Merchants are waiting with expectation for sales to be reactivated. However, the average expense according to FECOBA will be close to $20,000 per gift.
A report prepared by Focus Market evaluated how merchants prepare for the Three Wise Men, one of the key dates for encourage consumption. The objective was to evaluate what is purchased, where it is purchased, what the projected level of spending will be, and what are the marketing channels with the most sales for this date.
In this framework, the items with greater projection in the participation of demand to give away in wise men are: Toys 29%, Clothing 16%, Sports Goods 11%, Footwear 9%, Video games and consoles 8%, Educational books 8%, Computer items 7%, Cell phones 5%, Candy 5%, and Children’s hairdressing 2% .
“Christmas came with a drop in retail sales of 2.8% and for the Three Wise Men the prospects are not better. Argentines have a strong loss of purchasing power of their income in the face of the evolution of inflation, and there was an advance of consumption. average spending projections according to FECOBA are $21,560 by Gift”, indicated Damián Di Pace Director of the Focus Market Consulting Firm.
Sales: where the greatest volume of purchases is expected
The shopping places with the highest demand projection to make “Reyes Magos 2024” purchases are: 34% Open-air Shopping Centers, 25% Electronic Commerce, 24% Shopping, 8% Outlet, 7% Supermarkets and 2% Garage/Show Room Stores . In the case of Electronic Commerce, the Market Place such as Mercado Libre takes 42% of the total share, Website 32%, and the rest is distributed among different social networks.
“Within the financing plans, Ahora 12 has a negative real rate and is a way to oxygenate the pocket with a total financial cost well below the inflation projected for 2024. The drawback is the increase in credit limits available by banks and credit card issuers,” said Damián Di Pace, Director of Focus Market Consulting.
Sales of Three Wise Men: toy stores with an increase of more than 300%
The sales of toy sector in Argentina they are activated on three key dates that concentrate around the 95% of the total for the year: Children’s Day (explains approximately 55% of total sales for the year), Christmas (25%) and Three Kings (15%).
Below we can see that by surveying the same toys this year compared to the previous year, the year-on-year increase 2023 vs 2024 rises up to 360%.
image (3).png
Source: Ambito
