With one of the world’s largest and most diversified economies, Brazil represents an attractive opportunity for a variety of US products and services. Given the size of its population, the wealthiest percentile of Brazilian consumers alone constitutes a target market for consumer goods and services that surpasses the entire population of many other countries. In addition, the sophistication of Brazil’s industrial and financial sectors, and hence its demand for intermediate goods and services, is first rate.
Brazil is BIG!
One fact not to overlook is the vastness of Brazil, a country with over 200 Million residents that is divided into five regions:
- The Amazon Basin region (North, w/about 16M citizens)
- The Northeastern Coastlands (NE, w/54M)
- The Rio de Janeiro, Vitoria and Sao Paulo coast (SE, with over 80M residents)
- The South States Region (South, over 27M citizens)
- The Inland Plateau (Central/West, with around 14M residents)
The South and SE are the richest regions and most urban with thriving metropolitan areas surrounding the major cities of Sau Paulo, Rio de Janeiro, Brasilia and Porto Alegre. Amazon, Google, Yahoo and other U.S. giant companies already have offices in Brazil.
Brazilians Are Already Buying American
Currently, over 42.2 Million people have performed at least one online purchase in Brazil. The Brazilian B2C E-commerce segment accounted for US $11.0 Billion in 2012. Online retailers are taking advantage of U.S. selling techniques. The most profitable industry sectors for online shopping include electronic appliances, computers, electronics, and fashion and accessories. Fashion is a particularly interesting category despite the widely held belief that Brazilians need to try on clothes before purchasing. Brazilians tend to purchase through marketplaces and group buying websites. Brazilians also like to take advantage of online discount websites and coupons. Many middle class consumers are aware that online prices for consumer goods and customer service policies are better than in stores.