WPP Continues Brazilian Shopping Spree With Gringo

  |  June 3, 2011   |  Comments

Ups investment ahead of World Cup and Olympics.

Continuing its rapid expansion in the Brazilian market, WPP Digital's Possible Worldwide has taken a 70 percent stake in Gringo, a local digital agency serving brands like Coca-Cola, Absolut Vodka, and Microsoft. The agency said the purchase reflects its strategy of building a "strong, native understanding" of the international markets it services.

As Brazil prepares to host two of the world's most significant sporting competitions - the 2014 Soccer World Cup and the 2016 Olympics - WPP has been heavily investing in the market there since early last year, alongside competitors Publicis Groupe and Interpublic.

Yesterday WPP said it has bought a 70 percent stake in mobile savvy Sao Paulo-based digital agency F.biz, while in May last year it acquired Midia Digital and I-Cherry, which focus on digital creative and search marketing services, respectively. Meanwhile, Publicis Groupe extended its reach into the Brazilian market last May with the acquisition of digital agency AG2 for an undisclosed sum, while Interpublic Group bought digital agency Cubocc in an effort to bolster its social and mobile expertise in Latin America. 

Speaking with ClickZ last year, Roxana Strohmenger, a Forrester analyst following the interactive marketing space in Latin America, suggested major brands are looking to integrate themselves with both the soccer World Cup and the Olympics, presenting the opportunity for ad companies to firmly establish themselves in the market. 

"With preparations and ramp up to [the events]... the amount of ad spend in the Brazilian market will increase significantly," Strohmenger predicted, adding that the country's growing economy and Internet user base adds to its appeal for holding companies like WPP.

Strohmenger also emphasized the prevalence of social media among Brazilians, describing them as "voracious consumers" of such services, including Facebook and local market leader Orkut. She suggested users are more accepting, and even expectant of brands on such services, presenting different challenges and opportunities to markets such as the U.S. "As long as advertisers build campaigns that are interactive and rewarding for their online target audience, social media will be a critical and successful channel," she said, implying further opportunities for agencies to help brands do exactly that.

ClickZ Live Chicago Join the Industry's Leading eCommerce & Direct Marketing Experts in Chicago
ClickZ Live Chicago (Nov 3-6) will deliver over 50 sessions across 4 days and 10 individual tracks, including Data-Driven Marketing, Social, Mobile, Display, Search and Email. Check out the full agenda and register by Friday, Oct 3 to take advantage of Early Bird Rates!

ABOUT THE AUTHOR

Jack Marshall

Jack Marshall was a staff writer and stats editor for ClickZ News from 2007 until August 2011. 

COMMENTSCommenting policy

comments powered by Disqus

Get the ClickZ Marketing newsletter delivered to you. Subscribe today!

COMMENTS

UPCOMING EVENTS

Featured White Papers

IBM: Social Analytics - The Science Behind Social Media Marketing

IBM Social Analytics: The Science Behind Social Media Marketing
80% of internet users say they prefer to connect with brands via Facebook. 65% of social media users say they use it to learn more about brands, products and services. Learn about how to find more about customers' attitudes, preferences and buying habits from what they say on social media channels.

Marin Software: The Multiplier Effect of Integrating Search & Social Advertising

The Multiplier Effect of Integrating Search & Social Advertising
Latest research reveals 68% higher revenue per conversion for marketers who integrate their search & social advertising. In addition to the research results, this whitepaper also outlines 5 strategies and 15 tactics you can use to better integrate your search and social campaigns.

Resources

Jobs

    • Digital Marketing Analyst
      Digital Marketing Analyst (GovLoop) - Washington D.C.Are you passionate about audience acquisition? Love effective copy and amazingly effective...
    • Product Specialist
      Product Specialist (Agora Inc. ) - BaltimoreDescription: The Product Specialist is hyper-focused on the customer experience and ensures that our...
    • Partnerships Senior Coordinator
      Partnerships Senior Coordinator (Zappos.com, Inc.) - Las VegasZappos IP, Inc. is looking for a Partnerships Senior Coordinator! Why join us? Our...