Editorial

Citation

Broadbridge, A. (2006), "Editorial", International Journal of Retail & Distribution Management, Vol. 34 No. 9. https://doi.org/10.1108/ijrdm.2006.08934iaa.001

Editorial

This issue of Retail Insights focuses on one geographical location – Latin America. In it we present three papers by Guillermo D’Andrea and various colleagues. The first paper examines the position of small retailers in Latin America, drawing on primary and secondary research in six countries. Their characteristics are similar to the UK positions of small retailers. Although being more expensive than large supermarkets and not offering the range of services that large supermarkets do, nonetheless the small retailers match well the needs of their customers. They are conveniently located, stocking an appropriate assortment of products and providing a personalised service. They have a sustainable business model with an average net income of 4-11 per cent of sales. In contrast, large supermarkets are perceived as more impersonal and less conveniently located, although that are used to stock up on food.

The second paper concentrates on low income consumers in the same six countries and their perceptions of value. They found these consumers to follow a quite rational and sophisticated behaviour as they seek to reconcile preferences with economic reality. They spend a lot on consumer products and do not always look for the cheapest items or seek credit, yet value the sense of community small scale retailers provide.

The focus of the third paper is the role of promotions and other factors affecting overall store price image in Latin America. Again, primary research was conducted with consumers from major cities from five Latin American countries. From the research emerged a typology of five different consumer segments, each of which had their own quite distinct shopping behaviours and habits. Amongst their findings was that income levels alone tend to be a poor predictor of shopping habits, and that consumers concentrate their price comparisons on an average of just under four items. They also found that consumers in the same segment behave similarly, although segments are not equally split across all regions, and have differing levels of attractiveness for different retailers.

Adelina BroadbridgeUniverstiy of Stirling