The document summarizes media advertising market trends in Ukraine for 2016 and provides forecasts for 2017. Some key points: - TV commercial advertising increased 36% in 2016 and is forecast to rise another 35% in 2017. However, one expert said the forecast may be too optimistic given political and economic uncertainties. - The share of sponsorship in TV advertising significantly increased in 2016, especially for beer brands where sponsorship budgets increased over 2.5 times due to restrictions on beer commercials. - Online video consumption continued growing rapidly in 2016, with mobile video viewing up over 4 hours per week, while traditional TV viewing declined by 2.5 hours. However, TV still accounts for around half of total video consumption in Ukraine.

1. Media Market Digest November2016
Volume of Media Advertising Market in 2016 and forecasts for 2017

2. 2

3. Jan-Nov’2016 in term
of EqTRP’s vs Jan-
Nov’2015
3
Source: GFK/Nielsen, Direct Advertising, excl. Social & Media, TA: 18-50 50k+. Data owner is ITC. Processed by “CCM”
Subsidiary Enterprise
Key facts
SOR average 91%In Nov’2016
Nov’16 vs Oct’16
in EqTRP’s
Netflix engaged in
localization of their
content for Ukraine
It stays close to critical 90% level since 23 week

4. 342,
108,7
75,5
75,
71,8
62,6
48,6
48,0
46,9
36,7
Pharma
Food
Hygiene
Telecom
Trade
Cosmetics
Confectionery
Cold AFB
Entertainment
Auto
13%
10%
19%
4%
89%
2%
51%
3%
-7%
-6%
4
Source: GFK/Nielsen, Direct Advertising, excl. Social & Media, TA: 18-50 50k+. ‘000EqTRPs. Data owner is ITC.
Processed by “CCM” Subsidiary Enterprise
8%
20%
8%
36%
26%
1%
0%
-6%
-42%
-19%
TOP Categories 2016 vs 2015 Nov’16 vs Oct’16
 Pharmak and Bittner were the main
drivers of Pharma category growth
vs prev. Month.
 Danone drove Food category
growth vs prev. Month and prev.
Year.
 This advertiser increased its
activity twice in Food category in
2016.
 Unilever became the main reason
of Hygiene category drop vs prev.
Month

5. 48,9
47,5
39,7
34,4
29,6
27,5
25,6
23,7
23,7
23,3
Procter&Gamble
Nestle
Pharmak
Reckitt Benckiser
L'Oreal
GlaxoSmithKline
Kyivstar
Vodafone
Sanofi
Unilever
14%
22%
14%
99%
2%
32%
-12%
-8%
-7%
-17%
5
Source: GFK/Nielsen, Direct Advertising, excl. Social & Media, TA: 18-50 50k+. ‘000EqTRPs. Data owner is ITC.
Processed by “CCM” Subsidiary Enterprise
35%
4%
50%
0%
-10%
-32%
-41%
-15%
-20%
-10%
TOP Advertisers 2016 vs 2015 Nov’16 vs Oct’16
 Kyivstar provided Telecom activity
decrease vs prev. Month and prev.
Year.
 IDS Group drove Cold AFB activity
drop vs prev. Year.
 Pepsico increased activity that
had a positive impact of category
growth vs. Prev Month.
 Lifecell decreased its activity, but it
didn’t stop Trade category growth vs
October
 L’Oreal increased activity twice in
Cosmetics and Perfumes categories vs
prev. Year

6. Source: http://goo.gl/rwQu1Q
All-Ukrainian Advertising Coalition summarized 2016 year results and did market forecast for the next
year. TV commercial increased by 36% in 2016.
Share of sponsorship significantly increased in TV commercial (approximately by 65%) in 2016. On the one
hand, legal restrictions on beery commercial made an impact on this – budgets of beery sponsorship
increased at least by 2,5 times.
TVcommercialin2016&2017,−evaluationbyADC
Source: http://goo.gl/7uSDFT
TV commercial is going to rise in price by 35% next year. Sales houses said, that many clients had came back
on TV that year and commercial blocks had been overflowing. But prices are still very low and market
balance isn’t even close.
HowTVcommercialwillbesoldin2017?
TV Market forecast is too optimistic. There is no source for such a high growth +30%: political uncertainty and
economic turbulence, slow GDP growth, consumption growth by 12-15% in volume. Zenith expectations - +20% market
growth
Maxim Pozhar, TV Buying Group Head Zenith Ukraine

7. Average view duration of video on mobile devices has increased by more than 200 hours per year in the
last 4 years, raising total time of TV and video viewing by 1,5 hours per week. Strong growth of video
viewing on mobile devices (+4 hours per week) is taking place against a backdrop of declining popularity
of traditional TV (-2,5 hours per week).
At the same time, role of traditional TV still remains significant against a backdrop of actively developing
mobile consumption of video.
Members of UATF quiz are noting a similar pattern on Ukrainian market — TV consumption has slightly
decreased in the last 10 years (17–23%), but about 50% of video consumption account for this format.
TVvsvideo-fifty-fifty
Source: http://goo.gl/78S1i9

8. Serial «Vostochnyie sladosti» (Star Media production), which was showed by Inter, has become the best
soap opera premiere of the fall on Ukrainian TV in mass all-Ukrainian audience 18+ (rating 5,7%, share
14,8%).
The final series of soap opera, which came out on 10 November, got share of 19% and became the leader
of it’s slot
«Vostochnyiesladosti»onInterhasbecomethehighest-ratedsoapopera
ofthefallonTV
Some of rating Ukrainian channels may disappear from several cable networks in 2017. Cable guys and TV
crew hadn’t agreed.
Ukrainian media groups will get opportunity to bill cable operators for the access to their channels
following the entry into force of some changes in law on 1 January.
Ukrainianchannelsarebecomingpaidfrom1January
Source: http://goo.gl/2msTiv
Source: https://goo.gl/NuKRN3

9. 9

10. 10
235,5
210,8
174,9
149,4
136,3
110,2
109,1
103,6
96,1
87,4
CarlsbergGroup
Citrus
Nestle
Kyivstar
DouweEgberts
Allo
ReckittBenckiser
L'Oreal
Mondelez
WargamingCom
pany
669,9
374,0
288,6
289,5
286,1
222,2
222,0
190,2
210,7
207,8
Trade
Entertainment
Alcohol
Hygiene
Telecommunic
ations
Cold AFB
Culinary
Hot Beverages
Pharma
Confectionary
Apr-Nov’2016
Source: Gemius Ad Real, MLN Impressions. Data is processed by “CCM” Subsidiary Enterprise
Apr-Nov 2016
TOPCategories TOPAdvertisers&
VOD

11. 11
Rozetka
YandexN.V.
RabotaUA
Allo
101XPGamesLim
ited
RusskayaLiniya
GEPURGroup
Citrus
MobtopGroup
VulkanCasino
Trade
Entertainment
Finance
IT
Media
Tourism
Wear
Telecommunic
ations
Auto
Real estate
Aug-Nov 2016
Source: Gemius Ad Real, MLN Impressions. Data is processed by “CCM” Subsidiary Enterprise
Aug-Nov 2016
TOPCategories TOPAdvertisers&
Display

12. On a platform known for its power of mobile discovery, today we’re excited to announce
an easier experience to shop the products you love on Instagram.
12
ShoppingComingtoInstagram
Source: https://goo.gl/xecua0
VK.comstartedtotestaudioads
Source: https://goo.gl/BFpiIF
Social network has selectively started to test audio ads which users noticed in audio player
code more than a month ago.
Instagram announced the launch of new shopping features - purchasing products
directly from the Instagram feed. Such functionality opens new opportunities for
brands in converting consumer engagement into trial in more user-friendly way. This
transforms social media to holistic ecosystem with engagement and sales experience.
Maryna Grygorenko, Digital Director Zenith Ukraine

13. It’s time to take local presence on Facebook more seriously, because Facebook is taking
some big steps to make itself a stronger platform for location marketing, especially on-
demand commerce at a local level.
13
It’sTimetoTakeFacebookSeriouslyforLocationMarketing
Source: https://goo.gl/tLhfwN
Yandexwilltreatonline
Source: https://goo.gl/mxms8r
Company is planning to launch of service which provides remote medical services via
video.

14. Today we’re updating our metrics to give our partners and the industry more clarity and
confidence about the insights we provide.
14
AnUpdateonMetricsandReporting
Source:http://newsroom.fb.com/ne
ws/2016/11/an-update-on-metrics-
and-reporting/
Zenith:programmaticwillgrowon31%in2017
Source: https://goo.gl/lrW8pN
Programmatic advertising market expects global growth in 2017, says seonews.ru.
According to a recent study conducted by Zenith, it will grow by 31%, leaving behind all
other digital channels, including social networks (expected growth - 25%) and online video
(20%). Also, according to the research, programmatic has become the main method of
purchase display traffic. By the end of 2016, its share will be 51% and will increase to 58%
in 2017

15. 15

16. 126,5
31,2
24,5
20,8
18,7
18,5
17,4
16,7
16,5
15,7
Rozetka.ua
Fozzy Group
Nova Poshta
Epicenter
Sport Life
Samsung
Allo
Kyivstar
Metro
Nestle
60%
116%
8%
7%
12%
2%
83%
36%
-13%
-7%
TOP Categories
532,0
190,5
128,2
120,3
91,2
69,4
52,5
41,9
33,4
32,6
Trade
Realty
Auto
Entertainment
Telecom
Finance
IT
Restaurants
Medicine
Sport
22%
66%
66%
21%
36%
9%
40%
30%
16%
-41%
 Rozetka.ua decreased
activity but it didn’t
stop Trade category
growth vs prev. Year
 ATL was the main
reason of Auto activity
growth vs prev. Year
 Nova Pochta provided
Telecom category
growth vs prev. Year.
 Lenovo and TP-LINK
drove category increase
vs prev. Month.
2016 vs 2015
16
TOP Advertisers&
Source: Communication Alliance-OOH, Budget, Mln UAH. Data is processed by “CCM” Subsidiary
Enterprise
2016 vs 2015

17. The media business continues a series of publications on the topic of Audience in
media. After the TV audience are turning to outdoor advertising. About what
effect on the audience in the Out-of-Home media, how the consumption of this
type of advertising, with the MB shared PR-director of the Group of Companies
"RTM-Ukraine" Tatyana Denisyuk.
17
HowhavechangedaudienceintheOut-of-Home
Media?
Source: https://goo.gl/7Zm8bp

18. Director of Perekhid Outdoor, Larisa Bulatova: "As the operator of
outdoor advertising I am a part of the urban infrastructure and visual
space of the city. This leaves us with some responsibility for formation
of informational and cultural environment in which we exist "
18
Measuring outdooradvertisinginUkraine in2017will
continueDoorsConsulting
Source: https://goo.gl/T5zu0P
DIGITAL+OOH:interactivefutureofoutofhome
November 9 the Industrial Committee of outdoor advertising
(ICOA), held a workshop on the topic of interaction between
ooh and digital. Under the ICOA WORKSHOP speakers
presented a complete picture of the interaction between ooh
and digital, the development of media solutions in this area,
and also presented successful cases of combination of these
examinations on the example of local and international
campaigns.
Source: https://goo.gl/a2j0lj

19. 19
Thefutureclassic outdoor advertising:
opinionsoftheBritishmarket
Outsidethehome:therevivalofout-of-
home
Source: https://goo.gl/a440Zi
In the British outdoor advertising this year,
there were three major transactions. One
of them became the most profitable in the
history of advertising. Other transactions
— conversion into a digital format
advertising on thousands of bus stops in
London and replace payphones with
interactive terminals with Wi-Fi (Clear
Channel). Ooh-is revived, and is
accompanied by new contracts,
technological development, changes in
human capital.
In The Sunday Times published an article on
this topic with a great title: "Advertising giant
heralds the death of the billboards". But, as
noted by a representative of Clear Channel:
"Classic outdoor advertising continues to
provide advertisers with fantastic
opportunities." Other operators also claim
that the classic advertising plays an important
role in the marketing mix.
Source:
https://goo.gl/zh8
oBV
Google,BeaconsandDigitalSigns
Dave Haynes at Sixteen Nine has a
fascinating podcast interview with Chris
Lydle, Google lead for digital signage and
kiosks. Lydle says Google doesn’t want to
compete in developing a content
management system for digital signage but
that it wants products like Chrome, Android
and Eddystone to be used as the backend
infrastructure for digital signage.
Source: https://goo.gl/jj6zN9

20. 20

21. 126,5
24,3
20,6
15,3
14,0
12,5
12,3
12,0
11,5
10,5
Rozetka.ua
L'Oreal
Nova Poshta
Seldiko
ModnaKasta
ATL
Carlsberg Group
Mondelez
Mail.ru
Nestle
4%
197%
60%
24%
-13%
-32%
-16%
-49%
TOP Categories
369,5
91,9
86,9
75,4
71,1
43,4
41,2
39,7
39,5
39,5
Trade
Entertainment
Auto
Cosmetics
Pharma
Telecom
Finance
Wear
Alcohol
IT
15%
6%
42%
32%
19%
78%
64%
-15%
-7%
-53%
 ATL was the main
driver of Auto activity
growth vs prev. Year
 Yves Rocher was the
main reason of
Cosmetics category
increase vs prev.
Month
 Rozetka decreased
activity but it didn’t
stop Trade category
growth vs prev. Year.
 ModnaKasta activity
drove category growth
in 2016.
TOP Advertisers&
21
Source: Communication Alliance, Budget, Mln UAH. Data is processed by “CCM” Subsidiary Enterprise
2016 vs 2015 2016 vs 2015

22. 22
129,5
24,0
22,8
20,6
16,5
15,5
15,1
14,0
12,5
12,4
Rozetka.ua
Natur Produkt
Bayadera
Logistik
Nova Poshta
Victor & Co
Get'man
Zolotiy vik
ModnaKasta
ATL
Carlsberg Group
546%
204%
49%
110%
-12%
-9%
-31%
TOP Categories
339,4
104,4
97,9
87,0
54,9
46,5
45,9
45,7
41,8
37,0
Trade
Alcohol
Entertainment
Auto
Pharma
Realty
Telecom
Food
IT
Finance
27%
66%
23%
96%
44%
18%
106
%
63%
10%
-49%
 Alliance Novobud and
ORBI GROUP are the main
drivers of Realty category
growth vs prev. Year
 IT activity was decreased
due to computer game
group drop.
 Wargaming and Mail.ru
were the main drivers
of its decrease.
 Arterium started activity
in Pharma category that
provided category growth
vs prev. Month
 ATL increased activity up
to 3 times and drove Auto
category growth twice vs
2015
TOP Advertisers&
Source: Communication Alliance, Budget, Mln UAH. Data is processed by “CCM” Subsidiary Enterprise
2016 vs 2015 2016 vs 2015

23. The article tells about what awaits Ukrainian advertising and communication market in
2017 - more changes in the prices and transformations in the pricing system, more
innovation and krossmedia, more videos, financiers and trade on the air.
23
5radioadvertisingpredictionsfromAlexandry Samojlenko
for2017
Source: https://goo.gl/LEUDuZ

24. 24

25. It turned out that the settlement of marketing results in 2016
coincided with the third anniversary of the Maidan. The experts
evaluated the different achievements of the Revolution, but the
general idea is not so bad: there are positive and tangible results and
it is important to note them.
Mobileadvertising:resultsofthethirdquarterof2016
25
Advertising and communications industry in Ukraine in 2016, despite the
continuing, to put it mildly, "complexity" in the political and economic life of
our country, has moved from the fall and stagnation to growth. In the
television advertising in 2016 significantly increased the share of sponsorship,
whose growth was around 65%.
Thevolumeofmediaadvertisingmarketin2016andforecastsfor2017
Source: https://goo.gl/FMdQxv
IAMIresultsof2016andforecastfor2017
Source: https://goo.gl/TQd2IW
The third quarter was no exception from the last year's trends -
budgets for mobile advertising, continued to grow, while the
number of active advertisers have increased each months. Such
growth pushed advertisers quickly adapt to the mobile Internet
consumption.
Source: https://goo.gl/hA1JAH
Key global trends in advertising are evidently influence on Ukrainian market. It’s a growth of advertisers
interest to digital and content. So TV content solutions and video segment of internet ad showed impressive
growth. Next year won’t be an exception and advertisers will definitely invest to areas with the highest
audience interest.
Vyacheslav Levchenko , Media Director Zenith Ukraine

26. 26
5predictionsforthemobileadvertisingmarketbyAdmixer for2017
Source: https://goo.gl/rjvtp2
Sostav.ua continues to wonder what will happen to advertising and communication
market in 2017. Article provides video advertising predictions from Julia Tribushnoy,
Director of Development StarLight Digital Sales business.
5videoadvertisingpredictionsfromJuliaTribushnoy for2017
Source: https://goo.gl/9YyWLI
At the beginning of 2017, the mobile audience will be half of all Internet users in Ukraine.
For advertisers, this process means one thing - to build a complete communication with
the target audience without a mobile component will be very difficult. Therefore, the
mobile advertising market will be a very dynamic development in 2017. Which trends will
contribute to this - read the forecast sales-house Admixer.

27. TheresultsofparticipationofUkrainianagenciesinadvertisingfestivalsin2016
27
Ukrainian Advertising Coalition offers the results of the study Advertiser's Choice 2016. Members
of the jury Effie Awards Ukraine 2016, representing advertisers, were invited to participate in an
anonymous survey and called the agency of various specializations (creative, media, digital,
marketing services), which they would be invited to a "perfect" tender.
Advertiser’s Choice 2016
Source: https://goo.gl/YA3aig
UAC represents the achievements of Ukrainian agencies on creative advertising festivals in the context of relevant
competitions in 2016. All players of advertising and communication market in Ukraine will be able to find out who created
in 2016 the best prints, the best digital-projects, campaigns of marketing services, the most creative commercials, etc.
Source: https://goo.gl/FmQV0y
Zenith shows impressive dynamic of rank growth through the last 3 years gaining 4-5 position in 2016 while
just 2 years ago it was 9-11. The reasons behind such upgrowth are strong expertise, passionate team,
innovations and challenging and progressive clients.
Vyacheslav Levchenko , Media Director Zenith Ukraine

28. 7 social media marketing trends that will
dominate in 2017
Forbes columnist Jason Demers pointed out that
marketing in social media will be a long time,
explaining the impact of networks of one key
characteristic - the fact that they continue to
develop.
10 marketing predictions for 2017
The digital landscape is changing very quickly, and
many of the trends that worked last year may no
longer be as effective. 2017 will be the year of the
video. Disappearing content is a part of an emerging
social landscape. Personalization has been an
important trend in 2016, but in 2017 it promises to
enable turbo mode.
28
What marketers need to focus in the
coming year
So, what to pay attention to in 2017? To make
the right choice easily, Cisnamy Vasadze, Head
of Business Development Department ICF legal
service, has made a short list of trends in
marketing in the following year, both relating to
digital sphere and general strategic matters.
https://goo.gl/cu7XDC https://goo.gl/a2V9us
https://goo.gl/QvXxBZ
Top 7 online marketing trends in 2017
Augmented reality, live broadcasts, data
visualization, native ads, targeting specific
niches and other trends, for which brands
should pay special attention not to fall behind in
2017.
https://goo.gl/NSPdBR

29. The future of online retail: Digital-buyer 2.0
Over the past few years, digital has changed the
competition in e-commerce: the competitive
advantage depends not so much on the product and
the behavior of your competitors in the market, but
on the experience that gets your customer together
with the purchase.
Ericsson: the growth of mobile data traffic
will be 50% per year
According to the report, the leader in North America
will be 5G, where by 2022 this communication
standard will have about a quarter of mobile
connections. 5G is set to enhance mobile broadband
services and enable a wide range of new business
models and use cases, including Internet of Things
(IoT).
29
Look out marketers, here comes Gen Z!
The end of the year is approaching and Kantar
Millward Brown has just issued its 2017 Media
&Digital Predictions. As usual the predictions
are packed with thought-provoking ideas, but
the one that stood out for me was Joline
McGoldrick’s prediction that marketers will shift
attention from Millennials to Generation Z.
https://goo.gl/3ELN0p https://goo.gl/4jX5La
https://goo.gl/Z7Qj7M https://goo.gl/5QyEIX
Video social media has an impact on
74% of buying decisions
Company Brightkove found that almost half
(46%) viewed the video on social media have
made a purchase as a result of watching videos
on the brand, and 32% have thought about
making a purchase.

30. 30
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31. 31
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