BRICS marketing: strategies, challenges and opportunities

The BRICS nations – Brazil, Russia, India, China, and South Africa – have established themselves as significant economic players in recent years. These five countries not only represent a large population but also dynamic markets with growing influence on the global economy. But how do these nations manage to promote their economic cooperation and position themselves internationally as a strong unit? The BRICS Summit 2024 is currently taking place, providing a platform to discuss future economic strategies.

This article shows the most important marketing strategies that BRICS use to showcase their economic strength. It also explains how these strategies help them to successfully achieve their international goals.

The BRICS nations aim to position and establish themselves as a counterbalance to Western-dominated institutions. With the New Development Bank (NDB), they created an institution to promote economic progress. The NDB finances infrastructure projects and supports sustainable development in the member countries. These measures are intended to strengthen the economic independence of the BRICS nations while offering alternatives to Western financial systems.

Through the NDB and other institutions, the BRICS countries offer financing that is independent of the US dollar. This strategy is gaining importance as international sanctions and economic uncertainties increase. It underscores the need for alternative financing routes. By developing their own economic infrastructure, they position themselves as strong and independent economic powers on the global stage.

A key component of the organization's strategy is to expand trade among the member countries. The goal is to reduce economic dependence on Western markets and strengthen integration within the bloc. Particularly noteworthy is the promotion of trade in the members' own currencies. This aims to further reduce reliance on the US dollar. This measure gained importance after sanctions against Russia highlighted the risks associated with Western currency systems. 

Trade in national currencies allows the BRICS countries to shape their economic policies more independently and better control currency fluctuations. In the long term, this fosters closer cooperation based on shared interests, making it less susceptible to external influences.

The annual BRICS summits provide a platform for economic, political, and technological cooperation. These meetings reinforce the image of the BRICS as a united entity addressing global challenges together. Topics such as trade, energy, and technology take center stage. Through collaboration in these areas, the BRICS countries not only promote economic exchange but also enhance their positive image as cooperative and open markets.

A good example of this is the focus on renewable energy and infrastructure projects. The BRICS nations recognize that sustainable development plays a crucial role in the future global economy. Through joint projects in these areas, they emphasize their commitment to a more environmentally friendly and stable future. At the same time, this strengthens their position in the global market.

China and India, two of the most technologically advanced BRICS countries, are heavily investing in technological innovations and digital transformation. These advancements enable them to promote their technology markets internationally and position themselves as leading technology hubs. By developing their own technologies and digital platforms, they open up new markets and strengthen their independence from Western tech corporations.

An interesting example of this is the development of BRICSpay, a payment system designed to facilitate international transactions between BRICS countries. This system is part of the efforts to create an independent trading structure that does not rely on Western platforms. Such technological collaborations open up opportunities for companies worldwide to enter these markets and discover new business possibilities.

In addition to economic and technological initiatives, the BRICS countries also leverage soft power to strengthen their international standing. Through cultural events, educational programs, and the exchange of professionals, they promote cultural ties and build long-term relationships with other nations. These efforts enhance the image of the BRICS as open, cooperative markets and foster better intercultural understanding.

For example, Brazil leverages cultural events like Carnival to promote Brazilian culture globally and attract tourists. India is heavily investing in expanding its education sector, drawing students from other BRICS countries. These initiatives not only foster intercultural exchange but also strengthen economic cooperation among the member nations.

Despite their efforts, the BRICS nations face significant challenges. Political tensions, economic imbalances, and geopolitical conflicts can hinder cooperation. A clear example is the tensions between China and India, which, despite shared interests, cannot be fully resolved.

To address these challenges, the BRICS nations are increasingly focusing on diplomatic efforts and collaboration with new partners. By expanding to include new members in the extended BRICS+ group, such as Saudi-Arabia and Egypt, they aim to broaden economic cooperation. At the same time, they seek to enhance the global relevance of the BRICS. This expansion allows the BRICS countries to diversify their economic base and create new synergies.

The BRICS nations have established themselves as significant economic powers and are strengthening their international position through targeted marketing strategies. Whether through trade in their own currencies, expanding technological collaborations, or leveraging soft power, they are working to present themselves as a strong and independent alternative to Western-dominated markets.

Yet, the challenges remain significant. Political tensions and economic disparities among the members demand diplomatic skill and long-term strategies to foster collaboration. The future of this organization depends on how well the countries can pursue shared interests and effectively leverage the diversity of their economic systems. Only in this way can they form a strong and unified front. The current BRICS Summit 2024 could be pivotal in finding common solutions to these challenges.

Sources::

https://www.newmediametrics.net/why-should-marketers-be-aware-of-the-bric-countries/

https://library.fiveable.me/key-terms/global-strategic-marketing/brics-countries

https://www.bcg.com/publications/2024/brics-enlargement-and-shifting-world-order

https://oxfordbusinessgroup.com/articles-interviews/what-would-brics-expansion-mean-for-emerging-markets

https://www.cmcmarkets.com/en/news-and-analysis/what-is-brics-summit