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New C&M analysis: Consumer Foodservice (Argentina) Cosas Nuestras SA Company Profile
Cosas Nuestras SA in Consumer Foodservice (Argentina) - a new company profile report on 2014-03-18 18:44:02
Cosas Nuestras S.A. manufactures and sells textile and leather clothing, leather goods, silverworks, shoes, and accessories for men, women, babies, and children in Argentina. Cosas Nuestras S.A. markets its products in stores through the franchises program. The company also operates farmhouses for tourism, resting, production, and permanent housing demands; and provides food service for expressions, scene of arte exhibitions, courses, auctions of national garment and antiques, and various artistic shows. Cosas Nuestras S.A. operates a chain of approximately 110 stores. The company was founded in 1988 and is based in Martinez, Argentina. GDP growth in Argentina fell strongly from 8.8% in 2012 to 2.1% in 2012 according to the latest World Bank estimations. While double-digit inflation eroded the purchasing power of middle-income groups and limited consumer foodservice expenditure, at the same time operating costs have become a major issue due to the rise in labour and rent costs, which are putting a serious strain on the profitability of independent restaurants, cafes and bars/pubs.

As a response to rising prices, discounting in 2012 was more prominent than in previous years, with group discounts becoming a very timely solution which was promptly welcomed by many consumers. The possibility of saving 50%, 70% and even more fuelled interest in various products and services, which they could hardly afford over the review period. Moreover, consumer foodservice operators continue to build share by offering aggressive discounts in partnership with a range of banks. The banks link themselves to consumer foodservice operators in order to offer substantial discounts to those paying with debit cards.

In line with trends during previous years, chained consumer foodservice outperformed independent consumer foodservice in terms of growth in 2012. Domestic and international chains increasingly benefit from high popularity and customer loyalty which allows them to further expand across the country. International and domestic chains like Subway, Starbucks and Grido continue to open more and more outlets, especially in cities where they are not yet present. In addition, companies like Starbucks are likely to grow more in smaller cities and mid-sized towns in the future. It is expected that positive growth for chained outlets over the coming years will come at the cost of independent outlets.

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