Retail in Peru

March 2023
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Overview:

Understand the latest market trends and future growth opportunities for the Retailing industry in Peru with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.

Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.

Data and analysis in this report provides further detailed coverage dedicated to the following key categories, where applicable:

  • Convenience Stores
  • Discounters
  • Hypermarkets
  • Supermarkets
  • Traditional Grocery Retailers
  • Apparel and Footwear Specialist Retailers
  • Electronics and Appliance Specialist Retailers
  • Health and Beauty Specialist Retailers
  • Home and Garden Specialist Retailers
  • Department Stores
  • Variety Stores
  • Warehouse Clubs
  • Direct Selling
  • Homeshopping
  • Vending

If you're in the Retailing industry in Peru, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.

The Retailing in Peru report includes:

  • Analysis of key supply-side and demand trends
  • Detailed segmentation of international and local products
  • Historic volume and value sizes, company and brand market shares
  • Five year forecasts of market trends and market growth
  • Robust and transparent research methodology, conducted in-country

This report answers:

  • What is the market size of Retailing in Peru?
  • Which are the leading retailers in Retailing in Peru?
  • How are products distributed in Retailing in Peru?
  • How is the rise of e-commerce and the expansion of modern grocery retail impacting traditional retail?
  • How significant are discounters and private label in Peru?
  • How has the impact of COVID-19 and national lockdown impacted consumer demand?
  • Which formats have benefited the most from stockpiling and enforced home seclusion?
  • How will the wider economic impact of COVID-19 shape the retail landscape in the future?
  • Where is future growth expected to be most dynamic?

Retail in Peru

Retail in 2022: The big picture
Opening of new physical stores is more cautious, but expansion of small, stand-alone and close-to-the-consumer outlets continues
E-commerce is an important ally of retailing and continues to develop
What next for retail?
Informal retail
Opening hours for physical retail
Summary 1 Standard Opening Hours by Channel Type 2022
Seasonality
Christmas
Mother´s Day
Father´s Day
Children´s Day
National Holidays of Peru
Back to school
Valentine's Day
Table 1 Sales in Retail by Retail Offline vs Retail E-Commerce: Value 2017-2022
Table 2 Sales in Retail by Retail Offline vs Retail E-Commerce: % Value Growth 2017-2022
Table 3 Sales in Retail Offline by Channel: Value 2017-2022
Table 4 Sales in Retail Offline by Channel: % Value Growth 2017-2022
Table 5 Retail Offline Outlets by Channel: Units 2017-2022
Table 6 Retail Offline Outlets by Channel: % Unit Growth 2017-2022
Table 7 Sales in Retail E-Commerce by Product: Value 2017-2022
Table 8 Sales in Retail E-Commerce by Product: % Value Growth 2017-2022
Table 9 Grocery Retailers: Value Sales, Outlets and Selling Space 2017-2022
Table 10 Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 11 Sales in Grocery Retailers by Channel: Value 2017-2022
Table 12 Sales in Grocery Retailers by Channel: % Value Growth 2017-2022
Table 13 Grocery Retailers Outlets by Channel: Units 2017-2022
Table 14 Grocery Retailers Outlets by Channel: % Unit Growth 2017-2022
Table 15 Non-Grocery Retailers: Value Sales, Outlets and Selling Space 2017-2022
Table 16 Non-Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 17 Sales in Non-Grocery Retailers by Channel: Value 2017-2022
Table 18 Sales in Non-Grocery Retailers by Channel: % Value Growth 2017-2022
Table 19 Non-Grocery Retailers Outlets by Channel: Units 2017-2022
Table 20 Non-Grocery Retailers Outlets by Channel: % Unit Growth 2017-2022
Table 21 Retail GBO Company Shares: % Value 2018-2022
Table 22 Retail GBN Brand Shares: % Value 2019-2022
Table 23 Retail Offline GBO Company Shares: % Value 2018-2022
Table 24 Retail Offline GBN Brand Shares: % Value 2019-2022
Table 25 Retail Offline LBN Brand Shares: Outlets 2019-2022
Table 26 Retail E-Commerce GBO Company Shares: % Value 2018-2022
Table 27 Retail E-Commerce GBN Brand Shares: % Value 2019-2022
Table 28 Grocery Retailers GBO Company Shares: % Value 2018-2022
Table 29 Grocery Retailers GBN Brand Shares: % Value 2019-2022
Table 30 Grocery Retailers LBN Brand Shares: Outlets 2019-2022
Table 31 Non-Grocery Retailers GBO Company Shares: % Value 2018-2022
Table 32 Non-Grocery Retailers GBN Brand Shares: % Value 2019-2022
Table 33 Non-Grocery Retailers LBN Brand Shares: Outlets 2019-2022
Table 34 Forecast Sales in Retail by Retail Offline vs Retail E-Commerce: Value 2022-2027
Table 35 Forecast Sales in Retail by Retail Offline vs Retail E-Commerce: % Value Growth 2022-2027
Table 36 Forecast Sales in Retail Offline by Channel: Value 2022-2027
Table 37 Forecast Sales in Retail Offline by Channel: % Value Growth 2022-2027
Table 38 Forecast Retail Offline Outlets by Channel: Units 2022-2027
Table 39 Forecast Retail Offline Outlets by Channel: % Unit Growth 2022-2027
Table 40 Forecast Sales in Retail E-Commerce by Product: Value 2022-2027
Table 41 Forecast Sales in Retail E-Commerce by Product: % Value Growth 2022-2027
Table 42 Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 43 Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 44 Forecast Sales in Grocery Retailers by Channel: Value 2022-2027
Table 45 Forecast Sales in Grocery Retailers by Channel: % Value Growth 2022-2027
Table 46 Forecast Grocery Retailers Outlets by Channel: Units 2022-2027
Table 47 Forecast Grocery Retailers Outlets by Channel: % Unit Growth 2022-2027
Table 48 Non-Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 49 Non-Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 50 Forecast Sales in Non-Grocery Retailers by Channel: Value 2022-2027
Table 51 Forecast Sales in Non-Grocery Retailers by Channel: % Value Growth 2022-2027
Table 52 Forecast Non-Grocery Retailers Outlets by Channel: Units 2022-2027
Table 53 Forecast Non-Grocery Retailers Outlets by Channel: % Unit Growth 2022-2027

DISCLAIMER

Summary 2 Research Sources

Convenience Retailers in Peru

KEY DATA FINDINGS

Convenience stores channel’s dynamism sees it surpass pre-pandemic sales, while forecourt retailers far from recovering
Tambo+ maintains leadership in convenience stores thanks to commercial dynamism and store openings
Listo! reinforcing its presence with a significant emphasis on the more dynamic stand-alone format
Opening of stores in profitable areas to maintain dynamism of convenience stores
Provincial cities represent a growth opportunity for convenience stores since they are poorly served and there is an important target audience
E-commerce sees little dynamism in convenience retail, but its development is relevant for future online purchases and physical stores
Table 54 Convenience Retailers: Value Sales, Outlets and Selling Space 2017-2022
Table 55 Convenience Retailers: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 56 Sales in Convenience Retailers by Channel: Value 2017-2022
Table 57 Sales in Convenience Retailers by Channel: % Value Growth 2017-2022
Table 58 Convenience Retailers GBO Company Shares: % Value 2018-2022
Table 59 Convenience Retailers GBN Brand Shares: % Value 2019-2022
Table 60 Convenience Retailers LBN Brand Shares: Outlets 2019-2022
Table 61 Convenience Retailers Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 62 Convenience Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 63 Forecast Sales in Convenience Retailers by Channel: Value 2022-2027
Table 64 Forecast Sales in Convenience Retailers by Channel: % Value Growth 2022-2027

Supermarkets in Peru

KEY DATA FINDINGS

Supermarket sales continue to grow but to a lesser extent due to inflation and increased competition from other types of retailers
Supermarkets resuming face-to-face activities in physical stores
Supermarkets players continue to develop e-commerce operations
Supermarkets expected to see continued growth
Gradual return to normality in physical stores offers an opportunity to activate face-to-face events to attract customers
Supermarket e-commerce competes with direct online sales from producers
Table 65 Supermarkets: Value Sales, Outlets and Selling Space 2017-2022
Table 66 Supermarkets: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 67 Supermarkets GBO Company Shares: % Value 2018-2022
Table 68 Supermarkets GBN Brand Shares: % Value 2019-2022
Table 69 Supermarkets LBN Brand Shares: Outlets 2019-2022
Table 70 Supermarkets Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 71 Supermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

Hypermarkets in Peru

KEY DATA FINDINGS

Hypermarket sales continue to grow but more slowly than in pandemic years, and highly affected by inflation
Physical stores have adapted spaces and equipment to facilitate purchases, including means of payment and pick-up of online purchases
E-commerce channel continues to grow in hypermarkets, although to a lesser degree than in pandemic years
Hypermarkets to continue to grow in coming years, but at low levels due to greater competition and difficulty of opening new stores
Price factor is influencing consumer purchasing habits
Technology applied to hypermarkets’ internal processes could contribute to a better service and keep prices low
Table 72 Hypermarkets: Value Sales, Outlets and Selling Space 2017-2022
Table 73 Hypermarkets: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 74 Hypermarkets GBO Company Shares: % Value 2018-2022
Table 75 Hypermarkets GBN Brand Shares: % Value 2019-2022
Table 76 Hypermarkets LBN Brand Shares: Outlets 2019-2022
Table 77 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 78 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

Discounters in Peru

KEY DATA FINDINGS

Discounters continues with the highest growth in grocery retail due to store openings, proximity and competitive prices
Mass maintains leadership in discounters thanks to its proximity and low price
E-commerce still not a channel for discounters as it looks to maintain its value proposition of offering the best prices
Discounters will continue to grow in the coming years thanks to good consumer acceptance and store openings
Provinces provide a great opportunity to open discounters and drive growth
Discounters compete directly with small grocery stores
Table 79 Discounters: Value Sales, Outlets and Selling Space 2017-2022
Table 80 Discounters: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 81 Discounters GBO Company Shares: % Value 2018-2022
Table 82 Discounters GBN Brand Shares: % Value 2019-2022
Table 83 Discounters LBN Brand Shares: Outlets 2019-2022
Table 84 Discounters Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 85 Discounters Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

Small Local Grocers in Peru

KEY DATA FINDINGS

Small local grocers channel continues to benefit from proximity and personalised customer service, but adversely affected by inflation
Improvement in value proposition of small local grocers includes provision of an adequate assortment and improvement to facilities
Technology, starting with the most basic, has become an ally of small local grocers, providing better service to their customers
Sales of small local grocers to continue to grow but will be influenced by population growth and impact of inflation
Discounters in direct competition with small local grocers, and pose a growing threat as they expand coverage
Small local grocers adapt sales formats to the needs of their customers
Table 86 Small Local Grocers: Value Sales, Outlets and Selling Space 2017-2022
Table 87 Small Local Grocers: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 88 Small Local Grocers Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 89 Small Local Grocers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

General Merchandise Stores in Peru

KEY DATA FINDINGS

General merchandise stores achieve significant growth in sales in 2022 thanks to the increase in people's activities
Department stores continues to recover in 2022 thanks to the greater dynamism of the market, though sales are oriented towards cheaper products
Variety stores sees significant growth in 2022 driven by store openings and attractive products at affordable prices
General merchandise stores will continue to grow in a moderate and stable way
The opening of new stores will be cautious and with proper evaluation of profitability
Department stores’ e-commerce continues to develop and is expected to become more dynamic thanks to investments in logistics efficiency
Table 90 General Merchandise Stores: Value Sales, Outlets and Selling Space 2017-2022
Table 91 General Merchandise Stores: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 92 Sales in General Merchandise Stores by Channel: Value 2017-2022
Table 93 Sales in General Merchandise Stores by Channel: % Value Growth 2017-2022
Table 94 General Merchandise Stores GBO Company Shares: % Value 2018-2022
Table 95 General Merchandise Stores GBN Brand Shares: % Value 2019-2022
Table 96 General Merchandise Stores LBN Brand Shares: Outlets 2019-2022
Table 97 General Merchandise Stores Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 98 General Merchandise Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 99 Forecast Sales in General Merchandise Stores by Channel: Value 2022-2027
Table 100 Forecast Sales in General Merchandise Stores by Channel: % Value Growth 2022-2027

Apparel and Footwear Specialists in Peru

KEY DATA FINDINGS

Growth of apparel and footwear specialists continues thanks to greater dynamism of activities away from home and return to social activities
Consumers return to physical stores to see and try products, and to enjoy the shopping experience
E-commerce continues to develop while customers assimilate omnichannel concept, taking advantage of its benefits
Apparel and footwear specialists sales to continue to grow thanks to greater dynamism in consumer social activities
Development of physical stores depends on evaluation of profitability and capture of opportunities in underserved areas, such as provinces
Younger consumers can offer interesting business opportunities because of their interest in responsible consumption at affordable prices
Table 101 Apparel and Footwear Specialists: Value Sales, Outlets and Selling Space 2017-2022
Table 102 Apparel and Footwear Specialists: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 103 Apparel and Footwear Specialists GBO Company Shares: % Value 2018-2022
Table 104 Apparel and Footwear Specialists GBN Brand Shares: % Value 2019-2022
Table 105 Apparel and Footwear Specialists LBN Brand Shares: Outlets 2019-2022
Table 106 Apparel and Footwear Specialists Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 107 Apparel and Footwear Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

Appliances and Electronics Specialists in Peru

KEY DATA FINDINGS

Sales of appliances and electronics specialists face challenges in 2022 as economic difficulties and high prices hit demand
E-commerce continues to grow for the category, but competes with other types of stores with more developed platforms
La Curacao stands out in development of physical stores with kiosks that facilitate online purchases
Sales of appliances and electronics specialists expected to see growth affected by difficult economic situation in Peru
Management of physical stores aimed at achieving profitability with each location
Financing is a relevant factor for customers of appliances and electronics specialists, so it requires proper management
Table 108 Appliances and Electronics Specialists: Value Sales, Outlets and Selling Space 2017-2022
Table 109 Appliances and Electronics Specialists: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 110 Appliances and Electronics Specialists GBO Company Shares: % Value 2018-2022
Table 111 Appliances and Electronics Specialists GBN Brand Shares: % Value 2019-2022
Table 112 Appliances and Electronics Specialists LBN Brand Shares: Outlets 2019-2022
Table 113 Appliances and Electronics Specialists Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 114 Appliances and Electronics Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

Home Products Specialists in Peru

KEY DATA FINDINGS

Home products specialists channel sees continued strong growth in 2022
Home improvement and gardening stores’ growth dampened by inflation and the fact that several families had already made this investment
Important development of SuperPet Peru is boosting the pet shops and superstores channel
Pets segment is expected to continue to grow significantly thanks to store openings and a different shopping experience
Difficulties in economy will affect or postpone investments in home improvement, affecting specialist stores of these products
E-commerce set to remain an important ally, but requires continued promotions and good dynamism
Table 115 Home Products Specialists: Value Sales, Outlets and Selling Space 2017-2022
Table 116 Home Products Specialists: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 117 Sales in Home Products Specialists by Channel: Value 2017-2022
Table 118 Sales in Home Products Specialists by Channel: % Value Growth 2017-2022
Table 119 Home Products Specialists GBO Company Shares: % Value 2018-2022
Table 120 Home Products Specialists GBN Brand Shares: % Value 2019-2022
Table 121 Home Products Specialists LBN Brand Shares: Outlets 2019-2022
Table 122 Home Products Specialists Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 123 Home Products Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 124 Forecast Sales in Home Products Specialists by Channel: Value 2022-2027
Table 125 Forecast Sales in Home Products Specialists by Channel: % Value Growth 2022-2027

Health and Beauty Specialists in Peru

KEY DATA FINDINGS

Sales of health and beauty specialists continue to grow, with the recovery of optical goods stores and health and personal care stores
Significant growth of optical goods stores responds to sales recovery, while health and personal care stores benefits from high demand for health care products
Beauty specialists gradually recovering sales, but not yet reached pre-pandemic level
Health and beauty specialists is expected to grow but at different rates within each channel
Opening of stores and implementation of promotional activities within physical stores have potential to boost sales of beauty specialists
E-commerce has become an important sales channel, but could have more momentum for beauty specialists
Table 126 Health and Beauty Specialists: Value Sales, Outlets and Selling Space 2017-2022
Table 127 Health and Beauty Specialists: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 128 Sales in Health and Beauty Specialists by Channel: Value 2017-2022
Table 129 Sales in Health and Beauty Specialists by Channel: % Value Growth 2017-2022
Table 130 Health and Beauty Specialists GBO Company Shares: % Value 2018-2022
Table 131 Health and Beauty Specialists GBN Brand Shares: % Value 2019-2022
Table 132 Health and Beauty Specialists LBN Brand Shares: Outlets 2019-2022
Table 133 Health and Beauty Specialists Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 134 Health and Beauty Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 135 Forecast Sales in Health and Beauty Specialists by Channel: Value 2022-2027
Table 136 Forecast Sales in Health and Beauty Specialists by Channel: % Value Growth 2022-2027

Vending in Peru

KEY DATA FINDINGS

Vending shows minimal sales growth in 2022 due to lower demand, after having recovered most of its sales in 2021
Drinks the predominant category in Peruvian vending
Vending faces intense competition in places with kiosks that sell drinks and food
Vending sales expected to fall slightly
Payment methods pose a growing challenge
Good locations essential for sales in vending
Table 137 Vending by Product: Value 2017-2022
Table 138 Vending by Product: % Value Growth 2017-2022
Table 139 Vending Forecasts by Product: Value 2022-2027
Table 140 Vending Forecasts by Product: % Value Growth 2022-2027

Direct Selling in Peru

KEY DATA FINDINGS

Direct selling sees normalisation of activities drive recovery
Beauty and personal care and personal accessories grow due to greater dynamism of activities away from home
Online channel continues to be an important ally for direct selling
Direct selling to continue to grow moderately depending on the right price and attractive promotions
Beauty and personal care expected to continue with strong growth in coming years
Online sales will boost direct selling sales, becoming a complementary channel
Table 141 Direct Selling by Product: Value 2017-2022
Table 142 Direct Selling by Product: % Value Growth 2017-2022
Table 143 Direct Selling GBO Company Shares: % Value 2018-2022
Table 144 Direct Selling GBN Brand Shares: % Value 2019-2022
Table 145 Direct Selling Forecasts by Product: Value 2022-2027
Table 146 Direct Selling Forecasts by Product: % Value Growth 2022-2027

Retail E-Commerce in Peru

KEY DATA FINDINGS

E-commerce continues to grow in 2022, but to a much lesser degree than in the previous two years
E-commerce of hypermarkets, supermarkets and pet retailers see strong performance, while sales in some international marketplaces and homeshopping decline
Retailers continue to strengthen spaces and processes to offer a better omnichannel approach to customers
E-commerce is expected to continue to grow significantly in the forecast period
E-commerce players to focus efforts and investments on technology for internal logistics for faster and cheaper processes
The importance of e-commerce for retailing has generated intense competition for online purchases
Table 147 Retail E-Commerce by Channel: Value 2017-2022
Table 148 Retail E-Commerce by Channel: % Value Growth 2017-2022
Table 149 Retail E-Commerce by Product: Value 2017-2022
Table 150 Retail E-Commerce by Product: % Value Growth 2017-2022
Table 151 Retail E-Commerce GBO Company Shares: % Value 2018-2022
Table 152 Retail E-Commerce GBN Brand Shares: % Value 2019-2022
Table 153 Forecast Retail E-Commerce by Channel: Value 2022-2027
Table 154 Forecast Retail E-Commerce by Channel: % Value Growth 2022-2027
Table 155 Forecast Retail E-Commerce by Product: Value 2022-2027
Table 156 Forecast Retail E-Commerce by Product: % Value Growth 2022-2027
The following categories and subcategories are included:

Retailing

      • Fashion Vending
      • Health and Beauty Vending
      • Appliances and Electronics Vending
        • Alcoholic Drinks Vending
        • Hot Drinks Vending
        • Soft Drinks Vending
        • Tobacco Products Vending
      • Foods Vending
      • Home Products Vending
      • Other Products Vending
        • Apparel and Footwear Direct Selling
        • Personal Accessories Direct Selling
        • Eyewear Direct Selling
        • Beauty and Personal Care Direct Selling
        • Consumer Health Direct Selling
        • Tissue and Hygiene Direct Selling
        • Consumer Appliances Direct Selling
        • Consumer Electronics Direct Selling
        • Toys and Games Direct Selling
      • Drinks and Tobacco Direct Selling
      • Foods Direct Selling
        • Home Care Direct Selling
        • Home and Garden Direct Selling
        • Pet Care Direct Selling
      • Other Products Direct Selling
        • Apparel and Footwear E-Commerce
        • Personal Accessories E-Commerce
        • Eyewear E-Commerce
        • Beauty and Personal Care E-Commerce
        • Consumer Health E-Commerce
        • Tissue and Hygiene E-Commerce
        • Consumer Appliances E-Commerce
        • Consumer Electronics E-Commerce
        • Toys and Games E-Commerce
      • Drinks and Tobacco E-Commerce
      • Foods E-Commerce
        • Home Care E-Commerce
        • Home and Garden E-Commerce
        • Pet Care E-Commerce
      • Other Products E-Commerce
        • First-Party (1P) Marketplace E-Commerce
        • Third-Party (3P) Marketplace E-Commerce
      • Grocery E-Commerce
      • General Merchandiser E-Commerce
      • Apparel and Footwear Specialist E-Commerce
      • Appliances and Electronics Specialist E-Commerce
      • Home Products Specialist E-Commerce
      • Health and Beauty Specialist E-Commerce
      • Leisure and Personal Goods Specialist E-Commerce
      • Other E-Commerce Retailers

Retailing

Retail is the sale of new and used goods to consumers from a business for personal or household consumption from retail outlets, kiosks, market stalls, vending, direct selling and e-commerce. Retail is the aggregation of Retail Offline and Retail E-Commerce. Excludes specialist retailers of motor vehicles, motorcycles, vehicle parts. Also excludes fuel sales, foodservice sales, rental transactions, and wholesale sales (e.g. Cash and Carry). Sales value excluding or including VAT/Sales Tax. Retail also excludes the informal retail sector. Informal retailing is retail trade which is not declared to the tax authorities. Informal retailing encompasses (a) sales generated by unregistered and unlicensed retailers, i.e. retailers operating illegally, and (b) any proportion of sales generated by a registered and licensed retailer that is not declared to the tax authorities. Unregistered and unlicensed retailers operate predominantly (although not exclusively) as street hawkers or operate open market stalls, as these channels are harder for the authorities to monitor than permanent outlets. Activities in the illegal market, which is usually understood to refer to trade in illegal, counterfeit or stolen merchandise, are included within our definition of informal retailing. Activities in the “grey market”, which is usually understood to refer to trade in legal merchandise that is sold through unauthorized channels – for example cigarettes bought legally in another country, legally imported, but sold at lower prices than in authorized channels – will be included as informal retailing if no tax is paid on sale by the retailer. However if the retailer pays tax – for example on cigarettes bought legally in another country but sold at a lower price than standard – the sale is included within formal retail.

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