Advertisers Spent CZK 15 billion on Internet Advertising Last Year
The volume of internet advertising reached CZK 15 billion last year. Compared to 2014 this represents a 3 per cent growth that was caused primarily by increased advertising expenditures in search advertising and content networks, video advertising, RTB and mobile display advertising. Expectations for the coming year are also optimistic, the survey participants assume that online advertising will continue to grow by 11 per cent to CZK 16.7 billion CZK. Out of the total advertising expenditures, online advertising accounts for a 20 per cent share. The data come from the annual survey of Internet advertising performance conducted for SPIR by the Ppm Factum Research Agency.
In 2015 advertisers used online advertising in the volume of CZK 15 billion. This is by 3,2 per cent (CZK 460 mil.) more than in the previous year and confirms the ongoing growing trend in the use of online forms of advertising. * estimation, excluding SMS, MMS
Source: SPIR, ppm factum, February 2016
The largest part of advertising expenditures is attributable to display advertising (CZK 6.65 billion) and advertising networks (CZK 5.85 billion) including paid search (CZK 3.66 billion) and content networks (CZK 2.19 billion). If compared to the last year, display advertising shows a 6 per cent decline, while advertising networks (including Sklik, AdWords, Facebook and eTarget) has grown by 18 per cent. Over one billion of Czech crowns (CZK 1.09 billion) is attributable to video (in-stream) advertising that has recorded the annual growth of 20 per cent. * net prices, other in ratecard prices
Source: SPIR, ppm factum, February 2016
Advertisers continuously spend more money on video and mobile advertising on the internet. In the past three years (since 2012) the performance of video advertising increased two times and mobile advertising 2.5 times, up to CZK 1.09 billion and 189 mil, respectively. PR articles expenditures represented CZK 161 million of the advertising budgets. The mobile advertising volume is coming from the participating media and shows the volume of advertisements placed on websites and accessed from mobile phones and applications. Mobile advertising (phones and tablets) in search and content networks is included in the respective categories “Search” and “Content Networks” and as stated by the respective agencies, has a 20 per cent share in this category.
RTB model advertising recorded the highest growth. The last year’s CZK 198 million in real prices is based on estimates of media, i.e. the advertising space offer. Moreover, SMS and MMS messages in operator networks reached the amount of CZK 136 million in the last year.
* estimation
** net prices, other in ratecard prices
Source: SPIR, ppm factum, February 2016
Out of all the monitored forms of advertising the highest growth of volume (more than double) was recorded by the RTB model of advertising. Positive development trends are shown also in mobile forms of advertising (24 per cent growth) and video advertising (20 per cent growth). Search advertising has grown by 9 per cent up to CZK 3.66 billion and content networks by 39 per cent up to CZK 2.19 billion in real prices. Advertising in networks (search and content networks together) has grown by 18 per cent up to CZK 5.85 billion in real prices and for this year is estimated to grow by 16 per cent.
* estimation
positive values % indicate growth
Source: SPIR, ppm factum, February 2016
For the purpose of comparing the volume of advertising in individual mediatypes, data derived from the Nielsen Admosphere monitoring of advertising expenditures were used. TV advertising maintains its dominant position in the advertising market (45 per cent). Press advertising reached CZK 17.9 billion and has a 23 per cent share in advertisement budgets. Online advertising has a 19 per cent share (CZK 15 billion). Radio advertising reached the level of CZK 6.4 billion (8 per cent) and OOH advertising CZK 4.8 billion (6 per cent). * prices excl. self-promotion campaigns
Source: SPIR, ppm factum, Nielsen Admosphere, February 2016
Since 2008, when the SPIR online advertising performance survey started, we note a long-term growing trend of expenditures in internet advertising. During the past three years expenditures in TV advertising have also increased. Both the press and OOH advertising stagnate. Performance of mediatypes is stated in ratecard prices and does not include self-promotion.
* prices excl. self-promotion campaigns
Radio adspend does not include regional advertising between 2010 - 2013
Source: SPIR, ppm factum, Nielsen Admosphere, Kantar Media, February 2016
While surveying and processing the results, in the interest of objectivity and the protection of sensitive data, the Ppm Factum agency was commissioned. The survey was conducted during January and February 2016, so that it was based on current closings of individual subjects. The performance of all types of advertising was based on declared performance of individual providers of content, agencies, and operators of advertising networks and mobile operators.
For more information about the terminology used and a description of the methodology.
Press Release - Online Adspends 2015
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