Consumption does not stop going down. A report made on the basis of more than 1,500 distributors recorded a drop of up to 23% in food and beverage turnover so far in 2024.
Consumption continues in free fall. Despite the slowdown in inflation, the Argentine Confederation of Medium Enterprises (CAME) and specialists in distribution logistics marked declines in billing of up to 23%. The category drinks was one of the most affected.
A survey of Nextbyna Rosario company specialized in mass consumption distribution software, made on its basis of more 1500 distributorsrecorded that between January and April top brand soft drinks had a drop of 21% in their billing, while those of second brands they lost the 23% taking into account accumulated inflation. Beer sales suffered the same percentage drop. Meanwhile, wine had 10% less turnover.
A similar trend is noted by National Institute of Viticulture (INV). During 2023 they detected a 6.3% drop in consumption compared to the previous year. So far in 2024 they see the same situation.
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Nextbyn
Faced with such a difficult panorama, the large producers bet on promotions and activations to encourage consumption. “Points of sale, especially nearby supermarkets, are a great thermometer of what the majority of people are experiencing. There we detect changes in habits, Today promotions are privileged. In addition, the purchase volume also decreased, with more preference being given to purchasing per unit rather than in quantity. These data on consumer behavior are increasingly required by supermarkets and distributors because in this way we help them plan better and predict what benefits or promotions to offer,” he explained. Elvio Cescato, founder and CEO of Nextbyn.
Sales in supermarkets and wholesalers collapsed up to 10.7% in March
Domestic consumption plummeted again in March in year-on-year terms, according to data published by INDEC this Thursday. While Supermarket sales fell 9.3% compared to the same month last year, turnover in wholesale self-services contracted 10.7%.
At current prices, Supermarket sales increased by 279.8% compared to March 2023, against general inflation of almost 290% in the same period.
Regarding the means of payment, a strong real contraction in the use of cash, in contrast to an increase in the use of other means of payment, virtual wallets and credit cards fundamentally. Likewise, there was a drop in both online sales and those made in the “living room.”
Source: Ambito
