After many months of heavy COVID restrictions – 777 days of a state of emergency in Ontario’s case – Canada has finally largely opened up on the other side of the pandemic. And yet, as in the States, disrupted supply chain operations continue to impact inventory movement, jobs are slow to be filled and inflation is at a 30-year high, affecting consumer buying power.

So how does the promo industry in Canada fit into all this? In this Promo Insiders on Twitter Spaces, ASI Media’s Vin Driscoll and Sara Lavenduski were joined by Kathy Cheng, founder and president of Redwood Classics Apparel (asi/81627), and Danny Braunstein, director of client success for Top 40 distributor BAMKO (asi/131431) in Canada, to discuss what it’s like in Canada, now that officials have lifted many restrictions, how business is going and their predictions for the coming months.

“Traditionally, we tend to be extremely busy in Q3 and Q4,” says Cheng. “We had a record year last year. Q1 has slowed down a bit, but that’s very normal for the general buying pattern of how our distributors buy our products. As a premium apparel supplier, we’re finding that the conversations we’re having are very encouraging. Overall, as people become more conscientious about their spending … there’s something to be says for a company that invests in quality.”

“As people become more conscientious about their spending, there’s something to be said for a company that invests in quality.” Kathy Cheng, Redwood Classics Apparel

So far, BAMKO in Canada hasn’t yet felt direct inflationary pressure on consumer spending. “Business continues to be really strong,” says Braunstein. “We had a phenomenal year again last year. Our Q4 was especially strong. In Canada, [our business was] up 75% in Q1 over the previous year. So, things are really quite bright right now.” Braunstein adds that so far in Q2, the Canadian business is up about 30% compared to the same quarter in 2021.

“We’re starting to reap the benefits of some major infrastructure and technology investments that we were able to make over the last couple of years,” says Braunstein. “We thrived during the pandemic and were able to reinvest in our business.”

“In Canada, our business was up 75% in Q1 over the previous year. So, things are really quite bright right now.” Danny Braunstein, BAMKO Canada

Over the summer and into the fall, Cheng anticipates that restaurant and hospitality businesses will return as more open up and clients become more comfortable with gathering and dining out. “Those small businesses that are strong, that bring a value alignment with their community, their clients are coming back and supporting them with a roar,” says Cheng. “That’s where I’m seeing the optimism, the focus on community-building during hard times.”