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Favela Express - democratizing online trading

Favela Express - democratizing online trading 24-01-2023
Favelas is the Brazilian Portuguese word for communities where low-income families settle and live. These communities are unstructured and have no formal addresses or zip codes, so delivery to these areas by retailers and online commerce is limited.

Favela Express is the startup that offers a delivery solution to the inhabitants of these communities, connecting them with online retailers who previously could not deliver their products to the favelas due to security, logistics (very difficult to access areas) and lack of formal addresses.

The company operates small distribution centers at the entrance of favelas where retailers deliver their orders, as end customers have given the address of the distribution center when placing their orders online. The startup is responsible for making the last mile delivery to the customer's home.

The staff working for this startup are people born and raised in the favela in which they operate, they know the place, the streets, the families living there and they know how to transit safely through these areas. In addition, this logistics work is an employment opportunity for the inhabitants of these low-income communities, who often have difficulty finding work and sources of income.

Our opinion:

The company addresses a real and relevant challenge: low-income families living in favelas could not shop online and did not have access to brands, retailers and offers only available online.
Favela Express was created by a community entrepreneur who saw the opportunity and realized that this solution could only be implemented by someone from the communities, combining the needs of retailers with valuable job opportunities in these communities.

By thinking of win-win solutions, they achieve unimaginable results. They have already signed contracts with major markets in Brazil and are now expanding their business models to other communities throughout the country.

Learn about this successful example in the "Retail Innovations 2022" report, prepared by KISS Retail and Ebeltoft Group: