The latest trends such as the implementation of the fiber broadband connectivity, 4G implementation in the host cities of the FIFA world cup 2014 have resulted in an increase in the online advertising expenditure in Brazil.
The online advertising industry is valued at USD ~ billion in 2011. The online advertising industry has grown at a CAGR of ~% for the years 2006-2011. The access of the internet has increased through various sources such as the smart phones, tablets, laptops and the notebooks. The online E-commerce was valued at USD ~ billion in 2011. The mobile penetration in Brazil is 116 mobiles per 100 people. This has increased the advertising expenditure through mobiles. The internet penetration was ~% in the year 2011. The internet penetration is estimated to be ~% in 2016 as a result of the government initiatives to implement broadband connectivity in the semi-urban and rural areas.
The average time spent online by an internet user was ~ hours in the year 2011. The time spent online has increased at a CAGR of ~% for the years 2006-2011. The increase in the time spent online can be attributed to the content consumption of the internet users in Brazil. The social networking sites and content based sites such as UOL, Facebook were the leading advertisement publishers in the year 2011.
Online advertisers have advertised on the internet according to the online behavior of the internet audience. The social networking site Facebook was the leader in publishing the display advertisements. Content based sites such as the Globo.com and UOL were the second and the third largest websites respectively in publishing the display advertisements. Facebook was the market leader with a market share of ~%, followed by globo.com with ~% and UOL with ~% share of the display advertisements.
The leading advertisers in display were the online retailers. Drafiti.com was the market leader with a share of ~% with ~ billion display impressions in March 2012 followed by Netshoes.com.br, Microsoft Corporation and Google.
Online video advertisements were extensively used by the automobile industry, tourism industry and the real estate agencies in Brazil. Search advertisements had witnessed an increase in the market share over the other segments of online advertisements. The market share of the search advertisements has increased from ~% in 2006 to ~% in 2011. The online search advertisements increased over the years as a result of the increase in the wireless devices in the country.
Online ad spending is expected to rise because of the 2013 Confederations Cup, the 2014 FIFA World Cup and the 2016 Rio Olympics- all of these events will be hosted by Brazil. The online advertising will have a major role in the revenue generation for sports brands, promotional activities, tourism industry and e-commerce in the coming years. Macro-economic factors such as the taxation systems in Brazil, online content regulations and the increase in the urban population in Brazil have been extensively in the report.
The report extensively covers the impact of the upcoming sporting events in Brazil such as the Confederations Cup, the FIFA football world cup and the Rio Olympics in the coming years.
Key highlights of the report
The segment wise online advertising expenditure break-up.
The revenue models and value chain in the online advertising industry of Brazil.
The impact of 4G and LTE networks in the country.
The impact of the mobile subscribers, E-commerce on the online advertising.
Leading online advertisers and advertisement publishers market share in Brazil.
The increase in the internet users in the country
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