Turkey and Brazil are among the most rapidly growing digital markets, with considerable penetration rates for credit cards, internet, social Networks and e-commerce.
We will hold a session focused on the Brazil and Turkey markets at the Webrazzi Summit on October 4th 2012, with speakers including digital industry investors discussing the opportunities in both countries. But before that, we wanted to give you more insight on these countries, comparing their digital industries.
Here is the comparative analysis of Turkish and Brazilian digital industries, with nearly all categories including population, internet and credit card penetration, ecommerce figures and digital advertising expenditures.
Let’s begin comparing the Brazil and Turkey digital industries by having a look at their user profiles. 193 million people live in Brazil. Its GNP is $2.294 trillion and GNP per person is $13,000.
In Turkey the population is nearly 74 million. While its GNP is $1.2 trillion, GNP per person is $17,330.
We can see that there is a growth of 5% in the number of internet users in Brazil from 2011, reaching 82.6 million. The number of monthly active users is 48.9 million and number of broadband internet users is 15 million in Brazil.
Tayfun Acarer, Head of Information Technologies and Communications Foundation (BTK), confirms that there are 50 million internet users in Turkey, while there were 36 million in 2011. In Turkey, the number of internet subscribers stands at 18.3 million,showing a 65 percent growth when compared to the same period of last year. We can say that the number of fibre and mobile internet users have increased, as a result of the improvement in the internet infrastructure.
Credit card penetration
There are 64 million credit cards in Brazil, which represents 33 percent of the whole population. On the other hand, 35% or 67 million people hold a debit card, constituting 0.4 cards per person.
It is safe to say that Turkey is ahead of Brazil by means of card penetration. The figures that Interbank Card Center (BKM) has revealed show the number of credit cards in Turkey has reached 53 million. This constitutes 74% of the population. Also, there are 87 million debit cards in Turkey. The reports show the average number of cards per person is 1.9 in Turkey.
Brazil has 44 million e-commerce customers as of 2011. This is 59% of all internet users in the country. Brazilian e-commerce users have spent $10.1 billion shopping online in 2011, with 53.7 million transactions and an average of $188 per shopping cart.
Brazilian e-commerce users shop online mostly for computers, electronics, cosmetics, and clothing. Additionally, Brazil e-commerce represents a 50% share of the Latin American market.
We are sharing BKM official data with you, but as you may know BKM figures include transactions that are made with online POS. Therefore Turkey seems to have a higher financial volume than Brazil on paper. Though it is not a strictly like-for-like comparison, let’s have a look at Turkish e-commerce figures. As of the end of 2011 the Turkish e-commerce market was 22 billion TL, with nearly 134 million transactions. This shows that a transaction costs 164 TL on average in Turkey.
Let’s continue to compare two countries using Facebook. Webrazzi Analytics data reveals that Brazil has 56.7 million Facebook users, of which 21.5 million sign into the social networking site using their mobile devices. There are 30.1 million women in the country and there are more female Facebook users than male users, with 53.2% of Facebook users women. Brazilian Facebook users are on average, aged between 25 and 35.
Turkey has 31.6 million Facebook users, with 14.2 million of them signing into Facebook using their mobile devices. In Turkey, there are more male Facebook users then female, with 20 million male users making up of 63.3% of the Facebook user base. Most users are aged between 25 and 35.
Twitter is used very widely in Brazil. There are a total of 41.2 million Twitter users in the country. With this high penetration, Brazil represents 8% of all Twitter users in the world, with their biggest city Sao Paulo near the top of the list of the most tweeting cities. Twitter users in Sao Paulo post 1.8 Tweets on average per day, pulling the city to the fourth place on the list.
Turkey, on the other hand, is at 11th place, with 9 million Twitter users. This is 1.7% of all Twitter users around the world and highlights the significant potential for an increase in user numbers. One of the most crowded cities in the world, Istanbul is at 12th place on the list of cities with the largest number of tweets. The study shows users in Istanbul have posted 0.7 tweets per day on average between June and July.
Online advertising expenditures
Online advertising is one of the fastest growing categories among digital industries and is expected to grow further. Online advertising expenditures in Brazil reached $1.6 billion in 2011. But Brazil is aiming for a growth of 40% in the online advertising industry to reach $2.3 billion, as 2012 predictions for Brazil online marketing expenditures reveal.
Turkey’s online marketing expenditures are measured by IAB among other European countries. Turkey is in the ‘other European countries’ category and is in the fourth place for online advertising expenditure. It is worth highlighting that in Turkey online advertising expenditure reached €360 million in 2011.
Brazil has a strong hand for many categories, in parallel with its population size. It is clearly seen from social network, e-commerce and internet user statistics. However, Turkey has a better hand with GNP per person; stats show that people living in Turkey have higher purchasing power than Brazilians do, suggesting significant future potential.
Turkey-Brazil digital industries comparison by figures
|Population||193 million||74 million|
|GNP||2.294 trillion dollars||1.2 trillion dollars|
|GNP per person||13 thousand dollars||17 thousand 330 dollars|
|Number of Internet users||82.6 million||50 million|
|Number of credit cards||64 million||53 million|
|Number of cards per person||0.4||1.9|
|E-commerce volume||10.1 billion dollars||22 billion dollars*|
|Number of e-commerce transactions||53.7 million||134 million|
|Amount per transaction||188 dollars||164 TL (nearly 80 USD)|
|Number of Facebook users||56.7 million||31.6 million|
|Number of Twitter users||41.2 million||9 million|
|Online advertising expenditures||1.6 billion dollars||360 million euro|
* Turkish e-commerce data includes all transactions made via online POS (airline ticket, insurance etc.)