Reaching the Consumer in Brazil
- Growing Sectors
- Automobiles, computers and software, e-commerce, IT related equipment, computer equipment, pharmaceutical products, telecommunications and tourism.
- Consumer Behavior
- Consumers are loyal to brands; including the low income population which this allows to assert itself. More well-off consumers pay particular attention to quality, after-sales service, and the company's social commitment (protection of the environment, sanitary standards, etc.)
National pride is reflected in consumer habits, but Brazilians remain attached to foreign products as exterior signs of wealth (technological equipment, American sports brands, etc.)
- Consumer Profile and Purchasing Power
- Consumption among the majority of the population is turned towards food and housing. The Brazilian consumer is more demanding and selective. He is aware of quality, the price of goods and special offers. Brazil is a dual economy, in which the upper classes distinguish themselves by consumption close to that of the United States and Europe, while the poorer people have to be careful with prices and buy almost exclusively on the unofficial market.
- Consumer Recourse to Credit
- In full expansion, especially among the middle classes and in spite of some of the highest interest rates in the world. Everything is bought on credit: real estate, household appliances, brand name clothes. Many shops offer to spread payments over a period of time, sometimes without charging interest.
- Consumers Associations
IDEC , Brazilian Institute for the Defense of the Consumer
Media in Which to Advertise
- A means which makes it possible to reach all of the Brazilian population, all social categories taken into account. Everyone watches television, especially when the telenovelas are on in prime time, and during sports events that the country is taking part in.
Grupo Bandeirantes de Comunicação
Central Nacional de Televisão (CNT).
Multirio-Empresa Municipal De Multimeios LTDA.
Sistema Brasileiro de Televisao (SBT)
Fundacao Padre Anchieta
TV BRASIL (EBC)
- Much read by the more well-off and more educated people, company managers and civil servants. The main dailies are published regionally but read all over the country.
- There is large potential for targeting the Brazilian consumer via direct marketing.
- In Transportation Venues
- Adverts on means of transport are common, but not on public transport. The city of São Paulo has even prohibited any advertising posters anywhere in the urban area. Given the very low cost of labor, sandwich men or touts are used a lot by small companies.
National association of bus advertising companies (in potuguese)
- Television has widely replaced radio as a means of daily entertainment, but listening ratings are still high, especially in rural areas, small shops or means of transport. Most transmitters are local or regional.
Radio Globo / CBN
- New Technologies (E-Marketing, SMS, etc.)
- On line commerce is in full expansion; the Brazilian market is the leader in Latin America, with 20 million regular Internet users. Consequently, on line advertising uses the same means as in OECD countries, and seeks to target Internet users more subtly, by e-mail, hyper-links, pop-ups, meeting web-sites. The now famous "facebook" has not really made imitators in Brazil, where its competitor "orkut" is already in a dominant position.
- Main Advertising Agencies
Members of the professional association of Brazilian advertising agencies
Main Principles of Advertising Regulations
- Advertising concerning alcoholic beverages must not incite people to drink, nor to behave irresponsibly. They must target people over 25, and not be broadcast on television and radio except between 9.30 pm and 6 am. On billboards and in events sponsored by firms, only the name of the brand and the representation of the product are authorized. Any advert must be accompanied by an official message advising against excessive drinking.
- Must not be aimed at people under 25, must not be associated with a source of pleasure, relaxation or well-being, nor promote excessive consumption. No official sports personality may appear in the advert.
- Advertising for over the counter medicines must not use excessive scientific jargon, must not call on non scientific but strictly approved tests, nor encourage the systematic use of the medicine or use which is foreign to its purpose.
- Other Rules
- Advertising must not overstep the principles of respect, decency, honesty and integrity of people's private life, must not lead to violence, nor be based on fears, beliefs or superstitions. Comparative advertising is allowed but with a strict respect for objectivity.
- Use of Foreign Languages in Advertisement
- Tolerated to the extent it is necessary to put over the advertising message. Must be carried out in Portuguese and in a Brazilian socio-cultural context.
- Organizations Regulating Advertising
Brazilian council for the regulation of advertising
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One of the greatest attractions of Brazil is the large pool of consumers. Brazil currently has a population of nearly 190 million, and is projected to reach 195 million by 2010.
Hong Kong Trade Development Council (HKTDC) on 30 May 2011 related to Reaching the Consumer in Brazil
Government Trade Promotion, Hong Kong SAR
United Kingdom Trade Promotion, the United Kingdom