Internet Market Environmentin Chile

Siteengine Inc. (Tokyo, Japan)19nd June, 2014

http://www.siteengine.co.jp/en/

info@siteengine.co.jp

About Chile

Area 756.096 km2

Population 17.772.871 (2013 est.)

GDP(ppp) $335.579 billion (2013 est.)

Internet TLD .cl

Official Language Spanish

Religion Catholicism 66,6%

Currency use Peso (CLP)

Calling code +56

Mobile subscribe 24,5 million lines (2013)

Internet User 11,7 millions (2013)

Source: Wikipedia

Ethnic group in Chile

Ethnic group % of total

Caucasians 52,7%

Mestizo 39,3%

Amerindian 8%

Ethnic group

Caucasians

Mestizo

Amerindian 78,5%17,5%

4%

Source: Wikipedia

Chile Age Structure

Age Structure% of total

(2014 est.)

0-14 20,7%

15-24 16,3%

25-64 53,1%

65- 9,9%

Source: www.cia.gov

Internet users in Chile

Internet users in 2013: 7,8 millions

44,4% of Chileans use internet

1,7 1,7 1,7 1,8 1,8 1,9 1,9 2,0 2,0 2,0 2,1 2,2 2,2 2,2 2,2

0,6 0,9 1,1 1,2 1,4 1,8 2,1 2,63,1 3,6 3,9

4,34,9 5,1 5,6

Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

Fix MobileUsers in Chile

(millions)

Source: http://www.ccechile.org/

2,32,6 2,8

3,0 3,23,7

4,04,6

5,15,6

6,06,5

7,17,3

7,8 million

users

TOTAL

2009 2010 2011 2012 2013

Mobile Subscribers

Mobile subscribers: 24,5 million subscribers.

In Chile, there is more phone numbers than population. There is 139,5 subscribers per 100 habitants

4,5 4,8 5,1 5,4 5,8 6,0 6,2 6,4 6,5 6,6 6,8 6,8 6,8 6,9 7,0

11,9 12,3 12,5 12,9 14,1 14,3 14,6 15,1 15,9 16,1 15,7 16,4 17,3 17,2 17,5

Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

Contract Pre paid

Mobile subscribers in Chile

(millions)

Source: http://www.ccechile.org/

16,4 17,1 17,618,3

19,9 20,3 20,8 21,522,4 22,7 22,5 23,2

24,1 24,1

24,5 million

subscribers

TOTAL

2009 2010 2011 2012 2013

Fixed Phone Subscribers

Fixed phone subscribers: 10,2 million subscribers in 2013.

In Chile, the fixed phone is loosing comercial subscribers but it is increasing residential subscribers. The overall decreasing.

1,1 1,1 1,2 1,2 1,2 1,3 1,3 1,3 1,3 1,3 1,2 1,2 1,3 1,3 1,2

2,3 2,3 2,2 2,2 2,2 2,1 2,1 2,1 2,0 2,0 2,0 2,0 2,0 2,0 2,0

Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

Residence Comercial

Fixed Phone subscribers in Chile

(millions)

Source: http://www.ccechile.org/

3,4 3,4 3,4 3,4 3,4 3,4 3,4 3,4 3,3 3,3 3,2 3,3 3,3 3,3

3,2 million

subscribers

TOTAL

2009 2010 2011 2012 2013

Internet Monthly Rate in Chile

Mobile Internet Package Data Plan Price

Claro 1 GB 17,78 (US $) / month

Entel 7 MB / day 0,63 (US $) / day

Movistar 1,2 GB 17,78 (US $) / month

Source: http://www.movistar.cl/

http://www.clarochile.cl/

http://www.entel.cl/

In Chile the mobile subscribers are distributed between Movistar, Entel and Claro.

Home use internet Mbps $ (USD) / month

Claro 10 35,92

Movistar 4 28,72

Telecom Statistic, 2013/2014

- Mobile subscription: 24,5 million subscribers- Fixed and Fixed WLL: 2,2 million subscribers- Mobile Broadband: 5,6 million subscribers- Internet user: 11,7 million users

Source: http://www.ccechile.org/

http://www.ilovechile.cl/

Top websites in Chile by alexa.com

1 Google.cl

2 Google.com

3 Facebook.com

4 Youtube.com

5 Yapo.cl

6 Yahoo.com

7 Wikipedia.org

8 Live.com

9 Blogspot.com

10 Twitter.com

1 Google.cl

2 Yapo.cl

3 Emol.com

4 Latercera.cl

5 Bancoestado.cl

6 Mercadolibre.cl

7 Lun.com

8 Economicos.cl

9 Bancochile.cl

10 Gov.cl

Top local sites in Chile by alexa.com

Facebook User in Chile

Chile is one of the countries with highest penetration rate in Facebook.

In June 2012, there were 9,3 million Facebook users. 9 from 10 internet users in Chile has an account on Facebook.

Source: http://www.internetworldstats.com/

Twitter vs Facebook in Chile

Twitter is very popular in Chile. It has more than a 5 million users.

It’s the TOP 7 country that uses Twitter. (by population rate)

In Alexa’s rank Twitter is in the top 10 while Facebook is in the TOP 3. Facebook is more used and popular than Twitter.

Source: http://www.lahora.cl/

Top Facebook Page in Chile

Page Type Local Fans Fans

1 Facebook for Every Phone Entretainment 2.736.908 456.104.265

2 Facebook Media 2.182.790 152.189.021

3 Facebook Media 2.180.049 22.196.892

4 Falabella Brands 1.702.998 1.900.031

5 Daddy Yankee Celebrities 1.619.063 23.948.707

6 Colo-Colo Sport 1.522.811 1.660.041

7 The Simpsons Entretainment 1.515.531 73.970.985

8 Mundo LG Brands 1.485.207 1.644.003

9 Youtube Media 1.466.199 81.198.942

10 Coca-Cola Brands 1.436.485 83.775.763

Source: http://www.socialbakers.com

Chilean Popular Youtube Channel

Source: http://www.socialbakers.com

Fastest Growing Channels in June 2014

Source: http://www.socialbakers.com

Online Business in Chile

Source: http://www.ccechile.org/

http://www.emol.com/

E-commerce:

447514

730

1.066

1.275

1.600*

2008 2009 2010 2011 2012 2013

BUSINESS to CLIENT (B2C)

Millions of USD

In Chile, e-commerce has increased and in 2014/2015 it is expected to reach 2.000 USD. · The online buyers are intensifying their online purchases.· The amount of online buyers and online sellers is still increasing.

* aproximation

Online Business in Chile

Source: http://www.ccechile.org/

E-commerce:

101

8277

5447

2727

B2C

Sales B2C (US$) / Habitant

Chile still has space to grow. But it’s clearly over the average in the region.

E-banking in Chile

In Chile there is no bank-independent electronic banking standard. The online banking service is offered by their own country’s banks.

Mobile banking is offered by the country’s leading commercial banks.

In January 2014, there were 4.987.976 monthly e-banking users.

Source: globalconnections.hsbc.com

http://www.sbif.cl/

E-banking in Chile

Peso (CLP) is the official currency. The amount of ATM is increasing.

52

54

56

58

60

62

64

66

68

2009 2010 2011 2012

Number of ATM /

100.000 habitants

Source: http://datos.bancomundial.org

E-banking in Chile

Evolution of credit and debit cards in Chile

Millions of cards

Source: http://datos.bancomundial.org

4,34 4,89 5,696,37 6,58

8,11

11,3713,21

15,0116,53

2009 2010 2011 2012 2013

Credit Debit

There are more cards than Chileans. Therefore, some people have more than 1 card.

From E-banking to Internet Market

+ The E-banking is very important for the expansion of the e-commerce. They still need to work on the "easy going" and truthfulness of the pay systems in order to convince the customers to choose the online method in their purchases.

+ Debit Card or Credit Card is the most used payment method.

Starting a new business in Chile

The following URL provide the information to Start a new business in Chile.

http://www.icaew.com/en/library/subject-gateways/doing-business-in/chile

http://www.doingbusiness.org/data/exploreeconomies/chile/starting-a-business

Popular in Chile

Portal Bank

MobileCarrier

NewspaperTV Channel

Internet Market(C2C)

www.twitter.com

Founded: March 2006

CEO: Dick Costolo+ Twitter is an online social networking and microblogging service that enables users to send and read short messages of maximum 40 characters.

+ It gained worldwide popularity and in 2012 they had already 500 million users and 340 million tweets per day.

+ Chile is the TOP 7 in the world using Twitter. (by population rate)

www.bancoestado.cl

+ The Banco del Estado is the national comercial bank of Chile.

+ It’s the institution that performs all financial activities of the Chilean Treasury.

+ The Headquarters are located in Santiago de Chile.

President: Rodrigo Valdés Pulido

Founded: 1953

+ “Mercadolibre” in Spanish means “free market”.

+ It’s eBay’s Latin American partner. And it’s the number one e-commerce site in Latin America.

+ Mercadolibre was established in 1999 in Argentina and rapidly expanded to other countries of South America and Mexico.

+ Traded as NASDAQ: MELI

+Type: e-commerce

www.mercadolibre.cl

+ CEO: César Alierta Izuel

+Founded in 1995.It’s the comercial brand of Telefonica.

+Type: mobile carrier

www.movistar.cl

+ Movistar operates in Chile and other Spanish speaking countries. The institutional brand is a multinational company that operates in 24 countries but it was originally the main telecommunication company of Spain.

+ They provide services such as:- Internet ADSL and Optical fiber- mobile- Home phone- Television- Digital services

+ Canal 13 it’s the second oldest television station in Chile. Major satellite and cable providers have noted a growing demand for Canal 13.

+ TV stations:· 13C· 13HD· 13 Valparaíso· 13 Concepción

+ From 1999 it has been supporting it’s TV stations and radio channels through internet.

+ Owned by Grupo Luksic (67%) and Pontífica Universidad Católica de Chile (33%)

+Launched in 1959

+Type: TV chanel

www.13.cl

+ La Tercera is a Newspaper published in Chile and it is the closest competitor to EMOL (El Mercurio).

+ It also belongs to Periodicos Asociados Latinoamericanos (PAL), an organization of fourteen leading newspapers in Shouth America.

+ From 2010, it includes an international version of El Pais (A newspaper from Spain) for subscribers who make an additional payment.

+ Acording to Alexa.com it’s the second most read newspaper in Chile. Right behind EMOL (El Mercurio)

+ Owned by: Copesa

+Founded in 1950

+Type: Newspaper

www.latercera.com

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