Retailing in Costa Rica

Retailing in Costa Rica

EXECUTIVE SUMMARY

Growth in 2019 is driven by promotional activities and the development of e-commerce, however, the uncertain economic situation limits value sales

Modern grocery retailers benefit from being convenient shopping solutions, however, in 2019 consumers focused more on lists, and less on impulse buys

Economic uncertainty shapes consumers purchasing habits, and as a result, players invest less in expansion strategies

Larger retailers consolidate to remain competitive, as smaller players struggle to match discounts, marketing and promotional campaigns offered by the leaders

As e-commerce rises in popularity, players focus on their online platforms to develop omnichannel retail strategies

OPERATING ENVIRONMENT

Informal retailing

Opening hours

Summary 1 Standard Opening Hours by Channel Type 2019

Physical retail landscape

Cash and carry

Seasonality

Christmas
Mothers’ day

Payments and delivery

Emerging business models

MARKET DATA

Table 1 Sales in Retailing by Store-based vs Non-Store: Value 2014-2019
Table 2 Sales in Retailing by Store-based vs Non-Store: % Value Growth 2014-2019
Table 3 Sales in Store-Based Retailing by Channel: Value 2014-2019
Table 4 Sales in Store-Based Retailing by Channel: % Value Growth 2014-2019
Table 5 Store-Based Retailing Outlets by Channel: Units 2014-2019
Table 6 Store-Based Retailing Outlets by Channel: % Unit Growth 2014-2019
Table 7 Sales in Non-Store Retailing by Channel: Value 2014-2019
Table 8 Sales in Non-Store Retailing by Channel: % Value Growth 2014-2019
Table 9 Non-Grocery Specialists: Value Sales, Outlets and Selling Space 2014-2019
Table 10 Non-Grocery Specialists: Value Sales, Outlets and Selling Space: % Growth 2014-2019
Table 11 Sales in Non-Grocery Specialists by Channel: Value 2014-2019
Table 12 Sales in Non-Grocery Specialists by Channel: % Value Growth 2014-2019
Table 13 Non-Grocery Specialists Outlets by Channel: Units 2014-2019
Table 14 Non-Grocery Specialists Outlets by Channel: % Unit Growth 2014-2019
Table 15 Retailing GBO Company Shares: % Value 2015-2019
Table 16 Retailing GBN Brand Shares: % Value 2016-2019
Table 17 Store-based Retailing GBO Company Shares: % Value 2015-2019
Table 18 Store-based Retailing GBN Brand Shares: % Value 2016-2019
Table 19 Store-based Retailing LBN Brand Shares: Outlets 2016-2019
Table 20 Non-Store Retailing GBO Company Shares: % Value 2015-2019
Table 21 Non-Store Retailing GBN Brand Shares: % Value 2016-2019
Table 22 Non-Grocery Specialists GBO Company Shares: % Value 2015-2019
Table 23 Non-Grocery Specialists GBN Brand Shares: % Value 2016-2019
Table 24 Non-Grocery Specialists LBN Brand Shares: Outlets 2016-2019
Table 25 Non-Grocery Specialists LBN Brand Shares: Selling Space 2016-2019
Table 26 Forecast Sales in Retailing by Store-based vs Non-Store: Value 2019-2024
Table 27 Forecast Sales in Retailing by Store-based vs Non-Store: % Value Growth 2019-2024
Table 28 Forecast Sales in Store-Based Retailing by Channel: Value 2019-2024
Table 29 Forecast Sales in Store-Based Retailing by Channel: % Value Growth 2019-2024
Table 30 Forecast Store-Based Retailing Outlets by Channel: Units 2019-2024
Table 31 Forecast Store-Based Retailing Outlets by Channel: % Unit Growth 2019-2024
Table 32 Forecast Sales in Non-Store Retailing by Channel: Value 2019-2024
Table 33 Forecast Sales in Non-Store Retailing by Channel: % Value Growth 2019-2024
Table 34 Non-Grocery Specialists Forecasts: Value Sales, Outlets and Selling Space 2019-2024
Table 35 Non-Grocery Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 36 Forecast Sales in Non-Grocery Specialists by Channel: Value 2019-2024
Table 37 Forecast Sales in Non-Grocery Specialists by Channel: % Value Growth 2019-2024
Table 38 Forecast Non-Grocery Specialists Outlets by Channel: Units 2019-2024
Table 39 Forecast Non-Grocery Specialists Outlets by Channel: % Unit Growth 2019-2024

CORONAVIRUS (COVID-19)

DEFINITIONS

SOURCES

Summary 2 Research Sources

Modern Grocery Retailers in Costa Rica

HEADLINES

PROSPECTS

Economic uncertainty limits growth, as consumers shopping habits change, decreasing impulse buys and focusing on essential goods

Deals, promotions and discounts, as well as private label offerings, boosts growth in modern grocery retailers

E-commerce platforms will become more popular as players are set to invest in omnichannel approaches

COMPETITIVE LANDSCAPE

Walmart retains its lead, benefiting from aggressive pricing campaigns, private label offerings and a solid geographic covering

Players focus on their private label ranges, to compete with each other through low price points and appealing quality-price ratios

Competition is seen from mixed retailers and e-commerce, however, players are set to enter e-commerce and mobile e-commerce over the forecast period

CHANNEL DATA

Table 40 Modern Grocery Retailers: Value Sales, Outlets and Selling Space 2014-2019
Table 41 Modern Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2014-2019
Table 42 Sales in Modern Grocery Retailers by Channel: Value 2014-2019
Table 43 Sales in Modern Grocery Retailers by Channel: % Value Growth 2014-2019
Table 44 Modern Grocery Retailers Outlets by Channel: Units 2014-2019
Table 45 Modern Grocery Retailers Outlets by Channel: % Unit Growth 2014-2019
Table 46 Modern Grocery Retailers GBO Company Shares: % Value 2015-2019
Table 47 Modern Grocery Retailers GBN Brand Shares: % Value 2016-2019
Table 48 Modern Grocery Retailers LBN Brand Shares: Outlets 2016-2019
Table 49 Modern Grocery Retailers LBN Brand Shares: Selling Space 2016-2019
Table 50 Modern Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2019-2024
Table 51 Modern Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 52 Forecast Sales in Modern Grocery Retailers by Channel: Value 2019-2024
Table 53 Forecast Sales in Modern Grocery Retailers by Channel: % Value Growth 2019-2024
Table 54 Forecast Modern Grocery Retailers Outlets by Channel: Units 2019-2024
Table 55 Forecast Modern Grocery Retailers Outlets by Channel: % Unit Growth 2019-2024

Traditional Grocery Retailers in Costa Rica

HEADLINES

PROSPECTS

Location, value for money and offering goods for both individuals and families, are key factors that helps traditional grocery retailers record steady growth

The uncertain economy benefits traditional grocery retailers who target low-income and middle-income consumers

To improve performance over the review period, traditional grocery retailers will start to negotiate price points

COMPETITIVE LANDSCAPE

Players focus on local customers and traditions, and independent Chinese owned supermarkets continue to shake-up the landscape

Specialisation allows players to compete by offering a key point of difference

Traditional grocery retailers will offer added value to remain competitive in the landscape

CHANNEL DATA

Table 56 Traditional Grocery Retailers: Value Sales, Outlets and Selling Space 2014-2019
Table 57 Traditional Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2014-2019
Table 58 Traditional Grocery Retailers GBO Company Shares: % Value 2015-2019
Table 59 Traditional Grocery Retailers GBN Brand Shares: % Value 2016-2019
Table 60 Traditional Grocery Retailers LBN Brand Shares: Outlets 2016-2019
Table 61 Traditional Grocery Retailers LBN Brand Shares: Selling Space 2016-2019
Table 62 Traditional Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2019-2024
Table 63 Traditional Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2019-2024

Apparel and Footwear Specialist Retailers in Costa Rica

HEADLINES

PROSPECTS

Fast and casual fashion continues to boost growth as consumers update their looks and range of clothes, based on seasonality and fashion trends

Sports apparel is perceived as inspirational, as global sports players boost sales in apparel and footwear specialist retailers

E-commerce is anticipated to gain momentum across the forecast period, responding to consumers growing demands

COMPETITIVE LANDSCAPE

Global players remain competitive through strong, aspirational positionings, celebrity endorsements and appealing online content

Players use seasonal activations, discounts and campaigns to boost value sales

E-commerce is set to shake-up the competitive landscape, as players move from building stores, to building online platforms

CHANNEL DATA

Table 64 Apparel And Footwear Specialist Retailers: Value Sales, Outlets and Selling Space 2014-2019
Table 65 Apparel And Footwear Specialist Retailers: Value Sales, Outlets and Selling Space: % Growth 2014-2019
Table 66 Apparel And Footwear Specialist Retailers GBO Company Shares: % Value 2015-2019
Table 67 Apparel And Footwear Specialist Retailers GBN Brand Shares: % Value 2016-2019
Table 68 Apparel And Footwear Specialist Retailers LBN Brand Shares: Outlets 2016-2019
Table 69 Apparel And Footwear Specialist Retailers LBN Brand Shares: Selling Space 2016-2019
Table 70 Apparel And Footwear Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space 2019-2024
Table 71 Apparel And Footwear Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2019-2024

Health and Beauty Specialist Retailers in Costa Rica

HEADLINES

PROSPECTS

The global health and wellness trend shapes the landscape in 2019, with beauty, anti-ageing and vitamin products selling well

Players use celebrities and experienced-based shopping to remain competitive in the landscape

Brand loyalty schemes and convenient options will boost sales over the forecast period

COMPETITIVE LANDSCAPE

Although the landscape remains fragmented, there is consolidation amongst players in 2019, which continues the expansion of chains

Health and beauty retailers face competition from grocery and mixed retailers, as health and beauty products continue to appear on their shelves

E-commerce sales and improved in-store shopping experiences are set to boost the landscape over the forecast period

CHANNEL DATA

Table 72 Health and Beauty Specialist Retailers: Value Sales, Outlets and Selling Space 2014-2019
Table 73 Health and Beauty Specialist Retailers: Value Sales, Outlets and Selling Space: % Growth 2014-2019
Table 74 Sales in Health and Beauty Specialist Retailers by Channel: Value 2014-2019
Table 75 Sales in Health and Beauty Specialist Retailers by Channel: % Value Growth 2014-2019
Table 76 Health and Beauty Specialist Retailers GBO Company Shares: % Value 2015-2019
Table 77 Health and Beauty Specialist Retailers GBN Brand Shares: % Value 2016-2019
Table 78 Health and Beauty Specialist Retailers LBN Brand Shares: Outlets 2016-2019
Table 79 Health and Beauty Specialist Retailers LBN Brand Shares: Selling Space 2016-2019
Table 80 Health and Beauty Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space 2019-2024
Table 81 Health and Beauty Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 82 Forecast Sales in Health and Beauty Specialist Retailers by Channel: Value 2019-2024
Table 83 Forecast Sales in Health and Beauty Specialist Retailers by Channel: % Value Growth 2019-2024

Mixed Retailers in Costa Rica

HEADLINES

PROSPECTS

A varied product base, and the offering of additional facilities such as optical goods, pharmacies and coffee shops, boosts growth for mixed retailers

Omnichannel approaches are set to shape the landscape over the forecast period

Brand positioning and specialisations remain key sales drivers for mixed retailers

COMPETITIVE LANDSCAPE

Players compete in the landscape through promotional activities, as well as specialist store cards and loyalty programmes

Players offer exclusive products and in-demand products at lower price points; however the economic slowdown sees a lack of new outlets in 2019

E-commerce platforms will gain momentum over the forecast period, allowing competitors to expand, and respond to consumers growing demands

CHANNEL DATA

Table 84 Mixed Retailers: Value Sales, Outlets and Selling Space 2014-2019
Table 85 Mixed Retailers: Value Sales, Outlets and Selling Space: % Growth 2014-2019
Table 86 Sales in Mixed Retailers by Channel: Value 2014-2019
Table 87 Sales in Mixed Retailers by Channel: % Value Growth 2014-2019
Table 88 Mixed Retailers Outlets by Channel: Units 2014-2019
Table 89 Mixed Retailers Outlets by Channel: % Unit Growth 2014-2019
Table 90 Mixed Retailers GBO Company Shares: % Value 2015-2019
Table 91 Mixed Retailers GBN Brand Shares: % Value 2016-2019
Table 92 Mixed Retailers LBN Brand Shares: Outlets 2016-2019
Table 93 Mixed Retailers LBN Brand Shares: Selling Space 2016-2019
Table 94 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space 2019-2024
Table 95 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2019-2024
Table 96 Forecast Sales in Mixed Retailers by Channel: Value 2019-2024
Table 97 Forecast Sales in Mixed Retailers by Channel: % Value Growth 2019-2024
Table 98 Forecast Mixed Retailers Outlets by Channel: Units 2019-2024
Table 99 Forecast Mixed Retailers Outlets by Channel: % Unit Growth 2019-2024

Direct Selling in Costa Rica

HEADLINES

PROSPECTS

The economic slowdown impacts growth in direct sellers, while increasing the number of direct sellers in employment

The expansion of modern grocery retailers who sell health and beauty products impacts sales values for direct sellers

Consumers benefit as direct sellers offer credit, and are set to focus on products and technology over the forecast period

COMPETITIVE LANDSCAPE

Corporación Belcorp de Costa Rica retains its lead, as players focus on specific needs to differentiate themselves in the crowded landscape

Players compete by offering appealing bundles to consumers, allowing them to sell multiple products, while enticing consumers with appealing prices

Although e-commerce platforms may boost sales, they are set to shift the role of direct sellers

CHANNEL DATA

Table 100 Direct Selling by Category: Value 2014-2019
Table 101 Direct Selling by Category: % Value Growth 2014-2019
Table 102 Direct Selling GBO Company Shares: % Value 2015-2019
Table 103 Direct Selling GBN Brand Shares: % Value 2016-2019
Table 104 Direct Selling Forecasts by Category: Value 2019-2024
Table 105 Direct Selling Forecasts by Category: % Value Growth 2019-2024

E-Commerce in Costa Rica

HEADLINES

PROSPECTS

Growth is driven by the development of e-commerce, as convenient and seamless online payment options boost consumer trust

The uncertain economic landscape threatens cross-border e-commerce sales

E-commerce platforms offer excellent opportunities for local entrepreneurs in Costa Rica

COMPETITIVE LANDSCAPE

International retailers and regional logistics players remain ahead in 2019

Amazon and Walmart are set to intensify the competitive landscape

PriceSmart and Econo compete through e-commerce sales, offering convenient shopping solutions to consumers

CHANNEL DATA

Table 106 E-Commerce by Channel and Category: Value 2014-2019
Table 107 E-Commerce by Channel and Category: % Value Growth 2014-2019
Table 108 Forecast E-Commerce by Channel and Category: Value 2019-2024
Table 109 Forecast E-Commerce by Channel and Category: % Value Growth 2019-2024

Mobile E-Commerce in Costa Rica

HEADLINES

PROSPECTS

Mobile e-commerce continues to gain popularity, however, most consumers continue to pay through traditional e-commerce or instore

Mobile apps provide secure payment methods and begin to build consumers trust in mobile e-commerce

Mobile app such as Go Pato and Globo shake-up the landscape, however, delivery fees may encourage consumers to look elsewhere

COMPETITIVE LANDSCAPE

Larger, global players lead mobile e-commerce as additional fragmentation is expected over the forecast period

Food and drink mobile e-commerce is becoming increasingly popular, challenging traditional and modern retailers in this space

Small business owners benefit from mobile e-commerce, and locals are targeted through appealing deals and discounts

CHANNEL DATA

Table 110 Mobile E-Commerce: Value 2014-2019
Table 111 Mobile E-Commerce: % Value Growth 2014-2019
Table 112 Mobile E-Commerce Forecasts: Value 2019-2024
Table 113 Mobile E-Commerce Forecasts: % Value Growth 2019-2024

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