08 Dec 2016
Posted in Press Release
Brazil’s meat industry must adapt to financial and health concerns
The contraction of Brazil’s economy in recent years is driving consumers towards more affordable products, which is reflected in their meat choices, according to GlobalData, a recognized leader in providing business information and analytics.
The company’s latest report states that, due to the high importance of the meat sector in the country, Brazilians have become increasingly savvy shoppers, and are ever more aware of which meat products constitute good value for money. Larger pack sizes, family portions, buy-one-get-one-free offers, and in-store deals, are appealing to consumers looking for optimum value. Other attributes such as better, unusual or interesting cuts of meat are also important to consumers and elevate the perceived value of the product.
This trend for value shopping is reflected in a GlobalData survey released in April 2015, which shows that 86% of Brazilians regularly or occasionally shop at discounters for groceries. In addition, 50% affirm that they are less bothered about buying leading food brands and more likely to choose cheaper options compared to five years ago.
Javier Gonzalez, Consumer Analyst for GlobalData, explains: “Brazilian consumers are very discerning about the quality of meat products, so offering good quality or innovative cuts of meat at reasonable prices will be fundamental for manufacturers hoping to remain appealing. Indeed, such a strategy is particularly astute now due to brand loyalty being lower than ever.”
Korin is a good example of a company that has capitalized on Brazil’s demand for economical products with high quality packaged meats, marketed at a competitive price point. Korin products are organic, antibiotic-free, and contain neither chemicals nor preservatives, elevating their products’ value perception at an economical price.
In addition to price considerations, the nutritional value of products is becoming increasingly important. Low-fat, low-sodium, low-carbohydrate, and high-protein meats are all attractive to consumers looking for a healthier lifestyle. This is backed up by GlobalData’s survey released in April 2015, in which 61% of over 55s in Brazil are worried about their heart health, and 49% about diabetes.
Gonzalez notes: “Brazil’s aging population will make it vital that manufacturers introduce healthier meat products that match mature consumers’ nutritional needs.“
- Information based on GlobalData’s report: Consumer and Market Insights: Meat in Brazil.