Tag Archives: 8 Keys to Powerful Mobile Campaigns in Brazil

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The Top 10 Growth Markets in Latin America

In pursuing new business in Latin America, it can be helpful for agencies to discover the sectors in the region that are notching more sales and expanding. We reviewed a combination of data, including industry reports and projections, to identify the top growth markets in Latam.


In January 2014 Nielsen reported that Latin American consumers have one of the highest purchase intents in the world for cars: 75% plan to buy a new or used car this year, 10% above the global average. This strong purchase intent reflects sales growth in different Latam markets:


While there haven’t been numbers reported for all of Latin America, a number of individual markets in the region have posted notable growth in the cosmetics sector:

Blue diamond

According to Erez Akerman, president of the Bolsa de Diamantes de Panama (Panama Diamond Exchange), the diamond market in Latin America is posting more than US$8 billion in annual sales and is projected to have 25% growth this year.

4 drink
Energy Drinks

Growth in this sector dates back to 2007. Food and drink consultant firm Zenith International reported that the average annual growth in the energy drink market in Latin America was 25% between 2007 and 2012. The value of the energy drink market in Latin America went up by an average of 22% per year between 2007 and 2012. The top-consuming energy drink markets include Brazil (with 56% of the overall market), Argentina (nearly 18%), Mexico (15%), Colombia (4.5%) and Chile (4%).
The firm Research and Markets recently release a report in which it indicated that the energy drink market in Latin America will grow at a current adjusted growth rate (CAGR) of 21% in revenue between now and 2018.

5 hotels

A recent study from Jones Lang LaSalle projects that the Latin American hotel industry will increase its room supply by 65% over the next 10 years. In March 2014 Brazil had nearly 13,000 hotel rooms under construction, while in the same month Mexico had 162 hotels in the planning/construction phase. According to the STR Construction report, other Latam countries have significant amounts of hotel rooms under construction, including Colombia (2,805), Panama (1,919), Argentina (1,719), Chile (985) and Costa Rica (899).

6 luxury

According to Euromonitor, in 2013 Latin America led the world in luxury market growth. The firm noted that in 2013 Latin America posted 24% growth in the amount of luxury outlets and 22% growth in luxury outlets sales growth. The #2 region in luxury growth was the Middle East, with nearly 14% growth in the number of luxury outlets and 22% growth in sales at luxury outlets.
Among the top luxury growth markets in Latin America:

7 otc
Over-the-Counter Pharmaceuticals

According to TechNavio, the over-the-counter (OTC) pharmaceuticals market in Latin America will have a CAGR of more than 14% between 2013 and 2018.

8 pets

Although no recent pet market data for all of Latam is available for 2013, Euromonitor noted a 44% increase in spending on pet products in Latin America between 2006 and 2011. In addition, it was recently reported that pet supermarkets Petco and Gigante will invest US$50 million in the opening of 50 new stores in Mexico and Latin America. Individual Latam markets are also showing good growth in the pet product sector:

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TV sets

With the World Cup, it’s projected that TV sales will increase in a variety of Latin American markets:

10 toys

The year 2012 marked the first time that sales of traditional toys and games in Latin America surpassed US$10 billion, according to Euromonitor. The firm forecasts a 7% CAGR for the Brazilian toy market between 2012 and 2017, with spending per child increasing from US$81 in 2012 to US$125 in 2017. Euromonitor also projects that the Mexican toy market will be worth more than US$300 million by 2017. Other relevant numbers to take into account include:

To find out more how we can help you reach Latin American consumers with a targeted media campaign, please contact us.

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Why Advertising Is the #1 Information Source in Brazil

The Internet is taking over everything, right?

That’s what a number of studies have led us to believe. We’ve seen research that shows that Brazilians research certain products online before buying them or check prices for products by using their smartphones while still in the store.

This may be true, but some recent research shows that traditional advertising is still quite strong in Brazil.

In fact, in Brazil traditional advertising is the #1 way for people to obtain product information.

These results come from a survey done in 2013 by Jack Morton Worldwide, a branding agency that is part of Interpublic Group. The company surveyed more than 3,000 consumers in Brazil, United States, United Kingdom, China, India and Russia.

One of the key questions that Jack Morton Worldwide asked consumers was, “How do you learn about brands?” It turns out that traditional advertising is the main way that Brazilians learn about brands, and it’s tied for first place with friends and family.

Another interesting finding from this study is the change in attitude towards liking brands on Facebook. In 2011, 19% of consumers in Brazil, the United States, India and China said that “friending” brands or pushing like buttons on social sites is silly. In 2013 more than 27% of consumers from these countries thought that friending or liking brands was silly. While likes may mean less for these consumers, the survey also showed that 43% of them are using social media sites for information about brands.

To find out more about how you can reach Brazilian consumers via a media campaign using traditional advertising or through a  precisely targeted campaign on Facebook, please contact us.




The 7 Hottest Trends Among Latin American Internet Users

To deliver the best possible results for clients that seek to reach Latin American consumers via online and offline campaigns, we constantly review the latest research. In doing so, we noticed a number of trends in different Latin American markets.

#1 Internet Use Spikes Dramatically
As brands score strong responses to their campaigns in Latam, it can be easy to overlook how far the market has progressed in Internet use—and how it keeps growing every day. For example, according to Pew Research Center, in 2007 35% of Argentines reported using the Internet but in 2013 more than 6 in 10 (65%) of Argentines reported using the Internet. In 2007 33% of Chileans used the Internet. But in 2013 62% of Chileans reported using the Internet. Mexico also showed a significant surge in Internet use, going from 31% in 2007 to 43%. In 2010 around 4 in 10 Brazilians (43%) reported going online but by 2013 nearly half (47%) of Brazilians reported that they were Internet users.  Of course, given that IBOPE has reported that Brazil has 105 million Internet users out of a population of 202 million, it’s possible that Pew’s numbers are a bit low. The same can be said for Mexico’s numbers given that World Internet Project recently reported that there are 59 million Internet users in Mexico (out of a population of 118 million). Projections from several organizations suggest that massive growth is on the way in many of Latin America’s markets:

  • Brazil should have 168 million Internet users by the end of 2014*
  • Chile should have 16.4 million Internet users by 2015**
  • Ecuador should have 7.5 million Internet users by 2015***
  • Mexico should have 65 million Internet users by 2015***

Sources: *Comite Gestor da Internet, **Pyramid Group, ***Latin America & Caribbean Network Information Centre

#2 Chile Leads Latam in Smartphone Penetration
According to the Pew Research Center, in 2013 more than 91% of Chileans reported owning a mobile phone and 39% have a smartphone. This means that smartphone penetration in Chile is at 39%. That seems quite huge until you consider that more than 6.6 million smartphones were sold in Chile in 2013 and that the population is at around 17.5 million. So just in 2013, 37% of the population bought smartphones in Chile.

#3 Colombia Leads Latin America in Internet Penetration
This data comes from the 2013 IBOPE Media Book. According to IBOPE, Internet penetration in Colombia is at 72% and is the highest in Latin America. IBOPE further reports that more than 80% of Colombian Internet users connect from home. Chile is #2 in Internet penetration in Latin America with 68% of the population going online.

#4 Costa Rica Is the Fastest-Growing Internet Market in Latin America
According to IBOPE, Internet penetration in Costa Rica jumped from 50% in 2012 to 67% in 2013, the biggest leap in all of Latin American markets.

#5 Accessing Social Networks Via Smartphones Increases
Nearly 4 out of 10 Chileans (37%) access social networks through cell phones and the same amount (37%) of Venezuelans also access social media via cell phones. Nearly one-third of Argentines (32%) and Mexicans 30% use mobile phones to access social networks. Significantly lower percentages of Brazilians (19%), Salvadorans (18%) and Bolivians (17%) report using their phones to check social media.

#6 90% of Argentines are on Facebook
Recently Alejandro Zuzenberg and Alberto Arébalos of Facebook Argentina released some figures about the social network’s reach in the country. While overall 90% of Argentines have an account on Facebook, there are 23 million active Facebook users in Argentina and 15 million of them connect to Facebook using mobile phones. Other important facts:

  • Slightly more women (52%) than men (48%) are Facebook users in Argentina
  • Facebook users in Argentina tend to be younger: 72% are between 13 and 34 years old,  with 22% aged 35-54 and 5% over 55
  • In March 2014 Facebook users in Argentina notched 2.4 billion likes, 1.1 billion comments, 615 million messages, 360 million photo uploads, 168 million status updates and 265 million publications on user walls

#7 LinkedIn Surges in Latam
Currently LinkedIn reports that it has more than 40 million Internet users in Latin America. LinkedIn has its deepest penetration in Chile in which more than 13% of the population (2.2 million people) use the social network. Overall, Brazil has the largest amount of LinkedIn users in Latin America (more than 15 million). Brazil is actually the #3 market in the world for LinkedIn, surpassed only by the United States (more than 100 million users) and India (more than 24 million users).
Mexico is the #2 market in Latin America for LinkedIn and has more than 5 million users. The majority (58%) of Mexican LinkedIn users are women and 57% are under 35 years of age
There are 3.3 million LinkedIn users in Argentina, 3 million LinkedIn users in Colombia and nearly 2 million LinkedIn users in Peru. In the case of Peru, LinkedIn users are mostly under age 35 (79%) and men make up 59% of the user base.

To find out more about how we can help you reach Latin American Internet users with a targeted campaign, please contact us.

brazil traveler

Reaching the Brazilian Travel Market

According to a recent survey from research firm Data Popular, more than 6.5 million Brazilians plan on traveling by August 2014. In 2013 Brazilians spent more than US$25 billion on international trips, a hefty increase from the US$22 billion they spent in 2012.

Clearly, travelers are a key Brazilian market segment for agencies and brands to reach. Since here at US Media Consulting we often plan both online and offline media campaigns aimed at Brazilian travelers, we find quite a bit of data on them. Recently we found a report from Braztoa (the Associação Brasileira das Operadoras de Turismo or Brazilian Association of Tour Operators) that offers lots of relevant data points. As such, we decided to summarize some key findings that may be helpful to agencies and brands that seek to target Brazilian travelers.

#1 Class C Spending Spikes
Between 2002 and 2012, Brazil’s Class C middle class increased its travel expenditures by 242%. And the upward trend did not stop in 2012: we recently reported that Class C Brazilians will spend even more on travel in 2014.

#2 Top Destinations for Brazilian Travelers
According to data from Hoteis.com cited by Braztoa, the top destinations for Brazilian travelers are:

  1. Orlando
  2. New York
  3. Buenos Aires
  4. Miami
  5. Las Vegas
  6. Santiago
  7. Paris
  8. London
  9. Roma
  10. Los Angeles

Braztoa also cited data from Viajanet from 2012 that presented a slightly different list of top travel destinations for Brazilians:

  1. Buenos Aires
  2. Miami
  3. Santiago
  4. Orlando
  5. New York
  6. Los Angeles
  7. Paris
  8. Lisbon
  9. Assunção
  10. Cancun

#3 Top Boarding Cities for Brazilian Travelers
Here are the top 10 cities for Brazilian travelers to board from, which could be relevant for out-of-home advertising campaigns and other targeting purposes:

  1. Sao Paulo
  2. Rio de Janeiro
  3. Rio Grande do Sul
  4. Minas Gerais
  5. Brasilia
  6. Bahia
  7. Santa Catarina
  8. Pernambuco
  9. Fortaleza
  10. Paraná

#4 Brazilian Travel to the United States Will Continue Surging
Braztoa noted that in 2005, 485,000 Brazilians visited the United States and spent US$2.2 billion. By 2013 Brazilian travel to the United States increased by 332% as nearly 2.1 million Brazilians visited the United States and spent US$10.5 billion. This year more than 2.2 million Brazilians will visit the U.S. and by 2018 the total will reach 3 million.

#5 Brazilian Travelers Are Mostly under 40 and Travel with Family
Braztoa cites data that indicates that 62% of Brazilians travel with family, while 55% travel with a spouse or significant other. Nearly one third (31%) travel with friends and only 12% travel alone. Nearly a quarter (24%) of Brazilian travelers are 18-30 years old and 34% are 31-40, so 58% are 18 to 40. Around 22% of Brazilian travelers are 41-50 and 20% are 51 years or older.

#6 Brazilians Travel Frequently
More than 4 out of 10 Brazilians (41%) travel 3 times a year or more, while 36% travel twice a year and 19% travel once a year.

#7 They Prefer Beaches and Cities
When asked what they look for in terms of travel destinations, 35% of Brazilian travelers look for beaches, 30% for cities and 9% for resorts.

#8 Long Nights and Short Planning Times
Braztoa cited more data that revealed other key preferences of Brazilian travelers:

  • They plan trips no more than 1-3 months ahead of time
  • They like to travel during extended holidays in Brazil
  • They’re looking for new destinations or new experiences at destinations they have visited
  • They love going out at night so they prefer destinations with entertainment that stays open late
  • They DO NOT like wasting time while traveling or staying inside the hotel

To find out more how we can help you reach Brazilian travelers or other consumer segments within Brazil with a targeted media campaign in any form of media, please contact us.

brazil movile

8 Keys to Powerful Mobile Campaigns in Brazil

It’s clear that a mobile revolution is taking place in Brazil. You can see for yourself the numbers we have observed through our own research. The challenge is in how to convert this massive group of users into a massive group of buyers. A recent study from PricewaterhouseCoopers may help with this. The research company polled mobile device users from Brazil to better understand their attitudes toward mobile advertising. We decided to turn these findings into tips that our clients and colleagues may be able to take advantage of as they target Brazilians with mobile ad campaigns.

#1 Make your ad relevant. Besides Brazilians, PricewaterhouseCoopers surveyed mobile users from China, the United Kingdom and the United States. The results showed that Brazilians were the most receptive to mobile ads and in fact 82% of Brazilian mobile users said they are likely to click on a mobile ad. However, the 82% indicated that the ad content needs to be relevant for them to click.

#2 Use mobile video. When asked to rank their favorite mobile ad format, 55% of Brazilian mobile users selected video, while 12% selected banners and 11% selected coupons. Only 5% preferred an ad displayed after an in-app activity.

#3 Target daily. When asked how often they preferred to be targeted by mobile ads, 44% of Brazilian mobile users reported that they preferred to be targeted daily. In contrast, 27% of Brazilians prefer to be targeted weekly by mobile ads and 10% prefer monthly targeting. A small percentage (9%) said they preferred hourly targeting, while another 9% of the users said they didn’t want to be targeted at all by mobile ads.

#4 Make sure the factors fit. Large majorities of Brazilian mobile users identified a number of key factors that they see as most important for mobile ads. First, 86% of Brazilians say that it’s most important for ads to be relevant. Other important factors that Brazilians think are very important for mobile ads are offering free things (78%), products/services that are specific to user locations (76%) and the duration/size of ads (74%). Other factors that Brazilians regarded as important for mobile ads include offers that are good for a limited time (67%), the ad format (62%) and personalizing ads so they use the user’s name (54%).

#5 Target by interest. More than 7 in 10 Brazilians (74%) said that they prefer that mobile advertising target them by interest, and in fact users in the other countries also had this approach as their biggest preference. The other important targeting criteria cited by Brazilians was location—44% said that they prefer that mobile advertising target them by location—and name, since 41% prefer targeting by name. Other targeting criteria ranked considerably lower, including online purchase history (37%), types of sites they visit with their mobile phone (28%), by their route to work (19%), by keywords uses in text messages (15%) and by keywords used in emails (15%).

#6 Run the campaign in the morning. More than 3 of 10 Brazilians (33%) reported that they prefer to be targeted by mobile ads in the morning when they wake up, while 14% prefer targeting when they are on their way to work and 10% prefer it while at work. Another 13% prefer to be targeted in the evening before dinner and another 11% prefer targeting on weekends. Given that we’re discussing  mobile campaigns what’s ironic is that only 3% of Brazilians said they preferred to be targeted while on the move.

#7 Be careful about personal space. One of the key concerns that Brazilians have about mobile ads is that it crosses the line into their personal space. In the context of the study, this means that Brazilians are concerned about ads that target by tracking texts and emails or ads received as text messages. Another concern is that mobile ads are too intrusive, meaning that they interrupt an activity that is important to mobile users at the time, such as getting directions or playing a game.

#8 Adapt your approach to their preferred scenario. As part of the survey, PricewaterhouseCoopers presented mobile users with various scenarios for receiving a mobile ad based on user location. For Brazilians, the most preferred scenario (80% of users) was the coffee shop scenario: a user walks by a coffee shop and receives message with a coupon for a discounted drink at the coffee shop—if they buy in the next 10 minutes. The second most popular scenario (67% of users) was one in which the phone knows the user is a fan of Michael Jordan and while the user is at the mall, they receive an alert for a store that sells Air Jordan sneakers. Another popular scenario (65% of users) was the milk reminder. In this scenario, a mobile user’s phone receives data from the user’s grocery shopping reward card. As a result, the phone knows the user last purchased milk 7 days before, so it reminds the user they are out of milk and provides route guidance to the nearest supermarket on the way home from work. In this scenario, the phone knows the user’s route home because it has passively tracked their commute.

To find out more how we can help you reach Brazilians with a targeted mobile advertising campaign, please contact us.

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5 Realistic Essentials to Effective Content Marketing

With all the buzz about content marketing these days, plenty of articles offer general tips on development and distribution. However, many are so basic that they skip over the success drivers.

That’s our focus here.

#1 Make Sure It Meets Goals

Ideally, content should be on a direct pathway to deliver sales. Here are some ideas for this:

  • Set up a subchannel on an Internet portal with coded banners that have offers. Traffic and purchases from the subchannel let you know if it’s working.
  • Create and distribute free E-books to generate leads
  • On the B2B side, you can interview clients as subject matter experts when you create e-books: this spur more interactions, builds the relationship and could drive sales
  • Develop exclusive content only for key clients that’s distributed several times a year: this also spurs more interactions to build relationships and sales
  • Distribute e-books and whitepapers at special events organized for clients: again, more opportunities for sales to interact with clients at an event where your firm has the control over the agenda and, obviously, the speakers
  • Create a useful app or game that can have ad content rotated into it so you promote your product
  • Once you build an audience for your content marketing product, act like a media outlet and put in ads for your other products and services and measure response

#2 Measure and Adjust

Realistically, not every firm can use content specifically to boost sales. The sales process can be complicated for certain companies, making it difficult to show a direct relationship between content and the purchases that are ultimately made. However, content can still help as an influencer in the buying process. For example, firms whose sales are driven (even in part) by their perceived expertise can “own” a subject area. However, it’s important to set up realistic metrics that allow a brand to see the effectiveness of content: web site traffic, open rates for e-newsletters and social media followers can be relevant in many instances. Measurement also allows brands to see what kind of content works and what doesn’t so they can scrap unpopular topics or formats in favor of what works.

It’s important to note that brands shouldn’t be satisfied with these indirect measurements. These are good for a starting point, but brands need to always be thinking about relating content to sales. So let’s say you create a company blog that ends up “owning” a subject area and your traffic metrics are good. Build on that by trying to work banners for your products or services into your blogs. Or look at turning blog content into a useful e-book and then use it to generate leads by offering it to prospective clients via an e-blast.

#3 Know What to Talk About

If your firm produces beauty products, a beauty blog or magazine could make sense. If your firm produces CRM software, content on CRM makes sense. If your product area is not a compelling enough subject for articles, does it relate to a lifestyle topic that you can cover with content? The relationship doesn’t have to be 100% direct to allow you to build a link between your brand and the content you produce. Brands need to think about how their product fits in with people’s lives. This could help them identify an area of focus for their content and also help them convert readers or viewers into buyers.

#4 Know How to Talk About It

As odd as this may sound, some brands use content to promote their PR departments or their new snack pack in branded magazines. Content is supposed to entertain. Brands are trying it because people are tuning out ads in favor of cute pictures, interesting videos, informative whitepapers and engaging blogs. So serving up more ad-like content is not the solution. Consider the kissing video by Wren and its impact: it never mentions how great the clothes are, does it? Often, getting on the radar screen of a consumer works just as well as creating content that entertains while promoting a product.

#5 Know Where to Put It

By running paid media campaigns, you probably know what your audience watches, listens to and reads. Adapt your distribution to this market intelligence. For example, when a brand establishes a blog with a solid audience, it can offer free posts to industry publications in exchange for linkbacks that could help with SEO and further the promotion of the brand in general. In this context, distribution can also mean native advertising, in which case your internal team needs to develop content to fit the style of targeted media sites or they can have the in-house teams of Web sites develop native ads.

To find out how we can help you reach Latin American consumers via any type of media, please contact us.

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Traditional Media in Brazil Is Growing, Not Shrinking

The recent PriceWaterHouse Coopers survey 2013-2017 and other recent data allow brands and media agencies to get a sense of  the different forms of media that are expanding their reach in Brazil.

Out-of-Home (OOH) Advertising
Brazil’s  OOH advertising will grow by more than 10% between 2013 and 2017. Only India will grow more than Brazil when it comes to out of home advertising over the next few years.

PriceWaterhouse Coopers projects that only 4 markets in the world will see growth in newspaper revenues between now and 2017—and Brazil is one of them. The firm projects that the Brazilian newspaper market will grow by 4% annually between now and 2017 and only the newspaper markets in Indonesia, China and India will grow more. In comparison, PriceWaterhouse Coopers projects that the newspaper markets in the United states, Japan and Italy will contract by 3% and in Germany the newspaper market will go down by 2% annually through 2017.

Brazil will be among the top 5 markets in the world in terms of TV advertising. Between now and 2017 TV advertising in Brazil will grow by 10% a year, only exceeded by markets like Kenya (16% current adjusted growth rate or CAGR), Indonesia (15%) CAGR), India (12% CAGR) and Nigeria (11% CAGR).

Despite recent reported dips in circulation, PriceWaterhouse Coopers still projects robust returns for the Brazilian magazine market in the coming years. According to the firms projects, Brazil will be among the top 5 magazine markets in the world. Between now and 2017 the Brazilian magazine market will grow by 7% revenue, the same rate as China and South Afria and just behind the growth for Nigeria (9%) and Kenya (9%).

To find out more how we can help you connect with Brazilian consumers through a campaign in any of these media types, please contact us.