by Tatiana Koike@US Media Consulting on APRIL 19, 2013
This post is also available in: Spanish
Despite the strength of traditional media in Latin America, Internet advertising’s share of ad spend continues to grow impressively in the region. While we are still waiting for final 2012 figures to be released for markets like Chile andMexico, we were able to obtain totals for other key markets in Latin America.
According to the Camara Argentina de Agencias de Medios (Argentina Chamber of Media Agencies or CAAM), online ad spend in Argentina grew by 28% in 2012 to reach 1.4 billion pesos (US$271 million). That said, it’s important to note that the physical volume of the Argentine ad market went down by 4.6% in 2012, so inflation could be responsible for at least some of this growth.
According to IAB Brasil, online ad spend in Brazil grew by 32% in 2012 to reach R$ 4.5 billion (US$2.25 billion). This figure brings together search, social media, display and classifieds. IAB Brasil projects that online ad spend in Brazil will grow by another 31.8% in 2013 to reach more than R$ 6 billion (US$3 billion).
IAB Colombia recently reported that online ad spend in Colombia grew by 15% in 2012 to reach 145 billion pesos (US$78.5 million). When revenues from classified ads and directories are included, the total reach 162 billion pesos. IAB Colombia also indicates that online now takes up 7% of overall ad spend in Colombia, up from 5.6% in 2011.
Online ad spend in Peru in 2012 grew by 50% to reach 101 million nuevos soles (US$36 million), up from US$24 million in 2011. While display is quite dominant in other Latam markets, taking up 60% or more of Internet ad spend, in Peru display accounted for only 45% of the online ad spend, with classified/directories taking up 32% and search was responsible for 6%.
Overall, in 2013 Latin America should experience 10% growth in ad spend across all media to reach a total of US$38 billion, according to projections from eMarketer. In addition, eMarketer forecasts that ad spend in Latin America should reach US$51 billion by 2016, with mobile advertising growing by 87% between now and then.
To find out how we can help you reach Latin American consumers via online or any other type of media, please contact us.