GfK: Brazil has seven consumer profiles
GfK, a consumer and market intelligence consultancy, presented to industry and retail executives, at the Presidents event, a study carried out exclusively for the fair, showing that in Brazil there are seven consumer profiles: the digital receptive, the brand enthusiast, the brand agnostic, the low-value traditional, the pragmatic, the store-seeker, and the high-value shopper. Each of them has a purchase journey that directly impacts market results.
GfK’s solutions director in Brazil, Ricardo Moura, responsible for the presentation, said that these seven shopper segments are more than buyers, they are an audience. “In recent years, we have seen a significant transformation in consumer behavior and, today, we are able to trace this new profile, bringing their product preferences and shopping styles.”
The study highlighted two profiles: the digital receptive, which has 27% representation, and the brand agnostic, with 14%. They take a completely opposite journey at the time of purchase and, while the former is mostly attracted by the online ad (100%) of a launch, creating the desire and making the purchase, the latter is not impacted by advertising and makes a detailed search of the best price and technical specifications to decide on the replacement of an item.
Time and motivation for replacement are also specific characteristics in the eyes of these consumers: 58% of brand agnostics buy because they need to be replaced, and 46% do so after six years of use. In the case of digital receivers, 18% had the upgrade as a motivator for a purchase, and 16% made this replacement after one or two years of using the product.
Online was the engine of growth in 2021. It had revenues of BRL 75 billion, which represented 32% more than that obtained in 2020. In 2022, it slowed down and stabilized at 46% market share. Shoppers’ purchasing journeys are increasingly online. “This demonstrates that it is essential to use digital touchpoints during the information search process, whether for on or off purchases”, said Ricardo. The growth of the marketplace, in turn, was observed in all categories. (see charts)
Ping-pong
What is an efficient buying journey like?
Ricardo Moura – It is one in which there is as little friction as possible, and the customer has the possibility to decide on the product according to their purchase priorities, whether based on price, brand, features, channel (on and off, marketplace and D2C, etc.), promotion or other factors. These journeys with less friction also have the participation of several components parallel to the product, be it the synesthetic experience in the store, or the emotional experience of advertising or even the recommendation of a relative or friend. This combination of factors, largely supported by knowledge of the consumer and the market, with prescriptive data, as is the way that GfK works, leads to a convergence of these aspects for a unique experience, whether of the product or retail.
And when does the consumer know more than the seller about the product?
RM – This is a reality that currently happens in any market and that must be leveraged by brands and/or retailers in the purchase journey, as this journey, as GfK has been highlighting for some time, is a phygital (physical + digital) and has the participation of the seller at various times. And why does a consumer who has knowledge of the product turn to the seller? Because there is still a need for security in the purchase process, and this security is the seller who can give to the customer – whether talking about product quality, easy payment options and the possibility of returning the product, or even how much brand A or B has excelled in sales and made customers happy. Today, knowing the product is not exclusive to the seller, but knowing the best sales’ argument is.
What is a consumer-friendly buying process?
RM – A lot will depend on the need to buy it, and I will list some, such as replacing a broken product, upgrading to one with more technology or buying an additional one, such as a new TV for the bedroom. Within these needs, the facilitated process will vary significantly. Let’s take as an example with a purchase of a new refrigerator to replace a broken one. In this process, there is tremendous urgency to acquire a new product. Thus, facilitating the purchase in terms of delivery and freight is essential, as the unforeseen breakdown causes a huge mismatch in the household economy and, with this, issues of credit, promotion and price become a no less fundamental criterion.
What are the main differences in behavior between generations?
RM – Regarding the on and off buying behavior, the generational gap is increasingly reduced. What does exist is a matter of life values and perspective on life. Generation Z (or Now Generation, as GfK calls it) tends to have a more inclusive, less individualistic, and more experience-oriented view of the world. These are factors that should guide not only the communication of brands, but also their positioning in the world facing the challenges and opportunities that we have encountered as a society. At the same time, we cannot forget that we have other generations that seek to adapt to the new reality, not losing their basic values and seeking spaces to celebrate the new.
Source: Eletrolar News #150
