Purchase of Brazilian average falls 1.3% and stay away from resumption of retail for 2019

The prospect of a return of consumer confidence in 2019, considered essential to economic recovery if fasten, follows far from happening. Still concerned with the future of the country, the Brazilian rationing at Wal-Mart, both with fewer items in the basket and number of times visiting retailers. The data are part of the Consumer survey Thermometer, prepared by Kantar. According to the study there was a fall of 1.3% in the number of products purchased in the 12 months ending in February. The behavior which signals the foot behind the consumer, encourages caution also in retail, which decreased industry purchases and confirms with the prospect of less than 2% growth in Brazil's GDP in 2018, as signaled by monitoring companies national economic activity. Example of this was reported by the goiana network of supermarkets Armandinho. According to the commercial Director of the company caution is widespread. "There was the prospect of a strong Christmas that did not materialize, from there to here, what we feel is that the stock needs to rotate around the items of basic necessity," said he. As a result, the indicator shows that there was a reduction of Kantar 0.5% in the frequency of purchases and 3.3% in average volume taken per visit. When analyzed the accumulated from the first two months of the year, a decline of 5.2% reaches units, about a year before. The frequency and volume per trip also stood out negatively, with a decrease of 2.2%, respectively, and 5.7% in the period. In the cut of three months until February 2019, the negative indexes are repeated. Everyone on alert even if financial difficulties seem more serious among the less affluent portions of the population, the indicator shows that the fall occurred with greater strength in classes A, B and c. In 12 months through February only the classes D and e managed to slight increase to (1.6%). Regional analysis, the Interior of São Paulo stood out negatively ( -10%). In connection with the channels, the atacarejo is still featured, with the door-to-door wasting space. Hypermarkets, supermarkets and convenience neighborhood supermarket also have accumulated. "The strength of the atacarejo is still great, which might signal another loss-making cycle to hypermarkets," says retail consultant, Henrique Matias. In the analysis of the baskets, the Consumer Thermometer points out that food, beverages, dairy products, cleaning and hygiene and beauty lost penetration. "The current scenario has as its protagonist a consumer that, even amid the political and economic uncertainties and also impacted by high unemployment rate, had to retract the purchases", examines the marketing director and Insights of Kantar, Giovanna Fischer. According to her, another problem is the lack of credit. "Consumers are still in debt, which affects the consumption potential." Although there are government effort to try to bring a sense of normalcy to the Brazilian, market estimates give account of the possibility of the first quarterly downturn of GDP from 2016. "After the release of the GDP in the first months of the year and possible the Country face a negative quarter and that is pulled by the activity less than expected for trade and services," said the Economist and former Mayor of store managers of Belo Horizon (CDL-BH), Francisco Tatti. In a snowball effect, it is possible for retailers to postpone, once again, their expansion plans. "Without consumption there are no plans to open vacancies in retail, without jobs the consumer will keep the trajectory of contraction." For him, in addition to launching a program to promote employment, it is up to the Government trying to create alternatives to try to reduce the indebtedness of the consumer so that he can return to plan the financial life and resume shopping.