Total media ad spending in Latin America is expected to reach $36.97 billion in 2013, making it the region with the third-smallest outlays worldwide in that category. But it will register the second-fastest regional growth this year, expanding at a 7.5% rate, trailing only Eastern Europe, according to eMarketer estimates.

The new eMarketer forecast for Latin America has been adjusted to reflect a slightly lower gross domestic product (GDP) growth outlook for the region this year, as well as inflation and currency exchange fluctuations in some of its largest economies.

Argentina is expected to experience a 6.7% drop in dollars spent on total media advertising, as inflation and exchange rates erode gains in a struggling industry that sold a lower volume of ads in 2012.

Brazil and Mexico will lead Latin America for total ad expenditures, with spending reaching $20.21 billion and $4.58 billion, respectively, this year, according to eMarketer. Brazil, however, will be the undisputed engine throughout the forecast period. Hosting a flurry of world-class sports events starting this month and through mid-2016, ad spending growth in Brazil is expected to outpace every other country. By 2017, Brazil’s share of regional total ad spending will reach 56.8%.

Meanwhile, eMarketer estimates that advertising activity outside the top three economies in the region will counter the losses expected in Argentina this year and will lift the share of ad spending by other countries in Latin America to 22.6%.

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