This plotrepresents the dynamics of advertisers per month. As we can see the amount of advertisers is increasing and reached 223 advertisers in season (November).
This diagram represents the percentage of different type of requests. Nearly a half is related to category “Tours&Holidays”, “Cottage rent” has 18% and “Hotels” has 9%.
This diagram represents the number of user requests from Russia by different Northland countries. Finland is in the lead with a big gap – nearly 80% of total requests in season.
This diagram shows the percentage of user requests in different Russian region. In season (October-November) the number of request from Center is close to North-West (the difference between North-West and Center is only 10%). Increase in Center is mainly because of greater growth in categories such as “SPA-hotels”, “Hotels”, “Travel by car” and “Ski resort” and less growth in categories “Fishing” and “Shopping tour”. In another months North-West has the lead maybe because North-West is situated near Finland and people who live there travel to Finland more often.
This diagram represents the seasonality in different requests. “Ski resort”, “Tours&Holidays”, “Cottage rent” have a sharp request peak in autumn (October-November). Other way “Fishing” decreases in autumn but has a peak in summer (June-July). “Ferry” and “Shopping tour” have approximately smooth season lines with a little peak in autumn.
1. Etourism Seminar – Saimaa / Finland SearchMay 2012
2. Get Stare Agenda Russian Internet market Yandex overview Some facts about tourism How to advertise on Yandex 2
3. RUNET: big growing potential global
4. Big Runet: to be the largest European internet population by 2013 (93,2 mln)* *Source: Forester Research World Online Population Forecast, 2010 to 2014 (Global)**2011 23,9 50,3 52,7 67,4 61,5**Source: Internet World Stat 2011-2012
5. Low penetration – high upside !% of Population 5
6. Growing 21 regions with internet penetration > 50 % < 40 51-55 41-45 56 < 46-50Source: FOM. Internet in Russia. Summer 2011.
7. Market Overview High potential in the AD Market Russian Total Ad Market ($ Bn) Online as % of Total Ad Spend 14.6 29% 11.8 9.6 20% 18% 18% 7.9 15% 13% 11% 10% 5% 2% 2010 2011e 2012e 2013e UK China Germany France US Spain Russia Italy Brazil India 7
8. 160 Internet 2nd behind TV (in bln. rub.) 140 120 100 2008 80 2009 2010 60 2011 40 20 0 TV Radio Print Media Outdoor Advertising Online AdvertisingSource: AKAR
9. Online advertising share Mobile (1%) Video (4%) Social (4%)Display (26%) Paid Search (66%) 9
10. GlobalRussian is the 4th most spoken language globally.250–300 mln speakers Mandarin Spanish English Russian Confucius Miguel de Cervantes William Shakespeare Leo TolstoySource: SIL Internationaal (2002), George Weber (1997), Euromonitor (August 2010), Rosstat (2010), Companydata, Morgan, Stanley Research
11. Get StareAgenda Russian Internet market Yandex overview Some facts about tourism How to advertise on Yandex 11
12. Key Investment HighlightsLocal Champions Can Win in Search Yandex Baidu Naver (launched 1997) (launched 2001) (launched 1999) Yandex 2 Baidu NHN 3 1 60% 76% 65% South Russia China Korea Others 5% Others 14% 25,5% 19% 9,5% 26% Google Google Others Google Source: Liveinternet.ru, comScore, Analysys International 1. As of March 2012 2. As of 2Q 2011 3. As of May 2011 12
13. Introduction Yandex is the Market Leader Search Leader #1 Internet Destination 60% search market share in Russia1 45 million unique visitors per month2 44% of Russian users‟ homepages3 Leading Online Largest Russian Advertising Platform Internet Business 270,000+ advertisers in 20114 FY 2011 $622m Revenues6 (60% yoy growth) 51% online ad market share5 $287m Adj. EBITDA7 (50% yoy growth) 1 Source: 5 Source: AKAR 2011, as of Feb 22, 2012, adjusted for commissions Liveinternet, January 2012 6 Source: Company Information for the FY period 2011, using an exchange rate of RUR 32.1961 to $1.00 as of Dec 31, 2011 2 Source: comScore (December 2011) 3 Source: TNS, January 2011 7 Source: Company Information for the FY period 2011, using an exchange rate of RUR 32.1961 to $1.00 as of Dec 31, 2011 4 Source: Company Information, FY 2011 Adjusted EBITDA is EBITDA before share-based compensation 13
14. Yandex is Search and Much More 14
15. The Gateway to the Russian InternetRussia’s Most Popular Homepage – 44% of All Russian Users News Mail Traffic Jams / Maps Comparison Shopping Yandex.Money 15
16. Key Investment Highlights Continuous Focus on Innovation Mail Payments Language Search News Shopping Maps Understanding 1989 1997 2000 2002 2004 1998 2002 2004 2005 2006 1 1989 2001 2005 2008 Source: Company information, Liveinternet.ru, iResearch, SearchEngineWatch.com, comScore 1. Baidu News Service launch date based on being available as of the date of IPO 16
17. Yandex “in your pocket” : mobile apps
18. Yandex Raspissanie : Meta-search for transport
19. Yandex Maps : platform for tourism !
20. Yandex Taxi
21. Turkey – Our First International Market Expected to be among leading EMEA markets in terms of Ad Expenditure growth in 2011-2014 Turkey at a Glance1 Yandex in Turkey Population of 76MM Internet users („11): 35MM (46%) 2.0MM users in January 20122 28 local portals >1 MM daily users of the portal Online ad market („13E): $300MM Local content & home page No established #2 player in search Exclusive content on Yandex.Maps Turkish Market: Fast Growing and Sizeable Maps and Map Based Services News Mail Weather Image Video Search for search search goods Widgets 130K downloads of Yandex Mobile Maps1 Euromonitor; FOM; Global Insight; InternetWorldStats.com; ZenithOptimedia; Advertising Expenditure Forecasts, December 2011; Internet user penetration based on total population (source: Global Insight)2 comScore, January 2012 24
22. Get StareAgenda Russian Internet market Yandex overview Some facts about tourism How to advertise on Yandex 25
23. Total possible number of impressions and clicks in the considered groups of requestsImpressions: • Tourism and related requests: more than 48,4 million impressions per month • Tourism requests: more than 138‟600 impressions per monthClicks: • Tourism and related requests: more than 1,32 million* clicks per month • Tourism requests:more than 3,8 thousand* clicks per month**Source: Internet World Stat 2010-2011* If the position choice is “special placement”
24. Maximum number of impressions by type of requests (Travel agency / tourism) 25M 20.2M 20M 14.9M 15M 10M 5M 0M requests about travel general requests about agency/tour tourismTotal capacity of considered groups of words – more than35 million impressions per month**Source: Internet World Stat 2010-2011
25. Maximum number of clicks by type fof requests related to tourism 700K 593K 600K 500K 400K 300K 213K 200K 100K 0K requests about travel general requests about agency/tour tourismTotal capacity of considered groups of words – more than806K clicks per month**Source: Internet World Stat 2010-2011
26. November is the Key season for tourism related requests in Russia 300 in season 250 223 186 193 200 153 139 150 129 128 118 108 113 97 96 100 50 0 May-11 Apr-11 Aug-11 Nov-11 Jan-11 Mar-11 Oct-11 Fev-11 Jul-11 Jun-11 Sep-11**Source: Internal Ressourse 2011-2012 Dec-11
27. Requests by theme : largest share goes to “Tours & Holidays” Tours&Holidays 51% Cottage rent 18% Hotels 9% Travel by car 6% Ski resort 5% Ferry 5% Shopping tour 4% Fishing 1% Travel by bus 1% 0% 10% 20% 30% 40% 50% 60%**Source: Internet World Stat 2011-2012
28. Key users interest in tourism products 7M 6M 5M 4M Holidays Tour 3M Tour operator 2M Trip Travel agency 1M 0M Feb-10 Apr-10 May-10 Aug-10 Nov-10 Feb-11 Apr-11 May-11 Aug-11 Nov-11 Jan-10 Jan-11 Mar-10 Oct-10 Mar-11 Oct-11 Jul-10 Sep-10 Jul-11 Sep-11 Jun-10 Dec-10 Jun-11 Dec-11In tourism seasonal fluctuations are observed: after New Years holidays usersare interested in “Holidays”, “Tour” and “Tour operator” more actively. **Source: Internet World Stat 2010-2011
29. Turkey and Egypt are most popular destinations, depending on season 1200K 1000K 800K Egypt 600K Turkey China 400K Thailand 200K UAE 0K Feb-10 Apr-10 May-10 Aug-10 Nov-10 Feb-11 Apr-11 May-11 Aug-11 Nov-11 Jan-10 Jan-11 Mar-10 Oct-10 Mar-11 Oct-11 Jul-10 Sep-10 Jul-11 Sep-11 Jun-10 Dec-10 Jun-11 Dec-11User request of trip to the different countries has significant seasonalfluctuations and strongly depends on a season. In the summer the majority ofusers search information about tourism in Turkey, in the winter – in Egypt andThailand. **Source: Internet World Stat 2010-2011
30. Finland leads amongst Scandinavian destinations requests 185,5K (80 %) Finland 87.2K 14,8K (6%) Norway 12.7K 22,3K (10%) Sweden Nov-2011 15.3K Feb-2012 5,4K (2%) Denmark 4.6K 3,8K (2%) Iceland 3.0K 0K 20K 40K 60K 80K 100K 120K 140K 160K 180K 200K**Source: Internet World Stat 2011-2012
31. Most requests about Finland originates from Russia’s North- Western region 48% North-West 67% 38% Center Nov-2011 23% Feb-2012 13% Others 10% 0% 20% 40% 60% 80%**Source: Internet World Stat 2011-2012
32. Seasonality differs by category of requests**Source: Internet World Stat 2011-2012
33. When and how it is better to place an advertisement?• Use of tourism and related requests about trips, tours and air tickets will allow to attract more targeting users on a web-site.• Use of tourism and related requests for advertising will make positive impact on a gain of visitors in a web-site.• In period of active demand an advertising campaign by thematic requests will be particularly relevant.• For the most effective budget allocation we recommend to start campaign of tourism requests in advance (or not to turn off in low demand), to accumulate high CTR.
34. Get StareAgenda Russian Internet market Yandex overview Some facts about tourism How to advertise on Yandex 37
35. Appropriate tools for each marketing objective Coverage Building • Main page, Yandex.News, Yandex.Mail, Yandex.Direct Niche Branding • Yandex.Traffic_Jams, Media- Contextual Banners, Yandex.Market, Yandex.Direct Sales Push • Yandex.Direct
36. Wide range of Banner Ad options available 39
37. Yandex.Direct: places
38. Yandex.Direct: interface Keywords CPC Your Bid Ad Text
39. Yandex.Direct: advantages Targeted audience Adverts will be shown only to users who are looking for your products or services Ads assist, not distract Exact answer to the user questions. The main task: sales Budget control PPC model. Real time bid management. Flexibility Variety of options. Fast and flexible ad materials change. Post-click Analysis Access to real time statistics at any point over the course of the campaign. Variety of reporting options and additional instruments for further analysis.
40. Bid management in English 44
41. Yandex.Metrica – web analytics tool 45
43. Yandex Webmaster Tools tell you What problems occurred during the indexing process Which pages are included in the search index Who links to your website What searches people make to find your website How to protect your site from viruses How to improve the appearance of your site in the search results 48
44. Get Stare Try it out !! Contact International Business Development team Free translation, training and initial setup Local optimization and campaign feedback Dedicated English speaking Account Manager in Moscow Web based reporting, budgeting, etc. available in English language interface European Yandex entity available for simplified payment, invoicing & contracting EURO vs. Rubles Post pay billing available EU vs. Russian legal jurisdiction 49
45. Thank You! Bernard Lukey General Director Yandex Europe AG Saleseurope@yandex-team.ru Tel +41 41 248 08 60 Tatiana Kalinina Head of direct foreign accounts email@example.com tel: +7 495 739 22 22 ext 2430