Post on 08-May-2015
Twitter: #Proxxima
Brazil vs. the Rest of the World
6 May, 2014
Presented by Geoffrey RamseyChairman, Founder
Twitter: #Proxxima
389 builds782 data sources
59 slides
Atenção
§ Following the connected, always-on consumer
§ Following marketers, who are trying to follow the connected, always-on consumer
§ Following the money
Agenda
Follow me on Twitter: @geofframsey
©2014 eMarketer Inc.
I. The Connected, Always-On Consumer
In many countries, internet users spend 2+ hours/day online
Source: eMarketer; Motorola Mobility Study; comScore; Ipsos
3.6 hours SECOM; IBOPE
4.9 hours GlobalWebIndex
3.6 hours GroupM
2.4 hours comScore
2014
4.6B 64%
penetration
Global Pop 7.0 B
Source: eMarketer, 2014
2017
5.1B 69%
penetration
Global Pop 7.3 B
The global view: mobile penetration
24% of pop
1.8B34% of pop
2.5BSmartphones
Population 203 Million
We see the same trend in Brazil
Mobile Phone Users 154 million (76%)
Sources: eMarketer, 2014; US Census Bureau, 2013
Smartphone Users 41 million
(20%)
In 2017 Smartphone Users
= 71 million (34%)
Today’s digital consumer is everywhere...
Fragmentation rules.
Fragmentation is everywhere.
...yet also elusive.
Smartphone Users
20% of pop
Mobile Users 76% of population
©2013 eMarketer Inc.Source: eMarketer 2014
There is a huge amount of audience fragmentation within digital channels
Social Users 37% of population
Tablet Users 16% of population (IAB Brazil; UM; Munchner Kreis; McAfee; E.Life; Ipsos OTX)
Digital Video Viewers
34% of population (comScore; IBPOPE)
©2013 eMarketer Inc.
There is a huge amount of audience fragmentation within digital channels
Smartphone Users
20% of pop
©2013 eMarketer Inc.
Source: comScore, 2013
There is a huge amount of audience fragmentation within digital channels
iOS
32%
RIM 3%
Android
55%
Windows 1%Symbian 1%
all other
8%
Smartphone
Users
©2013 eMarketer Inc.
Video Games
Maps
Shopping
Weather
News
Reviews
There is a huge amount of audience fragmentation within digital channels
Social
Social media usage in Brazil is very high
71%
87%GlobalWebIndex
UM 80%
Social Media Penetration
CETIC.br 73%
Ipsos 73%
71%eMarketer
Brazil is one of the most “social” countries in the world
67%
64%
71%
Our attention spans are fragmented, too! Over 75% of
internet users in Brazil use their smartphones or tablets while watching television ––IAB Brazil & comScore
Brazilian smartphone users use their phones while watching TV for an average of 52 minutes a day ––Millward Brown, 2014
With mobile, being online has become a persistent, anywhere state
Mobile users check their phones 100X
dailySource: Mobile Posse and Phoenix Marketing International, 2013
Some of you have done that within the past hour!
Consumer Attitudes Towards Advertising
CéticoResistente
Desconfiado
II. How Are Marketers Keeping Up with the
Connected, Always-On Consumer?
Few are meeting the “big data” challenge
3 Steps...
Step One: Admit if you have a problem.
43% “Poorly
Integrated”
46% “Improving”
Liam Ramsey
Needs improvement.
Precisa se aprimorar
NOTE: mobile is the least integrated
Step Two: Realize that the path
to purchase is no longer linear
Let go of the classic “Funnel” model...
...and move to the more dynamic “Consumer Journey” model
Brazilian consumers frequently rely on their phones for researching products and services
32% of smartphone ownersin Brazil have intentionally
clicked on a mobile ad––PriceWaterhouseCoopers, 2014
©2013 eMarketer Inc.
Step Three: Pull your data together
Harvest cross-screen identities by tapping into the streams of data coming from mobile, social and video activities
This is your antidote to fragmentation!
Data can even be used in real-time, right at the point-of-purchase
Software installed in cash registers detects Hellmann’sin the cart, as well as otheringredients, to print a recipe at the bottom of the receipt
using those ingredients––Ogilvy Brazil
Sales up
44% in 1st
month!
Source: Econsultancy and Adobe, Jan, 2014
As a marketer, make Content Marketing a #1 priority
Survey: Leading Digital Priorities in 2014, according to B2C Marketers Worldwide
Push Marketing
Pull Marketing
“It’s more about ATTRACTING, rather than DISTRACTING.”
Magnetic Content
Instead of “hunting,” think of “fishing” for the consumer...
Magnetic Content
myStain, from Clorox
“With mobile––ask yourself, ‘How can I be useful?’”
ice cream
Brazil example: Netshoes mobile app
If you see
a pair of shoes you like, take a photo
Then, you can buy the shoes
right on your
phone!
What about “Native ads?”
“Marketing should be as compelling
and engaging as the content you would
see from your family and friends.”
“Think like a consumer. You know, would I pin this? Would I comment on it? We always try to ask ourselves, ‘Why
would people care?”––Emily Schildt, Chobani
Join the conversation on social media––but do it in the right way
“With social media, give consumers some kind of genuine value in exchange for their attention.”
Set an Engagement Level Trigger Point
ENGAGEMENT RATE
Time
TriggerPoint
0
Boost media spend behind activity
100
Double-down on your core brand loyalists to amplify their advocacy
Customers
Prospects
#1. They have come to expect it.
#2. You’ll make them even more loyal.#3. They’ll want to tell others.
Why?
Nurture them
Find them via Social
Media
CORE
Master the Mobile Mindset: The Swiss Army Knife of marketing
Location Services
Mobile Social
Mobile Commerce
Mobile Payments
In-Store Mapping
Coupon Delivery
Text Notifications
Mobile Apps
Mobile Search
New opportunities are coming with geo-targeting
Focus intently on the consumer’s need––NOT pitching your
product
Location Services
41% of worldwide firms collected location-based data about consumers in 2013, but 23% plan to start
––EIU, 2013
Marketers will combine in-store mapping with real-time mobile messaging to detect and react to shoppers’ intentions––while they’re in the store
“We will know you’re in the tomato sauce section and be able to deliver you a recipe, health information or point out the best value on the aisle.”
––Scott Townsend, Urban Airship
Where is mobile geo-targeting going?
Ask: How can you help the consumer in the store?
Coupons
Nutrition
Recipes
III. Following the Money
Spending is shifting towards digital
Brazil accounts for over 1/2 of total ad spending in Latin America
Brazil 53%
Mexico 13%
Argentina 10%
All Others 25%
Source: eMarketer, 2014
It’s also the 6th largest advertising market in the world
And media spending is growing rapidly
eMarketer 12.0%
GroupM 12.3%
5.0%ZenithOptimedia
Carat 12.3%
MAGNA GLOBAL 12.7%
Total Media Spending Growth (2014)
But digital is growing over 2X faster...
17%eMarketer 28.0%
PwC 18.5%
11.7%ZenithOptimedia
MAGNA GLOBAL 20.1%
Digital Media Spending Growth (2014)
GroupM 16.8%
IAB Brasil 25.0%
14% of media
Digital Media Spending as a % of Total
Source: eMarketer, 2014
US 28%
UK 47%
Brazil14%
Argentina8%
Mexico18%
Global 25%
Watch out for the rapid rise of programmatic, and Real-Time
2014 Sources: IDC; ZenithOptimedia; eMarketer, 2014
In 2014, RTB = ~13%
Digital Display Ad Spending
Worldwide
~$50 B
Growth Drivers:
!
• Global trend towardsmore efficient buying
• FBX, video and mobile are shifting towards programmatic
In 2017, RTB = 25% - 30%
~2% in Brazil
today
In Brazil, what’s growing even faster than digital ad spending???
+12% +28%
Source: eMarketer, 2014
Total Media
Digital Media
???Mobile Media
+120%
Nothing is growing faster than mobile
8.5X
$120 M
$1,023
Among 22 countries, Brazil is #1 globally in terms of mobile ad spending growth this year
©2014 eMarketer Inc.
#1Brazil
Mobile’s slice of the digital ad spending pie in Brazil
Source: eMarketer, 2014
= 4.2% in 2014= 20.7% in 2018
In the US, mobile already accounts for 34% of total digital ad spending
Source: eMarketer, 2014
Mobile = >1/3
% of Global Advertising Revenue that Will Come from Mobile in 2014
63% 76%34%
––eMarketer, 2014
70%
Summary
• Mobile is the most important trend to watch
• Smartphone penetration in Brazil will rise from 20% to 34% by 2017
• As a marketer, you need to do four things: 1) manage your data; 2) create “Magnetic Content”; 3) engage consumers with social media; 4) master mobile marketing
• While Brazil’s media spending market is growing rapidly, digital is growing at 2X, and mobile is exploding at 120%
Geoffrey Ramsey Chairman, Co-Founder
@geofframsey
“Obrigado” Milena
Twitter: #Proxxima