Panama: Consumption of Luxury Goods Increases


News from Panama / Monday, May 12th, 2014

Oh what I would give to get another bottle of this.  Jim are you reading this???

Greater purchasing power and a growing middle class have led to an increase in the purchase of goods in the premium brand range to the detriment of basic commodities.  Liqueurs and alcoholic beverages is one of the sectors which best exemplifies the boom in goods and services which are considered luxury items in the country, to the detriment of traditional goods or commodities.

“The categories that are growing today are products that are not part of the basic basket. People are investing a lot of money in these types of products. Today the fastest growing brands are those which are very expensive. It’s the same in beers and spirits as it is in jeans. These are consumers who are consuming less in liters, but are paying more for what they consume, they are paying for higher quality,” said Alejandro Del Valle, regional vice president of the market research company Dichter & Neira.

“In 2013, the 10 baskets of products that grew most in terms of supermarket sales were liquor and cigarettes (17%), fresh bakery products (14.7%), canteen supplies and disposable plates (14.7%), pet care items (9.2%) and pharmaceuticals (8.8%), baby food and baby care products (8.5%), car care products (8%), recreation (7.2%), toys ( 7.1%) and clothing and accessories for personal use. “