Canada’s grocery industry has changed dramatically over the last decade. It has consolidated, digitalised, and adapted to inflation like few other markets in the developed world. The five dominant supermarket groups now control close to 80 percent of national food sales — and their influence reaches deep into supply chains, logistics, and even how brands price their products.

In 2025, the market is still shaped by three structural forces: high food inflation, changing consumer habits, and the rise of value formats. Canadian shoppers are spending carefully, cooking more at home, and paying attention to private-label prices. Retailers, in turn, are investing in automation, online grocery platforms, and store efficiency.

The top five grocery stores in Canada — Loblaw, Sobeys (Empire), Metro, Walmart Canada and Costco Wholesale Canada — define this landscape. Together they employ over half a million Canadians, operate thousands of stores, and account for most grocery innovation and investment happening in the country.

How We Ranked the Top Five Grocery Stores in Canada

To determine the leaders for 2025, we looked at:

  • Latest annual revenue and food-retail performance.

  • Number of employees and store network size.

  • Market share within the national supermarket sector.

  • Strategic direction — digital, private-label, and supply-chain investments.

  • Performance trends through 2024–2025 fiscal years.

Quick Summary Table

(Figures are rounded estimates for 2025.)

Rank Company Est. Revenue (CAD) Approx. Employees Estimated Stores / Banners Market Share (approx.)
1 Loblaw Companies Limited 61 billion ~220,000 >2,400 across Loblaws, Real Canadian Superstore, No Frills, T&T ~32 %
2 Sobeys Inc. (Empire Company) 30 billion ~128,000 >1,500 under Sobeys, Safeway, FreshCo, Foodland, IGA ~25 %
3 Metro Inc. 21 billion ~97,000 ~1,000 Metro, Super C, Food Basics stores ~15 %
4 Walmart Canada 25 billion (grocery est.) ~90,000 >400 Supercentres nationwide ~10 %
5 Costco Wholesale Canada 25 billion (est.) ~39,000 ~110 warehouses ~8 %

1 | Loblaw Companies Limited — Canada’s Grocery Powerhouse

Loblaw Companies Limited remains the undisputed leader of Canadian grocery retail. Founded in 1919, it has grown into a retail empire covering nearly every community in the country.

  • Revenue: around CAD 61 billion in 2024.

  • Employees: more than 220,000 nationwide.

  • Store count: over 2,400 across Loblaws, Real Canadian Superstore, No Frills, and T&T Supermarket.

Loblaw’s strength lies in its diversity. It runs large hypermarkets, mid-sized urban stores, and deep-discount formats. Its private-label brands — President’s Choice and No Name — dominate shelves across the country and have become household names.

The company is also Canada’s largest pharmacy retailer through its Shoppers Drug Mart banner and has a growing financial arm via PC Financial and PC Optimum loyalty programmes. This ecosystem makes Loblaw not just a supermarket operator but a fully integrated consumer services group.

2025 Strategy
Loblaw is investing heavily in automation and logistics modernisation. It announced plans to open around 80 new stores and modernise 100 existing pharmacy clinics. Warehouse automation and AI-driven inventory systems are being introduced to counter labour cost pressures and product availability issues.

Why It Leads

  • Nationwide scale and negotiating power with suppliers.

  • Industry-leading private label portfolio.

  • Large discount network (No Frills) that captures price-sensitive consumers.

  • Digital integration through PC Optimum and online ordering.

Challenges
Loblaw faces public scrutiny over pricing and profits during high inflation. Balancing margin control with consumer trust is its core task for 2025.

2 | Sobeys Inc. (Empire Company) — Regional Roots, National Reach

Sobeys is Canada’s second-largest grocery retailer and the main subsidiary of Empire Company Limited. It employs about 128,000 people across ten provinces and runs a diverse set of banners: Sobeys, Safeway, FreshCo, IGA, Foodland, and Lawtons Drugs.

  • Revenue: around CAD 30 billion annually.

  • Market share: around 25 percent of national grocery trade.

Sobeys’ strength lies in its regional coverage. From Atlantic Canada to British Columbia, it operates banners tailored to local tastes. Its FreshCo chain is expanding fast in Western and Central Canada, filling the discount gap and directly challenging Loblaw’s No Frills.

2025 Outlook
Empire is finalising its “Project Horizon” transformation, which focuses on supply-chain upgrades, data analytics and efficiency gains. The company is also rolling out its Voila e-commerce platform nationwide, enabling next-day delivery in major cities through automated fulfilment centres.

Strengths

  • Balanced portfolio of full-service and discount formats.

  • Deep regional loyalty and community integration.

  • Improving logistics through centralised distribution centres.

  • Growing e-commerce and data-driven marketing capacity.

Challenges
Margins remain tight amid competition and rising labour costs. Empire must continue integrating its acquisitions and ensure Voila achieves national profitability.

3 | Metro Inc. — The Regional Specialist Built on Efficiency

Metro is the third-largest player in Canadian food retail and a major force in Quebec and Ontario. It generated over CAD 21 billion in sales in 2024 and employs roughly 97,000 people.

Store Network: About 1,000 stores under Metro, Super C, and Food Basics.

Metro’s business model focuses on tight operations and local sourcing. While it doesn’t have the national footprint of Loblaw or Sobeys, its regional strength is unmatched. In Quebec, Metro is often seen as the default grocer for families and small business owners.

Strategic Direction
Metro has completed a major five-year investment programme modernising its distribution centres and digitising operations. Its online sales grew more than 40 percent year-on-year in 2024, showing how digital adoption is finally taking root in Canada’s regional retail.

Why It Matters

  • Efficient cost structure and strong supplier relationships.

  • Balance between discount and premium formats.

  • Deep community trust in Quebec and Ontario.

  • Successful integration of pharmacy through Jean Coutu acquisition.

Challenges
Metro’s geographic focus is both its strength and its limitation. Expansion beyond core regions requires high investment and local adaptation.

4 | Walmart Canada — The Big-Box Disruptor

Walmart Canada entered the market in 1994 and has grown into a hybrid retailer where groceries represent a large share of sales. Although the company does not disclose specific grocery figures, analysts estimate its Canadian food revenue at around CAD 25 billion.

  • Employees: about 90,000 across the country.

  • Stores: more than 400 Supercentres nationwide.

Competitive Edge
Walmart’s scale and efficiency allow it to offer some of the lowest food prices in Canada. Its distribution network is heavily automated, and the company is investing more than CAD 6 billion through 2027 in store renovations and supply-chain expansion. It is also developing online grocery pickup and delivery options in every major metro area.

Why It Shapes the Market

  • Relentless price pressure forces competitors to match discount levels.

  • Massive SKU range blurs the line between supermarket and general merchandise.

  • Highly efficient supply chain lowers cost base for food distribution.

Challenges
Canadian consumers see Walmart as a value destination, but not always for fresh produce or specialty goods. Competing in perishables and local categories remains a long-term goal.

5 | Costco Wholesale Canada — The Membership Model That Works

Costco’s influence on Canadian food retail is deceptively large. With around 110 warehouses across the country, it serves millions of members who buy in bulk for households and small businesses.

  • Revenue: about CAD 25 billion in Canada.

  • Employees: roughly 39,000.

Costco’s model is simple: low margins, high volume and annual membership fees. Its private label, Kirkland Signature, is synonymous with quality and trust, covering everything from pantry staples to fresh meat and wine.

Why Costco Thrives

  • High customer loyalty through membership renewals exceeding 90 percent.

  • Efficient inventory management with limited SKUs and fast turnover.

  • Bulk formats appeal to value-focused families and independent businesses.

  • Steady growth in organic and fresh food sections.

Challenges
Costco’s footprint is smaller than traditional supermarkets and requires large plots of land. As urban density rises, expansion will rely on smaller formats or delivery models.

Canada’s Grocery Market in Context

The Canadian grocery sector is valued at more than CAD 115 billion in 2025. The top five chains control around 80 percent of that market. This concentration gives them enormous buying power but has also sparked debates about competition and food prices.

Key Trends Defining 2025

  1. Private-Label Expansion — Store brands have moved beyond budget segments into premium quality ranges. Loblaw’s President’s Choice and Metro’s Selection lines are examples.

  2. E-Commerce Acceleration — Online grocery is still under 10 percent of total sales but rising fast. Voila, PC Express and Metro’s own online platform are leading this shift.

  3. Supply Chain Investment — All major chains are building new distribution centres with automation and AI forecasting to cut waste and speed delivery.

  4. Discount Dominance — Consumers hit by inflation are gravitating toward banners like No Frills, FreshCo, Food Basics and Costco.

  5. Sustainability Pressure — Retailers face demands for lower emissions, less packaging waste and greener logistics fleets.

  6. Regional Balance — Quebec’s independent grocers still hold pockets of loyalty, but national chains continue absorbing share.

What These Chains Tell Us About Canada in 2025

  • Loblaw represents scale and integration — a corporation that blends food, pharmacy and financial services.

  • Sobeys shows how regional diversity and family-run heritage can adapt into a national brand.

  • Metro demonstrates the power of efficiency and community trust.

  • Walmart Canada highlights how global logistics and pricing discipline reshape a local market.

  • Costco proves that loyal membership and perceived fair value can outperform traditional marketing.

Together, these companies set the benchmark for Canadian grocery retail. They decide what appears on shelves, what farmers get paid, and how consumers experience value in a country defined by vast distance and diverse tastes.

Final Perspective

As of 2025, Canada’s supermarket sector is entering a phase of slower growth but deeper transformation. Automation, digital commerce, and data science will define the next five years as retailers fight for share in a flat market.

Loblaw, Sobeys, Metro, Walmart and Costco are more than just retailers — they are infrastructure. Their distribution networks, jobs and innovation spend underpin the Canadian food economy.

For investors, suppliers and analysts, watching their next moves is essential. The battle for Canada’s grocery market in 2025 is no longer about who has the lowest price — it’s about who can deliver trust, scale, and convenience in a single seamless system.