Brazilians are allocating less of their budgets to essential fast-moving consumer goods due to the rise of non-traditional expenditures like weight loss pens and betting services.
Brazilian households have seen a gradual increase in real income since the early 2000s, averaging only 1.7% annual growth between 2003 and 2025. Despite the modest income growth, there has been a significant rise in the availability and uptake of non-traditional services like smartphones, internet access, and streaming services. This shift has led to a decrease in disposable income allocated to essential items, categorized under fast-moving consumer goods (FMCG), like food and hygiene products, which accounted for a smaller percentage of household budgets in 2023 compared to earlier years.
In 2023, FMCG consumption represented 21.9% of Brazilian household budgets, a drop from 23.5% the previous year, indicating a worrying trend as families prioritize spending on new categories of products, such as weight loss pens and betting services. These new categories are reportedly present in at least one out of four homes across the country, highlighting a cultural shift in spending behavior. This rise in alternative expenditures raises questions about the long-term implications for the overall consumption patterns of household essentials in Brazil.
The emerging popularity of weight loss pens and bets suggests that Brazilian consumers may be increasingly willing to divert their spending away from traditional essentials, reflecting changing lifestyle priorities and economic pressures. As these trends continue, the challenge exists for policymakers to address the needs of families struggling to maintain a balanced budget while navigating these new consumer landscapes.
