local social summit 2013
DESCRIPTION
SME World TourTRANSCRIPT
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SME World Tour
By Faisal Laljee
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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
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Smartphone penetration is set to grow 150% by 2016 in these markets
eMarketer Global Media Intelligence Report 2012
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More than half the population in Latin America and Western Europe will be on Facebook by 2017
2011 2012 2013 2014 2015 2016 20170
50
100
150
200
250
300
12.8 16.4 18.3 20 21.3 22.6 23.8
25.6 28.3 29.9 31.4 32.2 33 33.616.7
20 22.1 23.6 24.9 25.9 26.928.1
46.5
6981.4
89.497.3
103.9
22
29.2
35.7
41.9
47.252.5
57.1
12.3
14.2
16.3
18.2
19.7
20.9
21.7
Facebook User Growth
Argentina
Mexico
Brazil
Germany
UK
Spain
Po
pu
lati
on
in m
illio
ns
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Search occupies 46% of the digital advertising market
IAB internet advertisingrevenue report – April 2013
Search
Display
Classifieds
Video
Mobile
Lead Gen
Rich Media
EmailSponsorship
These are US numbers but a good proxy for rest of the world
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A Digital SME Product strategy for LOCAL needs to consider the above growth trends in Mobile, Search and Facebook
Digital Strategy for SME
Mobile
Search
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These solutions should connect SME businesses with their customers across all platforms and devices
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And give SMEs an easy solution to navigate across an increasingly fragmented marketplace
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Customer Segment
Tailored Products
Channel Alignment
Market • 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
• Influenced by the US
• Very open but prefer business in Spanish
SME Attitudes • 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
Sales • Relationship based and F2F
• Referral and Relationship based
• Still relationship-based 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
Overcome the cultural differences