Abracom’s annual survey showed that, in February this year, 30.2% of agencies had an increase of 5% to 15% in their revenues
Abracom (Brazilian Association of Communications Agencies) released the results of the Abracom Market Thermometer, an annual survey carried out to monitor the growth of the Brazilian corporate communications agency sector.
According to the report, 22.6% of agencies reported revenue growth above 15%. Furthermore, the Abracom survey carried out in February this year also showed that 30.2% of the agencies consulted recorded a significant increase of 5% to 15% in their revenues in 2023, while 13.2% achieved a more modest growth of up to 5%.
The data also showed that 34% of respondents reported stability in revenue compared to the previous year, while 23.1% suffered a reduction of up to 5%.
“The sector has become increasingly strategic, playing a relevant role in building the reputation and perception of brands among stakeholders, especially in a scenario of extreme complexity from a communication point of view that today relies on misinformation, intelligence artificial, with digital influencers, with the ESG agenda, among other transformations”, said Daniel Bruin, president of Abracom.
In the consolidated scenario of 2023, the survey revealed that profitability was higher for 50.9% of agencies compared to 2022, while 20.8% remained stable and 28.3% recorded a drop in profits. Of the respondents who experienced a decrease in profits, 41.2% of them reported Abracom a reduction greater than 10%.
In the survey carried out in January, 31% of the agencies interviewed reported revenue growth above 15%, while profitability had increased for 58% of them, with 30.3% of those interviewed reporting an increase in profit also above 15%, in comparison between 2021 and 2022. Furthermore, approximately 64% of agencies experienced an increase in revenue above 5% at the end of 2022.
The research also revealed the services, solutions and consultancies most sold by agencies in 2023, highlighting press relations (75%), social media management and digital communication (41 to 43%) and internal communication and strategic communication consultancy (26 %).
