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Focus on Mexico

VitalStatistics

Population: 108,396,000
Monetary unit: Mexican peso (Mex$)
Capital city: Mexico City
Major languages: Spanish
Major religions: Christian 96.3%, of which Roman Catholic 87.0%, Protestant 3.2%, independent Christian 2.7%, unaffiliated Christian 1.4%, other Christian (mostly Mormon and Jehovah’s Witness) 2.0%; Muslim 0.3%; nonreligious 3.1%; other 0.3%
Ethnic composition: mestizo 64.3%; Amerindian 18.0%, of which detribalized 10.5%; Mexican white 15.0%; Arab 1.0%; Mexican black 0.5%; Spaniard 0.3%; U.S. white 0.2%; other 0.7%
Age breakdown: under 15, 29.6%; 15–29, 27.0%; 30–44, 21.6%; 45–59, 13.1%; 60–74, 6.4%; 75–89, 2.1%; 90 and over, 0.2%
Life expectancy: male 74.0 years; female 78.8 years
Education: Percentage of population age 15 and over having: no formal schooling 8.4%; incomplete primary education 14.3%; complete primary 17.6%; incomplete/complete secondary 25.2%; vocational/professional 31.3%; advanced university (masters or doctorate degree) 0.7%; other/unknown 2.5%
Urban/Rural split: urban 77.2%; rural 22.8%
Income per household (USD): -
Broadband internet users (%): -

Source: Encyclopedia Britannica

Introduction

Mexico is the world’s 13th largest economy, and in the past two decades it has grown rapidly, helped firstly by its large and ever better educated population of around 112 million, and secondly by increasingly free trade with its rich northern neighbour. 

Yet, 2009 was a tough year for Mexico. The deepest economic crisis in 70 years, which saw GDP plunge by eight per cent, was followed by the swine flu pandemic which affected the country’s reputation to such an extent that the capital Mexico City was driven to hire Weber Shandwick in an attempt to restore its reputation.

Yet, despite this, industry body Asociacion Mexicana de Profesionales de Relaciones Publicas (PRORP) estimated that in 2009 the PR industry grew 17% to $250m. Lorena Careno, president of the PRORP reports that it retained much of this growth in 2010.

Much of this growth, say industry experts, is down to multinational corporations. Domestic companies, particularly exporters, are unwilling to invest substantial sums in PR, and Careno reports that PR in Mexico
has traditionally struggled for its share of budget.

"For many years, public relations professionals have fought to become
a discipline and to be seen in a professional way,” she says. “More  recently this has begun to happen thanks to specialised associations like PRORP and formal education at universities.”

Media

Traditional media dominates in Mexico, led by the two national television chains:Televisa and TV Azteca. Radio is a highly important media channel in Mexico, with no fewer than seven groups vying for dominance.

Key newspapers are El Universal, which circulates to some 300,000 readers, and the more conservative-minded Reforma. La Jornada occupies a centre-left positioning, and is often viewed as Mexico's most independent newspaper.

The libertarian El Economista is the country's key business daily, while Milenio is noted for its political coverage.

Although only around 30% of the Mexican population is online[1], it is still an important medium. Social networking has surged in recent years, led by Facebook Mexico, and other important sites include Google Mexico, Yahoo Mexico, Terra%44, MSN1 and El Universal.

Specific niche websites of importance include customer service champion Apestan.com, which literally translates to 'your company stinks', and consumer rights watchdog El Poder del Consumidor. Environmental news site Planeta Azul is also influential.

Major Brands

XReputational challenges at Mexican companies are not for the faint of heart. Industry experts describe issues such as internal corruption, drug dealing, and anti-competitive trade practices.

A handful of domestic companies have seen the benefit of proactive reputation management, including Telcel Mobile, pharma major Genomma Lab and Citigroup subsidiary Banamex.

Largely, though, it is the multinationals that are noted for stakeholder engagement, with Coca-Cola, Wal-Mart, P&G and HP all particularly active. 

Careno adds: “The big corporations that understand the concept of 360 degree communications include brands like Telmex, Bimbo, Cemex, Grupo Modelo, and Banorte, as well as many of the insurance companies and pharmaceutical companies.

Domestic government spend on PR is largely limited to an internal function called Social Communication. The investment and tourism ministries retain agency support in foreign markets.

Agencies

Careno reports that all of the international firms have a presence in Mexico, including Hill & Knowlton, Fleishman, Porter Novelli, Edelman and Ogilvy PR. She adds that the top ten national players are Zimat Consultores, Arvizu y Asociados, Grupo Public, Percepci?n & Imagen, Marketing Q Strategies & Communications, PR Partners, IC&M, Lead Image, Infosol and Mendez y Asociados.

Most activity centres on corporate, technology, healthcare and consumer. Public affairs is at an early stage of development. Efforts to regulate the industry have failed to gain traction. Key players include Estrategia Structura, Guerra Castellanos and Estrategia Total.

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