Tag

iab mexico

Browsing
- 6 things to know

IAB Mexico Reveals 90% of Mexican Internet Users Own a Smartphone, 67% Have Completed Online Purchases Recently

What: IAB Mexico has presented the results of its 11º Study of Media and Device Consumption, based on a survey of 1297 Mexican internet users.
Why it matters: The media landscape has evolved a great deal in the last 10 years; advertisers need to understand the different types of internet users to be able to cater to their needs in an effective way.

 

In a private event held in Mexico City this week, IAB Mexico presented the results of its 11º Study of Media and Device Consumption, developed by Kantar with sponsorship from Televisa Digital. In this edition, the study explores the habits of Mexican internet users and their relationship with digital advertising by dividing their behavior into four areas that correspond to the different devices, platforms, and activities related to the online world: digital, social, entertainment, and e-commerce.

In order to find out how consumers’ online habits have changed in the last 10 years, 1297 people between the ages of 13 and 70 were surveyed (49% women; 51% men), and their answers revealed that the percentage of connected population in Mexico grew from 30% to 67% (about 75.8 million internet users).

 

Digital Devices Continue to Rise

According to the study, there’ll be about 29 billion connected devices by 2022. Today, 90% of Mexican internet users own a smartphone, and 7 in every 10 declare owning a complementary device such as Smart TVs and speakers, wearables, streaming devices, etc. As explained in the report, “accurate understanding of all the different types of internet users provides the industry with tools to segment them according to their needs.”

 

Social Media: Your New Best Friend?

A big majority (84%) of Mexican internet said they use an average of 4 different social media every day, and even though most of the social networks that were predominantly used 10 years ago have disappeared, two of them (Facebook and Twitter) are still on the top three.

As the study shows, users go to social media both to consume (86%) and to create content (94%), and 61% say they follow their favorite brands in order to keep themselves informed about news, discounts, and other consumers’ opinions. “In the last ten years, social media have evolved from a social communication space to a key ally for brands,” says the report.

 

Online Streaming Gives Consumers Freedom to Choose

From music to TV and videogames, 83% of surveyed respondents declared having access to online streaming services. The video platforms with more sustained growth are Netflix, Claro Video and Prime Video; Spotify leads the music category; and Xbox and Twitch are the videogame streamers with more users.

According to the report, advertisers have an opportunity to gain consumers’ attention provided that they take into account what really matters to them. Only 18% of viewers say they “always pay attention” to online ads, and the main reasons why the remaining respondents pay attention “sometimes” or “never” is that ads are simply not attractive, or that they feel their experience is being interrupted in an annoying way.

 

A Majority of Respondents Have Tried E-Commerce

Even though the growth has been slow, the study reports that e-commerce is gaining relevance among Mexican internet users, as 67% declares having completed an online purchase recently. Among the main reasons why they decided to buy online, they said “there was a special offer”, “it was quick and easy”, or “it was cheaper”. One of the things that have favored this growth, as said in the report, is the increase of connectivity both in and out of the store that allows consumers to compare prices. In average, consumers completed 3.5 e-commerce activities, with the top 5 categories being bank transactions, payment of services, clothes, electronic devices, and music.

However, it is still difficult to get the remaining 33% to make purchases online. Among those who declared not completing any transactions online recently, the main reasons were not having a credit card (42%), distrust when asked to share personal information (36%), and a wish to see the product before buying it (29%).

 

All images except feature image by Freepik.

Feature image by IAB Mexico / Kantar 
Read More
By
- 6 things to know

Mexican Sports Sites Opt for Programmatic Marketing

What: Sites that specialize in sports related content found a way to increase ad revenue grow through programmatic advertising sales.
Why It Matters: $15 billion pesos (aprox, US $900 million) were spent on digital advertising in Mexico in 2015. This was distributed between traditional, native and programmatic, with programmatic showing the greatest growth.

Display ad sales are struggling as programmatic surges. While general digital advertising revenue increased by 36% between 2014 and 2015, traditional advertising revenue went down by 14%, according to IAB Mexico.

Image result for mediotiempo“The biggest challenge is selling display ads, because more money is being pumped into programmatic, taking value out of display,” says Javier Salinas, director of Mediotiempo.com, a portal that specializes in sports that went from billing 5% through programmatic in 2014 to 35% in 2015.

While that seems to reflect the trend in the industry, there are still companies that cling to display. This is the case of ClaroSports.com, a branch of the Carso Group, which runs Carlos Slim and obtained the rights to transmit the Olympic Games in Rio this year.

“The bet is still on direct sales. In the case of both the Rio and Sochi Olympics, alliances with brands were made. Programmatic still isn’t our niche,” explains a source at ClaroSports.com, who preferred to remain anonymous due to company policies.

On the other hand, Carla Villafuerte, the Commercial Director of the Media Response Group, an agency that specializes in digital advertising, explained how “if they offer you advertising with a highly segmented audience, and then another that is massive, unless the product is toilet paper, you’re going to opt for the segmented audience. That is what programmatic offers: higher effectiveness at a lower cost.”

Salinas agrees: “even this year, agencies closed TV and then digital media contracts, but TV is able to sign less and less.”

Image result for claro sports brasil 2016To ClaroSports.com, the key is offering attractive packages to clients that allow them to reduce their  costs. For example, in the case of the Olympic Games in Brazil, the medal winners were sponsored by brands, as “we understand that there aren’t Olympic Games every year, but on this occasion we were able to position ourselves and offer packages that no other media was able to put on the table,” explained the source.

“Internet penetration will continue to grow in the next years, and while we still don’t know enough about the latest trends in digital advertising, in the long term, low costs and audience effectiveness will prevail,” adds Villafuerte.

Portales deportivos optan por marketing programático Read this article in Spanish!

Gabriela Gutiérrez contributed to this article. 

Read More
By
Latin America

Mexico leads Latin America Smartphone penetration with 50% Growth in 2013

What:Mexico becomes a very interesting country for ad marketers for mobile ad marketers after leading Smartphone Market in Latin America in 2013.
Why it matters: The country is expected to outdo every Latin American market in mobile ad spending during 2014.

Photo: Esther Vargas. CC Licence.
Photo: Esther Vargas. CC Licence.

Smartphone usage in Mexico has aroused mobile marketers’ interest.

According to eMarketer, smartphone penetration in Mexico is “comparatively high” to other major Latin American countries. Smartphone usage in Mexico doubled in 2012. In 2013, it grew by 50 percent. EMarketer estimated that 6.1 million people will be added to Mexico’s smartphone owners population.

smartphone

Mexico could see approximately 33.3 million smartphone users, which is more than one-quarter of the country’s population (118.4 million inhabitants). Mexico’s “lack of competition” in the mobile industry, has led to high priced mobile data plans and device prices. For this reason smartphones have been “out of reach” for many people in Mexico. Mexican smartphone users usually come from top-earning socioeconomic groups, which is why alternatives to provide smartphones to “less-banked and credit-card-lacking portions” of the Mexican population are being considered by mobile carriers.

The country is expected to outdo every Latin American market in mobile ad spending during 2014, at the expense of advertisers and marketers time spent in the country. Mobile markets revenues in Mexico ,including development and production costs and ad spending, was of US $60.3 million(794 Mexican pesos) in 2012. It increased by 98 percent in comparison to previous year’s US $51.9 million revenues.
ads im.According to the Interactive Advertising Bureau Mexico (IAB México) and PricewaterhouseCoopers (PwC):
• Display advertising, from mobile browsers to games and apps, accounted for 79.3 percent of mobile advertisement in Mexico during 2012.
• Mobile advertisement network StartMeApp noted 74 percent of network StartMeApp’ mobile ads took place in Mexican smartphones during the second quarter of 2013.
• While mobile advertisement impressions among smartphones hit 74 percent in Mexico, it accounted for 62 percent for all of Latin America and 76 percent in upper North America.

Latin Link suggested that:

• Mexico leads the Latin American smartphone penetration
• Brazil came in second with 23 percent
• followed by Argentina’s 20 percent
• Chile’s 19 percent
• Peru’s 17 percent.

Sources: Latin Post, emarketer , Latin Link

 

Read More
By
Brand Marketing Latin America

Marketing to LatAm: Liverpool’s “Bolo” multimedia campaign in Mexico

The Bolo campaign launched by the Liverpool department store chain was used as a model for the first cross-media study by IAB Mexico, which measured the campaign’s planning, branding and effectiveness on different media, including TV, Internet and magazines.

The campaign featuring the familiar bear was executed for the fifth consecutive year and sought, among other goals, to increase recognition of the Bolo bear and spur more visits to the store’s microsite, in addition to increasing the demand for the plush bear and related products.

The campaign was executed in Mexico during November and December 2012 and was featured on various media platforms that were suitable for measuring and monitoring the study, said Gabriel Richaud, CEO of IAB Mexico.

At a conference held last week, Richaud presented the results of the first IAB Mexico (Interactive Advertising Bureau) cross-media study, developed by Metrix Lab under the patronage of Televisa.com.

The study surveyed 2,027 women in the 20-45 age group, with a sampling error of +/- 2.22%. The women chosen as the target group of the advertising campaign also participated in a panel. The effectiveness of the campaign was assessed in terms of groups that were exposed and unexposed to media used by the ad campaign.

Results

Online ads increased the campaign’s reach to the audience that was less exposed to other media.

Graphic Translation:  Integrating other media resulted in an additional 10-point reach over TV alone •    9 out of every 10 people targeted were impacted by the campaign, with online advertising reaching 1 out of every 3. •    TV reached the greatest number of people, at 80%.

TV had a powerful reach (78%); however, when integrated with other media the ad campaign reached a greater number of people (88%). This occurred mainly when Internet was added to the media mix (+6%).

Integrating Internet and TV advertising created a wider scope than would have been possible with only TV, maximizing the campaign’s ad dollars.


Graphic Translation:  •    Online + TV advertising began increasing reach after 14 contacts, reaching 73% after 40 contacts, which was 3% more than with TV alone. •    To achieve 70% reach with TV alone, 40 contacts were needed, while a combination of TV + Internet only needed 34 contacts to achieve the same reach.

Since a portion of the target audience was less exposed to television, integrating Internet and TV ads in the campaign led to good results by yielding additional reach and maximizing ad dollars spent. The campaign and the media mix used to launch it helped reinforce Liverpool’s main branding indicators.

 

Graphic translation: The level of online ad reception was high, as was its differentiation and brand impact. Assessment of online creative compared with the Metrix Lab benchmark. First coloumn: Acceptance – Relevance – Differentiation – Comprehension – Credibility – Brand recognition – Brand impact. Second coloumn: Liked –  Tolerable – Relevant – Attractive – Easy to understand – Credible – Reflects the brand – Increases brand interest – Increases purchasing  – intent.

The integrated campaign increased Bolo’s recognition among the target audience by 16% (from 68% to 84%), and increased purchase intent by 23% (from 28% to 51%).

Although TV advertising itself proved very successful in positioning the Bolo image, the combination of online and magazine ads reinforced it significantly, especially in linking Liverpool with holiday shopping.

“Advertisers should risk harmonizing more traditional media with digital media, which have proven to be very efficient. Campaigns that integrate different media platforms allow us to make better use of budgets, and this is reflected both in target audience reach and intended purchase,” said Leticia Rentería, Research Director for Liverpool.

Translation: Candice Carmel

 

Read More
By

Get our e-letters packed with news and intelligence!

SUBSCRIBE NOW