Latin American Banks lag significantly behind in digital marketing maturity compared to other sectors
Digital marketing investment in Latin America has grown by 67% in the last year. Latin American banking leads the investment, with ~40% of respondents investing over 60% of their marketing budget in digital strategies. 88% of banks in Latin America have increased their investment in digital marketing.
Despite these advances, a recent report from the Boston Consulting Group (BCG), titled “Unlocking Digital Marketing Maturity in Latin American Banking” highlights that Latin American banks are significantly lagging behind compared to other industries. Challenges named in the report are the lack of data integration, adoption of new technologies (e.g. AI) and lack of effective collaboration.
By strategically addressing these challenges, implementing best practices in planning and executing digital strategies, banks in the region can achieve significant growth and a competitive advantage.
Higher digital marketing maturity delivers notable advantages for businesses, including revenue growth, cost savings, and greater market share. Brands with advanced digital marketing strategies experience significant gains in performance metrics and, on average, achieve nearly double the profitability growth rate of less mature brands.
Specifically, high-maturity brands show a five-year EBITDA compound annual growth rate (CAGR) of 15%, compared to 8% for lower-maturity brands.
More in the BCG Report “Unlocking Digital Marketing Maturity in Latin American Banking”