The Brazilian consumer market is growing, and, with the purchasing power of the middle class, the country became a good target for foreign investors that are seeing huge possibilities in Brazil for their business expansions.
20 Foreign Brands Coming to Brazil - Part 1 showed many foreign companies that are planning their expansion into Brazil in 2013 and 2014. Others are trying to do the same thing, which brings huge economic diversification for the country's retail sector.
New brands are arriving, forming a luxury market with accessible prices. But it's not only accessible prices that are catching Brazilians eyes. According to Brazilian reports, for the last three years the country has triple its luxury market size. Besides that, the number of millionaires in Brazil is growing, mainly in the cities.
11) Desigual (Spain)
In 2013, the Spanish brand Desigual reached the national fashion market in Brazil in the Pátio Higienópolis Mall in São Paulo. The Brazilian store is the brand's 110th store in the world. They expect to open 50 points of sale in the next four years, through their own stores and franchise system.
The Desigual also plans to use the strength of outsourced partners to produce parts in Brazil. In an interview with a newspaper, Manel Jadraque, president of Desigual, said that Brazilians are between the largest customers in Europe and the United States. The brand came to Latin America in 2010. Today, it is established in Chile, Colombia, Panama, Venezuela, Argentina and Brazil.
12) Uniqlo (Japan)
Uniqlo is a giant retail brand with a huge variety of products ranging from women's, men's and children's clothing to fashion accessories like shoes, bags and backpacks, hats, and others. Uniqlo started its internationalization process in 2005, and nowadays the brand has stores in Hong Kong, Seoul, London and New York. This major Japanese brand, is planning to enter the Brazilian market within the next four years at the most.
13) Clarks (United Kingdom)
Clarks is a traditional British shoe brand, one of the largest in England. In 2010, the company had profit of 125 million GBP. With street and mall stores, the company has 103 franchises and more than 400 stores. Europe, Africa, Asia and the Middle East already have brand stores. In Latin America, the company has a store in Panama and is planning to settle another one in Brazil soon.
14) Pretty Ballerinas (France)
The French brand Pretty Ballerinas opened its first store in São Paulo, Brazil in 2013 at the JK Iguatemi Mall. The brand is known worldwide by the constant renovation of its collections and the quality of their shoes.
15) Sephora (France)
The French cosmetics chain, Sephora, had its first store open in Brazil at the JK Iguatemi Mall in 2012. Today there are nine stores - five in Sao Paulo, two in Rio, one in Niterói and one in Curitiba. Paula Larroque, Sephora's vice president for Latin America, said the plan is to have 30 stores in Brazil in five years. Despite the brand's success in the country, Sephora's product prices are 200% higher in Brazil than they are in France, thanks to the luxury status that the brand commands in the country.
16) Benefit (United States)
The American cosmetics brand Benefit will begin its first franchising expansion in Brazil. The products are already present in the country, but inside other brand's stores and in the Sephora web page. Now, the brand should gain its own spaces in the country. The Brazilian units will have 70 square-feet, and besides the sale of products, the company will also offer a lot of services, such as waxing and eyebrow design. The services correspond for 50% of the store sales and are very important in bringing their clients back to Benefit.
17) Kryolan (Germany)
The next known name in the beauty industry to open doors in Brazil is the Kryolan. The German makeup brand, famous for its long lasting items, wants to inaugurate its first store in the country, but without date or location established. Currently Kryolan products are already sold in some places around the country, but Brazil still doesn’t have an exclusive brand store. Kryolan is now sold in Drogaria Iguatemi in São Paulo, Shampoo Cosméticos in Rio de Janeiro and in an open showroom in Vila Olimpia, São Paulo.
18) Body Shop (United Kingdon)
The Body Shop, owned by L'Oréal group, announced in 2013 the purchase of 51% of Emporio Body Store, founded in 1997 in Porto Alegre. The British brand also reported that, by 2019, it has the option to increase its stake to 80%.Now, with this purchase, the British cosmetics brand decided to land in the Brazilian national market. According to the newspaper, Valor Econômico, the brand plans to finish 2013 with 130 Empório Body Stores stores developed in the country.
19) Flormar (Italy)
The makeup brand Flormar was created in the 1970s in Italy, but today, the company’s production is majorly performed in Istanbul, Turkey. Flormar initial market was nail polish, but with the time the company expanded its products, producing nowadays up to 800 products turned to makeup and cosmetics. Each year, an average of 100 million products is produced by the brand, being 60% designated to the foreign markets. The company is in more than 75 countries and planning to arrive in Brazilin the future.
20) Mathnasium (United States)
Mathnasium is an American brand focused in providing education for kids and teenagers that have school difficulties with mathematics. The brand works as a study center that provides extra classes to the public during after-school hours. In the United States, the chain has 200 locations, along with European, Asian and South American centers. The franchises cost between $78 to $107.50 thousand USD and could very soon spread in Brazil, since the company had already showed interest in the Brazilian market.