Certifica.com starts expansion through Latin America

By Hector Calabia

IDG News Service, Buró de Buenos Aires

BUENOS AIRES, Argentina (19/7/2000) - A new Internet audience audit firm has just landed in Buenos Aires, and plans to cover the rest of Latin America and the U.S. Hispanic market within a year. It is Certifica.com S.A., a company that plans offering a Web traffic certification service, for the entire Latin America market, in less than eight months time.

 

The firm is backed by Fundación Chile, an organization that serves as an "incubator" for diverse Chilean companies (not just Internet start-ups). Certifica.com operates in Santiago de Chile since April 2000, and is now opening offices in Argentina and Perú. In the near future, it plans expanding to Brasil, Colombia and México. It will establish operations in Venezuela and Miami by this year's end.

 

During a press conference held on Tuesday in Buenos Aires, there was a discussion panel with the heads of Comunica. com. The President is Eduardo Bitrán, who also serves as General Director of Fundación Chile, the CEO (chief operating officer) is Alejandro Fosk, and the general manager for Argentina is Daniel Grunfeld. The company is incorporated in Chile, and it is being incorporated both in Argentina and Perú.

 

According to Fosk, their aim is making of Certifica.com the standard for Internet audience auditing in Latin America.

 

To this end, Fundación Chile invested a "seed capital" of US$500,000, and the firm is now doing a financing round. It expects raising US$5 million funding for its initial operations in the region.

 

The certification system is aimed to companies that have Internet sites. The system offers an external objective certification of visitors per hour, per month and page views. This information can be used for selling advertising, raising capital, and for internal management control, Fosk said.

 

According to the executive, the system works by inserting a script at the bottom of each audited page. Each time that a browser makes a page request, and the page is fully displayed, the script sends a "notification" to Certifica.com own servers, and the system adds the page view to the suitable account. The software has been developed in-house and it has safeguards against artificially induced statistical swelling.

 

The audited figures are permanently available to the clients from the Certifica.com Web site, and are being updated by the minute.

 

Asked by the IDG News Service, Fosk said that each audited Web site has the right to see its own statistics only, and it has also the right to publicize them as it sees fit. Certifica.com service is not being offered to advertising agencies by now. It is just being offered to Web sites operators.

 

Backing up its operations, Certifica.com recently signed a deal with PrecewaterhouseCoopers for developing new joint Internet audience audit products. These products will use Certifica's technology, backed by the American firm exoertise. The product will be called Certifica Audit and will be issued jointly by PricewaterhouseCoopers and Certifica.com.

 

 

Pricing Policy

 

The basic idea is that Certifica.com's service should be affordable for all interested Web sites, so as to cover all commercial sites in Latin America and the U.S. Hispanic Internet market.

 

The pricing scheme is very flexible, and it is dependent on the number of monthly page views, and the sophistication of the generated reports. The basic Certifica service is free for Web sites with up to 10,000 page views per month. From that point up, prices go from $30 for sites that barely exceed that figure, up to $400 monthly  for Web sites with more than 1,000,000 page views per month.

 

"Sites that range between 1 million up to 10 million page views per month are considered important in Latin America",  said Daniel Grunfeld, general manager of Certifica.com in Argentina. But smaller sites should not be overlooked, because sometimes they are important "niche markets". Certifica.com has no competitors in this field, he said, because it serves Web sites of all sizes.

 

The system plants a cookie in the visitors' s computers, in order to track repeat visits. "The information is always reported as statistical aggregates. No information about individual users is ever released", said one of the panel members.

 

Asked about the foreseen financial results of the venture, Alejandro Fosk answered that, conservatively speaking, the company expects reaching its break-even point in about ten or eleven months, with yearly revenue of about $3 million to $4 million in Latin America. Fosk emphasized that this a conservative calculation, considering the explosive growth of the Internet market and that Certifica's service is being accepted by "99 per cent" of Web sites operators.

 

Fosk revealed that they were extremely interested in opening an office in Argentina "as soon as possible", considering that that country – although it still has a relatively low percentage of Internet users -– has been the most significant and successful contributor of Web sites and dot-com companies in Latin America. "Argentine entrepreneurs have a special quality, maybe a better capacity for facing risks, that is not to be found elsewhere in Latin America", Fosk said.

 

Legally speaking, there is now Certifica S.A. in Chile. In Argentina and Perú they are organizing companies under the name Certifica.com S.A., and the company is planning setting up its headquarters in the British Virgin Islands or in the state of Delaware in the U.S.A., according to Fosk.

 

Certifica.com can be reached at +54-11- 4775-5087 in Argentina, or at +56-2-240-0420 in Chile. Its Web address is: http://www.certifica.com  .

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This article was originally published by the IDG World Network of magazines and Web Sites
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