Brazil’s broadband grows in the face of high mobile costs


For brands wanting to use social media in Brazil there is good news and bad which provides the roadmap for successfully reaching an audience.

In many countries the growth of the information age is being led in part by the massive expansion of cellular networks. Broadband internet is expanding but the speed and lower infrastructure costs of mobile networks gives millions access to the Internet. Social media networkers are communication more by mobile SMS texting and updates to friends and colleagues by using their hand held device.

But research for Brazil seems to show using cell devices to reach an audience may not be the best way because of the high cell phone costs. Brazilians pay the highest mobile phone bill in the world.

The data from the International Telecommunications Union (ITU) says Brazilian spent on average R $107.00 per month on a cell phone, equivalent to U.S. $ 44.20. Brazilians also pays above the global average for use of their phone to connect to the internet. Creating a campaign using just a mobile strategy

So now for the good news – Brazil is seventh in the world in Internet usage. Last year Brazil had 67,510,400 Internet users, equivalent to 35.2 per cent of the population. In 2008 broadband subscribers grew 20 percent.

The cell phone penetration in Brazil is very high but so are the costs to users. Brands wanting to reach audiences need to have an approach that takes into account the high cell phones costs and positions for the fast growth of broadband access.


2 Responses to Brazil’s broadband grows in the face of high mobile costs

  1. You seem to spot a good topic for your post this month – namely, contrasting the potential for mobile marketing and online marketing in Brazil, where costs seem to be comparatively high for mobile usage versus Internet access. Your post, though, raises some interesting questions in nuances that I’d love to have seen you explore. For example, does that high cost of mobile access also mean that most Brazilians have unlimited access to data and browsing on their phones? In other words, could this actually mean more people may be already paying to use web features on their phone and therefore make mobile marketing MORE appealing? If not, then the web may offer the real opportunity – but that article you cite on the fast growth of broadband also notes that apparently only around 5.3% of Internet users currently have broadband. Or, by other numbers, about 10 million out of 6.5 million Internet users in Brazil. Either way, these numbers are far from dominant, so how might that affect a brand marketing strategy to know that the majority of users seem to be on dialup or slower connections? This post has some great potential, but as it is you leave several stones unturned – and also seem to have a hanging sentence in your third to last paragraph (which may have been the point where you were planning to cover this. If you’d like to complete the thought there and add a bit more detail, I’d be happy to review and reassess your score this week. (2)

  2. Adrienne Allmond says:

    Nice Post. I too took notice of the stats involving Brazils mobile phone rates in comparision to the US, but what are they typically paying for there internet service? Along with what you already cited here, I would also be interested in knowing what the cost comparison analysis for internet usage vs. mobile usage is in Brazil.

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