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How is the PR business in Brazil these days

How is the PR business in Brazil these days. Favourable climate. Situation is encouraging The economy was healthy in 2011 Major events such as the 2014 World Cup and the 2016 Olympics Huge oil reserves in offshore sub-salt layers

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How is the PR business in Brazil these days

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  1. How is the PR business in Brazil these days

  2. Favourableclimate • Situation is encouraging • Theeconomywashealthy in 2011 • Major eventssuch as the 2014 World Cupandthe 2016 Olympics • Hugeoil reserves in offshoresub-saltlayers • Recententryofthepublic sector intothecorporate communication circuit

  3. The PR agencies market in Brazil • 1 billion USD in 2011 • 1.64 billion USD until 2014 • 350 agencies associates to Abracom • 1.150 agencies in Brazil

  4. Evolutionofthe GDP - Gross DomesticProduct • In 2010 GDP growth greater than 7% • In 2011 GDP growth slowed to 2.7 • In 2011 GDP of 2.26 USD trillions • For 2012 the projection is a grouth around 3%

  5. Opportunities for internationalcompanies • Brazil requiressubstantialinvestments in infrastructure • Modernstadiums, airports, bullettrains, ports, urbaninfrastructure, telephone network, hotels, general construction work • A whole range ofopportunities for companiesthroughoutthe world

  6. Opportunities for agencies • InternationalisationofBraziliancompanies is a fact • They are extendingtheiroperationsworldwide • In parallelwiththegrowth in theeconomy more investments in communication are required • A scenariothatmightcreate new opportunities

  7. Opportunities for agencies • Also, the agencies market are expanding via partnershipsandmergers • These agencies are diversifingtheir portfolio of services • diminishingtheirdependencyonrelationswiththe media • Internal communication and social media hadstronggrowth

  8. Internet and social media • 80 millionpeoplewithaccess to the web in Brazil • 69 million use the social networks • Brazil wasthe country withthegreatestincrease in thenumberofFacebookusers in 2011 - more than 35 millionusers • Brazil is placedfourth in Facebook • Brazil is placedsecond in Twiter = 33 millionusers

  9. Issues to consider • There is still a lot to bedone • There is a general lackofawareness - theimportanceof communication is still notproperlyunderstoodbythecompanies • Verycompetitivemarket • Theprices for communication services in Brazil continue to beverylow

  10. Issues to consider • Theprofitsofthe agencies weresignificantlyreducedthelasttwoyears • Weak performance oftheeconomy in thefirstquarterof 2012 • It’spossiblethattheEuropeancrisishadfinallyreachedourborders • The industrial sector hasexperiencedseveredifficulties

  11. Thankyou !

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