Main sociodemographic studies in Mexico and Internet advertising

investment

Octavio Islas

Introduction

In the first section I refer to the main studies on Internet

sociodemographic in Mexico: the Study of Habits of Internet users in

Mexico by the Mexican Internet Association (AMIPCI), The 2012 study of

habits and perceptions of Mexicans over the Internet and various

associated technologies, by World Internet Project Mexico (WIP Mexico) and

the Household Survey on Availability and Use of Information Technology,

conducted by the National Institute of Statistics and Geography (INEGI).

I highlight some of the main methodological differences and proceed to

compare and analyze some of the main results yielded by the respective

recent editions of these studies.

In the second section, based on the seventh edition of Study of

Advertising Investment on Internet in Mexico1 by the Interactive

Advertising Bureau (IAB Mexico)2, I point out Internet’s advertising

weight in Mexico. As well as in a large of number of nations, Internet

based advertisement investment in Mexico has reported a steady increase

in recent years. The above study reveals that Internet advertising

spending in Mexico has tripled in the past five years. In 2012, 6,397

1 Cf. iab/México, 2013.2 The Interactive Advertising Bureau is the leading global bodyrepresenting the interactive advertising industry. It is a non-profitassociation founded in 1996 in the United States. Has a current presencein 30 countries. IAB Mexico has more than 170 member companies, among:Carat Digital, comScore, Google, Group M, Grupo Editorial Expansión,Grupo Ferrer, Havas Media, Media Response Group / Channel Mail, MillwardBrown, Ogilvy, Orange, Prodigy MSN, Fox, Televisa.com, Terra and Yahoo!.The Mexican edition of IAB opened in February 2005.

million dollars were invested in Internet advertising, representing 38

percent growth over the investment in 2011.

Arguably, the information reported major sociodemographic Internet

research supports an eminently Mexico strategic advertising and

commercial industry in Mexico’s Internet.

The main sociodemographic Internet investigations Mexico

The first study on habits of Internet users in Mexico was conducted by

the Mexican Association of Advertising and Trading Industry on the

Internet (AMIPCI), today Mexican Internet Association, in 2000, with the

title ‘First Study of Habits and Trends in Mexican Netizens’. The

research was conducted by the firm Greenfield Online and according to

David Fierro Villavicencio then head of the Marketing Committee AMIPCI:

The Market Research Committee of the Mexican InternetAssociation (AMIPCI) launched, in 2000, the firstresearch on the habits of Internet users in Mexico. Sucheffort represents the beginning of a regular commitment,which will allow us to identify attractive areas ofopportunity for the development of electronic commercein our country [...]. (Islas et al., 2002: 47)

Thirteen years later, the main studies that report demographic

information on Internet in Mexico are: The study habits of Internet users

in Mexico by the Mexican Internet Association (AMIPCI), The study of

perceptions and habits of Mexicans over the Internet and various

associated technologies, by the World Internet Project (WIP Mexico) and

the Household Survey on Availability and Use of Information Technology,

conducted by the National Institute of Statistics and Geography (INEGI).

The study of AMIPCI –formerly called the Mexican Association of

Advertising and Commercial Industry on Internet- is held annually since

2000, except for 2001, 2002 and 2011.3 The WIP Mexico is part of the World

Internet Project network, driven by Dr. Jeffrey Cole at the Center for

the Digital Future Study at the University of Southern California in

Annenberg, and performs its annual study since 2009. INEGI –formerly

called the National Institute of Statistics, Geography and Computing, now

the National Institute of Statistics and Geography- collects the

information on the use of information technologies in Mexican families

since 1992, and every two years in the Household Survey on Availability

and Use of Information Technology since 2005. The results of the recent

survey were released in August 2012, with information that was collected

during May 2011.4

i. About the recent editions of the main Internet sociodemographics

studies in Mexico

Study of the habits of Internet users in Mexico 2013, AMIPCI.

On 17 May, the date designated by the UN as ‘International Day of

Telecommunications and Information Society’ –or the ‘Internet Day’ as the

Mexican Association of Internet insists to designate it- the AMIPCI

3 The title of AMIPCI’s first study on habits of Internet users in Mexicowas ‘First Study of Habits and Trends in Mexican Netizens’. The firmGreenfield Online conducted this research. According to David FierroVillavicencio, responsible for the Marketing Committee of the AMIPCI atthat time: “The Market Research Committee of the Mexican InternetAssociation (AMIPCI) launched, in 2000, the first research on the habitsof netizens in Mexico. This effort represents the beginning of a regularcommitment that will allow us to identify attractive areas of opportunityfor the development of electronic commerce in our country” [...]. (Islaset al., 2002: 47)

4 Studies conducted by the WIP Mexico and AMIPCI report generalinformation about social media. However, the main studies on the use ofsocial media in Mexico are performed by the Interactive AdvertisingBureau (IAB Mexico).

released the results thrown by its ninth annual survey of the habits of

Internet users in Mexico. Regarding its methodology, its executive

summary states:

The calculation of the universes was done using amethodology designed by the AMIPCI, which includesstatistical data from various sources, some of them are:The National Council of Population (CONAPO). TheNational Institute of Statistics and Geography (INEGI).The Commission of Federal Telecommunications (Cofetel).The On-line Research Department of Elogia [...].5

The following were considered as units of analysis in AMIPCI’s most

recent study: historical Internet users in Mexico 2006-2012, users

profile, gender, age, socioeconomic status, how long have they been

Internet users, how did they become users, their Internet connection,

connection spots, connection devices, connection days, average weekly

Internet connection, main activities of the Internet, online general

activities, job related activities, entertainment, kind of advertising

viewed, advertising sites, resulting purchases of Internet advertising to

which they have been exposed, social media, social in which they are

enrolled in, reasons for not being enrolled in social media, how long

have they been part of a specific social network, opinion on social

network advertising, brand following on social media, reasons to follow

brands on social media, kind of advertising on social media,

participation on Facebook, shares on YouTube, shares on Twitter. Unlike

AMIPCI’s study presented in 2012, in which was actually stated number of

5 For more reference cf. AMIPCI’s 2012 Study of habits and perceptions of Mexicansover the Internet and various associated technologies. Mexico. Cf. Asociación Mexicanade Internet (AMIPCI), n.d. Asociación Mexicana de Internet (AMIPCI),(n.d.). Front page. [Online], available: http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013

the people who were surveyed, the abstract of the AMIPCI’s most recent

study does not indicate the number of people who were surveyed.

The 2012 study of perceptions and habits of Mexicans over the Internet

and various associated technologies. WIP-Mexico.

On October 24, 2012, some of the researchers who participated in the

World Internet Project-Mexico presented the results of The 2012 study of

perceptions and habits of Mexicans over the Internet and various

associated technologies. As well as in the three previous years61, the

study was developed from the methodological guidelines established by the

World Internet Project.7 Our study included each of the 31 states of

Mexico and the Federal District. The fieldwork was conducted during the

months of June and July 2012, and information processing took place in

the month of August. To establish our sample population we considered the

recent sociodemographic baseline data published by INEGI. Socioeconomic

status was determined based on the ‘filter AMAI’ (Mexican Association of

Research), keeping track of the sample by level, according to the

6 The World Internet Project (WIP) is an initiative of Dr. Jeffrey Cole,a prominent academic and researcher, director of the Center for the Studyof the Digital Future at the Annenberg School for Communication,University of Southern California, United States. In that recognizedfaculty are also working Henry Jenkins and Manuel Castells. There arecurrently over 39 teams of researchers involved, located in 37 countrieson five continents. The first WIP-Mexico study, conducted by theTechnologic Monterrey’s Internet Project team, Campus Estado de Mexico,was released in 2009.

7 The World Internet Project (WIP) is an initiative of Dr. Jeffrey Cole,a prominent academic and researcher, who is the current director of theCenter for the Digital Future Study at the Annenberg School forCommunication in the University of Southern California, United States (inwhich work Henry Jenkins and Manuel Castells, among other prominentresearchers). There are currently involved over 34 teams of researchers,located in more than 30 countries on five continents. For moreinformation, cf.: World Internet Project, n.d.

proportions in the universe. All socioeconomic levels were considered,

except the standard ‘E’, which corresponds to people in extreme poverty.

The target audience comprised men and women of all ages and 2,000

interviews were applied to users and non-Internet users, for which we

made 37,000 phone calls, equivalent to 80.000 minutes of airtime. The

standard error of the total sample studied -considering the universe as

infinite, with a confidence interval of 95% and giving the probability

that the event occurs or not in their highest values (50% and 50%)- was

of + 2.21 percent.

In the study conducted by the WIP Mexico in 2012 the following units

of analysis were considered: total Internet users in Mexico, population

penetration, age, gender, socioeconomic level, spots and average Internet

usage, Internet impact upon family relationships, main habits of Internet

users, the importance of media to remain informed, media coexistence,

confidence level of users, online shopping, regular purchases for mobile

devices, reasons for following brands on social media, main reasons for

those who do not use the Internet, the Internet and the presidential

elections of 2012 and Internet in politics.

Statistics on availability and usage of information technologies and

communication in households, 2011: INEGI.

On August 2012, INEGI released the results of their recent edition of the

study Statistics on availability and usage of information technologies

and communication in households. Regarding it’s the methodology, the

INEGI document states:

On the understanding that the probability sampling is aprocedure by which it is possible to infer information aboutan entire population based on the study of a part of it, wecan state the following: The sampling frame used for thesurvey is the National Framework Housing 2002 INEGI, builtfrom the cartographic and demographic of the XII GeneralCensus of Population and Housing 2000. The sample size can

provide estimates at the state and was calculated from thepoint of view of the most demanding indicator in terms ofsample size: computer users at home. This ensures that theestimates of the other variables of interest are covered withthe calculated sample size. It should be emphasized thatalthough the interviews were conducted in the homes of manyof the towns in the country, the results provided arerepresentative only in a state level, so any inferences onother geographical territories should be avoided. The unit ofselection is the private home and the units of analysis arehouseholds and people in them. The design is probabilistic,since each element of the universe has a known probability ofinclusion and different from zero. When the mathematicalprobability of an item to be included in the sample is known,it is possible to determine the proportion of households thatit represents, therefore, it is possible to infer that theresults are representative of the total population. The typeof sample used in this survey is two-staged, stratified,cluster [...] Under these design criteria, in 2011 the finalsample size was 38 338 dwellings to be interviewed,distributed in 32 states [...] The sampling scheme provides a90% confidence, a sampling error of 8.6% and an advance rateof 15% non-response. (INEGI, 2011)

ii. Main methodological differences among the studies

The differences among the results thrown by these studies is mainly due

to the methodology used, the instrument used in the study and the date on

which the information was collected. AMIPCI’s study is the result of the

analysis of various sources of information (CONAPO, INEGI, Cofetel).

Furthermore, the company ELOGIA applies a survey on Internet. Non-

Internet users are not considered/surveyed in AMIPCI’s study aside form

the fact that there is no information about Internet users under 6 years

old.

Regarding The study of perceptions and habits of Mexicans over the

Internet and various associated technologies, performed by the World

Internet Project Mexico, this study follows carefully the methodological

guidelines of the World Internet Project, organization in which more than

40 research centers around the world dedicated to the analysis of the

impact of the Internet and its associated technologies. In the specific

case of Mexico, telephone surveys were applied to more than 2,000 people

in cities of over 20,000 inhabitants within the 32 states, based on data

from INEGI. In the 2012 study, the fieldwork was performed in June and

July 2012, and the processing and analysis of information during the

month of August. In our research we include users and non-Internet users,

and through indirect questions to get respondents to gather information

on Internet users under 6.

In the case of the Household Survey on Availability and Use of

Information Technology, conducted by the National Institute of Statistics

and Geography (INEGI), it is important to highlight that its most recent

version was performed on May 2011. This study considers only as Internet

users people above 6 years old and who have also performed some activity

on the Internet within the last twelve months. On 2011 the sample size

was 38,338 dwellings to be interviewed, distributed in 32 states of the

country. This is important for it highlights the importance of

considering the main reasons of why people is not accessing to the

Internet. Note that although the results were publicly presented on

August 2012, the information was from May 2011, as shown in the

methodological report.

iii. Results of studies on Internet in Mexico in 2012

Total Internet users in Mexico

In its recent study AMIPCI estimated 45.1 million Internet users in

Mexico. However, in the recent study of WIP-Mexico 52.3 million users

were estimated. The difference between the total amount of Internet users

reported in both studies is considerable: 7.2 million. In the Household

Survey on Availability and Use of Information Technologies, 37.6 million

were estimated- with information from 2011, although the results of that

investigation were released on August 2012. The Internet World Stats, one

of the most authorized sources of statistical information on the Internet

in the world, estimated 42 million Internet users in Mexico, on June

2012.

Table 1. Total Internet users in Mexico

Study Total (million users)AMIPCI 44.1 (May, 2013)WIP Mexico 52.3 (October, 2012)INEGI 37.6 (August, 2012)Internet World Stats 42.0 (June, 2012)

Sources: AMIPCI Study of Habits and perceptions of Mexicans over theInternet and various technologies associated, 2013, Available:http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013).World Internet Project México, The 2012 study of perceptions and habitsof Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013). INEGI (2011)Household Survey on Availability and Use of Information Technology.Internet World Stats. Internet Usage Statistics. The Internet BigPicture. World Internet Users and Population Stats. Available:http://www.inegi.org.mx/prod_serv/contenidos/espanol/bvinegi/productos/encuestas/especiales/endutih/ENDUTIH2011.pdf [Accessed 28 September2013].

Only the study performed by WIP-Mexico considers the necessity of

knowing the arguments of non-Internet users:

Table 2. Why aren’t they Internet users?

StudyDon’t know how to use it 41%They do not care 32%Don’t have a computer 29%No Internet access 26%It is very expensive 18%No time 17%Other reasons 2%

Source: World Internet Project Mexico. The 2012 study of perceptions andhabits of Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013).

According to the results thrown by our recent study, the highest

percentage of non-Internet users who do have the financial resources to

hire an Internet access but have not yet hired it is because they were

not interested. Given the large socioeconomic constraints of most of our

population, we might suppose that the main argument of non-users with

financial possibilities to hire an Internet access plan would be the cost

(Internet access can be expensive). However, despite the high costs of

Internet access in Mexico, the main argument of non-Internet users was

not economic, it's indifference. Non-Internet users simply do not

perceive any significant benefits of becoming users.

Gender

The first AMIPCI study, performed on 2000, identified the existence of a

clear gender digital division on Internet access (70 percent male and 30

percent female).8 Fortunately, recent studies performed by AMIPCI, WIP

Mexico and INEGI show that the number of female Internet users has

significantly increased in recent years. It seems realistic to assume

that in the upcoming years the gender distribution of Internet users in

Mexico will simply reflect how our population is formed.

Table 3. Distribution by gender of Internet users in Mexico

AMIPCI WIP Mexico INEGI

Men percentage 50.8 51 50.4Womenpercentage

49.2 49 49.6

Total 100 100 100

Sources: AMIPCI Study of Habits and perceptions of Mexicans over theInternet and various technologies associated, 2013, Available:8 Cf. AMIPC, 2000.

http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013).World Internet Project México, The 2012 study of perceptions and habitsof Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013). INEGI (2011)Household Survey on Availability and Use of Information Technology.Internet World Stats. Internet Usage Statistics. The Internet BigPicture. World Internet Users and Population Stats. Available:http://www.inegi.org.mx/prod_serv/contenidos/espanol/bvinegi/productos/encuestas/especiales/endutih/ENDUTIH2011.pdf [Accessed 28 September2013].

Age

Despite the differences among the age ranges considered in the referred

studies,9 it is possible to note that most Internet users in Mexico are

young. It is worth noting that in the range of less than four years it

was possible to estimate 900 000 Internet users. However in older adults

some stagnation is perceived.

Table 4. Distribution by age of Internet users in Mexico

AMIPCI WIP Mexico (millionusers)

INEGI

4 years old andyounger: 0.9

6-11 yearsold (11.5%)

4-11 years old: 6.5 6-11 years old (14.6% men & 11.4%women)

12-17 yearsold (22.4%)

12-18 years old: 12.2 12-17 years old (24.7% men & 35.6women)

18-24 (21.1%) 19-25 years old: 10.7 18-24 years old (20% men & 21.5%women)

25-34 (19.1%) 26-32 years old: 7.8 25-34 years old (16.9 men & 17.5women)

35-44 (12.2%) 33-39 years old: 5.4 35-44 years old (12.4% men & 12.5%women)

9 AMIPCI uses INEGI’s age ranges for its survey but throws relativepercentages; WIP Mexico provides information on children under 6 years,considers different age ranges and provides absolute numbers.

45-54 (9.9%) 40-46 years old: 3.8 45-54 years old (7.5% men &7.7%women)

55 and older(3.9%)

47-53 years old: 2.8 55 years old (3.9% men & 3.3percent women)

54-70 years old: 1.770 years old and older:0.12

Sources: AMIPCI Study of Habits and perceptions of Mexicans over theInternet and various technologies associated, 2013, Available:http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013).World Internet Project México, The 2012 study of perceptions and habitsof Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013). INEGI (2011)Household Survey on Availability and Use of Information Technology.Internet World Stats. Internet Usage Statistics. The Internet BigPicture. World Internet Users and Population Stats. Available:http://www.inegi.org.mx/prod_serv/contenidos/espanol/bvinegi/productos/encuestas/especiales/endutih/ENDUTIH2011.pdf [Accessed 28 September2013].

Socioeconomic level of Internet users in Mexico

The Association of Market Research Agencies (AMAI), through Heriberto

Lopez Romo, leading researcher, defined the criteria for evaluating

socioeconomic levels based on a structured set of variables (Romo, 2009).

The so-called ‘MAI filter’ is accepted as a standard by the specialized

industry. However, as we will see in the following table, both WIP Mexico

and AMIPCI differ significantly in their employment in their respective

studies.

In the study conducted by INEGI the criteria defined by the AMAI is

not applied and it does not provides specific information on the

socioeconomic status of Internet users in Mexico. However, it is possible

to assume that a socioeconomic digital division remains in the country.

We must remember that the Internet connection fees are the highest among

the OECD countries.

Table 5. Socioeconomic levels of Internet users in Mexico

AMIPCI WIP MexicoAB+ 15.4%

A, B y C+ 33% 17.4millions

B 35.4%C

41.2%C 23%

12.2 millionsD/E 8%

D+, D 44% 22.7 millions

Sources: AMIPCI Study of Habits and perceptions of Mexicans over theInternet and various technologies associated, 2013, Available:http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013).World Internet Project México, The 2012 study of perceptions and habitsof Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013).

Internet Connection Spots

In the study conducted by the AMIPCI, the priority was to identify which

were the most used spots by users in Mexico to establish Internet

connections. In the study conducted by WIP-Mexico, in addition to

recognizing the possible spots of Internet connection, the total hours

spent per week was also estimated. We must emphasize that the use of

mobile devices (phones, players, tablets) diffuses the borders between

areas of usage, promoting the ubiquity or always on (at any place at any

time).

Table 6. Internet Connection Spots

Spot AMIPCI(relativepercentage)

WIP-Mexico(Hours per week)

INEGI (Percentageof computer andInternet users by

access)Home 32.4% 18.8 49.2%Job 21.4% 25.6 18.5%

Any place(mobiledevices)

17% 22.4 N/R

Cybercafe 9.4% 3.6 N/RSchool 7.2% 7.4 11.0%Public spots 12.5% N/R 37.4%Others .1% N/R 5.6%N / R not reported.

Sources: AMIPCI Study of Habits and perceptions of Mexicans over theInternet and various technologies associated, 2013, Available:http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013).World Internet Project México, The 2012 study of perceptions and habitsof Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013). INEGI (2011)Household Survey on Availability and Use of Information Technology.Internet World Stats. Internet Usage Statistics. The Internet BigPicture. World Internet Users and Population Stats. Available:http://www.inegi.org.mx/prod_serv/contenidos/espanol/bvinegi/productos/encuestas/especiales/endutih/ENDUTIH2011.pdf [Accessed 28 September2013].

Main activities on the Internet

Both WIP Mexico and AMIPCI studies agree to place the e-mail as the main

activity of Internet users in Mexico. They also agree in recognizing

social media as the second main activity of users in the country. While

AMIPCI’s study omitted to ask about the participation in forums and

Internet telephony, WIP-Mexico study omitted to consider certain

practices, such as searching for information, online bank transactions,

online shopping and the access and maintenance of websites.

Definitely, e-mail has been losing ground to newer communication

practices. Currently the use of email is most often associated with older

people (32 and older), whereas social media are more popular among

younger users. The significant increase observed in Internet telephony

affects the observed behavior among companies dedicated to telephony

services, which have eliminated unlimited Internet plans.

Table 7. Main activities on the Internet

Activity AMIPCI WIP-Mexico(Hours perweek)

INEGI

Send or receive emails 87% 87% N/RSocial media access 81.6% 86% N/RInformation quests 83.9% N/R 61.9%Instant messaging 61.3% 64% N/ROnline bank operations 33.4% N/R 2.4%Online shopping 37.4% N/R 5.1%Search for job 19.5% N/R N/RAccessing/maintaining websites 16.8% N/R N/RAccessing/creating or maintainblogs

16.4% N/R N/R

Blogs Activities N/R 41% N/ROnline dating 8.2% N/R N/RChatting on forums N/R 43% N/RInternet telephony N/R 41% N/RTo communicate N/R N/R 60.9%To support education ortraining

N/R N/R 31.6%

Entertainment N/R N/R 28.3%Adult sites 15.1% N/R 28.3%Online Banking N/R N/R 2.4%Interact with government N/R N/R 1.3%Other activities 11.8% N/R 1.3%N / R not reported.

Sources: AMIPCI Study of Habits and perceptions of Mexicans over theInternet and various technologies associated, 2013, Available:http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013).World Internet Project México, The 2012 study of perceptions and habitsof Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013). INEGI (2011)Household Survey on Availability and Use of Information Technology.Internet World Stats. Internet Usage Statistics. The Internet BigPicture. World Internet Users and Population Stats. Available:http://www.inegi.org.mx/prod_serv/contenidos/espanol/bvinegi/productos/encuestas/especiales/endutih/ENDUTIH2011.pdf [Accessed 28 September2013].

Ecommerce

No doubt e-commerce represents one of the main topics of interest in

these three studies. In recent years, AMIPCI has conducted specialized

studies on the subject. That’s why it only includes a question about e-

commerce in their recent study. Based on the results thrown by its study

it could be assumed that online advertising actually influences the

purchase decision. Moreover, in the recent study conducted by WIP Mexico

some questions related to e-commerce were included. Internet is used

mainly for obtaining information on prices and quality of certain

products and services. We must remember that both studies surveyed

Internet users. In contrast, INEGI’s study –which is conformed by a

representative sample of Mexican families- just a small percentage of

respondents reported having made purchases through Internet.

Table 8. Main activities in electronic commerce

Activity AMIPCI WIP-Mexico(Hours perweek)

INEGI

Purchases derived from Internetadvertising

50.8 N/R 94.9%

Do not use e-commerce N/R 94.9%Do use e-commerce or online shopping N/R 22% 5.1Usage of Internet for information topurchase a product or service

N/R 56% N/R

Making Reservations N/R 20% N/RUsing Internet banking services N/R 18% N/RPaying debts N/R 7% N/RInvesting in public funds N/R 3% N/RPaying taxes N/R 11% N/R

Sources: AMIPCI Study of Habits and perceptions of Mexicans over theInternet and various technologies associated, 2013, Available:http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013).World Internet Project México, The 2012 study of perceptions and habitsof Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013). INEGI (2011)Household Survey on Availability and Use of Information Technology.

Internet World Stats. Internet Usage Statistics. The Internet BigPicture. World Internet Users and Population Stats. Available:http://www.inegi.org.mx/prod_serv/contenidos/espanol/bvinegi/productos/encuestas/especiales/endutih/ENDUTIH2011.pdf [Accessed 28 September2013].

Time spent on the Internet

According to the recent results thrown by AMIPCI’s study, the daily

average of Internet connection is 5 hours 10 minutes. This represents 67

minutes of increase over the former figure in the eighth AMIPCI study,

which was released in 2012. INEGI’s study considered other frequencies

and WIP-Mexico study provides no information about the time spent on the

Internet.

Table 9. Time spent on Internet

Activity AMIPCI WIP-Mexico(Hours perweek)

INEGI

Daily average of time on theInternet

5 hours 10minutes

N/R N/R

Frequency of Internet usage(monthly)

N/R N/R 8.3%

Frequency of Internet usage(weekly)

N/R N/R 55.4%

Frequency of Internet usage(daily)

N/R N/R 34.6%

Frequency of Internet use(occasional)

N/R N/R 1.7%

Sources: AMIPCI Study of Habits and perceptions of Mexicans over theInternet and various technologies associated, 2013, Available:http://www.amipci.org.mx/?P=esthabitos [Accessed 28 September 2013).World Internet Project México, The 2012 study of perceptions and habitsof Mexicans over the Internet and various associated technologies.Available: http://wip.mx [Accessed 28 September 2013). INEGI (2011)Household Survey on Availability and Use of Information Technology.Internet World Stats. Internet Usage Statistics. The Internet Big

Picture. World Internet Users and Population Stats. Available:http://www.inegi.org.mx/prod_serv/contenidos/espanol/bvinegi/productos/encuestas/especiales/endutih/ENDUTIH2011.pdf [Accessed 28 September2013].

Internet advertising spent10

During the first days of June 2013, the IAB Mexico released the results

of the seventh edition of the Report on online ad-spent in Mexico. This

research is conducted by the IAB Mexico since 2007 and responds to the

need of analyzing the evolution of the pattern observed in Mexico’s

Internet advertising. In order to do this, IAB Mexico Specialists collect

the current billing data of the major portals and websites. The recent

edition of this study counts with the participation of 55 sites, portals,

ad Networks and technology platforms. The results thrown are a must among

the Internet industry in Mexico, which, based on the information

reported, plans and determines the course of their actions.

The recent study, conducted by the firm PwC Mexico and sponsored by

Terra, reveals that Internet ad spending in Mexico has tripled in the

past five years. In 2012, 6397 million dollars were invested in Internet

advertising, representing a 38 percent growth over the investment in

2011. According to information from the Confederation of the Industry of

Communication (CICOM) -an organization with the participation of the main

associations of communication, promotion, media, public relations, design

and marketing in Mexico11 in 2011, Internet was the fifth media to attract

the biggest investment in advertising (4,624 million pesos), which

10 Cf. Geographic Regions, 2012.11 Association of Media Agencies AC; American Association of AdvertisingAgencies (ALAP) Mexican Association of BC Promotions (AMAPRO) MexicanAssociation of Public Relations Professionals AC (PRORP) MexicanAssociation of Direct Marketing (Direct) , Mexican Internet Association(AMIPCI) National Advertising Association (PNA), Self-Regulation andEthics Council (CONAR) Communication Council; Mexico InteractiveAdvertising Bureau (IAB Mexico), QUOROM, Mexico Designers Council.

represented 7 percent of the total ad spending aimed at (63,965 million

pesos). Internet ad spending even exceeded advertising investment for

restricted television (4,247 million pesos).

According to the IAB Mexico, in 2012 Internet advertising investment

in Mexico totaled 6,397 million pesos. Most ad spending (59 percent) was

destined to displays, search represented 30 percent and classifieds, 11

percent. Investment in displays in 2012 (3,799 million pesos) increased

38 percent compared to 2011 (2,759 million pesos). CPM and sponsorship

continue to dominate as the hiring scheme (80 percent) of CPC (15

percent) and CPA (5 percent). Video and social media observed a

significant increase (208 and 94 percent, respectively), although they

are still far from the investment in still and rotating displays. The

investment in search in 2012 (1,913 million pesos) also observed a

significant increase compared to 2011 (1,281 million pesos) for it grew

49 percent.

In a lower percentage during this same period (2011-2012),

classifieds grew up a 17 percent, which in 2011 threw 584 million, and

686 million pesos in 2012.

The most significant growth in online ad spending in 2012 was

registered in the first half of the year. In terms of investment by type

of recruitment agencies, in 2012 they continued to have a fundamental

role in the development of campaigns (65 percent), while direct

recruitment represented 35 percent. The sectors that invest the most

(resources) in Internet advertising in Mexico are the automotive industry

(11 percent share), finance (10 percent), government and public services

(8 percent), telecommunications (8 percent), beverage (7 percent), media

and entertainment (7 percent), and technology (6 percent). Besides ad

spending increased virtually in all industries. As for the origin of the

advertising investment, 91 percent comes from national campaigns and 9

percent from international ones. In Mexico the main advertisers are, in

the telecommunications sector Telmex and Telcel, in financial services,

American Express and Banamex, in government, PRI, PAN and PRD; in

tourism, Best Day Travel.

The increase in Internet ad spending responds to a global trend.

United States, United Kingdom, Brazil and Argentina show high growth

figures. Advertisers consider Internet as a major advertising platform.

Thanks to a sustained technological convergence, the mainstream media

have extended on Internet. Marshall McLuhan argued that the old media

eventually become content of the new media.12 Besides, social media

represents formidable channels of dialogue with the audiences.

References

Asociación Mexicana de Internet (AMIPCI), (2000). Hábitos del MercadoOnline en México: Estudio AMIPCI. [Online] 26 Octobre, available:http://www.amipci.org.mx/?P=editomultimediafile&Multimedia=36&Type=1[Accessed 22 January 2013].

Geographic Regions (2012). Internet Users in the Americas. Internet WorldStats/Usage and Population Statistics. [Online], 30 June, available:http://www.internetworldstats.com/stats2.htm#americas[Acessed 13 August 2013].

iab/México. (2013). Supera los 6 mil 397 millones de pesos la inversiónpublicitaria en Internet en México con un crecimiento de 38% en 2012[Online], 10 Junho, available:http://www.iabmexico.com/estudio/inversion.publicitaria.internet [Acessed14 August 2013].

12 Internet has radically transformed print journalism. Newsreaders areseeking information on the Internet. The future of magazines and printednewspapers is the Internet. Today, Google receives more from advertisingthan every newspaper in the United States combined. And Amazon bills asmuch money as all the newspapers in the United States. Marshall McLuhan,in the fist printed edition of Understanding New Media. The extensions of men(1964) argued that the content of the new media is an old media, andallows us to understand why -in August 2013- Jeff Bezos bought TheWashington Post. The iconic American newspaper simply represents valuablecontent for Amazon.

Instituto Nacional de Estadística y Geografía (INEGI), (2011).Estadísticas sobre Disponibilidad y uso de las Tecnologías de Informacióny Comunicaciones en los Hogares. [Online], available:http://www.inegi.org.mx/prod_serv/contenidos/espanol/bvinegi/productos/encuestas/especiales/endutih/ENDUTIH2011.pdf [Accessed 22 January 2013].

McLuhan, M. (1996). Comprender los medios de comunicación. Lasextensiones del hombre. España: Paidós.

Romo, H. L. (2009). Los Niveles Socioeconómicos y la distribución delgasto. [Online] November, available:http://www.amai.org/NSE/NivelSocioeconomicoAMAI.pdf [Accessed 12 August2013].

Villavicencio, A. “Investigación sobre los hábitos de los cibernautas enMéxico”. Islas, et al. (2012), (eds). Com probado. Experiencias de empresas exitosasde Internet en México. México: CECSA. pp. 47-59.

World Internet Project. (n.d.). Front page. [Online], available:http://www.worldinternetproject.net/ [Accessed 08 January 2013].

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