With household budgets under pressure, consumers are spending more in categories where performance matters to them while seeking cheaper options for everyday needs, CNN Brasil reported, citing Bain & Company.
Brazilian consumers are becoming more selective about spending on cosmetics and personal-care products as household budgets come under pressure. Bain & Company describes the pattern as an “hourglass effect”: shoppers may pay more for specific products when they value the quality or performance, while turning to cheaper entry-level goods and supermarket own brands for basic needs.
Bain partner Daniela Carbinato told CNN Brasil that consumers are making more deliberate choices about which categories justify a higher price. She was discussing the consultancy’s Consumer Pulse 2026 study, presented at an event organized by Brazil’s Personal Hygiene, Perfumery and Cosmetics Industry Association (Abihpec). The survey identified financial concerns as the leading source of stress for 57% of respondents, followed by health and well-being at 46%.
For large cosmetics and hygiene brands, the challenge is to sustain sales without relying on broad discounts that erode profit margins. Approaches cited in the report include targeted promotions, changing package sizes and expanding refill formats, which let customers buy replacement contents without paying for a new container each time.
Carbinato also described the use of artificial intelligence to tailor offers and discounts to customer groups. According to Consumer Pulse 2026 figures cited by CNN Brasil, 77% of Brazilians said they used at least one AI tool. The article presents these figures as Bain research findings, not as an independent estimate of all consumers.
Carbinato said companies also need to make savings accessible to older customers who may be less familiar with digital services. CNN Brasil cited virtual shopping assistants as one example: they can recommend products for a customer’s stated needs and add them to a shopping cart.