Spanish media group Recoletos Grupo de Comunicación, 80% owned by British media conglomerate and Financial Times publisher, Pearson, has its sights set on the Mexican market. Recoletos is looking for local partners, ideally Mexican partners, who specialize in print media sectors similar to those covered by Recoletos, namely financial and sports newspapers. In Spain, Recoletos publishes the daily sports newspaper Marca (circulation 450,000) and Expansión, a daily financial newspaper with an approximate circulation of 40,000.
“The experience and know-how we have obtained through our activities in Chile and Argentina, and the mandate of our majority shareholder, Pearson, to grow in Spanish and Portuguese speaking markets, leads our interest in exporting our publishing model to Brazil and Mexico,” said Tom Burns Marañon, media relations director at Recoletos. Burns is a former Madrid correspondent for the Financial Times>
…to complement its presence in Latin America…
Recoletos has a strong presence in Latin America's Southern Cone countries. In Chile it owns 37.4% of Ediciones Financieras, publisher of Diario Financiero, Chile's top selling business newspaper, with an average daily circulation of 34,547. Ediciones Financieras leads the financial newspaper advertising market with a 56% market share, compared to the 44% share commanded by rival Estrategia. Recoletos's local partner in Ediciones Financieras is Grupo Claro. The Spanish media group also has interests in Argentina. In 2000, Recoletos purchased the Argentinian financial daily El Cronista Comercial, along with specialized marketing and technology magazines.
…with more financial newspapers in pink.
Burns notes that both Diario Financiero and El Cronista Comercial have been redesigned to closely resemble Recoletos's Expansion, the most widely read financial daily in Spain. “To create a similar image, we had to change some of the sections and introduce the pink paper color,” said Burns. “We would like to continue doing this by starting projects with new partners in Mexico and Brazil.”
Mexico already has large circulation financial newspapers such as El Financiero and El Economista. Despite its relatively low newspaper readership, Mexico's convergence with the US economy makes it attractive to foreign media groups. The recent liberalization of Mexican financial markets, together with a growing middle class, has increased the demand for financial news. From an advertising sales perspective, Recoletos will try to cross-sell its new Mexican and Brazilian print media vehicles to Spanish advertisers (see “The challenge of selling Latin American ad-space in Spain,” page 11, Portadatm No. 2 March/April 2003).