The Pulse of Mexico’s Retail-Supplying SMEs

Talking about SMEs that supply Mexico’s retail sector means talking about a fundamental part of the country’s economy, but also about companies undergoing a profound transformation. The eighth edition of the "GS1 Barometer: SME Manufacturers in the Consumer Goods Industry," based on a sample of 530 companies, provides a clear snapshot of this moment: Mexican SMEs are financially stronger, increasingly digital, diversifying their sales channels, and optimistic about their future, although they still face significant gaps in turning this potential into sustainable growth.

One of the figures that best reflects this transformation is the evolution of their financial health. Eight out of 10 SME manufacturers rate their financial situation as good or excellent, compared with 63% in 2018. This 19-percentage-point improvement reflects greater resilience and adaptability. However, optimism should not be confused with consolidation: 66% believe their financial health can still be strengthened, and only 16% say they are currently experiencing sustained growth.

This leads us to a first conclusion: Mexican SMEs are no longer simply in survival mode; they are entering a stage of strengthening and professionalization.

The way they compete is also changing. Price, while still relevant, is no longer enough. For manufacturers, the factors they consider most important for commercial success are optimal raw materials, at 90%; a defect-free finished product, at 74%; quality certifications, at 62%; logistics and distribution, at 61%; and attractive packaging, at 60%.

The message is clear: competing in retail means creating value before, during, and after the purchase. Quality, efficiency, availability, experience, and trust are increasingly important in consumers’ purchasing decisions and in an SME’s ability to remain and grow within a retail chain.

Logistics Challenge

In this scenario, logistics emerges as one of the sector’s main challenges. Although 61% of companies recognize its importance, only 44% consider it a strength, while 29% identify it as a difficulty. This means there is still a gap between knowing what is required to compete and having the capabilities to deliver it.

The transformation is also taking place across sales channels. E-commerce is no longer an alternative; it has become a strategic priority. The percentage of companies that consider online sales “very important” increased from 37% to 46% in one year. Yet, there is still enormous room for growth: 54% of SMEs generate less than 10% of their sales through digital channels.

This reveals one of the major opportunities for the years ahead: digital ambition has already advanced; now it must be converted into monetization, efficiency, and profitability.

Commercial Ecosystems

Commercial strategies are also becoming more diversified. Four out of 10 companies sell through local or regional businesses, 37% use marketplaces, 21% sell through supermarkets, and 18% work with wholesalers. This confirms that SMEs are not necessarily replacing one channel with another; rather, they are building commercial ecosystems where physical and digital channels coexist.

Therefore, omnichannel should no longer be understood merely as a technology trend. For an SME, it represents an opportunity to expand markets, reduce dependence on a single channel, and engage consumers across different moments and touchpoints.

Technology is accelerating this transformation. Thirty-eight percent of companies already use artificial intelligence to improve at least one process. Its main application is content generation, at 54% among companies using AI, followed by chatbots at 35%, intelligent assistants for process automation at 24%, and predictive analytics at 6%.

The first entry point for AI appears to be marketing, communications, and customer service. The next step will be bringing it into operations, automation, and decision-making. True technological democratization will occur when these tools stop being used primarily to produce more content and become instruments to produce better, sell better, and operate better.

Something similar is happening with QR codes. They are already used by 40% of companies and are beginning to move beyond their logistical function to become an interface between products and consumers. Through QR codes, companies can provide nutritional information, videos, certifications, and loyalty initiatives directly through consumers’ smartphones.

Packaging, therefore, is no longer simply a container. It is becoming a medium for communication, information, and experience.

Optimism: Strength and Responsibility

Finally, one figure summarizes the sector’s current sentiment: 80% of SMEs expect their businesses to grow in 2026. This optimism is a strength, but it also brings responsibility. The challenge will be to turn confidence into results, strengthen internal capabilities, professionalize operations, accelerate digital transformation, and build partnerships that enable access to new markets.

At GS1 Mexico, we see this Barometer as more than a collection of indicators. We see the pulse of thousands of entrepreneurs learning to compete in a market where having a good product is no longer enough. Today, companies must identify it correctly, guarantee its quality, move it efficiently, tell its story, sell it across multiple channels, and provide consumers with reliable information.

Mexican SMEs are changing. They are moving from competing on price to competing on value; from relying on a single channel to building omnichannel ecosystems; and from adopting technology as an isolated tool to using it as an engine for growth.

The next great leap will not be digital alone. It will be about turning this transformation into more efficient, resilient, competitive companies capable of achieving sustainable growth.