'Security is the big problem in Brazil,' says Ofner CEO about the end of 24-hour stores
Denilson Moraes, CEO of Ofner, discusses the company's shift away from 24-hour operations due to public safety concerns in Brazil.
Denilson Moraes, the CEO of Ofner, a well-established chain of confectioneries and cafes in Brazil, reflects on the significant changes in societal behavior and public safety issues that have prompted the company to cease 24-hour operations. Historically, in the vibrant nightlife of the 1980s, it was common for bakeries and shops to operate around the clock, but the current public safety landscape has made such a model unviable. The shift marks a broader change in how businesses must adapt to the evolving needs and concerns of their communities.
The Ofner chain, which now operates 30 stores primarily in shopping centers and has moved away from street-level stores that operated for 24 hours, is planning a new expansion cycle starting in 2026. With an aim to reach 50 locations within the next five years, Ofner is reassessing its strategy to focus on more secure environments for its operations. This strategic revamp underlies a shift towards catering to a demographic that is less sensitive to price fluctuations, ensuring that consumer needs are met amid a changing financial landscape.
Moraes emphasizes that security is not just an operational concern but a fundamental issue that affects consumer confidence and business sustainability in Brazil. The changes in Ofner's business model are indicative of the wider challenges faced by companies across the country as they navigate the intersection of consumer safety, economic pressures, and evolving societal norms.