Ukraine’s advertising industry has grown by 25% in 2019, and its expansion is set to continue in 2020 at a rate of 18%, according to the latest report by the All-Ukrainian Advertising Coalition, Ukraine’s largest public association of the advertising industry.

According to them, there appears to be no difference between online and offline ads in Ukraine, as both show and expect steady growth. TV ads, meanwhile, are expected to perform better in 2020 with the European Football Championship and the Summer Olympics in Tokyo on the radar.

In 2019, the total advertising market was valued at roughly $1 billion.

Offline advertising

The market for outdoor billboard ads was valued at $8.5 million in 2019. The advertising coalition predicts it will be the most promising direction in marketing in 2020, with an impressive 86% growth.

The amount of outdoor billboard ads is expected to increase by up to 15% due to the space left vacant after political ads were removed following the presidential and parliamentary elections in 2019.

Online advertising

Online ads, in turn, also generated 24% more profit in 2019, making $290 million.

There were several key drivers of the growth in online ads: the dominant role of banner advertising on Facebook, promotions via U.S.-based video-sharing platform YouTube and the growing number of Ukrainians with access to mobile internet.

In 2020, online banner advertising placed on websites as well as ads spread through social media like Facebook and Instagram will see 20% growth, generating $146 million more than in 2019, the All-Ukrainian Advertising Coalition forecasts.

Digital video advertisements will see 30% growth, generating roughly $33 million more to reach a total of over $140 million in revenue.

Ads on television

Television advertising will grow by 25% for direct marketing ads – for example, the ones during commercial breaks – and 20% for sponsorships, ads placed in TV shows and televised sports events.

According to the All-Ukrainian Advertising Coalition, sponsorships will grow faster than direct marketing, primarily due to the activity of betting companies, which will increase their presence on TV while awaiting the start of the European Football Championship and the Summer Olympics in Tokyo.

Sports broadcasting sponsorships can increase by at least 20% in 2020.

Ads in press, radio

In the press, the advertising market was valued at $74 million in 2019, 14.8% more than in 2018.

The fact that newspapers Segodnya (Today) and Dzerkalo Tyzhnia (Mirror of the Week) stopped publishing print editions in 2019 may cause the press ad market to slow its growth a bit to 13.5% a year.

The radio ad market has shown growth of roughly 25% and is expected to grow at least 15% more in 2020.

 



Source link