Brazil is moving towards a new population configuration: according to IPEA, by 2030, there will be 21 million more elderly people and 8 million fewer young people. This population aging, combined with the increase in smaller households and the growth of the pet market, is creating new demands for retail.
According to Fernando Gibotti, CEO of CRM & Consumer Science at Rock Encantech, adapting to the new reality requires innovative strategies and a focus on smart data usage. ‘Companies that want to lead this new era of consumption need to understand society’s new scenario and prepare the right plans,’ says Gibotti.
Additionally, a study by the National Confederation of Commerce of Goods, Services, and Tourism points out that more than half of Brazilian families are in debt, and the growth of online betting is affecting budgets. According to Gibotti, this scenario presents a more selective consumer and, with digital competition and delivery platforms, has pressured physical retail.
‘The customer has changed their relationship with retail, seeking convenience, fair prices, and personalized experiences. The demographic transition also requires retail to be prepared to serve different generations with segmented offers, new store formats, and a portfolio adjusted to the audience,’ notes Gibotti.
To ensure competitiveness, retail must adopt innovative strategies that maximize customer experience and drive new revenue models. Some key trends include data monetization, reinventing store formats, and adopting extended shelving.
Data monetization: retail as an intelligent ecosystem
Retail generates a vast amount of information daily about purchasing behavior, preferences, and consumption patterns. Data monetization transforms this valuable asset into new revenue opportunities.
Two approaches have stood out:
- Personalization and engagement: the use of artificial intelligence allows for customer segmentation and highly targeted campaigns, increasing conversion and loyalty.
- Retail Media and commercial partnerships: retailers can create advertising spaces on their digital platforms, enabling brands to invest in ads directly to qualified consumers.
Rock Encantech, for example, already delivers 3.5 billion personalized communications per year, helping retailers optimize their loyalty and sales strategies.
New store formats: efficiency and experience at the heart of strategy
With changes in consumer behavior, the traditional format of large physical stores needs to be reevaluated. Trends indicate a greater appreciation for smaller, hyperlocal stores adapted to the neighborhood profile and with a more assertive product mix.
Moreover, the in-store experience becomes essential. Physical retail must go beyond simple product display, creating interactive spaces and events that increase customer engagement and loyalty.
Extended shelving: expanding offerings without increasing costs
Extended shelving emerges as a smart solution for retail to expand its offerings without needing to invest in more physical space or inventory.
The operation is simple:
- The customer accesses a digital catalog within the store or via online channels.
- They can purchase products not physically available in the store but will be delivered directly by distribution centers or manufacturers.
- Retail becomes a strategic intermediary, adding value to the consumer experience without traditional operational costs.
This model maximizes sales, leveraging customer flow and brand credibility as competitive differentiators.
He concludes that the ability to transform information into strategies, combined with a focus on personalization and innovation, will define market leaders. ‘Those who can unite technology and humanization will have a competitive advantage,’ concludes Gibotti.
