Populous, diverse and with high Internet connectivity rates, Brazil is receiving increasing attention from global merchants. From clothing and electronics retailers to gambling sites, there are many players interested in this market. As a result, competition for space is intensifying, requiring precise moves and strategic partnerships to retain customers. In this sense, it is essential to understand some aspects of Brazilian culture and the preferences of local consumers, especially in the digital environment. After all, even seemingly "details" - such as an interface optimized for the habits of your target audience - make a difference when it comes to closing deals. Here are some important points to consider when planning a foreign company's digital presence in Brazil.
To understand Brazilian culture, the first step is to understand the country's demographics. With its extensive territory and multiple influences since colonial times, Brazil doesn't fit into a single box. From climate to customs, each Brazilian region has unique characteristics and distinctive cultural expressions. In addition, the distribution of the population is equally interesting, with a high concentration in certain areas.
According to data from the 2022 Demographic Census, conducted by the Brazilian Institute of Geography and Statistics (IBGE), Brazil has already surpassed the 203 million figure. In this context, the Southeast continues to be the most populous region, with 41.8% of the total population of the country. This is to be followed by the Northeast (26.9%), the South (14.7%), the North (8.5%) and the Central-West (8%). In other words, the distribution is quite heterogeneous, concentrated mainly in the Southeast. There are also large areas of low population density, such as the Amazon region, which stretches mainly from the north to the Central-West of Brazil.
Having understood the demographics of the country, the next step is to identify the specifics of Brazilian culture that are relevant to your business. In this sense, when it comes to online transactions, the checkout is a point that deserves special attention.
According to the "Cart Abandonment Survey - April/2022", conducted by Opinion Box, 78% of Brazilians tend to abandon online transactions at the final step. In addition, 15% of respondents said they do this frequently. The study involved 2,145 consumers registered in Opinion Box's consumer panel, covering all regions of Brazil.
But how can you optimise the checkout process to increase conversions? We have selected three relevant aspects that are closely related to Brazilian culture. Check them out:
Beyond simple translation, the so-called 'localisation' of texts refers to a broader - and more beneficial - concept. It focuses on ensuring that your content sounds natural in the cultural and linguistic context of a given market.
For example, an important aspect of Brazilian culture to consider when planning a user interface is the preference for the native language. However, pay close attention to localisation: any terminology used should be that to which Brazilians are already used. A bad translation can be just as bad or worse than a foreign language interface.
Checkout in the language of the consumer was the subject of The Paypers' Payment Methods Report 2022. In an interview included in the report, a specialist in gaming payments spoke about her experience in Brazil. According to her, conversion rates in the country almost doubled after localising interfaces into Portuguese and offering local payment methods and transactions in Reais.
In a recent Signifyd survey on consumer objections to online shopping, the delay in the approval of transactions was a key issue. No less than 43 per cent of Brazilian respondents said they were bothered by this issue to some degree.
In the same survey, consumers were asked about their usual means of payment. Unsurprisingly, the agile Pix - which has quickly become part of Brazilian culture - was cited by 34 per cent of respondents. This method has now overtaken payment slips (33 per cent), temporary virtual cards (21 per cent), debit cards (10 per cent) and digital wallets (6 per cent).
For global merchants interested in the Brazilian market, the aversion to delays in payment authorisation needs to be addressed. In this regard, the ideal solution is to integrate an agile cross-border payment solution that offers the preferred means of payment in the country.
Another crucial aspect that is deeply rooted in Brazilian culture is the security concern. According to the Signifyd survey, despite their dissatisfaction with any delays in approving transactions, respondents recognised the importance of verifying data. For example, 72 per cent of consumers thought it was "important and safe" for the merchant to verify the buyer's identity on the first transaction. In addition, 21 per cent said they were opposed to this, but agreed that it was necessary. Finally, 6 per cent said they were uncomfortable with the idea of completing the transaction quickly.
The theft of credit card information for unauthorised purchases is a very common fraud, both online and offline. In the same survey, 87 per cent of respondents said they had been or knew someone who had been a victim of this type of fraud. In addition, 30% said that fraudulent purchases made with their credit card undermine their trust in the merchant. In this context, 57% of respondents said that they would only do business with a merchant again if they were fully refunded.
Another survey, conducted jointly by Instituto Affare and StartSe in May 2023, examined Brazilian consumers' trust in online shopping. According to the report, 67 per cent of respondents trust the virtual environment - a figure that rises to 69 per cent among men. In the 16-24 age group, the level of trust is 75% for both genders. However, this figure drops to 54% for those over 59. Finally, the Central-West (81%) and South (73%) are the regions that show the most confidence when it comes to shopping online.
Bazk not only offers flexible, secure and stable payment solutions but is also a company that speaks the language of Brazil. In other words, it understands the cultural, marketing and regulatory aspects of the country, helping to connect merchants from all over the world to this consumer market. That's why it's an excellent partner for tapping into Brazil's potential with full attention to the needs of your target audience.
With a single integration, Bazk guarantees a fast, transparent and secure experience for global merchants connecting to Brazil. What's more, our payment solution allows you to offer Brazilians' preferred payment methods - including Pix. So don't waste any time: contact us and start expanding your business in this growing market.
