Latin America, content derived from music is a strong seller. As in
the US, music industry revenues have been slow. But as Latin music
cross borders becoming mainstream, 3G networks and technological
advancements come into place, internet use by US Latinos and
Latinamericans grow at an impressive rate and sophisticated mobile
devices are beginning to take the market by storm, the industry is
poised for phenomenal growth.
|José Guilherme Novaes, Divisão de oferta Premium, Diretoria de Segmento Premium, VIVO- Brasil
||Seth A. Schachner, Vice President, Digital Business Latin America, Sony BMG Music Entertainment
||Victor Kong, VP Strategy and New Media Development, MTV Networks
|Filipe Ferreira Diniz, Gerência de Serviços de Valor Adicionado – Móvel, Brasil Telecom
||Felippe Llerena – Executive Director, iMusica S/A
||Marcus Owenby, Director of Hispanic Marketing Operations, AT&T Mobility
|Alfonso Perez-Soto, Director of New Media Latin America & US Latin, Warner Music
||Paulo Firmeza, Director of Mobile Services, Portugal Telecom Inovacao, Brasil
Brazil the biggest seller is popular music, a lot is from national
content and brands are very important, soccer (futbol) accounts for
12% of the market.
Argentina, international music is the most downloaded content, then
films and TV and then Latin pop, tango only accounts for 4%.
has something very interesting—the song La Cucuracha accounts
for 32% of total downloads, also sound effects take up 22% of the
business and ranchera music is a significant portion.
music is expected to drive growth in US ringtone sales that are
currently dominated by hip-hop and rap artists. According to Gartner
Research, the US market for ringtones and other wireless
entertainment services has been driven by 15- to 25-year-olds.
U.S. Census Bureau predicts that Hispanics will be the largest teen
minority group by year’s end, and will account for 20 percent
of teens by 2015. Hispanics also spend $10 more per month on their
phone bills and 25 percent to 50 percent more on mobile entertainment
applications than other groups do.
business issues affecting Latin mobile music today
mobile carriers know their subscribers network settings, handset and
personal preferences and therefore have a strategic advantage when it
comes to delivering mobile music. However, when it comes to the
‘entertainment’ side of mobile music like streaming and
full track downloads, they risk losing share to device vendors,
record companies and other solution providers.
to develop and implement the right content partnerships, pricing
strategies, content partnerships, licensing deals, distribution
channels and marketing are issues that Latin American carriers are
juggling to define. The lack of solid business models has been an
issue of frustration for labels, and therefore the music delivery
challenges such as Digital Rights Management (DRM), storage capacity
on the mobile device and network coverage add to the array of
concerns that today’s operators must resolve.
the US, wireless carriers perceive mobile music as a key service
offering, practically alongside with long-hailed SMS as their stellar
mobile data service revenue generators. These operators have also
recognized the power of Hispanic music purchases, launching ingenious
and innovative marketing campaigns for their mobile music offerings
targeted specifically to Latino consumers.
such as Motorola, LG and Nokia have launched aggressive marketing
campaigns for their mp3-capable handsets, both in the US and Latin
America. Mp3-capability will soon become the norm of mobile
handsets, creating a great opportunity for operators to push their
music portals to an attractive addressable market.
the mobile phone is a device that people carry everywhere, consumers
now have the ability to listen and download songs whenever and
wherever. Because of over-the-air downloads (and safe and secure
billing via a mobile phone), mobile operators are in a position to
create a craze for music downloads. Since there are more mobile
handset owners than iPods, the market universe for mobile operators,
both in the US and Latin America, is extremely promising.
entry into the device market with the iPhone, providing mobile access
to iTunes, along with other digital music shops such as
Microsoft’s upcoming Zune offering (that will allow WLAN
access to its music shop) will compete directly with mobile
carriers’ portals. What will be the impact of the
cultural phenomena - in the short and long run- created by these
software and hardware products in Latin American markets?.
and many more issues will be addressed at Latin Mobile and Digital
not miss this unique and one of a kind conference addressing one of
the most promising content markets in the world!