September 4, 2025 - Toronto, ON: As the end of patio season nears, new research from technology company Square found that the “buy Canadian” movement remains stronger than ever, and has grown beyond the grocery store to restaurants, bars, and breweries. According to a survey commissioned by Square, 65% of respondents say they have prioritized homegrown spirits, beer, and wine over U.S. brands when enjoying a drink this patio season.
“Whether it’s due to national pride, support for local producers, or backlash over shifting trade dynamics, it’s clear that Canadians are increasingly choosing domestic alcohol over U.S. imports,” said Ming-Tai Huh, Head of Food and Beverage at Square. “Canada has some incredible wine, beer, and spirits, and consumers see buying local as both a way to get premium products and to keep more of their spending within local communities.”
Canadians Tip Big After Hours
The later into the night, the bigger the tip: Square’s nighttime economy data confirms Canadians are most generous at 3:00 a.m., leaving an average bar gratuity of 17.8% across seven of its largest cities. And Winnipegers lead the pack; at the peak hour, their tips jump to 19.7%, making them English Canada’s most generous nighttime tippers.
Bar tips also consistently outpaced those in Canadian cafés and restaurants. Between 2020 and 2025, bar tips were notably higher than in other types of Food & Beverage businesses, routinely averaging 14–15%.
Overall, in July 2025, tips in every Food & Beverage category were stable or slightly down compared to pandemic peaks. For example, bar tips averaged 14.4% across cities, while tip percentages at cafés were 12.7% on average during the month.
Canada’s New “Party City” Power Duo
For the second year in a row, Calgary has tied for the title of Canada’s “Top Party City,” but this year it has a new partner at the top: Edmonton. The two Alberta cities have the nation’s top nighttime economies for 2025 based on the share of transaction volume from businesses using Square’s tools and services across Canada.
Square looked at millions of in-person transactions in some of Canada’s largest cities and found that both Alberta cities have the largest share of nighttime spending (32%) at bars, cafés, and restaurants occurring between 7:00 p.m. and 4:00 a.m.
Toronto, which tied with Calgary for the top spot last year, has seen a significant decline in its nighttime economy in 2025, dropping to second to last place with only 21% of transactions occurring at night. Vancouver placed last with a mere 17%.
Toronto isn’t an outlier; overall nighttime spending is down in major cities across the country for the second year in a row, including our Party City co-leader Calgary, whose share of nighttime spending is down from 38% the previous year (Edmonton was not previously ranked).
“The slowdown we’re seeing in Canada’s nighttime spending is really a sign of changing times,” said Huh. “With rising living costs, Canadians are watching their budgets more closely, and hybrid work may mean fewer after-work get-togethers. But despite the challenges, bars and restaurants have a big opportunity: by creating memorable experiences—whether through great service, unique offerings, or seamless payment options—they can stand out and build loyalty with customers.”
Demand for Mocktails Continues Trending Upwards
Another big story this summer involves the mocktail, which has enjoyed a meteoric rise in popularity since the pandemic. While not surprisingly, businesses are still earning more from cocktails nationally, in Winnipeg, non-alcoholic beverages outperformed cocktails between November 2024 and February 2025. In Edmonton, sales of mocktails are consistently higher than their alcoholic counterparts.
“To stay relevant, breweries and manufacturers are investing into zero-proof options, leading to high quality drinks that are virtually indistinguishable from their alcoholic counterparts," said Stuart Wheldon, CEO of Junction Craft Beverage Co. in Toronto, who began producing and offering non-alcoholic alternatives in 2022. "As the 'sober curious' movement continues to gain momentum, this is great news for Canadians who want to cut down on alcohol while still enjoying a night out. It also allows businesses to diversify their menus and appeal to evolving consumer tastes and preferences.”
For more information about how Square’s integrated ecosystem of commerce products can help bars and breweries start, run and grow, visit .
*Methodology: An online survey of n=1,533 Canadians, 18+. Completed between July 25 and July 27, 2025, using Leger’s online panel. No margin of error can be associated with a non-probability sample (i.e., a web panel in this case) For comparative purposes, though, a probability sample of n=1,533 respondents would have a margin of error of ±2.5%, 19 times out of 20. Incidence weighting was completed by gender, age, region, education, and language, based on Statistics Canada data