“Inflation, rising unemployment, and more expensive credit are holding back consumption and quickly changing Brazilian purchasing habits. The focus is now on grocery essentials, while several nonessential categories have been cut from consumers’ purchasing lists over the past 12 months. As the economy continues its downward trend, promotional efforts and scaled-down versions are necessary for brands and retailers to survive. However, amid this surge of negative indicators, some age groups and regions of the country are standing out for their purchasing potential and represent opportunities for marketers in the current and short term.”
This report will answer the following questions:
Given the current economic scenario, what are the categories consumers are prioritizing and what categories have they cut back on in the past 12 months?
Which demographic groups are the most likely to have increased their purchases in the past 12 months?
What are the main reasons leading to consumers’ change in purchasing habit?
What actions are consumers taking in order to save money?
What attitudes and habits are influencing consumers’ shopping behavior?
Definition
This report builds on the analysis presented in Mintel’s Consumer Spending Habits – Brazil, September 2014 and July 2013 reports.
This report explores consumers’ spending behavior and their attitudes toward savings. In particular the report tracks whether consumers have changed the amount of products purchased in 10 different categories over the past 12 months, the reasons behind this change, the actions consumers engage in order to save money and their attitudes toward purchasing.
Minimum wage is a term referred to throughout this report. In Brazil, minimum wage is the minimum amount set by the government for the salary of regular workers in Brazil. In other words, it is the lowest salary an employer can legally pay to their employees for a full time job and also the lowest price a person can legally sell its workforce. For full-time workers the monthly minimum wage set for 2015 was R$788.
Abbreviations
| GDP | Gross Domestic Product |
| GNPD | Global New Products Database |
| IBGE | Instituto Brasileiro de Geografia e Estatística (Brazilian Institute of Geography and Statistics) |
| IPCA | Índice Nacional de Preços ao Consumidor (Consumer Price Index) |
| MMS | Mintel Market Sizes |
| p.p | Percentage Points |
| PNAD | Pesquisa Nacional por Amostra de Domicílios (National Household Survey) |
| SELIC | Brazilian Prime Interest Rate |
