Author Archives: Luciano Rodrigues@USMediaConsulting.com

About Luciano Rodrigues@USMediaConsulting.com

Luciano Rodrigues is Digital Ad Sales Manager for US Media Consulting and based in Sao Paulo, Brasil.

brazil myths 2

5 Myths about Internet Use in Brazil

After reviewing new research from IBOPE and We Are Social, we found some facts that suggest that conventional wisdom about Internet users in Brazil that could be wrong in certain areas.

Myth #1: Brazilian Internet Users Are Mostly the Rich Upper Classes
IBOPE’s study showed that 52% of Brazilian Internet users are from the Class C middle class. Only 4% of Internet users in Brazil are from Class A, while 34% are from Class B. Classes D and E make up 10% of the Internet users.

Myth #2: Men Dominate Internet Use in Brazil
In fact, IBOPE’s research shows that 53% of Internet users in Brazil are women and 47% are men.

Myth #3: Most Internet Users in Brazil Are Young
While many have indicated that living online is more of a Millennial trait, IBOPE’s study shows that 34% of Brazilian Internet users are between 35 and 54 years old. This age group has a larger percentage of users than Brazilians aged 16 to 24, who make up 28% of the country’s online users. And Brazilians aged 25 to 34 make up 32% of Internet users, still less than the 35 to 54 group. However, it is important to note that Brazilians over 55 make up only 7% of the country’s online users.

Myth #4: Mobile Is Taking Over Internet Use in Brazil
While there’s no doubt that mobile Internet is gaining quite a bit of ground in Brazil, We Are Social indicates that 77% of page views in Brazil are from laptops and desktops, compared to 20% of page views coming from mobile phones and 3% from tablets.

Myth #5: Facebook is Fading Away in Brazil
Despite reports that teens have abandoned Facebook in droves, it doesn’t seem to be happening in Brazil—and in markets like the U.S., no proof has been offered that Snapchat or Yik Yak command a larger share of the social media audience than Facebook. As far as Brazil is concerned, We Are Social reports that Facebook was the most popular  social platform, trailed closely by WhatsApp. And in the number 3 spot was Facebook Messenger. Other social networks—including Twitter, Google+, Instagram and Pinterest—had much lower usage levels than the top 3, anywhere from 11% to 19% lower.

Please contact US Media Consulting if you need help with media buying for a campaign targeting Latin Americans—whether it’s during Christmas or any other time of the year—with any time of media, including programmatic.

Brazil-e-commerce-market-presta-e-commerce

How to Increase Online Sales in Brazil

To drive more purchases from Brazilian online shoppers, start by offering free shipping and detailed product specifications. According to a recent survey of e-commerce consumers in Brazil, these are the top two influencers in their decisions to buy products online. The study was done by SPC Brasil and Meu Bolso Feliz in January 2015, getting the opinions of nearly 700 online shoppers from 27 capital cities in Brazil.

Here are some more study results that advertisers and agencies targeting Brazil’s 105 million Internet users should take into account.

#1 Factor in the Other Reasons Why Brazilians Buy
Free shipping (39%) and product specs (39%) were cited by Brazilians as the top 2 influencing factors in their decisions to shop online, but other factors also led to purchases. Below we list them and the percentage of Brazilian online shoppers who said these were influential:

  • Product recommendations on specific sites (30%)
  • Flexible payment options (27%)
  • Email promotions (25%)
  • Online advertising of products (20%)
  • Coupons (16%)
  • YouTube videos or tutorials (15%)

#2 Put a Bit More Mobile into Your Marketing Mix
Brazilian e-commerce shoppers still mostly go online with devices that display standard desktop advertising: 44% of them shop online with PCs and 32% use notebooks. However, it is important to note that 20% use cell phones to go online and another 4% use tablets. In addition, other research points to mobile-commerce increasing significantly in Brazil. As such, brands that seek to drive e-commerce revenue from this market should strengthen their mobile efforts. To do this, there are some key factors you should know about and you can explore them here.

#3 Try to Blend in E-Commerce Advantages into Your Marketing
When asked about the main advantages of buying online, Brazilian e-commerce shoppers cited the following:

  • Convenience of shopping without leaving home (74%)
  • Generally lower prices (50%)
  • Ease of comparing products from different brands (27%)
  • Ease of price comparison between products (23%)
  • Shopping at whatever hour of the day they want (23%)
  • Better product variety (15%)

#4 Broaden Payment Options
The majority (78%) of Brazilian online shoppers polled in this survey used credit cards to make their online purchases. But 54% used a boleto bancário, a type of online voucher that shoppers get from their banks and use to finish the transaction and actually make the purchase. Other forms of payment cited include PayPal (25%), debit cards (17%) and bank transfers (7%).

#5 Know What Sells Best Online
According to the survey results, Brazilian e-commerce shoppers say the products they buy most online are electronic products: 61% indicated that they buy them. Other popular products for Brazilians to buy via e-commerce include books (47%), shoes (44%), clothes (42%), appliances (36%) and plane/train/bus tickets (35%).
Over the next six months, Brazilian online shoppers plan to buy the following top 5 products: books (52%), electronic products (47%), tickets (47%), hotel reservations (41%) and tickets to events or shows (40%).

#6 Build Trust for Repeat Business
Seven out of 10 Brazilian e-commerce shoppers cite trust in certain e-commerce sites and in brands as the reason for them buying more than once from the same site. Other factors that also lead to repeat business from Brazilian online shoppers include a positive previous experience (40%), fast delivery (30%), the best prices (29%), free shipping (21%) and coupons (16%). More than 60% of shoppers said they left e-commerce sites before finalizing a purchase. The most common reason was that they weren’t sure that they needed the product (27%), though uncertainty about price options or product characteristics (18%) also stopped them from buying. Other factors that led to abandoned shopping carts include delayed shipping (13%), the price (13%) or the final price being different from the advertised price (12%).

Contact us to find out how you can reach Brazilian online buyers with a standard online ad campaign or through the precision power of programmatic buying through MediaDesk, Latin America’s leading DSP.

 

 

return on investment

Driving More ROI from Online Campaigns in Brazil

While targets change with every campaign, having as much of a detailed handle as possible on Brazilian Internet users can help digital planners start optimizing even before they launch. With that in mind, we reviewed fresh data on Brazilian internautas to pick out details about behavior and habits that may help improve results with online ad campaigns.

>>>Consider Price-Sensitive Components for Campaigns
Here’s why:

  • Checking product prices is the #1 reason Brazilians say they use the Internet*
  • 80% of Brazilian consumers say they research product prices before buying them**

>>>Buy More Video Ad Inventory
Here’s why:

>>>Propose Adding an Online Component to TV Campaigns
Here’s why:

  • 40 million Brazilians are multiscreen users, up from 30 million in 2013**
  • Another survey from IAB Brasil indicates that 75% of Brazilians use at least one of their devices (computer, smartphone or tablet) while watching TV

>>>Develop More Landing Pages that Combine Product Information with the Offer
Here’s why:

  • Nearly 6 in 10 Brazilians—58%—look for information online before buying a product: 84% of Classe A does this, 70% of Classe B and 52% of Classe C*

>>>Put Most of Your Mobile Ad Spend toward Mobile Internet Ads (rather than in-app ads)
Here’s why:

  • Nearly 7 of 10 Brazilians (67%) access the Internet with a mobile device—a total of 62 million who are surfing mobile versions of Web sites and be reached with banners*
  • While 42% of Brazilian Internet users go online with computers when at home, more of them (52%) use cell phones*
  • Among the most popular apps among Brazilians (as ranked by App Annie), several don’t allow advertising, including WhatsApp and Instagram

Sources: *FNazca, **Google

Please contact us to find out more how we can increase efficiencies for Latin American agencies through media services like planning or buying or via advertising technology solutions like programmatic buying.

Brazil m-commerce

M-commerce Takes Off in Brazil

A recent study from Pagtel—a Brazilian mobile payments company—and Mobi.life, from the group E.life, asked 480 Brazilian mobile users about their mobile shopping habits. The results suggest that mobile commerce is growing rapidly in Brazil:

  • 67% of Brazilian mobile users said they made mobile purchases in 2014, compared to 57% in 2013
  • 60% of Brazilian mobile shoppers used store websites, 37% used intermediate services like PayPal or Buscapé, 32% used app stores like Google Play and 24% used shopping applications
  • 54% say they access banking services via smartphones and 22% use tablets for online banking

Hot Products in Brazil’s M-Commerce
Respondents indicated that they favor buying certain products via mobile commerce, including:

  • Tickets (61%)
  • Virtual content (55%)
  • CDs, books and DVDs (47%)
  • Food delivery (44%)

Factors that Impede M-Commerce in Brazil
Despite the large percentage of mobile shoppers among the respondents, a significant amount (69%) say they prefer to make online purchases with their computers. Of these, 43% prefer computers because they believe mobile is not safe and 32% prefer computers because websites are not mobile-responsive.

Security Factors that Favor M-Commerce in Brazil
Brazilian mobile users highlighted several factors that make them feel safer when shopping with their smartphones or tablets, such as:

  • Confidence in a website brand, application or application store (80%)
  • The accepted forms of payment (56%)
  • Safety terms published in the website or app (47%)
  • Comments of other users (39%)
  • Typing a personal password (37%)
  • Biometric recognition (20%)
  • Visual recognition by images (15%)
  • Voice recognition (12%)

Brazilian Views on Mobile Advertising
The respondents to the Pagtel survey indicated that they appreciate voicemail mobile ads the least (88% dislike them).

Other unpopular formats include banners in games (74% disapprove) and banners in apps (70% disapprove). Some other aspects of mobile campaigns that Brazilian users dislike include merchandising that the user did not authorize, uninteresting content and a high frequency of messages.

That said, respondents indicated mobile banners on websites do produce engagement, and 56% of respondents said they clicked on mobile banners.

Overall, Pagtel and Mobi.life’s study coincides with recent data we’ve seen from Ebit, which reported that m-commerce in Brazil produced sales of more than R$ 1.13 billion in the first half of 2014—a 102% increase. In fact, E-bit projects that mobile commerce will represent 10% of all e-commerce transactions done in Brazil in 2014.

As a company, we were aware of this rise in Brazilian m-commerce several years ago, and this is why we’ve recently premiered programmatic mobile ad buying on MediaDesk, the leading programmatic buying platform in Latin America. To find out more about how you can reach Brazilians with a highly targeted and efficient programmatic campaign, please contact us.

 

top growth markets Brazil

The Top 8 Growth Markets in Brazil for 2015

For professionals in advertising, marketing and media, economic growth areas may help us decide who to target for new business. With that in mind, we took a look at some of sectors in Brazil that have been surging not only in 2014 but over a longer amount of time, since this data suggests that they will be worth watching as 2015 starts to unfold.

1 eyewear
Take a Look at Eyewear

Over the past 5 years, the eyewear market in Brazil has grown by 89%. Sunglasses are one of the main growth drivers, with 15 million units sold. According to Bento Alcoforado, president of the Associação Brasileira da Indústria Óptica, in 2015 the Brazilian optical market will grow by 10% and then by 20% in 2016.

2 organic food
Organic Growth

According to Projeto Organics Brasil, the organic foods market in Brazil is set to go up by 35% in 2014, with overall sales of R$2 billion.

3 games
Good Games

After growing by 14% in 2013, the Brazilian toy market is set to grow by 11% in 2014, with R$ 9.5 billion in sales. The reason 2015 looks good for toys is the strong growth that’s happened for years. For example, in 2010 toy sales in Brazil grew by 8.5%, then by 9% in 2011 and then by 15.6% in 2012.
Beyond toys, video game console sales in Brazil went up by 33% between January-July 2014 and the same period in 2013, according to GfK, with an increase of 11.5% in video game sales.

4 advertising
Advertising Also Up

Besides certain products doing well, we’re seeing the promotion of those products also doing well. Research from Carat projects a 9.4% increase in ad spend in Brazil in 2014 due to the World Cup and recent elections. Overall, Latin America should see ad spend increase by nearly 12% in 2014, way ahead of North America (5%), Western Europe (2.7%) and Asia (5.5).

5 pharma
Pharmaceuticals Flourish

According to the Associação Brasileira de Distribuição de Logística de Produtos Farmacêuticos, sales of pharmaceuticals in Brazil totaled R$ 3.23 billion in Q3 2014—nearly 19% higher than in the same period in 2013 and 8% higher than in Q2 2014.

6 reading
Reading Ramps Up

While we don’t have all numbers in for 2014, we know that book sales in Brazil went up by more than 10% in 2013. In 2012, sales of books in Brazil grew by more than a billion reais, suggesting a growth trend is taking place in this area.

7 pets
More Pet Shops Popping Up

Since 1995 there has been annual average growth of 19% in pet shops in Brazil. Overall, the pets market is set to grow by 7% and overall, Brazilians will spend R$ 14 billion on their dogs and cats.

SONY ELECTRONICS, INC. XPERIA TABLET S
Tablets Take Over

IDC indicates that Brazilians bought 6.4 million tablets between January and September 2014—20% more than in the same period in 2013. In contrast, Brazilians bought 3 million desktop computers and 4.6 million notebooks. Basically, tablets have taken over the computer market in Brazil, with 47% market share, significantly higher than the share of notebooks (33%) and desktops (19%).

Please contact us to find out more how we can increase efficiencies for Latin American agencies through media services like planning or buying or via advertising technology solutions like programmatic buying.

Streaming video with modern mobile phone

Video Streaming Gains Ground in Brazil

Ericsson recently released the results from its TV & Media 2014 study, based on quantitative interviews with 23,000 people in 23 countries, including Brazil and Mexico. The study offered some interesting results for Brazil that both online and offline media planners may want to consider.

>>>Streaming Nearly as Common as Regular TV
Overall, 75% of respondents said they watch streaming video several times a week while just a bit more (77%) said they watch traditional TV several times a week.

>>>Traditional TV Viewing Down in Brazil
Around 7 in 10 (73%) of Brazilians surveyed said that they watch traditional TV programming—an 8% drop compared to the 81% who viewed traditional TV programming in 2013.

>>>Nearly Half Want Personalized TV Service
Around 48% of Brazilians said that they would be willing to pay for personalized TV service that would recommend channels based on a user’s TV consumption habits.

>>>Smartphone Video Viewing is Up
Four out of 10 (40%) of Brazilians said that every day they watch videos produced by other people on their smartphones. In addition, Brazilians said they watch 1 hour and 46 minutes more video content on their smartphones than they did in 2012.

>>>Overall Mobile Video Viewing is Up
The study also found that users in Brazil, Mexico and Chile watch an average of 13 hours of video content with mobile devices: 8.2 hours via smartphones and 4.9 hours via tablets.

Please contact us to find out more how we can increase efficiencies for Latin American agencies through media services like planning or buying or via advertising technology solutions like programmatic buying.

brasil social

6 of the Latest Social Media Trends in Brazil

The more agencies understand how Brazilians access and use social media, the better they can optimize their campaigns and maximize their ad investment. That’s why we reviewed new research on Brazilian social media use. We spotted several trends, including:

#1 Seven Social Sites
According to a poll of more than 1,500 Brazilian Internet users aged 15 to 32 that was done by CONECTA  (an online community), on average, young Brazilian Internet users have profiles on 7 social media sites.
Facebook was the most popular (96% of Brazilian Internet users have a page on it), followed by YouTube (70%), Skype (69%), Google+ (67%), Twitter (64%), Orkut (57%) and Instagram (52%).

#2 Mobile Majority
The CONECTA survey indicated that 88% of the cell phones of younger Brazilian Internet users have the Facebook app installed. Most also have YouTube (81%) and WhatsApp (79%) on their phones. For those who own tablets, 61% have the Facebook app installed and 59% have the Youtube app.
This tendency to connect to social networks via mobile is further supported by research from Comitê Gestor da Internet no Brasil, which indicated that 53% of younger Brazilian Internet users go on social networks using cell phones and 16% use tablets.

#3 Always Connected
Another finding of the CONECTA survey was that because of the easy access through their phones, a large majority of Brazilian Internet users report they are always connected to social networks: 89% are continually on Facebook, 87% on WhatsApp and 63% on Instagram.

#4 World Leaders in Social Media Use
A survey from SurveyMonkey in partnership with Social@Ogilvy indicates that Brazilians spend nearly 14 hours a month on social networks, more than many large online markets. The survey polled 6,500 Internet users in 16 countries, including those in China, Russia, the United States, Germany, Japan, Argentina and Mexico. The #2 country in social media use was Russia, with an average of 10.8 hours a month, followed by Argentina.
This 14 hour per month figure on social media actually may be low, by the way. A recent study from comScore indicated that Brazilians spend 56 minutes a day on social media, a total of 1,680 minutes or 28 hours a month.

#5 Heavy Sharing
The SurveyMonkey survey also indicated that 71% of Brazilian Internet users share content on social media, the highest percentage of all countries surveyed.

#6 Social Searching for Jobs
A survey from Jana indicated that job hunters from Brazil prefer to use Facebook to look for work rather than LinkedIn or Google. In fact, 59% of the Brazilians said they use Facebook to look for jobs while only 14% use LinkedIn and 30% use Google+.

To find out more how we can help your agency increase its efficiencies via media services and new technology developed for the Brazilian market, please contact us.

#1 main image consumer story

The Top 5 Latest Buying Trends among Brazilians

New research from a variety of sources offers fresh insights into the attitudes of Brazilian shoppers. Since these attitudes and preferences could affect the results of media campaigns, we have included a few of the most prevalent ones here.

#1
#1 Company Reputations Influence Purchases

A study from Weber Shandick showed that 70% of Brazilians avoid products from companies that they don’t like. Nearly the same amount (67%) look at product labels to see which company is behind the brand and more than half (56%) research the reputations of the firms that produce the products that they consume.


#2 a
#2 Sustainability is Important
A worldwide study of consumers by Target Group Index indicates that nearly 7 in 10 Brazilians (69%) would pay more for a product that is environmentally friendly, way above the global average of 45%.


A woman hand carrying a bunch of colorful shopping bags
#3 Most Make Impulse Buys

Data from Brazil SPC indicates that 85% of Brazilians make impulse buys. More than 4 in 10 Brazilians (43%) say they make impulse purchases in times of anxiety or sadness. Nervousness and dissatisfaction with their appearance are the main reasons behind the impulse buys made by Brazilians.

#4
#4 Packaging More Important than Brands

MeadWestvaco Corporation did a survey of consumers in 10 countries, including Brazil. Sixty percent of Brazilians rated the packaging of the product as more important than the brand in terms of evaluating their overall satisfaction with the product. The survey indicates that packaging impacts Brazilian consumers in a number of other ways:

  • 79% try a new product because of packaging
  • 53% purchased a product once again because of packaging
  • 46% switched brands due to negative experiences with new packaging

#5a
#5 Online Searches Influence Offline Purchases
According to research from Google, Brazilians tend to research certain types of products online and what they find influences their offline purchases. The products and percentages of Brazilians who research them online and buy them offline are as follows:

  • Appliances: 45%
  • Cars: 45%
  • Real Estate: 44%
  • Health products: 34%
  • Cell phones: 33%
  • Cosmetics and beauty products: 24%

To find out more how we can help your agency increase its efficiencies via media services and new technology developed for the Latam market, please contact us.

 

Business concept enter Brazil

10 Intriguing Facts about Brazilian Internet Users

After reviewing some new studies of Brazilian internautas, we discovered a number of surprising facts that digital marketers and agencies may be able to benefit from.

#1 Brazilians Use the Internet More Than Anyone
According to the report We Are Social, Brazilians spend 6.1 hours per day using the Internet, the highest global average. Essentially, Brazil leads the world in Internet use. The #2 country is South Africa, with 5.6 hours per user, per day. A number of key Internet markets trail Brazil in time spent online, including China (4.5 hours/day), the United States (5.2), the United Kingdom (4.2), and Canada (4.9).

#2 Most Brazilian Internet Users Spend Lots of Time at the Mall
While 20% go once a week and 31% go once a month, 10% of Brazilian Internet users go to shopping malls every day. The survey also selected 16 product categories, such as clothes, furniture, tools, shoes, appliances, electronics, phones and tech products, and asked Brazilians if they buy these products in malls or online. They overwhelmingly indicated that they buy these products at the mall. For example, 96% buy clothes at the mall and only 13% buy them online. The most popular products for Brazilians to buy online are tech products, phones, electronics and books.

#3 Most Plan on Traveling to Europe

A survey from CONECTAí found that 44% of Brazilian Internet users prefer to vacation in Europe, while 27% chose Central and South America, with only 14% choosing North America.

#4 The Majority Research Products Online before Buying Them Offline
According to research from comScore prepared as part of the upcoming Proxxima event in Sao Paulo, 74% of Brazilian Internet users research products on the Internet before buying them offline.  Nearly half (48%) of Brazilian Internet users research products online by using a mobile device while in the store. This is a significantly higher percentage than in 2012, in which 37% of Brazilian internautas reported doing this.

#5 Among the World Leaders in Social Media Use
The We Are Social report indicates that Brazil is #5 in the world in time spent on social media. Brazilian Internet users spend 3.1 hours a day on social media, exceeded by Argentina (4.3), Mexico (3.8), Thailand (3.7) and United Arab Emirates (3.3).

#6 They Spend More Time Online Than Watching TV
A recent IBOPE study showed that Brazilians spend 3 hours and 39 minutes on the Internet every day while watching TV for 3 hours and 29 minutes a day, listening to the radio for 3 hours and 7 minutes a day and reading newspapers for 1 hour and 5 minutes a day.

#7 One of the top 3 Facebook markets in the world
With 86 million active Facebook users, Brazil is #3 in the world behind India (90 million) and the United States (178 million). Recent data from Facebook itself indicates that 30 million Brazilians access Facebook via mobile devices and that Brazilians spend an average of 12 hours a month on the site.

#8 Beer and Wine are Their Favorite Drinks
An IBOPE study from late 2013 indicated that 72% of Brazilian Internet users consume alcohol. Beer tops the list of their favorite drinks: 70% of Brazilian Internet users indicated that they preferred beer, while 42% chose wine as their favorite drink.

#9 Most Mix TV and Online at the Same Time
The comScore research cited earlier also highlighted that 73% of Brazilians watch TV while using the Internet. The behavior of the Internet users seems to vary by the device they use to access the Internet while watching TV. More than half (54%) of Brazilians who use notebooks to go online while watching TV say they engage in activities not related to what they are watching, while 48% of those who use smartphones and 47% of those who use tablets report doing activities not related to what they’re watching on TV.
Also worth noting is that a November 2013 study from eCGlobal Solutions found that 86% of Brazilian Internet users go on social media to comment about TV shows, suggesting that solutions like Shazam could be helpful for certain brands.

#10 Most Are Pet Owners
A September 2013 IBOPE study indicated that 80% of Brazilian Internet users are pet owners. Dogs were the most popular pet by far, with 63% of Brazilian internautas owning them, while 27% own cats. Most Brazilian Internet users report spending between R$ 30 and R$ 75 (US$13 to US$34) a month.

To find out more how we can help you take advantage of this Brazilian Internet market intelligence to improve your results in reaching this market, please contact us.

The 3 Best Media Types for Reaching Brazilian Executives

As we plan thousands of campaigns throughout the year, clients ask us how to reach all kinds of target audiences. One audience that is always interesting to consider is Brazilian executives. While it’s not a huge segment, it’s clearly high-end in terms of income and a good target for a range of products. So how can a brand connect with this audience? Well, we constantly work to track changes in audience behavior and preferences, and some recent research suggests that newer approaches may be in order to reach the segment of Brazilian executives, including:

These approaches come from a study of more than 100 Brazilian executives by IdeaFix. The executives included presidents and directors of marketing, finance, IT and more, including brands like Vivo, Volkswagen, Nespresso, Hertz and HSBC, among others.

According to the study results, 90% of Brazilian executives surveyed said that they prefer print magazines to the online version. But when it comes to newspapers, 56% say that they only read newspapers in their online form and only 11% read printed newspapers as their main type of reading. In addition, 90% of the Brazilian executives surveyed are on LinkedIn and 87% are on Facebook, but only 4% are in Twitter.

Not surprisingly, nearly 74% of the Brazilian executives included in the survey said that the Internet is their main source of information. While no data indicated the specific sites Brazilian executives like best, they did indicate that they prefer reading about business, economics and technology.

To find out about how we can create a plan to reach Brazilian executives or any other target segment in Brazil or Latin America, please contact us.