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What: DDB Worldwide, a division of Omnicom Group Inc., has acquired Grupo ABC, the largest independent advertising and marketing communications group in Brazil for approximately US $270 million.  The transaction is subject to regulatory approval in Brazil and is expected to close by the first quarter of 2016.
Why it matters:  Thomson Reuters deals intelligence data shows that this might be the largest media and advertising industry deal in Brazil since 2008. Grupo ABC owns agencies like Pereira & O’Dell, DM9, Sunset, Dojo and Africa Global, covering public relations, CRM, digital, promotions, events and advertising.

p7mJRAC4_400x400DDB Worldwide, a division of Omnicom Group Inc., has announced  that it has acquired Grupo ABC, the largest independent advertising and marketing communications group in Brazil.

Grupo ABC’s group of agencies consists of brand advertising agencies as well as specialized offerings in public relations, CRM, digital, promotion and events. The group has a diverse network of agencies including DM9 (Sao Paulo), in minority partnership with DDB; Africa and Loducca; CDN, a  public relations agency; Sunset, a specialized digital agency; and Newstyle, a  promotion and point of sale (POS) company in the country.

Brazilian advertising leaders Nizan Guanaes and Guga Valente, who will continue in their leadership roles, founded Grupo ABC in 2002. The acquisition strengthens a long-standing historical relationship between both holding companies in the region extending as far back as 1997 when DDB first invested in DM9, today one of the largest and most creatively awarded advertising agencies in Brazil.

Global Ad Giants Buy Brazilian Firms

brazil.flagThomson Reuters deals intelligence data shows that this might be the largest media and advertising industry deal in Brazil since 2008. According to reports, Omnicom has agreed to pay around 15 times annual operational earnings for the company, taking advantage of the Brazilian currency slump which has seen the BRL lose about 70% of its value. Grupo ABC. While the Brazilian economy is currently undergoing a contraction, many global advertising and marketing firms have recently invested in Brazil to strengthen their long-term growth prospects. Recent transactions include Hill & Knowlton acquisition of PR company Ideal, Accenture’s purchase of digital ad agency Dialeto as well as Dentsu-Aegis Network’s acquisition of Brazil’s leading Out-of-Home agency OOH Plus.

The acquisition strengthens a long-standing historical relationship between both holding companies in the region extending as far back as 1997.

“Grupo ABC is widely acknowledged as an outstanding company with impressive creative work and expertise in a broad range of disciplines,” said John Wren, President and CEO of Omnicom Group. “Over the years, Grupo ABC have been great partners of Omnicom and their depth of talent will strengthen our business capabilities not only in Brazil but around the world.”

“This is a world of disruption, scale and innovation and Omnicom will empower our companies to compete in times of extraordinary technological changes,” commented Guga Valente, CEO, Grupo ABC.

“Omnicom has the most creative and awarded agencies in the world and that is something that really matters to me and to all of us in ABC. Together we will be better prepared to serve our clients with all of the innovation and digital capabilities that modern business are demanding nowadays,” continues Nizan Guanaes, Partner and Co-founder, Grupo ABC.

“This partnership will further unite two companies that have long held the same values and creative ambitions,” said Chuck Brymer, CEO of DDB Worldwide. “I have known Nizan and Guga for more than a decade and have sincerely admired their success and influence both in and out of Brazil. It is a tremendous addition to both DDB and Omnicom and we are excited at the opportunity to utilize our combined assets to help our clients generate growth.”

The transaction is subject to regulatory approval in Brazil and is expected to close by the first quarter of 2016.

What: WPP’s Hill+Knowlton Strategies has acquired Ideal, a Brazilian public relations, advertising, digital and content firm.

Why it matters: Ideal will now be known as Ideal H+K Strategies, and will integrate 170 professionals in Brazil, more than doubling the size of Hill+Knowlton’s Latin American operation. The deal underlines how important Brazil has become to global Agencies (Only last week Accenture announced the acquisition of Brazilian Digital Agency Ad.Dialeto).

VgO637nv_400x400Hill+Knowlton Strategies, a wholly owned subsidiary of WPP, announced that it has acquired Ideal, a Brazilian public relations, advertising, digital and content firm.

Ideal was created in 2007 by journalists Ricardo Cesar and Eduardo Vieira as a firm uniting corporate communications, advertising, creativity, digital and social media. Known as “the reputation agency,” Ideal counts as clients some of the world’s most sophisticated companies and organizations, including Facebook, GE, Nike, Diageo, Dell, Spotify, AstraZeneca, 3M, Rio2016 and Whirlpool, among others.

Ideal will now be known as Ideal H+K Strategies, and will integrate 170 professionals in Brazil, more than doubling the size of Hill+Knowlton’s Latin American operation. The firm’s managing partners will report to Claudia Gioia, president and CEO of H+K Strategies Latin America.

“Our work to bring Ideal into Hill+Knowlton is the latest in a string of steps throughout H+K Americas this year to strengthen and diversify our offering, following recent MarComms and public affairs additions in the U.S., and creating Group SJR Canada up north,” said Mike Coates, president and CEO of the H+K Americas region. “Ideal’s strengths in digital and content will add to our creative and strategic capabilities in Brazil and across the Latin American region – a region where we expect to see vast growth opportunities in the next couple of years.”

“It is just a perfect combination: Ideal’s local PR, advertising, content and social media know-how with Hill+Knowlton’s global strength and best practices,” says Vieira. “This is a great move because it brings huge benefits to our clients and opportunities to our talent,” says Cesar. “The most creative and complete corporate communications agency in Brazil just became more complete.”

“With the Olympic Games coming to Rio de Janeiro and many other exciting opportunities on the horizon, I’m so pleased to welcome Ideal to the H+K family at this moment,” Gioia said. “Our LatAm region has been experiencing significant growth in recent months — adding the well-respected Ideal brand and its strong professionals is the perfect complement to keep this momentum going.”

What: Accenture has acquired independent Brazilian digital agency AD.Dialeto,strengthening its digital marketing services provided through Accenture Interactive, part of Accenture Digital.
Why it matters: Acquisition nearly doubles Accenture Interactive footprint in the Brazilian market and increases its ability to serve clients throughout Latin America.

2RT5DHBS_400x400Accenture has acquired independent Brazilian digital agency AD.Dialeto,to strengthen its digital marketing services provided through Accenture Interactive, part of Accenture Digital.

As part of the acquisition, Accenture will enhance its ability to serve clients in the growing Latin American market with digital marketing and commerce services that help maximize a return-on-investment (ROI) of their digital programs. Terms of the transaction were not disclosed.

Led by Leo Cid Ferreira and Philippe Jorge, AD.Dialeto is a recognized player in digital marketing and commerce in Brazil, with a focus on campaigns that drive measurable results. In 2014, the agency was named Best Digital Agency elected by the largest e-retailers in Brazil at the eAwards.The agency provides end-to-end marketing services across strategy, media planning, search, mobile and social, through to digital commerce.

“Brazil represents a huge and rapidly evolving market for many of our global clients and our mission was clear – to help them reach their target customers in this increasingly connected market,” said Brian Whipple, senior managing director, Accenture Interactive. “In today’s world, marketing demands accountability, and AD.Dialeto has developed a tested formula for marketing ROI and a keen focus on performance at the core of its DNA. With AD.Dialeto, we’ve found the right company that is strategically and culturally aligned to best position our clients for success, not only for Brazil but for the rapidly growing Latin American market.”

José Gonçalves, leader for Accenture Interactive in Latin America, added that, “The addition of AD.Dialeto to our ecosystem here will enhance our digital customer capabilities, providing a true customer journey transformation to our clients.” In the beginning of 2015, Accenture Interactive also launched the Brazilian operation of its design studio Fjord.

Sao Paulo-based AD.Dialeto has grown into one of the larger independent digital agencies in Brazil by headcount. The agency’s work is noted for its innovative strategies that generate results for a multi-national and local clients including B2W, Electrolux, Accor Hotels, Rossi Telhanorte and Serasa Experian.

Leo Cid Ferreira, president and chief executive officer of AD.Dialeto, added, “With Accenture we’ll be able to deliver performance-driven digital marketing and commerce services to an even broader set of clients, both nationally and across Latin America.”

Today’s news follows Accenture’s acquisition of Gapso, a Brazilian-based analytics company, last February. It’s part of Accenture Digital’s overall initiatives to strengthen its position in Brazil, and offer even more disruptive services to clients in Latin America.

 

What: Video Games total sales in Latin America were of US$1.86 billion in 2014 and are expected to reach US$2.7 billion in 2019, with a 8.4% annual compounded growth rate.
Why It Matters: The region share is largely dominated by two markets which, together, will account for 72% of total revenue in 2019: Brazil (39%) and Mexico (33%), according to a PwC study that analyzes the video games segment current situation in 54 countries and makes projections for the 2015-2019 period.Video games are also a growing media type for advertising as in-game advertising provides many brand integrations that are coveted by advertisers.

video.game_-290x193Video Games total sales in Latin America were of US$1.86 billion in 2014 and are expected to reach, US$2.7 billion in 2019, with a 8.4% CAGR according to findings of the global study “Perspectivas del sector de Entretenimiento y Medios 2015-2019” conducted by PwC.

The research study analyzed the various segments and concluded that the “traditional games” had revenues of US $1.21 billion in 2014 and is expected to reach US$ 1.79 billion by 2019.

In addition, PC gaming total revenues will increase at a 10% CAGR and reach US $920 million in 2019. This will be backed by a decline in physical PC games sales, offset by an increase in sales of digital format games.

The region share is largely dominated by two markets, which together will account for 72% of total revenue in 2019, Brazil (39%) and Mexico (33%).

The report reveals that the video game market sales globally were of US$70.78 billion dollars in 2014.
The industry growth in Argentina, in the last four years, has been remarkable: in 2010, annual sales were of only US $66 million and last year the figure reached US $124 million. The increase represents a total growth of 87% in just four years.

The report forecasts that the market will continue growing at 10.3% CAGR to reach US $201 million in 2019. Thus, Argentina will be one of the few countries in the world with a double-digit growth during the 2015-2019 period.

What: Global youth media company and digital content studio VICE has opened a Miami, Florida bureau in an effort to build out its offerings for the US Hispanic youth market, and expand its existing content and sales operations across Latin America.
Why it matters: The bureau will launch with full production capabilities and international sales team building out offerings for US Hispanic youth market, and coordinate VICE’s existing LATAM operations, creating domestic and LATAM news and culture content for all of VICE’s channels.

15e9fc92457c5b7633b5378a77b80c26_400x400VICE, the global youth media company and digital content studio that has News Corp and A&E, among its share holders,  has announced that it has opened a Miami, Florida bureau in an effort to build out its offerings for the US Hispanic youth market, and expand its existing content and sales operations across Latin America. The bureau will produce its own news and cultural content while also connecting content from VICE’s Latin American Bureaus in Brazil, Colombia, and Mexico, with the US Hispanic market.

We’re not creating Vice Espanol. That’s not what we’re doing here. It’s just more Vice content, just with more relevancy to some of the topics that the audience is interested in.

Located in the Wynwood Arts District of Miami, the bureau launch in June 2015 with full production and editing capabilities, delivering editorial and video programming to all screens and reaching the exploding US Hispanic youth audience. The bureau’s business development and sales team will work with leading brands, media and tech companies to distribute and deliver Hispanic geared content.The programming coming out of VICE Miami will run on all 10 (soon to be 11) of VICE’s digital channels from MUNCHIES (VICE’s food channel) to MOTHERBOARD (vice’s science and tech channel) to VICE News.

The Miami operation will also act as coordinator for VICE’s U.S. Hispanic youth offerings as well as VICE’s existing Latin and South American operations, which currently spans from Mexico to Brazil.The new bureau will be responsible for expanding VICE’s roster of channels in the region, and producing hundreds of hours of programming per year, covering the underreported stories and breaking news that matters most to young people. A spokes person at VICE tells Portada that Dan Perry will be in charge of Sales/Business Development in the Miami office.

The spokesperson adds that “It’s important to note that this is an expansion of the work VICE is already doing in LatAm and the US. As our Co-President, Andrew Creighton, said in an AdAge interview, “We’re not creating Vice Espanol. That’s not what we’re doing here. It’s just more Vice content, just with more relevancy to some of the topics that the audience is interested in.”

All Screens

VICE operates across all screens, from mobile through its Snapchat partnership to digital with YouTube to TV. Expect to see more and more and as Mr. Creighton noted in the same interview, “There will be a significant distribution deal in the pipeline, and there will be some significant Fortune 100 companies involved in what we’re doing,”

In recent years, VICE has opened up bureaus in Sao Paulo, Mexico City and Bogota, distributing its programming across online, mobile and linear platforms and reaching millions of regional viewers each month.

This announcement comes as VICE continues to expand and diversify its global network of content through new bureaus and content distribution arrangements with industry leading platforms across online, mobile and linear, including Live Nation, HBO, Spotify, YouTube, Skype, Rogers Media, 20th Century Fox, Antenna Group and more.

VICE has regularly produced slates of critically acclaimed news, cultural, sports and entertainment programming on its network of channels with specific Hispanic relevance. Series have included: an eight-part look at the 2012 Mexican Presidential elections, and Miscelánea Mexicana a series on uniquely Mexican cultural oddities like indigenous transvestites in Oaxaca and teenage bullfighters in Yucatan. Noisey produced a show, Suena Bien, that shines light over the most original Hispanic bands out of Latin America and the US, like Elis Paprika, Calle 13 and Dengue Dengue Dengue. In 2014 VICE opened a Bogota bureau and since then has produced a variety of cultural and news content, including a documentary on the violence in the port town of Bueanaventura.

VICE provides advertisers with a wide range of offerings through its owned-and-operated channels, along with its in-house creative services agency, Virtue Worldwide. Cross-platform media and soapbox-model sponsorship of VICE content allow clients to reach the company’s global audience of young people and align themselves with a name that they trust. Driven by some of the industry’s most creative minds, Virtue Worldwide leverages its expertise in strategy, content creation, event production and activation, in addition to an unrivaled understanding of the Millennial audience, to create tailor-made programs spanning digital, mobile, linear, and experiential for the world’s leading brands.

With the start of the Copa America 2015,  June 11 until July 14 in Chile and one of the most anticipated sports events of the year, soccer passion and emotion will be running high throughout Latin America. While the popularity of soccer is very widespread throughout the Southern continent, what soccer means to fans and how they live their passion is very different. Havas Sports & Entertainment’s  has published the study: “Fans, Passions and Brands”, which surveyed 21,000 fans across 16 countries, and aims to understand the motivations and behaviors of soccer fans and their relationship with brand sponsors.

FPB Latam Copa America infographics -01The research provides a unique way to characterize fan attitudes and behaviors through eight Logics of Engagement, the various underlying motivations for fan behavior which demonstrate how and why fans live their passion for soccer.  The Logics, combined with fans’ media use, level of influence, other passions, and perception of brands, also allow us to uncover six distinct types of global soccer sofans.

A look at fans in Latin America

Photo: bistronovecento.com

Havas Sports & Entertainment’s study looked at fans in five Latin American countries: Argentina, Brazil, Chile, Colombia and Mexico. In these countries three logics of engagement stand out in comparison to the global population:

  • The number one logic in Latin America and the one that stands out the most is Pride: a third of Latin American fans engage through this logic, 19% more than the global population, which characterizes fans who feel and showcase their deep satisfaction with the achievements of their team.
  • The second logic that emerges is Immersion, which describes 29% of fans in Latin America, 12% more than global fans, which typifies fans who get completely absorbed in the emotion of the game.
  • Play is the third logic that stands out, defining one fourth of Latin American fans, 12% more than global fans. Fans who engage through this logic enjoy participating in activities related to the sport itself, whether physically or virtually.

Furthermore, among the six global soccer fan profiles discovered by Havas SE, one fifth of Latin American football fans are Guardians, which is 42% more than the global population. Guardians connect to soccer through the beauty of the sport and its history, stories and legends like Maradona and Pelé. These fans see themselves as the protectors of football’s rituals and customs. With a preference for club teams over their national teams and a traditional outlook, these fans are avid readers of their local sports pages and are influential face to face. They are also generally aware of brand sponsors.

One fifth of Latin American soccer fans are Guardians, which is 42% more than the global population

Differences across Latin America

169996249_4066c1d937_oWhile we can find some general trends across the Latin American population, these fans are not all alike.  There are some significant differences in preferences and behaviors among these countries. Most notably:

  • Fans in Colombia overwhelmingly prefer their national soccer team to club teams or any other teams, with 73% of the population. This is 55% more than in any other Latam country.
  • Brazil has the most longtime fans, with 81% being fans for over 10 years, which is 40% more than in Latin America generally.
  • Chilean fans are the most likely to enjoy the entertainment aspects of soccer, with 31% engaging through the Logic of Entertainment, 11% more than when compared with other Latam countries.
  • Argentine soccer fans are the most appreciative of brand sponsors in football: 51% of them enjoy attending events organized by sponsor brands as they feel sponsors enrich their fan experience. This is 22% more than across Latam.
  • Mexican fans are the most tech savvy, with 55% using second-screens at the stadium to search for information or post about the match, which is 15% more than across the region.

The impact for brands

4355447603_c1c3b1699f_oAs we can see, fans’ passion for soccer is very nuanced. Only by understanding the meaning of the game for each fan can brand sponsors effectively leverage the sport as a communications platform to reach their target audiences.

Soccer fans in Latin America are a very interesting target for brands because they are more receptive than the global population to brand sponsorship, particularly in terms of brand image and purchase intent. Over half of Latin American football fans (55%) believe that football sponsorship improves the image of a brand, which is 22% more than the global average.  Furthermore, half of Latin American football fans believe that football sponsorship encourages them to purchase the sponsor’s products, which is 26% more than the average globally.

Soccer fans in Latin America are a very interesting target for brands because they are more receptive than the global population to brand sponsorship, particularly in terms of brand image and purchase intent.

How should brands communicate with this audience? In Latin America where nearly one fifth of fans are Guardians, brands should look to reach these fans through storytelling.  Campaigns that evoke the beauty of the sport, its most spectacular moments, and its legends will appeal to these fans.

Looking ahead to 2016

For its 100th year anniversary in 2016, the Copa America Centenario competition will be hosted by the USA. While Americans are developing a growing interest for soccer, or shall we say soccer, with one third being fans for less than two years, a certain segment of the population remain the historic fan segment: Hispanic Americans. They share the love of football and a common language with their Southern neighbors; however, their relationship to football is different given where they live.

Firstly, they are 5 times more likely to support a team other than their National Team (Team USA), meaning that a significant number support the National Team of their country of origins or that of their parents/grandparents.

Secondly, soccer plays a cultural role and represents a way for these fans to breach the distance with their country of origins. As a result, the Logic of Identification plays a much greater role than for the rest of fans in Latin America. One out of three Hispanic American fans relate to soccer through Identification, which means that they see their passion as a part of who they are. Football is a way for these fans to be closer to their country of origins and connect with this culture.

What: Video advertising and a global monetization platform for publishers Teads opens new office in San Pablo, Brazil in an effort for capitalizing on the growth of online video and as Brazil is growing quickly in the digital ads segment.
Why it matters: Teads appointed Thiago Bispo, a senior digital media professional, to lead the company’s operations in São Paulo with a growing sales force and an international roster of clients.

_xU11djU_400x400Teads the inventors of outstream video advertising and a global monetization platform for publishers, has announced the opening of its new office in Brazil, headed by former Infoglobo executive Thiago Bispo. Bispo, a senior digital media professional, joins Teads in São Paulo to spearhead the company’s ever expanding operations in Brazil, reporting to Eric Tourtel, Senior Vice President for Teads Latin America, and a growing sales force based in the country. Bispo will play a key role in pushing Teads closer to its goal of becoming Latin America’s leading video platform.

Teads’ technology allows publishers to better monetize from video by creating additional inventory that sits outside the video stream, a format known as outstream and evangelized by Teads. The solution offered by the company, known as inRead, places video advertising within the editorial content of a publisher site, positioning the video unit within two paragraphs of an article. When the user scrolls down and sees the video unit, inRead emerges and serves the video advertisement. By sitting outside of the video player, inRead dramatically increases the amount of premium video advertising inventory available.

The  format is currently in 30 countries and is used by more than 500 publishers including Reuters, Forbes, O Globo, The Washington Post and The Guardian, among others.With growing concerns in Brazil about viewability, inRead has proven to guarantee visibility, and increase advertising effectiveness and perception. As a result, Teads is the only player in the industry capable of rolling out online video campaigns in the most quality environments on a global scale for top brands, from desktop to mobile.

Senior Vice President Latin America, Eric Tourtel, commented, “Coming to Brazil is a natural move for Teads given the country’s vast growth in video advertising and mobile. Brazil currently has the highest user penetration in Latin America in terms of online video views. ComScore reports that 86.5% of the 120 million registered Internet users in Brazil are watching videos online both at home and at work, creating a fertile opportunity for our outstream formats to deliver superior quality and results. We are excited to welcome Thiago to the team in São Paulo to lead our efforts locally and further uphold our commitment to being the global leader for premium video advertising technology.”

Teads is capitalizing on the growth of online video, which is one of the fastest growing advertising mediums, with overall industry revenue expected to hit $11.4 billion in 2016, according to MAGNA GLOBAL. At a local level, eMarketer estimates that Brazil will maintain the highest levels of digital ad spending out of the Latin American countries at $2.88 billion—or 54.4% of all digital ad spend in the region by 2016.

“Because Brazil is growing so quickly in the digital ads segment, it is a very strategic market in which Teads can build a strong presence. We are changing the game and developing superior technology for distribution of premium video advertising. Our local team will provide the insights necessary to drive our business forward into new areas of Brazil,” added Thiago Bispo, Business Director Brazil. “As a commitment and celebration of this expansion, we’ll be presenting and sponsoring ProXXima, one of the most relevant digital marketing and communications event held in São Paulo.”

Currently, Teads has 26 offices around the world, including United States, Mexico, Argentina, United Kingdom, Japan, Netherlands, Russia and Singapore.

descarga (1)Havas’ Meaningful Brands 2015 study reveals  that brands do matter in LatAm, as the disconnection to brands is lower  than globally, which means the connection with brands is healthier than in other regions.

Latin America outperforms global results by 7 percentage points in “brand attachment”. In LatAm 47% of the people would care if the brands analysed disappeared, while worldwide it is just 40%. It is more equivalent to Apac, the second most attached region in the world.That’s because in LatAm people still “believe” in brands: the level of Trust is high, as 69% of brands are trusted (global, 50%), with 38% of brands notably improving our Quality of Life (28% global.)

In LatAm people still “believe” in brands: the level of Trust is high, as 69% of brands are trusted while Globally the level is 50%.

The widening polarization brings different challenges that require different approaches. Understanding the key drivers by category and market, a must for brands to reconnect:

CountryTop Brand Per Country
BrazilNestle
MexicoNike
ArgentinaLa Serenisima
PeruGloria
ColombiaGoogle

Inside LatAm, Colombians are the most attached people: 55% of the people would care if the brands analysed disappeared, while in Brazil that ratio goes down to 44% and in Peru it’s 50%.Food, Beverage, Consumer Goods and Automotive demonstrate to be more meaningful in Argentina than globally, while Technology (influenced basically by telcos brands) and Retail are less meaningful in that country.In Colombia, 41/62 of brands researched have a quality of life value of 50% or higher, which means that 50% of the population consider they are contributing to improve their quality of life.The level of interest in brands in Peru is higher than the global average:54% declare that they regularly seek out information about the behaviour of companies and brands, while worldwide it’s 37%.

Inside LatAm, Colombians are the most attached people: 55% of the people would care if the brands analysed disappeared.

New and actionable Insights on Brand Leadership in Latin America are going to be discussed by cutting-edge Brand Marketers at Portada’s Latin American Advertising and Media Summit in Miami on June 3 and 4. Thought leaders include Jon Suarez Davis, VP, Global Media & Digital Strategy, Kellogg Company, Ruben Leo, Marketing/Digital Marketing Director / Mexico & International, Genomma Lab, Denisse Guerra, Regional Marketing Director, Latin America, The Estée Lauder Companies, Manuel Medina Riveroll, Marketing Director Mexico, Bayer and Pedro Tabera, President/CEO, Mercedes-Benz Mexico.

Mexico results

Most of the brands are well established companies with a long history in Mexico. The rest are tech oriented companies (meaningful because they make life easier, and people feel proud of using them). Home care and Dairy are the sub-sectors with the highest average attachment, Lala and Cloralex are the  leading companies.These are the key findings:

  • Overall happiness in Mexico (7,81/10) is higher than the Global average: 6,85
  • And people also see relationships with brands in a more positive way: 66% believe brands can play a role in improving their quality of life and the wellbeing of their family (52% ww-worldwide)
  •  People in Mexico also like to be informed: 52% regularly seek out information about the behaviour of companies (37% ww)
  • 59% consider the impact of a brand on people’s wellbeing when they are deciding whether or not to buy it (43% ww)

Brazil results

The Brazilian economy has been struggling to grow, and this is reflected in the main drivers of Attachment and perceived Quality of Life.Interesting to see that the Top 5 Meaningful Sectors are those that are taken as a conquest or aspirational to Brazilians since the Economic Boom in 2008 (exclusion of Auto) and taken as conquests on Brazilian daily life.The same happens when we look to the brands – which have an avg. better performance on Quality of Life than Attachment – enhancing Brazilian daily life in many aspects.Key findings:

  • Nestle and Danone bring added value products to Brazilians tables, being leaders inspiring confidence.
  • Google is unquestionable making people’s lives easier and thus providing peace of mind.
  • Natura and O Boticario, the only two Brazilian brands and completely linked to Personal dimension, extremely important to Brazilian.
  • Visa and Mastercard: making life easier by being enablers of recent conquests.
  • And the tech brands that display status, bringing satisfaction and happiness.
  • 72% of Brazilians declare that, when they have a bad experience with a product/service, they often share it with a number of people.
  • But, on the other hand, Brazil is a high interesting market for brands that want to lead and be innovative, as there is an open-minded attitude towards state-of-the-art products: 65% would pay more for high-quality items, 42% could not live without being connected 24/7 and 71% often follow the latest news

Argentina results

The three most important things for Argentinians to be happy and satisfied with their quality of life are: to achieve a better standard of living, take notice of and enjoy the small things in life and have people in their life who really care about them. There are no significance differences between sex or ages.In terms of expectations:

  • 77% of Argentinians believe that companies and brands should play a role in improving their quality of life and wellbeing and 70% consider that companies and brands should be actively involved in solving social and environmental problems. These percentages are slightly lower than those recorded in the previous wave.
  • 56% believe that brands can play a role in improving their quality of life and the wellbeing of their family.
  • While Argentinians will recognize a brand’s role in the quality of life improvement, 66% believe that the change will come from people.
  • Only 27% consider that companies and brands communicate honestly about their commitments and promises.
  • Finally, 38% of Argentinians generally trust brands.

In Argentina meaningfulness varies across categories: Food and Consumer Goods are best valued. In contrast, Telcos, Finance & Insurance and Department Stores have the lower levels of meaningfulness. They have the greatest challenges in the future.

In terms of brands, comparing Argentina’s top ten brands with the Global top ten brands:Samsung, the first brand in terms of Global Meaningful Brand Index, has the second position in the Argentina Meaningful Brand Index. Consumer Electronics.La Serenisima continues to lead the ranking in Argentina.Dove, Gillette, Knorr and Philips have better position in Argentina than Global top ten.

Colombia results

In this country, expectations are really high, but those are not totally covered:

  • 87% believe brands should play a role in improving our quality of life and wellbeing.
  • And 72% think brands can actually play that role.
  • The risk is that just 47% feel brands are working hard at it (global average is 39%)
  • 65% declare they consider the impact of a brand on people’s wellbeing or the environment when they are deciding whether or not to buy it (globally this is just 43%)And even if this trust is not enough to be meaningful (as we saw just 47% of Colombians feel brands are working hard), it is a pre-requisite for brands to deepen connections and be allowed to play a meaningful role in people’s lives

In Colombia, meaningfulness varies across categories: Healthcare and Food are the most meaningful categories. Finance & Insurance scored lower on MBI. Healthcare is one of the worldwide “Star” categories.FMCG’s traditional brands remain amongst the top as they largely contribute to improve our daily lives.

  • Food is one of the most meaningful categories, attaining strong Attachment and Trust. This brands are especially meaningful for making our daily lives better prevailing the rational benefits of savings, convenience, health or better nutritional habits.
  • Technology is becoming increasingly meaningful worldwide. And in Colombia 1/5 declare they could not live without being connected 24/7; and 1/3 say they are always the first to try new products
  • The highest level of Advocacy is for Sony (92% of the people would recommend the brand to their acquaintances). This brand ranks 5th globally, enjoying the high meaningfulness and trust that the whole category shows.

 Peru results

  • In Peru, 50% of people would not care if the brands analyzed disappeared.
  •  52% of Peruvians think those brands notably improve their quality of life.

In Peru the most significant brands belong to the food and beverage industry (Gloria, Inca Kola and Nestlé), while globally the brands that stand at the top are those related to the tech industry (Google, Microsoft, Samsung and HP among others).

  • The level of interest in brands in Peru is higher than the global average:54% declare that they regularly seek out information about the behaviour of companies and brands, while worldwide it’s 37%.
  • 61% declare they consider the impact of a brand on people’s wellbeing when they are deciding whether or not to buy it (43% ww).
  • 62% declare they often buy from companies with a reputation for having a purpose other than just for profit (49% ww)

There is an opportunity for brands to offer a more holistic & meaningful approach, increasingly driven by personal wellbeing, delivering what really matters to people.So the widening polarization brings different challenges that require different approaches. More than ever, a “global approach” is key for global brands to adapt and respond to the context and expectations of each local market.

Experiential Marketing agency GMR is opening a larger office in Rio de Janeiro’s tallest Building, getting ready for 2016 Summer Olympic Games in Brazil.

GMR_Logo_No_Bleed_400x400As the world looks forward to the 2016 Summer Olympic Games in Brazil, sports, entertainment and lifestyle marketing agency GMR is expanding its existing office in Rio de Janeiro.

The new office is located in the heart of the city on the thirteenth floor of the Rio Sul Center Tower. As the 2016 Olympic Games approach, the new office provides room for significant growth and expansion. Its doors opened on March 1, 2015.GMR’s Latin American Headquarters are located in Sao Paolo.

GMR’s Ana Shapiro will serve as VP Rio 2016 Olympic Operations, moving from San Francisco to Rio in the coming weeks.GMR is currently in contracts with nine Olympic sponsor clients for the Rio 2016 Games, each planning unique activations and marketing programmes designed to connect brands with consumers in lasting and impactful ways.The agency also recently concluded work for 12 clients at the 2014 World Cup with 28 different programs and 400 on-the-ground staff.

“With a larger Rio office comes greater on-the-ground capabilities, access and reach within this growing and important market,” said Celso Schvartzer, Latin American Lead for GMR. “We’re making a commitment to be as well-prepared and adaptable as possible for the upcoming world events happening in Brazil.”

 

What: Brazil and Mexico are among the top 5 Branded Entertainment Markets in the World and among the fastest growing Global Product Placement markets, according to the just released PQ Media Global Branded Entertainment Marketing Forecast 2015-19.
Why it matters: Branded entertainment in Brazil was one of the fastest growing markets worldwide in 2014 after it hosted the FIFA World Cup.While in Mexico, paid placements in telenovelas remain the primary revenue driver in the Mexican branded entertainment sector.

gI_140509_Global Branded Entertainment Forecast 2015-19Powered by the fifth straight year of accelerated growth in product placement investments and strong expansion in consumer events in emerging markets, global branded entertainment revenues posted year-on-year growth of 6.3%  to register a record US$73.27 billion, according to the PQ Media Global Branded Entertainment Marketing Forecast 2015-19.

Branded Entertainment Marketing is a marketing discipline that blends brand messages with entertainment to engage consumers, build brand awareness and create positive brand associations to drive consumer sales. Branded entertainment aims to capture the consumer’s attention and elevate a brand’s image by associating it with popular personalities, media brands, organizations or events, such as TV characters, news outlets, sports teams, among others.

Usually related to Branded Entertainment but not the same, Product Placement is a Marketing tactic increasingly used by marketers as part of multimedia campaigns in which the objective is to place or integrate brand names, logos or specific products within the non-ad content of various media. The goal of advertisers utilizing product placement is to prominently place or creatively integrate brands or products into particular story lines or scenes to promote brand awareness, favorable brand attitudes and purchase intention.

Brazil & Mexico: Key trends

brazil.flagEven though the US is the largest global branded entertainment market, as well as the leader in both sectors, it is not the only country to become savvier in the use of various tactics to integrate brands into TV shows and movies, particularly in emerging markets like Brazil, Mexico and India, where product placements for many years were planned and executed on the fly at the request of an advertiser. In fact, Mexico and Brazil now are among the top 5 global Branded Entertainment Markets.

  • Branded entertainment in Brazil was one of the fastest growing markets worldwide in 2014 after it hosted the FIFA World Cup, with another expansion expected in 2016 when the country hosts the Summer Olympics.
  • In Mexico: Paid placements in telenovelas remain the primary revenue driver in the flag.mexicoMexican branded entertainment sector, as episodes are increasingly becoming available online where ad inventory is tight, thus being integrated into programs has become more important to brands.

More recently, entertainment marketing agencies have emerged in some of these markets to provide similar services to those operating in the U.S., such as collaborating more closely with producers to execute script integrations.

Product placement is a smaller, but faster-growing segment with global revenues increasing 13.6% in 2014 to US$10.58 billion, as the US, Brazil and Mexico combined to account for more than three-quarters of the total. Brands are increasingly forming dedicated teams within their corporate structures to manage branded entertainment opportunities by partnering directly with content providers on various aspects of product integrations. Brands are also focusing more placements in media content favored by younger audiences, with digital media integrations producing the highest growth of the eight platforms tracked by PQ Media, rising 35.8% in 2014, followed by the growing popularity of placements in recorded music and related music videos of leading pop artists, driving 15.9% growth.

PQ Media projects global branded entertainment revenues to grow 6.8% in 2015 and generate an 8.1% CAGR in the 2015-19 period to US$108.04 billion.

“Leading brand marketers are seeking improved methods to engage younger audiences used to ad-skipping and on-demand media usage, and branded entertainment provides omnichannel possibilities to more effectively engage post-boomers, particularly Millennials and iGens,” said Patrick Quinn, CEO & CCO, PQ Media.

 

What: Brazilian Movile, one of the largest Latin America’s  mobile app developers,  is expanding globally while attracting tech interest in the Brazilian  market.
Why it matters: In addition to its headquarters in Brazil, Movile has extended its presence in the U.S. tech community by opening an office in Sunnyvale, California expecting US entrepreneurs will be happy to do business with  Latin American companies as  smartphones have become more widely used all over developing countries.

descarga (1)Brazilian technology conglomerate Movile, a mobile services and software developer in Latin America, has been investing and acquiring new businesses over the past year to expand globally and draw attention to that country. Although the company is already extending its reach to global markets such as China and the U.S., the increasing activity of industry players such as Apple, Facebook and Google in Latin America is making companies set eyes on the region.

Movile revenues have increased in Latin America, at the same time smartphones have become more widely used all over developing countries in the region. Movile has recently launched the paid- app for children PlayKids in China, which actually became the most sold and number two most popular app in Brazil (behind “Clash of Clans” and ahead of “Candy Crush”).

“Brazil entrepreneurs need to think big and we are here to play big,”said Movile’s co-founder Eduardo Henrique during a press reception in San Francisco.

In addition to its headquarters in Brazil, Movile has extended its presence in the U.S. tech community by opening an office in Sunnyvale, California. Based on PlayKids and Movile’s apps success, it’s likely that companies in Silicon Valley will be thrilled to do business with Latin American entrepreneurs as well.

Based on PlayKids and Movile’s apps success, it’s likely that companies in Silicon Valley will be thrilled to do business with Latin American entrepreneurs as well

“Latin American entrepreneurs can go global, but they need to shake hands with Silicon Valley,” added Henrique.

Big industry players such as Facebook and google have noticed Movile’s successful growth of its business in Latin America.An example of which is Facebook CEO Mark Zuckerberg holding his first-ever “town hall meeting” with the social media’s user community in  Bogota, Columbia,  while Google announced that their Project Ara, a modular smartphone, will be first introduced in Puerto Rico.In addition, Apple has also revealed they would bring iAds to Brazil and Mexico in that product’s first expansion outside of the U.S. The introduction of Apple’s iAds advertising platform into Latin America follows the company’s entry into the Brazilian retail market last year.

This reflects how the Brazilian market, equally to China and India,  is becoming a major option for tech companies when it comes to expand their business outside th U.S.

Founded in 1998, Movile has around 30 million monthly users who account for 50 billion transactions a year on the company’s platform. The tech company supplies games, education, and entertainment applications for feature phones, low-end mobile handsets with very limited capabilities. Among these app are: Apontador (their version of Yelp), Cinepapaya (mobile ticketing), and iFood (similar to GrubHub).

What: RocketFuel, a publicly quoted marketing optimization software solutions firm, has opened an office in Sao Paulo, Brazil. The Brazil office is led by Managing Director, Edvaldo Acir.
Why it matters: An increasing amount of Advertising Technology providers is targeting the Latin American space, particularly Brazil. Many ad-tech companies have recently expanded to the region,  they include YuMe, TubeMogul, Pubmatic and the Rubicon Project.

RocketfuelRedwood City, CA headquartered Market optimization company Rocket Fuel just opened an office in Brazil targeting the Brazilian market. The Sao Paulo office is managed by Edvaldo Acir.

Serving companies across three continents, RocketFuel is a marketing optimization software solution company that can increase a company’s revenue through innovative programs. RocketFuel specializes in automated services and artificial intelligence that track marketing trends and changes, and make adjustments to current campaigns on the fly. With RocketFuel, marketers can be sure that their ads are working effectively and are displaying a message that is current and can bring more revenue to their company.

Revenue from outside North America will continue to contribute significantly to revenue growth in the coming years as we continue to expand our global footprint.

Rocket Fuel, CEO, George John recently noted that he “expects that revenue from outside North America will continue to contribute significantly to revenue growth in the coming years as we continue to expand our global footprint.”

 

What: Dentsu Aegis Network has acquired Brazil’s leading Out-of-Home agency “OOH Plus” and at the same time is introducing its Out of Home Agency Posterscope panregionally in Latin America.
Why it matters: The OOH Plus acquisition will significantly increase Dentsu Aegis Network’s brand presence in Brazil. Posterscope’s LatAm expansion underlines the interest of global player in the Latin American Out of Home Media opportunity.

Dentsu-156-x-156 (1) Dentsu Aegis Network announced the acquisition of Brazil’s leading Out-of-Home agency group, OOH Plus, and the launch of Posterscope in Latin America.

Post-acquisition, OOH Plus will operate as the Latin American arm of Posterscope, a leading Out-of-Home Communications agency and one of Dentsu Aegis’eight network brands. The Latin American arm of Posterscope  will be called Plusmedia Posterscope.

Plusmedia Posterscope will continue to operate under the successful leadership team of founders Marco Antonio de Souza, CEO, and Omar Sahyoun, CFO, who will report into Abel Reis, CEO, Dentsu Aegis Network Brazil.

Headquartered in Sao Paulo and Rio de Janeiro with five offices and a staff of 60 staff employees across Brazil, OOH Plus was founded in 2010 as the holding company for Plusmedia, OOH Media and 2S Producoes. Providing creativity, media planning, production and lay-out services to leading blue-chip companies, Plusmedia, OOH Media and 2S Producoes were founded in 1995, 2005 and 2007 respectively. Immediately prior to closing, the companies were merged into Plusmedia, the unit that was subsequently acquired by Dentsu Aegis Network.

“I am delighted to welcome OOH Plus to the Posterscope network. We have wanted to have a presence in the Latin American market for some time, and believe we have found the right team who share our vision and passion for great Out-of-Home solutions. The growth of digital OOH and the importance of mobile will provide us with opportunities to pioneer and transform Out-of-Home in Brazil for our clients,” said Annie Rickard, Posterscope CEO.

“For Dentsu Aegis Network Brazil, launching Posterscope, a global network brand of the group, is a direct result of the growth of our local operation and confirmation of the vitality of the Brazilian market. OOH Plus, a pioneer in out-of-home media, is a strategic acquisition that strengthens our presence across all media and platforms and will provide a convergence of solutions to our clients,” said Abel Reis, CEO of Dentsu Aegis Network Brazil.

“Joining Dentsu Aegis Network is the result of our consistent growth since the founding of Plusmedia in 1995, demonstrated by our portfolio, our outstanding work for large advertisers, and, in recent years, our consolidated performance and leadership in out-of-home media. Being part of Posterscope enhances the intelligence and latest tools in our offer and contributes to the success of our clients’ businesses, as well as the Brazilian market,” explains Marco Antonio de Souza, CEO, Plusmedia Posterscope.

Dentsu Aegis Network continues to strengthen its full-service footprint in Brazil, adding further expertise to an established network of brands including Isobar, LOV, Dentsu Brazil, NBS, mcgarrybowen, iProspect, Amnet and Copernicus. This acquisition will significantly increase Dentsu Aegis Network’s brand presence locally and will grow the Brazilian team to more than 1400 professionals and more than 100 clients.

What: Programmatic marketing software DataXu and Eikon Digital, a new digital media agency headquartered in Colombia with offices in Miami and Mexico City,  announced a partnership for Latin America exclusive of Brazil.
Why it matters: Through this partnership Eikon will leverage ist regional roots and service expertise to offer DataXu’s cloud-based marketing software across Latin America.

JX5JXG_6_400x400DataXu,  a Demand Side Platform (DSP) and provider of programmatic marketing software, and Eikon Digital, a digital media and technology company, have  announced a partnership in Latin America exclusive of Brazil.

Through this partnership Eikon will leverage its regional roots and service expertise to offer DataXu’s cloud-based marketing software across Latin America. DataXu chose Eikon Digital in order to better navigate the complexity of the region and to better understand the unique client needs in this fast growing emerging market.

With offices in Latin America and a team of established industry experts, Eikon Digital is well positioned to service its clients that include all the major media agency holdings and several Fortune 500 and regional brands.

Working with leading brands and agencies worldwide, DataXu’s Marketing Cloud offers marketers ways to identify, understand and engage their prospects and customers wherever they are. A global company, DataXu covers 50 countries, in 30 languages and more than 40 currencies and operates locally in Latin America with two offices.

“We are extremely proud of this partnership with DataXu. We are strong believers in bringing the best available technologies to the region. Now we will be able to offer the leading programmatic marketing platform to our markets, in order to increase efficiencies and performance for our clients. By combining the DataXu Marketing Cloud with our best in class operations team, we will be able to deliver both self-service and managed service solutions to businesses across the region,” said Julian Jaramillo, Founder of Eikon Digital. Jaramillo is based in Bogota Colombia.

Several global ad-tech companies, like Dataxu, have been partnering with Latin American agencies and providers. Recently, Argentina based Headway Digital partnered with MediaMath and Publicitas, which has a substantial presence in Latin America, partnered with SSP The Rubicon Project.

“In 2014, Programmatic spend in Latin America saw a 67% increase over 2013,” said DataXu Chief Customer Officer and co-founder Bruce Journey. “It’s an incredibly important market, and is only poised to grow more over the next three years, which is why we’ve partnered with Eikon to solidify DataXu as a leader in the region.”

DOWNLOAD PORTADA’s special Issue on the DEVELOPMENT OF PROGRAMMATIC BUYING IN LATIN AMERICA  (Spanish/Free registration or log-in required).

 

What:  Twitter’s Brazil division is opening  a new office in that South American country as part of the company’s continued focus on its advertising-driven business model.
Why it matters: Brazil is one of  Twitter’s five biggest markets. The social network now has over 161 advertisers in the South American country.

descarga (2) Twitter‘s Brazil division is opening  a new office,  one of the social-networking site’s five biggest markets, as part of the company’s continued focus on its advertising-driven business model.

Twitter’s Brazil operation has grown its account base in that country thanks to the World Cup and this year’s presidential election.

Twitter had 20 advertisers in Brazil in 2012, when it opened an office in Rio de Janeiro and another in Sao Paulo, and that number has now grown to 161.

The company’s business model is centered on targeted advertising and on serving as a bridge between traditional media and Web users

A total of 672 million tweets were registered during soccer’s international showcase, while in Brazil the number of messages and files shared among users rose by 130% when the Brazilian team was playing. In addition, 30 advertisers purchased ad space during the World Cup.

The social net has even exerted an influence on television and functions like a “big sofa,” allowing users to use their mobile phones to comment in real time on televised events such as this year’s World Cup.

According to  Guilherme Ribenboim, Twitter’s General Director Brazil, the company’s business model is centered on targeted advertising and on serving as a bridge between traditional media and Web users.

“In 2014, Twitter reflected the pulse of society.During the election, there were 39.8 million tweets on that topic,”  said Ribenboim.

 

What: Social media engagement in Latin America in 2014 showed 127 %  year over year increase in engagement across Facebook, Twitter and Instagram, with 455.3 million total actions.
Why it matters: With 87,620 total actions, Mexico ranks as the second most social media engaged country in the region, after Brazil.Facebook accounted for 94.6 % of total actions.

redes.sociales-285x200Social media engagement in Latin America for the month of July 2014 showed 127 percent year over year increase in engagement across Facebook, Twitter and Instagram, with 455.3 million total actions, according to a Shareablee’s analysis.

 

Engagement per country

Mexico ranked #2 by total actions (87,620) while ranking fourth overall based on audience size, indicating a highly engaged audience. For the number of average unique people engaged by each brand, Brasil led with 218,000, followed by Argentina with 89,000, Colombia with 62,000 and Mexico with 60,000. Twitter had the highest penetration in Argentina and Chile, while Instagram was strongest in Brasil and Colombia.

 

PublisherTotal Actions
(Facebook,
Instagram,
Twitter)
(000)
UniqueEngaged Audience(000)%Actions
(Facebook)
%Actions
(Twitter)
%Actions
(Instagram)
Latin America455, 30448294.58%2.31%3.11%
Brazil192, 74321893.07%0.99%5.95%
Mexico87,6206096.30%2.93%0.77%
Argentina75,8448995.72%4.08%0.20%
Colombia51,5366293.19%3.66%3.15%
Peru33,5673798.32%1.58%0.10%
Chile13,9931694.43%3.90%1.67%
The total actions metric includes post-level likes, shares, favorites, retweets and comments.Unique engaged audience is the number of people who took an action with a page’s content on Facebook.The % actions metric notes the portion of actions (likes, shares, favorites, retweets and comments) attributable to the specified social media platform.

Engagement across platforms

455.3 million was the number of  total actions in the region regarding social media.

  • Facebook accounted for 94.6 % of those actions
  • Instagram followed with 3.1 %
  • Twitter ranked third with 2.3 %

“Consumers in Latin America are highly engaged social media users, providing a unique opportunity to marketers in this region to connect with consumers in a personal yet scalable manner,” said Alejandro Fosk, SVP Latin America at comScore.

 

 

What:  Foursquare will launch its’ advertising service within their applications Foursquare and Swarm in Mexico and Brazil.
Why it matters: Advertisers will be able to create campaigns in Foursquare and Swarm at cost that will depend on the strategy companies develop  with IMS Internet Media Services (IMS), Fourthsquare’s exclusive advertising sales partner in the region . Portada talked to Ignacio Vidaguren, COO & Partner IMS Internet Media Services, on this expansion.

descargaTo continue expanding beyond U.S. borders, Foursquare will launch its’ advertising service within their applications (Foursquare and Swarm) in Mexico and Latin America to establish a more profitable presence in the region and help advertisers reach consumers with campaigns using Foursquare’s ad products through the social net mobile applications.

This service has been operating in the US for two years and has already reached countries like UK and Turkey.

The launching coincides precisely with a report that talks about the slump the social network has been experiencing, since according to VentureBeat the interest in Fourthsquare relaunching and and its check-in companion app Swarm dropped.

With this platform, advertisers will be able to create campaigns in Foursquare and Swarm, where they are charge on a Cost-Per-Action basis, or when users either interact with ads, or check into a specific venues within 72 hours after seeing related ads.The cost will depend on the strategy that companies develop along with IMS Internet Media Services (IMS), Fourthsquare’s exclusive advertising sales partner in the region since March 2014.

The introduction of Foursquare Ads in Latin America comes as the region is experiencing exponential year-over-year Internet growth and among the highest mobile penetration and social media engagement rates in the world

The introduction of Foursquare Ads in Latin America comes as the region is experiencing exponential year-over-year Internet growth and among the highest mobile penetration and social media engagement rates in the world: According to comScore, Latin American internet users spend ten hours a month – twice as much as the average in the rest of the world – on social media platforms.

ignacio-vidaguren-e1383578591294Ignacio Vidaguren, COO & Partner IMS Internet Media Services, talked to Portada in a written interview about this recent launch:

Portada: Can you please explain how a promoted place ad looks like on Foursquare?

Ignacio Vidaguren: “Foursquare uses location data to target your business’ ideal customers, like people in the area searching for the products and services your business offers, or people who have visited similar businesses. Promoted Places brings new customers right to you by featuring your business prominently as the first listing people see. For example, if a user searches for “coffee” on Foursquare, a Promoted Place would be featured at the top of the list, making sure potential customers visit you, not your competition. The only visible difference between your listing and your competitors’ listings is a yellow lightning bolt and the word “Promoted” at the bottom of your listing. To further see how this works, please go here.”

Portada: How is it sold, on a CPM basis or another pricing metrics? how does a typical CPM for this product look like?

Ignacio Vidaguren: “The Promoted Places feature is sold on a cost-per-action basis, based on two actions: ad clicks and store visits within 72 hours after seeing the ad. Foursquare’s technology has the capability to know if the user visited the store even if the user does not check in. In the case where the user both clicks on the ad and visits the store, Foursquare will only charge for one of these actions. Both actions, however, will be reported.The Place Based Ads feature is sold on a cost-per-click basis.The Foursquare Audience Network, which is a feature that lets businesses reach Foursquare audiences based on their real world activity, with the reach and scale of display, mobile, video, and social channels (like FBX), is sold on a cost-per-impression basis.”

Portada: Are there integrations between Foursquare and Facebook?

Ignacio Vidaguren: “Yes, the Foursquare Audience Network can be run on Facebook Exchange, a feature that helps business reach the people who have expressed interest in their products or services, based on their only behavior. Foursquare users can also share their activity – Swarm check-ins, Foursquare tips, etc… – on Facebook as well as other social media networks.”

Portada: How many users does Foursquare have in Latin America?

Ignacio Vidaguren: “Foursquare boasts a community of over 55 million users, with over half of its community outside of the United States. Foursquare has seen unprecedented growth on its platform in Latin America, especially in Brazil and Mexico, which led to its expansion into the region. Mexico and Brazil are also the third and fourth countries, respectively, in which Foursquare has started offering its advertising products.”

Portada: Will you be selling to some accounts pan-regionally out of Miami or other major Latam marketing centers?

Ignacio Vidaguren: “We will be selling to accounts pan-regionally within Latin America and the Caribbean.”

Portada: Who at IMS will be in charge of the Foursquare sales?

Ignacio Vidaguren: “IMS has built dedicated teams in Brazil, Mexico and Miami to take charge of Foursquare sales. These regional advertising teams have already begun servicing global brands like Palacio de Hierro, Nike, and Pepsi in Mexico and Citroën, VISA, Smirnoff, and Johnnie Walker in Brazil.”

What: Latin American broadcasters Brazil’s Globosat and Colombia’s Caracol TV have signed a Memorandum of Understanding to launch a Spanish-language pay-TV channel in the United States in 2015.
Why it matters:The new joint venture will air existing content from Globosat and Caracol and will also develop new  fiction programming aimed at the US market. (Caracol competitor RCN, also Colombian, provides content to the MundoFox network.)

descargadescarga (1)Brazil’s Globosat and Colombia’s Caracol TV. Two major Latin American  broadcasters, have signed a Memorandum of Understanding to launch a Spanish-language pay-TV channel in the United States in 2015. This will be Globosat’s most ambitious international expansion to date.

This will be Globosat’s most ambitious international expansion to date.
 

The new joint venture will air existing content from Globosat and Caracol and will also develop new high-quality fiction programming specifically aimed at the US market, which is one of the fastest growing markets in the US. Globosat will provide its know-how and library of Portuguese-language fiction, which can be dubbed into Spanish or adapted as formats. The operating budget and programming details of the new channel will be unveiled in October.

Both networks believe that their new pay-TV channel will be able to compete with Univision and NBCUniversal’s Telemundo over the audience, as they have gained increasing control over this market with popular telenovelas and new Spanish-language shows for US viewers.

Globosat, part of the privately controlled Globo group, is the biggest pay-TV operator in Latin America, with 34 Brazilian channels – spanning news, fiction, sports, culture, education and live entertainment – including 15 HD channels, 10 PPV channels and 6 VOD channels.The network already has partnerships in the US, including with MGM, NBC-Universal, Fox and Playboy. To tap into the US Hispanic market,the company  needed strategic partnerships given that it’s core programming is in Portuguese.

Caracol TV, part of the publicly-listed Valorem Group, is Colombia’s largest free-to-air broadcaster, producing 5,200 programming hours per year, and is one of Latin America’s largest producers of telenovelas, including titles such as “El Cartel”.Caracol has offices in Miami, Madrid and Bogota and has maintained an production deal with Televisa (which owns about 38% of Univision).Caracol also operates its own US Hispanic pay-TV channel, Caracol TV International, launched in 2003, that focuses on news, entertainment and sports, and has over 2.1 million subscribers.

“Globosat, with almost 23 years of existence, has accumulated major experience in launching pay TV channels in collaboration with leading international groups. For us it’s a natural step to look carefully at the fastest growing sector in the US – the Spanish-language pay TV market,” said Globosat’s CEO, Alberto Pecegueiro.

Caracol’s CEO, Gonzalo Córdoba Mallarino commented that Globosat, “is the partner that we all wanted in this long-term project, which aims to strengthen our existing presence in the Hispanic market in the USA. This is a recognition of the quality of Colombian TV production and reaffirms our dedication to innovation and expansion into new sectors and markets, with new and refreshing content in a market we know and that is increasingly demanding.”

What: Video Advertising Software services provider TubeMogul has opened offices in Mexico and Brazil and  signed a global deal with 3M to increase its global presence in Latin America.Media veterans Bernardo Toca and Adriano Hayashi join TubeMogul to spearhead growth in Mexican and Brazilian markets respectively.
Why it matters: An increasing number of  providers of programmatic buying and video services is expanding into Latin America because of the very high growth rate of the Latam digital market. These providers include Ebuzzing, DynAdmicYuMe and The Rubicon Project.

descargaVideo Advertising Services provider TubeMogul has officially opened offices in Mexico and Brazil and hired media veterans Bernardo Toca in Mexico and Adriano Hayashi in Brazil to lead their country’s respective offices.The company has also signed a global deal with 3M.

Bernardo Toca joins TubeMogul with over 15 years of digital media experience, serving most recently as Country Manager for ClickMagic. He also teaches a master’s course in performance marketing at Mexico’s ISDI MIB (Masters in Internet Business) program, and has worked previously at Disney, Google, and AT&T.

Adriano Hayashi comes to TubeMogul from Cadreon Australia, where he worked as the trading desk’s Video Product Manager. He attended Brazil’s prestigious Escola Superior de Propaganda e Marketing institution, and was valedictorian at Digital Media’s Digital Cadet program. He has over 13 years digital marketing experience at Fast Runner, Duton, Towers Watson, and as a freelance consultant.

The move reflects the company interest to expand throughout Latin America and Mexico, which are among the fastest-growing programmatic markets globally with over 101% growth in total video inventory available for purchase since January 2014. Interesting, TubeMogul generated approximately 33% of its 2013 revenue from markets outside the United States, and has seen brands like Mondelez and Lenovo increasingly use software to unify their global video advertising initiatives.

“Advertisers are pulling us into these markets.Both Mexico and Brazil represent a huge strategic opportunity for brands and agencies to extend their reach, and we’re thrilled to have experienced authorities like Bernardo and Adriano lead our efforts in these high-growth countries,” said Mike Downs, TubeMogul’s VP Sales, Latin America.

Adding to U.S. Hispanic

“Programmatic advertising – especially video – is exploding across Mexico. We’ve worked with TubeMogul in the US on both Hispanic and general market campaigns, and because of their experience and commitment to helping brands simplify their video advertising campaigns, we’re very excited to build on that partnership in the coming months,” said Fernando Bazán Athié, eMarketing Supervisor LATAM at 3M.

TubeMogul’s software enables brands and agencies to buy video ads across all devices, and provide ad serving, targeting, optimization and brand measurement. It currently reaches over 24 million unique viewers each month in Mexico, according to comScore, and programmatic advertising is forecast to grow by over 8,000% in Latin America from 2014 – 2018, according to International Data Corporation.

What: Regulators in Brazil have approved Virgin Mobile’s venture with Telefonica SA´s mobile network.
Why it matters: The local unit of Virgin Mobile Latin America will start operating early in 2015, adding competition to the telecommunications market.

descargaRegulators cleared Virgin Mobile Brasil to market cell phone plans in the country using Telefonica Brasil SA‘s mobile network, adding competition in the  telecommunications market.

The local unit of Virgin Mobile Latin America, run by Richard Branson‘s Virgin Group, signed  a deal in January to lease capacity from Telefonica and plans to start operations early in 2015, Phil Wallace, co-founder and chairman of the Virgin unit, said in an interview on Wednesday.

Wallace said the company was targeting 15- to 30-year-old consumers with prepaid plans, a strategy that has yielded 1 million Latin American subscribers since Virgin started Chilean operations in 2012 and arrived in Colombia last year.

Virgin is launching its Brazilian venture as the country’s crowded wireless market slows sharply from a recent boom, when falling prices and low unemployment fueled service growth to more than 270 million mobile connections in a country with fewer than 200 million people.

Revenue growth has slowed to a crawl over the past year, due to tighter credit and eroding consumer confidence, reinforcing expectations among some analysts of consolidation among Brazil’s major four mobile carriers.

In coming years, Wallace said he expects 10 to 15 percent of Brazil’s mobile subscribers will use so-called “virtual operators” such as Virgin, which use third-party networks to sell plans under their own brands.

Virgin Mobile Latin America recently raised $86 million in fresh capital and took out a $42 million credit line to start service in Brazil and Mexico, which it will launch this year, the company said.

Source: Reuters