Brazil : Retail Report Q3 2014

Business Monitor International
August 6, 2014
72 Pages - SKU: BMI5309055
Countries covered: Brazil

Brazil : Retail Report Q3 2014

BMI View: Brazil's retail sector will continue its strong growth trajectory over the medium to long term,boosted by an increasingly affluent population, rising urbanisation and a decrease in unemployment. Thenumber of households entering the USD10,000-plus income bracket will reach 60% by 2018, drivinggrowth in non-essential items/experiences, such as clothing, personal care and dining out. Lower incomehouseholds are also being targeted by budget store formats, particularly in the MGR sector, and we expectthis trend to continue.

The 2014 FIFA World Cup and the 2016 Olympics are set to promote investment into sectors thattraditionally benefit from major sporting events, although the Brazilian government's decision to raise taxeson beer and soft drinks ahead of the country's hosting of the FIFA World Cup is likely to affect volumesales in this retail category. Tourism offers a huge opportunity for the retail sector over the next few years,one which the retail groups are keen to capitalise on. In addition to this, Brazil's online retailers expect amassive sales boost in 2014, owing to the World Cup, according to industry research agencies E-bit andABComm (BNamericas).



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