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Canadian-made goods are riding a wave of consumer pride. A BCG survey of over 3,000 consumers found that more than 80% prefer domestic products, and many are willing to pay a premium. The sentiment signals strong opportunity for brands and retailers – especially those able to align local identity with quality and price.

But our research shows that national pride has limits. In a time of economic pressure and rising price sensitivity, national symbols alone don’t close the sale. Canadians will buy domestic – but only when the price is right and the proof is clear.

Patriotism Drives Purchasing

Symbols of Canadian identity influence behaviour more than many companies realize. The Maple Leaf is particularly powerful. Two-thirds of consumers said they are more likely to buy products that display the Canadian flag. (See Exhibit 1.)

The Flag Is a Powerful Purchase Cue

Domestic goods also command higher prices. More than a third of those surveyed would pay a premium of 10% or more for goods they believe are genuinely Canadian. (See Exhibit 2.)

Many Consumers Will Pay a Premium for Canadian-Made

Yet patriotism does not shield against economic pressures. Price sensitivity is rising across income groups, even among high earners, and 45% of Canadians say they feel less financially secure than a year ago.

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Essential Items Carry More Weight

Domestic loyalty is strongest in categories where the source is tangible and the value clear. Nearly half of Canadians, for example, said they increased their share of grocery spending on Canadian-produced items in the past six months. (See Exhibit 3.)

Consumer Interest In Canadian Products Cuts Across Categories

Discretionary items such as home goods, apparel, and appliances also attract interest, but the pull is weaker, especially as household budgets tighten. Unless the “Made in Canada” label is paired with demonstrable quality, clear sourcing, or community benefit, consumers show less willingness to pay more.

Trust Requires Evidence

Patriotic symbols influence, but don’t guarantee trust. For some consumers, the Canadian flag signals full domestic manufacture. For others, only minimal domestic involvement. Only 9% of buyers fully trust that a flag on a product proves Canadian origin. Ambiguous labelling can leave buyers questioning what “Canadian-made” really means: the design, the labour, the sourcing, or simply a head office in Canada. (See Exhibit 4.)

Majority of Canadians Only Partially Trust Canadian Flag Labels on Products

Transparency matters. Businesses with visible domestic roots—private ownership, listing on a Canadian exchange, or a long history of selling domestically produced goods—are far more likely to be seen as genuinely Canadian.

Premiums Go to Companies That Prove Canadian Value

Retailers and brands have a clear opportunity to satisfy consumer demand for Canadian goods. Here’s what we recommend.