Latin America News & Analysis

10 November 2020
Until recently, Brazilian consumers have had a negative perception of private label, with many considering the products as being of low quality. Suppliers have invested in their brands building strong connections with shoppers, which has created a challenge for retailers looking to encourage them to try something new and different. It is, therefore, key for private label products to co-exist al...
06 November 2020
Walmart Inc. has agreed to sell its retail operations in Argentina to South American retail group Grupo de Narváez. Tough trading conditions for international businesses Walmart entered Argentina in 1995 and ran a multiformat operation, with 92 stores across 21 provinces. In recent times, Argentina has been battling with a currency crisis. A hyperinflationary economy and high levels of unem...
05 November 2020
Colombian business Koba Colombia SAS (Koba) opened its first D1 discount store in Medellín, Colombia, in 2009. D1 became the first discount chain to enter the market. A decade later, Koba celebrated the huge milestone of opening its 1,000 th store and announced ambitious plans to double this number. In recent years, the business increased the pace of store openings and on Wednesday 7 Oc...
28 October 2020
Carrefour reported total sales rose 5.5%, at constant exchange rates, to €19.7 bn, with like-for-likes rising 8.4% in its third quarter. The retailer said its growth was its ‘ best performance in at least 20 years ’. The positive results were broad based, with most markets and channels seeing growth, and came despite ‘ an unfavourable petrol effect ’ and ‘ an unfavorable exchange rate effect ’...
27 October 2020
In February 2019, LetterOne Retail (the majority owner of DIA Group) announced its Make DIA a Champion five-year rescue plan to secure the retailer’s future. Prior to this DIA had been facing serious financial difficulties. The Make a DIA a Champion plan is now well underway and is showing impressive results . In Q3, DIA Brazil’s net sales increased by 20% (in local currency), with a ...
16 October 2020
Mexican business FEMSA Comercio, which controls the Coca-Cola bottler FEMSA and operates the OXXO convenience store chain, has reached an agreement to acquire OK Market, OXXO’s direct competitor in Chile. OK Market is a convenience banner owned by SMU, Chile’s largest retailer by store numbers and third largest by revenue. After more than a year of negotiations FEMSA has reached a binding ag...
05 October 2020
In October 2019, Uber announced it had reached an agreement to acquire a majority stake in Chilean grocery delivery start-up Cornershop, subject to regulatory approval ( covered here ). The move would enable Uber to extend its on-demand offer across the Americas to include grocery delivery. Source: Cornershop In July 2020 Uber Technologies unveiled that users in select Latin Americ...
22 September 2020
Walmart is targeting zero emissions across its global operations by 2040. The retailer also plans to manage or restore at least 50m acres of land and 1m square miles of ocean by 2030 to help combat the cascading loss of nature. On the path to becoming a regenerative company These new goals represent a raising of ambitions at Walmart as the retailer aims to play a leading role in transformin...
21 September 2020
Mexican Coca Cola bottler FEMSA, which owns the OXXO convenience chain, recently announced the chain had seen a 24.1% decrease in store traffic during the early phases of the pandemic. This led to a decline in sales, which was accentuated by a reduction in the average customer ticket as well. For Q2, FEMSA reported an 8% decline in revenue for its proximity stores, with same-store-sales down...
07 September 2020
Grupo Nós, a joint venture between Raízen (one of Brazil’s largest energy companies) and FEMSA Commercial (owner of the OXXO convenience chain), has announced plans to open 500 OXXO stores in Brazil over the next three years. This will create a more competitive landscape in the market, particularly in the south east region.   FEMSA joint venture with Raízen Raízen, a Shell brand licensee, i...