In an exclusive interview with CanadianSME Small Business Magazine, Ashalee Mohamed, Head of Canada, Sales & Go-To-Market at Xero, shares her insights on how shifting consumer behaviour is shaping this year’s holiday season and what it means for small businesses across the country. Drawing from Xero’s latest Canadian Holiday Shopping Survey, Ashalee offers a candid look at how Canadians are choosing to support local entrepreneurs, even in the face of economic pressure, and why these choices carry meaningful long-term impact for the small business ecosystem.
Interview By Kripa Anand
Ashalee Mohamed is a senior business leader with over 18 years of experience driving growth and leading high-performance teams across a variety of industries. As the Head of Canada, Sales & Go-To-Market (GTM) at Xero, Ashalee leads the Canadian GTM team, focusing on accelerating revenue growth and delivering operational excellence. She is deeply committed to empowering organizations to thrive, with a particular passion for supporting small businesses in Canada and contributing to the fundamental success of this vital sector in the Canadian economy.
As Xero’s Canadian Holiday Shopping Survey reveals new spending trends, what findings most surprised you, and how do these insights reflect the current mindset of Canadian consumers towards supporting local small businesses?
What was most exciting to see in our research was the intention among Canadian consumers to roll up their sleeves and support small businesses. Despite the ongoing economic pressures that have been felt by most Canadians this year, nearly 1 in 7 plan to shop small this holiday season, and 69% said they believe shopping small is more important this year than in previous years. On top of that, 26% of Canadians also said they plan to spend more with small businesses this year. That’s a standout statistic for me because it demonstrates that Canadians are eager to uplift the small businesses in their community, even though it might cost them more to do it.
What does this data indicate for the Canadian small business economy as we head into the end of the year?
The findings indicate a positive signal for Canada’s small business economy. For many small businesses, holiday sales can represent 20-30% or more of their annual revenue, so knowing that Canadians are invested in shopping small this year is in and of itself a positive marker for the sector. This, in addition to more positive macro-economic markers and the Bank of Canada’s latest interest rate cut, points to positive momentum for the industry heading into 2026. As we head into the new year, I certainly hope the strong consumer intent we’ve seen in this data will carry forward and that consumers will continue to consider shopping small first when it comes to regular purchases they make.
Data indicates that individual consumer choices can significantly impact small business success. Can you share examples of how personal shopping decisions have made a difference for Canada’s SMBs, especially during the holiday season?
The idea that individual purchasing habits can’t make a difference for small businesses is simply a myth. For small business owners, every sale matters, especially during the critical holiday sales season. Even a small shift in consumer behaviour can have a massive impact on the success of a business. For example, Xero data from earlier this year found that if Canadians shifted their spending over to small businesses by just 10% more, this could add as much as an extra $88 billion to the small business economy. In turn, the boost from a jump in sales allows small businesses to create an ecosystem that strengthens the entire community. Small businesses rely on their communities more than large enterprises, meaning much of the dollars spent get reinvested back into the community. Canadians have the power to make these impactful changes, which is why it’s so encouraging to see the data reinforce those intentions.
Earlier this year, Xero data found that 84% of Canadian small businesses were expressing optimism. What concrete steps is Xero taking to help these businesses navigate macroeconomic challenges and leverage new technologies for sustainable growth?
Xero’s primary goal has always been to provide small businesses with the support they need to spend less of their time organizing their finances and more time on what matters most: running their business. Part of that commitment means empowering small businesses with easy-to-use features designed to simplify complex tasks and give them a clear view of their finances. Xero also connects customers with a community of advisors, partners, and experts to create a network of reliable resources to consult when needed.
Another way we’re working to support small businesses is by reimagining financial management with AI to help small businesses and their advisors work smarter, together. Earlier this year, we announced the evolution of “Just Ask Xero” (JAX) into an AI financial Superagent designed to get the work “Just Done,” not by replacing humans, but by empowering them. Built on Xero’s agentic platform, JAX delivers a reimagined experience by learning how small businesses run, automating routine tasks and workflows, and delivering actionable insights—orchestrating multiple AI agents behind the scenes to cut busywork and help SMBs make smarter decisions.
As we approach the year’s end, what practical advice would you offer to Canadian small business owners to maximize opportunities and overcome obstacles in this critical season?
First of all, I want to remind small business owners that 80% of Canadians say they feel a genuine sense of pride when they support a small business. Canadian customers have your back and want you to succeed this holiday season. Trust, listen to, and engage with your community to stay connected with the people who plan to support your business this year. Especially over the holidays, small businesses should lean into their local small business identity and make sure customers know they’re supporting a member of their community with their purchase. Leverage ‘shop local’ and ‘shop small’ messaging where you can to further incentivize customers.
Small businesses should also look for ways to make it easier for customers to support them. Whether that looks like streamlining e-commerce sales or offering gift cards or personalized services, minor adjustments can go a long way toward turning those intentions into purchases. I would also encourage small business owners to stay organized and keep a careful eye on cash flow. During peak seasons, clear visibility into your financial data is crucial to enabling adaptability and informing strategic business decisions.
Disclaimer:
The views and opinions expressed in this interview are those of the interviewee and do not necessarily reflect the official policy or position of CanadianSME Small Business Magazine. Our platform is dedicated to fostering dialogue and sharing insights that inspire and empower small and medium-sized businesses across Canada.
