Tag Archives: In 2018 programmatic buying in Latin America will grow by 98% and reach US$54 million

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By 2018 Latin America Will Have More Than 400 Million Internet Users

Recently, eMarketer—a research firm specialized in online data for markets around the world—published research about the amount of Internet users in Latin America. According to eMarketer, by the end of 2014 Latin America will have more than 330 million Internet users. Nearly 108 million of these Internet users will be in Brazil, 64 million in Mexico and 27 million in Argentina, with nearly 132 million in the rest of Latin America.

The firm projects that by 2018 there will be nearly 414 million Internet users in Latin America, an overall 25% increase in 4 years. The effects of this growth are visible in several areas, such as e-commerce:

  • Consulting firm Prince and Cooke projects a 40% increase in e-commerce in Argentina and total online sales of $4.2 million in 2014
  • The Brazilian Association of E-Commerce predicts that e-commerce will go up by 27% in Brazil in 2014 to reach a total of $17 billion in sales
  • According to the Santiago Chamber of Commerce, e-commerce sales in Chile went up by 25% in 2013 and will go up another 20% in 2014 to reach $2 billion
  • In Colombia e-commerce sales went up by 40% in 2013 to total $2.5 billion and according to the Latin American Institute of E-Commerce, e-commerce sales in Colombia will go up by another 45% in 2014
  • The Mexican Internet Association indicates that e-commerce sales in Mexico went up by nearly 42% in 2013 to reach more than $9 billion
  • According to the Latin American Institute of E-Commerce, e-commerce sales in Peru totaled $800 million in 2013 and should go up by another 20% in 2014

More Usage
Beyond online transactions, recent research also indicates that Latin American are going online with more frequency and spending more time online than ever:

Running the Numbers
All of this Internet use, whether it’s to surf, update social media statuses or make online purchases, increases the amount of available data for Latin American Internet users. Companies like Navegg—a partner of MediaDesk, a DSP (demand side platform) that is Latin America’s leading programmatic buying platform—are gathering this data. For advertisers and agencies, this data is crucial. It allows for the creation of complete profiles of Latin American Internet users that include their preferences, interests and purchase intents.

Currently MediaDesk DSP has more than 110 million Internet user profiles for Latin America. Once they combine this data with MediaDesk’s user-friendly system, today more than ever firms can reach Latin America’s 330 million Internet users with even more precisely targeted online ad campaigns.

To find out how to leverage programmatic buying with MediaDesk, the leading programmatic buying platform in Latin America, please contact us: sales@mediade.sk.

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Programmatic Buying Set to Explode in Latin America

Programmatic ad spending in Latin America will spike by 600% in 2015. This projection comes from a March 2014 report from International Data Corporation (IDC). The firm indicates that total programmatic display ad spending in Latin America will be US$600,000 in 2014 but then leap to nearly US$4 million in 2015.

But that’s just the beginning of the massive growth:

  • In 2016 programmatic buying in Latin America will grow by 198% and reach nearly US$12 million
  • In 2017 programmatic buying in Latin America will grow by 136% and reach US$27 million
  • In 2018 programmatic buying in Latin America will grow by 98% and reach US$54 million

So in 4 years (2014 to 2018) we will see programmatic spending in Latin America increase by 8,900%.

A Strategic Solution to a Tough Challenge
While these numbers are impressive, it’s still quite a challenge for agencies to take advantage of this surge in programmatic buying. First, building or adapting a platform for programmatic buying requires a huge time and money investment. It also takes major investment to build an in-house team of professionals specialized in programmatic buying, not to mention a team to manage accounts and keep everything on track.

This is why we created MediaDesk, which has now become the premier programmatic buying platform in Latin America. With MediaDesk, an agency doesn’t need to have a large team focused with members focused on data science and optimization: our platform handles that. We custom-built MediaDesk to the needs of agencies in Latin America so they’d have the intelligence they need to optimize campaigns and deliver the best results for their clients. Some of the reasons MediaDesk works so well for agencies include:

  • A proprietary real-time bidding (RTB) system created specifically for the Latin American online ad market (not licensed software from another firm)
  • The ability to buy with Mexican, Argentine and Colombian pesos, along with Brazilian reais and U.S. dollars, among other currencies
  • A new tool (about to debut) that lets agencies buy by audience:  we developed this through a partnership with Navegg, one of Latam’s leading online market research firms 

Of course, the best way for you to see how MediaDesk can allow your firm to spike your revenues from programmatic without major investments and training is to request a free demo.

To arrange one, contact us here: sales@mediade.sk

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