Street Stalls/Kiosks in Morocco

2021 DEVELOPMENTS

Households return to consumption at street stalls and kiosks

In 2021, street stalls/kiosks benefited from the fact that consumers were less fearful of infection with the SARS-CoV-2 virus while eating outside - especially at street stalls and/or foodservice kiosks – than in the previous year. Households were more comfortable with either eating at such outlets or purchasing food from them to take away.

Back to office drives transactions growth in street stalls/kiosks

As most (if not all) companies called their employees back to the office during 2021, street stalls and kiosks saw something of a revival in demand. The busy work schedule of many workers encourages them to look for quick and convenient meal solutions for breakfast and for snacks for on-the-go consumption from street stalls.

Increase in unit prices of street stalls

With inflationary pressures affecting all areas of consumer foodservice, some street stalls have been forced to raise their unit prices during the COVID-19 crisis. Price increases are a notable issue for a channel which relies heavily on consumers from less affluent segments of the population, especially at a time when their purchasing power has been undermined by efforts to contain COVID-19.

PROSPECTS AND OPPORTUNITIES

Moderate growth for street stalls/kiosks over the forecast period

Over the forecast period, the street stalls/kiosks channel is expected to see modest growth, though it is not set to return to the pre-pandemic level of sales in either current or constant value terms by 2026. Many people have become increasingly aware of the important role that diet plays in general health, including immune response, and it is subsequently becoming increasingly common for consumers to prefer consumer foodservice options with a more health-orientated positioning.

Food trucks will drive growth in the channel

Food truck businesses are likely to become more prominent in Morocco’s major cities, such as Casablanca and Marrakesh, during the forecast period, spurring growth in the street stalls/kiosks channel. The expansion of food trucks is being driven by a number of factors, including the low start-up costs involved, the relatively low level of restrictions on their operations, their capacity to target key locations at specific times and their competitive pricing.

Informal foodservice options marketed via social media to present strong competition

One important trend to emerge in consumer foodservice as the influence of the COVID-19 pandemic became more salient was the widening offer of informal consumer foodservice options from informal entrepreneurs. Many hospitality workers who were laid off or found themselves temporarily out of work during the early stages of the COVID-19 pandemic took the initiative and started their own consumer foodservice businesses, preparing food at home and marketing their offer on social media pages that sprang up to specialise in advertising such home-prepared fare.