Argentina supermarkets lose 15% market share as consumer spending collapses

Consumer spending in Argentina has sharply contracted, hitting supermarkets the hardest. A report from Banco Provincia noted that supermarket and food spending fell more than 20% year‑on‑year, and supermarket market share dropped by 15 percentage points. Credit‑card and debit‑card purchases fell 5.6% in June, with only a slight rebound from April.

Industry bodies CAME and consulting firm SCENTIA recorded similar drops in retail sales, describing supermarkets as the most penalised sector. Shoppers are moving to neighbourhood stores, buying smaller baskets and even splitting receipts to avoid bank promotion caps. Low‑income households are especially cutting discretionary items, focusing on essentials while e‑commerce growth remains modest.

Local merchants report empty streets during recent long weekends, with many stores barely making a handful of sales and operating on a “survival” margin. The winter holiday period is seen as the last chance to reverse the trend before the year‑end.