The Emporium as a Business Model: Origin, Trends, and Projections in Chile

The global interest in healthy living and eating has generated a significant shift in consumer preferences worldwide. This movement, focused on "smart foods," functional foods, and "clean label" products, has driven the growth of the organic food market, which reached a value of approximately USD 245.93 billion in 2024 and is projected to grow at a compound annual growth rate of 12.60% until 2034, reaching a value of around USD 715.05 billion. In Chile, this trend has found fertile ground, as the country possesses a wide range of natural raw materials that can be processed to create functional ingredients and value-added healthy foods. Locally, 65% of Chileans report trying to eat healthier, and approximately 60% express concern about ultra-processed foods and pesticides. Although the organic food market in Chile is still considered to be in a preliminary stage, consumer behavior aligns with global trends. However, the high price remains the main obstacle for 73% of households who want access to healthy products.

A Business Model Inspired by the Past

The emporium business model has resurfaced in Chile as a form of retail based on the format of traditional neighborhood general stores and corner shops. It has positioned itself as an alternative to large supermarkets, focusing on proximity and curating local and artisanal products. This type of business, which prioritizes connection with the local community, aligns with current consumer trends that value domestically produced goods and the convenience of nearby stores.

The resurgence of neighborhood businesses is a phenomenon supported by concrete figures. Local businesses account for more than 40% of sales in the retail, hotel, and restaurant sector nationwide, with over 100,000 establishments.

Consumer Trends Driving the Business Model

The consolidation of the emporium as a viable business model stems from an understanding of Chilean market consumption trends. The owner of an emporium must be aware of consumer preferences in order to curate an offering that differentiates itself from large chains.

1. Increased Demand for Healthy and Organic Foods: Consumers are showing growing concern about ultra-processed foods and pesticide use, with approximately 60% of Chileans expressing this concern. 65% of Chileans report trying to eat healthier, seeking products with "clean labels" and functional benefits. A key factor is price, as 73% of Chilean households identify it as the main obstacle to accessing healthy foods. Globally, the organic food and beverage market is projected to grow at a compound annual growth rate of 12.60% through 2034, reaching a value of around USD 715.05 billion.

2. The Rise of Packaged and Convenience Foods: Modern life has driven demand for convenient and easy-to-consume foods. The global packaged food market was estimated at USD 3.3 trillion in 2024 and is expected to grow at a compound annual growth rate of 6.1% from 2025 to 2034. Neighborhood stores have seen a surge in sales of on-the-go products, such as snacks and prepared meals. Small, convenient formats appeal to consumers who shop on the go or for individual consumption.

3. Preference for Local Products and Curated Products: Chilean consumers increasingly value domestically produced goods and proximity to their suppliers. The owner of the retail empire capitalizes on this preference by selecting products from small and medium-sized businesses across the country. This curated selection, by bringing together the best of local production, is a key strategy for differentiating the business from large chains and attracting a clientele seeking unique items.

Business Projections and Strategies

The food industry in Chile represents approximately 10% of the GDP, and food exports exceeded US$14.5 billion between January and August. For the owner of a food empire, the key to success in this competitive market is innovation and strategic marketing.

Innovation at the point of sale is crucial for improving profit margins. This includes offering products not found elsewhere and staying on top of emerging trends such as vegan options, ready-to-eat foods, or products with a focus on sustainability.

A strategic location and a unique atmosphere can increase visibility and attract more customers. Local marketing is a cost-effective way to build brand awareness and credibility. Participating in community activities and sponsoring local events can boost visibility. Furthermore, a strong digital presence is essential; 66% of Chileans made online purchases in 2024, with the online food sector reaching a market size of US$1.1 billion. Utilizing social media and targeted digital advertising campaigns is a strategy for reaching the right audience.

The emporium has positioned itself as a specialized shopping destination, combining the tradition of neighborhood commerce with the modern consumer's demand for quality, authenticity, and convenience. A focus on curating the offerings and understanding market trends are the cornerstones of its sustained growth.

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