Industry Code: 63100
This industry covers establishments whose primary function is the sale of food items. These operations range from the independent corner grocery store to franchise convenience outlets, large chain store networks and online grocery platforms.
Operation Details:
The emphasis is on the sale of a variety of food items such as dairy products, baked goods, vegetables, fruit, meat, confectionery, etc. This industry includes in-house food preparation and packaging which is supportive of the retail sale through the company's own store, i.e., bakeries, butcher shop/deli operations, etc.
With an evolving trend towards one stop shopping, it is common for food stores to sell non-food items or general merchandise such as clothing, hardware, appliances and sporting goods; as well as offering services such as restaurants, pharmacies, instant banking, flower shops and retail gas sales. An additional classification is not warranted when these operations are conducted with the primary activity of food sales.
Online grocery platforms are included in this industry. These are e-commerce platforms through which consumers can purchase groceries and consumer packaged goods from retailers through a smartphone app or website and have the goods delivered to their desired location. These platforms provide retailers a virtual marketplace through which goods can be sold and delivered directly to consumers.
Food distribution warehouses are considered part of this industry when supplying company owned outlets related by ownership or part of a franchise type network. Such businesses, through volume purchasing power, supply retail outlets with food items and provide a host of other services including trucking, marketing support, financing, accounting, etc. Food distributors, whose primary function is to serve related retail outlets, may also have contractual agreements to provide services to independent food stores, which would be considered incidental.
The primary activities in this industry will include shipping and receiving, stocking of shelves, pricing of inventory and operating check outs.
Underwriting Considerations:
Food stores or convenience food stores may be operated through franchise agreements. The franchisors (sell franchises to franchisees) of food stores operations are classified here in this industry. Typically, franchisors will:
- stimulate sales in the province by conducting marketing campaigns
- train franchisee staff on new equipment or procedures
- conduct quality control inspections of franchisee premises, products and method of operation
- select, open and operate new locations until a franchisee is selected
- operate existing locations when a franchisee has ceased operating.
Businesses selling retail gas and "food store" items such as dairy products (butter and milk, etc.), bread and canned goods are referred to as convenience stores and are classified here in this industry. These same businesses who sell retail gas and food store items as listed above may incorporate a "fast food" counter, cooking and selling such items as: hamburgers, hot dogs, french fries, etc., or a "coffee bar" selling different flavours of coffee and baked goods. They do not typically have a sit down area for customers. When this is conducted by the same owner of the retail gas and food store it is considered all part of the overall business and classified in this industry. When a third party operates the "fast food" counter they should be classified in Industry 87501 - Restaurants/Catering. Businesses selling retail gas and "snack food" items such as pop, chips, chocolate bars and cigarettes are classified in Industry 65406 - Gas Bars/Car Wash, Retail - No Servicing.
Operations such as lumber yards, auto repair, and bulk oil distribution are not common activities of food store operations and generally would not be classified in this industry as an incidental activity. Such cases should be referred to Underwriting.
Premium Rate History:
Activities:
Convenience Food Store and Gas Bar Combined
Food Stores
Gas Station, with Convenience Store
Grocery Stores
Online Grocery Platforms
E-commerce
Rate Group History:
This industry was consolidated with this rate group in 1993. Industry 63105 - Liquor/Wine/Beer Sales Outlets, was added in 1994 and industry 63103 - Home Provisioner/Butcher Shops, added in 1995.
This industry covers establishments whose primary function is the sale of food items. These operations range from the independent corner grocery store to franchise convenience outlets, large chain store networks and online grocery platforms.
Premium Rate History:
Activities:
Convenience Food Store and Gas Bar Combined
Food Stores
Gas Station, with Convenience Store
Grocery Stores
Online Grocery Platforms
E-commerce
Operation Details:
The emphasis is on the sale of a variety of food items such as dairy products, baked goods, vegetables, fruit, meat, confectionery, etc. This industry includes in-house food preparation and packaging which is supportive of the retail sale through the company's own store, i.e., bakeries, butcher shop/deli operations, etc.
With an evolving trend towards one stop shopping, it is common for food stores to sell non-food items or general merchandise such as clothing, hardware, appliances and sporting goods; as well as offering services such as restaurants, pharmacies, instant banking, flower shops and retail gas sales. An additional classification is not warranted when these operations are conducted with the primary activity of food sales.
Online grocery platforms are included in this industry. These are e-commerce platforms through which consumers can purchase groceries and consumer packaged goods from retailers through a smartphone app or website and have the goods delivered to their desired location. These platforms provide retailers a virtual marketplace through which goods can be sold and delivered directly to consumers.
Food distribution warehouses are considered part of this industry when supplying company owned outlets related by ownership or part of a franchise type network. Such businesses, through volume purchasing power, supply retail outlets with food items and provide a host of other services including trucking, marketing support, financing, accounting, etc. Food distributors, whose primary function is to serve related retail outlets, may also have contractual agreements to provide services to independent food stores, which would be considered incidental.
The primary activities in this industry will include shipping and receiving, stocking of shelves, pricing of inventory and operating check outs.
Underwriting Considerations:
Food stores or convenience food stores may be operated through franchise agreements. The franchisors (sell franchises to franchisees) of food stores operations are classified here in this industry. Typically, franchisors will:
- stimulate sales in the province by conducting marketing campaigns
- train franchisee staff on new equipment or procedures
- conduct quality control inspections of franchisee premises, products and method of operation
- select, open and operate new locations until a franchisee is selected
- operate existing locations when a franchisee has ceased operating.
Businesses selling retail gas and "food store" items such as dairy products (butter and milk, etc.), bread and canned goods are referred to as convenience stores and are classified here in this industry. These same businesses who sell retail gas and food store items as listed above may incorporate a "fast food" counter, cooking and selling such items as: hamburgers, hot dogs, french fries, etc., or a "coffee bar" selling different flavours of coffee and baked goods. They do not typically have a sit down area for customers. When this is conducted by the same owner of the retail gas and food store it is considered all part of the overall business and classified in this industry. When a third party operates the "fast food" counter they should be classified in Industry 87501 - Restaurants/Catering. Businesses selling retail gas and "snack food" items such as pop, chips, chocolate bars and cigarettes are classified in Industry 65406 - Gas Bars/Car Wash, Retail - No Servicing.
Operations such as lumber yards, auto repair, and bulk oil distribution are not common activities of food store operations and generally would not be classified in this industry as an incidental activity. Such cases should be referred to Underwriting.
Rate Group History:
This industry was consolidated with this rate group in 1993. Industry 63105 - Liquor/Wine/Beer Sales Outlets, was added in 1994 and industry 63103 - Home Provisioner/Butcher Shops, added in 1995.