The segment is experiencing accelerated growth, driven by the new role of children in family consumption decisions. Companies like Netflix, Disney, and LEGO are already investing in specialized technologies to connect with these audiences safely and effectively.
Digital advertising has become one of the fastest-growing segments in Latin America, with an estimated market of US$380 million this year. Behind this expansion lies a key shift in household consumption behavior: Minors no longer only influence purchasing decisions, but also make and manage their own money.
Demian Falestchi, CEO of Kidscorp, states that "8 out of 10 parents recognize their direct impact on household purchasing decisions." The influenced categories include toys, entertainment, technology, fashion, food and travel. Kidscorp projects to invoice US$15 million this year, representing 25% growth compared to 2024.
According to industry data, one in three online users is under 18 years old, with most content consumed through digital devices. This context highlights how youth digital advertising in Latin America is shaping the adtech industry's future.
"Ten years ago, we saw a clear need: as children migrated from TV to connected devices, there was no solution to reach them."
The company works with over 500 global brands including Disney, Mattel, Netflix, LEGO, Adidas, Mercado Pago and Pepsico, plus major advertising agencies such as Publicis, IPG, WPP Media, Dentsu, Havas and Monks.
Specialized Technology for a Regulated Market
The primary challenge involves regulatory complexity. Legal restrictions on collecting personal data from minors require developing specific technologies enabling audience segmentation while protecting children's privacy.
"We have been using artificial intelligence, machine learning, and data mining for years to optimize our algorithms and data analysis, to segment and measure advertising without having to collect personal data from minors."
The Kidscorp platform operates as a DSP (Demand Side Platform) allowing planning, activation, and measurement of digital campaigns with omnichannel reach across YouTube, apps, games, connected TV, and Roblox.
The company has maintained double-digit growth over five years while remaining profitable since inception. In 2019, it received investment from a major U.S. and European sector company but later repurchased the stake to maintain independence.
"We were born with bootstrap DNA: we focused on independence, agility, organic growth, and a long-term vision."
The company has invested approximately US$18 million in research and development. Kidscorp currently operates throughout Latin America with primary presence in Mexico, Brazil, Argentina, Colombia, Chile and Central America, while managing clients in the United States, Europe, the Middle East and Africa.
New Opportunities and Challenges
Kidscorp is introducing strategic innovation for the remainder of the year: integrated connection with entire families, not only those under 18 but also their parents.
"At Kidscorp, we engage parental audiences not based on their demographic profile, but rather on what they represent: moments, emotions, and actions that directly impact family dynamics."
The executive projects that advertising for youth audiences will face greater regulation and specialization in coming years, with artificial intelligence playing a key role in campaign automation while prioritizing children's privacy.
"Only those who can make their margins by offering real and measurable value will survive."
Falestchi believes the market is moving toward simpler and more direct structures with fewer intermediaries and greater transparency.