Consumers in Brazil’s lower-income brackets are a fascinating group – they’re hyper-connected, engaged, and eager to increase their spending by 2025. Surprisingly, these are the same consumers who feel the least represented in advertising campaigns. While over half of the upper classes express a desire to consume more this year, it’s the lower-income bracket that stands out with 59% wanting to spend more – exceeding the national average.
However, there’s a paradox at play here. Despite their willingness to spend, these lower-income consumers feel invisible in advertising. A staggering 60% of them believe they are not adequately represented in marketing campaigns, a higher percentage compared to wealthier classes. These insights are part of the
“Invisible Brazil: Insights on Low-Income Consumers”
study conducted by Data-Makers in collaboration with Gerando Falcões and ESPM.
Jan Góes from Insper emphasizes how crucial it is to shed light on the low representation of lower-income consumers. She notes,
“We who work with diversity and inclusion know this, but data helps us show others that this is true.”
The research delves into the habits and profiles of classes D and E in Brazil. It reveals that nearly half of these consumers rely on their smartphones for shopping transactions, surpassing other income groups’ preferences for online shopping channels.
CEO Fabrício Fudissaku points out that lower-income consumers lean towards increased purchases due to the convenience offered by mobile transactions:
“The low-income consumer is already connected, and the cellphone has redefined how income is transacted in Brazil.”
Interestingly, despite stereotypes suggesting otherwise, lower-income consumers exhibit high engagement levels with social issues traditionally associated with higher classes or purchasing power. They show equal or even greater concern for environmental issues compared to other groups.
Nina Rentel from Gerando Falcões underscores how these findings challenge stereotypes about low-income consumers:
“It’s challenging for those sitting in brand marketing departments to truly connect with this reality.”
The study also highlights shifts in purchasing behavior among lower-income consumers. They now consider factors beyond price when making buying decisions. Nina Rentel adds that understanding these consumers deeply requires grasping their day-to-day lives comprehensively – from religious beliefs to everyday concerns.
Góes emphasizes that addressing low-income consumers’ needs goes beyond mere representation; it must focus on creating products and experiences that resonate with them on a personal level.
The research defines classes D and E based on households earning up to two minimum wages—a significant segment considering almost half of Brazilian households fell under these categories as per Tendência Consultorias’ 2024 study.