I would like to support a Canadian business when buying groceries but the Canadian stores are all blatantly price gouging. When I go to Costco it is so annoyingly chaotic and busy. It is not like it's an amazing deal there, the final bill is always huge, but they have much lower profit margins in general and some regular priced items that feel like there is value. That doesn't exist at Canadian stores outside of occasional flyer specials.
Walmart and Dollarama are similar, but the latter, while Canadian, is very limited for food items. All three of those companies' stocks are so valuable. Costco makes so, so much money. They understand that people will spend a huge amount of money if they feel like they got a good deal on a few things, including a hot dog and pop for $1.50.
I just don't understand why no Canadian food retailer wants to emulate that model? Is it really that complicated to lower the profit margin so that the store sells a lot more? It would be nice to spread the crowds out away from just Costco. Can't Dollarama expand to a full fledged large discount store with a variety of perishable foods?
Aren't the Canadian grocers going to end up losing all their business? When I go to one of their stores they are so dramatically empty compared to Costco and Wallmart. What am I missing here?
Edit: I don't know why I can't reply to any comments, but I want to refute the people who are claiming Canadian grocery stores have 4-5% profit margins.
I live in a resort town in BC that has extremely inflated grocery prices. Certain items like half and half cream (eg. $3.19 vs $5.50), pecans, olive oil, gourmet cheses, etc (the list is LONG) they all cost anywhere from 80% more to even 300% more expensive for the same items vs. Costco in Vancouver (or similarly at Walmart).
When things are regularly costing anywhere from double to literally FOUR TIMES as expensive as the same item that is being sold at a small profit less than 100km away, then they can no longer claim they are only charging a 5% margin. That is actually about a 83% to 303% margin on that item.