MercoPress. South Atlantic News Agency

Retail sales plunge in Argentina even for Mother's Day gifts

The stores' varied strategies failed to increase actual consumption, CAME found

Waning retail sales in Argentina, even in the wake of Sunday's Mother's Day celebrations, reflected the country's ongoing crisis just one week before the Oct. 26 midterms, according to a survey conducted by the Argentine Confederation of Medium-Sized Enterprises (CAME).

Retail sales fell by 3.5% year-on-year (at constant prices). This marks the fourth consecutive annual decline for the holiday, primarily attributed to the loss of household purchasing power.

The average gift ticket showed a nominal increase of 9.8%. However, when adjusted for inflation, this means families spent 16.7% less than in 2024.

Despite 83.5% of stores offering discounts, promotions, and interest-free installments, these strategies failed to increase actual consumption, with the public prioritizing lower-value products and more planned purchases.

Sales declined in five out of the six categories surveyed: Bookstores (-6.3%), Cosmetics and Perfumery (-5.6%), Clothing (-3.3%), Accessories and Cell Phones (-3.2%), Footwear and Leather Goods (-1.9%). On the other hand, Household Appliances, Home Appliances, and Audio/Video Equipment posted a 0.6% increase, making it the only category with positive figures.

CAME concluded that the results reflect a deep consumption crisis where household spending remains heavily restricted by limited real income. ”The widespread adoption of commercial strategies (...) made it possible to sustain movement in some areas, but without translating into an increase in actual consumption,“ it explained.

”Businesses sought to attract demand through promotional prices, but the public prioritized lower-value products and more planned purchases,” it added.