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According to the Asociación Mexicana de Internet (AMIPCI), there are 45 million Internet users in Mexico. The #2 online market in all of Latin America—second only to Brazil—shows no signs of slowing down. After reviewing the data from recent studies, we’ve identified a number of key trends that professionals in marketing, media and advertising should focus on.
#1 Internet ad spend continues growing strongly. In June 2013 IAB México announced that online ad spend in Mexico had increased by 38% in 2012, from 4.6 billion pesos (US$350 million) in 2011 to 6.3 billion (US$479 billion) in 2012. Overall, since 2008 online ad spend in Mexico has increased by nearly 150%. While no ad spend figures are yet available for 2012, in 2011 Internet took up 7% of the ad spend in Mexico, a percentage higher than that of magazines (3%) and very close to newspapers (8%), out of home (8%) and radio (9%).
#2 E-commerce continues powerful growth in Mexico. According to AMIPCI, e-commerce grew by 46% in 2012 to reach nearly 80 billion pesos (US$6 billion). In 2008, these sales totaled just under 20 million pesos—meaning that e-commerce in Mexico has quadrupled over the past 4 years. Also of note is that in 2012, the months with the highest volume of online sales in Mexico were August, November and December.
#3 A massive mobile market is emerging. According to Ericsson, by 2018 Mexico will have more than 150 million active mobile subscriptions. These projections are likely to be driven by surging sales in smartphones (16 million expected to be sold in 2013) and tablets (2.2 million expected to be sold in 2013) and significant gains in mobile broadband adoption. In fact, for the first trimester of 2013, the Comisión Federal de Telecomunicaciones reported an increase of 39% in mobile broadband connections in Mexico.
Looking forward, eMarketer recently estimated that there is 22.6% smartphone penetration in Mexico and that it will reach 43.6% by 2017. In addition, recent data from Ipsos OTX indicates that 48% of Mexican Internet users would prefer to make payments with a smartphone or tablet instead of using their wallets—this was a higher rate of interest than Internet users in Argentina, Brazil, Canada and even the United States.
#4 Online video maintains powerful reach in Mexico. Recent data from comScore indicates that 81% of Mexican Internet users watch online videos. That’s a potential audience of 36 million that advertisers can reach through this cost-efficient, effective solution. Despite this, eMarketer observes that there is a puzzling gap between the audience and the advertising: only 2% of online advertising spend in Mexico is directed toward videos. This discrepancy can well offer an impactful way for brands to connect with audiences—before this practice becomes commonplace and the field gets crowded.
#5 Internet activity is highest during the week. According to the AMIPCI study, 82% of Mexican Internet users connect on Mondays, 77% on Tuesdays, 80% on Wednesdays, 77% on Thursdays and 85% on Fridays. In contrast, only 62% of Mexican Internet users go online on Saturdays and only 47% connect to the Internet on Sundays.
#6 Social media engagement remains high. AMIPCI’s results indicate that 93% of Mexican Internet users report using at least one social network and when asked to rank their main online activities, 82% of the internautas said that going on social media is one of them. Only searching for information (84%) and sending/receiving emails (87%) ranked higher.
Not surprisingly, Facebook has the deepest reach among social sites in Mexico (82%), followed by Blogger with 42% reach and 12.1 million unique users in May 2013. Among the social sites with strong recent growth in Mexico are ask.fm (a massive 10,000% growth since May 2012), Pinterest (124% growth since May 2012), Tumblr (107% growth since May 2012) and LinkedIn (88% growth since June 2012).
To find out how we can help you reach Mexican consumers via media campaigns of all types, please contact us.