EYE CARE IN PERU

Euromonitor International
November 2018
EYE CARE IN PERU PASSPORT I

LIST OF CONTENTS AND TABLES

Eye Care in Peru .........................................................................................................................................1

ANALYSIS.............................................................................................................................................................1
Headlines ........................................................................................................................................................1
Prospects.........................................................................................................................................................1
Lifestyle of Peruvians has a negative impact on ocular health...............................................................1
Problems with exposure to computers and cell phones ........................................................................1
Sustained growth expected.....................................................................................................................1
Competitive Landscape ..................................................................................................................................2
Leading player Johnson & Johnson’s brand Visine increases its value share .........................................2
Limited publicity ......................................................................................................................................2
DATAGRAPHICS ..................................................................................................................................................3
Market Sizes....................................................................................................................................................3
Sales of Eye Care....................................................................................................................................3
Sales Performance of Eye Care..............................................................................................................3
Sales of Eye Care by Category................................................................................................................4
Distribution .....................................................................................................................................................5
Channel Distribution for Eye Care .........................................................................................................5
Competitive Landscape ..................................................................................................................................6
Company Shares of Eye Care .................................................................................................................6
Company Share Performance in Eye Care .............................................................................................6
Retail Sales Performance by Company ..................................................................................................7
Market Concentration of Eye Care by Company ...................................................................................7
Brand Shares of Eye Care.......................................................................................................................7
Brand Share Performance in Eye Care...................................................................................................8
Retail Sales Performance by Brand........................................................................................................8
Market Concentration of Eye Care by Brand.........................................................................................9
CONTEXT...........................................................................................................................................................10
International Contex.....................................................................................................................................10
Eye Care Retail Sales by Region ...........................................................................................................10
Eye Care in Peru...................................................................................................................................10
FMCG Index...................................................................................................................................................10
Eye Care vs Selected FMCG Industries ................................................................................................10
Socioeconomic Context ................................................................................................................................11
Population Growth Index ....................................................................................................................11
Peru vs Other Geographies..................................................................................................................11

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EYE CARE IN PERU PASSPORT 1

EYE CARE IN PERU

ANALYSIS

Headlines
 Eye care records retail current value growth of 10% to reach PEN29 million in 2018
 The use of computers and cell phones is increasing from a young age, leading to
increased need for eye care such as products to ease dry eyes
 Johnson & Johnson del Perú leads eye care with its Visine, accounting for a 39% retail
value share in 2018
 Eye care is expected to record a retail value CAGR of 9% at constant 2018 prices over
the forecast period to reach PEN44 in 2023

Prospects

Lifestyle of Peruvians has a negative impact on ocular health

The new way of life of Peruvians has a negative impact on certain aspects of their health,
leading to eye discomfort, stress, respiratory illness and digestive problems, amongst
others. Although the Ministry of Health has tried to create awareness that can help
consumers prevent some of these problems, these efforts have not been not carried out
effectively due to a number of institutions having different goals. This is unlikely to change
over the forecast period.

Problems with exposure to computers and cell phones

In the specific case of eye care, the main problems in recent times are linked to the
extended exposure to computers and cell phones. It is often impossible to avoid this
exposure due to the daily routines of work, study or leisure, and this has led to eye care
products being in great demand, in particular those used for treating dry eyes. Demand for
standard eye care is unlikely to change over the forecast period.

Sustained growth expected

Eye care is expected to enjoy sustained value growth at constant 2018 prices over the
forecast period, albeit at lower rates than those witnessed over the review period as the
category reaches maturity. Before the economic boom, most consumers did not consult
doctors or pharmacies when suffering from eye problems, unless it was a particularly
worrying case. Now, eye care is more accessible given the growth in the number of
pharmacies in the country and wider availability of eye care products and eye doctors.

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EYE CARE IN PERU PASSPORT 2

Competitive Landscape

Leading player Johnson & Johnson’s brand Visine increases its value share
Johnson & Johnson del Perú led eye care in 2018 on the strength of its Visine brand, the
value share of which increased again in 2018.

Limited publicity
Publicity in this category is almost non-existent, compared to other categories, which see
large investment in television and print media. The main driver of sales in the category is
point-of-sale advertising or the recommendations of pharmaceutical professionals. The
increasing number of chained pharmaceutical outlets allows players to increase their reach.

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EYE CARE IN PERU PASSPORT 3

DATAGRAPHICS

Market Sizes
Sales of Eye Care
Retail Value RSP - PEN million - Current - 2004-2023

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

Sales Performance of Eye Care

% Y-O-Y Retail Value RSP Growth 2004-2023

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

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EYE CARE IN PERU PASSPORT 4

Sales of Eye Care by Category

Retail Value RSP - PEN million - Current - 2018 Growth Performance

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

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EYE CARE IN PERU PASSPORT 5

Distribution
Channel Distribution for Eye Care
Retail Value RSP 2018 and Percentage Point Growth - 2013-2018

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

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EYE CARE IN PERU PASSPORT 6

Competitive Landscape
Company Shares of Eye Care
% Share (NBO) - Retail Value RSP - 2018

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

Company Share Performance in Eye Care

% Share (NBO) - Retail Value RSP - 2009-2018

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

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EYE CARE IN PERU PASSPORT 7

Retail Sales Performance by Company

Retail Value RSP (NBO) - PEN million 2018 - % CAGR 2013-2018

12
J OHNS ON & J OHNS ON DEL PERÚ S A

10

QUÍMICA SUIZA S A
4
MEDIFARMA S A

2
ALCON PHARMACEUTICAL DEL PERÚ S A

0
0% 10% 20% 30% 40% 50%

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

Market Concentration of Eye Care by Company

% Share (NBO) - Retail Value RSP - 2009-2018

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

Brand Shares of Eye Care

% Share (LBN) - Retail Value RSP - 2018

Vis ine 38.6% Bra nd % S ha re

Fre s h Tears 15.9% Vis ine 38.6

Fre s h Tears 15.9
E ye Mo 10.7%
Eye Mo 10.7
Biote a rs 10.1%
Biote a rs 10.1
Tears Na tura le 5.9%
Tears Na tura le 5.9
Re fre s ka n-T 4.5% Re fre s ka n-T 4.5
Ojos a n 0.3% Ojos a n 0.3

Re d Off 0.2% Re d Off 0.2

Othe rs 13.7% Others 13.7

Incre a s ing s ha re De cre a s ing s ha re No cha nge

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EYE CARE IN PERU PASSPORT 8

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

Brand Share Performance in Eye Care

% Share (LBN) - Retail Value RSP - 2009-2018

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

Retail Sales Performance by Brand

Retail Value RSP (LBN) - PEN million 2018 - % CAGR 2013-2018

12
VISINE

10

4 OTHERS

2
TEARS NATURALE
REFRES KAN-T

0
0% 5% 10% 15% 20% 25% 30% 35%

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EYE CARE IN PERU PASSPORT 9

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

Market Concentration of Eye Care by Brand

% Share (LBN) - Retail Value RSP - 2009-2018

Bra nds 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Top 3 Bra nds 48.8 49.2 49.0 52.5 56.0 58.1 61.0 64.2 64.7 65.2
Others 51.2 50.8 51.0 47.5 44.0 41.9 39.0 35.8 35.3 34.8

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

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EYE CARE IN PERU PASSPORT 10

CONTEXT

International Contex
Eye Care Retail Sales by Region Eye Care in Peru
USD million - Constant - 2018 Retail Value RSP - USD million - Constant - 2004-2023

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

FMCG Index
Eye Care vs Selected FMCG Industries

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

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 EYE CARE IN PERU PASSPORT 11

Socioeconomic Context
Population Growth Index Peru vs Other Geographies
Population Growth Index 2001-2030 Rank out of 210

Households with a Disposable Income Households with a Disposable Income Number of Internet Subscribers Number of Mobile Internet
Over USD25,000 - Peru Over USD25,000 - Lima Subscribers
Actua ls - '000 - 2017 Actua ls - '000 - 2017 Actua ls - '000 - 2017 Actua ls - '000 - 2017
1,565 1,029.9 22,993.3 20,647
6 1 s t pe rce ntile 95th pe rce ntile 82nd pe rce ntile 8 1 s t pe rce ntile

His toric Growth His toric Growth His toric Growth His toric Growth
2012-2017 CAGR 2012-2017 CAGR 2012-2017 CAGR 2012-2017 CAGR
6.5% 9.5% 59.5% 93.2%
67th pe rce ntile 87th pe rce ntile 77th pe rce ntile 89th pe rce ntile

Fore ca s t Growth Fore ca s t Growth Fore ca s t Growth Fore ca s t Growth

2017-2022 CAGR 2017-2022 CAGR 2017-2022 CAGR 2017-2022 CAGR
5.7% 6% 5.6% 5.6%
7 1 s t pe rce ntile 77th pe rce ntile 33rd pe rce ntile 27th pe rce ntile

Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks,
trade interviews, trade sources

© Euromonitor International