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3 Reasons Why E-Mail Marketing May Be the Best Way to Reach Brazilians

We hear a lot about social media these days, with multiple experts claiming to know how to use them to deliver amazing ROI. But recent studies suggest that an older tactic—email marketing—may be the best choice for reaching Brazilian consumers. Here’s why.


#1 Brazilians Are Very Open to Receiving Marketing Emails

A recent study from ExactTarget surveyed more than 1,400 Brazilians to measure their response to email, Twitter and Facebook. The survey revealed that 91% of Brazilians who are online have registered to receive email marketing messages from at least one source. In addition, 68% of Brazilians said they made a purchase as a result of an email marketing message and 53% say they are more likely to buy from a company after receiving an email marketing message. However, only 42% have made a purchase after receiving a social media marketing message through Facebook.
What may further validate these results is that Netshoes recently reported that it has increased the volume of opens of its email marketing messages by 70% in the past year.

#2 Email Marketing Has a High Rate of Conversion among Brazilians
A study from Experian Marketing services showed that email marketing has the highest rate of conversion for e-commerce companies in Brazil, 2.53%. Search marketing yields 2% conversion while social media marketing has half the rate of email marketing, with a little over 1%. Another study from the firm Monetate found even more impressive results: 4% conversion rate from email marketing, compared to .59% from social media and 2.49% from search marketing.

#3 Mobile Opens of E-Mail Marketing Has Increased Significantly
A recent study from Spli showed that the number of Brazilians that open email marketing messages using mobile devices went up by 44% between September 2011 and June 2012. The study looked at responses from consumers not only in Brazil, but also in France, Italy, Spain and China. The open rate for Brazilians receiving email marketing messages on their mobile devices was 7%, and only consumers from Spain had a higher open rate (17%). Despite the dominance of Android in the Brazilian mobile market, mobile users with the iOS system—either iPhone or iPad, proved to account for most of the opens, with 47% and 30%, respectively. Brazilian mobile users with the Android operating system accounted for only 21% of the opens.

To explore how we can help you reach Brazil’s consumers, please contact us.

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Using Content to Think Outside the Banner

Is content king? Some believe this 100%, others see it as a big myth. We’re not sure if content is king, but we do know one thing: it can deliver results that rule.

The Challenge
A major brand in the healthcare industry wanted an outside-of-the-banner approach for their next campaign. This meant going beyond the usual ad formats to engage users and prospective customers. While lots of ad formats can gain attention, engagement is about keeping a customer’s attention—and getting them to interact with the brand. According to studies done by Adobe, Microsoft Advertising, Nielsen and other firms, higher engagement with ads or greater “dwell” time leads to better response and ROI.

The Solution
The campaign was to run on iG, the top content-producing Brazilian portal that draws 29 million unique users per month. iG is a respected provider of information across a variety of channels, including health. We saw a great opportunity to create a subchannel within iG that would specialize in the area of expertise for the client. The client created the content. They made it independent, fresh and interesting, NOT an advertorial to sell products. The client also varied the type of content. Rather than just copy and photos, they developed high-impact content that included informational videos and slideshows to maximize the power of the web medium.

But having great content in place was only the first step. We also had to draw people to it. So we created specific banners that ran in a variety of sections within iG and that appealed to multiple market segments: men, women, families, etc. The banners were customized to each section, promoting specific products and inviting users to click to find out more. Once a user clicked on a banner, he or she would end up at the client’s subchannel. There, he or she would discover lots of fresh content related to the product while also seeing ads for a variety of other products. 

The Results
The client set specific engagement metrics: click-through rates (CTRs), overall traffic to the channel, page views and time spent. The campaign produced powerful results in all of these areas, as well as more engaged users.

The Takeaway
Consider content as a tactic. It allows you to go outside of the banner and engage customers to build relationships that can deliver results that extend beyond a single display campaign.

To find out how we can help you use content to create a winning campaign, contact us at info@usmediaconsulting.com. To get the big picture on Brazil’s media market, click here.

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The comedy show Custe o Que Custar satirizes pop culture and politicians.

6 Basics about Brazil’s Media Market

Brazil is big these days. No surprise there: a spiking GDP, 190 million potential customers and a well-developed media market are getting lots of attention. You also can advertise there and make money without a local presence. These basics on the country’s media market will give you a sense of the potential rewards and challenges.

#1     Brazil’s media market is big. And small. While there are lots of media choices, only 7 firms control 80% of what’s read, heard or seen in Brazil. Organizações Globo rules TV, film and radio and is competitive in print and web media. It commands around 75% of Brazilian TV ad spending. Beyond free TV, Globo’s has interests in Net Serviços, the country’s largest cable company, and SKY, the largest satellite dish company. In print, Abril produces 73% of the highest-selling magazines in the country.

Domingão do Faustão is one of Brazil's top shows.

#2     TV still rules the media mix. This medium has the most penetration in Brazil (over 90%) and commands 60% of the overall ad spend. Other forms of media lag way behind, with newspapers a distant second at 12.7%. This is markedly different from the U.S., the U.K. and even Argentina, in which TV dominates but other forms of media don’t lag as far behind. Brazil is closer to Mexico in this sense, where 76% of ad investment goes to TV.

#3     Magazines are an emerging force. Circulation has been rising since 2005, spiking 7% in 2010. Biweeklies saw the biggest growth at 21%, followed by 8.1% for the weeklies and nearly 5% for the monthlies. The U.S.’s Condé Nast recently launched a joint venture with Globo, Brazil’s biggest media conglomerate, to create a new company. Edições Globo-Condé Nast will launch popular Condé Nast titles in Brazil, including Vogue.


#4     Online is gaining ground. Brazil has 73 million Internet users, the 8th largest Internet audience in the world according to comScore. Often, 43 million is the figure reported, but that doesn’t factor in the many users at LAN houses in the country. ComScore’s calculations take that into account.
     Since the country’s overall population is 190 million, this means there’s a 38% penetration rate. Not as deep as that of the United States or European countries, but this is changing quickly. The amount of Brazilian Internet users grew by 20% in 2010 and research firm Forrester’s estimates that it will grow 18% a year between 2011 and 2016. E-commerce grew by 40% in Brazil in 2010 and Forrester’s projects it will grow 178% by 2016 to reach US$22 billion. Seven out of 10 online Brazilians visited a retail site in December 2010, with Mercado Livre, Lojas Americanas and BuscaPe boasting the most uniques. Group-buying sites like Clubeurbano attracted 50% more unique users between August and October 2010. And banking giants Itau and Banco do Brasil each had a 50% growth in uniques during 2010. For its part, Brazilian portal iG draws in more than 29 million uniques a month.


#5     OOH is a power performer. Laws restricting billboards in Sao Paulo and Rio did nothing to stop the message getting out. Agencies just got more creative, using projections onto buildings, plasma screens in restaurants and digital panels in airports and malls to reach the audience. And it worked. That’s why out of home (OOH) ad investment shot up by 16% in 2010 to reach US$464 million. Digital OOH ad investment is growing particularly quickly in Brazil. It went up by 58% in 2010 and is projected to grow by another 60% in 2011 to reach $147 million.


#6     For print, consider buys with niche titles. The top two socioeconomic classes in Brazil are A and B, followed by class C, a lower middle class, then the poorer classes, D and E. Around 6 million people are expected to move from class C to class B in 2011 as the economy expands and government programs target poverty. One tendency of the emerging classes in Brazil is to consume more media, particularly magazines. In fact, Brazilians spend more than double the amount of money on magazines than they do newspapers. And when they look to spend, they show an interest in specialized information on decoration, fashion and food. This has given rise to more niche magazines, like Gloss, a teen magazine with a circulation of 140,000.  Other hot niche pubs include luxury magazine Wish Report and yachting magazine Nautica.

To learn more about how we can help you leverage the power of Brazilian media, contact us at info@usmediaconsulting.com.

To learn more about how we can help you leverage the power of print in Latin America, contact us at info@usmediaconsulting.com.

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