Brazil's Big Spenders

Nov. 11, 2010 - PRLog -- Known for their big spending at home, especially on cars and real estate, Brazil’s middle classes are now taking their consumer clout abroad. From January to July this year, Brazilians spent a record amount on shopping overseas.
For most Brazilians, holiday destinations start at home – after all, they live in one of the world’s most beautiful countries with an endless choice of stunning beaches and resorts. But the rising purchasing power among the middle classes – particularly among Class A/B, the upper middle classes – means holidays abroad are increasingly popular. “Most people start by taking trips inside Brazil and then take an adventure in other countries,” says Carlos Amorini, President of the Brazilian Association of Travel Agencies.
And when the Brazilians take an adventure abroad, they spree. Spending figures by Brazilians in the most popular overseas destinations – Buenos Aires, Florida and the Chilean ski slopes – are at record levels. In Q1 this year, Brazilians made up the second largest visitor group to Florida
An example of the huge Brazilian spending power can be found in the Miami shopping malls. In the first seven months of this year, the Aventura Mall saw 30% more Brazilian consumers than during the same period last year. Average spending by Brazilians was US$850 per visit, quadruple the amount spent by Americans in the Mall.
From January to July this year, Brazilians spent US$8.6 billion while on holiday abroad, a massive increase of 56% on the same seven months in 2009. This higher-than-ever figure includes the July spending record of US$1.5 billion. This new-found passion for spending abroad is expected to continue as more and more Brazilians see their purchasing power rise alongside the steady increases in salary and employment levels.
Credit cards are another sign of affluence. Traditionally dominated by western banks, the big credit card issuers are now Chinese and Brazilian. The list of the top ten card issuers includes two Chinese banks and three Brazilian (Itáu-Unibanco, Bradesco and Banco de Brasil). Although JP Morgan maintains its position as the world’s biggest issuer (96 million cards), Chinese and Brazilian banks are hard on its heels.
For Obelisk, the Brazilian middle classes present an excellent opportunity for investment over the medium to long-term. With the economy on a steady upward trend and millions more Brazilians likely to join all echelons of the middle classes, the potential for investment in Brazil is more than obvious.

For more information on investment in Brazil and to find out about Obelisk International's latest projects there, contact us on 0034 952 820 319. Via email: info@obeliskinternational.com or visit our website: www.obeliskinternational.com.    

Obelisk International offers select investment opportunities in Brazil and gives investors security, profitability and diversity thanks to a combination of close attention to our clients' investment requirements and high quality in-house research and analysis.

Obelisk Investment Property
UK – Spain – Brazil
Alison Kane, Marketing Manager
Tel: 0034 952 820 319
Email: press@obeliskinternational.com

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Obelisk offers select investment opportunities in Brazil and gives investors security, profitability and diversity thanks to a combination of close attention to our clients' investment requirements and high quality in-house research and analysis.