The expiring 2012 brought to outdoor advertizing 1,50 billion UAH that is for 350 million more than in 2011. Thus, the outdoor advertising confirmed a trend of 2011 on further development.
In 2012 two budget forming events were assumed. There were the football Euro-2012 championship and the election campaign in Verkhovna Rada of Ukraine. And if Euro didn't satisfy expectations, pre-election activity in outdoor advertising broke all records and brought branches about 120 million UAH.
One more important factor – the growth of advertizing surfaces quantity stopped in the expiring year. For today we recorded about 90 000 surfaces in 60 cities. The main part (29%) stock is the share of Kiev, 6-7% - in million plus cities, 3-4% - in the cities with the population of 700-500 thousand and 1-1,5% - in the other regional centers.
Budgets were also unevenly distributed on the territory of Ukraine. More than 40% of all advertizing budgets were the share of Kiev. Donetsk, Odessa, Kharkov, Dnepropetrovsk: 8%, 7,5%, 7%, 6% respectively. And 31% were distributed between other cities of Ukraine more or less evenly.
As for formats, for about 20 years the boards of 6х3 in size are still the most demanded. There are 42 000 boards of this size throughout Ukraine.
The second are city-lights of 1,8х1,2 m in size – nearly 17 000.
On the third place are prismatrons of 6х3 m in size – nearly 11 000.
In total the quantity of traditional formats surfaces is 70 000 throughout Ukraine that is about 80% of all national park of outdoor advertizing.
Certainly, at the general national park there are also other types of carriers, including the dynamic: LED-screens (street screens) and scrolling billboards (163 LED-screens and 610 scrolling billboards). These are rather new formats which have both the advantages and shortcomings in comparison with classical formats. And how perspective they are for the Ukrainian OOH market the next years will show.
In 2012 the processes of the market structuring and increase in a share of system operators were lasting. For today there are four leaders which own more than 32 000 surfaces of various formats.
The "Prime Group" was the most dynamically developing operator this year. Its market share increased from 3,5% to 9%. "RTM-Ukraine" and "Gallery Plus" had a growth too. The operator of LED-screens "Hi-tech" developed dynamically.
Systematization and market integration, including due to merges and absorption of operators became the general trend of the expiring year. Those operators who relied in the work on the new technologies of sales, service and quality had advantages. Obviously, this tendency will go on next year.
Development of sales-houses became one more noticeable event of 2012. In the expiring year the concept of creation of the joint parks of carriers, actively used by such companies as "Prime Group" and "Hi-tech", gained the development. Sales-houses of leading operators became coordination and operating systems of such parks.
It is naturally that development of the market demanded also development of researches. In the expiring year the step towards expansion of geography of researches was taken. So, in August-October the efficiency assessment in 30 small cities of Ukraine was made. And for today systematic researches captured 62 cities. This step was the result of effective cooperation of the researcher with operators, first of all, with the "Prime Group", "RTM-Ukraine", "Boards of Ukraine", "Gallery Plus" and "Bigboard Ukraine".
Such new carriers as LED-screens and scrolling billboards were integrated into researches. It will be possible to receive an assessment of their efficiency. All those creates encourage gradual transition to package sales and sales on rating points. Today advertiser is more interested in efficiency. And tomorrow efficiency will come to the forefront.
Comparing activity of the largest advertisers in 2011 and 2012, I want to tell that if it was not for policy, the structure of advertisers would be the same. It means that the outdoor advertising has the regular customer, and he uses this carrier steadily. Therefore the task for 2013 for participants of the market is without having lost existing, to attract those who used outdoor advertising a little or neglected it.
It is difficult to do the forecast for 2013. Hryvnia fluctuations, crisis in some branches of economy are possible, political instability isn't excluded. The total amount of money in outdoor advertising, probably, remains at the level of the current year or a little less.
The number of carriers will be cut a little(about for 5-6%). Integration of leading operators, first of all due to long-term rent of carriers from smaller operators will go on. Probably, such new formats as scrolling billboards and LED-screens will have further development. Outdoor advertising carriers will decrease in sizes, first of all, in the centres of the cities, but the main working size will remain 6х3. Probably, the quantity of city-lights will be reduced. March will be an indicative month.
The incoming 2013 has to become the year of further transformation of outdoor advertising to the self-sufficient media canal, which is capable to satisfy the most difficult inquiries of advertisers.
Source: Doors Consulting
