to Market
• Toronto is located within an 800 kilometers (500-mile)
radius of 135 million people.
Supported by strong culture & entertainment
• Toronto is ranked fourth in the world as a place to
experience culture, following London, Paris and New
York.
• Toronto is the only Canadian city with representation in
seven major league sports.
Society Trends
• Drinking and Driving is closely monitored in Toronto,
channeling a live/work/play environment into the
downtown core.
Boom of high-end retail & hospitality in next 2-5 years.
• In 2012, Ann Taylor, Loft, Ted Baker London and Kate
Spade New York made their first entry into Toronto
• In 2014, Nordstrom is moving into Toronto - its first
expansion into the international market.
• Anthropologie, Express, Free People, Intermix, J. Crew,
Marshalls, Topshop, Topman and Tory Burch are among a
host of other high-profile U.S. and international brands
that have established storefronts in Canada.
• In 2011, Toronto welcomed the Ritz-Carlton and the
Trump Tower to add to the collection of its luxury hotels.
Executive lunch and happy hour
•Profit for Toronto restaurants are driven by the business
lunch and happy-hour crowd. Liquor consumption can
easily become the main source of revenue. The main
drivers support the longevity of dinner clientele.
Attractive market for tourists and HNWI
•High net worth individuals (HNWI) and tourists will be
attracted to the upcoming retail and hospitality boom.
Let us help you succeed in the
Greater Toronto Area!
visit us at:
www.greatertoronto.org