Consumption is buoyed by new households, wellbeing, and the omnichannel shopping habit.
2024 was a period of profound change for the FMCG market in Latin America. With volume growth that had held strong over nine consecutive quarters, the region presented unique opportunities, diverse challenges and crucial lessons.
We have uncovered three key consumer trends that brands must understand to get ready for success in 2025.
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New households boosted the FMCG market
One of the main drivers of growth in 2024 was the increase in the number of new households, a phenomenon that exceeds overall population growth. Each extra household generates, on average, annual FMCG expenditure of US$1,500 USD – at least three times more than a new member who is added to an existing household.
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Better wellbeing led to higher consumption
Another determining factor was the connection between wellbeing and purchasing patterns. In countries where consumers reported better levels of physical and mental health, FMCG volumes grew more rapidly.
This was especially the case in Colombia, which has the best wellbeing index in the region, in parallel with the highest increase in FMCG consumption at 7.7% in the first half of 2024. This insight comes from our Decoding Wellness #BodyMindPlanet 2024 study, which you can read here.
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Omnichannel cements its relevance
The trend for omnichannel shopping reached new heights in 2024. Although the frequency of Latam shoppers’ visits to multiple channels has stabilised, with an average of 8.3 different channels visited during the last year, consumers continued to show a preference for e-commerce and discounters. These formats are leading the growth in FMCG purchase volumes, while traditional channels face the challenge of staying relevant in a more fragmented market.
These trends are just a taste of the factors that influenced the FMCG market in Latin America over the last 12 months. Watch our video – 10 key insights into Latin America’s 2024 consumption trends – for more data and analysis that will prepare you for the challenges of 2025.
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