Latin America audio visual buyers are optimistic about the industry, with nearly three quarters of the respondents to AVIXA’s Q3 Market Opportunity Analysis Report (MOAR), expecting increased capital improvement budgets in the coming quarter. In Latin America, the most important Pro AV markets, based on size, are Brazil and Mexico. AVIXA end user survey data indicates that despite economic head winds the users report that each country also maintains above global average share of AV spend of Capex and Opex.

As a market, Latin America and the Caribbean include thirty-three countries, each with unique AV markets. According to AVIXA’s Industry Outlook and Trends Analysis (IOTA), aggregate Pro AV spending for the region will total $14 billion in 2024.Some commonalities include a market landscape of subsidiaries of global manufacturers, many integrators and distributors. The integrators range from a few large and medium-sized companies s to hundreds of small firms. A number of distributors represent imported brands and there is an active online market for direct purchase by end users.

Economic and market factors make the region a price sensitive environment, with manufacturers and distributors having to promote quality despite what users perceive as high prices. This trend is exacerbated by a complex and expensive import tax structure in many countries that detracts from margins. Another factor is the influx of low-cost brands from China and elsewhere that are marketed as the same function at one-tenth the price.

Both Mexico and Brazil, have a strong Media and Entertainment industry, which drives AV investment in content creation, production, and distribution. Looking at the verticals in each country, Government and Healthcare are the most prominent investors in Pro AV projects. Anecdotally, these markets can sponsor large projects, but are also vulnerable to political priority shifts. Despite the significant Media economies current spending growth is lowest among Venues and Entertainment, according to the survey. Manufacturing, Retail, Corporate and specialty markets comprise the other major sectors within the regions, with significant investments in redefining workspaces and leveraging Pro AV for content.

For Mexico, the Q3 MOAR survey identified workspaces for space upgrades, whether corporate, manufacturing, or government. Learning solutions, conferencing and collaboration and control systems were also prioritized aligning with the office-oriented focus. Mexico users also are interested in fundamental products, including a prominent investment in software. Also interesting was the importance of AV production rooms – driven by corporate as well as media.

Brazil’s investment landscape tells a similar story, with high spending growth expectations, especially for software. While the workplace is a key driver, there is a surge in content production using broadcast AV solutions and content management and capture & production equipment.

Taken together the Latin America and Caribbean market is a growing opportunity for Pro AV firms with an optimistic end user base seeking cost effective products across government and corporate, as well as media and entertainment sectors.