Presidents Special -DISTRIBUTOR

by Leda Cavalcanti and Dilnara Titara

Once again, companies in Brazil are calling for the much talked about and debated tax reform, political stability, tax reductions and legal certainty as the most effective way to attract investment. It’s almost a mantra that is repeated every year. We trust that the image of the proverb “soft water on a hard stone so beats until it pierces” is valid, an allusion to the fact that tenacity is capable of overcoming all difficulties; we hope so.

The company’s appeals are the same as in recent years and remain unanswered. It must be recognized that recent times have not been easy due to covid-19, whose effects have reached countries around the world, with serious consequences. One of the most serious problems for the electronics segment was the lack of inputs, which caused very large losses in production. In addition to the increase in international shipping costs. Another was the devaluation of the real against the dollar.

Inflation and interest rose, and Brazilian purchasing power fell, affecting consumption. The inflationary mentality seems to return with force when the country believed that it was finished. In 2022, Brazil’s growth forecast is 0.8% to 1.9%, while in emerging countries it reaches 5.1%, according to experts and the International Monetary Fund (IMF). Companies do not ask for miracles, but to look at the country more seriously.

It is necessary to improve economic indicators, as well as education and training of manpower. It is also necessary to put a stop to the high unemployment rate and the fall in income. Companies are ready to collaborate, but the basic problems mentioned above require a solution. Brazil cannot walk with endless debates. It’s time for conclusions, less polarization in politics and more common sense in decision-making.

ALLIED BRASIL

2022 proves to be challenging, with the prospect of higher inflation, rising interest rates and instability in international politics, says CEO Silvio Stagni. “However, it could be good for the electronics market in Brazil. We will have 5G, and every new technology causes a spike in demand. Consumers will look for these cell phones features, which could lead us to have a larger market than in 2021. We will invest in our areas of operation, retail and distribution, in omnichannel and in the company’s digitalization.”

The electronics market is undergoing transformation. “We had two years of a pandemic, and consumers changed their behavior in relation to their expenses. The focus has returned to home improvements, to work and play, but we are returning to the pre-pandemic situation, which will bring a better supply capacity on the part of manufacturers “, explains the CEO.

“In 2022, we will have 5G, and every new technology causes a spike in demand. Consumers will look for these cell phones features, this could lead us to have a larger market than in 2021.”

The distributor market is directly influenced by economic conditions and the purchasing power of the population, says Silvio. “If we have low inflation, avoiding the destruction of the population’s purchasing power, if we improve unemployment rates and market stability, making investments possible, we will certainly have a situation that will collaborate with the distributor market.”

FANCY

The company is very excited for 2022, says Junior Lago, marketing director. “Even in the last two years, in the midst of the pandemic, we have grown exponentially, and 2022 is being a turning point. We have the feeling that we are reaping the rewards of an excellent relationship of trust and partnership with our retailer and distributor partners.”

With the pandemic, consumer behavior has changed. Cell phone accessories have become essential for work, it takes connection with the various devices. “To meet the demand, we have prepared launches such as induction chargers for smartphones, smartwatches and Bluetooth headphones, simultaneously, wireless portable chargers, Bluetooth headphones with wireless charging, wireless lavalier microphones, hubs and the headphones and MFI cables (made for iPhone) produced in partnership with Apple”, says Junior.

“Even in the last two years, in the midst of the pandemic, we have grown exponentially, and 2022 is being a turning point.”

For the marketing director, the Brazilian economy is very strong, but there is still a lot to evolve. “It is necessary to carry out a strict inspection to establish a quality standard for the products and to put an end to counterfeit Anatel stamps. The value of the dollar has also affected our sector. As a result, we had some occasional adjustments, maintaining, in general, average prices.”

FUJIOKA

It has good expectations, even knowing that 2022 will be challenging and different from 2020 and 2021, says director Dvair Borges Lacerda. “Due to the internal structuring and the investment in technology and logistics we made, in addition to the increase in the number of active customers in our base, we believe that our revenue will be even better than that of 2021. Today, Fujioka is an official distributor of more manufacturers and brands than in 2021 and started 2022 with new partners.”

This year, the company is working on improving sales channel policy, logistics and omnichannel implementation. “We are further fostering the categories that we treat internally as specialization. We will work on the expansion of credit to customers with whom we have a longer relationship and on a plan for portfolio expansion,” says the director.  

“Today, Fujioka is an official distributor of more manufacturers and brands than in 2021 and started 2022 with new partners.”

The physical market is increasingly competitive and pressured by online. All channels are adapting to this reality, says Dvair. “The year has elections and the World Cup, in a period when there will also be Black Friday and Christmas. The last quarter will be interesting. In the economy, we see a great difficulty with credit. The costs have gone up a lot, we believe that the government should make more credit lines available, especially for small retailers and autonomous professionals. With the high costs, there is a huge difficulty for dealers to go to the market and buy according to their needs.”

HPRIME

The year started with great expectations for the company and it has been promising, says director Fernando Hudelist. “This factor plus the launches we will make will certainly lead us to have higher revenues than last year. In 2022, in addition to new products and improvements to those we already sell, we are creating lasting bonds with our B2B partners through training and capacity building so that they also strengthen and grow in their operations.”

The smartphone market is constant and agile, and so is the market for accessories for these devices, says the director. “These are markets that are always innovating and bringing new challenges. We have followed everything closely and met the needs of the partners who sell our products.”

“In 2022, in addition to new products and improvements to those we already sell, we are creating lasting bonds with our B2B partners through training and capacity building.”

To develop the distribution sector, Fernando believes that it is necessary to strengthen the currency. “This would have a direct effect on reducing the final price of the product, encouraging consumption. In addition, it is important to have incentives and attractive lines of credit for small business owners who were directly affected by the lockdowns during the pandemic.”

MOX DOTCELL

The company always thinks positively, says chairman and CEO Hassan Ali Abdallah. “We do our work to have the projected and expected result. As you all know, Brazilian entrepreneurs always face crises, and we have to know how to go through them all with dedication, persistence, quality products and great service. We hope to recover what we went through in the last two years of the pandemic.”

This year, it has a schedule of constant releases in all lines. “Our main highlight is always the quality of the products, but for 2022, it is important to highlight, we have many special news for the gamer line”, says the president and CEO.

“Our main highlight is always the quality of the products, but for 2022, it is important to point out, we reserve many special news for the gamer line.”

In the economy, Hassan comments that there is a lack of support for the entrepreneur. “Unfortunately, we only see factories and companies closing because people are tired of so much bureaucracy, interest and very expensive taxes. We need big changes, lower taxes and a simple and easy system. Companies are being wronged. In the case of the dollar, all our products are imported, so the exchange rate affects the sales price directly. Almost daily we have to change our price list, this is very confusing and bad for us and for our customers.”

NACIONAL SMART

In the last quarter of 2021, the board outlined a strategy for 2022, taking into account the challenging economic scenario, says Monique Frauendorf de Ulhoa Canto, CEO and President. “We put together an action plan divided into three phases. The expectation is that in 2022 revenues will be higher than in 2021, and the company will gain new unexplored markets and be even more competitive.”

The concept established by Nacional Smart is called Plano Brasil. “We analyzed the regional scenario concentrated in large capitals and detected that we have great potential for expansion in medium-sized cities, where there is good demand and little competitiveness. More proactively stimulating the repurchase of old customers, working internally on new incentives to increase the average purchase ticket and conquering new markets with Plano Brasil will certainly activate the distribution sector even more”, says Monique.

“The expectation is that in 2022 revenues will be higher than in 2021, and the company will gain new unexplored markets and be even more competitive.”

There are important factors for the company to move forward with the Plano Brasil, explains the CEO. “We depend on the increase in our base, both in meeting the new demand and in funding. Consequently, we strengthened the bond between the four most sensitive sectors of the company – marketing, sales, finance and service – so that they work in synergy and, in this way, we manage to maintain the quality of service, but at a national level, generating new business.”

RCELL

The expectations are the most positive for the company, says Alexandre Della Volpe Elias, marketing director. “Rcell has been moving since the beginning of the pandemic. In 2022, we will have a release that will position the company on another level. The year also marks the company’s two decades in the market, and we will have actions involving customers, manufacturers and partners.”

Today, Rcell distributes more than 30 brands in practically all categories, including electronics (portables, household and electronics), telephony, computers and video games. “This will be a challenging year. There will be elections and the World Cup. In addition to a high interest rate and high inflation, we have to account for the scarcity of inputs for technological products, such as smartphones, notebooks and video games. However, we see challenges as opportunities”, says Alexandre.

“In 2022, we will have a release that will position the company on another level.”

A lower exchange rate would favor imports with more accessible products. “On the other hand, we face a lack of input, which would increase inflation”, says the director. “We understand that the tax reform is essential and that the fuel PEC would have direct results in the distribution sector. The government should act strongly on two fronts: in privatization and concessions as a way to generate cash and in foreign investment. In this case, accompanied by legal certainty for the investor.”

SOMECO

Exclusive owner in Brazil and South America of the brands Telefunken, Novik Neo, Probass and Targa, Someco presented in 2021, a strong recovery in several aspects, including revenue, says Marcelo Palacios, general director. “In 2022, we expect to accelerate the pace of growth. However, this depends in part on the evolution of macroeconomics in general and the level of consumer confidence in particular, variables that are usually very volatile in election years, at least until the next political scenario is consolidated.”

This year, the company’s focus will continue to be on expanding the already broad Telefunken brand portfolio in the kitchen and personal care categories. “We are also planning the presentation of important novelties in the 2022 edition of Eletrolar Show,” says the general director.

“We are also planning the presentation of important novelties in the 2022 edition of Eletrolar Show.”

A comprehensive tax reform, involving a broad agreement among the states, is fundamental to the country, says Marcelo, who points out other problems. “The volatility of the dollar affects business. And the lack of inputs, associated with the current logistical challenges with the increase in freight, new variants of covid-19 and the energy problems in China, has compromised the recovery and forced the company to reformulate its launch plans and review the mix. We are going through a period of adjustment to the available supply of inputs. On the other hand, entire families of products that made total sense by 2020 needed to be rethought considering the current context of very high logistics costs.”

SUMMERLAND

The company aims to another year of constant growth, says director Hicham A. Hamze. “2021 was an incredible year, surpassing expectations, and for 2022 we hope for the same. A lot of work, wins, new partnerships of success, and consequently, higher revenue than last year.”

In 2022, the company will continue to highlight the Rock Space line of film and skin cutting machines, which revolutionized the market, says Hicham. “we continue with constant evolution, as our latest launch, the ZC1 Max, that cuts film and skins for notebooks up to 16”. This year we will release in the machine line, especially, the customizable skins.

“This year we will release in the machine line, especially, the customizable skins.”

The company works exclusively with imports. “Our negotiations are done in dollar. This makes inevitable that we will adjust the cost of our products with every negotiation. On the other hand, the lack of inputs did not affect us directly, due to the stock we keep and the fact that our manufacturer is prepared for this situation”, explains the director, who defends measures such as labor and tax reforms, tax incentives, and facilitated credits; points key to improving any economy.

THERMOMATIC

In 2022, the company intends, above all, to spread the culture of humidity control to a greater number of people, says CEO Jessica Kirsner. “Our goal is to give more visibility to the brand and to the benefits that proper humidity control can bring to health, material goods and the production line. With this, we intend to exceed 2021 revenue by 25%.”

The field of activity for Thermomatic is challenging. “We constantly need to adapt the company’s health to market prices, impacted by the rise in the dollar and international freight. Consistent strategic planning is necessary to have increasingly satisfactory results. Distribution expansion can be optimized with an urgent tax review and dollar policy changes. Consequently, we were able to work with more flexibility and constant evolution”, says Jessica.

“We will launch a purifier that meets international standards and will be the only one on the market with a real-time PPM (particles per million) display.”

This year’s strategic planning foresees that the entire service flow is premised on the focus on the customer, and its experience needs to be shown, says the CEO. “Participation in fairs, with the resumption of face-to-face events, is also part of our schedule. In addition, we will launch a purifier that meets international standards and will be the only one on the market with a real-time PPM (particles per million) display.”

TS SHARA

With the return of the economy and the advance of vaccination, the company is optimistic to expand its operation in 2022, says Pedro Al Shara, CEO. “Our solutions are considered essential. Therefore, we seek to be the main business partner for companies that perform critical functions in sectors such as telecommunications, health and hospital, retail and logistics, as well as corporate and residential security systems. Our expectation is to achieve growth above 10% this year compared to 2021.”

In 2022, the company plans to launch solutions that will help mitigate problems related to the energy market in Brazil, highlighting nobreaks. “Even in restricted times, our team has invested in R&D and innovation to answer the demands, focusing on guaranteed security and serenity to all who use electronic devices”, tells Pedro

“Our expectation is to achieve growth above 10% this year compared to 2021.”

The electrical sector is, among the segments, most impacted by the digital transformation. With the increase in electricity consumption, the production demand for clean energy is urgent and necessary, bringing opportunities for the market sector, says the CEO. The economy, has been through a slow recovery process, after the first COVID-19 pandemic wave, with high expenses for the government. “For 2022, we hope to advance the tributary and administrative reforms.” 

USINA DE VENDAS

Despite the unfavorable economic scenario, which points to a slow recovery of the economy, the company estimates growth of 30% in revenue in 2022 compared to last year, says Marco Antonio Palma, founding partner. “This estimate is mainly due to our business model, through commercial agreements to import smartphones and accessories directly from Asian manufacturers.”

There is high concentration in few smartphone brands, which is harmful to the market. The lack of components since the beginning of the pandemic continues to affect supplies and put pressure on costs. “To grow in the midst of this scenario, it is necessary to innovate. It is essential to offer credit mechanisms that alleviate the high financial cost. Thus, it would be possible to supply the low liquidity of the retail. In addition, investments in infrastructure are needed, allowing for greater efficiency in the logistics chain”, says Marco Antonio.

“To grow in the midst of this scenario, it is necessary to innovate. It is essential to offer credit mechanisms that alleviate the high financial cost. Thus, it would be possible to supply the low liquidity of the retail.”

In 2022, the company will bring new product categories within its technology and mobility core, says the founding partner. “We will also have the relaunch of the ZTE brand in the smartphone category and the start of local production of TCL smartphones, which should streamline product offerings and allow for even more competitive prices.”

ALTOMEX

The company has many expectations for this year, says president Luciano Lu: “We will increase production and bring novelties to the market. We trust that there will be great improvement with our participation in Eletrolar Show. It will generate sales and, consequently, increase our revenue.”

Altomex always updates its products. “With this, we generate more sales and satisfy the purchasing desires of our customers, bringing them good experiences,” says Luciano.

“We trust that there will be great improvement with our participation in Eletrolar Show.”

Innovating and producing are the main actions planned for 2022, informs the president. “With an increase in the number of sales representatives, with fair prices and quality in our products,” he adds.

DEVIA BRASIL

In 2022, the company expects to grow in revenue, says CEO Daniela Ayres. “In relation to the previous year, we expect an increase in revenue with the resumption of large business. Currently, the market is growing despite the difficulties the world has faced in recent years.”

This year, the company’s planning is in full swing for growth in digital media. “We have a team specialized in developing large advertising campaigns”, says Daniela.

“In relation to the previous year, we expect an increase in revenue with the resumption of large business.”

Devia Brasil, in 2022, will also have a very strong presence at points of sale, including to accelerate local commerce. For the CEO, reducing the cost of freight is essential. “One measure to be taken is to plan and reduce the costs.”

EKS TECH

With the pandemic, the use of smart equipment grew. This has boosted the home automation market, says President Weijie Dong. “We are working to double the number of customers and revenue in 2022, establishing Ekaza as a reference in smart products in Brazil.”

The technological appeal is very strong, but this is not yet reflected in numbers, says Weijie. “Many customers have not yet introduced the smart home line into their portfolio, but the demand for these products is growing.”

“We are working to double the number of customers and revenue in 2022.”

Getting face to face with the customer is a way to activate the sector. “Virtual service is good, but nothing replaces the presentation of products by the representative.” This year, EKS Tech will exhibit its products at the Eletrolar Show.

GORILA SHIELD

The year 2022 will be one of recovery, says director João Paulo Resende Guimarães. “It is also a year of testing new products and expansion, with the opening of new stores, new retailers and new chains.”

In 2022, the company will increase the gamer line, targeting the new generation of users, increasingly connected. “We are launching gaming headsets. We are going to expand the cover models and reinforce inventories”, says João Paulo.

“2022 is a year of testing new products and expansion”

For the director, the main measure the country must take to develop is the removal or alteration of the IPI. “This would benefit all sectors. Taxes, in general, should be simplified.”

HANDZ

The year is one of consolidation of the accessories brand, says CEO Rodrigo Lacerda André. “Despite being young, Händz, whose parent company is Brasliv, has been conquering its space. This year, sales have already exceeded those recorded in the last three months of 2021.”

In 2022, Händz will launch at least 20 products. “We focus a lot on new technologies and, mainly, on the development of sustainable and ecologically correct materials. Customers look for products with differentials and quality. Warranty and after-sales are essential”, says Rodrigo.

“In 2022, Händz will launch at least 20 products.”

To activate the sector, the CEO highlights two points. “The recurrence of imports and alignment with suppliers are extremely important to avoid shortages, in addition to data analysis, which is essential for decision making.”

IWILL BRASIL

Expectations for 2022 are very cautious and apprehensive, says CEO Jeferson Ferrão. “We have a political year, which will still bring us instability and, consequently, this is reflected in the numbers of any company. We expect a challenging year, but with opportunity for growth.”

The company’s market is very dynamic and always growing, although with more modest numbers than in previous years, says the CEO. “However, there is still room for serious entrepreneurs, who seek to undertake with innovation and responsibility.”

“Among our main actions planned for this year is the strengthening of the brand in the market, with trust and transparency.”

To stimulate the sector, it would be important to approve reforms such as the tax one, says Jeferson. “Among our main actions planned for this year is the strengthening of the brand in the market, with trust and transparency.”

KINGSTON

The company always expects a better year than the previous one, says country manager Paulo Vizaco. “We do our planning with optimism and confidence. The hardware market has a lot to develop. We will continue to invest in DRAM, SSD and flash, with a strong focus on B2B and the gamer market.”

Launched in 2021, the Kingston FURY gamer line will have news this year. “The same will happen in the categories that are our core business: DRAM, SSD and flash, including encrypted pen drives, essential for those who work remotely and need to guarantee the security of information”, says Paulo.

“We will continue to invest in DRAM, SSD and flash, with a strong focus on B2B and the gamer market.”

Today, there are fluctuations in both prices and availability, explains the executive. “That’s why we’ve been working very closely with our distributors and retailers to try and maintain a more stable domestic market.”

NEWEX

The first months of 2022 will be complicated, inflation has taken the population’s money, believes CEO Marcelo Sztajn. “We work to maintain growth similar to that of 2021, which was positive, but with much tighter margins.”

With more than 700 skus, it will perform with essential items on a daily basis. This semester, it focuses on the OEX Enjoy line. “We see growth for smartphone accessories, many new devices are coming without plug adapter and cable. We will prioritize efforts for the connectivity line”, says the CEO.

“We will prioritize efforts for the connectivity line.”

For Marcelo, there are several actions that make the distributor’s work difficult. A tax substitution in some states, state benefits of e-commerce and non-taxation of sales of products imported by foreign websites.”

Source: Revista Eletrolar News – Edição Especial Presidentes #147