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The OOH industry must become an advertising support for the Ukrainian economy

10 December 2014

The Industrial Committee of Outdoor Advertising (ICOA) has summed up the results of 2014 and has announced the forecast for 2015

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On December 5 in Kiev the meeting of the heads of ICOA founder companies took place. At this meeting leaders of OOH industry summed up the results of the leaving 2014 and stated the tasks of the branch for 2015.

"In 2014 the market size of outdoor advertising in money terms reduced by 30% (without political campaigns). The reasons for that were the general situation in the country and loss of the Crimea, part of Donetsk and Lugansk areas from advertising space of Ukraine. However, despite the extremely negative factors, in 2014 the OOH industry showed its potential. Domestic advertisers including a segment of medium business became more active in using this type of media. The industry becomes more socially useful media, it becomes the channel of transfer not only commercial, but also significant social information," noted Yury Charukha, the head of ICOA.

"We see the task for 2015 in preservation of branch volumes at the level of 2014. Though we don't exclude possibility of their slight decrease at the level of 0 — 10%," told Anton Kopytov, the CEO of “GroupM Ukraine”.

"The prospect of the branch in 2015 depends first of all on economic indicators of the country on the whole. However the branch has to take vigorous steps to strength the position of effective and socially demanded media," defined one of the key reference points for 2015 Enver Kikava, the managing director of Starcom agency.
The participants of the meeting also discussed media inflation indicators in the OOH market.
"We understand how it is important for economy of Ukraine and the companies of our market to keep opportunity to buy effective advertising in former volumes. Today the available and effective advertising is one of the key factors of success and viability of the companies working at the Ukrainian market. We hope that the OOH industry will find internal reserves to keep the prices of 2014 (partially or completely) for the next year. Though it is very complex challenge when the level of devaluation of UAH for the year is more than 53%, and inflation has reached 20%," told Oleg Nevelchuk, the CEO of “RTM-Ukraine” Group of Companies.

"Even in our hard time outdoor advertising remains the most effective channel of the report of information on a cost index of one thousand contacts," told Andrey Nikitich, head of “Master AD” Agency. "The following steps must touch on the structuring of service components, that will increase clearness and transparency of processes, speeds of service, additional services."

Summing up the meeting results, the participants addressed to advertising and marketing community with the offer to combine efforts for creating a support program of economy of Ukraine development. It will allow using such a powerful tool as advertising not only for development of the separate companies, but also for development of Ukraine economy on the whole. This task can be solved effectively on condition of more dense and system interaction of all key media: OOH, TV, digital, press, radio.