At $38.12 billion, Latin America will have the third-smallest total media ad expenditure tally this year, higher than only Eastern Europe and the Middle East and Africa, according to eMarketer. But while overall spending is relatively low compared to other regions, Latin America will experience the fastest total media ad spending growth among all of the regions included in eMarketer’s forecast through 2016.
Latin America’s growth came in at 11% in 2012, and will remain in the double digits through next year. Still, Latin America will not come close to nearing the ad spend totals of North America, Asia-Pacific or Western Europe throughout the forecast period. At $51.33 billion, eMarketer expects Latin America will account for well under half of Western Europe’s total in 2016, the region with the next highest ad spending.
Argentina, the fastest-growing country in Latin America, according to eMarketer, expanded by a considerable 20% last year, nearly twice the regional 11% pace. In 2013, Argentina is expected to overtake Mexico to become the No. 2 country in ad spending regionally.
But Brazil, the sixth-largest economy in the world, will remain far ahead of all other countries in Latin America in total media ad spending at $20.41 billion this year, a 53.6% share of the Latin American total. Despite its already dominant position, in 2016, the Olympics will boost ad spending in Brazil even further, and ad spending in the country will grow faster than in Argentina or Mexico.
Overall, Latin America’s economies have been less affected by the economic problems that have recently hindered growth in North America and Western Europe. By 2016, Latin America will take an 8.2% share of total ad spending worldwide.