1. Chasing Western Europe CEE online market 2012/2013
Lauris Lietavietis, Gemius
Webit, 6.11.2013
We support knowledge driven
business decisions.com

2. EMERGING MARKETS?
Map of developing countries
Source: http://en.wikipedia.org/wiki/File:Developing_countries.png
2

3. ONLINE POPULATION
3

4. INTERNET PENETRATION – WESTERN EUROPE
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
-10%
94%
1%
90%
1%
90%
2%
86%
2%
Avg: 75%
82%
80%
0%
2011
77%
2%
0%
2012
76%
2%
76%
73%
-1%
1%
70%
1%
69%
62%
-2%
2%
56%
2%
51%
1%
2011-2012 growth
Source: IAB Europe, Adex Benchmark 2011 & 2012
4

5. INTERNET PENETRATION - CEE
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
-10%
Avg: 61%
80%
71%
4%
5%
71%
2%
70%
8%
69%
3%
XII.2011
69%
5%
64%
9%
XII.2012
62%
57%
54%
11%
3%
0%
52%
49%
46%
44%
13%
6%
3%
-5%
2011-2012 growth
Source: 7+, EE: TURU-UURINGUTE AS research, 15-74, LV: SKDS, 15-74. LT: RAIT, 7-74, SI: Valicon, 10-75, BY: National Statistical Committee of the Republic of Belarus, 15-74, BG: IPSOS, 15-69, SK: Gemius & Mediaresearch,
12+, CZ: Gemius & Mediaresearch, 10+, PL: Net Track Millward Brown SMG/KRC, 7+, HU: IPSOS, 15+, RU: FOM, 18+, HR: FOM, 18+, UK: GFK, 14-69, TR: Ipsos, 12+
5

6. INTERNET PENETRATION - EUROPE
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
94%
90% 90%
86%
82% 80% 80%
77% 76% 76%
73% 71% 71% 70%
70% 69% 69% 69%
64% 62% 62%
57% 56% 54%
52% 51% 49%
46% 44%
Source: : IAB Europe, Adex Benchmark 2011 & 2012, 7+, EE: TURU-UURINGUTE AS research, 15-74, LV: SKDS, 15-74. LT: RAIT, 7-74, SI: Valicon, 10-75, BY: National Statistical Committee of the Republic of Belarus, 15-74, BG:
IPSOS, 15-69, SK: Gemius & Mediaresearch, 12+, CZ: Gemius & Mediaresearch, 10+, PL: Net Track Millward Brown SMG/KRC, 7+, HU: IPSOS, 15+, RU: FOM, 18+, HR: FOM, 18+, UK: GFK, 14-69, TR: Ipsos, 12+
6

7. INTERNET PENETRATION – CEE, AUGUST, 2013
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
-10%
80%
Avg: 63%
74% 72% 72% 71% 71%
69% 67%
60% 59% 57%
55% 53%
VIII.2012
VIII.2013
50% 49%
45%
2012-2013 growth
Source: 7+, EE: TURU-UURINGUTE AS research, 15-74, LV: SKDS, 15-74. LT: RAIT, 7-74, SI: Valicon, 10-75, BY: National Statistical Committee of the Republic of Belarus, 15-74, BG: IPSOS, 15-69, SK: Gemius & Mediaresearch,
12+, CZ: Gemius & Mediaresearch, 10+, PL: Net Track Millward Brown SMG/KRC, 7+, HU: IPSOS, 15+, RU: FOM, 18+, HR: FOM, 18+, UK: GFK, 14-69, TR: Ipsos, 12+
7

8. INTERNET PENETRATION - EUROPE
81% – 100%
61% – 80%
41% - 60%
8

9. AGE STRUCTURE OF ONLINE POPULATIONS IN CEE
Bosnia & Herzegovina
Moldova
Turkey
Poland
Lithuania
Ukraine
Croatia
CEE
CEE
Macedonia
Belarus
Slovakia
Serbia
Czech Republic
Russia
Bulgaria
Hungary
Latvia
Estonia
Slovenia
40,4%
39,5%
36,2%
34,9%
34,8%
31,9%
31,4%
30,8%
29,7%
29,1%
28,2%
23,7%
23,4%
23,0%
22,4%
21,4%
20,8%
20,2%
15,5%
0%
10%
20%
2,1%
9,4%
4,8%
10,2%
10,9%
7,5%
10,2%
9,3%
8,7%
7,5%
10,3%
10,3%
17,1%
8,7%
13,8%
16,1%
14,1%
18,4%
17,1%
30%
40%
50%
60%
70%
80%
90%
15-24
25-34
35-44
45-54
55+
100%
Source: gemiusAudience, VIII, 2013
9

10. €
ONLINE EUROS
10

11. EUROPEAN ONLINE ADVERTISING (BLN EUR)
6,3
7%
4,6 0,6
5% 1%
28,1
31%
8,7
9%
24,3
19,3
21%
21,9
24,3
26%
TV
Online
Newspapers
OOH
Radio
Magazines
2011
2012
Cinema
Source: Adex Benchmark 2012, IAB Europe
11

12. ONLINE ADSPEND SHARE – EUROPE VS CEE
26%
18%
Europe
CEE
Source Western Europe: Worldwide Ad Spending Forecast, eMarketer, December 2012;
Source CEE: BY: ZenithOptimedia; BG: Piero 97, TV Plan/TNS/GARB; CZ: SPIR, Factum Invenio; EE: TNS Emor; DK: Danske Medier; HU: MRSZ; LV: Latvian association of Advertising; LT: TNS LT; PL: Media House Starlik;
RO: Media Fact Book Romania; RU: RBC Daily, based on ACAR Russia study; SK: TNS Slovakia, IAB Slovakia; UA: Ukrainian Ad Coalition
12

13. ONLINE ADSPEND SHARE - CEE
23%
19%
19%
18%
17%
17%
15%
14%
10%
9%
7%
6%
4%
Hungary Russia
Poland
Turkey
Czech Estonia
Republic
Latvia Romania Lithuania Belarus Ukraine Slovakia Bulgaria
2011
2012
Source:BY: ZenithOptimedia; BG: Piero 97, TV Plan/TNS/GARB; CZ: SPIR, Factum Invenio; EE: TNS Emor; DK: Danske Medier; HU: MRSZ; LV: Latvian association of Advertising; LT: TNS LT; PL: Media House Starlik; RO:
Media Fact Book Romania; RU: RBC Daily, based on ACAR Russia study; SK: TNS Slovakia, IAB Slovakia; UA: Ukrainian Ad Coalition
13

14. ONLINE ADSPEND PER INTERNET USER - EUROPE (EUR)
160
140
120
143
136
120
112
100
80
60
40
20
0
78 76
72 68
63
55 52 51
48 45
43
32
26 23
19 19 17 14
13 11
8
8
5
4
4
2
2
1
Source: Adex Benchmark, 2012, EE: TNS Emor, LV: Latvian association of Advertising, LT: TNS LT, UA: Ukrainian Ad Coalition, RO: Media Fact Book Romania
14

15. ONLINE DEVICES
15

16. DEVICE SHARE OF PAGE VIEWS - CEE
100%
0,49%
2,37%
1,93%
5,75%
90%
97,59%
91,88%
80%
PC
Phone
Tablet
Source: gemiusRanking (rankingcee.com), I.2012 - IX.2013
16

17. DEVICE SHARE OF PAGE VIEWS - CEE
SK
HR
LT
RS
HU
CZ
PL
RU
TR
EE
LV
BG
BY
UA
RO
MD
70,0%
75,7%
21,2%
84,5%
12,9%
89,7%
90,6%
90,8%
91,9%
92,6%
92,9%
93,2%
94,4%
94,6%
94,9%
95,0%
95,9%
96,0%
99,3%
80,0%
90,0%
PC
Phones
3,1%
2,6%
7,6%
2,7%
8,0%
1,4%
6,8%
2,3%
6,0%
2,1%
5,5%
1,9%
2,5%
4,5%
4,8%
2,0%
2,4%
3,2%
3,7%
1,6%
3,6%
1,4%
3,5%
1,5%
2,4%
1,7%
2,2% 1,8%
0,3% 0,4%
100,0%
Tablets
Source: gemiusRanking (rankingcee.com), I – IX, 2013
17

18. IT SEEMS THAT APPLE DOMINATES IN THE REGION
Apple
Samsung
18

19. BRAND SHARE OF PAGE VIEWS
38%
53%
30%
53%
43%
42%
44%
41%
39%
40%
34%
36%
33%
32%
33%
33%
26%
19%
23%
22%
21%
28%
33%
35%
Russia Moldova Ukraine Croatia Estonia Turkey
34%
Latvia
29%
32%
31%
38%
31%
32%
26%
40%
33%
Czech Hungary Poland Slovenia Slovakia Bulgaria Belarus Lithuania Serbia
Republic
Apple IX.2013
Samsung IX.2013
Source: gemiusRanking (rankingcee.com), IX.2012, IX.2013
19

20. BRAND SHARE OF PAGE VIEWS - DYNAMICS
-1%
+7%
6%
7%
7%
-4%
6%
-4%
7%
-4%
9%
5%
-4%
-3%
10%
9%
6%
-2%
6%
-2%
10%
6%
5%
5%
-1%
0%
0%
1%
6%
2%
4%
4%
6%
-8%
Apple
Samsung
Source: gemiusRanking (rankingcee.com), IX.2012, IX.2013
20

21. BRAND SHARE OF PAGEVIEWS - PHONES
21%
44%
35%
34%
30%
27%
45%
44%
36%
32%
28%
30%
35%
42%
36%
39%
38%
35%
30%
35%
31%
28%
24%
22%
21%
Apple
23%
20%
19%
17%
14%
13%
12%
10%
7%
Samsung
Source: gemiusRanking (rankingcee.com), IX.2013
21

22. BRAND SHARE OF PAGE VIEWS - TABLETS
62%
83%
79%
22%
76%
70%
64%
63%
61%
61%
31%
12%
14%
16%
17%
21%
61%
60%
19%
58%
56%
51%
47%
47%
33%
30%
24%
18%
Apple
60%
21%
22%
26%
20%
24%
Samsung
Source: gemiusRanking (rankingcee.com), IX.2013
22

23. ONLINE GOOGLE … OR NOT?
23

24. GOOGLE DOMINATOR?
24

25. SHARE OF SEARCHES
100,00%
97,8%
97,7%
97,6%
97,5%
97,4%
97,0%
96,7%
95,9%
95,8%
95,1%
88,9%
90,00%
80,00%
70,3%
70,2%
70,00%
60,00%
54,8%
53,7%
50,00%
43,4%
45,4%
40,00%
27,2%
30,00%
26,8%
20,00%
10,00%
1,5%
1,5%
1,4%
1,4%
1,5%
1,6%
1,4%
2,3%
2,3%
3,5%
6,1%
0,00%
Source: gemiusRanking (rankingcee.com), IX.2012, IX.2013
25

26. FINAL NOTES
Online population



Top CEE countries rank Western European average of Internet penetration (75%), Estonia is above it with
80%;
All CEE countries will get in the rank of Internet penetration in Western Europe in Q1, 2014;
CEE countries differ significantly between themselves in terms of Internet penetration and structure of
Internet population;
Online Euros



Hungary leads in terms of online adspend share in CEE; close to Western European average;
Russia, Poland, Czech, Estonia, Latvia running up with online adspend share above 15%;
None of CEE countries is yet reaching average European adspend per Internet user (55 EUR), Czech is
the closest with 45;
26

27. FINAL NOTES
Online devices





Non PC traffic reaches almost 9% in CEE with tablets amounting to 2% and phones to 7%;
Slovakia leads the region with huge 24% share of mobile traffic, followed by 16% in Croatia;
Tablets with share of 3,2% outcompete phones with 2,4% of traffic in Estonia and Russia;
Battle of brands is led by Apple (38%), while Samsung (30%) may catch up Apple in Q1, 2014;
Samsung leads phones (35% vs 21%), while Apple leads tablets (62% vs 22%);
Online Google...or not

Yandex leads search market in Russia (70%) and Belarus (54%), and holds significant position also in
Ukraine (43%) and Moldova (27%);
27

28. Thank you!
Lauris Lietavietis
Audience Research Director
lauris.lietavetis@gemius.com
www.gemius.com