Digitalisation and online commerce have been greatly favored by the “stay-at-home policies” adopted in Brazil, with both ecommerce, delivery and streaming platforms seeing a surge in demand, according to a Euromonitor International report. The consultancy says that it may also strengthen online adoption and mitigate concerns surrounding digital consumption in the long term, which are still quite common in Brazil.
On the other hand, technology-based products – like smartphones, wearables and other small consumer appliances – have felt the COVID-19 blow, with the first quarter forecasting retraction within the industry. This is because of reduced production and distribution efficiency (due to a reduced logistics workforce), fewer import products making their way from China, postponement of product launches and devaluation of the Brazilian currency, increasing manufacturing and import costs.
Outliers in this scenario are computer peripherals (as more people adopt home office standards), food preparation appliances and video games.