- It is a Government initiative speculating that consumer’s purchase power will increase in September
- The November traditional Black Friday will not be excluded from the retail calendar
- It will reach e-commerces, travel, and automobilist industries
Regarding the past few years retail of poor results in September, the Brazilian government is promoting the creation of a new promotional date in the country to boost sales from September 6 to 15. It will be launched as an extra opportunity for the retail industry and will not exclude the traditional date in November.
The Government’s idea comes after the announcement that Brazilians will have access to the money saved on their FGTS (“Fundo de Garantia do Tempo de Serviço”) fund, an obligatory social insurance fund which saves 8% of the worker’s earnings monthly to support them in case of specific eventualities, such as long-term sickness or the purchase of a new home. Since the FGTS withdrawal will be available in September, in consequence, the government expects that consumers will have more purchasing power during this month.
The date will be called “Brazil’s Week.” How it will really take place is still in discussion with big players in the country, but what we already know is that the plan is for the benefits to go beyond physical goods, affecting also the travel and automotive industry.
According to experts from the Brazilian retail industry, this first initiative probably will not reveal all the business potential that Brazil’s Week could have in the future, for it will take time until the promotional date can be consolidated among Brazilians. “Those who invest in this now will be thinking in the future results – if this September promotional date is really here to stay,” said an electronic retailer in an interview for the media outlet Valor Econômico.