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5 WAYS TO TAILOR YOUR ECOMMERCE STRATEGY FOR BRAZILIAN CONSUMERS

09.08.16

Brazil is the fourth largest internet market globally and has one of the fastest developing ecommerce industries in the world, currently valued at $20bn! The growing middle class are eager for a broader selection of quality goods at more competitive prices, so there is a huge opportunity for British brands who want to expand their global reach.

However, before you pack your bag and start imagining yourself on the beach, cocktail in hand, it is important to recognise that Brazilian consumers are very unique in their online shopping habits, and require a specific approach to build and maintain strong customer relationships.

PRODUCT SELECTION AND PRICE MATTER

Although the average personal disposal income in Brazil is constantly rising, it is the middle to lower classes of society that are most relevant to the Brazilian ecommerce sector; who, incidentally, account for the largest percentage of the population.

Although the average personal disposal income in Brazil is constantly rising, it is the middle to lower classes of society that are most relevant to the Brazilian ecommerce sector; who, incidentally, account for the largest percentage of the population.

In comparison, higher value products, such as luxury fashion and accessories, or high class electronics and appliances are currently not as popular among Brazilian online shoppers and are not recommended when you are initially setting up shop in the local market.

BRAZILIANS EXPECT A LOCALISED APPROACH

Besides taking into account shoppers’ particular tastes and the specific products consumers tend to buy online, you also need to consider the local language, culture and ethos.

For example, professional translation of all product titles and descriptions, as well as all web store content in the local language (Portuguese), is mandatory for the success of your online presence in Brazil.

For a greater impact, you should also understand and become part of the local culture, blending this with your marketing efforts. For example, during major local holidays and events, such as the Carnival in Rio de Janeiro, Copa America, Independence Day, Father’s Day, or the current Olympic Games, Brazilians expect to see lots of promotional campaigns, value deals and product selection that reflect the spirit of the events.

LOCAL PAYMENT METHODS ARE PREFERRED

Although Brazilians are becoming more and more confident in using international payment methods, when shopping online, they still favour completing transactions where at least one local payment option is offered.

As expected, credit and debit cards are the most popular payment method in the country, but local payment options, such as Boleto Bancário (a payment process similar to wire transfer or cash payment methods) and COD (Cash-on-Delivery) are still preferred by a great number of online shoppers in Brazil.

DELIVERY TIME VS COST

Unlike well-established online markets, such as the US and Western Europe, ‘delivery time’ doesn’t play a significant role in the purchasing decision of Brazilian consumers. Since delivery speed is a relevant factor for only 20% of online shoppers in the country, same-day, or even next-day deliveries are not very popular.

Instead, ‘delivery cost’ is what make Brazilian consumers complete an order, and low delivery prices affect the purchasing decision of 59% of shoppers in the country.

So, it’s no surprise that ‘free shipping’ is a purchase condition that has become common for the Brazilian ecommerce industry over the last few years, and 45% of all online purchases of physical goods in Brazil are now granted free shipping.

EXCELLENT CUSTOMER SERVICE IS MANDATORY

Brazilians might not be the most experienced online shoppers, but in terms of customer service they are one of the most demanding nations in the world!

As much as 79% of Brazilians expect to receive excellent customer service, and if they are not happy with the level of service provided, they will probably never go back to the same retailer.

In terms of response time, 80% of consumers expect an answer on the same day, when contact is made by email, while expectation for solving problems within 24 hours is even higher, at 90%. The expected response time via social media is also high, with 79% of shoppers expecting an answer within two hours or less.

The Brazilian Ecommerce Landscape

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