Brazil Food Retailers: Talk with Scanntech: The Transformation Driven by GLP-1 Adoption

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Brazil Food Retailers: Talk with Scanntech: The Transformation Driven by GLP-1 Adoption

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21 Jul 2026 18:51:13 ET │ 11 pages

Brazil Food Retailers

Talk with Scanntech: The Transformation Driven by GLP-1 Adoption

CITI'S TAKE

We hosted a call with Thomaz Machado, CEO of retail analytics company

Scanntech Brazil. Scanntech leverages purchasing data across the retail

and pharmacy channels to track consumer behavior and develop

predictive models. Its database includes approximately 15 billion receipts João Pedro SoaresAC

and covers roughly 85% of Brazil's food retail market. Consumers +55-11-4009-7562

continue to reduce basket sizes, with both trade-up and trade-down joao.soares@citi.com

behaviors depending on the category. In addition, the growing adoption of

Leandro Bastos, CFA GLP-1 weight-loss medications may become a structural headwind for

food consumption (volumes) over time, even if there is increasing food +55-11-4009-3125

leandro.bastos@citi.com inflation.

Felipe Husein

+55-11-4009-7137Key Takeaways:

felipe.husein@citi.com

• While household income continues to expand, food retail volumes remain Renan Prata, CFA

under pressure. This reflects a high level of income commitment, with +55-11-4009-3917

households allocating ~11% of income to debt interest payments, ~19% to renan.prata@citi.com

principal repayments, with the remaining ~70% also pressured by online

betting-related expenses.

• Food retailers continue to face difficulties passing through price increases,

although pricing power has started to improve as inflation normalizes.

Trade-down behavior remains particularly pronounced, which creates a

unique opportunity for private label.

• Scanntech does not believe current C&C weakness stems from market

saturation.