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Media & Entertainment to Grow Digital Ad Spend by 11.9% in Brazil; Mexican Digital Ad Market Reaches £1bn

In this week's LATAM Roundup: While the Mexican digital ad market is growing steadily and expected to reach £1bn, Brazilian Media & Entertainment sector in Brazil is growing, but slower due to the uncertainties of the local political and economic scenario; Globo, Infoglobo, and Valor Econômico publishers join their commercial ad teams and will offer integrated solutions to advertisers in Brazil; and, finally, new hires in Wundermann Latam and the ad tech PubliEasy in Brazil.

Media & entertainment expected to grow Digital Advertising investments by 11.9% in five years in Brazil

Even though TV has been the major channel in which media and entertainment invest on their ad budget, digital media has been growing steadily, according to the 18º PwC’s Global Entertainment and Media Research, which looked into the sector for the next five years.

The Media and Entertainment sector is expected to increase the investment in digital advertising, which reached R$10bn (£2.3bn) last year, or 27% of the overall ad budget. The figures are expected to grow by 11.9% until 2021, or R$11.85bn (£2.82bn).

According to PwC, the increase is due to the growth in internet access by the Brazilian population, including mobile growth, expanding the audience for companies working with topics such as games and music, for example.

Despite the positive numbers, the numbers are slower than forecasted in the previous research because of the unstable political and economic situation of the country.

Mexican digital ad investments reach US$1,4bn (£1.09bn) in 2016

Digital media advertising registered a solid growth in Mexico, according to a recent study by AMAP. Investments in digital media ads jumped from USD$250,000 in 2011 to USD$1.4bn (£1.09bn) last year, and by 2019 the forecast is the figure to exceed USD$2bn. This represents a 42.8% growth between 2017 and 2019.

Pedro Egea, president, AMAP and CEO, Herrero, expect the investments in digital ads in 2019 to be significant – not a niche channel for the country anymore.

Globo, Infoglobo, and Valor Econômico to integrate digital solutions to advertisers

From 1 July, 2017, three different media publishers part of Globo Group will offer integrated solutions for digital advertisers: Globo, Infoglobo, and Valor Econômico. According to the Brazilian company, the strategy is an answer to a market demand and the commercial teams will be unified, led by Virginia Any, ad market director, Globo publisher.

Summing up the publishers’ audience numbers, the three websites reach 507 million monthly page views and roughly 50% of the online Brazilian audience. Their print versions reach 13.3 million units monthly, according to comScore latest figures.

New hires in the Latin American market

Juan Pablo Jurado is the new CEO of Wunderman Latam, replacing John Lynn in the position – who now is CEO, Y&R Latam and WPP’s global leader for Telefonica. Jurado’s main responsibilities, other than being the head of local operations, is to lead Wunderman's digital strategy which is being rolled out in the agency.

The ad tech PubliEasy also announced a new hire: Thiago Fortuna, former account executive, Estadão.com, joins the team as the ad sales executive. He will be part of the team led by André Almeida, account director.