Argentina is one of the most mature mobile markets in Latin America. According to GSMA Intelligence over 90% of its population has at least one mobile line, a higher proportion than Europe’s 85%, the US’s 80%, and the region’s average of 68%. If we take connections, rather than connected people, in account, penetration rate in this market rises to 141%, meaning there are 1.41 active lines per person in the country. In 2015, however, only 40% of these connections were attached to smartphones, and barely 5% (3 million consumers) had access to 4G connections.
But while, as on every saturated market, the number of mobile subscribers has little room to grow, mobile broadband connections are taking off really fast as, according to eMarketer, they will grow in double digits for the next five years. By 2020, 71% of the mobile phones in the country are expected to be smartphones, and 23 million people will be connected to a 4G LTE network.
This widening base of connected users represents a big opportunity for advertisers, who can now reach consumers at the palm of their hands. And many, in fact, are. A survey conducted by eMarketer has shown that since 2015 Argentina has become the fastest growing mobile advertising market in the world, growing up to 10% faster than Indonesia, which came up second. In 2016, advertisers in the country are expected to spend $170.1 million dollars on mobile ads, a whole 200% more than in 2015. In 2017, that number is projected to grow to $340.1 million, and in 2018 to $612.2 million. In contrast, spending in digital media as a whole is growing at a yearly average of 30% in the country.
Mobile is the Main Platform to Access the Web
This impressive growth of mobile is related to its increasing importance as a means to interact with the web. In fact, while in 2013 this platform accounted for only 2.6% of all the digital advertising spending, in 2016 21.7 cents for every dollar spent on online ads, are going to mobile. By 2018, it will be 47.6 cents.
And this makes sense. Mobile connections are popularizing access to the web, and smartphones are becoming the only way many segments of the population use to access the Internet. But even people who have fixed broadband connections at their homes and offices, rely on their phones to do all kinds of activities. According to a Google Argentina report, reproduced by the news site iProfesional (in Spanish), Argentines check their smartphones an average of 220 times a day, 95% of people use them to access search engines, 65% to look for directions, and 45% look for the name and address of a local business at least once a week. Additionally, 70% use their phones to research products, and 57% to discover new brands.
For all these reasons mobile advertising poses amazing opportunities. And advertisers are realizing it, as we have too observed through the users of HarrenMobile, Harrenmedia’s mobile advertising platform. If you wish to reach your users at the right time, and in the right place, mobile is the best way to get to them.