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Discovering Brazil: a week of insights

A daily diary of the IPA’s study tour of Brazil.

Representatives from UK advertising agencies visited Brazil for a week-long study tour in February 2013. 

The IPA organised the trip as part of our international outreach programme to promote the UK and develop long-term business links with Brazil during the Olympic handover period. 

Every day during the trip we posted reports, videos and photos from our people on the ground. The delegation was led by IPA President Nicola Mendelsohn and included representatives from WAA, MBA, Initiative, RKCR/Y&R,  SapientNitro, new tech accelerator The Bakery, as well as the IPA’s Paul Bainsfair, Janet Hull, Pamela Perl and Kate Bromage.  


Join us on March 11 for a Brazil debrief from delegates Stephen Maher (CEO at MBA), Andrew Humphries (co-founder, The Bakery), Nigel Vaz (European MD, SapientNitro) and Nicola Mendelsohn.   

IPA members can also download our free  Insight Market Report on Brazil. 


Follow the conversation on Twitter via #IPAGlobal

 



DAY FIVE - RIO     

Christ the Redeemer, Corcovado

IPA's Director of Marketing Janet Hull looks back on a successful trip.

Did we meet our objectives? What had we set out to achieve?
*To be inspired by the creativity and vitality of Brazil
*To share learning; from the London 2012 Games, and the IPA Databank
*To develop partnerships: in creative tech (linked to our new accelerator The Bakery, in professional development (the Eff test), in multi-platform content creation (branded content).

We met them all, and were met with a warm reception: 
*Businesses from Porto Digital are keen to apply for the first round of The Bakery
*Grupo de Planejamento will launch the IPA Eff test to the Brazil market in November
*The Rio 2016 marketing team are keen to take our lessons from 2012 to sponsors of 2016
*PACT members have self-selected to join our advisory group on the future of branded content.

In the process, the MDs and CEOs on our mission were able to network and develop lasting friendships with their counterparts, share business ideas and issues, promote their individual businesses as well as the UK, take new perspectives back home. Not bad for one week of endeavour. 




Sue Bishop of UK Trade & Investment  tells us about a breakfast meeting with representatives from the Rio 2016 Organising Committee, when delegates shared some of the marketing lessons learned from London 2012.

One key area of interest for Brazil was how to engage the population from across the whole country - a country the size of a continent.  They are also looking forward to the Paralympics and working with Channel 4.  The Brazilian Paralympic team has won more medals than the Olympic team and are big role models for the youth of Brazil.

DAY FOUR - RIO

In today's video we drop into the White Cube Gallery to meet Brazilian ad legend Washington Olivetto and hear from MBA's Stephen Maher and SapientNitro's Nigel Vaz.





The IPA's Janet Hull gives us the lowdown on the group's visit to Rio Content Market.

Branded content was the buzz word at Brazil’s Content Market. Not because it was understood, but because there was definitely high interest.

It was the word most repeated on platforms, and, when we met for lunch with the PACT (Producers Alliance for Cinema and Television) delegation, the topic we touched on most. We had all heard presentations from Fox, from Turner and others about possibilities.

It’s obvious that, going forward, brand owners are seen as a hopeful source of funding for film and programme makers, and Brazil is seen as an opportunistic testing ground for new formats and models.

A new law due to take force in the next 12 months prescribes that a percentage of television content in Brazil will need to be ‘home-made’. And that any production for Brazil involve at least a percentage of home-grown talent. UK production companies are under no illusion that the name of the game is collaboration.

What’s still lacking, though, is a clear framework for taking branded content forward. What does quality look like? What expectations should be set for the brand and business? How can agencies and production companies best work together with brand owners. How does it work on and offline? Where do channel owners come in? How big an opportunity is it? When will it become mainstream?

A number of PACT members were keen to join a meeting with the IPA advisory group on this topic when we get back to London. There was a general feeling that we had complementary not competing skills.

Agencies understand brands, audiences and making the business case. Clients understand long from storytelling and have access to feature length production talent.

Who knows, one year from now, we might be presenting it jointly at the next Rio Content Market!

DAY THREE - SAO PAULO

Today the group contributed to a seminar on best practice in automotive advertising with planning group Grupo de Planejamento and the Brazilian Association of Advertisers (ABA), held a briefing session on the IPA Eff Test with Brazilian planners, called into tech start-up accelerator Wayra and mingled with representatives from the Sao Paulo creative scene at the White Cube gallery in Sao Paulo.


Andrew Humphries, co-founder of new UK tech accelerator The Bakery, tells us about the group's visit to Wayra Brasil.

We arrived in Sao Paulo and witnessed  the awesome spectacle of a lightning storm filling the sky and acting as a wonderful flashing backdrop to the cityscape. I was particularly excited the next day to visit the Wayra accelerator located in the business sector of the city; specifically I wanted to get a feeling for the emerging tech and entrepreneurial ecosystem in what I was discovering is an incredibly fast growing domestic economy.

Having spent a fair amount of time in the Wayra workspace in London, I found myself perfectly at home as Carlos Passoa Filho, the charming Program Director welcomed us into his, which although it housed 16 new tech companies as opposed to 12 in London, was an exact duplicate in terms of look and feel. The funky Wayra branding and furniture, designed to give an open and collaborative feel whilst encouraging friendly competition between the developing companies, gave no hint of the ownership of the accelerator by telecoms giant Telefonica, or Vivo as it is branded here in Brazil.

This particular facility, one of 12 that have opened around the world, has been operating for nearly a year. Carlos explained that each successful applicant business that is chosen from the hundreds that apply receives $100k investment in exchange for a minority equity stake, 10% is usual, plus free space and mentoring valued at a further $150k.

This first cohort of 16 are nearing the end of their free tenancy period and getting ready to fly the coop...one company, Qranio, which has a quiz-based technology that makes learning fun (any kind of education is BIG news here) has already raised a further $250k from a private angel investor based in Rio and one or two others are close to getting investment and starting to find clients. I'm sure that one or two will make perfect applicants for The Bakery, and we extended a warm invitation to them all to come visit us in Tech City!





Stephen Maher, CEO of MBA, was at the Sao Paulo World Trade Centre to share marketing communications lessons from car brands. 

Janet Hull, Nigel Vaz and I outlined the ten lessons we have learned in the UK from many years of IPA Effectiveness Award winning case studies across brands such as Honda, Audi, Fiat and VW from the rich IPA Databank.

We were able to not only show TV spot classics such as Honda's Cog and Audi's Reinhardts and the Schmidts but also some of the great recent digital online and experiential work for Audi and Fiat.


Eduardo Lorenzi, Head of Planning at NeogamaBBH and President of the Grupo de Planejamento was very pleased with the feedback from our presentation.  He told us later that evening that many of the audience told him they felt privileged to be in such great company and amongst such a great body of work.

Lew'Lara\TBWA, the agency that won Brazil's first IPA Effectiveness Award for Nissan earlier this year, presented their winning case study after us. They said while they had not been aware of course of the ten lessons -  the subject a forthcoming IPA book – they felt that it was by applying these rules they had ensured their success, which was great to hear.

Well done to all at the IPA for such an excellent report which will quite clearly be in high demand and to Janet Hull in particular , as well of course to all those great agencies who have created, through blood sweat and tears, such outstanding and importantly effective creativity for so many clients over the years that has made our job here so easy!

The UK is very definitely the gold standard in effective creativity here. The Brazilian industry community are clearly very keen to apply even more of this rigour to all the fantastic and exciting work coming out of this diverse and dynamic industry.


Kate Bromage, IPA Qualifications Manager,  reports back on her meeting with Brazilian planners to discuss bringing the IPA Eff Test to Brazil.

The buzzword of this morning was effectiveness. Following fantastic presentations on best practice in automotive advertising, which included the Lew’Lara\TBWA IPA Effectiveness Award-winning work for Nissan (I suggest you do a YouTube search for Nissan Damned Ponies) it seemed like the perfect opportunity to sit down with members of the GP (Grupo de Planejamento) to discuss the IPA Eff Test.

Since November 2012, seven members of the GP have been piloting the online content to gauge how relevant the qualification is to their market, and if there is a need for this type of training in Brazil and judging by their feedback it would seem the answer to this question is a resounding yes.

While effectiveness is very much on their agenda, it is not embedded in their culture in the same way it is in the UK industry and there is a definite hunger in the market place for more tools to help build effectiveness into their daily lives and help with those important client conversations. They believe the Eff Test could be the first step on this journey to create this culture within their agencies, and hopefully the IPA and GP can now work together to make this happen - so watch this space.

Big thanks to all those at the GP involved in piloting the content (especially as it was during Carnival!). Special thanks to Eduardo Lorenzi, Murilo Lico and Sara Silva for attending the workshop. 



IPA Study Tour to Brazil  
The group also paid a visit to Sao Paulo advertising agency Africa




DAY TWO - SAO PAULO

After flying into Sao Paulo on Monday night, the group spent Tuesday morning at the Brazilian British Centre for a briefing on the Brazilian market.  In the evening, it was back to the Brazilian British Centre, where IPA President  Nicola Mendelsohn,  RKCR/Y&R CEO Ben Kay and Initiative MD Anna Watkins  presented a showcase of London 2012 creative and shared lessons for Brazilian adlanders ahead of Rio 2016.






After a cultural and economic immersion at the Brazilian British Centre, Anna Watkins, head of digital and managing director of Initiative, tells us what she's learned. 

The overriding theme was one of optimism and opportunity. Lidia Goldenstein, a leading economist and evangelist for the creative economy impressed.  Her brilliant yet humble mind was visibly pulsating. 

The sheer scale of Brazil’s transformation was simply summed up with the following killer facts:  Brazil is the sixth largest economy in the world, with internal reserves of $353bn, only 5.6% unemployment and an increase in the real wage of 70% since 2003.
The explosion of the middle class and the rise of credit have fuelled a consumer market where everything - and I mean everything - can be bought in installments, from flights to TVs to even the supermarket shop. Previously unheard of luxuries such as cars, fridges, microwaves and mobiles are now achievable goals for this rising class.

That’s not to dismiss the huge challenges the country faces, with the yawning gap between the haves and have nots. Brazil is trailing down the league tables when it comes to income distribution, narrowly ahead of Angola.  As Lidia was quick to point out, four key challenges lie ahead: the low investment in infrastructure, the poor quality of universal education, the high cost of development and an inefficient public sector.

Yet the confidence is palpable and rightly so.  The shift necessary is one from a reliance on agriculture and commodities to a more diversified economy where the creative services and the job creation they bring can flourish.

This theme of optimism and opportunity was only reinforced by Laura Chiavone, CEO of the research agency, Limo, who shared the results of a nine month research project ‘New Insights Into the Brazilian Consumer’. 

I can't help but bombard you with some astounding facts that turned my preconceptions of Brazil upside down:  90% of people living in the ‘favelas’ (slums) are connected to the internet, there’s been a 110% increase in access to higher education, 87% of young people believe that they will have a bright future.

There’s been a seismic shift within Brazilian society, a positive transformation and an opening up to the world, whilst remaining a society that rightfully and proudly maintains its own sense of identity and self-confidence and one that we, as only the world’s 7th largest economy, has much to learn from.




Upwardly Mobile - The Next Brazilian Revolution from Limo Inc on Vimeo .





IPA Study Tour to Brazil  

The group outside the Brazilian British Centre in Sao Paulo.  



On Tuesday evening it was our delegation's turn to present, as Janet Hull, the IPA's Director of Marketing, explains.

At 4pm the clouds opened and it poured. Literally bucketed down. There had been nervous exchanges during the morning. Would it rain? What would happen to the numbers if it rained? 

134 of the most senior figures in Sao Paolo’s adland and the client community had accepted our invitation to come to a London 2012 Creative Advertising Showcase at the Brazilian British Centre. Would they show up? 

At 5pm the IT system was letting us down. PC and Mac incompatibility. Again! Some videos wouldn’t play. Some played with sound but not pictures. Stomachs were turning. But at 6pm it all changed for the better. The reception area was full. Wine was flowing. The flowers and canapés were good. 

And the three part presentation from Nicola Mendelsohn, Anna Watkins and Ben Kay went like a dream!  It all worked. It looked great. It felt good! Worth a celebration! Just before turning in to get the next presentation ready for the morning for the APG planning conference!  


Christine Losecaat, Creative Industries Specialist at UKTI, on the lessons shared with Brazilian adlanders.

The Olympic Games offer one of the greatest marketing opportunities on the planet. They also make for a challenging operating environment for any brand who is not a sponsor.

Lessons learned in London include:
*Ensure that sponsorship is matched with activation
*Ensure inclusivity and take special care not to alienate customers by rigidly sticking to corporate messaging at a time when the world is being viewed through Olympic values and ideals
*Have a differentiated position
*Make your campaign personal
*And most importantly, start early!

 


 

IPA Study Tour to Brazil  
Anna Watkins addresses adlanders at the Brazilian British Centre.




   
DAY ONE - RECIFE

In our second video diary from Brazil, Andrew Humphries, co-founder of tech accelerator The Bakery, talks about the group's visit to Porto Digital, a technology hub in Recife. Read an interview with Porto Digital's president Francisco Saboya.

We also hear from Gareth Moore, British Consul in Recife, on the potential for British businesses to link with tech start-ups in Recife. 

Never heard of Recife? It's not surprising, says the IPA's Director of Marketing Janet Hull - but this is a city it's worth finding more about.

Recife’s the biggest city in the state of Pernambuco, and the third biggest city in Brazil, with a population of about 8.8 million. Fiat are setting up factories in the region, Petrobas is drilling for oil, and there’s a big steel works too.

There’s also a thriving ad agency called Ampla, which, while focused on local clients, makes a point of being part of the international scene, with representation, for example, on Cannes juries.

Now the Government are pumping money into a new incubator programme at Porto Digital, at PortoMidia, in support of different creative disciplines like multi-media, games, music, animation, design and photography. With 30 companies signed up, there’s an opportunity for it to really take off.

Porto Digital, Brazil’s new tech hub, up in the north east corner of Brazil, is definitely worth a visit. Not just because it’s home to over 230 tech companies, a fair proportion of which are start-ups, but also because it’s where the original conquistadores landed, and it’s full of beautiful original 17th century buildings, which are now being renovated. Stylish graffiti lend art and street cred to its somewhat more romantic location, on an island, overlooking the ocean. 
At our briefing meeting, high on the sixteenth floor of Porto Digital HQ, we learned that the organization is run according to Henry Etzkowitz’s triple helix model: on the basis of a partnership between government, academia and the market.

Tax incentives attract the bigger companies in, and they then provide the investment infrastructure on which the smaller start-ups can feed.
It occurred to us that The Bakery - our new accelerator programme led by Andrew Humphries - also followed the triple helix model: but with a different partnership: agencies, clients and tech companies.

  IPA Study Tour to Brazil - the team in Recife.
The team gather for a photo in Recife. 

DAY ZERO - INTRO TO IPA BRAZIL STUDY TOUR

IPA Director General Paul Bainsfair introduces the first video diary from the IPA's study tour of Brazil. The delegation arrived in Recife in time to catch the last day of carnival.


There's been lots of interest in the trip from the Brazilian press. For the Portuguese speakers among you - or those using Chrome's translation tool, here's coverage from  Diário de Pernambuco , Celebs PE  and   Blog de Jamildo

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