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What Brazil’s Huge Middle Class Will Buy in 2014

If Brazil’s Classe C middle class were a country, its annual consumption is enough for it to be among the top 20 countries in the world. With a total population of 108 million people, in 2013 Classe C spent R$ 1.17 trillion (US$530 billion). Recent studies from Serasa Experian, Data Popular and other sources have identified a number of hot products that Classe C will purchase in droves during 2014.

Auto
Autos

Brazil’s Classe C will buy 3 million cars in 2014. In all of 2013, Brazilians of all socioeconomic classes purchased 3.6 million cars, a figure that suggests that the middle class will account for most car purchases in 2014.

2 clothes
Clothes

The Brazilian middle class will be responsible for 41% of all clothing purchases made in Brazil during 2014. Classe B will be responsible for 40% of the clothes purchases, will Class A will only account for 8% and Classes D and E combined will account for 8%.

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Cosmetics
In general, Brazilians of all socioeconomic classes will spend 14% more on cosmetics in 2014 than they did in 2013. Last year, Classes B and C were the biggest consumers of cosmetics in Brazil. Classe B Brazilians spent R$ 383 million (US$172 million) on cosmetics while Classe C Brazilians spent R$ 317 (US$143 million).

3 furniture
Furniture
Brazil’s middle class will spend R$ 7.8 million (US$3.52 million) on furniture.

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Refrigerators

Classe C Brazilians will buy nearly 5 million refrigerators during 2014.

5 phone
Smartphones

Classe C will buy 3.9 million smartphones during 2014. Since IDC predicts that overall sales of smartphones in Brazil will reach 47 million units, this means that the Brazilian middle class will account for 8% of smartphone sales in 2014. In addition, a recent study from Kantar Worldpanel indicates that smartphones have a 17% penetration rate among Classe C.

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Tablets

It’s projected that the Brazilian middle class will buy 4.5 million tablets during 2014. Since total tablet sales in Brazil during 2014 are projected to reach 10.7 million, this means that Classe C will account for nearly half of all the tablets purchased in Brazil this year.

7 travel
Travel

Classe C will continue to step up its travel during 2014, spending R$ 8.5 million (US$3.84 million) on travel within Brazil and R$ 3.2 million (US$1.44 million) on travel outside of Brazil. Recently, Brazil’s Tourism Ministry indicated that Brazil’s middle class will make up 53% of the total of Brazilians who will travel outside the country in 2014. A 2012 study from Amadeus, a travel firm, indicated that Argentina was the #1 foreign travel destination for Classe C Brazilians, followed by Paraguay and Uruguay. The United States came in 4th place for Brazil’s middle class travelers, followed by Portugal and Spain.

7 tv
TV Sets

Classe C will purchase 6.7 million TV sets during 2014. Given that one economist has predicted that overall, Brazilians will purchase 9.5 million TV sets this year, this means that the Brazilian middle class will account for 70% of all TV sales in Brazil in 2014.

To find out more how we can help you reach Classe C via an online campaign or through any other form of media, please contact us.

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7 of the Latest Trends among Brazilian Consumers

After reviewing dozens of new studies, we have identified some of the important patterns among Brazilian shoppers to help brands and agencies reach them more effectively.

#1 Brazilians Are Spending More on Cars
Research from Pyxis Consumo indicates that in 2013 each Brazilian will spend an average of R$1,691 (U$724) on car expenses. This is 6% more than in 2012


#2 Brazilians go to Shopping Centers 4 Times a Month

A study from Ibope Inteligência uncovered this trend. About the same amount of men as women frequent shopping centers in Brazil. Young, single Brazilians are the shoppers that most frequent malls (4 times a month), while married Brazilians go there slightly less (3 times a month).


#3 WhatsApp is the most popular app in Brazil

A survey from Qualcom conducted in August 2013 revealed that WhatsApp is the #1 app in Brazil, followed by WeChat. Facebook, previously the #1 app in Brazil, is now at #3.


#4 Wednesday is the Most Popular Day for Brazilians to Watch TV on Their Cell Phones

This was one of the results of a recent survey from IBOPE Media Lab. The study also found that Brazilians who watch TV with their mobile phones tend to stay linked to mobile TV programming for 60 minutes a day and that the highest rate of TV watching via mobile phone happens when soccer games are broadcast.


#5 Brazilians Will Spend More This Christmas

Research from Deloitte indicates that nearly 60% of Brazilians will spend more on Christmas gifts in 2013 than they did in 2012. As part of the spending increase, Brazilians plan to spend 11% more on each present. More than half (54%) of Brazilian consumers will research products before buying them. And for the first time since Deloitte began doing their annual survey of Christmas shoppers in Brazil, credit cards were indicated as one of the main form of payment. More than 80% of Brazilians plan to give clothes as a Christmas gift this year, while 46% will give shoes and 46% will give cosmetics. Portable electronic devices are the gift most Brazilians would like to receive this Christmas.


#6 A Mix of Foreign and Domestic Brands Are Among the Most Respected

Shopper Experience and Consumidor Moderno surveyed Brazilian consumers to find out the brands they most respect. Here’s a quick breakdown of a few of the most respected brands:

  • Foods: Nestle
  • Cell Phones: Apple
  • E-Commerce Store: Netshoes
  • Personal Hygiene and Perfume: O Boticário
  • Pay TV: Sky
  • Mobile Phone Service Provider: Vivo
  • Appliances: Electrolux
  • Electronics: Samsung
  • Internet Service Provider: UOL


#7 Female Internet Users Search the Most for Tutorials on Hair Care

A survey of Brazilian female Internet users by Sophia Mind shows that the main thing they search for online are tutorials on hair care. Nearly 6 out of 10 (58%) do this, while 57% look for tutorials on skin and body care and 52% look for makeup tips. This suggests that cosmetics brands have a good opportunity to offer more videos in their content marketing and also step by step photo tutorials in blog posts. Considering that Blogger, Tumblr and WordPress are among the top 10 social media sites in Brazil, this kind of content can reach the users more easily. Another reason brands should take advantage of this data is because beauty products are among the products that Brazilians most often purchase online.

To find out how we can help you reach Brazilian consumers with a campaign in any form of media, please contact us.