Pix per goal, payment in 30 installments, miles: anything goes to sell TV at the World Cup

Used TV, airline miles, installments in 30 installments and even Pix for Brazil’s goal advantage in the World Cup. The retailers leave for the MMA this end of year to convince the Brazilian to change your TV, electronics category that recorded a 22% drop in sales in the country last year.

Around the world, the sporting event often serves as a lever for the sale of TVs, whose manufacturers introduce new technologies every four years. But the device has been increasingly in the background in homes due to the digitization of content, with the possibility of watching movies and series on tablets and smartphones, for example.

In this World Cup, the expectation is that 1.5 million units will be sold, he told Sheet Fernando Baialuna, business and retail director at GfK, a consultancy specializing in the electronics market. “Brazil has a pent-up demand of 8.5 million televisions”, says the Executive, referring to obsolete devices, mostly tube.

Goal of the selection is worth Pix

The Casas Bahia network even promises to pay Pix for the number of goals that the Brazilian team scores in the world tournament. If the customer buys today a 55-inch TV from LG 4K Qned technology, for example, offered at R$4,000, he will earn R$200 of Pix for every goal that Brazil has an advantage over its first opponent in the World Cup, Serbia on 24 November.

“If Brazil scores four goals and Serbia scores one, the customer who bought the TV will win a Pix of R$ 600, to spend as they wish, it doesn’t have to be at Casas Bahia”, says Abel Ornelas, commercial and operations of Via, owner of the Casas Bahia and Ponto chains. To receive the money, however, the customer needs to open an account at the group’s digital bank, BanQi.

The promotion lasts as long as Brazil participates in the Cup and is only valid for the game following the purchase. It is not restricted to the TV category, but this is one of the most expensive items participating in the action, which promises to distribute payments via Pix from R$50 to R$2,000 per goal on selected products.

The “Gol de Pix” campaign was launched in September and took effect in Brazil’s two friendly games in the month: against Ghana, on the 23rd (Brazil won 3-0), and against Tunisia, on the 27th (the Brazil by 5 x 1).

“We had clients who have already won up to R$ 4,000 in Pix”, says Ornelas. “Our expectation is to increase the volume of sales of TVs this year between 25% and 30%”, he says.

In partnership with Bradesco, Casas Bahia also offers TVs in 30 interest-free installments. “There is a great demand for large-screen devices, 65 inches”, says the Executive. On the website, the models available today in this size reach R$ 13 thousand.

More than 80% of homes already have a thin-screen TV, says IBGE

According to the IBGE (Brazilian Institute of Geography and Statistics), TV is one of the most present devices in the country: it is in 95.5% of all homes. In 84% of these homes, the rooms already have thin-screen models (LED, LCD or plasma), which became popular in the early 2000s.

In a year marked by inflation and the tightening of the population’s purchasing power, retailers need to convince consumers that it’s time to change their device from two decades ago, leaving for a smart TV (with internet access), or for a device with high resolution screens, with technologies such as Oled, Qled and 8K.

In the opinion of Baialuna, from GfK, the retailer will dedicate itself this year to the offer of “premium models that fit in the pocket”. “Most of the consumers guide the purchase of the TV by the size of the screen”, says the consultant. “You can find 55-inch TVs for BRL 2,200. Some with a better screen resolution – 4K, which is not as advanced as 8k, but it is very good – for up to BRL 3,500”, he says. “What’s worth is to re-signify what is premium at this more economical time.”

In an attempt to serve this audience, Magazine Luiza closed a partnership with a Chinese manufacturer to launch the Vizzion TV line in Brazil. They are smart TVs of 32, 43 and 50 inches, whose prices today range from R$1,199 to R$5,999 – some with 4k technology.

“These are products that cost between 15% and 20% less than traditional brands, offering compatible technology”, says Fábio Gabaldo, commercial director of technology at Magalu. According to him, the products have a two-year warranty, supported by Magalu.

Faced with the 20% drop in sales in units last year, observed throughout the market, Gabaldo recognizes that retail reached the first half of this year well stocked with TVs. “But since August, sales in the category have been growing, week by week”, says the executive, who predicts that Magalu will increase segment sales by 30% in this second half, compared to the same period in 2021.

To help achieve the goal, the company also launched in early October the “Exchange Everything” promotion: consumers can offer used electronics – such as TVs, cell phones, tablets, notebooks and smartwatches – to get discounts when exchanging for a new TV.

70 inch TV for 700 thousand miles

Those who are also aware of the bargains on televisions are the customers of the Azul airline. In the year, until October 25, the number of TV redemptions on the company’s frequent flyer program website, Tudo Azul, more than doubled compared to the same period last year: a 103% increase.

According to Marco Leite, partnership manager at Azul, the average ticket spent by the customer on the site increased from R$ 2,400 last year to R$ 4,500 this year in the televisions category.

The highest redemption so far was from a customer who paid 700,000 points for a 70-inch TV from Samsung, QLED 4k technology. A device whose retail price is R$ 11,200.

On the redemption site, the operator has partnerships with major retailers, such as Magalu, Americanas and Extra. The value of the products is shown in points. Companies pay a commission for sales on the Azul portal, which, according to Leite, transfers this discount to the value of the product. “It’s a way to retain my customer.”

TV prices range from zero bike to new car

The two largest television manufacturers in the country, the Korean LG and Samsung, carry out promotions in their respective online stores to encourage sales, but in different ways.

While LG promotes models with Oled and Qned technologies, over 55 inches, which cost between R$6,000 and R$50,000, Samsung offers interest-free installments of up to 24 times to those who have the brand’s card, issued in partnership with Itaú – a condition that applies to TVs that cost from R$ 1,500.

“We will close the year with a small growth of 3% in the TVs category as a whole, but the sale of our premium segment of TVs should advance 30% in value”, says Cintia Viani, TV product manager at LG do Brasil.

“Consumers want to have a differentiated experience to watch the games, something that is only possible with new technologies”, says the executive, referring to the “dolby vision” and “dolby atmos” systems, which they propose to reproduce, in home room, movie screen and sound experience. As advantages, LG offers free TV installation and support to customers, in addition to free shipping.

Érico Traldi, director of TV and audio at Samsung Brazil, reinforces that the World Cup is the factor that most motivates consumers to change their device.

At the beginning of the month, Samsung offers a new package of promotions for premium screens. “We want to encourage sales before Black Friday [25 de novembro]so that the consumer can watch the first game in Brazil, on the 24th, with the new TV.”

Samsung’s biggest bet is an 85-inch model, 8K technology, which costs BRL 49,000. But the brand also works with televisions from 32 inches, which cost R$ 1,499. “The market should grow 11% this year in revenue”, says Traldi.

According to the consultancy GfK, in 2018, the year of the Russian Cup, TV sales in Brazil grew 15.3% in units and 19.2% in revenue (nominal values, not adjusted for inflation). Since then, there has been a loss of breath, even with people staying at home more during the pandemic, until it ends in a 22.2% drop in units and 4.5% in value last year.

In the accumulated from January to August of this year, the sale in value increased 6.5%, while the sale in units rose 2.8%.

Alongside smartphones and white goods, TVs are among the top three retail categories. “Black Friday works for the sale of perfumes, chocolates, smartphones – everything that is indulgent. On the other hand, Christmas, with gifts for everyone, is guided by souvenirs”, says Baialuna, from GfK. “The Cup is a great chance to sell TVs.”

To help convince the consumer, he says, the Brazilian team plays a key role. “The more Brazil passes the stage, the greater the chances of taking home a new television.”