Supermarkets in Mexico

PROSPECTS

Supermarkets sees a rebound after a poor performance in 2018

Supermarkets in Mexico saw a rebound to a positive performance in current value terms and in terms of growth in outlet numbers in 2019, after seeing declines in 2018. This was to the falling number of outlets after the sudden exit of the domestic retail brand MZ from the market and the restructuring of Organización Soriana.

Supermarkets have different strategies to attract different income groups

Supermarkets for lower- and middle-income consumers focus mainly on price, and supermarkets for higher-income consumers focus mainly on product variety, attractive stores and targeted services. In 2018 and 2019, supermarkets in the former category became more price-competitive to take share from tianguis and public markets, and also offered more services, such as the ability to pay by card and offering plastic shopping bags.

The stronger expansion of regional chains

Discounters and hypermarkets have a better positioning amongst Mexican consumers due to their lower prices and wide presence throughout the country, whilst supermarkets are concentrated in a few cities. However, the leading brands and smaller regional competitors within supermarkets are confident about their expansion plans over the forecast period.

COMPETITIVE LANDSCAPE

Superama takes the lead in value terms

In a fragmented channel, Wal-Mart de México took the lead from Organización Soriana in value terms in 2019. This was partly due to the restructuring of the latter towards the end of the review period, as well as Superama’s rising number of outlets.

Calimax runs competitions and promotions to attract local consumers

Calimax is a regional retail brand within supermarkets, located primarily in Baja California state, and also in Sonora, in the northwest region of the country. With nearly 100 stores, Calimax was ranked third in value terms in 2019, but saw a slight decline in its value share, after the closure of two outlets.

Withdrawal, restructuring and new launches in supermarkets

MZ, formerly belonging to Almacenes Zaragoza, was a regional chain which had been in operation since 1943, with a presence only in the state of Culiacán. Over the review period the company opened new stores every year until 2016, but in 2017 its stores suddenly began to close, with no official communication from the company.

Files are delivered directly into your account within a few minutes of purchase.