Retailing in Brazil

There are two styles of retailing that we discovered in Rio. The top end retailers are displaying with flair and the salespeople are very engaging. Then the rest of retailing in my opinion has some challenges.

Many retailers have arrived at what I believe is the final promotion,”70% Off”. Once you arrive at that promotion strategy I do not know where you go next. You have a cost driven campaign and it is difficult to develop a strategy to grow sales after such a promotion. It is even more difficult when salespeople do not recognise the consumer and seem to be just there to take any money that is offered.

The result is that I believe the top end retailers during the recession will continue to trade well whilst the poor retailers will be the ones who will find it difficult to survive.

There are interesting lessons to pick up on in Rio.

Put it on Wheels

Taco, a fashion retailer makes sure all display units are placed on wheels. The displays are also colour coded with merchandise.

Throw paper around

Tis white goods supplier scattered packaging packer around the store and the product to provide a “just arrived” and it is “special” promotion. Different

Pop-up at the Botanical Gardens…

The Botanical Gardens in Rio is one of the best in South America. When we were at the garden they were getting ready for an orchid show. As we left the garden there were at least twelve “Pop Up” stalls from nurseries selling orchids. A lovely example of Pop Up in action that is focused on a target market.

Farmers Markets in Rio

The markets are regular and a major event. Having visited a number of markets, they were busy and thriving.

For me there were three take home points.

Merchandising

I love the way they are creating walls of green using leaf vegetables. The wall is in the “sightline” of the consumer and constructed using wooden crates. The vegetables are then stacked against the crates. This makes a few vegetables look a lot more.

Adding value with a knife

A sharp knife and a cut in the right place can add value to a product in the consumers eyes. Whether it is a mango or corn, knife skills can make a big difference.

Tasting with theatre

Strawberries were the “exotic” fruit on our visit to the market. The store holder presented them for tasting with passion and theatrics. It made the sale. We need to put a lot more passion into our tasting stations.

Eco-tourism

Our main reason for coming was to experience the Eco-Tourism in the Pantanal region of Brazil. This is one of the global Biological hotspots and the largest wetland in the world, plus a place where you can see wildlife up close, something that is difficult in the Amazon jungle to the north.

The wild experience is amazing and an opportunity to look at wild Brazil up close. The organisation of the tourism in the country misses many opportunities and an astute approach to tourism would increase the consumer experience and dollar spend. The message that came across to us is that “think like your consumer” and you will be rewarded with extra income.