Brazil – Interesting “Market Insights” – Check Out Five B’s About The World Cup Host
You might know the 4 kilometre long Copacabana beach…and that Brazil is one of the world’s biggest countries, but did you know there are over 2000 beaches in Brazil? Including the longest in the world, Praia di Cassino (Casino Beach) that stretches an incredible 245km! Brazilians love their beaches so much that the equivalent of the British expression "Just my cup of tea" is "é mina praia" ('That's my beach").
Brazil may still be “emerging” as a huge world economy but it is already a leader in alternative energies. Since the 1970’s Brazil has been investing to secure local supply of power including hydro-electricity and biofuels. Today around 90% of all Brazilian road vehicles now have hybrid 'flex fuel' engines that can run on any mix of gasoline and “sugar cane” ethanol (that can deliver greenhouse gas reductions of up to 90% compared to conventional fuels). The estimated saving in CO2 emissions since their use is 600 million tonnes.
Half of Brazil’s land surface is rainforest making it one of the most biodiverse countries on Earth, home to more than 56,000 described species of plants (not to mention all the species of fish, mammals, birds and reptiles).
For consumers this means that “natural products” is not a trend but a lifestyle. Across categories you find endless ingredients based on seeds, fruits and roots; some are already well-known outside of Brazil, like the Açai berry, others are still to be “discovered” – like Cupuaçu, a member of the cocoa family with a creamy exotic pulp delicious in food or cosmetics. “Natura Cosmeticos” , N° 2 in Brazil, has always promoted itself specifically as an eco-friendly, sustainable company.
BOOMING & BEAUTY
Brazil is already the world’s largest fragrance market and is still the fastest growing
Projected to have grown by over 30% in the 5 years to 2016. And that is despite one of the toughest import duties – 40%! Meaning that a bottle of imported prestige perfume costs twice the price it does in the USA. No surprise that only 6% of the market is prestige versus 60% of the global fragrance market.
The beauty and personal care categories have experienced double-digit growth for the last 15 years
With modernisation and the growth of the middle class, the retail structure is changing quickly. Direct sellers (including Natura) are struggling, while beauty specialist retailers and parapharmacies/drugstores are the fastest growing channels today. Concept-wise, while all trends are present, our research shows a strong desire for nurturing, cocooning, gentle scents and concepts that express “mother love” and “mother earth”. With all those beaches and rainforest, it is no surprise that water, with its cooling, soothing, healing properties remains a powerful symbol in concepts for all categories.
We wish you all “Boa Sorte” (Good Luck!) for the World Cup!