Top ceramic tiles manufacturers in Brazil 2024

Brazil is the third largest producer of ceramics in the world. In 2023, production fell 24% compared to 2021. The porcelain tile segment fell 11%, but grew in share from 21% in 2021 to 25% in 2023 in m2, (who knows in dollars). (See EXHIBIT)

Leading factories in Brazil

Brazil has two powerful ceramic clusters in Criciúma/SC and S?o Paulo, (another important region is the Northeast), and has more than 80 factories of different sizes and specialties. The leaders exceed 50 million square meters per year. Most of the capital is Brazilian and there are two international groups: Mohawk (USA) and Lamosa (Mexico), the two largest ceramic producers in the world.

A ceramic factory requires high capital investment: machines, technology, intense energy consumption, qualified human resources, distribution, etc. Those who bet on volume, with an undifferentiated product (a lot of copy in this industry), a catalog of extravagant size and low price, can achieve success in booming markets (which is not the case, with a 24% drop in the production).

In many companies with indirect distribution strategies, the business ends when the truck leaves the factory. They do not know the display and stock of their products SKU by SKU in the distribution channels; They operate without radar: they manage new products, cancellations and manufacturing programs without key information, because they do not have contact day by day with the end customer, except through fairs and a few other occasions.

Premium products, with larger advertising and promotion budgets, are not the only ones that can create powerful and well-differentiated brands.

In the medium and low segment, the most important variable is excellent distribution, maximum territory coverage, delivery service, quality maintenance, and after-sales.

SKU-focused marketing is the most effective. At porcelanato.com (donde comprar) you can see an example of how to promote porcelain tile in LATAM.

In a globalized world, many companies manage a local website and local social media: Facebook, Instagram, Pinterest, one for each country. Social media is uncontrollable, and has addresses that are impossible to memorize.? The customer should be visiting the company's website, not the social media.

Global, Regional or Local

A global or regional strategy allows you to lower costs per contact.

It is imperative to be owners of the content of the network (social media are not ours), they must have a secondary role; and they serve to send customers to the website. It should not be the center of our strategy, because they are an uncontrollable variable.

Kavak.com, a car agency from Mexico, added countries as follows: kavak.com/mx kavak.com/br kavak.com/ar etc. It is a fantasy name (more resources to memorize the name and relate it to cars). A US competitor, Cars.com, is intuitive and memorable.

The Lamosa group has multiple web addresses: ceramicasanlorenzo.com.ar (the most intuitive address: sanlorenzo.com.ar belongs to the soccer club), rocaceramica.com.br (Roca is synonymous with toilets and faucets), incepa.com. br, sanlorenzo.com.co, cordillera.cl, sanlorenzo.com.pe, euroceramica.co, ceramicascop.com.ar, firenzeworld.com, porcelanite.com.mx. + various facebook, instagram, (all local media) etc.

Porcelanosa, the most prestigious brand in the industry, has a single web address, porcelanosa.com, and then creates extensions:

porcelanosa.com/uk porcelanosa.com/de porcelanosa.com/fr porcelanosa.com/pt porcelanosa.com/br porcelanosa.com/mx porcelanosa.com/us porcelanosa.com/es etc.

The resources are focused on a single web address. Porcelanosa is Global.

World leaders have acquired: cars.com, painting.com, sofa.com, hotels.com, booking.com, texas.com, metal.com, cocinas.com, bathrooms.com, blinds.com, faucet.com, etc. because you don't have to explain what it is about; they have great authority for the public, more than any other web address.

The distribution

Distribution, direct or indirect, is one of the pillars of a company's strategy.

(1)? Porcelanosa strategy.

Portobello distributes in exclusive stores (own and franchises), in specialized stores and in big box stores such as: Leroy Merlin (leroymerlin.com.br) with more than 130 SKUs. Sodimac (sodimac.com.br) with more than 160 SKUs. etc.

The lower the price of a product, the greater the importance of physical and weighted distribution.

A premium brand, like Porcelanosa, has a selective distribution strategy (fewer points of sale, very well selected).

Leroy Merlin (leroymerlin.com.br)

There are 42 stores throughout Brazil, offering products and services for home improvement and renovation.

Telha Norte (telhanorte.com.br)

Since 2000, Telhanorte has been part of the Brazil Distribution division of Saint-Gobain, which currently also includes the Tumelero chain of Rio Grande do Sul. There are 75 stores and multichannels.

Sodimac (sodimac.com.br)

In Brazil, the company has 54 stores in the state of S?o Paulo. Sodimac Homecenter | Construction and Sodimac Dicico. Two distribution centers, located in Guarulhos and Cajamar, and a Central Store Support office in S?o Paulo. It has more than 3,400 employees in the country.

Ferreira Costa (ferreiracosta.com)

Founded in 1884, Ferreira Costa is considered the largest Home Center in the North and Northeast, it is 4th in the national ranking of retailers (ANAMACO Ranking). It has four stores in Pernambuco, two in Bahia, one in Sergipe, one in Jo?o Pessoa and one in Rio Grande do Norte. The company has more than 6 thousand direct employees.

Obramax (obramax.com.br)

It is part of the Adeo Group, an international company that has a turnover of more than 17 billion euros per year. It has a large selection of construction, renovation and maintenance products.

Cassol Centerlar (cassol.com.br)

From the Cassol Group. There are 33 stores and three distribution centers in the Southern Region. They sell products to build, remodel or decorate. With a large stock of products ready for delivery from the Southern Region, with 40 thousand SKU.

Portobello Shop (portobello.com.br)

The largest specialized retail network in the country, with 150 stores, 25 of which are owned, Portobello Shop offers a customer-focused shopping experience, in physical and digital environments, with a complete solution of coverings and accessories, mainly tableware and metal items.

?In 1997, I had the chance to visit the Porcelanosa plant in Castellón. Guided by one of the shareholders José Soriano, I dared to ask which was the criteria used to choose between owning a shop and having an authorized distributor. Soriano replied that if Porcelanosa had a market goal of, let’s say, a 7%, in each Spanish city, and the distributor at Segovia achieved that share of the market with their brand it was not their desire to open a shop there. What a market vision!

“The essence of strategy is the fight for freedom of action” André Beaufre

The least possible freedom of action can be achieved by handing over all distribution to a single marketer (a third party).

author:? Julio Sol

porcelanato.com porcellanato.com

Exhibit

Porcelain tile is the most sought after product in the ceramic market, due to its attributes and the enormous investment made by the industry and distribution channels to market a product with high added value.

Google trends shows the evolution of public searches in the period from 2004 to 2024, where porcelain grew outpacing ceramics (although ceramics includes popular categories such as: artistic ceramics, utensils, etc.).

Brazil is the leader in ceramic exports in Latin America. (It is the 5th largest ceramic exporter to the US.)