Konseling Online

Outlook for Search and Online Advertising Market in Russia

Russian Internet sector is undoubtedly one of the most fast-growing sectors of the global web. Number of Internet users and amount of resources invested into internet-advertising is growing very fast.

General Overview. Basic Data.

By the end of 2006 number of Internet users in Russia turned 26 mln people and analysts foresee this figure to reach 30 mln people by the end of 2007. Yearly growth of number of people amounts to 13-20%.
By the end of the year the number of national domain names in .RU zone exceeded 700,000, growth worked out 61% per annum. It means that business actively perceives Internet as one of the strongest development instruments. A graph showing the growth of trade Runet audience

– Monthly audience, according to Rambler

– Weekly audience, according to Rambler

– Daily audience (working days), according to Rambler

– Monthly audience, according to POF (Public Opinion Fund)

Yandex (yandex.ru) is the leader in the Russian Internet market, which occupies 48.715% of the market. According to the results of the first quarter of 2006 Yandex share amounted to 51.8%, which means that Yandex lost 3.1%. Yandex’ offerings include web directory, search engine, (text & image), paid advertising/search (local), news, encyclopedia, shopping search, RSS search, online transaction system, games, and geographical maps. Yandex.Direct is its advertising program. Konseling Online The portal/search engine enjoys more than 50 percent share of the total Russian market. Yandex generates around 60 percent of traffic.

The main competitor of Yandex search system is a world leader Google, which forereached Rambler in 2006 and took second place occupying a 21.8% search market share.

For the period of 2006 Google increased its market share by 7.4%. Google established an office in Moscow, Russia, as a part of its global expansion strategy. The company intends to become a major player in the Russian Internet ad market. Lowongan Kerja Improving the search capacity in Russian language is on the company’s list of future activities. Google enjoys an edge over domestic players in Russia, in terms of its offerings, including satellite images. The new office includes an R&D center.

Rambler lost 2.5% of the audience for the last year. Runet currently occupies only 17.21% of the market.

Some analysts foresee Google taking premier place at the Russian market in the short run.

Internet Advertising Market

In 2006 total Internet ad market volume amounted 237 mln USD in Russia (in comparison with the previous year the growth made up 87%). The sum includes:

·Media advertizing – 87 mln. (dynamics growth – 42% per annum)

·PPC advertizing – 102 mln. (dynamics growth – 155% per annum)