Why Canada Is a Hot Market for eCommerce in 2025
The Canadian eCommerce market is expanding rapidly, driven by a growing digital-first consumer base, high internet penetration, and strong trust in online shopping. With over 80% of Canadians making online purchases regularly, 2025 is shaping up to be a pivotal year for online retailers.
Consumer preferences have shifted toward sustainable, personalized, and locally relevant products. Categories such as eco-friendly goods, wellness, and smart home devices are leading the growth. The rise of Shopify-powered stores across Canada has further simplified entry for small and medium businesses.
According to eMarketer, Canada’s eCommerce sales are projected to surpass CAD 120 billion by 2025, supported by improved logistics, faster delivery expectations, and the adoption of AI-powered shopping tools.
| Key Market Indicator |
2024 Estimate |
2025 Projection |
Trend |
| eCommerce Sales (CAD) |
$102 billion |
$120 billion |
+17.6% YoY growth |
| Online Shoppers |
29 million |
31.5 million |
Expanding digital base |
| Average Order Value (AOV) |
$92 |
$105 |
Higher value purchases |
| Top Selling Platforms |
Shopify, Amazon.ca, Etsy |
Shopify & DTC stores |
Direct-to-consumer surge |
Brands using Skai Lama Apps—such as Easy Bundles for cross-selling or Checkout Wiz for streamlined checkouts—are seeing measurable gains in conversion and AOV. By combining localized product strategies with data-driven personalization, Canadian merchants can position themselves ahead in this fast-evolving landscape.
Top Product Niches to Sell in Canada 2025
The Canadian market in 2025 is defined by conscious consumerism, convenience, and technology. Online shoppers are more selective—favoring products that align with their values while offering practical benefits. Below are the top-performing niches for Canadian eCommerce brands this year.
Sustainable and Eco-Friendly Products
Canadian consumers are highly eco-conscious, creating massive demand for products made from recycled, biodegradable, or renewable materials. From reusable home goods to sustainable fashion, this niche continues to gain traction.
| Product Category |
Notable Products |
Projected Growth (CAGR) |
| Reusable Home Items |
Bamboo cutlery sets, reusable straws, beeswax wraps |
8.5% (2024–2029) |
| Sustainable Fashion |
Organic cotton apparel, recycled polyester outerwear |
9.2% (2024–2029) |
| Eco Cleaning Products |
Plant-based detergents, refill packs |
7.8% (2024–2029) |
Merchants can use Easy Bundles by Skai Lama to create sustainable home bundles, increasing AOV while promoting eco-friendly habits.
Pet Care and Accessories
Canada’s pet industry continues to expand, with pet owners investing in premium nutrition, accessories, and tech gadgets for their furry companions.
| Product Category |
Popular Products |
Projected Growth (CAGR) |
| Pet Nutrition |
Grain-free dog food, organic cat treats |
6.5% (2024–2030) |
| Pet Tech |
GPS trackers, smart feeders |
9.8% (2024–2030) |
| Accessories |
Eco-friendly collars, travel kits |
7.3% (2024–2030) |
Shopify stores using Kite by Skai Lama can automate personalized recommendations, helping pet brands cross-sell effectively.
Smart Home Devices
With Canada’s high broadband penetration and rising interest in automation, smart home gadgets are among the top-selling tech items.
| Product Category |
Best-Selling Products |
Projected Growth (CAGR) |
| Smart Lighting |
Philips Hue, Wyze Bulbs |
10.1% (2024–2030) |
| Home Security |
Ring Doorbells, Arlo Cameras |
9.6% (2024–2030) |
| Smart Thermostats |
Nest Learning Thermostat |
8.3% (2024–2030) |
Merchants leveraging Checkout Wiz by Skai Lama can optimize checkout flows to reduce cart abandonment—key in this high-ticket category.
Fitness and Outdoor Gear
With increased focus on health and outdoor activity, Canadians are buying more fitness equipment and adventure gear online.
| Product Category |
Notable Products |
Projected Growth (CAGR) |
| Home Fitness |
Resistance bands, yoga mats, dumbbells |
5.8% (2024–2029) |
| Outdoor Gear |
Hiking backpacks, insulated bottles |
6.2% (2024–2029) |
| Wearables |
Smartwatches, fitness trackers |
8.9% (2024–2030) |
Combining Easy Bundles for fitness kits and GiftKart for loyalty rewards helps boost repeat purchases in this niche.
Beauty and Skincare Products
The Canadian beauty sector continues to thrive, particularly clean and organic skincare brands that emphasize transparency.
| Product Category |
Best-Selling Products |
Projected Growth (CAGR) |
| Organic Skincare |
Natural moisturizers, serums |
7.1% (2024–2030) |
| Men’s Grooming |
Beard oils, natural deodorants |
6.3% (2024–2030) |
| Wellness Cosmetics |
SPF-infused skincare, clean makeup |
7.9% (2024–2030) |
Integrating Kite by Skai Lama allows merchants to personalize recommendations based on previous purchases—enhancing customer experience.
Home Office and Productivity Tools
Remote and hybrid work remain strong in Canada, driving demand for ergonomic furniture and productivity accessories.
| Product Category |
Key Products |
Projected Growth (CAGR) |
| Ergonomic Accessories |
Standing desks, ergonomic chairs |
6.4% (2024–2029) |
| Productivity Tools |
Blue light glasses, desk organizers |
5.9% (2024–2029) |
| Home Tech |
Noise-canceling headphones, webcams |
7.2% (2024–2029) |
Local Artisan and Handmade Goods
Support for local artisans and small businesses continues to grow, with marketplaces and independent brands thriving.
| Product Category |
Trending Items |
Projected Growth (CAGR) |
| Handmade Crafts |
Candles, ceramic mugs, jewelry |
6.7% (2024–2030) |
| Local Apparel |
Small-batch clothing, embroidered designs |
5.8% (2024–2030) |
| Eco Home Décor |
Recycled décor, macramé wall art |
6.2% (2024–2030) |
Canadian merchants can thrive across these categories by combining smart merchandising tools from Skai Lama, transparent branding, and sustainable sourcing.
Consumer Trends Shaping 2025
The Canadian eCommerce market is evolving quickly, influenced by a blend of social values, digital habits, and global trends. Consumers are more intentional in their shopping choices—seeking authenticity, sustainability, and personalization in every purchase. Understanding these behaviors is key for merchants aiming to capture long-term customer loyalty.
Personalization and Product Discovery
Canadian consumers expect tailored recommendations and shopping experiences. AI-driven personalization tools are becoming essential for improving conversion rates and customer engagement.
| Trend |
Description |
eCommerce Impact |
| Personalized Product Suggestions |
AI tools analyze customer data to show relevant products |
Increases AOV and reduces bounce rate |
| Dynamic Email & SMS Campaigns |
Customized offers based on behavior and purchase history |
Boosts engagement and retention |
| Bundled Experiences |
Personalized bundles that solve specific customer needs |
Drives repeat sales and higher order values |
Apps like Kite and Easy Bundles from Skai Lama enable Shopify merchants to deliver these personalized experiences seamlessly—turning browsers into long-term customers.
Sustainability and Ethical Shopping
Sustainability is now a standard expectation, not a differentiator. Canadians prefer brands that align with eco-conscious values, offering transparent sourcing and minimal environmental impact.
| Key Focus Area |
Consumer Expectation |
Example Implementation |
| Packaging |
Recyclable or compostable materials |
Biodegradable mailers |
| Supply Chain |
Transparent, local sourcing |
“Made in Canada” emphasis |
| Product Design |
Longevity and repairability |
Durable, multi-use products |
By combining sustainability with storytelling—like highlighting the origin of materials—brands can build deeper trust and stronger loyalty in this space.
Rise of Subscription Models
Subscription commerce is on the rise across Canada, particularly for categories like health, beauty, and pet care. Consumers appreciate the convenience, predictability, and savings offered by recurring purchases.
| Category |
Popular Subscription Products |
Average Retention Rate |
| Health & Wellness |
Vitamins, supplements, protein snacks |
78% |
| Pet Supplies |
Food, toys, grooming essentials |
82% |
| Personal Care |
Shaving kits, skincare sets |
75% |
Merchants can use Easy Bundles to offer recurring product bundles or limited-time offers—helping increase customer lifetime value while reducing churn.
Social Commerce and Influencer Trust
Social platforms like TikTok, Instagram, and Pinterest are central to discovery and purchase decisions. Influencers and micro-creators now drive niche product trends, often faster than traditional ads.
- Canadian shoppers value authentic influencer content over polished brand ads.
- Live shopping events and user-generated videos have high engagement and conversion rates.
- DTC brands are leveraging TikTok Shop and Instagram Checkout for seamless purchase journeys.
Merchants using Checkout Wiz can optimize mobile checkouts for faster conversions from these social channels, minimizing drop-offs during impulse purchases.
Localism and Community Support
A growing “shop local” movement is reshaping online retail in Canada. Consumers are eager to support homegrown businesses, valuing craftsmanship and local sourcing.
- DTC stores highlighting “Canadian-made” or “locally crafted” messaging outperform generic global brands.
- Community-driven marketing (e.g., collaborations with local artisans) fosters long-term loyalty.
Brands integrating localized storytelling into their Shopify stores—and using Skai Lama’s suite to personalize and bundle relevant local products—can effectively capitalize on this trend.
How to Succeed Selling Online in Canada
The Canadian eCommerce landscape offers immense potential—but success depends on strategy, localization, and customer experience. Brands that adapt to Canada’s market nuances and leverage the right tools can achieve sustained growth, higher AOV, and repeat sales.
Localized Shopping Experience
Canadian consumers value convenience, trust, and transparency when shopping online. Localizing your store builds instant credibility.
| Focus Area |
What It Means |
Implementation Tip |
| Currency & Payment Options |
Accept CAD, debit, and local payment methods like Interac |
Offer automatic currency conversion |
| Shipping & Fulfillment |
Fast delivery and transparent costs |
Partner with local carriers (e.g., Canada Post, Purolator) |
| Customer Support |
Localized service hours and bilingual options |
Offer support in English & French |
Using Checkout Wiz by Skai Lama, merchants can localize checkout flows and eliminate friction points, improving trust and completion rates.
Invest in Smart Merchandising and Bundling
Creating product bundles and personalized shopping flows helps boost conversion rates and increase average order values.
| Tactic |
Tool Example |
Impact on Performance |
| Thematic Product Bundles |
Easy Bundles (Skai Lama) |
25–40% AOV increase |
| Personalized Recommendations |
Kite (Skai Lama) |
20% improvement in conversion |
| Loyalty-Driven Offers |
GiftKart (Skai Lama) |
Boosts repeat purchase rate |
These small optimizations can drive large performance gains, especially during key shopping seasons like BFCM 2025.
Optimize for Mobile Commerce
Over 70% of Canadian eCommerce traffic comes from mobile devices. Optimizing site speed, UX, and checkout for mobile shoppers is now essential.
- Use a mobile-responsive Shopify theme with minimal load time.
- Simplify navigation and ensure tap-friendly CTAs.
- Implement Checkout Wiz for frictionless one-page checkout.
Merchants who focus on fast, clean, and responsive mobile experiences tend to see lower cart abandonment and higher customer satisfaction.
Build Trust Through Transparency and Reviews
Trust remains a major purchase driver in Canada. Clear product information, genuine reviews, and visible return policies encourage first-time buyers to convert.
| Trust Element |
Description |
Best Practice |
| Customer Reviews |
Authentic feedback boosts credibility |
Display verified Shopify reviews |
| Secure Checkout |
SSL and trusted payment gateways |
Highlight security badges |
| Transparent Policies |
Easy returns and shipping transparency |
Add in footer and product pages |
Apps like GiftKart can help reward customers for leaving reviews or referring friends, turning trust into long-term loyalty.
Leverage Data and Analytics
Data-driven decision-making gives merchants a competitive edge. Track metrics like conversion rates, customer lifetime value (CLV), and average order value (AOV) to refine strategies.
- Identify top-performing SKUs and bundle opportunities.
- Track cart abandonment and recovery through Checkout Wiz analytics.
- Use purchase insights from Kite to tailor marketing and cross-sell efforts.
Combining these insights helps merchants scale effectively while keeping customer experience at the center of growth.
Canadian eCommerce brands that blend localized strategies, personalization, and smart automation—powered by tools like Skai Lama’s Easy Bundles, Kite, and Checkout Wiz—can unlock stronger customer relationships and sustainable revenue growth.
Conclusion: Top Trending Products to Sell in Canada 2025
Canada’s eCommerce market in 2025 stands at the intersection of innovation, sustainability, and personalization. From eco-friendly home essentials to fitness gear, smart devices, and beauty products, consumer demand continues to evolve toward meaningful, responsible, and tech-enabled purchases.
The top-performing niches—sustainable goods, pet care, health and fitness, and smart home products—reflect Canada’s growing preference for quality, convenience, and ethical consumption. Brands that align with these values will gain stronger traction and higher lifetime value.
To truly succeed, Canadian merchants need more than just trending products—they need the right growth infrastructure. This is where Skai Lama Apps make a difference.
- Easy Bundles helps create customized product bundles, boosting AOV and product discoverability.
- Kite personalizes product recommendations, driving conversions through smarter merchandising.
- Checkout Wiz simplifies checkout and improves completion rates—crucial for mobile-first shoppers.
By leveraging these tools, eCommerce brands can provide a seamless experience from product discovery to purchase, building loyalty and trust in an increasingly competitive market.
In 2025, the most successful online stores in Canada will not just sell products—they’ll sell personalized experiences, powered by data, technology, and customer-centric design.