Retail, Opportunities and Preferences

Typical frozen foods, traditional beverages from the countries of origin and vacuum-packed fresh vegetables are some of the products that have sales growth potential in U.S. supermarket chains.

Monday, February 22, 2021

There are many opportunities for companies in the region, since it is estimated that two out of every three products placed on the shelves of U.S. supermarkets are of Latin American origin.

According to Julio Carranza, director for Guatemala of the Hispanic Retail Chamber of Commerce, non-traditional or nostalgic-oriented products such as typical frozen foods, value-added handicrafts, traditional beverages from the countries of origin and fresh vegetables are some of the categories that have commercial opportunities.

You may be interested in "What are the consumers who spend the most?"

Regarding food packaging, there is evidence of a rise in purchases of vacuum-packed products, since in this new commercial reality that emerged in an accelerated manner due to the covid-19 outbreak, the North American consumer has the perception that these satisfiers are safer for human health.

In regards to the places where entrepreneurs in the region could find more business opportunities, Paola Alvarez, manager of Market Development and Trade Promotion at Agexport told Prensalibre.com that "... according to the Best Markets & Products study, North America is the region with the greatest export opportunity for Guatemala, totaling $645 million, and California has a market potential of about $130 million where 70% of products are retail."

See "Where are the supermarkets in Central America?"

Other states such as New Jersey and New York are reflecting interest in frozen vegetables and fruits or already mixed as ready-to-eat salads, exporters' analyses point out.

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Berries, cherries and citrus fruits, fruits that due to their vitamin C content are generally associated with positive effects on the immune system, reported increases in sales in the US and European markets during March, April and May 2020.

In this context of new consumption habits, which emerged worldwide due to the outbreak of covid-19, banana sales (due to its high potassium content and its contributions to health) have been extremely positive.

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Reaching consumers in a confined scenario has been a complex task for companies distributing mass consumption products, since the operation of some of the commercial channels has been limited in the region's markets.

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The restrictions on mobility decreed in the region open up new opportunities for sales points such as small self-service shops, grocery stores and corner shops, which can make use of home delivery service schemes to boost their sales in this context.

In the current context of health crisis, large supermarket chains have implemented safety and hygiene protocols, which force consumers to assume long waiting times to do their shopping.

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After investing $3 million, the Super Selectos chain opened a new 2,000-square-meter point of sale in the El Encuentro shopping center in the municipality of San Miguel.

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