The year 2021 was marked by a gradual lifting of pandemic restrictions in the second half of the year. Even though the first half was marked by a severe worsening of the pandemic in Brazil, with an increased number of confirmed cases and number of deaths due to the rapid and wide spread of the Delta variant of COVID-19, the rapid pace of mass vaccination, coupled with Brazilians’ high acceptance of vaccines, resulted in an amelioration of pandemic statistics in the country.
Brazilians became familiar with and made intensive use of online ordering in Brazil, due to restrictions on mobility and social isolation measures related to pandemic containment in the country. The increased use of such platforms enabled customers to find out about brands and cuisines of which they had little or no knowledge prior to the pandemic.
Even though online ordering has undeniably become relevant for all consumer foodservice channels, the fact that street stalls/kiosks mostly consists of independent players in Brazil places a bottleneck for this channel to increase the proportion of online ordering within total sales. Independent players are typically less capitalised than chained ones, and therefore count on significantly less scale to accommodate delivery operations and the additional costs associated with this and still maintain financially health margins.
Craft beer in Brazil has grown consistently over the years, registering a strong double-digit CAGR from 2015 to 2020 in total volume terms, to account for a notable share of all the beer consumed in Brazil. What was once a niche category with little appeal to the average consumer is gaining ground in the alcoholic drinks space.
The economic fallout of COVID-19 is expected to be a constant, at least in the short to medium term, fostering an environment of lingering reluctance by consumers to splurge amidst a deteriorated labour market that is recovering only slowly. Therefore, consumer budgets and confidence are likely to continue to be adversely affected in the forecast period.
Apart from retail locations, travel locations such as bus stations and airports are expected to drive sales in street stalls/kiosks. Due to the lingering sanitary concerns regarding COVID-19 contamination, transport players such as bus companies and airlines are expected to continue refraining from offering food on-board.
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Street Stalls/Kiosks
Small, sometimes mobile, foodservice providers characterised by a limited product offering and by low prices. Includes street stalls, street hawkers and foodservice kiosks where food is prepared in some way and served through a hatch or over a display counter to take away. Also includes kiosks and carts located externally or internally eg in shopping malls etc. As a rule, street stalls/kiosks outlets tend to be smaller than 100% home delivery/takeaway outlets, while menus are more limited, often (though certainly not always) with a greater emphasis on snack items, rather than full meals.
See All of Our DefinitionsThis report originates from Passport, our Street Stalls/Kiosks research and analysis database.
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