Knowledge Bridge

Global Intelligence for the Digital Transition

Internet advertising in Brazil larger than newspapers

The internet has surpassed newspapers as the second-most preferred medium for advertising in Brazil, according to a report by the Interactive Advertising Bureau. According to the report, during the first quarter of 2012 advertising on news sites, search engines and price comparison websites totalled 11.98% of total advertising revenues, compared to newspapers’ 11.06% share of the US$3 billion ad market.

The report prepared for the IAB, which brings together the main websites and internet portals in Brazil, confirmed TV as the overwhelming favourite destination for advertising dollars, which increased its share from 58.4% in 2011 to 60.63%.

While the report shows a significant rise in internet advertising, the good news for newspapers was that the rise in digital advertisig didn’t come at (much) expense of the printed ad market: Compared to 2011, internet ad revenues grew their share of the market by nearly 1%, while newspapers slipped by only 0.4%. As in many emerging democracies, though online consumption is growing and the cost of internet access is falling, newspaper circulation in Brazil continues to grow. In many cases, an ad sales strategy that recognises both trends is likely to pay greatest dividends.

Article by Peter Whitehead

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