Programmatic video ad platform TubeMogul on Tuesday announced it has expanded into Latin America with the opening of offices in Mexico and Brazil.
The company has hired Bernardo Toca to lead operations in Mexico and Adriano Hayashi to lead the company’s Brazil office.
Toca was most recently country manager at ClickMagic. He has previously worked at Disney, Google and AT&T.
Hayashi joins TubeMogul from Cadreon Australia, where he served as video product manager.
Fernando Bazan Athie, eMarketing supervisor, LatAm, at 3M, said in an earlier statement that “programmatic advertising -- especially video -- is exploding across Mexico,” adding that 3M has worked with TubeMogul in the U.S. and announcing the company will expand that partnership to include international markets.
TubeMogul says that roughly 33% of its 2013 revenue came from international markets, and Real-Time Daily asked Mike Downs, VP of LatAm sales at TubeMogul, a few questions about the company’s expansion into the region.
Real-Time Daily: You say about 33% of TubeMogul’s revenue is international. How much comes from LatAm?
Mike Downs: We’ve seen the number of video ad auctions available in Mexico and Brazil increase by over 100% since January 2014, and we expect that Latin America will play a significant role in our international strategy in the coming months.
RTD: Brazil is one of the three top countries in the world in terms of RTB spend, based on a recent Accordant Media report. Is the market ripe for video spend, too?
Downs: Brazil is estimated to make up 50% of LatAm’s total video spend, the majority of which comes from brands leveraging YouTube. However, despite larger budgets in Brazil, we’ve found that Mexico is a more mature market, likely due the geographic and cultural proximity to the U.S.
RTD: Who are some of your major clients in Mexico and Brazil?
Downs: We work with Carat and 3M in Mexico, Xaxis and Cadreon in Mexico and Brazil, and Wake-Up in Brazil.
RTD: Will Mexico and Brazil serve as hubs for other LatAm countries? Which countries will be areas of focus?
Downs: Mexico and Brazil primarily address their own countries; Carat Mexico handles pan-regional media execution, but that’s the exception rather than the norm. In addition to Brazil and Mexico, both Colombia and Argentina are two countries that will play a role in our efforts.
RTD: Do you expect most advertisers in LatAm to use TubeMogul on a managed service basis, or on a self-serve basis? Why?
Downs: The LatAm market is similar to how the U.S. market was several years ago, with a majority of clients using our software on a managed basis and eventually migrating to the self-serve model. If you look at trends in how clients use our software, in 2011, 24% of our clients used the software in a self-serve capacity -- by 2013, over 66% of our clients used it in a self-serve capacity.