Despite similar cultures and language, Canadian and U.S. consumers are fundamentally different. Some of these key differences are:
- Canada’s population is more diverse (and significantly smaller). 21% of the population is foreign-born compared to only 13% in the U.S.
- Even though the two countries have pretty much the same surface area, Canada’s population density (people per square km. of land) is 3.9 compared to 35 in the U.S. This has important implications on product transportation costs
- Americans are richer and spend more on a per capita basis. U.S. household net adjusted disposable income per capita is 41% more compared to Canada’s
- Canadians are more cautious about spending. There is a stronger focus on homeownership and housing-related expenses, which constrains spending on other items