Traditional Grocery Retailers in Argentina

PROSPECTS

Traditional grocery retailers, a channel growing at the same pace as inflation

Among the major shifts in consumer purchasing behaviour in recent years has been visiting a greater number of channels. In a highly inflationary context, where salaries are not increasing at the same rate as prices, consumers are forced to optimise their budgets looking for the lowest prices.

New ways of buying organic fruits and vegetables

There is a new trend that is expanding in the country, with small companies or cooperatives selling 3-8kg bags of organic vegetables and fruit depending on the season. Content is selected at random, and the customer does not know about the content until the bag is received.

Rising importance of city fairs

A new trend is growing strongly in Buenos Aires City and this involves “Neighbourhood Fairs” organised by the city’s government which consist of market stalls offering different products such as fruits and vegetables, meat, chicken, fish, nuts, cleaning products and storage items among others. The “fair” is itinerant and takes place in all the squares of the city on a weekly basis.

COMPETITIVE LANDSCAPE

Health stores called “Dieteticas” continue growing

A growing trend in the last few years has seen stores that sell products in bulk, mainly cereals, seeds and other healthy products, targeting celiacs or diabetic people who require a special diet. These stores are called “Dieteticas” and this trend is associated with consumers searching for a healthier diet.

Res Butcher continues its expansion

Reaching a total of 55 branches in Buenos Aires City, Res Butcher continues with its expansion plans. Through the use of franchises, the chain has plans to begin its expansion both in the province of Buenos Aires and also in the interior of the country in the coming years.

Channel with no chains

In traditional grocery retailers, there are very few chains, with most of the outlets independent stores, and in the case of greengrocers, many of the owners being of Peruvian origin.

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