Exploring Brazil’s Beauty Culture and Its Significant Impact on E-commerce
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Brazil boasts the largest market for cosmetics and perfume consumption in Latin America and ranks among the largest markets globally. Brazilian culture is distinct and inclusive; both men and women prioritize their physical appearance and are inclined to experiment with various products for their skin and hair.
The e-commerce sector has greatly benefited from this trend, as consumers increasingly prefer purchasing beauty products online. This has resulted in remarkable growth in e-commerce, outpacing many other product categories.
Now, let’s delve into the significance of beauty in Brazilian culture and how it has shaped the e-commerce market.
The Importance of Beauty in Brazil’s Culture
In Brazil, beauty plays a crucial role in shaping individuals, and grooming products, makeup, perfumes, and cosmetics have become essential parts of everyday life.
Why are Brazilians so dedicated to this? There’s a widespread belief that those who adhere to beauty routines are healthier, and thus, Brazilians tend to invest both money and time in applying these products.
Beauty rituals extend beyond the middle and upper class and are embraced by the entire population. According to the Brazilian Association of Beauty and Hygiene (ABIHPEC), 98% of Brazilians residing in favelas – neighborhoods with limited economic resources – affirm that they also engage in a daily beauty ritual.
Additionally, beyond everyday routines, expressions of beauty are present in diverse Brazilian traditions. The Carnival celebration serves as a great example of this. This festivity showcases lively parades and street dances in major Brazilian cities like Rio de Janeiro. Throughout the Carnival festivities, individuals dance adorned in extravagant costumes and vibrant makeup, underscoring the cultural significance attributed to beauty and self-expression.
Growth and Trends in the Beauty Industry in Brazil
The industry capitalizes on this cultural embrace and offers a wide range of products tailored to diverse skin tones and hair types. As a result, the market is continually expanding and attracting new brands. As of today, Brazil stands as the 4th largest beauty market in the world, valued at $33.14 billion and projected to reach $44 billion by 2029, according to Mordor Intelligence.
The global trend toward natural and organic products is gaining significance in Brazil. Consumers are increasingly seeking products with natural ingredients that are cruelty-free. In response, both national and international brands have adjusted their formulas to incorporate vegan and eco-friendly ingredients.
Moreover, customers are seeking affordable products that provide multiple benefits to the skin and hair, such as anti-aging, whitening, moisturizing, etc., at a cost lower than premium options. The same trend applies to fragrances, as most Brazilians base their purchase decisions on affordability and fragrance quality rather than opting for premium and expensive brands.
The Impact of Beauty in Brazil’s E-commerce Market
The beauty industry has become extremely important in Brazil’s e-commerce market. It is one of the leading categories with the highest sales. The e-commerce sales of beauty products nearly quadrupled between 2015 and 2022, and its market share has already exceeded 20%, making it the primary channel for purchasing the majority of these products.
On the other hand, in 2023, the beauty and personal care category experienced the highest growth in online sales, achieving a GMV growth rate of 5.8%, according to Ebit/Nielsen.
Numerous factors have propelled the online purchase of beauty products. Let’s outline the key ones below:
Access to products unavailable in physical stores
One of the primary reasons Brazilians buy beauty products online is to access a wider variety of brands and products. Some items are not available in local stores or supermarkets and are exclusively available online or through international purchases. In fact, according to BoFa, 85% of Brazilians have made at least one cross-border purchase in the past six months.
Rise of digital influencers
The majority of beauty content is consumed through social media platforms such as TikTok and Instagram. Influencers have emerged as key agents in promoting products and garnering the loyalty of millions of consumers to try new brands. Studies conducted by market research firms like Qualibest have revealed that Brazilian influencers are the second most influential source of information for consumer decision-making, following only recommendations from family and friends. Furthermore, 49% of respondents affirm that they have purchased a product because of digital influence. Influencers increasingly employ promotional strategies such as special discounts or unique coupons to direct traffic from their social media platforms to online stores or marketplaces.
Online Marketplaces Take the Lead
Online marketplaces like Mercado Livre, Americanas, Magalu, and VIA Varejo are the preferred channels for online shopping among Brazilians. These platforms excel at attracting millions of customers through marketing campaigns and targeted ads, thereby promoting the sale of beauty products. For example, during Dia Dos Namorados (Lovers’ Day), marketplaces offer discounts for makeup, fragrances, grooming products, and skincare, making it one of the days with the highest number of sales for those categories.
Conclusion
Brazil remains and will continue to be one of the largest beauty industries in the world. People are accustomed to following beauty routines, extending across various socioeconomic backgrounds. The preference for international brands and innovative products paves the way for the arrival of new brands seeking to increase their global footprint.
Undoubtedly, Brazil is a desirable destination for beauty, cosmetics, and perfume brands looking to boost their sales in new markets. Moreover, the greatest opportunity lies in online channels such as marketplaces, facilitating expansion.
Sell Beauty Products in Brazil’s E-commerce Market
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