When it comes to programmatic media buying, Latin America represents a region of contrasts.
For instance, it represents just 3 percent of total programmatic spend, making it is the smallest global programmatic region. But it’s also rapidly growing—by the end of 2016, it’s expected programmatic buying in LATAM will have grown by 198 percent, and increase four-fold by 2019.
Today, comScore and MediaMath released results from a new study, The State of Programmatic Buying in Latin America, which analyzed the challenges and opportunities for advertisers, agencies and publishers to consider in order for programmatic to reach its full potential. The research was based on 52 individual interviews with marketing executives across brands, agencies, publishers and technology providers in Mexico, Colombia, Argentina and Brazil. Key findings of the study include:
- There is a perception that there are very few marketing professionals in LATAM with expertise in digital topics; professionals knowledgeable about programmatic buying represent a minority.
- Drivers and barriers for programmatic media buying in LATAM are thought to be determined by the interaction and coordination of programmatic sales partners with agencies and publishers. Their collaborative efforts contribute to the positioning of programmatic among advertisers.
- Data gathering in LATAM is believed to have started two years ago. A limited number of brands currently use their first-party data to drive their campaigns. Second-party data is less well known, and it is considered a concept mainly used by providers. Third-party data is seen as a business in the process of development that will strengthen brands’ marketing strategies.
- Programmatic buying in LATAM is expected to have a consolidation stage based on better understanding and acceptance from advertisers, who will then raise the expectation of transparency and accountability to providers.
To read the in-depth results and also see recommendations that marketers who do business in LATAM can take into consideration as they head into 2017, download the study here.