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Consumers favor small drinks due to price; dairy, processed meats may rise
🇲🇽 Mexico /Economy & Trade

Consumers favor small drinks due to price; dairy, processed meats may rise

From El Universal · () Spanish

Translated from Spanish, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • Consumers are opting for smaller beverage containers due to price increases, impacting sales of larger sizes like 600ml plastic bottles.
  • Retailers report that suppliers are raising prices, making it difficult to adhere to government anti-inflation programs.
  • Small business owners perceive insecurity and inflation as the country's primary challenges, with many experiencing economic decline.

Consumers are increasingly choosing smaller beverage containers, such as 355ml returnable glass bottles, as a cost-saving measure amid rising prices for sodas and beers. Cuauhtémoc Rivera, president of the National Alliance of Small Merchants (Anpec), noted that this shift is reconfiguring the beverage market, with companies like Coca-Cola adapting their offerings to consumer budgets.

the world of soda is being reconfigured, the portfolio of Coca Cola and all other brands, everyone is looking to rise to the level of the consumer's pocket, that is the issue and the challenge.

— Cuauhtémoc RiveraPresident of Anpec, explaining the market shift towards smaller beverage sizes.

Rivera warned that the recent price hikes in soft drinks could trigger increases in dairy products, processed meats, and personal care items. He expressed hope that other industries would not follow suit, although he acknowledged that companies are trying to maintain accessible price points. The Anpec president also criticized the previous government's anti-inflation plan, stating it failed to lower grocery costs, as seven out of 10 small shop owners report they cannot sell at the prices mandated by the program due to higher supplier costs.

any increase complicates sales and what I was saying is that the presentations that are gaining ground are the returnable ones which are glass and 355 milliliters, and there is a queen who is losing her reign which is the 600 milliliter plastic presentation, it is the one that loses the most and the 355 milliliter one emerges, in sodas and beers.

— Cuauhtémoc RiveraDescribing the changing preferences in beverage container sizes.

A recent Anpec survey reveals a bleak economic outlook among small business owners. Only 36% describe the economic situation as regular, while 30% deem it bad and 19.7% very bad. One in two shop owners believe the economy has worsened in the last six months. The primary concerns cited are insecurity (37%), inflation (22%), corruption (26%), and a lack of support for small businesses (12%). Many also report facing extortion, with an average of 500 pesos paid, not always to organized crime but also to officials. Insecurity is perceived as the main national problem by 37.1% of respondents, and 43.2% have been victims of a crime.

there is a lot of pressure on dairy, also on processed meats, on personal care and cleaning they tell us it is very complicated.

— Cuauhtémoc RiveraWarning about potential price increases in other consumer goods.
DistantNews Editorial

Originally published by El Universal in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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