SME World Tour - Field Report from Outside of the UK & USA Faisal Laljee, Global Head of SME Advertising Products, Telefonica Digital

1. SME World
Tour
By Faisal Laljee
1

2. Digital Ad Spend in Europe and Western Europe will approach
$50B by 2016 with Mobile Ad Spending close to $7B
eMarketer Global Media Intelligence Report 2012
2

3. Smartphone penetration is set to grow 150% by
2016 in these markets
eMarketer Global Media Intelligence Report 2012
3

4. More than half the population in Latin America and Western
Europe will be on Facebook by 2017
Facebook User Growth
21.7
20.9
19.7
18.2
16.3
14.2
22
25.6
12.8
41.9
89.4
81.4
97.3
103.9
69
46.5
24.9
25.9
20
23.6
26.9
22.1
28.3
29.9
31.4
32.2
33
33.6
16.4
18.3
20
21.3
22.6
23.8
28.1
16.7
47.2
35.7
29.2
12.3
57.1
52.5
4
Argentina
Mexico
Brazil
Germany
UK
Spain

5. Search occupies 46% of the digital advertising market
Rich Media
Sponsorship
Email
Lead Gen
Video
Search
Mobile
Classifieds
These are US numbers
but a good proxy for rest
of the world
Display
IAB internet advertising
revenue report – April 2013
5

6. A Digital SME Product strategy for LOCAL needs to consider
the above growth trends in Mobile, Search and Facebook
Search
Faceboo
k
Mobile
Digital
Strate
gy for
SME
6

7. These solutions should connect SME businesses with their
customers across all platforms and devices
7

8. And give SMEs an easy solution to navigate
across an increasingly fragmented marketplace
8

9. Customer Segment
9

10. Tailored Products

11. Channel Alignment

12. Market
•
•
•
•
SME Attitudes
•
Protectionist
•
General lack of trust
Need a local partner
•
to navigate
•
Yet to mature
Different continent
mainly due to
language
Yet to mature
Innovative and
collaborative
•
No money but
willing to try for free
Willing to pay for the
right product
Lots of players
overwhelming them
•
Closer to the US
than rest of Latin
America and parts
of Europe
•
•
•
Influenced by the
US
Very open but
prefer business in
Spanish
Sales
•
Relationship based
and F2F
•
Referral and
Relationship based
•
Still relationshipbased but not as
much
Product
•
Simple product
focused on value
No frills
•
Room for some
value-added features
and “cool” factor
•
Very familiar with
complex products
•

13. Overcome the cultural differences

14. @faljee
faljee@gmail.com