Executives Carol Escorel, from WMcCann; José Lopes, from AlmapBBDO; and Marcia Esteves, from Lew’Lara\TBWA, celebrate new business deals
There is a recovery in sight at the end of the tunnel. Data from the Cenp-Meios survey show that the advertising market grew by 23%, based on effective purchases in media channels, equivalent to revenue recorded in the IPs, the basis for the institute’s analysis, of R$4.5 billion. In the same period last year, the accumulated revenue was R$3.7 billion. Okay, this year, 317 advertising agencies were registered, compared to 299 in 2023. Cenp considered the financial growth of the segment a surprise. And the market is awaiting the second-quarter data to see how consistent the increase in business is. Brazil has positive factors in the macroeconomy, especially agriculture, which was responsible for the 0.1% impact on growth in January this year compared to December, according to the FGV-GDP Monitor.
“Investments and industry are expected to improve in 2024, although this has not yet been observed in the first month of the year. This is justified by the expectation of continued reductions in interest rates throughout 2024. Although the monetary easing cycle began in mid-2023, there is a certain delay in the impact of its effects on economic activity, which explains the persistence of negative results in segments more susceptible to the effects of monetary policy at the beginning of the year,” explains Juliana Trece, coordinator of the research published on the FGV Ibre portal.
Advertising is moving in parallel with the scenario as a fundamental accessory to accelerate sales and add value to the intangible spectrum of brands. Different agencies show what contributed to the positive performance in the first half of the year. “We had the consolidation of our work for clients who arrived at the end of last year, in addition to the growth in investment of some clients who were already with us. This explains the growth of more than double in relation to the first half of last year. Almost 50% of the revenue forecast for the year occurred and the planned campaigns also went live”, explains Mario D’Andrea, CEO of D’OM, who continues:
“We have acquired another product from Eurofarma (owner of the Valda brand, which we began to supply at the end of last year). And we have started to supply the truck tire segment of Continental – which has just launched the first major campaign in its history. The beginning of the year showed a government seeking a more balanced economic policy – which helped companies feel safer and more confident about investing. This feeling, however, has been fading with unproductive political discussions and the postponement of decisions that are fundamental to the country’s economic health.”
Productivity
Trade analysis reiterates the increase in the volume of work to obtain results. This is the opinion of José Lopes, CGO (chief growth officer) of AlmapBBDO. “And this constant focus on work has been bringing great results. There was the arrival of OLX and the effective start with Accor. New accounts. But also the expansion of our work with clients. New scopes in fronts such as martech and data integration, design and rebranding projects, in addition to work for live marketing and trade. This diversification did not distance Almap from its core, ideas. And it enabled the generation of new and important revenues. If locally we have seen growing fear regarding the fiscal plan and its developments, globally the winds are blowing favorable, with a scenario of interest rate reduction and falling inflation, which is excellent. Some brands review their strategies, others intensify. Good partnerships are strengthened in moments like these. And new ones emerge, in this search for excellence. It is an extremely positive moment. Speaking of work, this first half of the year has been rewarding. We had O Boticário’s Mother’s Day, which had a fantastic impact; Volkswagen Taos & Mulher Maravilha; the Trucker-Napp by Volkswagen Caminhões and Livelo, which was awarded in Cannes (with two of the 16 Almap Lions in 2024, at a festival where we also won the historic Grand Prix in Music), in addition to being recognized as the most effective agency in the world. That’s no small feat.”
Read the full article in the edition of propmark July 29, 2024
(Credit: Photo by Radek Grzybowski on Unsplash)
