The media and tech worlds are filled with hidden stories about founder journeys, go-to-market wins (and losses), pivots, and reinventions. As analysts and industry watchers, we’re fortunate to get an inside look at some of those stories, which we recently did in an introductory discussion with SearchMas.
For those unfamiliar, SearchMas is a local search marketing company for Spanish-speaking countries… and some Portuguese, given its work in Brazil. Co-founder Juan Pablo Nieto tells Localogy that, despite the size of these markets, they were behind in search marketing adoption. So he saw an opportunity.
The result is a growing search marketing firm that provides SEO, SEM, and retail data analytics to multi-location brands in the ever-growing LatAm market. Given its SEO chops, and its handle on the language and cultural nuances of that market, it’s been able to win 30+ clients in a two-year time frame.
Origin Story
Backing up, how did Nieto get to this point, and what’s his “superhero origin story?” Starting as a software engineer in Argentina, he began to pick up contract work in the late 2010s for U.S. SEO agencies such as the San Diego-based Covario, which eventually went on to become Rio SEO.
There, he cut his teeth on SEO strategies (and speaking English), such as local search rankings and other fundamentals of Google Business Profiles (then called Google My Business). After rising in the ranks and driving product direction, Covario tried to hire Nieto full-time but ran into contractual issues.
Facing a crossroads, Nieto decided to start his own company. Seeing first-hand how his native Argentina was behind in search marketing, he spotted a greenfield opportunity. For example, even multi-location giants like McDonald’s only had 10-15 reviews per location – far fewer than most developed markets.
So SearchMas was born, initially providing search marketing software to help brands and local businesses rank and manage listings. But something was missing. Nieto realized that in an underdeveloped market at early stages of its search adoption curve, clients needed hand-holding.
This compelled more of an agency approach, so Nieto rose to the occasion, layering in high-touch services like campaign planning and execution. This ended up being a missing link to inflect SearchMas, including winning several new clients and partnering with U.S. search marketing leaders like SOCi.
Chicken & Egg
One question emerges from Nieto’s backstory: Why did (and still does) the LatAm market lag behind in terms of search marketing adoption? And beyond the adoption curve, what are some of the cultural nuances of working with LatAm clients? What are their biggest differences from U.S. counterparts?
Starting with the first question, markets were underdeveloped because of both supply and demand. In other words, user demand wasn’t strong to use search as a way to find things locally. Businesses meanwhile weren’t motivated to invest in search. Altogether it was a bit of a chicken & egg dilemma.
These factors were rooted deep in the culture, so they weren’t easily nor quickly transformed. But then came Covid. We often talk about the accelerated digital transformation of the Covid era, but it was even more pronounced in underdeveloped tech markets. And that was certainly the case throughout LatAm.
So consumers turned to Google Maps – which was previously underused and untrusted – as the new authority on details like what stores were open and when. Meanwhile, all those businesses that couldn’t be found on Google Maps were suddenly motivated to be there, simply as a survival imperative.
That basic but powerful need to stay alive led to acclimation among businesses, which then blossomed into eagerness. Multi-location brands that previously prohibited their locations from having Instagram accounts were now leaning into it. In the end, the soil became tilled and fertilized for SearchMas.
Double-Edged Sword
But all the above was only a foundation for growth… the proof is in the execution. Nieto continues to face challenges in developing relationships with LatAm companies given cultural nuances. For example, there’s a greater need to educate clients and demonstrate ROI, which slows sales and fulfillment cycles.
But this can be seen as a double-edged sword. Though these factors challenge SearchMas, they also strengthen it. This in turn sharpens a competitive edge versus North American players with opportunistic eyes on the LatAm market. Altogether, this positions SearchMas well for the foreseeable future.
And that future could be bright, considering other macro factors driving LatAm search marketing. This includes generational turnover amongst digital natives. And on the consumer end, local search is on the rise, with 90 percent of searches being “near me” searches – compared with 25-50 percent in the U.S.
As for future growth, it’s all about expansion throughout LatAm, which is still early in its search adoption cycle. That includes geographic expansion as well as introducing new services and search tools. Waze is popular in LatAm, says Nieto, and there’s a sizable opportunity to help local businesses manage Yelp.
Growth could also include Spanish-speaking markets in the U.S. But for now, SearchMas is intently focused on LatAm for all the reasons above. Today, that’s 30 clients in 10 countries including Argentina, Brazil, Chile, Panama, Dominican Republic, and Mexico. And there’s ample headroom to grow from there.
If you’re interested in meeting Nieto or finding out more about SearchMas, he’ll be at L24 in April in Dallas.
