E-commerce is not a new word to the world, and people have gotten accustomed to online shopping more than before. Over 12 million e-commerce websites are functional globally right now, and the number is expected to exceed in the coming years. Holidays like Christmas, Easter, and Consumer’s Day in Brazil account for massive sales through e-commerce platforms. Out of Brazil’s total 213 million population, 160 million have access to the internet, and 150 million are active social media users. The stats show that Brazilians are quite equipped with technology and make use of the internet regularly. 75% of the population consists of avid internet users, which is more than many other countries globally.
E-commerce in Brazil
The high number of internet users contributes to the well-established e-commerce market in the region. 79% of the population used a shopping app on their phones at least once in the past year, and 76% made a purchase. Brazil is considered to be one of the most proliferating e-commerce markets in Latin America. Not only do people use their computers and laptops to search for products and purchase them, but mobile phones also play a major part. 50.8% of the total e-sales made constituted of mobile phone sales. M-commerce also seems to have a promising future in the country and emphasizes the need for responsive websites.
In the past year, the total value of the Brazilian e-commerce market came out to be around $21.22 billion based on purchases by 105 million people. It is expected that by 2040, the global shopping perspective will be revolutionized with only 5% physical purchases. Experts forecast online retails to reach 95% of the overall sales by 2040. While we talk about the changes by the next 20 years, it is worth noting that 93.5% of internet users have bought at least one item off the internet throughout.
The Current Brazilian e-commerce
The last year has been tough due to the pandemic and disturbance in routine. However, it also led to profit for some businesses. As everyone was stuck and home and could not go out, e-commerce websites and online selling experienced a hike in the past year. Many people improved their business strategies to make the most out of the situation while numerous brands moved to online platforms. The pandemic made everyone think that it is not essential to go out to buy stuff. Instead, you can get everything at home at just a click away. Apart from food and grocery, EBANX observed a 106% increase in payment volume regarding online games and streaming.
Being among the highly expanding e-commerce markets in Latin America, Brazil is going strong and improving. The e-commerce market is expected to hit US$31,491m by 2025 at a growth rate of 7.20%. Experts forecast the user penetration to reach 63% by 2025.
What is the Importance of Seasonal Holidays to Brazilian e-commerce?
Like other parts of the world, people in Brazil also make more purchases around the holidays. Apart from Christmas and Easter, Mother’s Day, Father’s Day, Children’s Day, Free-shipping Day, Consumer’s Day, and a few more are on the list. A significant increase in sales is observed, and people spend generously on online shopping during these occasions. While several people still go out to buy things by themselves, most people prefer ordering through a website, especially if they are away from their family. Each of the festival and occasion holds a specific place in the Brazilian e-commerce market.
Christmas is celebrated globally on the 25th of December and is among the most popular festivals. It is a time of joy togetherness and for children to get their favorite gifts. Millions of presents are exchanged on Christmas in the form of Santa and secret Santa, allowing businesses to make more profit. Not only do people buy things for kids, but the electronics, apparel, and makeup market also enjoys the best sales of the year. With other Christmas bonuses, the 13th paycheck allows the employees to purchase gifts for their families and enjoy heartily. Christmas preparations in Brazil begin as early as the 14th of November, leading to high e-sales till the last week of December. The number of sales in 2017 increased 13% compared to the previous year with the same increment in online orders.
Black Friday is not a relatively old tradition in Brazil; rather, some websites introduced it in 2010. It is celebrated on the Day following Thanksgiving with massive discounts on all products, including clothes, makeup, footwear, mobile phones, accessories, etc. It might surprise you, but the first two years of Black Friday sales did not go as planned and resulted in false advertisements. However, since 2012, the offers and discounts are being monitored, and the best sales are ensured.
The Brazilian consumers spent USD 563 million on Black Friday shopping in 2017, around USD 50 million more than in 2016. Events like Black Friday, Black week sales, and Cyber Mondays are gaining popularity in the country and enable e-commerce businesses to make more money.
Celebrated on the second Sunday of May, Mothers’ Day is the second most lucrative event after Christmas. Mothers’ Day is celebrated with utmost zeal and love, and presents for mothers are bought throughout the country. Other than Consumer’s Day in Brazil, Mothers’ Day, Fathers’ Day, and Children’s Day are celebrated all over Brazil. With a growth of 12%, the Brazilian online shoppers spent USD 565 million on Mothers’ Day last year. The average cost of products sold near Mothers’ Day is quite high as people tend to gift luxury items to their mothers, grandmothers, and other mother figures in their lives. Whether you own a cloth brand, electronics, luxury items, or fragrances, it is high time for business in Brazil. The e-sales in 2014 hiked 55% compared to the last year generating a revenue of BRL 5.90 billion.
While children’s Day is celebrated worldwide, it is a major event in Brazil. The sales on Children’s Day account for the 4th highest in the country. The 12th of October is another Christmas for children when they receive gifts and appreciation from their elders. It is a day of new releases of toys and devices for kids in the segment. In 2017, coupons became more popular during the children’s day season, exhibiting an increment of 130%. Superhero action figures, miniature cars, fashion dolls, bikes, and board games are the favorites among children. Most of these items are bought online, and the growing trend of electronic devices in the previous years.
Are you surprised to see that such a day exists? Don’t be. When 90% of the consumers give up buying products due to high shipping charges, what can be better than a free-shipping day? It is celebrated on the last Friday of April across Brazil. People shop their hearts out on the occasion as the delivery charges are exempted, and people do not have to pay a penny extra. In 2017, the concept was such a success that businesses extended the offer to one more day with no shipping costs.
Consumer’s Day is the last one on this list but not all unimportant. As you must have noticed, most of the discount-oriented events occur in the second half. With only mothers’ Day in the first semester of the year, Consumer’s Day is a nice opportunity to stir up the market a bit. It is another occasion for the sellers to interact with the customers and make better sales. Consumer’s Day brings joys and discounts to the consumers and proves to be really profitable for the businesses.
What is Consumer’s Day?
To make the best out of Consumer’s Day, you must know all about it. The United Nations created Consumer’s Day in 1962, adapted by the Brazilian market in 2014. With passing years, Consumer’s Day gained more popularity and made more sales every next year. The 2017 Consumer’s day campaign in 2017 expected to boost sales highly and make it the black Friday of the first half of the year. The campaign was a huge success, and people rushed to the discounts and promotional offers on the Day.
Consumer’s Day is celebrated on the 15th of March and becoming a well-known event by the common people. While it has not been as popular as Christmas and Mothers’ Day in the past, now a large fraction of the population is familiar with it. Reports show that 46.9% of people were aware of the event in 2019, and this number rose to 61.4% the next year. An increment of around 15% in just one year shows how the occasion has impacted people positively and told their friends and family about it.
What do the Consumers in Brazil Want?
Brazil, also known as the e-commerce powerhouse of Latin America, is among the most progressive e-commerce markets globally. Consumer’s Day in Brazil plays a vital role in uplifting the e-retails in the first half of the year, taking it to the top 10 markets globally. The Brazilian customers are the driving force behind the successful e-commerce market, yet they are also choosy. They do not just buy anything offered to them but instead consider some factors before deciding. It is observed that most people think about the price while making a purchase. Businesses offer the least prices on Consumer’s Day with high discounts. Yet, people are still skeptical about making purchases until they get the best offer.
Another critical factor for Brazilian customers is shipping costs. Even with the huge discounts and near-to-nothing prices, customers do not buy things due to shipping costs. Delivery charges impact the decision of more than 55% of the buyers. It is a common practice that people look forward to buying from places that offer the highest discounts. Consumers in Brazil also consider discounts and deals to be a major factor while shopping on Consumer’s Day, with 29.5% deeming it highly important.
E-commerce users in Brazil spent $5.66 billion on electronics and physical media in 2020, followed by $4.51 billion on fashion and beauty. Other popular product categories include food and personal care and furniture and appliances accounting for around $3 million each. Travel and accommodation generated the highest revenue worth $15.97 billion in the past year.
When do Consumers Start Looking for Deals?
As Brazilian consumers are highly inclined towards online shopping, they start looking for sales and discounts days before an event. Whether you are looking to buy gifts for Christmas, Mothers’ Day, Fathers’ Day, or any other, you can find the items on sale way before the event.
However, as 35% of the population is still not much aware of Consumer’s Day, a number of them start looking for deals and discounts just when they are live. 31.3% of people start searching for the expected discounts 15 days before Consumer’s Day, in the first week of March. The most common mediums used to search about Consumer’s Day include search engines accounting for 61.5% of the searches and e-commerce websites for 47%. With a huge population of Brazil using social media, 31.6% search through different social media platforms. Consumer’s Day in Brazil is undoubtedly a big thing, and everyone wants to make the best out of it.
Consumer’s Day has reached heights in the past years and definitely surpassed the expectations of the sellers. With incredible discounts and free delivery by numerous brands and e-commerce stores, Brazilians shop whatever they can to save high. Not only do they think about the current circumstances instead, but they also look to save as much money as possible.
What Makes Consumer’s Day so Popular?
If you are wondering that the hefty discounts are more than enough to attract people and gain the limelight, you might be surprised to know that there is more to it. People in Brazil do not think of Consumer’s Day to be an opportunity to buy as much as they can or to just get their hands on cheap stuff even if they don’t need it. They plan well before the Day keeping in mind the previous deals and discount patterns. Consumer’s Day in Brazil allows the consumers to take advantage of the amazing discounts and lesser prices. They make purchases while keeping nearby events and occasions in mind.
As Mother’s is around the corner, most people now tend to buy gifts and vouchers on Consumer’s Day regarding Mother’s Day. Though the trend is becoming common in Brazil now, the e-retails on Mother’s Day are no less either. The sales most prevalent on Consumer’s Day include electronics, devices, mobile phones, and luxury brands that offer lesser prices.
Another festival that comes around on Consumer’s Day is Easter. The buyers find it an excellent opportunity to buy chocolates and household items before Easter at better prices. Like apparel, jewelry, electronics, and luxury items, some chocolate brands offer discounts on their products. Isn’t it a smart approach to buy Easter chocolates at good prices on Consumer’s Day!
What is better than Consumer’s Day?
Have you wondered what can be better than Consumer’s Day? All the discounts at Consumer’s Day make it outstanding, but there is more for the people on Consumer’s Day in Brazil – a whole week! Yes, many e-retailers in Brazil now offer a whole week of the same offer as on Consumer’s Day. You can enjoy all the lucrative benefits throughout the week on some brands, just like Black Friday.
What Else do the Customers want?
If you think that consumers only look for massive discounts on Consumer’s Day, now they don’t. The customers want to be celebrated and appreciated and look for more than just reduced prices. 53% of the people willing to make a purchase on Consumer’s Day expect free delivery, while 15% look for special payment conditions. Besides free shipping, 12% believe that these brands should offer customer loyalty programs, and 7% expect cashback.
How to Boost Your Sales on Consumer’s Day in Brazil?
Consumer’s Day is a perfect opportunity for businesses to mint more money than usual by reducing the prices and making more sales. This strategy is quite powerful than many others as it attracts more customers and helps you build a strong base. If you are looking forward to capturing the market on Consumer’s Day, make sure to keep all the elements in mind that convince a potential customer to make a purchase. Consumer day in Brazil is well-known for the discounts, but you can provide more value to the customer to hook them.
Additives like free shipping, cashbacks, or customer loyalty programs can make the customers make purchases from you. Deals, like getting one free on buying two or getting cashback on a particular amount, can be more captivating. Remember that the customer is a business’s God, and it is essential to keep your customer happy to expand your business.
Making the right use of Consumer’s Day in Brazil can be highly beneficial for your business!