Display advertising in Brazil

On this article, we’ll highlight the characteristics and statistics about the market for display advertising in Brazil.

Display advertising refers to ad panels commonly found on current websites. This is one of the most popular mediums for publicity on the internet, and dates back to the middle of the 1990’s.

Brazilian Online Publicity

Publicity in Brazil currently follows the worldwide trend of heavy investment in online platforms. Although around 98% of Brazilian households own TV devices compared to 43% of households with broadband internet connections, online advertising has become much more relevant for a variety of reasons.

For one, Brazilians spend more time online than on any other medium. In fact, Brazilians are the users that spend most time online per month in all Latin America countries.

In 2013, over 38% of Brazilians spent more than 14 hours online per week, compared to 27% that spent the most time watching TV. Newspapers and magazines are even further away on these statistics, with only 7% spending as much time on these mediums.

Secondly, online advertising reaches the public in a much more targeted way. Online platforms allow for user tracking, efficiency measurement unparalleled in any other media at the same scale and the capacity for a variety of content more capable of engaging possible customers. Websites, for example, use cookies to indicate if an user has bought an item from an online store and target it specifically with ads most likely to generate interest. Brazilian customers are some of the ones least bothered with sharing personal information for marketing purposes in the world, according to recent surveys.

Advantages of Display Advertising

Because of the digital nature of this kind of publicity, display advertising efficiency can be measured to the most precise degrees. Each time an ad is clicked, or even when products are subsequently bought, servers record user actions that can be analyzed to determine in which conditions the ad found most success in reaching customers. Display advertising can be measured through multiple indicators, such as impressions, clicks, time available, product selling and customer registration.

Also, display advertising in websites does not need to be limited to uninviting static bi-dimensional images. In fact, most ads found on current websites are based on Rich Media, which means the presentation of videos, games, interactive content and even profiles of the specific products indicated for each customized user. For these reasons, Brazilian users find online advertising to be the most informative, attractive, creative, evident and least bothering of all major kinds of publicity, according to recent research.

Brazilian advertisers seem to be conscious of this, for more than BRL 7.1 billion is expected to be spent on digital publicity in the country, with over BRL 2.5 billion directed to display advertising alone. This constant increase from the BRL 4.5 billion spent in 2012 and the BRL 5.7 billion spent in 2013 shows no signs of reduction in the near future.

Major players in Brazilian display advertising

Some websites in Brazil are key players on the display advertising market. Statistics from 2013 reveal that Facebook, for example, holds over 37% of all display impressions in the country, while shoe store Netshoes and fashion retailer Dafiti are the most displayed advertisers.

Publishers

• Facebook: The far and away most used social network in Brazil holds 97.8% of all time spent on social networks in the country. Displayed 583.8 million ads
• UOL: Most accessed portal in Brazil: Displayed 120 million ads
• Globo: Multimedia corporation owns a variety of portals and websites. Displayed 118.6 million ads
• Microsoft sites: Websites owned by the technology giant gather great public in Brazil. Displayed 94.6 million ads
• Terra: Online portal owned by Telefonica is one of the most accessed in the country. Displayed 90.3 million ads
• Google sites: Websites owned by Google represent a significant portion of accessed content. Displayed 81.6 million ads

Advertisers

• Netshoes: Online shoe store achieved market dominance by offering competitive prices and investing heavily on advertising. Had 22.4 million impressions
• Dafiti: Fashion clothing, shoes and accessories online retailer grew significantly in recent years. Had 22 million impressions
• Netflix: Video content streaming service expanded aggressively in Brazil after arriving on the country in 2011. Had 18.4 million impressions
• MRV: Brazilian construction giant is the most focused on digital advertising in its business. Had 13.5 million impressions
• OLX: Online classifieds marketplace competes for the top spot in Brazil. Had 12.7 million
• Microsoft: The technology corporation is also focused on advertising their own products and services. Had 12.1 million impressions