The electronics and home appliances industry has revised expectations for the year, after a 19-percent decrease in sales during the first four months of the year — when compared to the same period in 2021.
The most optimistic predictions for this year now see sales on par with those of 2021.
Numbers for Brazil reflect a global trend. NPD Group, a research firm, said consumer electronic sales would most likely decline in 2022 and again in 2023 and 2024. In Brazil, higher prices and lower access to credit are the main culprits for consumers cutting down on purchases.
Over the past two years, vendors largely benefited from cash-transfer programs which increased Brazilians’ purchasing power. They expect that a government-sponsored bill to place Brazil under a state of emergency in order to jack up social spending will have a similar effect in 2022.
The National Confederation of Commerce hopes that a beefed-up handout program, combined with stimulus packages for specific sectors such as truckers, will inject BRL 16.3 billion (USD 3 billion) into retail. Almost 10 percent of that money is expected to be used in electronics and home appliances.
And, with the upcoming Black Friday discounts and the 2022 World Cup in Qatar (which traditionally drives television sales up), retail manufacturers are hopeful for a bump in consumption during Q3 and Q4.