Peru: Consumer Profile

October 2023

© Euromonitor
© Euromonitor International
International 2021.
2023. All rights
All rights reserved.
reserved.
Contents

Introduction

Population and society

Households and homes

Income and expenditure

Lifestyles

Conclusion

© Euromonitor International
 Introduction

© Euromonitor International
 INTRODUCTION 44

Scope
In 2022, Peru witnessed population growth,
driven by stable natural change and rising life
Consumers expectancy. The country is facing the arrival of
Venezuelan refugees, as well as political
unrest. In 2022, Gen Z emerged as the largest
generation, and is expected to remain
dominant over the period to 2040. Families
with children dominate household numbers.
Income and
Population Households Lifestyles Expenditure focused on essentials, while
Expenditure sustainability and online engagement gained
traction in lifestyles.

This report provides core information about the consumer landscape in Peru, and helps to
answer key business questions: who my consumer is, what it means for the business and how
businesses adapt to reflect changing consumer needs Disclaimer

The report looks at key consumer landscape characteristics today in 2022 and in 2040, Much of the information in this briefing is of a
statistical nature and, while every attempt has
analysing key market determinants like population , households and homes, income and been made to ensure accuracy and reliability,
expenditure, and changing lifestyles. Euromonitor International cannot be held
responsible for omissions or errors.
Figures in tables and analyses are calculated
from unrounded data and may not sum. Analyses
found in the briefings may not totally reflect the
companies’ opinions, reader discretion is advised.

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 INTRODUCTION 55

Key drivers affecting consumers in Peru in 2022

Income and
Population Households Lifestyles
expenditure
▪ Demographic shifts, such as ▪ Changing consumer values, ▪ Economic turbulence, with ▪ Peruvian consumers place a
urbanisation, higher life as well as a young rises in the cost of living, is high priority on quality and
expectancy and a stable birth population, position Peru motivating consumers to personalised experiences.
rate, are resulting in the consumers to live alone turn to saving and budgeting. ▪ With growing internet
expansion of Peru’s more often; however, ▪ Expansion at the bottom of coverage and developing
population. families remain dominant, as the wealth pyramid poses technology, Peruvian
▪ Immigration and family traditional lifestyles remain risks, but also offers consumers spend more time
popular.
policies, as well as opportunities. online and are keen to
geopolitical changes on a ▪ The majority of consumers explore virtual experiences.
▪ The wealthy population
global level, are also live in larger homes. However, in-store shopping
continues to be concentrated
contributing to the changing remains popular, as
▪ Gen Z are coming of age and in the urban areas; however,
structure of Peru’s society. consumers regard shopping
having a growing influence the rural-urban income gap is
as a leisure activity.
▪ A young population is driving on the overall consumer forecast to narrow by 2040.
digitalisation and interest in profile.
technologies.

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 INTRODUCTION 6

How developments today shape consumer of tomorrow

Today Tomorrow

As Peru emerges from the COVID-19 pandemic, many of the The older consumer cohort will undergo a generational shift, as
consumer trends and consumption patterns it sparked were still Millennials become later-lifers in 2040, while Generation Z
apparent in 2022. embraces middle-age and takes the influencer stage.
Peru’s society is young and is facing an influx of immigrants and Peru’s projected economic development sets the stage for a
refugees. significant increase in per capita disposable income, with projected
growth of 43% over the 2022 and 2040 period, compared to the
Economic and geopolitical turbulence is raising the cost of living
average in Latin America of 31%. This expansion of discretionary
and reshaping economic structures, as the bottom of the wealth
spending potential offers promising opportunities for businesses to
pyramid grows and inequality increases. Consequently, consumer
tap into a growing consumer market.
confidence is dwindling.
With fast-paced societal shifts and technological advances,
Technology has become a bridge for both consumers and
Peruvian consumers will require transparent, accessible and
companies to better engage and thrive in a changing world. COVID-
verifiable products, and brand information. Demand for
19 has accelerated digitalisation, and more consumers are sharing
specialised, lifestyle-tailored product assortments is set to
their data and personal information on the internet.
continue rising.
More affluent consumers continue to seek curated unique
Younger generations will become more selective, seeking out
experiences.
specialised sources for different interests. They will expect
Companies increasingly engage with political and social issues that everything to be fast and highly convenient, meeting them where
go beyond making profit. they are.
© Euromonitor International
 INTRODUCTION 77

Key findings

Urbanisation is on the rise in Peru, with the urban population projected to constitute 83% of
Urbanisation the total population by 2040. Lima remains the largest city, and its ongoing urban regeneration
efforts aim to convert underutilised public spaces into functional areas for leisure and
recreation. Lima’s per capita income surpasses both the country’s and the regional averages.
The Peruvian population comprises primarily young individuals, with Generation Z projected to
wield significant influence in consumer markets. The younger cohorts have been immersed in
and raised alongside technology, which positions them in a leading position for the country’s
Generations shift
digital advancement. However, Peru still struggles with inequalities, particularly among young
people. While those with qualifications and skills have benefited from economic activity,
many young people are jobless.
With rising living costs, Peruvian households are displaying an increasing tendency for saving.
As consumers adapt to the changing economic circumstances, they are adopting more
Budgeteers
conservative attitudes towards purchasing products and services, and spending is focused on
finding best value and alternative ways of accessing goods.

Peru’s technological landscape is undergoing a transformation, marked by its growing

dependence on internet access and online communication. This shift is particularly pronounced
Technology among Millennials, who are increasingly engaging online and embracing e-commerce facilitated
through social media platforms. As the nation adapts to the digital age, its evolving
technological mindset is shaping a path towards a more connected and innovative future.
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 Population and society

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 POPULATION AND SOCIETY 99

Today 2022: Generation Z stands as the largest generational cohort

COUN T RY SN AP SHOT Male/Female Major Milestones in Life 2022
Age (years)
TOTAL POPULATION GROWTH Birth of first child
Males First marriage
33.7 0.6% 24.3 29.4 62.8 71.3
Median age
million in 2022 in 2022
Healthy life expectancy
21.5 22.1 30.4 64.8 75.5
NET MIGRATION RATE REFUGEES AND ASYLUM Females
Life expectancy
SEEKERS

-1.8% 542.9
in 2022 thousand in 2022 Population Distribution in Peru Top 10 Cities in Peru 2022
2022 Million people
LARGEST GENERATION POPULATION DENSITY % of total female/male population
80+ Lima
Generation Z 26.3 75-79
70-74
Arequipa
persons per sq km 65-69 Trujillo
60-64
55-59 Chiclayo
LATER LIFERS & SENIORS MEDIAN AGE 50-54
45-49 Piura
2.9 29.9 years
Age

40-44 Cusco
35-39
million in 2022 in 2022 30-34 Iquitos
Urban Population 2022 25-29
20-24 Chimbote
% of total population 15-19
Peru 3

10-14 Huancayo
5-9 Tacna
Latin America 2

0-4
World 1
-10 -5 0 5 10 15 0 5 10 15
0% 50% 100% Source: Euromonitor International from UN/Eurostat/national
Women Men statistics
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 POPULATION AND SOCIETY 10
10

Today: Young and expanding consumer demographic is encountering an influx of immigrants

Peru’s population grew in 2022, despite a negative net migration Population Change Factors in Peru 2017-2022
Per 1,000 population
rate, with growth driven by natural change, as well as rising life 20 600
expectancy. The country’s population is relatively young, with a
median age of 29.9 years in 2022, in contrast to the average of

% change
10 400
31.5 years in Latin America, with Gen Z being the largest
generational cohort. The average age of a woman upon the birth 0 200
of her first child was 22.1 years in Peru, compared to 22.9 years
-10 0
in the region and 23.4 years globally. 2017 2018 2019 2020 2021 2022
Notably, in 2022, Peru experienced an escalating influx of Rate of Natural Change Net Migration Rate
Venezuelan immigrants. This was attributable to a number Birth Rate Refugees and Asylum Seekers, % growth
factors, such as internal political turmoil, an economic
downturn, the impact of COVID-19, natural calamities and
Population by Age in Peru 2022
stringent economic sanctions in Venezuela that have encouraged Million people
consumers from the country to seek refuge abroad. As reported 10
by ReliefWeb, a humanitarian information service, 8
approximately 1.6 million refugees and migrants currently 6
residing in Peru confront a crucial juncture. Individuals capable 4
of regularising their legal status and contributing to the 2
workforce hold the potential to positively impact Peru’s overall 0
prosperity. 0-14 15-24 25-34 35-44 45-59 60+
Age
Source: Euromonitor International from UN/Eurostat/national statistics
© Euromonitor International
 POPULATION AND SOCIETY 11
11

Today: Older generations surpass Gen Z in online engagement

While rising living costs are affecting Peruvians’ Consumer Values by Generation
attitudes towards their finances, consumers n = 1,012, % of respondents (agree and strongly agree)
maintain a strong inclination towards spending on I like to try new products and services
experiences over material possessions. Their I extensively research the products and services I consume
enthusiasm for novelty drives them to seek I only buy from companies or brands that I trust
completely
personalised products and services, particularly I prefer branded goods to non-branded alternatives
among younger generations. This trend is more I like to be actively engaged with brands
prominent among Millennials (52%) and Gen Z (38%)
than Baby Boomers (27%). 0% 20% 40% 60% 80%
Peruvian consumers are active in social media Generation Z Millennials Generation X Baby Boomers
engagement. Nearly 50% follow or like company Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January – February 2023
posts, surpassing the global average of 34%.
Furthermore, about one third make purchases Top Five Forms of Online Engagement with Companies over Previous Six Months
through social media platforms, compared to 23% n = 1,012, % of respondents by generation
worldwide. Gen Z engage with companies online in “Follow” or “like” a company’s social media feed or post
line with the global average, while older generations Buy something via a social media platform
are even more active than their global counterparts. Receive a discount/offer for referring someone via social…
For example, 30% of Baby Boomers engage with Provide feedback to a company via a social media post
customer service through social media – well above Talk to a company’s customer service through social media
the global average of 12%. Meanwhile, Gen Z are the
most likely to admit that the internet adds to their 0% 10% 20% 30% 40% 50% 60%
daily stress levels. Generation Z Millennials Generation X Baby Boomers
Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January – February 2023
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 POPULATION AND SOCIETY 12
12

Tomorrow 2040: Gen Z remains the largest cohort

COUN T RY SN AP SHOT Population Growth by Age Group in Peru 2022-2040
% Growth, Age
65+
TOTAL POPULATION GROWTH 60-64
50-59
36.8 9.3% 40-49
30-39
million in 2040 period 2022-2040 20-29
10-19
LARGEST GENERATION POPULATION DENSITY 0-9
Generation Z 28.7 -40% -20% 0% 20% 40% 60% 80% 100%
persons per sq km
Future Demographics 2022/2040 Life Expectancy 2022-2040
Years
POPULATION AGED 65+ MEDIAN AGE
84
5.2 38.0 years 82
82
million in 2040 in 2040 80
78
76 78
Old-age Dependency Ratio 2000-2040
% 74
25 72
20 70
15 68
10 66
64
5 2022 2031 2040
0
Male Female
2000 2022 2040 Source: Euromonitor International from national statistics/UN
© Euromonitor International
 POPULATION AND SOCIETY 13
13

Tomorrow: Gen Alpha to witness the most rapid growth

Peru’s population is projected to grow by 9.3% over 2022-2040, propelled mainly Consumer Segments by Generation 2022/2040
Million
by natural change, albeit at reducing rates, as net migration is predicted to
remain negative for the majority of this period. With an anticipated population 10
of 36.8 million in 2040, Peru is expected to maintain its position as the fifth most
9
populous country in Latin America. The Gen Z demographic will continue to be
the largest age group, while Gen Alpha will be the only one to experience 8
growth, with some in older generations opting to emigrate.
7
Advances in female employment and literacy rates are anticipated to postpone
marriage and childbirth, influencing demographic patterns. Alongside these 6
trends, an increase in contraceptive use is likely to drive down fertility rates, 5
which are projected to remain below the replacement rate of 2.1 children per
woman over 2022-2040. Consequently, the number of live births and the 0-14 4
year-old age group will decline over this period. Despite this, this age group is 3
predicted to account for a significant 16.3% of the total population by 2040,
reinforcing consumer segments targeted at children. 2

The anticipated population expansion and demographic evolution in Peru 1

provide businesses with the chance to refine their offerings, primarily
targeting the predominant Gen Z and the expanding Gen Alpha groups. As the 0
Generation Generation Millennials Generation Baby
most digitally proficient generations, Gen Z and Alpha are predicted to pursue Alpha Z X Boomers
online product and service options, demonstrating increased engagement 2022 2040
with various social media platforms.
Source: Euromonitor International from national
statistics/UN
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 POPULATION AND SOCIETY 14
14

Tomorrow: Lima remains the driving force behind consumption

As Peru’s population grows and people increasingly seek better education and Top 10 Largest Cities in Peru 2022/2040
employment opportunities, it is projected that urban areas will comprise 83% of Population aged 15-64, million
the total population by 2040. Among these urban areas, Lima will maintain its
position as the largest city, boasting a population more than double that of all Lima

other major cities combined. In a move to bolster small businesses, the city of Arequipa
Lima has introduced two novel programmes: the Small Business Revolving Loan
and the Small Business Facade Revolving Loan. These initiatives provide Trujillo
financial support for various needs, including equipment, inventory and exterior
Chiclayo
improvements. Lima has earmarked USD700,000 for aiding small businesses,
which builds upon previously established programmes targeting micro- Piura
businesses affected by the COVID-19 pandemic and historically disadvantaged
microenterprises. The latest offerings extend loans of USD5,000 to assist with Cusco
facade enhancements and working capital. Eligibility criteria are in place for
Iquitos
these programmes. Unlike previous grant-based initiatives, these are revolving
loans carrying a 3% interest rate, aimed at nurturing small businesses, as they Chimbote
contribute to job creation and foster innovation within the local economy.
Huancayo
Businesses in sectors such as retail, food and beverages, entertainment
and real estate could benefit from increased population density in cities, Tacna
given the larger customer base and demand for diverse services.
Moreover, businesses in the healthcare sector can innovate through cost- 0 2 4 6 8 10
effective solutions to meet the rising demand and adapt to urban lifestyle- 2040 2022
related health issues. Source: Euromonitor International from national statistics/UN
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 POPULATION AND SOCIETY 15
15

Areas of opportunity

Opportunities in retail Tapping into diversity Young population

▪In 2040, 83% of the Peruvian population ▪Prejudices towards other cultures and ▪Generation Z will be 30-45 years old by
will live in cities. Currently, almost a third religions, income and gender inequality, 2040, and very influential in shaping
of Peruvians admit they seek homes in an and limited attention being paid to Peruvian markets.
urban location. seniors, the young and the rural are being ▪To engage with Gen Z-ers in 2040,
erased, and businesses are exploring new
▪Increased urbanisation in Peru by 2040 businesses will have to innovate to get
market opportunities.
presents a significant opportunity for noticed and be even more agile than they
retailers to tap into the growing ▪Diversity is driving demand for ethnic are now.
consumer base concentrated in urban and “authentic” products, more tailored ▪An informed and research-savvy
areas, potentially leading to higher foot services and personalised experiences. audience will look for information that is
traffic and sales in city-based stores. ▪ In addition, consumers are paying easily vetted, reliable and accurate.
▪The trend of Peruvians seeking homes in increasing attention to companies’ ▪Logistics chains and delivery services will
urban locations indicates a preference for stances on diversity, inclusion and equity, continue to evolve to become even faster
convenience and proximity to retail hubs. and evaluating the brands on how
and more adaptive.
Retailers can benefit from this by authentic they are in acting according to
strategically locating and promoting their the manifested values.
stores in these sought-after urban areas
to attract a receptive customer base.

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 POPULATION AND SOCIETY 16

Case study: Grupo EFE acquired digital mall Juntoz

Characteristic Internet users in Peru 2017-2040
Population aged 5+
▪ In 2022, Grupo EFE, a prominent Peruvian holding
company with a history spanning in the retail sector over 40,000
60 years, acquired Juntoz, the first ever online mall in Peru.
Juntoz stands out for its personalised e-commerce 35,000
experience, offering a variety of products across multiple
categories on one platform. The collaboration signifies 30,000
EFE’s ambition in digital transformation, solidifying Juntoz’s
market presence with EFE’s robust backing. 25,000
Context
▪ Gen Z represents the most substantial age group in Peru, 20,000
and is projected to maintain this position by 2040.
Renowned as the most tech-savvy generation, they 15,000
predominantly opt for online shopping. This inclination
propels the digitalisation trend, as these young consumers 10,000
seek avenues to increase their online purchases.
Consequence 5,000

▪ As the global trend of digitalisation continues to

0
accelerate, e-commerce platforms are not only gaining 2017 2022 2027 2032 2040
instagram.com/juntozoficialpe
traction but are also expected to eclipse traditional in-store
Peru
shopping options in popularity. This shift reflects the Euromonitor International from International
evolving consumer preferences for convenience and Telecommunications Union/OECD/national
accessibility. statistics
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 Households and homes

© Euromonitor International
 HOUSEHOLDS AND HOMES 18
18

Today 2022: Couples with children remain the most frequent household type
COUN T RY SN AP SHOT Households by Number of Persons 2022 Average Household Size in Top 10 Cities 2022
% of total households Number of persons
NUMBER OF HOUSEHOLDS AVERAGE HOUSEHOLD 1 person Iquitos
Chiclayo
9.1 3.7 2 persons Piura
million in 2022 persons in 2022 3 persons Trujillo
Chimbote
SINGLE PERSON HOUSEHOLDS SHARE 4 persons Huancayo
1.7 18.3% 5 persons Lima
Cusco
million in 2022 of total households 6+ persons
Arequipa
SINGLE-PARENT FAMILIES GROWTH 0% 10% 20% 30% Tacna
0 2 4 6
1.3 2.0% Peru Latin America World
million in 2022 in 2022
Households by Number of Rooms Households by Tenure 2022
2022 % of total households
100%
Share of Households without Children
under 18 years 2000-2040
% of total households Inner circle: 50%
60% Peru
50%
Outer circle:
40% 0%
World
30%
Peru Latin America World
20%
10% Rented Other
0% Home Owner, Without Mortgage Home Owner, With Mortgage
2000 2020 2040 1 2 3 4 5+ Source: Euromonitor International from national statistics/UN
© Euromonitor International
 HOUSEHOLDS AND HOMES 19
19

Today: Consumers in Peru tend to live in larger homes

Despite a growing number of single person households, Peru’s Share of Households by Household Type 2002/2012/2022
% of total households
residential profile in 2022 was led by families with children, reflecting 100%
the country’s cultural emphasis on family life. Notably, according to
80%
Euromonitor International’s Lifestyles survey, time with partners,
parents, and children is ranked among the top priorities. The typical 60%
Peruvian household, with an average size of 3.7 people, exceeds both 40%
Latin American’s average of 3.0 and the global average of 3.4, living in 20%
accommodation measuring 70 sq m or larger.
0%
The housing sector is witnessing substantial shifts, marked by a surge 2002 2012 2022
in demand for sustainable homes that incorporate green building Single Person Couples without Children Couples with Children
Single-Parent Families Other
materials, urban gardens, communal green spaces and recycling
systems. Alongside this, a rising trend for multi-dwelling units, such as Households by Size of Dwelling 2010/2022/2040
% of total households
apartments and condominiums, is projected to continue. This shift is
partially driven by the escalating costs of land and construction in 2040

urban locales.
2022

With couples and children forming a significant portion of the

2010
population, there is demand for products and services catering to
their needs. This includes child care services, educational resources, 0% 20% 40% 60% 80% 100%
family entertainment, family-friendly travel options, children’s Under 30 sq m 30-39 sq m 40-49 sq m
clothing and toys, and household products designed for families. By 50-59 sq m 60-69 sq m 70 or more sq m
Source: Euromonitor International from national statistics/UN
targeting this consumer group, businesses can expand. Note: Couples with Children and Single-Parent Families also include dependent children
over 18
© Euromonitor International
 HOUSEHOLDS AND HOMES 20
20

Today: Access to green spaces listed among top home features

Euromonitor International’s 2023 Lifestyles survey highlights a desire among Peruvians for proximity to green spaces near their residences,
with 59% of respondents favouring this aspect, compared to the global average of 36%. Moreover, in 2022, urban living continued to be the
preference for approximately one third of Peruvians, although this preference is gradually decreasing, as back in 2019, over half emphasised
the importance of an inner-city dwelling. In line with the rising global trend of sustainability, 27% of Gen X Peruvians, significantly higher
than the 16% global Gen X average, affirm the importance of sustainable material usage in home construction. While Gen Z is the largest
consumer cohort, Gen X hold significant purchasing power due to their accumulated wealth. In terms of domestic activities, households
with children show a propensity for hosting social gatherings with friends or extended family, and watching television shows or films.
Meanwhile, the prevalent Gen Z demographic, noted for their technological proficiency, display a distinctive preference for video gaming
and home-based learning compared to other age cohorts.
Most Desirable Home Features Home Activities
n = 1,012, % of respondents n = 1,012, % of respondents (at least weekly)
Safe location
Connect with friends or family virtually
Outside space Exercise
Urban or inner city location Study
Work from home
Proximity to public transport
Hobbies (eg gardening, crafts or knitting)
Multi-functional space (work-live space) Play video games
Availability of garage/indoor parking Entertain friends/family who don't live with me
Take an online/virtual fitness class
0% 10% 20% 30% 40% 50% 60% 70%
Peru Global 0% 20% 40% 60% 80%
Peru Global
Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January –
February 2023 Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January – February 2023

© Euromonitor International
 HOUSEHOLDS AND HOMES 21
21

Tomorrow 2040: Single person households witness rapid growth

COUN T RY SN AP SHOT Households by Type 2000-2040 Households by Disposable Income
‘000 of households Band (PPP) in Top 10 Cities 2040
SINGLE PERSON HOUSEHOLDS SHARE 4,000 % of total households

2.2 21.0% 2,000

Lima
million in 2040 of total households
Arequipa
HOUSEHOLDS WITHOUT 0
2000 2020 2040 Trujillo
CHILDREN UNDER 18 CAR OWNERSHIP

49.7% 12.7% Single Person

Couples With Children
Couples Without Children Chiclayo
of total households of total households
Piura
POPULATION AGED 0-14 GROWTH Households by Disposable Income (PPP) 2020-2040
‘000 of households Cusco
6.0 -28.2% 15,000
Tacna
million in 2040 period 2022-2040
Households by Education of Household 10,000 Chimbote
Head 2040
% of total households Huancayo
5,000
World Iquitos
Latin America 0
2020 2025 2030 2035 2040 0% 50% 100%
Up to USD25,000
Peru More than USD150,000 Between USD25,001 and USD75,000
0% 50% 100% Between USD75,001 and USD150,000 Between USD75,001 and USD150,000
More than USD150,000
Higher Secondary Primary or No Education Other Between USD25,001 and USD75,000
Source: Euromonitor International from national
Up to USD25,000 statistics/UN
© Euromonitor International
 HOUSEHOLDS AND HOMES 22
22

Tomorrow: Older men will remain the decision makers

In 2040, the average household head will be male, aged over 60 Households by Age of Head of Household 2022-2040
% of total households
years, with primary or no education, and an employee by economic
100%
status. However, the 40-44 year-old age bracket, identified with
90%
Generation Z, known for their digital adaptability and emphasis on
80% 60+
sustainability and brand ethics, will persist as top earners. In
70% 50-59
comparison, in Latin America, the 30-34 year-old age segment is 60%
expected to lead in earnings. 50%
40-49

40% 30-39
In the Peruvian economic landscape, the gender income disparity
remains a significant concern. As of 2022, male disposable income 30% 20-29
20%
exceeded that of females by an average of 42.7%, which is expected Less Than 20
10%
to remain high and growing by 2040. However, it is worth noting
0%
that Peru has aligned its goals with the UN’s 2030 Agenda, striving

2028
2022
2023
2024
2025
2026
2027

2029
2030
2031
2032
2033
2034
2035
2036
2037
2038
2039
2040
for gender equality, emphasising women’s rights, and ensuring their
development in a non-discriminatory environment. Households by Age of Head of Household 2040
% of total households
The increasing economic participation and empowerment of World
women in Peru offers a burgeoning market segment for
businesses. By utilising targeted market research, developing Latin America
strategic marketing approaches, and committing to gender
equality and inclusivity, businesses can not only cater to this Peru
expanding demographic but also further bolster the 0% 20% 40% 60% 80% 100%
empowerment of Peruvian women. Less than 20 20-29 30-39 40-49 50-59 60+
Source: Euromonitor International from national statistics/UN
© Euromonitor International
 HOUSEHOLDS AND HOMES 23
23

Tomorrow: Peruvians increasingly favour online communication

In the 2022 Network Readiness Index, Peru secured 78th position among Possession of Digital Devices and Access to Broadband Internet
131 countries. By 2040, every household in Peru is projected to have a by Household Type 2022/2040
% of households
mobile phone, and tablet penetration is forecast to witness a sharp rise, to

Possesion of Personal Possesion of Mobile Access to Broadband

Extended Families
69.2% of homes. The Peruvian mindset towards technology is evolving

Households with
rapidly, with 47% expressing a reliance on internet access and 37% showing Single-Parent Families

Internet
a preference for online communication over face-to-face or telephonic Couples with Children
interactions – both statistics marking an increase from the previous year. Couples without Children
Notably, usage of delivery apps is gaining traction, with over a quarter of Single Person
Peruvians already ordering food for home delivery or takeaway and pick- Extended Families
up.
Single-Parent Families

Telephone
Notably, older generations in Peru, who wield considerable spending Couples with Children
power, exhibit a greater willingness to share their data in exchange for Couples without Children
personalised and targeted offers, surpassing the global average. Gen X
Single Person
shows a strong inclination towards curating their online personal brand and
Extended Families
managing how others perceive them, as much as Gen Z, and exceeding the
global Gen X average. Single-Parent Families

Computer
With broadband internet access in households predicted to surge Couples with Children
from 50.7% in 2022 to 93.5% by 2040, surpassing the Latin American Couples without Children
average of 87.7%, there is an opportunity for tech companies to Single Person
expand their footprint in Peru. This improvement in internet
0 20 40 60 80 100
connectivity will greatly benefit the e-commerce sector, opening vast 2022 2040
avenues for online businesses. Source: Euromonitor International from national statistics
© Euromonitor International
 HOUSEHOLDS AND HOMES 24
24

Areas of opportunity

Families with children Home for everything Technology

▪ Families with children still constitute a ▪ COVID-19 and rising inflation have ▪ 75% (versus 72% globally) of survey
large proportion of Peruvian households. strengthened the home’s role as a place respondents in Peru say they use
As a result, Peruvians continue to spend for work, education and entertainment. technology to improve their day-to-day
a significant portion of their income on lives, which is an increase from 71% in
▪ As with work, education-from-home is
children’s products and services. the 2021 survey. Meanwhile, 33% of
demanding significant shifts in
Businesses can tap into this market by Peruvians (compared to 23% of their
technology adoption and capabilities.
offering high-quality, innovative and global counterparts) state that they have
Besides growing demand for relevant
educational products and services that solutions in terms of hardware and used social media to buy items.
appeal to parents’ desire to invest in Businesses can use the growing reliance
software, the education and work from
their children’s futures. home trend empowers consumers to on technology to develop innovative
tech tools and solutions tailored to local
▪ Spending patterns vary depending on reach and obtain more, as they are no
needs.
the age of the children. Families with longer limited by geographic constraints.
younger children spend more on food ▪ The shift towards home entertainment is ▪ Smart product applications continue to
and child care, while those with older expand into all key home areas, including
creating opportunities in the media
children spend more on education and cooking, clothing, energy and pet care.
streaming, hobbies and games segments,
transportation. The emergence of integrated home
as consumers are spending more time on
solutions allows for a more controlled
their mobiles, desktops and AR/VR
smart home experience.
headsets.
© Euromonitor International
 HOUSEHOLDS AND HOMES 25

Manzana Verde, Peruvian meal delivery platform with nutritional guidance, receives funding
Characteristic
▪Peruvian start-up Manzana Verde has successfully
secured USD2 million in funding in 2023, facilitating
its expansion into Mexico and Colombia. The
platform has introduced an innovative service called 27%
Manzana Cash, enabling users to replenish their of Peruvians
order food for
balances, tailor their meals, and enjoy delivery home delivery
services. The packaging, which is biodegradable, is
compatible with microwaves and refrigerators.
Moreover, an AI-powered nutritional chat function
is available to assist users in seeking nutritional 53%
work from home
advice and guidance. at least weekly
Context
▪ As work schedules evolve beyond the traditional 9-
5 model, home becomes a place for everything and
remote roles increase, convenient delivery
43%
hope to work
platforms are gaining traction. from home in
the future
Consequence
▪Convenience and sustainability trends are gaining
popularity. Source: Euromonitor Voice of the Consumer: Lifestyles
Image source: www.manzanaverde.la Survey, fielded January – February 2023
© Euromonitor International
 Income and expenditure

© Euromonitor International
 INCOME AND EXPENDITURE 27
27

Today 2022: Rising incomes and stronger spending in higher income bands
COUN T RY SN AP SHOT Social Class Composition 2022 Cost of Living Index by Income Deciles
% of total population aged 15+ 2017-2022
2010=100
GROSS INCOME PER CAPITA GROWTH Peru 150
5,621 2.7% Latin America 140
USD in 2022 in 2022
World 130
DISPOSABLE INCOME MIDDLE CLASS
PER CAPITA IS ACCOUNT FOR 0% 50% 100% 120
Social Class A Social Class B Social Class C 2017 2018 2019 2020 2021 2022
42.7% 25.9% Social Class D Social Class E Decile 1 Decile 5 Decile 10
higher for males of total households
Income Distribution by Age 2022
WEALTHY AND AFFLUENT
USD’000 per capita Disposable Income Per Capita in Top 10 Cities
2022
POPULATION GINI INDEX USD
45,270 43.8 Tacna
Arequipa
in 2022 in 2022
Cusco
Consumer Expenditure in Peru 2022 Huancayo
% of total expenditure Chimbote
Trujillo
Essential Spending Piura
Discretionary spending Chiclayo
Lima
Urban Expenditure Iquitos

0% 50% 100% 0 2,000 4,000 6,000 8,000

Source: Euromonitor International national
Peru Latin America World statistics/Eurostat/UN/OECD
© Euromonitor International
 INCOME AND EXPENDITURE 28
28

Today: Peruvians spend the most on food and non-alcoholic beverages

In 2022, Peru’s inflation rate rose to 7.9%, from 4.0% in the previous year, driven by a combination of factors, such as global supply and
demand imbalances, and surging energy and food prices, leading to social unrest and protests that caused highway blockades. In 2022, the
largest spending category in Peru was food and non-alcoholic beverages, indicating that essential goods dominate the majority of Peruvian
consumers’ purchases. In 2022, the percentage of the population living below the national poverty line was 20.7%. Among major groups of
consumer goods and services, hotels and catering, education and housing witnessed the largest price increases in Peru in 2022. To
counteract the impact of inflation, the Ministry of Economy and Finance temporarily lifted taxes on specific fuel types in spring 2022.
Despite an increase in the minimum wage of 10% in 2022, which was the first such rise in four years, inflation still brought challenges to
households in poverty.
Index of Consumer Prices in Peru 2021-2022 Consumer Expenditure Growth by Category in Peru 2021-2022
% growth Real growth, %
Hotel and Catering Communications
Education Health Goods and Medical Services
Housing Hotels and Catering
Alcoholic Beverage and Tobacco Transport
Food and Non-Alcoholic Beverage Leisure and Recreation
Health Goods and Medical Services Food and Non-Alcoholic Beverages
Clothing and Footwear
Miscellaneous Goods and Services
Transport
Household Goods and Services
Miscellaneous Goods and Services
Education
Household Goods and Services
Housing
Leisure and Recreation
Clothing and Footwear
Communication
Alcoholic Beverages and Tobacco
0 1 2 3 4 5 6 7 8 9
Source: Euromonitor International national statistics/Eurostat/UN/OECD 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5
© Euromonitor International
 INCOME AND EXPENDITURE 29
29

Today: Consumers show conservative spending plans amidst economic uncertainties

Spending Intentions over the Next 12 Euromonitor International’s Lifestyles Survey Intension to Increase Spending over the Next
Months 2023 reveals a significant decline in Peruvian
n = 777, % of respondents
12 Months by Generation
consumer spending intentions, with only 9.5% n = 777, % of respondents (increase)
Spending on education planning to increase expenditure in the coming Spending on health
year, compared to 22.1% globally, and a and wellness
Spending on health and decrease from the previous year’s 12.0%. In Spending on
wellness education
contrast to their global peers, Peruvians intend
Spending on to curtail spending on transportation, Spending on new
travel/holidays technology and experiences, signalling an technology
adjustment to cope with rising prices and Spending on
Spending on new travel/holidays
technology economic uncertainties. This shift indicates a
focus on essential goods, vital for daily life amid Spending on clothing
and footwear
Spending on clothing and financial constraints.
footwear Spending on
Peruvian Baby Boomers stand out, expressing
experiences
heightened concerns about their current
Spending on experiences Spending on
financial wellbeing, with 41% acknowledging
groceries
such worries (compared to 28% of Boomers
Spending on groceries globally). Notably, the younger Peruvian Gen Z
demographic are more conservative in 0% 20% 40% 60%
0% 20% 40% 60% 80% 100% increasing spending across various categories, Generation Z Millennials
Generation X Baby Boomers
Increase Decrease Stay the same including essentials like housing, groceries and
Source: Euromonitor Voice of the Consumer: Lifestyles education. Source: Euromonitor Voice of the Consumer: Lifestyles
Survey, fielded January – February 2023 Survey, fielded January – February 2023
© Euromonitor International
 INCOME AND EXPENDITURE 30
30

Tomorrow 2040: Social classes D and E to remain most prevalent in 2040

COUN T RY SN AP SHOT Average Gross Income 2022-2040 Consumer Expenditure in 2040
USD Budget share
GROSS INCOME PER CAPITA GROWTH 10,000 50% 100%

8,745 2.5% 8,000 40% 80%

USD in 2040 CAGR 2022-2040

Growth Rate
6,000 30%
60%
DISPOSABLE INCOME MIDDLE CLASS 4,000 20%
PER CAPITA ACCOUNT FOR 40%
2,000 10%
7,544 26.0% 0 0%
20%
USD in 2040 of total households
0%
CITY GINI INDEX Decile 1 Decile 5 Decile 10
Average Gross Income in 2022 Essential Spending Discretionary Spending
Lima 43.8 Growth Rate in Average Gross Income over 2022-2040
will have the largest in 2040 Social Class Composition 2040 Social Class E by Age 2022/2040
number of wealthy households % of total population aged 15+

Gender Gap Outlook 2022-2040 Peru

Women’s disposable income as a share of men’s
Inner circle 15-29
71% Latin 2022
70% Outer 30-44
America
69% circle 2040 45-64
68% World 65+
67%
66% 0% 20% 40% 60% 80% 100%
65% Social Class A Social Class B Social Class C Source: Euromonitor International national
2022 2031 2040 Social Class D Social Class E statistics/Eurostat/UN/OECD
© Euromonitor International
 INCOME AND EXPENDITURE 31
31

Tomorrow 2040: Economic slowdown and inflation contribute to poverty increase

Per capita gross income in Peru is projected to increase in real terms over Population by Income Bracket in Peru in 2040
‘000 of population
2022-2040, rising by 55.6% over that period – considerably above the Latin
American average of 36.8%. Notably, higher education attainment is USD250,001+
USD150,001-250,000
projected to reach 35.9% among individuals aged 15 years and above by
USD125,001-150,000
2040, the second highest rate in Latin America. A well-educated workforce USD100,001-125,000
can contribute to an increase in productivity across various sectors of the USD80,001-100,000
economy. USD70,001-80,000
USD60,001-70,000
Meanwhile, social class E (the lowest income class) is forecast to expand at USD50,001-60,000
the fastest pace over the period to 2040. As a result, social class E is USD40,001-50,000
projected to remain the most prevalent in 2040, accounting for 41.5% of the USD30,001-40,000
USD20,001-30,000
total population aged 15+ years. The National Institute of Statistics and USD15,001-20,000
Informatics (INEI) reports a rise in poverty, affecting regions like Cajamarca, USD10,001-15,000
Huánuco, Puno and Ayacucho, among others. The World Bank attributes USD7,501-10,000
Peru’s increasing poverty to economic slowdown, inflation and labour USD5,001-7,500
USD3,501-5,000
informality, while other factors, including the pandemic, political events and
USD2,501-3,500
natural disasters, have exacerbated the situation. In spring 2023, the USD1,501-2,500
Peruvian Ministry of Economy announced an economic assistance USD1,001-1,500
programme – “Chicken Voucher” or “Protein Voucher” – aimed at bridging USD501-1,000
USD0-500
the food gap caused by rising prices due to inflation. This programme offers
a discount on essential food items, particularly chicken, which has seen 0 2,000 4,000 6,000
Aged 15-49 Aged 50+
significant increases in prices.
Source: Euromonitor International national statistics
© Euromonitor International
 INCOME AND EXPENDITURE 32
32

Tomorrow 2040: Urban-rural income gap in Peru expected to narrow

In 2022, income inequality between rural and urban populations Consumer Expenditure in Top 10 Cities in Peru
remained a problem, with disposable income per household in 2022-2040
USD million, CAGR % 2022-2040
urban areas of Peru being 103% higher than that in rural areas. 3.3%
Nevertheless, rural regions continue to shift towards higher value-
added sectors, and are benefiting from capital investment and
economic support schemes, thus the income gap between urban 3.2%
and rural areas is set to shrink over the forecast period, with Piura
disposable income per household in urban areas forecast to be 17%
higher than in rural areas in 2040.
3.1%
Cusco
In 2040, Tacna will remain the most affluent consumer market in Lima
Peru, with disposable income per capita amounting to USD11,094,
compared to the country’s average of USD7,543 per capita. Tacna
3.0% Chimbote
Meanwhile, Lima will remain home to the largest pool of wealthy
consumers in the country, with 63,100 households with an income
Chiclayo
of over USD150,000 in 2040. The upcoming period seems promising Arequipa
for Lima, as the Ministry of Economy and Finance (MEF) projects a 2.9%
Huancayo
rise in infrastructure investments from 2023. Central to these plans
are key developments like the expansion of Jorge Chávez Iquitos Trujillo
International Airport and advances in the Lima and Callao Metro’s 2.8%
Line 2. Through these endeavours, the MEF, in tandem with other 4,000 5,000 6,000 7,000 8,000 9,000 10,000 11,000 12,000
Per capita consumer expenditure 2040 (USD)
institutions, aims to bridge infrastructure disparities, spur economic
Source: Euromonitor International national statistics/Eurostat/UN/OECD
resurgence, and foster employment. Note: Bubble size indicates consumer expenditure in 2040, USD million
© Euromonitor International
 INCOME AND EXPENDITURE 33
33

Areas of opportunity

Urban consumer Younger wealthy consumers Bottom of pyramid

▪ Urbanisation will be the major driver of ▪ The highest income bracket in Peru ▪ Income inequality in Peru was moderate
consumption and lifestyle trends, due to mostly comprises consumers aged 30- in 2022 by global standards, but it is
the higher average purchasing power 40 years. By understanding the expected to worsen in the upcoming
and concentration of urban citizens. preferences, lifestyles and purchasing years. Social class E will remain the
Companies operating in the largest power of this age group, businesses can largest social class through to 2040.
Peruvian cities have a greater tailor their marketing strategies and ▪ At the bottom of the pyramid, consumer
opportunity to tap into a large offerings to effectively capture their needs already exist and what is required
consumer base and potentially generate attention and drive sales.
of companies is to identify those needs
higher sales revenue. ▪ Brands that offer high-quality, premium and seek ways to address them.
▪ Competition among businesses in the products and experiences can tailor ▪ Establishing cost-effective and easily
largest Peruvian cities is likely to their offerings to appeal to the accessible distribution channels may
intensify. Companies will need to preferences and aspirations of this involve developing partnerships with
differentiate themselves and offer affluent consumer segment. local retailers, using mobile technology
unique value propositions to stand out Additionally, businesses can explore for digital payments, or setting up
from competitors. Providing exceptional collaborations and partnerships with micro-franchises in underserved areas
customer service, product innovation influencers or celebrities who resonate to ensure that products and services are
and affordable prices can help with this age group to enhance brand available to this demographic.
businesses gain a competitive edge. visibility and appeal.
© Euromonitor International
 INCOME AND EXPENDITURE 34

Peruvian apartment rental Wynwood House receives considerable funding

Characteristic Internet Banking 2017-2022
▪Agente Cash, a Peruvian fintech, operates a unique % of population
payment platform in rural areas lacking internet 25%
access, using a network of agents across 600+
communities. Using its proprietary technology, the
start-up facilitates bill payments and remittances, 20%
especially benefiting remote residents by saving time
and money. As a recipient of the StartUp Peru
programme, Agente Cash has expanded its agent 15%
base, serving around 60,000 families monthly. In
2022, the start-up plans further expansion within
Peru, and aims to enter the Ecuadorian market.
10%
Context
▪As Peru is advancing in internet coverage, online
services are gaining traction. With a large part of 5%
population living in urban areas, it is important to
invest in digitalisation in rural areas. Moreover, with
more people concerned about their finances, fintech
0%
technology is gaining traction.
2017 2018 2019 2020 2021 2022
Consequence
Internet Banking
▪Companies such as Agente Cash are gaining recognition
and receiving investment to support digital Internet Use: Internet Banking: Euromonitor
Image source: https://agentecash.com/ development in more remote areas. International from EUROSTAT/national statistics
© Euromonitor International
 Lifestyles

© Euromonitor International
 LIFESTYLES 36
36

Key findings from the consumer survey

Peruvians display a predominantly optimistic outlook, anticipating improvements in their financial

circumstances and overall quality of life. They show a pronounced inclination towards virtual experiences,
Values and outlook surpassing global averages. Amid escalating living costs, they prioritise work, but with an emphasis on
flexibility in start and finish times. Their sense of community is robust, with a keen interest in devoting more
time to community activities.

Shopping habits in Peru are evolving, with a growing inclination towards browsing in malls, even without a
specific intention to make a purchase. Personalised shopping experiences are highly appreciated, and affluent
Peruvians tend to gravitate towards well-known brands. However, financial considerations still play a
Finance and shopping
significant role, with approximately one third of respondents expressing concern over their economic
situation. Notably, only a minority anticipates increasing their overall purchases of goods and services,
suggesting a somewhat cautious approach to discretionary spending.

In Peru, online activity and, particularly, social media engagement are on the rise, with Baby Boomers
standing out for their above-average participation globally. E-commerce is gaining traction via social media
Home and technology platforms, particularly among Millennials. On the home front, the interest in smart home features is gradually
increasing, but more traditional aspects, like safe locations, access to green spaces, and outdoor spaces, were
still highly valued as essential home features as of 2022.

© Euromonitor International
 LIFESTYLES 37
37

Today: Peruvians remain optimistic about their future

Outlook on life: Future impact in the next 5 years by generation
n = 1,012, % of respondents​
Baby Baby
Generation Z​ Millennials​ Generation X​ Generation Z​ Millennials​ Generation X​
Boomers​ Boomers​

I will be less
I will be happier
63% 73% 66% 44% happy than I am 14% 12% 7% 4%
than I am now​
now​

I will be better I will be worse

65% 71% 59% 39% 14% 10% 10% 6%
off financially​ off financially​

I will have more I will have less

free time for 49% 57% 55% 61% free time for 24% 14% 17% 17%
myself​ myself​

I will work less I will work more

18% 24% 29% 54% 57% 44% 33% 13%
than I do now​ than I do now​

My life will be My life will be

65% 69% 61% 37% 13% 11% 9% 4%
better​ worse​

More activities
More activities
25% 24% 17% 24% will shift to in- 38% 47% 42% 37%
will shift online​
person

Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January – February 2023
© Euromonitor International
 LIFESTYLES 38
38

Peruvian consumers seek savings strategies as living costs rise

Amidst escalating living costs and persistent economic Consumer Finance 2023
challenges, optimism regarding future finances among n = 1,012, % of respondents
Peruvian respondents has decreased since 2022. I rely on government financial support or subsidies
Nevertheless, a relatively high 61% maintain a positive
outlook, exceeding the global average of 48%. While younger I rely on financial support from friends or family
generations maintain a brighter view of their financial
prospects, older cohorts express greater concern. Rising I am able to regularly save a portion of my income
prices for essential commodities like food, energy and fuel
have prompted consumers to seek ways to streamline
I am concerned about my current financial situation
household expenses, with cost-cutting topping their
priorities. Bargain-hunting is favoured by 48% of
respondents, including 61% of Baby Boomers, while 25% I have more debt than savings
anticipate increased visits to discount stores, including 24%
of Gen X women. I sometimes rely on credit cards and other consumer
borrowing to cover expenses
In contrast, consumers in higher income brackets prioritise
quality and personalisation. Euromonitor International’s I am comfortable with my current financial situation
survey reveals that 35% of Peruvian respondents frequently
seek reputable or well-known brands, with this inclination I have enough money readily available to cover an
unexpected emergency
becoming more pronounced with age. Peruvians stand apart 0% 20% 40% 60%
from their global counterparts in their willingness to invest Generation Z Millennials Generation X Baby Boomers
more in durable clothing and accessories.
Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January – February 2023
© Euromonitor International
 LIFESTYLES 39
39

Work-life balance tops priority list for prospective workers in Peru

The recent pandemic and economic challenges have Work Priorities 2023
n=1,011, % of respondents
prompted many potential workers in Peru to assert
their work preferences. A significant 42% are seeking
jobs that offer a work-life balance, while 30% desire
the ability to work from home. Notably, 53% are
already working from home or doing tasks related to
work at least weekly. Among different age groups,
Baby Boomers are especially keen on setting their own
working hours (37%, compared to 25% globally) and
prioritising balance (47%, compared to 34% globally).
Notably, Generation Z in Peru prioritise job security the
most, as well as valuing work environments that allow
them to express their identity. The prioritisation of job
security among younger consumers in Peru is driven in
part by the higher prevalence of informal employment
in the country’s sizable population. Additionally,
Peruvians showcase a strong entrepreneurial spirit, ▪ To earn a high salary
with 42% expressing plans to start their own ▪ To have a job security
companies in the future (compared to 24% globally), ▪ To have a job that allows for a strong work and life balance
and 43% aiming for self-employment (compared to ▪ To receive a good training
26% globally). ▪ To work close to home
Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January – February 2023
© Euromonitor International
 LIFESTYLES 40
40

Physical stores remain relevant amid e-commerce growth

Amidst soaring prices, a growing number of consumers are seeking Shopping Attitudes and Motivations of Peruvian Consumers 2023
affordable options. 38% of Peruvians surveyed prioritise quality over n = 1,012, % of respondents
quantity when making purchases. This trend towards affordability is
I like to find bargains
driving increasing demand for cheaper private label and lower cost
products. I would rather buy fewer, but higher
quality things
While e-commerce has gained significant traction in Peru, physical
stores retain their importance among consumers. While online retail Buying eco-conscious/ethically-conscious
is expanding, the majority of sales still occur in physical stores. The products makes me feel good

preference for in-store shopping stems from the appeal of I try to lead a minimalist lifestyle and do
immediate purchases and the perceived trustworthiness of physical not buy new items unless necessary
outlets. A noteworthy 32% of Peruvians (compared to 19% globally) I try to purchase locally-sourced products
seek personalised shopping experiences, while 51% engage in and services
leisure shopping monthly, in particular 60% of Millennials. This I like to repair my items instead of
emphasises shopping’s role as a leisure activity, as 43% of purchasing new ones
respondents enjoy browsing stores without a specific buying intent.
I try to shop in locally-owned stores
In the decision-making process, Peruvians heavily rely on
recommendations from friends and family. However, digital tools are I am willing to buy second-hand or
gaining ground, with an increasing number of consumers now using previously-owned items

their smartphones to compare prices while in stores, indicating a 0% 10% 20% 30% 40% 50% 60%
shift in shopping behaviour compared to previous years. Peru Global
Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January – February
2023
© Euromonitor International
 LIFESTYLES 41
41

Peruvian consumers passionate environmental values and drive sustainable choices

Peruvian consumers in 2023 are not only motivated by Personal Traits and Values of Peruvian Consumers 2023
n = 1,012, % of respondents (agree and strongly agree)
traditional values but are also increasingly concerned about
environmental sustainability. The country’s vulnerability to
climate change has instilled a sense of urgency, prompting the
I am worried about climate change
government to implement stricter environmental regulations.
This backdrop has fostered a shift in consumer behaviour
towards conscious choices that align with their values. A I try to have a positive impact on the
environment through my everyday actions
significant 65% of Peruvians believe that their individual
choices can contribute to making a difference, reflecting a
I feel I can make a difference to the world
growing trend of conscious consumerism. These actions through my choices and actions
include reducing plastic usage (66%), recycling (54%) and
conserving water (49%), while 32% of consumers find I like to enjoy life and don’t worry about
satisfaction in purchasing products aligned with their ethical planning for the future
and environmental values. Notably, Baby Boomers (45%) are
significantly engaged in reducing meat consumption, showing Spiritual beliefs are an important part of my
life
the broadening impact of sustainability concerns across
generations. Looking ahead, 37% of respondents, including
Being active in the community is important to
38% of Gen Z, say they believe that climate change will affect me
their lives even more in the future than it does now. By
recognising the power of their choices, Peruvian consumers 0% 10% 20% 30% 40% 50% 60% 70% 80%
Peru Global
are shaping a more sustainable path forward, with both
individual wellbeing and the planet’s health in mind. Source: Euromonitor Voice of the Consumer: Lifestyles Survey, fielded January – February 2023
© Euromonitor International
 LIFESTYLES 42

Miniso unveils unique experiential store at Larcomar in Peru

Characteristic
▪Miniso, a Japanese retail brand, launched an
innovative store at Larcomar Shopping Center in Lima
district in July 2023. Aimed at Gen Z and Millennials,
the store features avant-garde designs and functional
furniture, providing a seamless shopping experience.
51%
of Peruvians say
Notably, a unique photo area encourages social media they like visiting
sharing. Offering licensed items from popular shopping malls
franchises and spanning 14 categories, Miniso now
boasts 24 operational locations in Peru, expanding its
presence across the country.
43%
enjoy browsing
Context in stores even if
▪Despite the rising popularity of e-commerce, many they do not
need to buy
Peruvians still opt for in-store shopping due to anything
possibility of immediate purchase. Moreover, a
significant number of consumers view shopping as a 32%
leisure activity. are looking for
personalised and
Consequence tailored
shopping
▪Consumers are actively pursuing personalised experiences
Source: andaperu.pe/miniso-inaugura-primera- experiences, prompting stores to explore innovative Source: Euromonitor Voice of the Consumer: Lifestyles
tienda-con-zona-de-experiencia/ methods of meeting these individualised demands. Survey, fielded January – February 2023
© Euromonitor International
 LIFESTYLES 43
43

Areas of opportunity

Affordability 9-to-5 no more Seeking job security

▪ In response to skyrocketing prices, ▪ Strict 9-to-5 pre-pandemic routines ▪ Given the prominence of job security as
Peruvian consumers have adapted their have been disrupted as consumers a concern among young Peruvian
consumption patterns to cope with embrace more flexibility in all aspects of workers, as well as the considerable
financial pressures. In Peru, consumers their lives, particularly during the time prevalence of informal labour in the
look for inexpensive items, visit discount they spend at home working, studying, country, businesses should prioritise
stores and choose lower cost or private eating and relaxing. The expectation of strategies which enhance employee
label products. over a third of global consumers is to retention and engagement. Providing
▪ Businesses operating in Peru need to be continue to be allowed the flexibility in clear career paths, offering
their jobs to develop a strong work-life opportunities for professional
aware of the price sensitivity of
consumers. Offering affordable options balance. development, and creating a supportive
work environment, can help address
and competitive pricing strategies can ▪ Businesses will need to adapt their
employees’ desire for stability and
help attract and retain customers in a products and services to reach
reassurance.
market where cost-consciousness is consumers in the face of changing
prevalent. Businesses may consider consumers’ routines, expectations and ▪ Highlighting long-term growth plans,
introducing budget-friendly product schedules. financial stability and a track record of
lines or promotional campaigns which weathering economic uncertainties can
highlight affordability. help build trust and attract job seekers
who value security.

© Euromonitor International
 Conclusion

© Euromonitor International
 CONCLUSION 45
45

Key findings

Urbanisation is on the rise in Peru, with the urban population projected to constitute 83% of
Urbanisation the total population by 2040. Lima remains the largest city, and its ongoing urban regeneration
efforts aim to convert underutilised public spaces into functional areas for leisure and
recreation. Lima’s per capita income surpasses both the country’s and the regional averages.
The Peruvian population comprises primarily young individuals, with Generation Z projected to
wield significant influence in consumer markets. The younger cohorts have been immersed in
and raised alongside technology, which positions them in a leading position for the country’s
Generations shift
digital advancement. However, Peru still struggles with inequalities, particularly among young
people. While those with qualifications and skills have benefited from economic activity,
many young people are jobless.
With rising living costs, Peruvian households are displaying an increasing tendency for saving.
As consumers adapt to the changing economic circumstances, they are adopting more
Budgeteers
conservative attitudes towards purchasing products and services, and spending is focused on
finding best value and alternative ways of accessing goods.

Peru’s technological landscape is undergoing a transformation, marked by its growing

dependence on internet access and online communication. This shift is particularly pronounced
Technology among Millennials, who are increasingly engaging online and embracing e-commerce facilitated
through social media platforms. As the nation adapts to the digital age, its evolving
technological mindset is shaping a path towards a more connected and innovative future.
© Euromonitor International
 PERU: CONSUMER PROFILE 46
46

For further insight please contact

Luka Kemežytė Jacques Olivier

Analyst Consumer Consultant
[email protected] [email protected]
linkedin.com/in/luka-kemezyte/ linkedin.com/in/jacques-olivier-64b328107/

Jana Rudė Anjali Jain

Consumer Insight Manager Consumers – Consultant
[email protected] [email protected]
linkedin.com/in/Jana-Rude/ linkedin.com/in/anjalijain007/
@JanaRude

Jennifer Elster Kristina Balčiauskaitė

Lifestyles Insight Manager Senior Economies and Consumers Research Manager
[email protected] Kristina.Balč[email protected]
linkedin.com/in/jennifer-elster-58338722 linkedin.com/in/balciauskaite
@ElsterJennifer

© Euromonitor International
PERU: CONSUMER PROFILE

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