5 Lessons for Success in Latin America
Latin America consists of 33 countries and is home to 642 million people with different backgrounds, beliefs, and spending power. Navigating this diverse and dynamic retail marketplace can be quite a challenge for food and beverage companies.
How can Consumer Goods companies find brand success across Latin America? Here are five lessons for managing the region’s customers and retail channels more effectively at the store level.
Forging a strong retailer-manufacturer partnership that goes beyond transactional interactions will provide a true competitive advantage.
- Understand the Consumer
Consumers in Latin America buy less frequently and have embraced omni-channel shopping. For example, shoppers will buy perishables at a convenience store then head to the cash and carry to stock up on home and personal care products.
- Invest in Collaborative Relationships
Even though new retail formats and channels are emerging across the region, local Latin American retailers still own a majority of channels. Forging a strong retailer-manufacturer partnership that goes beyond transactional interactions will provide a true competitive advantage.
- Support Retailer Objectives
Building a strong retailer-manufacturer relationship means creating profitable win-win opportunities. A priority for discounters, for example, is to maintain differentiation. Food and beverage companies who come to the table offering unique promotions and offers will win big with discounters.
- Make Decisions on the Spot
Field-based reps who are equipped to make decisions, discuss pricing, place orders, and share marketing materials with retailers during a store visit will be more productive, proactive, and more profitable.
- Offline Capabilities
Among Latin American’s five largest countries — Brazil, Mexico, Argentina, Chile and Colombia — only 27% of mobile users have access to high-speed wireless data. Food and beverage companies who utilize retail execution tools designed to be used offline will achieve maximum efficiency and effectiveness from field reps.