Tag Archives: mobile advertising latin america

Cartoon phone man king

Latin America Leads the World in Smartphone Growth

Market research firm GfK recently released its figures for smartphone growth and it looks like Latin America is leading the world in this area.

Smartphone sales in Latin America totaled 68.7 million in 2013 and went up by 59% in 2014 to total nearly 110 million units. In terms of sales value, Latin America is again the leader when it comes to smartphones: US$31 billion in 2014 versus US$20.6 billion in 2013—a 52% increase.

Here’s a graphic to illustrate the numbers and show the numbers in different markets:

Latam leads in smartphone sales

For advertisers and agencies, these numbers clearly point to the advantages of investing more in mobile campaigns and may explain the powerful growth in mobile advertising in Latin America that was recently projected by eMarketer. One challenge is determining exactly how to invest in mobile marketing in Latam: apps vs. mobile internet, for example. We have some advice on that here.

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

4 developments mobile latam

4 New Developments in Latin America’s Mobile Market

Given our focus on delivering the optimal media solutions for our clients, here at US Media Consulting we stay focused on the latest market intelligence. Mobile is one of the areas we always review because it’s growing so rapidly in Latin America. In August we wrote about 8 recent mobile trends in Latam but since then, new data has come out.  After reviewing it, we’ve put together some of the most salient points for our fellow professionals in marketing, media and advertising.

#1 Mobile Advertising in Latin America Set to Grow by 70% Annually Through 2017
This was the projection from Leonardo Hilario, advertising planning manager for Telefónica Digital in Latin America. Hilario projected this growth in an interview with Uruguay newspaper El Observador in October 2013.
While 70% may seem like a huge leap, we’ve seen some very bullish growth projections from other sources. For instance, eMarketer projects mobile ad spend growth of 120% between 2013 and 2014 for Brazil, with mobile ad in spend in the country reaching nearly US$133 million next year and then surging to US$731 million by 2017. Recently IAB Mexico reported 98% growth in mobile advertising revenues between 2011 and 2012. In addition, eMarketer projects strong growth in mobile ad spend in Mexico through 2017, including 74% growth in 2013 and 78% growth in 2014. By 2017 mobile ad spend in Mexico should reach US$382 million. Now, while we haven’t seen such optimistic projections for other Latam markets, the growing adoption of smartphones and tablets in the region is likely to lead to an increase in mobile ad spend in countries beyond Brazil and Mexico.

#2 Multi-Screen Viewing on the Rise

A study by Argentine research firm Business Bureau polled consumers in Argentina, Mexico, Chile and Colombia and found that on average, nearly 8 out of 10 TV viewers watched TV while doing other tasks and these tasks mostly involved using smartphones and tablets. Another 2013 study, this one from Ericsson, polled 12,000 TV viewers from different countries, including Mexico, Brazil and Chile. According to Ericsson’s results, 67% of the TV viewers use tablets, smartphones or laptops in their everyday TV viewing.
More evidence of this trend comes from some individual country studies. In August 2013 Google Brasil reported that 37% of Brazilian internet users watch TV with mobile devices, either a smartphone or a tablet. And a UM survey of Mexicans reported that nearly 50% combine watching TV with smartphones.

#3 Smartphones Get Most of the Mobile Ad Impressions in Latam
Results from StartMeApp’s quarterly report indicate that 63% of the mobile ad impressions it served in Latin America during Q3 2013 were for smartphones, while 27% were for feature phones and 10% were for tablets. However, eMarketer estimates that the overall number of mobile phone users in Latin America will grow 3.2% by 2013 to reach 414 million, compared to nearly 112 million smartphone users in the region. These numbers suggests the proportions may be off—or that advertisers are ahead of the trends. This is because in many Latam markets, smartphones are increasing their market share significantly. For instance, IDC reported that smartphones represented 46% of the mobile phones sold in Brazil during the first half of 2013, and that feature phone sales dropped by nearly 23%. A report from Carrier y Asociados indicated that 52% of the mobile phones sold in Argentina during Q3 2013 were smartphones. In Mexico, eMarketer indicates that smartphone users make up 39% of the total amount of mobile phone users and that they’ll make up 64% of the total by 2017.

#4 Mexico Leads Latin America in Tablet Adoption
A 2013 survey by McAfee indicates that 37% of Internet users in Mexico own tablets, compared to 33% of Brazilian Internet users. In addition, a January 2013 study from Ipsos showed 11% overall tablet penetration in Mexico, compared to 9% in Brazil and 8% in Argentina.
To find out more about how we can help you reach Latin American consumers via mobile advertising or any other type of media, please contact us.

graph showing high growth

5 Ways to Improve Results with Online Campaigns in Latin America

Recently comScore released its Futuro Digital Report for Latin America. As always, there’s great intelligence here. We took a look at some of the key findings in order to apply them strategically and offer ideas for professionals in marketing, media and advertising.

#1 >>>Increase Social Media Campaigns
Social Media take up a huge portion of the time online spent by Latin American Internet users: 10 hours per visitor per month. In comparison, they only spend 4.5 hours per month on portals, 4 hours per month on services and 4 hours per month on entertainment. In addition, 5 of the top 10 countries with the highest engagement with social media sites are in Latin America: Argentina, Brazil, Peru, Chile and Mexico.
Beyond campaigns in Facebook, which clearly commands the most users of all social sites in Latin America, other options include sites with impressive growth in the region during 2012. ComScore’s report highlighted sites like ask.fm (770% growth), Pinterest (270%), LinkedIn (236%), Tumblr (98%) and Scribd (88%)

#2 >>>Use E-Commerce Tools to Boost Conversions
E-commerce continues to grow in Latin America. ComScore notes that visits to retail sites in Latin America went up by 16% and that retail sites have a 74% reach among the region’s Internet users. Department store sites (102%), home furnishings sites (65%) and sports equipment sites (65%) were among the retail Web sites with the most growth in 2012.
New technology offers a way to track e-commerce shoppers who navigate sites without buying and retarget them with ads in Facebook.  Contact us to find out more about how this works and how it may help you boost conversions.

#3 >>>Consider More Campaigns on Music Sites and Video Sites
In its report, comScore noted that 94% of Latin American Internet users visit entertainment sites, which include both music and online video.
More than 95% of Argentine Internet users watch online videos and these sites have strong penetration in other key markets, like Chile (91%), Brazil (86%) and Mexico (81%).
In terms of music, sites like last.fm—represented by US Media Consulting—rank among the top 10 entertainment sites in Argentina and Mexico and among the top 20 in Brazil and Colombia. In addition, it’s important to note that between 2011 and 2012, Internet radio sites in Argentina posted a 17% increase in unique visitors. Internet users in other Latin American countries are also starting to migrate to online radio, which explains why Spotify recently opened an office in Mexico and will be targeting Latin America.

#4 >>>Target Users on News Sites
Overall, comScore reports that 85% of Internet users in Latin America visit news sites, higher than the global average of 76%. In terms of specific markets, 94% of the Internet users in Peru, Argentina and Chile visit news sites, while 88% of internautas in both Mexico and Brasil do so. Nearly 85% of Internet users in Colombia visit news sites, while the rates are lower for the online audiences of Venezuela (66%) and Puerto Rico (55%).

#5 >>>Add Mobile to the Mix
The comScore report indicates clearly that the large majority of web traffic in key Latam markets is from PCs as opposed to mobile devices. For example, 93% of the web traffic in Argentina and Brazil is from PCs, while PCs account for 90% of the web traffic in Chile and for 86% of Mexico’s.
That said, nearly 10% of the web traffic in Mexico is from mobile phones and another 3.5% comes from tablets—that’s a  total of 13% that can be reached via a mobile campaign. In addition, the significant growth in mobile device adoption in Mexico, Brazil and Argentina will continue to boost mobile’s share of web traffic.
In fact, Ericcson predicts that by 2018 Argentina will have 70 million mobile subscribers and that Chile will have 50 million. In Brazil, mobile broadband subscriptions grew by 60% in 2012 and Yahoo! Insights reported that at the end of 2012 Brazil had 51 million mobile Internet users—and will have 110 million mobile Internet users by 2015.

To find out how we can help you reach Latin Americans via Internet or any other type of media, please contact us.

[twitter style=”vertical” float=”left”] [fblike style=”box_count” float=”left” showfaces=”false” width=”450″ verb=”like” font=”arial”] [linkedin_share style=”top” float=”left”] [fbshare type=”button” float=”left”]