Ecuador is divided in four regions, with four main cities; two in the highlands and two in the coast. Quito (the Capital) it’s the second most populated city in Ecuador, and has the highest internet access with a 46%. Then we have Guayaquil, the most populated city and economical capital of the country, with a 44%. Manta and Machala, which are next on the list, can go as low as 24%, which brings down the national average considerately.

This being said, one of the main reasons why Ecuador has only had a 10% growth in the last four years, is mainly because the lack of innovation, the service providers are mainly a duopoly making it a restricted competition. This limited number of suppliers can set prices, which mainly are above what many Ecuadorians can easily afford. Nevertheless Ecuadorians manage to use less speed (2050 kbps for around $20) and just suffer the consequences of Internet’s “rush hour”.

According to the Ecuadorian national institute of statistics (INEC), smartphones have increased in over 16% in the past year, resulting in a 58% of Ecuadorians using smartphones and having a new and faster way to access the internet. With this, the internet access has increased and will increase considerately more, though mainly through mobile phones or tablets and not the regular laptops or desktops.

Things look better every year for Ecuador in the Internet department. The government is mostly attempting to accelerate the digital adoption, even though the government maintains a strict quota in imports for smart phones and tablets, they are also introducing little by little this technologies to the rural areas (which in Ecuador can go up to 70% of the population). Most of the government services are online now; most of the information and procedures are also online now. The government is also subsiding the cost for mobile phones to low income people, and recently distributed free tablets for all graduating classes of 2014 in Guayaquil. (Not private).

With this the government hopes to change the fact that around 25% of the internet users just accessed internet for the first time in the last five years. It is also very important to emphasize that in Ecuador, home access is supplemented in part by access at work, internet cafes and hotspots.

According to the INEC, only 39% (at most) of the internet active population have internet access at their homes, making the internet a very profitable business. “CyberCafes” (which is basically a computer rental service) are scattered all around the city, with an average price of $1 per hour. Although it is reasonably priced, it is perceived as expensive do to the extreme low income of most Ecuadorians. It was recently announced that Guayaquil’s local government will be soon launching free Wi-Fi all around the city, wirelessly and free. Guayaquil wants to be in first place in internet access in Ecuador. However, observing how the internet has changed the life of users, frequent access and higher usage will only increase. This will encourage users to find new ways of accessing the web — through tablets and smart phones, and force internet providers, in the long range, to improve their experience.

Due to this extremely rapid growth of smartphones in Ecuador, and the new reality that a majority of Ecuadorians has a smartphone, all websites should have a mobile-enabled version or an app, as they’re playing an important role in engaging with customers. Since Ecuadorian internet users spend less time using the internet, even though they love to surf the web, marketers should consider to create web content that minimizes the download and consumption time, or to create web content that is so irresistibly engaging, that consumers can’t help but spend time with the idea.

Under a recent new government regulation in communication, media companies are restricted in how much information can be communicated. For example, in September 2010 there was an inner conflict in Ecuador between the police and the president. While the government ran a special national broadcast on the issue, it restricted traditional media companies from doing so. In this instance Twitter filled the gap, people created the hash tag #30s and started telling their own stories, sharing pictures and information, so social networks became the “go-to” source for trustworthy and timely information.

This new communication regulations and laws have change the use of most active internet users, especially if they express themselves or write in social networks. The Ecuadorian government now has special powers in digitally tracking what individuals write or post on websites, especially if the material contains any anti-government content. People are now headed to websites where they can hide their identity. 82% of the active internet population worries what the internet companies do with their personal information online, and 79% worry about inadvertently sharing too much personal information online. Seven out of ten admit they don’t know some of their social connections very well, but this is a cultural thing in Ecuador, Ecuadorians need to know more people for them to feel socially accepted, it is very common to send requests to people you don’t know or want to know or have met very briefly in an occasion. Whoever has more friends or more likes or more “happy birthday” wishes on their Facebook wall, automatically is considered more popular than others. People want and tend that their social networks conveys a certain image of them, even if it is not the real one. Ecuadorian culture makes most of the new internet users; addicted, just because they want to be informed, they want to know everything about what is going on in everyone else’s life. That is why gossip shows are so huge in Ecuador. So, new internet users usually start in social networks like Facebook, Twitter and Instagram, because they want to compare their lives, to see who is dating who, where someone is eating or partying, the pictures of vacations, what somebody bought, and people spend so much time looking for gossips and information about others, that Digital Marketing is a must for any company. While people are looking for all of this information about others and surfing the web in so many ways so they can find every single detail of something, their attention can be easily taken away with the proper digital marketing strategy.

When it comes to brands, Ecuadorians follow around 10 brands. Brands in Ecuador tend to be using social networking sites for providing information about promotions or contests. The effect of this strategy is “training” young Ecuadorians to engage is shallow brand engagements (rational), as opposed to brand building (emotional). Brands are also using the internet as a new way of communicating their advertising campaigns. While this is a good way to drive integration of multi-channel campaigns, brand marketers are leaving opportunities on the table, as consumers are looking for and expecting way more than just getting offers or promotions from the social networks.

Ecuadorians expect, and want brands to provide information through social media. Marketers should focus on information about their brands or products. But an eye should be clearly focused on brand building, not just short-term tactics.

E-commerce is growing, but it is not quite developed yet. Even geographically speaking it is not evenly distributed. More than half of the E-commerce in Ecuador is in Guayaquil, Quito and Machala, which is not even the 33% of the Ecuadorian population. One of the most successful internet transactions in Ecuador might be traveling. People look for destinations, people look for fares, people compare, and they are just so tempted to buy immediately because there is a very real risk that the fare can change or just taken by someone else. In general, levels of distrust run high in Ecuador, largely due to the amount of violence and corruption Ecuadorians are exposed to almost daily. As a result, Ecuadorians have developed a cautious sensibility which extends to the world of e-commerce. Several years ago, there was an incident in Ecuador where the cloning and stealing of credit cards was prevalent. Since then, Ecuadorians have been reluctant to use credit cards online, using hem only in cases where they feel safe, like airlines or other VeriSign websites.

According to Supertel, in 2013 there are only 232 e-commerce sites in Ecuador. However, there is more than US$560 million spent via credit cards online (INEC, 2013). How can this be so? Ecuadorians are often utilizing sites outside of Ecuador, such as Amazon or Mercado Libre. Women are driving e-commerce. According to report from INEC in 2013, 64% of those making purchases online are women, with a focus on fashion products. This is largely driven by a greater variety online compared to what Ecuadorian women will find at their local retailers.

Many marketers are taking a wait-and-see approach with the internet, thinking that the channel’s immaturity allows them this luxury. This is wrong! The internet is having a dramatic impact on the youth of Ecuador — the future customers of most marketers. These young people are already online, and are already researching and searching for products and services online. And often, they’re not finding certain brands! And we can make them find those brands. The internet isn’t something that’s going to happen soon, it’s already happening. Brands need to be brave and at minimum start engaging with the channel.

Most Ecuadorians use internet for social networks. Marketers should take advantage of this. They need to engage the possible customer to the platform. A unique interaction they wouldn’t experience when visiting your website or store, is a must. You can be authentic, show brand caring and many other strategies to understand the behavior of your users and giving them what they really want. Brands should approach social networks with a strategy, with goals and measurements.

We can’t just ignore the growth of mobile phones in the last two years. They should be taken as a wake-up call for marketers, since this means that Ecuador is rapidly growing in mobile internet, with less consumers via computers. Online Marketing should be diversified to take advantage of the competition. Content is very important in mobile webs, but apps engage the consumer with the brand ON A DAILY BASIS. Just like in Latin America, internet is also transforming life in Ecuador. 89% say they love surfing the internet. 74% says that internet makes their life easier. 66% the internet has changed their life. 54% say that they can’t imagine their life without internet. (LATAM)

This being said, the majority of active internet users in Ecuador, have changed their lives because of the internet. The internet is the best place for a brand to fidelice their customers and attracts their possible customers, while making it a unique and memorable experience. Ecuador is not fully developed in this area; Ecuador lacks a lot of digital marketing culture, which is why the best moment is now. The best way to enter a digital marketing culture is to create it yourself. Ecuadorians are buying products, consuming entertainment and researching brands today. If you’re not there, they’ll find someone else. The time is now. It is a great opportunity.

This essay is part of Digilats, a joint effort of JWT offices around Latin America. http://www.jwt.com/en/jwtlatam/thinking/digilats/