The recent closures of prominent retailers like Hudson’s Bay and Cosmo Music in Richmond Hill have sparked discussions about the evolving retail landscape. While some attribute these shutdowns to the rise of digital giants such as Amazon, a closer examination reveals a more nuanced picture, highlighting the enduring appeal of brick-and-mortar stores, especially smaller, community-centric establishments.

Hudson’s Bay: A Legacy Interrupted

Hudson’s Bay, established in 1670, has been a cornerstone of Canadian retail. However, facing financial challenges exacerbated by reduced consumer spending and post-pandemic downturns, the company sought creditor protection on March 7, 2025. An Ontario court approved the liquidation of all but six of its stores, including the Richmond Hill location at Hillcrest Mall. This decision underscores the difficulties traditional department stores face in adapting to rapidly changing consumer behaviours.

Cosmo Music: The End of an Era

Similarly, Cosmo Music, Canada’s largest music store, announced its closure after 57 years of service. Despite significant technological investments and efforts to adapt post-pandemic, the company faced insurmountable challenges leading to this difficult decision. The Richmond Hill-based retailer, founded in 1966 as Cosmo Guitars, expanded from a guitar import business into a comprehensive musical instrument store offering lessons and a wide range of instruments. ​

Consumer Preferences: The Resilience of Physical Retail

Contrary to the belief that e-commerce is rendering physical stores obsolete, recent studies indicate a sustained consumer preference for in-store shopping. A 2024 survey revealed that 64% of Canadians do most of their shopping in physical stores, with minimal variation across age, gender, or income levels. Notably, the food and beverage sector saw 71% of consumers prioritizing local shopping, emphasizing the importance of community-based retail experiences. ​

Furthermore, a 2024 survey highlighted that 83% of consumers prefer to purchase groceries in-store, underscoring the importance of physical stores in the grocery sector. Additionally, more than 45% of shoppers favor in-store purchases at discount, convenience, home improvement, and apparel stores. The survey also identified challenges such as product availability and staffing levels, indicating areas where retailers can enhance the shopping experience. ​

The Suburban Shift: Accessibility and Convenience

The demographics of suburbs like Richmond Hill are evolving, with a notable increase in residents without personal vehicles. These individuals often prefer walking to nearby stores, seeking convenience and a personalized shopping experience. Even those with cars express reluctance to frequent large retailers due to traffic congestion, long checkout lines, and impersonal service. This shift presents an opportunity for small, conveniently located stores to cater to the community’s needs, offering tailored services and fostering stronger customer relationships.​

Conclusion

While the closures of Hudson’s Bay and Cosmo Music in Richmond Hill reflect challenges in the traditional retail model, they also highlight a significant opportunity: the enduring consumer desire for accessible, community-focused shopping experiences. By understanding and adapting to these preferences, retailers can thrive, ensuring that brick-and-mortar establishments remain integral to our communities.