Study prepared by Nielsen confronts national brands from around the world against multinational products to understand what the consumer prefers to buy.
A globalized market is very competitive. Especially if we think about the huge portfolio of products present in all industries today, it seems that every day there is a launch. Consumer preference, in this context, is quite diverse and can be influenced by numerous factors. A Nielsen survey accurately maps consumer behavior in daily purchases and their relationship to local brands.
The consultancy compared products made by major global/multinational brands to products made locally in 34 categories from different countries.
Overall, consumers around the world show a growing preference for global brands. In fact, only two segments stand out among local brands: dairy and fresh food. And, in Brazil, this is no different.
Brazilians prefer national brands when looking for foods such as milk, butter, cheese and yogurt. This movement seems natural when we think about the perishability of the products, in addition to the ease of acquiring national lines.
Consumers also choose national brands for products such as cookies and snacks (34%), ice cream (31%), breakfast cereals (30%), as well as frozen meats and seafood (30%).
Keeping an eye on the global brands.
Global brands stand out in the lives of Brazilians, especially with regard to products for babies (such as diapers and formula foods), energy drinks, vitamins and supplements, and personal care items for women. For these last mentioned categories, only 8% to 12% of Brazilians interviewed stated that they prefer local brands.
In the personal care segment, specifically, which encompasses hair, makeup and body care, the consultancy recalls the advantage of global brands over national ones in terms of their experience in product research and development. This is vital for quality and technology.
For Ricardo Alvarenga, consumer behavior specialist at Nielsen Brasil, internet access also has an influence on this choice. “The development of e-commerce has favored the growth of global brands in recent times, which implies a great challenge for the local ones”, he recalls.
Dealing with this scenario demands that Brazilian brands deeply understand the market and take globalization into account in their strategies. Thus, they can find areas of unmet needs, betting on innovations developed specifically for characteristics of the national culture. Customization can be the greatest ally of companies in this regard.