Tag

Yume

Browsing

A summary of the most exciting recent news in online video in the U.S., U.S.-Hispanic and Latin American markets. If you’re trying to keep up, consider this your one-stop shop.

US/US-HISPANIC MARKET

Spotify presented a new video strategy that involves canceling original video series on the service, as well as shows it hasn’t released.

According to research from eMarketer, programmatic advertising will make up 83% of US display dollars by 2019.

Periscope announced that it will give almost all earnings from “super hearts” left by fans on videos back to the content creators.

According to a study from PQ Media, global advertising & marketing revenues are expected to increase 3.9% to $1.225 trillion in 2017.

Facebook reported a 79 percent profit increase, in part thanks to its push into video advertising.

The Q3 2017 Video Benchmark report from cross-platform advertising solutions specialist Extreme Reach found that click-through rates are down in every single category.

YuMe has launched its People-Based Marketing Suite to enable cross-screen audience targeting, sequential messaging, and attribution for U.S. audiences.

According to a new report by ad sales insights platform MediaRadar, P&G ran ads on 20% fewer sites –1,251 —  between January and August 2017, compared to 1,565 during the same period in 2016. The company also ran ads on just 59 percent of the same sites as they had the previous year.

LATAM MARKET

FD Comunicação, Brazil’s first and oldest PR agency that works only with video games, has launched a news portal where it will cover the Brazilian video games market.

NBCUniversal Telemundo Enterprises is expanding Fluency Studios with the launch of “Fluency Plus,” a new, bilingual digital production studio. 

Clarín and El Cronista found a study about YouTube consumption in Argentina, signaling that 70% of users go on YouTube every day, and that one in three Argentines that are online at any given moment are watching a YouTube video.

After launching a marketplace in Brazil, Amazon is not giving any indications about how and when it will expand into the Brazilian electronics segment.

What: San Francisco ad tech company RhythmOne LLC has acquired Redwood City-based YuMe Inc. in a cash and stock deal valued at about $185 million.
Why It Matters: Through YuMe, Rhythm One “gains access to premium video supply including emerging, high-value connected TV inventory, unique customer insights, cross-screen targeting technology and established demand relationships.”

San Francisco ad tech company RhythmOne LLC has acquired Redwood City-based YuMe Inc. in a cash and stock deal valued at about $185 million.

RhythmOne changed its name from blinkx earlier in 2017 when it named Ted Hastings as its CEO. Speaking confidently about the added value that the acquisition will bring, Hastings said: “We believe this combination will give RhythmOne the resources, relationships, and talent to drive value for its shareholders, and true a return on investment.”

Through YuMe, RhythmOne Gains Access to Premium Video Supply

In a market increasingly driven by online video, this deal is significant in the sense that “through YuMeRhythmOne gains access to premium video supply including emerging, high-value connected TV inventory, unique customer insights, cross-screen targeting technology and established demand relationships,” said Hastings.

Jorg Nowak, SVP International at YuMe, took it a step further, saying: “I believe the online advertising market is ready for a comprehensive, independent advertising technology, and our combined company will be well-positioned to lead the market.” He also pointed to the fact that the two ventures are “near perfect complements to one another,” pointing to YuMe’s strong relationships with agencies and brands and its demand side platform, which “align well with RhythmOne’s unified programmatic platform and sizeable supply-side footprint.”

Acquisition Will Facilitate Better Multicultural Targeting

Nowak signaled that the acquisition will enable better Multicultural targeting within the United States thanks to the fact that “RhythmOne will bring us greater access to a massive supply of brand-safe inventory.”

He also pointed out that RhythmOne’s analytics and data management platform “include a unified, proprietary data set that will enhance our own data and audience targeting toolbox to allow us to reach multicultural audiences with precision and scale.”

While Nowak asserted that the acquisition will not affect YuMe’s strategy for LatAm, he did say that he envisioned “the value that we can offer LatAm based advertisers and publishers increasing exponentially.”

Join us at PORTADA Mexico!

VOTE NOW

FOR THE GOLAZO PEOPLE’S CHOICE AWARD!

Golazo Voting
Sending

A summary of the most exciting recent news in online video in the U.S., U.S.-Hispanic and Latin American markets. If you’re trying to keep up, consider this your one-stop shop.

US/US-HISPANIC

Video ad serving platform SpotX today announced a new header bidding suite built specifically for video, featuring a server-side wrapper and an advancement of the company’s shift from tag-based integrations. The new suite of solutions complement SpotX’s advanced ad serving tools to execute unified auctions in a more effective and efficient manner than header bidding alone.

T-Mobile is teaming up with Netflix to provide the streaming service’s basic subscription at no extra cost for those who subscribe to T-Mobile One family plans.

According to reports, Facebook is “offering music publishers hundreds of millions of dollars to retain the rights to music featured in videos uploaded by users and page owners” to appease copyright holders.

Video streaming service Roku has filed paperwork Friday to list its shares on the Nasdaq stock exchange.

Amazon has launched Brown Sugar, a subscription-video-on-demand service featuring African-American movies.

Facebook’s Ads Manager is apparently inflating the numbers regarding the reach that ads can have on the platform, claiming that ads can reach a potential of 41 million 18- to 24-year olds and 60 million 25- to 34-year olds in the United States, whereas US census data shows that last year there were a total of 31 million people between the ages of 18 and 24, and 45 million in the 25-34 age group, the analyst said.

Google is allowing the public and developers to test a feature through which users can mute the sound on video ads through experimental browser Chrome Canary.

Streamroot, pioneer in distributed over-the-top (OTT) video delivery solutions, announced that the company has secured an additional $3.2 million in funding, bringing the company’s total financing to $6 million. Contributions in this round came from premier international firms including Partech Ventures, Techstars Venture Capital Fund, Verizon Ventures and R/GA.

San Francisco ad tech firm RhythmOne has acquired online video advertising and targeting firm YuMe for a total consideration of approximately $185m. The transaction is expected to close by Q1 2018.

LATAM MARKET

From 2016 to 2017, ad spend on online video increased by 200% in Mexico, and small and medium-sized businesses represent 25% of that ad spend, according to a study by DynAdmic.

HubSpot‘s The State of Inbound report revealed that 58% of LatAm businesses are investing in Facebook video ads, compared to 50% in 2016.

According to Buenos Aires, Argentina-based Observatorio Web, Google results for the word “Jew” come up with more antisemitic results in Spanish than in English, and 484 Spanish-language videos denying the Holocaust have received nearly 1.7 million views collectively during 2016 alone.

Join us at PORTADA Mexico!

A summary of the most exciting recent news in advertising technology in the US, US-Hispanic and Latin American markets. If you’re trying to keep up, consider this your one-stop shop.

US-US HISPANIC MARKET

YuMe is partnering with private exchange software provider StickyADS.tv to help publishers get a handle on programmatic video. YuMe’s DSP, YuMe for Advertisers, and StickyADS.tv’s SSP are set to ease access to premium online inventory.

A new survey by video app provider Magisto indicates that small and medium businesses are, indeed shifting ad budgets to social media and online video. Millennial marketers were 84% more likely to promote their businesses through social media than print, and 136% more likely than baby boomers to create videos for social media.

Google Maps will be offering ad space that allows users look through products and menus for nearby businesses. The ads will be featured on both Google Maps and Google.com, and drivers will see them along their driving route.

Confirming rumors that swirled since November, Facebook has announced that it is closing down its ad exchange, FBX, which allows third-party ad technology companies to buy ads on the social network.

YuMe has new capabilities that improve brand safety and viewability for its programmatic video ad platform, YuMe for Advertisers, through integration with Integral Ad Science’s Bid Expert and SDK-driven technology to maximize efficiency and fight bad traffic.

Data from Standard Media Index shows that broadcast TV spending went up 6% in April, while cable spending went up 7%. Top networks were FOX, ESPN, AMC, HGTV and Bravo, all with double-digit gains.washpost

The Washington Post has launched “Fuse,” a new proprietary technology that allows the ad to instantly load within the content being viewed.

Univision Communication Inc. has launched Mosaico Trading, a programmatic ad and analytics solution to provide business partners with data and insights for targeting diverse audiences.

A survey by analytical firm PageFair found that ad blocking software on mobile devices has increased by 90% in the past year, and almost all ad blocking users use browsers with automatic ad blocking.

The Latin Online Video Forum, part of #PortadaLat on June 8-9 in Miami’s Hyatt Regency Hotel, is bringing all of the big players in online video in the Americas together, including key brand marketers such as Nestle, 3M, Volaris, Fallabella, Best Western and many more.

LATAM MARKET

German mobile marketing firm glispa announced the acquisition of Mobils, a 10-person mobile agency based in Sao Paulo. Mobils’s employees will continue with the company, as will CEO Paulo Maia. Mobils will also bring its Brazilian clients, like Webmotors, Netshoes and iFood.

appsflyer-logo-prAccording to a report by Cheetah Ad Platform, Brazil, Mexico and the United States have the most competitive app markets in the world. The study looked at data from 52 million Android smartphone users and found that users use an average of 27 apps and engage with an average of 39 per month. Brazil has the highest user engagement and app competition, as users use an average of 29.23 apps and engage with an average of 53.62 per month.

AppsFlyer, the global marketing analytics company, is opening an office in Buenos Aires, Argentina. Daniel Junowics, who led the company’s efforts in China, will be in charge as managing director.

A summary of the most exciting recent news in advertising technology in the US, US-Hispanic and Latin American markets. If you’re trying to keep up, consider this your one-stop shop.

US/US-HISPANIC MARKET

Open ad management company Sizmek announced a partnership with sponsored data experts Datami to expand the spend reach of emerging and low-spend markets through Sizmek’s open ad management platform, MDX-NXT. Datami helps brands and agencies engage consumers on mobile video through subsidizing users’ mobile data usage and consequently lower use of ad blockers.

Comcast has acquired French ad video tech company StickyAds.tv, a SSP, for an undisclosed amount that is said to be more than $100 million. StickyAds specializes in helping publishers and broadcasters sell video advertising inventory for digital and television.

Technology Business Research conducted a study of ad tech buyers in France, Germany, North America and the UK, and found that in North America, 36% of respondents manage their DMPs internally, and that more than a quarter use a tech vendor’s app. More findings can be found in this link.

Cadent Technology, which was formed by last year’s merger between BlackArrow and Cadent Network, is going to be presenting its addressable linear platform at the INTX Conference currently being held in Boston. The company recently added its live linear targeting capacity to its VOD solutions for QAM set-tops, IP-based devices and OTT apps.

Adobe presented its new advertising capabilities for its marketing cloud at the Adobe Summit EMEA. The tools make it easier to create more personalized ads for multiple platforms and includes analytics to form a better understanding of ads’ effectiveness.

YuMe has announced its improved capabilities for brand safety and view ability standards on its programmatic video ad platform, YuMe for Advertisers (YFA). The technology is integrated with Integral Ad Science’s Bid Expert, and can use YuMe’s native SDK-driven brand safety technology to create efficient ads and block suspicious traffic.

New trends in online video monetization, measurement, engagement and many more aspects of the emerging OTT market will be explored at the Latin Online Video Forum during PortadaLat in Miami on June 8-9, 2016. Get your tickets at early bird price now!

LATAM MARKET

The Brazilian government’s shutdown of WhatsApp, the second time a digital service was shut down by a court in the country, has sparked debate about how to appropriately intervene in digital communication services to prevent similar events in the future. Brazilian congressmen want to pass a law to regulate the blockage of website and apps that disseminate illegal content.

European mobile attributes and analytics firm Adjust announced adjustthe opening of a Brazilian office in Sao Paulo, following its global expansion into Latin America. Apparently, they already have clients like Microsoft, Rovio and Loovo.

Mexican data company Mundoejecutivo conducted a study of Twitter use in the region and found that Brazilians use the social network most, reaching 40.7 million users in the country Q4 2015. Mexican use came in second in the region with 35.3 million users, and Argentina came in third with 11.8 million.

But eMarketer showed lower estimates: for the same period, its results showed 24.6 million users in Brazil, 21.3 million in Mexico and 7.1 million in Argentina. Argentina was found to have the highest increase in its user base, with 20.9% growth last year and an expected 12.8% growth rate for 2016.

On Tuesday, German mobile performance marketing firm glispa announced that it is acquiring Mobils, a mobile digital agency based in Sao Paulo. All of Mobils’s 10 employees will stay with glispa, and will bring their publishing partners and Brazilian clients like online car sales portal Webmotors, sporting goods company Netshoes and iFood (Brazilian, similar to Grubhub).

 

 

Ad_BlockingAlmost $22 billion in global ad revenues have been blocked so far this year, representing about 14% of all global ad budgets, according to a study by Anti Ad-blocking firm PageFair. Outstream Video Advertising Firm Teads, recently published a manifesto for sustainable advertising attempting to unite the advertising and marketing industries to engage (not enrage) consumers. What is the state of Ad-Blocking in Latin America and what is being done against it?

1. How extended is Ad-Blocking in Latin America?

LatAmA recent report found that about 16% of users in the U.S. block ads. Globally, there are nearly 200 million people stopping ads, 181 million of whom are on the desktop.  These are obviously facts to worry about . But  how extended is ad-blocking in Latin America? According to Eric Tourtel, ‎Senior Vice President, Latin America at Teads.tv, “Although research on ad blockers is still limited we do know that 4 countries in Latin America fall into the top 30 countries in the world with ad blockers for video. Colombia is at #20 with 28% of video time ad blocked. Chile and Mexico come in right before the U.S. with 26% ad blocked video time and Argentina and Ecuador both count with 23%. These numbers are alarming because they pertain to desktop alone, now factoring the mobile ad blockers on iOS and Android, the number could easily double. With a high adoption of ad blockers, advertisers and publishers are both at risk. The time is now to raise mass awareness and come together to seek better alternatives that sustain brands, publishers and users alike, before ad blockers become the standard.”

Four countries in Latin America fall into the top 30 countries in the world with ad blockers for video: Colombia, Chile, Mexico and Argentina.

2. Is Ad-Blocking higher on mobile than on desktop?

Yes, ad block adoption in general is definitely higher on desktop right now. The above referred study by anti-ad blocking firm PageFair in partnership with Adobe found that “mobile ad blocking is still very underdeveloped,” a situation that may change following Apple’s recent support for ad blockers in iOS 9.”When you think of Ad blocking your first thought is desktop. Latin America is mobile-centric, the communication dynamic between a brand and consumer vastly differs compared to the United States or any other market, making it difficult to draw a parallel between each of them,” says Mike Villalobos, Head of U.S. Multicultural and Latin American Sales at Virool.

When you think of Ad blocking your first thought is desktop. Latin America is mobile-centric.

3. How will Latin America’s rapid adoption of smartphones impact ad-blocking in the region?

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

The rapid adoption of smartphones in LatAm may have increase the use of ad-blocking technologies in the region.  As Teads’ Tourtel notes “following Apple’s recent announcement allowing ad blockers on Safari, a slew of ad blocking apps are expected to make their debuts in the market which will likely boost ad blocker adoption on mobile as a whole. Latin America specifically is one of the fastest growing regions for smartphone adoption. eMarketer predicts the region will have around 220 million smartphone users in the region within the next 3 years up from the current 150 million users this year. As mobile becomes the primary screen for internet usage, we may see a shift in ad block adoption from primarily desktop to more mobile.”
Key drivers for users to block ads include the quantity and quality of ads and, in mobile, the extra load time, and the resulting hits on battery life and bandwidth charges.

4. Are Latin Americans aware about the role of advertising revenues in supporting media?

advertising.megafono-285x346One key issue that audiences who use ad-blockers need to know is that if the content is not subsidized by advertising it will have to be bought by the end-consumer, in other words the audiences themselves, in order to make it economically viable. However, many consumers underestimate the role of advertising in supporting media. A Teads study mentions that 68% of consumers underestimate the role of advertising in supporting media properties. Is this figure also valid for Latin America? According to Eric Tourtel, “this number can be applied generally for any region. At Teads we are pushing globally for the education of consumers about the value of advertising because many don’t realize that advertising funds the online content and services they love and use daily. Considering 4 Latin American countries are amongst the top ad blockers users in the world, this number could potentially increase.”
Latin America, with its huge lower and lower-middle classes, has traditionally been a region with a very large amount of the media landscape being supported by advertising revenues. Open TV networks have an ad market share that is higher than 50% in many Latin American countries.

5. What type of advertising can be blocked which one cannot be blocked?.

“The ads that can and can’t be blocked depend on the ad blocker application itself but these third-party software companies have the capabilities to allow users to block all kinds of ads from banners to video ads. One of the key factors in ad block adoption is the use of intrusive advertising like pop-ups, overlays and pre-roll video,” says Eric Tourtel
from Teads. “The latest software is even blocking paid social and paid search ads!.”

 

6. When buying video programmatically is there a way to take out the audience that blocks the ads?

Man finger pushing interface use of innovative technologiesAccording to Tourtel, “When buying ads, there is no way to know which user has ad blockers set up or not. This is a big risk for advertisers as they are paying more for impressions without guaranteed views. Some publishers such as The Washington Post are asking users to subscribe to content in an effort to combat lost revenues from ad blockers. Others like The New York Times do not allow users to view content if they have ad blockers enabled. There are anti-ad blocking companies that try to come up with new software to reverse the ad block.”

The New York Times does not allow users to view content if they have ad blockers enabled.

7. What technologies are there to distribute advertising more effectively?

Seamless ads that are designed to enhance online media are the industry’s best defense against the proliferation of ad blockers. According to Virool’s Villalobos, “advertisers can overcome ad-blockers if the content is authentically created, has relevant messaging and efficiently distributed through appropriate mediums.”Tead’s Tourtel agrees “as an industry, we need to adopt less intrusive ad formats such as outstream formats like Teads’ inRead, to slow the use of ad blockers. Native advertising of this kind is less intrusive and more accepted by the user.”
A technology that allows a more seamless and non-intrusive integration of ads into the user experience are outstream video ads,
a category generally described as ads that run within text dominant Web pages or streamed within copy on mobile phones. Ad-Tech firms Teads and Virool have outstream video ads, and Yume recently unveiled outstream ads  as well.

Says Mike Villalobos, “Virool alleviates ad blocking concerns by strategically distributing content, in a manner that is organic to the audience on the receiving end. The best example is Virool’s Inline/ unit that is compatible on both mobile and desktop. Virool also run sub-campaigns before, during, or after distribution to quantify authentic emotional engagement through facial a viewers facial reaction, the tool is called eIQ. With these innovative tools we provide are able to facilitate a solution, and an experience that will improve the overall creative and campaign delivery.”

CHECK OUT: Online Video in Latin America: What 6 Experts Have to Say
Will Online Video Take Money Out of the Huge LatAm TV budgets?

Will mostly U.S. based Online Video and Advertising Technology providers really be able to deliver the goods when it comes to the Latin American Online Video Market? What are the main challenges ahead? In order to find out more about the evolution of Online Video in LatAm, we asked major experts what online video formats they see growing the most in 2015. Below, their answers.

2a39571

Jorg Nowak, Head of Latin America, YuMe

“Video Advertising has arrived in Latin America and is certainly nothing new. At YuMe, our IAB and MMA Award winning ad units such as “Ngage” and others transform the traditional 30 second TV Spot/Pre-roll into an experience that engages the audience and create the brand recognition advertisers are asking for”.

The enormous opportunities presented by the Latin American and U.S. Hispanic online video landscape will be examined in-depth by major experts of the brand marketing, agency, media and measurement world at Portada’s Latin Online Video Forum on June 3 in Miami (part of #Portadalat.) Check out the evolving agenda and register!

Chris Stanley, CEO, Alcance Media

38859b2“Overall, I expect video to continue its strong growth as more advertisers see the benefits. As for the formats, pre-roll will be number one, but as more offerings become available in mobile pre-roll this should see strong growth as well”.

Mike Downs ‎VP, Hispanic & LatAm at TubeMogul

“Pre-Roll is the format growing most consistently, with the majority of that growth driven by mobile devices, and we believe that both will continue to develop in 2015. We work with advertisers looking for innovative solutions to deliver brand messages and will continue to do what’s best for them”.

Eric Tourtel, SVP and General Manager Latin American, Teads

iWl5-mjI_400x400“Pre-roll within a quality environment will not grow, quite simply because there are not any more inventories available (producing video content is expensive hence why there is not too much availability and it tends to be sold out immediately). Pre-roll within user-generated content may grow if advertisers prefer price over quality. Hope for users and advertisers mid-rolls and post rolls will not grow either since that would have a negative impact on the way people perceive brands (no one likes to be forced to see an ad while consuming video content).
I am convinced, thanks in part to our conversations with many brands and agencies, that Outstream formats will grow, and that inRead will soon be a commoditized format. Finally, 2015 will be the year of mobile! According to eMarketer, Latin America is the second fastest growing region for mobile phone internet user growth, ranked 2nd worldwide behind Central & Eastern Europe. eMarketer predicts Latin America will have 322 Million Mobile Phone internet users by 2018, a jump of 194M from 2014 (a 65%+ increase in 4 years alone).

In Mexico 94.7% of the mobile traffic goes through Wi-Fi

Research firm eMarketer expects  a very high growth rate of  mobile internet ad spending in Latin America, growing to US$2.24 billion  by 2018 from US$334 million  in 2014. One very important point to consider is that since the quality of mobile broadband’s is extremely low, people tend to use Wi-Fi on their devices all the time, to the direct detriment of the broadband quality available on mobile devices. For example, in Mexico 94.7% of the mobile traffic goes through Wi-Fi, which means we can deliver a lot of video on mobile. In our view the major growth in mobile formats will come from inRead and mobile-friendly formats”.

There will be a rapid increse in mobile internet ad spending, growing to US$2.24B by 2018 from US$334M during 2014

Manny Montilla Sales Director at Adap.tv

Manny_0165(1)“Although I think mobile video will grow tremendously in 2015, I think the more compelling growth to keep tabs on will be centered around publishers concentrating their efforts in generating more medium and large player inventory. The saturation of small player inventory and the increasing negative user experiences associated with them are making advertisers more and more prone to targeting away from small pre-roll inventory sources and concentrating their spends toward larger sized pre-roll sources”.

The opinions are manifold. As 2015 moves on, we should have a clear perspective on the format that best meets advertisers’ needs as well as users’ habits.

CHECK OUT:
10 things you need to know about the Latin American Online Video Advertising Market

Will Online Video Take Money Out of the Huge LatAm TV budgets?

The enormous opportunities presented by the Latin American and U.S. Hispanic online video landscape will be examined in-depth by major experts of the brand marketing, agency, media and measurement world at Portada’s Latin Online Video Forum on June 3 in Miami (part of #Portadalat.) Check out the evolving agenda and register!

What is the present and future of the South Florida based Panregional Advertising and Media sector? Our just published  2015 Panregional Marketing and Media Report addresses many of the answers to the above key question.

Miami is frequently nicknamed as the “capital of Latin America”. The South Floridian Metropolis, has been a major center of the Latin American Advertising and Media markets over the last decades. Major Latin American agency, marketing and media decisions were and are taken out of South Florida. But, wait a moment, is this still the case? Haven’t there been structural changes in the last few years that threaten Miami’s place as the capital of Latin American Marketing and Media? 8 key questions and their answers.

1.Is Miami still the Capital of LatAm Advertising and Media?

miamiIs the South Florida based Advertising and Media  sector still a vibrant growing and innovative community? Most experts will answer this question with a resounding yes. Look for instance at the wide array of new LatAm targeted digital media and Ad-Tech ventures that have recently established major operations in Miami to target Latin American markets including YuMe, MediaMath, Outbrain, Teads.TV, Skyword as well as digital media giants Facebook and Google/YouTube.

2. But wait…haven’t many major companies transferred their Miami headquarters to LatAm countries?

Most observers will tell you so. While they still think that Miami is an important Latin American media buying and decision center, the marketing budgets directly depending on Miami based agencies or clients have been reduced compared to where they were a decade ago.Why?

2015 Panregional Advertising and Media ReportOver the last five to ten years many major multinational companies have relocated their Latin American headquarters, and with them their central marketing and media operations to Latin America (Brasil, Mexico, Argentina and Chile). However, as WorldCity Research points out, there are more than 40 multinationals that are based  in South Florida, with each of them overseeing US $1 billion in annual sales mostly in Latin America,  and countless companies more with sales of less than US $1 billion.

3. Will the panregional marketing volume increase or decrease over the next few years?

We expect the market to grow at a compounded annual growth rate of 4.2% during the 2014 to 2018 period. Below are the projections as published in our Panregional Advertising and Marketing Volume Projections (2014 – 2018).

201220132014e 2015e2016e2017e2018e
Total Volume
(in US$ mill)
415.53438.27465.20477.61517.89551.89611.06
Y/Y Growth (excl. Content Marketing)4.24%3.70%4.39%1.00%6.70%4.89%9.00%

 

4. What role will  Cable and Print Media have going forward?

tv.ratingPay-TV (Cable and Satellite) and print have historically been the two largest panregional media vehicles, particularly cable, which continues to be the main media type in terms of ad-dollars, as it offers mass-media reach to the LatAm middle and upper classes,  but Pay-TV’s leadership is increasingly being threatened by the growth of digital. Protectionist regulations in Brazil and other Latin American countries, particularly for off-line media, establish that media buying has to be done from within the country the media is consumed in and not from other countries (e.g. Miami).

5. So is Digital Media leading the Growth as it relates to panregional Marketing?

The enormous growth of programmatic audience buying technologies does increase the centralization  media buying through platforms like the ones provided by SSPs (Supply Side Providers) or DSP’s (Demand side Providers)  or the major agency trading desks including Accuen (OMG), Xaxis (Group M), Cadreon (IPG-Mediabrands) and Affiperf (Havas). The main Latin American units of most of these trading desks are based in Miami. Digital media buoyed by the high growth rate of programmatic and online video can reestablish Miami as the major panregional Advertising and Media sector.

6. How does the growth of the Content Marketing discipline bode for the role of Miami??

Content MarketingIn our just published 2015 Panregional Report, we asked client side marketers what percentage of their panregional media buying projects is interdependent with a content marketing activity (e.g. they do paid media buys to drive traffic to owned digital properties.)
Weighting the respondent’s answers, on average, 28.8% of their panregional media-buying activity is connected to some sort of Content Marketing. Most respondents noted that Content Marketing amplifies paid, earned and owned media messages and increasingly is an important complement to panregional media buying. For more in-depth insights and details you will have to buy the report 🙂!

7. What Ad-Categories are going to grow?

GrowthThe IT Electronics category will continue to be the strongest category, amounting to almost a third of overall panregional Advertising by 2018. This is because the adoption of all types of Consumer Technologies and Brown Goods is going to continue to be front and center for the Latin American consumer with these types of products being increasingly offered to the Latin American lower and lower middle classes.
CPG (Consumer Packaged Goods) will continue to be a major Ad-Category throughout the 2014-2018 period with major CPG Companies such as General Mills or Procter & Gamble having decision-making centers in South Florida.

8. How does Brazil’s current economic weakness play into the forecast?

brazil.flagThe overall growth rate of panregional advertising as well as the growth rate of categories including IT/Electronics, CPG, Telecom , Financial Services, Beverages and Automotive will be impacted by relatively low consumer demand in Brazil in 2014 and 2015 which will somewhat depress growth rates. Of even bigger significance is the taking place of mega marketing events such as the 2014 Soccer World Cup, the 2016 Olympics in Rio de Janeiro and the 2018 World Cup. Major companies and brands, particularly in the above cited categories, plan marketing around these events in a panregional and sometimes global fashion.  In those cases Miami based media, brand marketers and agencies will play an important role in decision-making. For more in-depth insights and details you will have to buy the report below 🙂!

[s2Member-Pro-PayPal-Form sp=”1″ ids=”16456″ exp=”8760″ desc=”2015 Panregional Advertising and Media Report ($849)” ps=”paypal” lc=”” cc=”USD” dg=”0″ ns=”1″ custom=”latam.portada-online.com” ra=”849.00″ accept=”paypal,visa,mastercard,amex,discover,maestro,solo” accept_via_paypal=”paypal” coupon=”” accept_coupons=”1″ default_country_code=”” captcha=”0″ /]

The Latin America media and advertising markets are almost ruled by huge TV budgets. In this context, non-linear TV properties (e.g.  native digital properties as well as digital properties of magazines and newspapers ) have a tremendous opportunity to capture some of these TV advertising monies.

Lorena Hure contributed to this article.

GC_2008_400x400Guido Conterno, executive director at GDA, a consortium of major Latin American newspapers including Argentina’s La Nacion and Mexico’s El Mercurio,  says that  “newspaper and print based sites are rapidly incorporating video as a substitute of photos; once the processes are in place, and  robust webTV sites set, they will get a share of those investments.”

An important aspect that will greatly contribute to channel TV ad investment to the digital environment, is the technology provided by supply side platforms (SSPs).

2a39571According to Jorg Nowak, Head of Latin America at YuMe “This is certainly a global trend that is an important topic in LatAm as well.  Reason being is that clients request a faster turn around time to measure the ROI of the campaigns and that puts pressure on everyone in the campaign life cycle to work faster, as well as becoming even more detail oriented when it comes to categorizing the inventory by the various demographics. The latter can only be achieved by automating the process”.

An important aspect that will greatly contribute to deriving TV ad investment to the digital environment, is the technology provided by supply side platforms (SSPs).

However in Latin America, not so much in the U.S., it may take a while until traditional TV advertisers decide to transfer their budgets to digital video. For now, other experts tell Portada, most of the growth of online video comes from monies exiting display advertising (banner ads). Free TV ad and Pay-TV ad budgets, while much bigger budgets, are only threatened by online video in the medium and long terms.

066e2d4 As Carly Bellis, Co-Founder & CSO at Impaktu suggests: “I do not see this happening in the short-term, but it is possible that the shift will happen in the medium term, most likely via private marketplaces.  Right now the SSPs with inventory available in Latin America tend to have lower quality, non-local content at lower prices. From recent studies we also know there is a high incidence of fraudulent sites.  Local LatAm publishers with high quality, brand safe content do not want to lump in their content with the existing content and seemingly devalue their inventory.  The same is true in the U.S. with most premium publishers.  However, I do think that private marketplaces will be more readily adopted in the medium term, giving publishers more control over the buyers, the pricing and how their inventory is bought.”

Programmatic Video’s Latin American Infancy

Manny_0165(1)Manny Montilla, sales director at Adapt.tv (photos left), takes a similar position to Bellis: “I do see publishers adopting sell side platforms. However, I think it will happen in the medium term. Programmatic video is still largely in its infancy in Latin American markets. Right now there’s a lot of ‘toe dipping’ happening where publishers are brokering deals for their video inventory with a multitude of 3rd parties (mostly ad networks) who in-turn are trying to activate that inventory across programmatic partnerships and attract significant demand volume. As the comfort and education around transacting video increases and reasonable understanding is attained I think publishers (especially the larger ones) in Latin America will be losing out on major revenue if they don’t consider partnering with programmatic video solutions directly. The advantages of doing so are too compelling to ignore, especially as publishers establish their own private exchanges and start offering buyers more interesting slices of their inventory than would be available in a public market place.”

Major publishers in Latin America will be losing out on major revenue if they don’t consider partnering with programmatic video solutions directly.

What lies ahead?

The fact that implementing this technology would contribute greatly to deriving investment to the digital environment is confronted with the resistance publishers are confronted with.

iWl5-mjI_400x400As Eric Tourtel, General Manager for the Latin American market at Teads.tv (photo), says: “We also see some publishers that are a bit concerned about losing control of their inventory or their pricing, with some people incorrectly thinking that programmatic means ‘bought cheaply’ when in fact it means ‘bought automatically’. It is, however, simply a matter of training and sharing experiences”.

Programmatic does not mean ‘bought cheaply’ but ‘bought automatically’.

In short, even if everything shows TV ad investment will eventually be derived to the digital environment, there are a few challenges to be overcome first. So far, users are giving a positive sign to publishers with regards to their consumption habits; however, the implementation of the right technology to enable digital advertising in lieu of TV, might take some time.

The enormous opportunities and the evolution of the Latin American online video landscape will be examined in-depth by major experts of the brand marketing, agency, media and measurement world at Portada’s Latin Online Video Forum on June 3 in Miami (part of #Portadalat.)

CHECK OUT: 10 things you need to know about the Latin American Online Video Advertising Market

A recap of major news on the marketing and media front from around the web compiled by Portada Digital Media Correspondent Susan Kuchinskas.

Heritage of conscious consumption

NielsenNielsen celebrates “conscious consumers” during Hispanic Heritage month, with vignettes of real consumers appearing every Monday on its Multicultural YouTube channel from September 15 through October 15. The series features responsible shoppers, that is, ones who research companies prior to making a purchase and who are social change agents for their communities. The videos include interviews with featured consumers, scenes from their daily life and stats from Nielsen. The public is encouraged to take part in the conversation by using the hashtag #ConsciousConsumer.

Hispanics like digital

Another item in the not-so-late-breaking news department: The YuMe and SMG Multicultural survey finds US Hispanics are an emerging force in digital video interaction. Okay, we knew that, but stats to back it up are always welcome. According to the survey of 12,100 consumers, Hispanic households spend 68 percent more time watching digital videos compared to non-Hispanics. For a meatier take, read Carolina Re’s interview with the YuMe research team. You can download the whole research report here.

Targeted videos increase engagement 4.5X

Here’s an eye-opening stat: According to Nicholas Segura, owner of Somos marketing agency, when he produces and publishes videos for clients, their nonpaid, organic engagement goes up 450 percent per video. Segura talked to the Kansas City Star about why the total market approach won’t work.

XoomXoom Campaign Highlights Customer Stories

Digital money transfer service Xoom launched a new campaign with two TV spots. The Spanish-language campaign highlights the reliability and convenience of its service for sending money abroad.

YaVeo aims at mobile Millennials

DirecTV is lining up content for a new, over-the-top service aimed at Hispanics – and it’s just inked a deal with Univision, according to Reuters. The online video service, to be called YaVeo, will be aimed at digital-video hungry Millennials.

Content connection

Camille Padilla Dalmau gives the five best tips for content marketing to Hispanics. While they’re not surprising, they can’t be reiterated enough, can they?

study.coverYuMe and SMG (Starcom MediaVest Group) have published a multicultural survey that recognizes US Hispanics as an emerging force in digital video interaction. Results show that US Hispanic device ownership skews higher than for non-Hispanic US audience on a full range of connected devices, including smartphone, tablet, OTT, laptop, and smart TV, while leading the market in multi-tasking and mobile content.

In May 2014, YuMe and SMG Multicultural analyzed data from an Interpret New Media Measure survey of more than 3,100 US Hispanics and 9,000 general population respondents, looking for US Hispanic differentiation in video consumption, along with the influence of language in advertising. The research will be showcased at Portada’s 8th Annual Hispanic Advertising and Media Conference in New York City on September 18, 2014, where YuMe will have an exhibitor booth.

Portada talked to YuMe’s research team about the highlights of the study: The role of younger and older generations of Hispanics in the digital media space and the way they consume and media activities on different devices.

Portada: What have you found more surprising about the study?

YuME Research team: It was really interesting to see how consistently Hispanic Consumers over-indexed for streaming behaviors and ownership of entertainment devices. We thought that Hispanic Consumers might not lead as much on very “techy” devices or devices with a significant upgrade costs, like gaming consoles and smart TVs, but that’s where they had the largest leads in ownership vs. the general market.

It was also really surprising to see that much of the over-indexing may have been driven by the older generations of Hispanic Consumers.

It was also really surprising to see that much of the over-indexing may have been driven by the older generations of Hispanic Consumers. We don’t often think that 35-54 year olds would be streaming at the same levels as Millennials, but on household entertainment devices like connected TVs, we’re seeing that’s true for Hispanic Consumers.

Some interesting trends in the middle 35-54 age group:

  • This group surprises us with their heavy adoption of connected TV devices and heavy streaming. For this age group, ownership of devices like tablets, Blu-ray players, smart TVs and set-top boxes is within 1% of Millennial ownership. When we surveyed streamers who streamed 1+ video in the last three months, the 35-54 year old respondents actually lead Millennials for streaming on a Blu-ray player and match them for streaming on a Smart TV.
  • What is more surprising is how close their ownership rates are for emerging devices like connected televisions. In this category, they’re only 5%-8% behind Millennial Hispanics. We typically see larger gaps among the general population.

Portada: What about the relationship between Hispanics and video?

Research team: “It’s not exactly surprising, but Hispanics as a whole report much lower levels of TV viewing and much higher levels of digital video streaming than the general market. It seems that digital streaming platforms and behaviors are more prevalent in Hispanics due to their desire to access appealing and relevant content. This is seen in their comparative device ownership levels, activity levels, and streaming motivations (when compared to the general population).

  • Hispanic Consumers show significant ownership leads for mobile and entertainment devices like: smartphones, tablets, gaming consoles, Blu-ray players, set-top boxes and smart TVs.
  • Fewer Hispanic Consumers watch 3+ weekly hours of linear TV (in any language) than the general population. On the flip side, they lead the general population for watching movies on the internet, watching short clips on the internet and watching TV shows on the internet for 3+ hours weekly.
  • When compared to the general population, Hispanic Consumers are heavier streamers at all streaming levels and on all devices.
  • The percentage of Hispanic streamers that stream on a smart phone, tablet, smart TV or Blu-Ray player are 48%-106% higher than the general population.

Perhaps due to relevance of linear TV content, Hispanic Consumers lead the general population for nearly every possible multi-tasking activity while watching Primetime TV.

US Hispanic Consumers are more motivated to stream or download to:

  • Watch shows or movies on channels you don’t receive on TV +59%.
  • Explore shows you haven’t watched before +52%
  • Be able to watch TV programs whenever they want +40%”

Portada: What´s the main difference between Hispanics and non-Hispanics regarding video?

Research team: “The main difference between the Hispanics and non-Hispanics regarding video is how much higher the ownership and streaming activity levels are for digital entertainment devices especially among the middle to older generation of Hispanic Consumers. This is a group who seem to have a more diverse group of early adopters who are motivated enough to try new technology and behaviors to find what they really want to watch.”

 US Hispanic device ownership

US Hispanic ownership of devices mirrors that of the general market (non-US Hispanics), yet, the highest penetration is on smartphone and laptop.

hispanics.devices

Smartphones

Two times more likely than the non-Hispanic US audience to stream on smartphone and smart TV. Typical smartphone activities among Hispanics are social networks (60%), short videos (47%), and streamed music (42%).

hispanics.smartphone.use

Digital Video

US Hispanics are 40% more likely to watch more than 5 hours per week of digital video content.

hispanics.digital.video

Younger Hispanics

Younger Hispanics are driving device adoption and video streaming levels. “The tech behaviors of US young Hispanics (18-34) are rather comparable to general market Millennials. Among U.S. Hispanics, they lead ownership in emerging digital and entertainment devices like: smartphones, tablets, gaming, consoles, Blu-ray players, smart TVs and set-top boxes. They are avid streamers, leading the age groups at all levels of streaming and streaming on nearly all devices”, says the research team.

They are avid streamers, leading the age groups at all levels

hispanics.younger

Portada also asked about behaviour of older generations of Hispanics:”The older generation of US Hispanic Consumers (55+) lead ownership of traditional digital devices like cell phones and desktop computers by large margins. They lead  the nearest age group by 8% and 16% respectively.”, according to the research team.

Spanish dominant households

Portada: Why do you think Spanish dominant households are more likely to consume digital content?

Research team: “The answer seems pretty clear and seems to stem from the variety of video content available through linear TV or the lack thereof. Main motivators for Hispanic streamers to stream include:

  • To watch shows or movies on channels you don’t receive on TV +59%.
  • To explore shows you haven’t watched before +52%

hispanics.households

How can we reach millennials through online video? This was the overall theme of the panel moderated by Bob Oliva, business development director of Portada, and made up of Jorg Nowak, Head of Latin America and US Hispanics, YuMe; Maximiliano Vaccaro, Director- Digital Media Latin America – Brazil and US Hispanics, Discovery Networks; and Noel Gladstone, VP Research and Consumer Insights, Viacom International Networks. 

Nowak.YuMe_-156x156Jorg Nowak, Head of Latin America and US Hispanics, YuMe, expressed the view that “you have to follow the audience; you have to be able to serve them in all platforms.” Nowak added that before we know it the “big screen” will surely be part of the digital matrix.

“At YuMe we no longer talk about campaigns for VC video, TV or mobile; we talk about video campaigns,” and “no longer talk about video campaigns in each platform.” Nowak said the time has come, in fact, to pose the question once again: “Which is the ‘first screen?’ Is it still TV?”

mvFor his part, Maximiliano Vaccaro, Director- Digital Media Latin America – Brazil and US Hispanics, Discovery Networks, maintained that when it comes to thinking about the production of video content for millennials, “this has to be done in a way that’s really different from content production for other age groups.” “Millennials are everywhere, but not so much on TV.” “For millennials, technology is organic, they’re not ‘early adopters’,” Vaccaro said.

We seek to create an ecosystem that means a simple experience on multiple screens
 

“The question we ask ourselves is how can we understand the cycle of each video, and not just focus on the production of video content,” Vaccaro added. “Not just creating content – but having tools for looking at the content’s behavior.”

With regard to the production of content, he said “you have to be king” in terms of quality, given that these days everybody can “create quality content on YouTube.”

Creating an ecosystem, creating multi-screen experiences, it’s not about YouTube, or about mobile, it’s how to tell a story and be king in that realm
 

Vaccaro added: “We’re all learning about integrating screens,” but “we’re moving slower than the video market.” “For media companies, as well as metrics companies like Ibope, Comscore, etc.,” he stated, “it’s a challenge to measure up to the development of the market.”

Noel Gladstone, VP Research and Consumer Insights, Viacom International Networks, highlighted the importance of online video, noting that “the way we watch TV is changing, it’s not a novelty.” Gladstone remarked that “The audience still loves TV, so what millennials are looking for is a multi-screen experience.” “The challenge now,” he pointed out, “is to measure video engagement.”

How can we reach millennials through online video? This was the overall theme of the panel moderated by Bob Oliva, business development director of Portada, and made up of Jorg Nowak, Head of Latin America and US Hispanics, YuMe; Maximiliano Vaccaro, Director- Digital Media Latin America – Brazil and US Hispanics, Discovery Networks; and Noel Gladstone, VP Research and Consumer Insights, Viacom International Networks. 

Nowak.YuMe_-156x156Jorg Nowak, Head of Latin America and US Hispanics, YuMe, expressed the view that “you have to follow the audience; you have to be able to serve them in all platforms.” Nowak added that before we know it the “big screen” will surely be part of the digital matrix.

“At YuMe we no longer talk about campaigns for VC video, TV or mobile; we talk about video campaigns,” and “no longer talk about video campaigns in each platform.” Nowak said the time has come, in fact, to pose the question once again: “Which is the ‘first screen?’ Is it still TV?”

mvFor his part, Maximiliano Vaccaro, Director- Digital Media Latin America – Brazil and US Hispanics, Discovery Networks, maintained that when it comes to thinking about the production of video content for millennials, “this has to be done in a way that’s really different from content production for other age groups.” “Millennials are everywhere, but not so much on TV.” “For millennials, technology is organic, they’re not ‘early adopters’,” Vaccaro said.

We seek to create an ecosystem that means a simple experience on multiple screens
 

“The question we ask ourselves is how can we understand the cycle of each video, and not just focus on the production of video content,” Vaccaro added. “Not just creating content – but having tools for looking at the content’s behavior.”

With regard to the production of content, he said “you have to be king” in terms of quality, given that these days everybody can “create quality content on YouTube.”

Creating an ecosystem, creating multi-screen experiences, it’s not about YouTube, or about mobile, it’s how to tell a story and be king in that realm
 

Vaccaro added: “We’re all learning about integrating screens,” but “we’re moving slower than the video market.” “For media companies, as well as metrics companies like Ibope, Comscore, etc.,” he stated, “it’s a challenge to measure up to the development of the market.”

Noel Gladstone, VP Research and Consumer Insights, Viacom International Networks, highlighted the importance of online video, noting that “the way we watch TV is changing, it’s not a novelty.” Gladstone remarked that “The audience still loves TV, so what millennials are looking for is a multi-screen experience.” “The challenge now,” he pointed out, “is to measure video engagement.”

The 7th Annual Portada Latam Advertising and Media Summit will take place on June 4 and 5 2015 in Miami

Marylin AldirMarilyn Aldir is the new Digital  Marketing Director at Televisa Publishing based in Miami.  Aldir was appointed to this new position after Rudy Arda left Televisa Publishig earlier this year to join YuMe as Client Services Director Latin America. Before Televisa Aldir, worked as Associate VP US Sales Americas at Prisa Americas and before that as Director, International Advertising Sales at ESPN and at Terra Networks also as Director of International Sales.

Elevate and reposition Televisa’s Digital Properties

Aldir’s main task will be to elevate and reposition Televisa’s digital properties as premium compliments to advertisers campaign initiatives. Aldir tells Portada that this task will be pursued in order to obtain three objectives. “First, to impact digital revenue by creating viable partnerships with publishers and providing turn-key solutions that enhance our multi-platform offerings. Second,  Champion content development for Televisa’s digital properties utilizing our existing assets and/or developing and creating new ones. The final objective is to foster winning relationships with our teams and partners for mutual growth and success.”

Nowak.YuMeJorg Nowak, Head of Latin America and US Hispanics, YuMe.

Most of us know, US Hispanics are one of the fastest-growing US populations, and they will contribute an even greater share (60% +) of all population growth over the next five years (U.S. Census and Geoscape AMDS Report, 2013).

More Hispanics live in the US than Canadians live in Canada – avoiding that reality it is not even an option anymore if you want to maximize the growth of your business. As this market continues to grow, Hispanics purchasing power will continue to influence and impact the economy – their purchasing power growing by 50% from $1 trillion in 2010 to $1.5 trillion by 2015 (Nielsen, State of the Hispanic Report, 2012).

Major brands and agencies are realizing that US Hispanics are where their future is. Don’t find yourself caught on the sidelines.

yume.multi-screen-engagementWith one medium in particular, digital video, marketers are already seeing the benefits of targeting general audiences. However, with the current growth of Hispanic consumer’s digital video consumption and purchasing power, it is even more vital to engage with this channel.

As we move into 2014, let me offer four recommendations around Hispanic media buys and online video.

Keys to Successful Online Video Hispanic Media Buying in 2014:

1. Hispanics are rapidly consuming content on mobile; plan for all screens 

US Hispanics are leading the market as early adopters of emerging technologies. 60% of Latino households own at least one Internet-enabled cell phone and spend 68% more time watching digital videos than non-Hispanic Whites. Be sure to take advantage of this opportunity to capture Hispanic’s attention on mobile devices in addition to your traditional online buys. (Nielsen, State of the Hispanic Report, 2012).

2. Hispanic content is rare, so make the most of it

As marketers, we face a dilemma – online video for the Hispanic consumer is premium and often scarce. In order to capitalize on this medium, we suggest custom ad units with more interactivity and engagement.

3. Think outside of pre-roll video

There is much more to experience than just pre-roll video, and many consumers are taking notice. Consumers are actively engaging with custom ads via social elements or ‘learn more’ functions, like never before. Why not capitalize on the opportunity to grab a consumer in an interactive and compelling way?

4. Broaden your sights and your network

In the past, ad networks have often gotten a bad rap. That is rapidly changing, especially in the Hispanic space where publishers struggle with unique user numbers that don’t provide the reach and frequency that advertisers desire. Ad networks solve this dilemma with unparalleled reach and the added bonus of allowing interaction with the user vs. exposure only.

I’ll leave you with this:

If you choose to forgot any or all of these 4 points, keep in mind, you may be missing out on a huge opportunity: There are currently 55.5 million (plus 9 million undocumented) Hispanics in the US, 17.4% of the total US population . . . up from 50 million in 2010.(U.S. Census and Geoscape AMDS report 2013). At the same time, online video spend is growing aggressively, outpacing the rest of the market (more than doubling since 2012). (AccuStream Research)

These numbers can no longer be ignored, especially for those looking to win in an increasingly competitive marketplace.

Jorg Nowak is Head of Latin America and US Hispanics  at YuMe, Inc, a provider of digital video brand advertising solutions. Nowak was previously Senior Vice President & General Manager at Univision Interactive Media.