The document provides an overview of internet trends in Brazil and Latin America from November 2009. It finds that Brazil has the largest internet population in Latin America with over 30 million users, and users spend significant time online at over 26 hours per month on average. The internet audience in Brazil skews young, with 65% under 35 years old. Brazil ranks highly in social networking engagement worldwide, led by the popularity of Orkut.

1. Sao Paulo, Brasil
November 2009
The State of the Internet in Brazil
Alexander Banks
Managing Director, Latin America

2. The US is No Longer the Center of the Online Universe
US Internet Population vs. Rest of the World Distribution of Worldwide Internet Audience
Rest of the North
World America
Europe
Latin
America
Middle East
US - Africa
Asia Pacific
In 1996, 2/3 of the world’s Internet population was in the US, yet today Asia Pacific is the largest region.
Many emerging regions are likely to bypass old modes, skipping dial-up to go straight to broadband, making
multimedia, video, and collaborative content immediately accessible.
Early adoption of mobile web in addition to PC web will likely be popular in many of these high-growth areas.
© comScore, Inc. Proprietary and Confidential. 2 Source: comScore World Metrix, July 2009

3. Latin America Continues Audience Growth
Growth is flat in North America, European Worldwide Online Population
growth mostly driven by Russia (Millions)
Asia continues rapid growth on a very +4%
large base 1,165.2
960.2
Growth in LatAm expected to continue
on the back of increased residential
broadband penetration region-wide
August 2008 August 2009
Online Population by Region Aug 2008
+22% (Millions) Aug 2009
477.2
+20%
389.6
325.6 +4%
271.1
183.8 191.0 +28% +79%
70.3 90.2 81.2
45.4
Asia Pacific Europe North America Latin America Middle East - Africa
© comScore, Inc. Proprietary and Confidential. 3 Source: comScore Media Metrix, August 2008 to August 2009

4. China Surges Past the US
Internet Users Age 15+ (MM)
China 210.2
United States 167.1
Japan 66.9
Germany 42.5
France 38.1
United Kingdom 36.9
India 35.0
Russian Federation 33.2
While US user growth has remained flat over
Brazil 31.0 the past year, China, Russia, and Brazil have
South Korea 28.8 experienced impressive growth rates of
Canada 22.6 31%, 26% and 23%, respectively.
Italy 21.2
Spain 19.2
Turkey 18.9
Mexico 13.6
Millions of Internet Users (15+, home & work locations)
Source: comScore World Metrix, July 2009
© comScore, Inc. Proprietary and Confidential. 4

5. The Majority of Top Properties’ Audiences Coming from Outside US
Total Worldwide
US Audience Non-US Audience
Unique Visitors (MM)
84% 854
84% 702
77% 592
77% 370
The top 10 Global Properties attract a
81% 295 majority of Unique Visitors from outside
the US; Google Sites and Microsoft Sites
66% 268 attain 84% of their audience from non-US
countries.
73% 237
All top sites have experienced a shift in
70% 197
visitor composition to a more international
audience: non-US visitors now represent
76%
77% and 66% of Facebook’s and AOL’s
196
visitors, respectively.
64% 192
Source: comScore World Metrix, July 2009
© comScore, Inc. Proprietary and Confidential. 5

6. How global online behavior has changed over the last year
Share of time Spent on Entertainment is growing the fastest
Instant Messengers and Conversational Media both boast significant usage time
Source: comScore Media Metrix
© comScore, Inc. Proprietary and Confidential. 6 Share of Global Minutes on Key Online Categories, May 2008 vs. May 2009

7. What is social media?
Social Media is…
– media designed to be disseminated
through social interaction
– a logical step in the ongoing evolution
of the interactive platform
– the key driver of the fast-growing Web
2.0 category (including blogs, social
networks, UGC sites etc.)
– the combination of communication
(email, messenger) media-sharing
(photos, music, video etc.) and/or
UGC (opinion, feedback)
– an umbrella term that defines the
various activities that integrate
technology, social interaction, and the
construction of words and pictures.
© comScore, Inc. Proprietary and Confidential. 7

8. Everything from Twitter to Facebook to Digg to Linkedin to Youtube
Examples of social media software applications include:
Communication Blogs: Blogger, LiveJournal, Open Diary, TypePad, WordPress, Vox,
ExpressionEngine, Xanga
Micro-blogging / Presence applications: Twitter, Plurk, Jaiku, fmylife
Social networking: Bebo, Facebook, LinkedIn, MySpace, Orkut, Skyrock, Hi5, Ning, Elgg
Events: Upcoming, Eventful, Meetup.com
Collaboration Wikis: Wikipedia, PBwiki, wetpaint
Social bookmarking: Delicious, Digg, StumbleUpon, Google Reader, CiteULike
Multimedia Photo sharing: Flickr, Zooomr, Photobucket, SmugMug, Picasa
Video sharing: YouTube, Vimeo, sevenload
Livecasting: Ustream.tv, Justin.tv, Stickam
Audio and Music Sharing: imeem, The Hype Machine, Last.fm, ccMixter
Reviews and Opinions Product Reviews: Yelp, epinions.com, MouthShut.com
Virtual worlds: Second Life, The Sims Online, Forterra
© comScore, Inc. Proprietary and Confidential. 8

9. Profile: Twitter
Age Income UVs (000)
+2,613%
composition index UV composition index UV
Many Twitter regulars opt to
access the service
exclusively from their mobile
devices after an initial visit to
Twitter.com…
Twitter audience in Brazil
grew by a factor of almost 10
Who’s over a span of just 5 months
following who (from 413k in March to nearly
on Twitter? 3.6M in July of 2009)
© comScore, Inc. Proprietary and Confidential. 9 Source: comScore Media Metrix United States, July 2009

10. “Last tweet?”
© comScore, Inc. Proprietary and Confidential. 10

11. November 2009
The Brazilian Online Audience
Alexander Banks
Managing Director, Latin America

12. Internet audience in Latin America is to be taken seriously
Brazil is the 9th largest Internet audience in the world (15+, H&W), Mexico 15th,
Argentina 19th and Colombia 21st
Home and work usage growing at significant rate – shared-access very strong
In terms of total page views in July (15+ H&W) Brazil was 10th, ahead of Spain, India
and Italy
In July, Brazil consumed 3.2% of the world’s PVs, Mexico next with just over 1%
Argentina (47.6) and Brazil (47.3) are both above the WW average in average visits to
the Internet per visitor each month (47.2)
The WW average percentage of 15-24 year-olds online is 27.6% (15+, H&W)
– Venezuela 50%
– Colombia 48%
– Mexico 47%
– Brazil 31%
– Argentina 27%
– Chile 27%
© comScore, Inc. Proprietary and Confidential. 12

13. The size and level of engagement of the Brazilian Internet audience
Brazil has the largest Internet population in Latin America, with more than 30
million home and work users, 15+ (total online pop. is approx 70M)
The average Internet user in Brazil clocks 26.7 hours of usage per month, which
is nearly four hours more than the worldwide average
Internet User (Millions) in Total Hours Online per
Latin America Visitor in Latin America
WW Avg: 22.9
Brazil 31.9 Brazil 26.7
Mexico 14.0 Mexico 25.8
Argentina 11.8 Chile 23.6
Colombia 9.0 Venezuela 23.5
Chile 6.5 Colombia 23.0
Venezuela 2.1 Argentina 21.6
Puerto Rico 1.1 Puerto Rico 17.7
© comScore, Inc. Proprietary and Confidential. 13 Source: comScore Media Metrix, September 2009

14. Comparison to other countries outside region
The 15+ Home and Work Internet population in Brazil is similar in size to the
Internet populations in the Russian Federation and South Korea
Internet users in Brazil spend a similar amount of time online as users in South
Korea and the United Kingdom but significantly more time than those in India and
the Russian Federation
Internet User (Millions) Total Online Hours per Visitor
WW Avg: 22.9
United Kingdom 37.3 United Kingdom 28.6
India 35.8 India 11.3
Russian Federation 34.7 Russian Federation 15.8
Brazil 31.9 Brazil 26.7
South Korea 29.2 South Korea 32.4
Canada 22.9 Canada 40.1
© comScore, Inc. Proprietary and Confidential. 14 Source: comScore Media Metrix, September 2009

15. Less mature Internet audiences are less active online
Average time spent online is an indicator of the state of development of internet
markets, and Brazil appears very similar to the UK in this regard
– Online ad spend in UK recently surpassed that of TV
Average Time Spent and Pages Viewed per Unique Visitor per Month
3,500
3,000
2,500
2,000
1,500
1,000
500
0
Turkey United Brazil China Russian India
Kingdom Federation
Time Spent (mins) Pages Viewed
© comScore, Inc. Proprietary and Confidential. 15 Source: comScore World Metrix, September 2009

16. Age breakdown of the Internet audience in Brazil
Internet users in Brazil skew slightly young: 65% of the Internet audience in
Brazil is under 35 years old
In comparison, only 54% of the global online population is under 35
Brazil 31.4% 33.6% 21.0% 9.1% 4.9%
Latin America 35.5% 28.0% 19.0% 10.8% 6.7%
Worldwide 27.6% 26.4% 21.6% 14.0% 10.4%
Persons: 15-24 Persons: 25-34 Persons: 35-44 Persons: 45-54 Persons: 55+
© comScore, Inc. Proprietary and Confidential. 16 Source: comScore Media Metrix ,September 2009

17. Demographic profile of the Brazilian Internet audience - Sept 2009
© comScore, Inc. Proprietary and Confidential. 17

18. Heavy users most visible in markets that are still maturing
In all of the largest developing markets, heavy internet users account for a higher volume of total pages
Russia has the highest page consumption disparity, with 73% of pages viewed by 20% of the population
Share of Page Views by User Segment
100%
80%
57% 57% 59% 60%
69% 73% Heavy Users
60%
Medium Users
40% Light Users
34% 31% 30% 30%
20% 24%
23%
9% 11% 11% 10% 7%
0% 4%
United Turkey China Brazil India Russian
Kingdom Federation
© comScore, Inc. Proprietary and Confidential. 18 Source: comScore World Metrix, August 2009

19. How the world uses the Internet
© comScore, Inc. Proprietary and Confidential. 19 Source: comScore World Metrix, July 2009

20. How the Brazilian audience compares to the rest of the world in terms of
reach and time spent in key content categories
“On-ramp” Categories Web 2.0 Categories
Portals 97 97
157 Reference 66
Search/Navigation 96 112
90 Social Networking 176
Blogs 125
127
Utility & Content Categories
e-mail 105
93
Entertainment Categories
Instant Messengers 157
135 96
Entertainment
103 101
Retail 69
93 Multimedia 98
News/Information 51 90
Travel 76
58 108
Online Gaming
121 78
Sports 58
© comScore, Inc. Proprietary and Confidential. 20 Source: comScore Media Metrix September 2009

21. Highest-indexing sub-categories in Brazil
Lifestyles and interests of the Brazil: Highest-Indexing Web Categories
Brazil internet user are reflected in Index Compared to WW Reach
the sub-category visitation 1.1
Gay/Lesbian 2.7 251
– Gay/Lesbian 4.8
e-cards 9.6 200
– Government 19.9
Government 39.0 196
– Consumer Electronics
Radio 12.1
23.5 194
– Religion/Spirituality
Consumer Electronics 16.1
– Sports/Outdoors 30.8 192
Entertainment - News 17.6
– Beauty/Fashion/Style 32.2 183
Religion/Spirituality 6.7
12.3 183
Sports/Outdoor 5.6
10.3 183
Content preferences also align
Beauty/Fashion/Style 9.0
with behavior typically seen by 15.4 172
newer Internet audiences Instant Messengers 44.1
157
69.3
– Instant Messengers Comparison Shopping 24.4
143
34.9
– E-cards Pharmacy 1.5
2.2 142
– Information 12.3
Kids 17.0 139
– Job Search 17.4
Information 24.1 138
Job Search 5.3 138
7.4
WW Reach Brazil Reach
© comScore, Inc. Proprietary and Confidential. 21
Source: comScore Media Metrix September 2009

22. Brazilian’s appetite for social networking is impressive
Brazil is 2nd in the world in terms average pages per visitor in the social networking
category (1,374), and 4th in the world in page views with over 33.4 billion (15+, H&W)
– 9.5B minutes spent in category also amongst the leading countries, sure to pass UK very soon
Average visits per visitor per month is only exceeded by Canada, Israel and Turkey
– Brazilians Internet users, on average, visit the category 34 times a month
– UK and United States considerably less; 26 and 22 average visits a month
© comScore, Inc. Proprietary and Confidential. 22

23. Orkut clearly leads the Social Networking category in Brazil
Orkut, one of the top 3 web domains in terms of audience, continues to lead the way
– Almost 75% of Orkut’s total global page views comes from Brazil
– 33.1 average visits per visitor per month
– 33% of entire Orkut audience in Brazil is over the age of 35
– 66% of entire audience is over the age of 25
Social Networking Share of Total Pages
50%
40% Leading
Country Social Reach
30% Network
Turkey 81.3%
20% 43% 40%
United Kingdom 74.1%
10% 20% 19% 18%
12% Brazil 71.4%
0% Russian Federation 46.8%
India 44.0%
China 24.0%
© comScore, Inc. Proprietary and Confidential. 23 Source: comScore World Metrix, September 2009

24. Is Facebook’s growth in Brazil hurting Orkut?
January 2009
September 2009
© comScore, Inc. Proprietary and Confidential. 24

25. Brazilians also love Instant Messenger
Brazil leads the world in Total Visits to the category
– almost 15% more than runner-up
12B Total Minutes spent in the category, second only to the US
© comScore, Inc. Proprietary and Confidential. 25

26. The Top 25 most visited web domains in Brazil
Google’s dominant presence clearly seen throughout Top 10
Many Brazilian companies appear in Top 20 (UOL, Globo, Baixaki, iG, Abril, BuscaPe)
Twitter, Bing, 4shared, MercadoLivre other notable inclusions
© comScore, Inc. Proprietary and Confidential. 26

27. The Top 25 most visited web properties in Brazil
Top 7 properties include large multi-nationals and leading portals
Very strong performance seen from retail category (BuscaPe included)
© comScore, Inc. Proprietary and Confidential. 27

28. In conclusion
Brazilian Internet audience is…
– Highly engaged and fast-growing
– Relatively young, but maturing
– Consuming more and more sophisticated content
Relatively strong reach for portals, social media, multimedia, government and retail
Social networking and communication (IM) clear “enablers”
– stimulating overall Internet audience growth
– helping the migration of users from shared-access to H&W
Social media should be fundamental part of any digital strategy
Balanced audience demographics and diversity offers significant potential for
advertising, content development etc.
Content consumption, as well as audience profile, will move closer towards the
global averages as audience continues to mature
© comScore, Inc. Proprietary and Confidential. 28

29. November 2009
Tracking audience affinity
Alexander Banks
Managing Director, Latin America

30. Case study: Targeting the online audience
Two sites offering almost identical demographics…
© comScore, Inc. Proprietary and Confidential. 30
30

31. …but their respective audiences show clearly
distinct preferences in terms of online content
© comScore, Inc. Proprietary and Confidential. 31
31

32. comScore.com em Portugues
© comScore, Inc. Proprietary and Confidential. 32