According to Thiago Moreira, director of Telecom for Nielsen in Brazil, the purpose of the research was to determine how much advertising agencies in these three important Latin American markets knew about mobile marketing and what kinds of campaigns they typically undertook.  “What we learned is that while mobile marketing is just emerging as a marketing discipline in all three countries, it is taking on very different characteristics in each of these markets, with Brazilian agencies being the most active in mobile marketing.”

Brazil

• 83 percent of agencies in Brazil believe that mobile marketing is a channel that can be better exploited.
• 62 percent of the agencies surveyed in Brazil launched mobile marketing campaigns in 2010, a figure that is expected to increase to 87 percent in 2011.
• Most mobile marketing initiatives in Brazil use multimedia with games and music and video downloads, and for 2011, 50 percent of campaigns will reach iPhones users alone.

Argentina

• 65 percent of agencies in Argentina believe that mobile marketing is a channel that can be better exploited.
• 43 percent of Argentinean agencies will develop mobile marketing campaigns in 2011 aimed at iPhone users
• The most used content within mobile campaigns: Product information and alerts, sales and offers (30%), games (26%) and music and video downloads (21%).

Mexico

• 59 percent of agencies in Mexico believe that mobile marketing is a channel that can be better exploited.
• 41 percent of agencies in Mexico are expected to direct their mobile campaigns to iPhone users
• The most-used content within mobile campaigns: Product information, alerts, sales and offers (32%), music and video downloads (27%) and games (20%).

The survey found that 34% of respondents believe Brazil will take home the Cup, 25 percentage points more than any other country. Argentina, England, Germany, and, yes, the United States, all tied for second with each earning the nod from nine percent of the sample. Only six percent believe that defending world champion Italy will repeat in 2010.

Who Will Win the World Cup?

NOTE: Based on 27,664 survey responses from 55 countries across the world

A regional breakout of the survey’s results revealed greater insight into how different parts of the world see the tournament unfolding:

• Four of the five global regions polled by Nielsen favored Brazil. Not surprisingly, 57% of  the Latin American region – including 86% of all Brazilians – were confident that the Green and Yellow will win it all.
• The one global region that didn’t pick Brazil? North America. Instead, 46% of the region – including 50% of U.S.-based respondents – displayed patriotic optimism by saying that the Stars and Stripes will win its first-ever World Cup. Only four percent of the rest of the world said they liked USA’s chances of winning.
• Within the European region, more people favor Spain (15%) than either Germany (14%) or England (10%). The latter two countries tied for second ahead of Spain in the worldwide survey.

Nielsen’s global survey polled 27,000 consumers in 55 countries on topics related to the World Cup. The survey found that while 34% of people around the world consider themselves soccer fans, an estimated 51% said they will be following the games in South Africa.

In Latin America, Nielsen reports sales of mobile phones have had a noteworthy increase in the last years, even though they are starting to have a diminution in the growth rate. Comparing the first quarter of 2009 against the same period of 2008, the sales rate has slowed down to 12%.

Countries such as Mexico and Brazil—where the density of devices per inhabitant is still smaller than that of the regional average—prompted sales with double digit unit gains of 20% and 16% respectively. Corresponding U.S. dollar sales rates were more modest, at 3% for Mexico and 6% for Brazil. Together, given their relative size, mobile device sales in these two countries offset the combined unit sales losses unilaterally in Argentina, Chile, Colombia and Venezuela.

Considering the market size in the region, if each mobile phone owner has at least one line, it is estimated that there are 460 million active lines in Latin America. This represents an important new growth channel and significant opportunities for the Telecom industry. It is estimated that in the next few years, sales of Smartphones will continue to increase, giving rise to the growth of the Value Added Services (VAS) penetration.

Like their North American counterparts, Latin Americans were interested in mobile phone features. In the last year, handsets sold in the region included camera (61%), radio (55%) and MP3 player (35%). All of these features showed considerable growth when compared to the previous year.

Motivating factors
An in-depth segmentation analysis in Brazil was conducted to understand what cell phone users in the region were looking for—convergence, greater connectivity, more entertainment or features. Four distinct segments of cell phone consumers were identified: 16% of Brazilian subscribers use only voice features, 28% use voice and SMS capabilities, 37% use features offline (such as; camera, MP3 player, etc.) and finally, 19% use value-added services, which include Internet access, ringtone downloads, etc.

Value-added service users accrue greater expenses—bills are typically 20% more than the average voice-only mobile user’s tab. These consumers tend to be younger (almost two-thirds are under age 34) and 40% reside in more affluent socio-economic levels, which makes the middle class an important market opportunity for expansion.

In Brazil, the VAS consumers are using the device as a downloader tool, when going online.

Understanding the particular segmentations in each market becomes crucial in order to reach the consumer with the most appropriate offer. This kind of analysis provides a more complete and insightful look into subscribers to understand motivations that drive the decision-making process.

While 53% of those surveyed by Nielsen think their country has hit a prolonged recession that will last more than 12 months, 18% of consumers, concentrated in a handful of emerging markets, like India, Vietnam, China, and Russia, told Nielsen they expect their countries to be out of recession within the next 12 months.

In contrast, consumers in Japan, Germany, Argentina, Mexico, Turkey, Italy, Taiwan, the U.S., and Spain were the least optimistic about the prospects for quick economic recovery.

Nielsen surveyed 28,663 Internet users in 52 markets across Europe, Asia Pacific, the Americas, and the Middle East between September 22 and October 6, 2008, as part of its Global Online Consumer Survey.

The survey’s results reveal that global consumer confidence fell to a new low this month, dropping from an index of 88 in May 2008 – previously the lowest index on record – to 84 in October, according to Nielsen.  Only Brazil, the Philippines, New Zealand, China, Thailand, South Africa, and Hungary showed improved consumer confidence, compared with May 2008.

Not surprisingly, consumers worldwide are adopting new strategies to reduce discretionary spending and shore up household finances.
 
On average, 49% of global consumers plan to spend less on new clothing, as well as gas and electricity, according to Nielsen. 

Meanwhile, 47% report reducing out-of-home entertainment, 40% say they’ll delay upgrading to new PCs and mobile phones, and 39% will cut down on take-away meals from restaurants. 

Even necessities, like groceries, are on the chopping block — 36% of global consumers report switching to cheaper grocery brands in order to reduce their expenses.

Overall, consumers in Australia, New Zealand, Germany, the U.K., Turkey, the U.S., Colombia, and Argentina plan to make the most changes in their spending habits, as they search for ways to weather the current economic turmoil.

View the full press release.

Read a related press release on consumer confidence in Hong Kong and Great Britain.

Read coverage of Nielsen’s findings by Sky News and in the Shanghai Daily, the Business Standard (India), Forbes, the Financial Times, The China Post, the Thanh Nien Daily, and the Malaysia Star.

Learn more about global consumer confidence levels in the December 2008 issue of Nielsen’s “Consumer Insight” online newsletter.