The boom of a new culture of consumption, driven by new middle class
The success story of a retail chain which perfectly understood how to meet the needs of their clients: the new middle class in Brazil
Valentines’ day – a story of love and care for you
~ Casas Bahia Advertising ~
The pioneer in understanding how to fulfill the dream of the new ascending consumers
Samuel Klein, a Polish immigrant, started a door to door business in the suburbs of Sao Paulo in the fifties, selling linen to the urban lower class. Today Casas Bahia is the largest retail chain in Brazil, selling electronics, appliances and furniture, with more than 1.000 stores throughout the country, and 24 millions customers.
He was a pioneer in targeting the urban lower class customers, previously ignored by the retail industry, thanks to his deep understanding of their psychology, needs and dreams and to his visionary knowledge about Brazilian social changes.
With an appropriate product portfolio, a perfectly toned communication, an efficient logistics, a proximity distribution channel and a unique, incomparable new system of credit, he participated to the rise and new assertiveness of Brazilian new middle class, who has become a major player of Brazilian consumption, shaping purchasing behavior and consumer trends, consequently forcing brands to review their strategies and offers.
Beyond innovative and efficient financial and logistics tools, a real empathetic, deep understanding of the Brazilian New Middle Class: a new approach of customer service:
- Showed trustworthiness to this segment of population, who has no formal or consistent income, thanks to an outstanding system that analyses multiple points of view of credibility (based on records of personality traits, no income proofs required)
- Attended their precariousness and desire to consume dilemma by introducing extended payments, innovative arrangements, price promotions and unemployment insurance
- Showed a good sense of warmth and fun, encouraging their clients to dream and offering them unique personal attention and support
- Gave strong signs of community recognition through communication (a typical popular mascot , the first to use black skin Brazilians in their advertisement ; huge emphasis in family values, TV visibility…)
- Succeeded in building strong and stable relationship to customers by addressing them in the right personal and emotional yet respectful way
- Accompanied their progressive consumption education with updated extensive product offers and an outstanding purchase and after sales consultancy, thanks to a huge investment in sales attendants training and on a website
- Reinforced the neighborhood feeling by considering the local rituals – offer based on regional or local preferences and habits;
- Addressed their mobility issues by choosing special locations, close to their living areas ;(he was the first opening a retail in a Favela, in 2008
- Showed strong signs of social commitment, by maintaining Casas Bahia’s headquarters in their blue collar original city, and invested a lot on staff’s well being at work (health, education, leisure)
- Allowed shopping relaxation and fun –and fought possible intimidation- by creating an in-store environment in tune with the specific aesthetical and lifestyle codes of their