Digital Perspective Blog

Archive for the 'Latin America' Category
About B-M: Eric Biel, Managing Director of Corporate Responsibility
Jun29
Posted By zach.ambrose

To coincide with the Digital Newsletter’s “Green” theme, I recently interviewed Eric Biel, Manging Director of Corporate Responsibility in DC, about Burson-Marsteller’s own efforts to go green.  To see past About B-M interviews, view the archives.

Digital Perspective: What role do you see promoting eco-friendly efforts and sustainability playing in the marketing communications industry this year?

Eric Biel: Working with our clients to help them communicate their “green” efforts has become a significant piece of our work at B-M – cutting across practice areas and geographies.  As the Managing Director for Corporate Responsibility, I’ve had the chance to work with terrific colleagues in the Issues and Crisis Group (where our CSR practice is housed), as well as Media, Public Affairs, Corporate, Advertising, Digital, Technology, and other areas.  What that illustrates is the many facets of what clients are looking for from us – and our competitors, of course – when it comes to communicating about their environmental programs and platforms.

But the truth is that it’s about more than “just” communications.  Companies are looking to us to help identify what they should be doing in the “green” space – what kind of projects, what forms of reporting and disclosure, as well as to tell them more about what their competitors are doing, industry “best practices,” who the key stakeholders are and what they care about, and so on.  We’re often working with them at the intersection of policy and communications, which makes it that much more interesting.  Sometimes they just want us to help them understand what “sustainability” is all about – given that it’s a word with a lot of different interpretations and that cuts across environment, social, and economic performance.

Although we’re busy promoting “green” to the press and other audiences, it’s actually a lot more than that.  It cuts across a wide range of companies and industries as well.  We’ve worked with a leading chemicals company on its first-ever corporate sustainability report.  We’ve helped two of our largest clients – neither of which has a huge “carbon footprint,” but both of which face growing pressures to step up on environmental performance from their own employees, clients, and others – with their own sustainability reporting in various ways.  At the same time, we’ve done a lot of promoting of different clients in the renewable energy space – where B-M has a tremendous amount of expertise and is doing cutting-edge work for leaders in biofuels, solar, wind, and other technologies.  So it’s a huge area for us, and across the PR and communications industry – and we’re always looking for new opportunities to grow our business globally.

DP: Are there specific types of ‘green’ campaigns that are seeing greater ROIs in an economy like this?

EB: That’s a challenging question, and you might get different answers depending on who you talk to across B-M.  As a general matter, though, I think the companies that are able to tie their “green” efforts and activities to their core business – those that are able to demonstrate that “green” matters in the C-Suite and is a key organizational priority.  I think of some of the “classic” campaigns like those launched – some still going strong – by GE, BP, Toyota, and others that really created some distance from their competitors.

These days, it’s especially important to be able to demonstrate that “being green” is good for the financial bottom line as well – it’s not a costly luxury, but actually adds to economic return.  I think of a company like SAP, which has strong programs of its own but also is an “enabler” through its products and services for how others can take on green initiatives more efficiently and at lower cost.  I also think of Growth Energy – a group that has helped reshape the battle in Washington and beyond about bio-fuels, after the industry was put on the defensive last year just a short time after it was flying high.  It has a powerful message about green technologies but also green jobs – including in some areas that had been hit hard by the recession.  And finally, I think of the terrific B-M work on the Clear2Go roll out earlier this year – highlighting how an innovative new product enables users to protect the environment while saving money at the same time.

DP: Can you share any other success stories where B-M has involved going green?

EB: In addition to the ones I’ve already highlighted in my previous responses – from working with big global firms to launching a great new product like Clear2Go,  another “success story” in my view is our work with one of our largest clients over the past 2-3 years.  We’ve had the opportunity to help them ramp up their efforts across the board on the environment – from helping craft their first written environmental policy statement to framing employee initiatives to greatly expanding more detailed reporting and disclosure.

And that brings me to B-M itself.  These days, you have to “walk the walk” because current clients, new prospects, suppliers, and others increasingly are choosing to do business with companies that are committed to being green.  The good news is that we’ve taken some significant steps to reduce our own carbon footprint – cutting energy use, increasing our recycling, and so on.   We’ve seen real progress across geographies – and we’re continuing to get pushed to do more by our parent company, WPP, which of course is a good thing.  And here in the U.S., we had the chance to bring these efforts together back in April through “Green Week” – which highlighted both some of our successes to date and how much more we all still can do to make B-M an even greener place.


LATAM online study – trend is MORE
Jan13
Posted By Felix Leander

Pyramid Research recently released a study commissioned by Google on the Internet use in Latin America.  The study consisted of surveying about 3,500 people throughout 10 Latin American countries and Puerto Rico.  Not really to anyone’s surprise, 77% use the Internet for communication purposes – either through email, instant messaging or social networks.

Some of the highlights of the report include:

• Brazilians are the biggest fans of social networking sites (74 percent of users) and instant messaging (76 percent) but rank the lowest in terms of e-mail (71 percent). Many Brazilians post and receive messages on social networking sites, like Orkut.

• In Uruguay, 98 percent of Internet subscribers use e-mail, but only 4 percent regularly visit social networking sites.

• For Mexicans, photo- and video-sharing sites are the most important online features (35 percent use them), but only 4 percent of Argentines feel the same way.

• Brazilian Internet subscribers lead other markets in online banking, while Venezuelans are the biggest users of bill paying and Mexicans employ e-government sites more than their Latin neighbors.

Some internet use patterns definitely differ throughout the region; this is due to various factors such as internet penetration and broadband access.  The study also reveals that LATAM will experience a dramatic increase of people going online – due in part to new infrastructure and computers becoming more accessible.  Furthermore, we can expect online advertising and shopping to grow as well.


6-18 year olds are connected in Latin America
Nov20
Posted By Felix Leander

A recent study by Telefonica and Universidad de Navarra mentioned that 95% of people between the age of 6-18 access the Internet on a regular basis (not to be confused with Internet penetration).  The study also said that 83% of the same age demographic (9-18)  has a mobile phone.  The sample consisted of 21,774 students from Argentina, Chile, Guatemala, Mexico, Colombia, Brazil, and Venezuela.

The most popular activities online are communication – particularly instant messaging followed by social networks.  And as far as mobile goes, texting is the most popular activity – not talking.  The complete report is available at the projects website (www.generacionesinteractivas.org) / PDF 4MBs (in Spanish).


So who owns the LATAM Social Network Space?
May23
Posted By Felix Leander

Sonico, think Facebook for Latin America – you may recall in a previous post, recently announced that they have passed the 15 million mark in registered users (content in Spanish) – keep in mind they have only been around for 9 months. In the beginning of 2008, the network had about 7.3 million registered users. These numbers are supported by a March 2008 ComScore report.

So it seems like they have surpassed Hi5, Orkut, and Facebook (LATAM registered users) and thus becoming reigning leaders in Latin America…

Mashable first reported on this and as a result were contacted by Hi5 to clarify – to which immediately a follow-up post was written. According to a more recent comScore report (April 2008) – Hi5 is clearly still the leader in overall traffic.

This does not take away from Sonico’s strong growth (or any other of the social networks in the region)…what I gather from all this is that Latin America is poised for a huge boom of online communities, conversations, opportunities, and yes, even challenges. And as internet penetration increases more and more, expect this phenomenon to out pace even Sonico’s growth.


Latins are Social
Apr26
Posted By Felix Leander

Offline the Latin culture is very warm and social – this seems to be translating online. According to Comscore and Analytics 2.0 the number of people creating profiles on social networks has increased by 103% from Jan 07 – Jan 08. The study included Argentina, Brazil, Chile, Colombia, and Mexico.

Some interesting figures:
• Orkut – 12.9 million (up 27% from 10.1 million in ‘07)
• Sonico – 7.3 million (Sonico launched during the second half of ‘07)
• hi5 – 4.2 million (up 72% from 2.2 million in Jan. ‘07)
• MySpace – around 3 million (13 million users in all markets analyzed)
• Facebook – 2.2 million (up 4,152% from the Jan. ‘07 count of 52,000)

Says Ramiro Prudencio, Managing Director at Burson-Marsteller:

“The growth of social networks in Latin America is extremely important for those of us who manage brands and issues. People are engaged, sharing information and shaping public opinion – especially younger internet users – through these networks. If practitioners and clients think they will drive successful and effective communications programs through traditional media alone, they will be missing a tremendous opportunity. Moreover, there is an opportunity to quickly apply what we’ve learned from working in the US and Europe over the past couple of years as social networks have taken off, and offer clients unique insight as to how things are likely to trend in Latin America.”


Super Sonico
Feb17
Posted By Felix Leander

Interesting post on TechCrunch about the Spanish language social site Sonico. Brief recap if you do not want to read full story:

- Social networked focused on LATAM
- Over 8 million users
- Ranks 167 on Alexa
- Recently launched Portuguese version
- Tremendous growth in last six months

Hi5 High in LATAM
Jan30
Posted By Felix Leander

It is likely that you have heard about the social network Hi5, then again maybe not. While it does not rank in the top 10 social networking sites in the US – it does rank very high in most Latin American countries (in some even as the top online destination). I am not sure if there is any real explanation for this, Google’s social site Orkut is a favorite in Brazil. Neither of these networks were specifically developed for the South American markets…they have just been “overtaken” by them.

I have a profile on both: my Hi5 network is made up of my friends I made in Venezuela and Bolivia while my Orkut network has all my Brazilian friends I met while working at Terra.com. A little secret – most of them are on Facebook too. The question is, will any one country or region for that matter take over Facebook. Honor Gunday, the founder of one the largest social networks in Turkey, Zurna, coined this possible phenomenon as Orkutization.

It is always worth while to check out which social sites are the most visited in your country – you may be surprised and find additional communication opportunities.


Correa is 2.0
Sep12
Posted By Felix Leander

Ecuador’s president, Rafael Correa, has just launched a blog, is on YouTube, and is sharing his photos on Flickr. His first post seems to be a transcript of the YouTube video and is a callout to all Ecuadorian internet users to actively participate in the building of the new constitution – ehem, wouldn’t that be the ultimate democracy (even though only 8% of the country is online).

The president and his cabinet definitely see the value in this channel and want to actively participate in the conversation (reach out to a younger, more connected, and skeptical audience), I am curious to see how much they will listen and how honest of an initiative this will be perceived as. In the last 10 years, Ecuador has gone through about nine presidents, of which some are currently not allowed back into their own country – warrants for their arrest (charged with corruption).

Last thought, I wonder who is really authoring the blog…

Do you think country leaders should be blogging? Why or why not?


Online Shopping Blues No More
Sep10
Posted By Felix Leander

I would say that online shopping has become second nature in the United States with $100 billion being spent in 2006. In other places around the world, such as Latin America, this is not the case. For one, cash is still king and postal services are not all that reliable – put these two together and you are likely not going to get many people buying things online.

During my time at Terra.com (I worked for the US Hispanic portal), the top reasons for not buying online were:

  • Did not have a credit card
  • Did not believe their package would be delivered
  • Security concerns about giving out information online (specifically credit card numbers)

As with most of my post on LATAM – things are changing. Mexico reported that $482 million were spent online in 2006, a 53% increase from the year before. Internet sales are expected to grow even more in 2007, estimated at about $765 million. Interestingly enough, 61% of all sales came from users in Mexico City. 60% was spent on the travel section and 34% on computers / electronics.

Online consumer confidence is definitely growing…


Catalyst for internet growth in Latin America
Aug23
Posted By Felix Leander

The Economist (August 18th – 24th issue) has an interesting article, “Adiós to poverty, hola to consumption”, about the rise of a new middle class in Latin America. There are several factors that are contributing to this, as per the article: “faster growth, low inflation, expanding credit and liberal trade.”

What caught my eye was that the sales of new cars, computers and consumer electronics are at record levels in Brazil and Mexico. The new discretionary income and spending habits are surely going to spurt the internet and broadband growth in the region. More and more people will spend time online. Currently there are a total of about 100 million people surfing the web in Central and South America according to Internet World Stats. And as more people are online, marketing money will begin to shift as well (see prior post) – not to mention the conversation in itself. Are you ready to listen?

On a side note, it was recently announced that the country with the most MSN Messenger users is…BRAZIL with 30.5 million IMers, which is about 77% of the Brazil’s online population…OMG!


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