Nearly 400 million people in Latin America will use social networks in 2022. Facebook remains the region's biggest platform, but it will experience its slowest user growth on record this year as TikTok and Instagram make gains.

TikTok’s adoption has exploded. In our inaugural forecast, we estimate that TikTok surpassed the 100 million user mark in the region last year. In 2022, users will surge 12.8% year over year (YoY) to 136.1 million. More than 3 in 10 internet users will be on the platform.

Digital ad spending is exploding in Latin America. It will grow by 34.8% this year to $20.86 billion—a figure more than double the amount spent in 2020. Mobile will be the main growth driver, propelling the region’s digital ad market to new heights over the course of our forecast period.

Square and Shopify let sellers set up shop on TikTok. Creator payments. Providers are looking at enabling direct payments, which may lead to more features like Twitter’s PayPal- and Stripe-operated tip jar and Super Follows. Platform ownership. After acquiring Tidal, Block (formerly Square) is using it to build out artist payouts and will continue to add integrations.

TikTok is now the third-largest worldwide social network, according to our inaugural forecast. It will have 60% more users than Snapchat and twice as many as Twitter this year.

In Latin America in 2022, digital payments will make gains, consumer expectations around ecommerce will shift, corporate sustainability and social issues will come to the fore, SMBs will bank on social commerce, and retail media networks will make their presence felt.

Latin America. Startup Investment Will Expand in the Region. CB Insights puts startup investment in Latin America at $9.3 billion in H1 2021, a fraction of what went into Europe, but a figure nearly double that of all investments made in the region during 2020.

We define “social commerce” as products or services ordered via social networks, such as Facebook, Instagram, Pinterest, TikTok, WeChat, Line, VK, and others, either by buying directly on the social platform, such as via Instagram Checkout or WeChat Mini Programs, or through clicking links on the social network that lead to the retailer’s product page to complete the purchase.

TikTok: In March 2021, Walmart partnered with TikTok for a second live shopping event on the platform, following a pilot of the livestream shopping program in December 2020. Walmart hasn’t provided sales figures from the first live event but told TechCrunch in March that it received seven times more views than expected and a 25% increase in its TikTok follower count.