In this research that is based on data from TNS Kantar and Factum Group we are looking and present-day trends in online video consumption in Ukraine and globally. What is the real volume of video consumption, how it changed compared to 2018, what are the specifics of the industry in Ukraine and what advertisers should keep in mind in order to conduct successful video campaigns? All these and many other questions in regards to video advertising are touched upon in our study.

1. TRENDS OF ONLINE VIDEO
CONSUMPTION

2. GLOBAL ONLINE TRENDS: WORLD, EUROPE,
UKRAINE

3. The number of internet users grew
globally. In 2019 two thirds of the
population of the Earth were using the
internet. While the world's population
grew by 1%, the number of internet
users went up by 9%.
89% of all internet users accessed the
internet via mobile devices.
Source: Global Digital 2019 reports, Global, We Are Social.
DIGITAL WORLD IN 2019
Entire population Internet users
7,6
bn
4,4
bn
Mobile
internet users
3,9
bn
+1% +0.1%+9%
vs 2018
WORLD

4. INTERNET PENETRATION
BY REGIONS
North
America
95%
Central
America
63% South
America
73%
Northern
Europe
95%
Western
Europe
94%
Southern
Europe
88%
Eastern
Europe
80%
Northern
Africa
50%
Southern
Africa
51%
Central
Africa
12%
Western
Asia
66%
Central
Asia
50%
Southern
Asia
42%
South-East
Asia
63%
Oceania
69%
In the developed countries the larger
part of population are internet
users.The most progressive parts of the
world from the point of view of internet
penetration are Northern and Western
Europe, North America.
Source: Global Digital 2019 reports, Global, We Are Social.

5. Source: : Global Digital 2019 reports, Global, We Are Social;
Establishment survey 2018, Ukraine, Kantar TNS. Internet users
INTERNET PENETRATION
IN EUROPE
Northern
Europe
95%
Western
Europe
94%
Southern
Europe
88%
Eastern
Europe
80%
Ukraine
70%
In general eastern part of Europe lags
behind the rest of the continent. In
Ukraine the internet penetration is
slightly lower compared to the majority
of european countries – 70%. Together
with this, there is a year-on-year
increase of the index in the region and
in Ukraine in particular.

6. % time spent by device daily
THE WORLD GETS MORE
MOBILE-CENTRIC
In Ukraine, users are spending
substantial part of the time with their
mobile devices (36%). In the same
time, for the majority of users the main
device for accessing the internet is still
PC.
Source: Connected Life Global 2018, Kantar TNS. Time spent on devices Base:
16-55, active internet users
smartphone tablet PC

7. Source: Establishment survey 2004-2018, Ukraine, Kantar TNS
INTERNET PENETRATION
IN UKRAINE
Starting from 2011 the sizable leap in
terms of internet penetration was
observed in Ukraine. Within four years
from 2014 till 2018 the number of
internet users grew by 13 percentage
points reaching 70% of the countries
population.
12%
15%
17%
20%
22%
25%
32%
38%
49%
52%
57% 58%
61%
63%
70%
73%
76%
79%
82%
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Forecast
UKRAINE

8. GROWTH DRIVER:
CHANGE OF THE
AUDIENCE
Source: Establishment survey 2004-2018, Ukraine, Kantar TNS.
In 2018 - beginning of 2019 the main
source of the growth was the older
audience (45+), while the younger age
groups has almost reached their full
capacity in terms of internet coverage.
In 2019 the internet audience aged 25-
34 has outstripped the users of 15-24
years old and became the most
represented age group in the internet.

9. Source: Establishment survey 2018, Ukraine, Kantar TNS. Internet users aged
14-70, daily.
GROWTH DRIVER:
DEVELOPMENT OF
SMALLER TOWNS
The number of the internet users is
growing in small towns and villages,
where the operating limitations of
internet penetration are still present.
Internet penetration, consumption at least once a week

10. Source: December 2017/October 2018, Ukraine, research by Factum Group.
Internet users aged 15+
GROWTH DRIVER:
DEVELOPMENT OF MOBILE
By 2019 a smartphone became the
most popular device for accessing the
web as it is used by 2/3 of all people
who are surfing the internet on a
regular basis. The level of internet
consumption via PC dropped slightly.
SMARTPHONE LAPTOP STATIONARY PC TABLET
2018
2017
70% 36% 36% 13%
42% 49% 40% 16%
Online audience (all devices):
21,1 m USERS

11. Source: 2011-2019, Ukraine, research Internet users aged 15+; 1 main device for
internet usage 2018 Ukraine, Factum Group
GROWTH DRIVER:
NUMBER OF DEVICES How many devices are used by ukrainians for accessing the
internet
The number of the devices owned by
the users is growing constantly. By
2019, 35% of internet users were using
2 devices, while 15% operated three
devices.
In the same time, more and more
people are using mobile device as their
main access point for surfing the web.
(45% in 2018 vs 28% in 2017)1.
1 device
3+ devices
2 devices

12. VIDEO CONSUMPTION:
WHAT? WHERE? WHEN?

13. Source: Establishment survey 2018, Ukraine, Kantar TNS. Internet users 14-70
age group.
USER ACTIVITY
Video consumption is one of the most
popular activities on the internet. 2/3 of
all internet users in Ukraine are
watching video online, 20% of them do
it daily.
Video sharing service YouTube is
second only to Google within the
website popularity rankings in Ukraine.
Search engines83%
Social networks77%
Instant messaging65%
News, weather, sports websites64%
E-mail62%
Video Consumption69%
Hobby related websites56%
Reference information50%
Online music49%
Shopping reviews46%

14. Ukrainians are consuming video content
regularly: in 2018 more than half of all
internet users were watching online
video daily, while 2/3 of users were
doing it at least once a month. The
audience that consumes the video
content is seeing continues grow: in
2018 it grew by 5 percentage points.
Source: Establishment survey, 2018, Target Audience:12-70, all Ukraine, internet
users
INTERNET VIDEO
CONSUMPTION IN
UKRAINE
69% 64%*
Watching video content
once a week
55% 52%*
Watching video content
once a month
* in 2017

15. Source: Wyzowl's 5th annual State of Video Marketing 2019, Great Britain Wyzowl
PREFERRED DEVICE
The majority of users are watching
video on different devices. Together
with this, there are nearly twice as
many people who prefer to watch video
on their mobile devices compared to a
PC. Moreover, the average time of video
consumption via mobile device is
growing while for PC this metric is
seeing a decrease. Over the last 3 years
the average time people spend on
watching video on their mobile phones
went up by 70%.
Smartphone and
PC equally
Smartphone
PC
Top-priority device for video consumption

16. Source: Establishment survey 2018, Ukraine, Kantar TNS. Internet users 14-70
age group
Mobile
users
12-15 16-25 26-35 36-45 46-55 56-70
Social networks 84 88 92 88 79 73 64
Messengers 58 57 66 59 56 52 40
Video apps 57 62 64 58 54 49 47
Games 37 62 50 36 29 24 14
Banking apps 31 8 30 37 34 30 20
Shopping apps 31 20 34 35 32 27 15
News & Media apps 17 9 16 17 18 20 20
Video apps category is among the top-3
of the most popular mobile applications
ranking.
Video consumption via smartphone is
more common for the younger
audience. In the same time, more than
half of the internet users aged 30+ has
those apps installed on their phones.
MOBILE
APPLICATIONS

17. Virtually every Android-user watches
YouTube videos via mobile phone. The
app is among top-3 by installations. The
number of users, who are watching
video content on YouTube, exceeds the
number of users of such popular mobile
apps like Facebook & Instagram.
Source: Establishment survey 2018, Ukraine, Kantar TNS. Internet users 14-70
age group
ONLINE ACTIVITIES
Viber 96%
Chrome 92%
YouTube 91%
Gmail 86%
Facebook 80%
Google Maps 76%
Privat24 72%
Facebook
Messenger
67%
Instagram 59%
Telegram 47%
Duo 47%
OLX.ua 41%
AliExpress 33%
WhatsApp 33%
Нова пошта 29%

18. Source данных: Kantrar TNS, Google Consumer Barometer, Ukraine, 2018, TA:
Internet users
WHO WATCHES VIDEO
Almost every other user watches video
content in company – it is necessary to
take this into account on the planning
stage, because it increases the number
of contacts (users exposed to ads)
compared to other traditional media.
53% 47%
24% 28% 24% 15% 10%
Gender Age
50%
Alone
14-24 25-34 35-44 55-7045-55
50%
With Somebody
Consumption Type

19. Few times a day
Source: Kantar TNS, 2018, Ukraine. TA: 12-65, 50k+, % internet users
VIDEO CONSUMPTION
Live video streaming is another present
day trend of the online video
consumption. More than a third of all
internet users watch live video content.
19% of them does it at least once a
week.
of users are watching live video.
Of them:
3%
Once a day 5%
Once a week 4%
Bi-weekly 3%
Once a month 2%
Less than once a
month
17%
Few times a week
7%
41%
LIVE

20. Source: Kantar TNS Ukraine, 2017, TA: 12-65, 50k+, internet users, who watched
video content at least once a week
CHARACTERISTICS OF
VIDEO CONSUMPTION
Ukrainian internet users are ready to
pay for online-content despite
stereotypes. A third of all users paid for
online content at least once.
of users, that watch video
content, paid for the content at
least once. Of them:
Once a day & more 3%
Few times a week
4%
Less than once a
month
24%
Once a month 2%
33%
PAID

21. Source: Establishment survey 2018, Ukraine, Kantar TNS. Internet users 14-70
age group.
WHAT DO USERS WATCH
YouTube, video in social media and
online cinemas – are the most popular
video content categories in the internet:
they are watched by 2/3 of the internet
users in Ukraine.

22. Source: April 2019, online cinemas data; April 2019, Ukraine, Cmeter, YouTube
users. Share out of the total number of the users of named services within the
prescribed period.
YouTube users are watching video
content more often on weekdays, while
on weekends their activity is
considerably lower. Video consumption
in online cinemas, on contrary, is higher
on weekends: average time spent of
video consumption is usually longer
here.
CHARACTERISTICS OF
VIDEO CONSUMPTION
Mo Tu We Th Fr Sa Su
Mo Tu We Th Fr Sa Su
YouTube
Online cinemas

23. Source: April 2019, online cinemas data; April 2019, Ukraine, Cmeter, YouTube
users. Share out of the total number of the users of named services within the
prescribed period.
CHARACTERISTICS OF
VIDEO CONSUMPTION
YouTube users are watching video
content more often on weekdays, while
on weekends their activity is
considerably lower. Video consumption
in online cinemas, on contrary, is higher
on weekends: average time spent of
video consumption is usually longer
here.
Nonetheless, it is important to keep an
eye on when the new episodes of
popular TV shows (e.g. Game of
Thrones), when the user activity surges.
Mo Tu Th Fr Sa Su
Mo Tu Th Fr Sa Su
Online cinemas
Game of Thrones
YouTube
We
We

24. 0%
1%
2%
3%
4%
5%
6%
7%
8%
Source: online cinemas data; April 2019; expertise of newage.
VIDEO CONSUMPTION BY
THE TIME OF DAY
Evening – is the time of highest video
consumption rate for online cinemas.
User activity is gradually growing,
starting from 6-7 o'clock in the morning,
and reaches its peak between 8 and 11
in the evening. CTR sees almost no
change during the day.
% of video consumption by time of day

25. 0.0%
0.2%
0.4%
0.6%
0.8%
1.0%
0%
1%
2%
3%
4%
5%
6%
7%
8%
Source: online cinemas data; April 2019; expertise of newage.
VIDEO CONSUMPTION BY
THE TIME OF DAY
Evening – is the time of highest video
consumption rate for online cinemas.
User activity is gradually growing,
starting from 6-7 o'clock in the morning,
and reaches its peak between 20:00
and 23:00 in the evening. CTR sees
almost no change during the day.
% of video consumption by time of day
CTR

26. TOP-10 VIDEO WEBSITES
Video content websites are very popular
among the internet users.
According to the data from Gemius, in
the beginning of 2018 only video ads on
Facebook reached 16% of all internet
users.
1
2
3
4
5
6
7
8
9
10
M views*
Source: April 2019, Ukraine, CMeter.
*monitoring data, subject to tracktion discrepancy.
YouTube
Hdrezka
Kinokrad
Ivi.ru
ГидОнлайн
SeasonVar
Megogo
Кино-театр.ru
Rutube
Kinogo.cc
1 498
38
34
21
12
39
9
6
5
9
Reach, %
68%
17%
15%
14%
7%
7%
6%
5%
4%
2%

27. Together with an increase in video
consumption, ad clutter is growing. If in
the last year alone a user was exposed
to 94 ad clips on average, now this
index almost doubled. It is necessary to
take this information into account while
planning video campaign, namely
formats, content quality, number of
contacts with the user.
Source: February 2018, April 2019, Ukraine, Factum Group
FREQUENCY OF VIDEO AD
EXPOSURE
94 16402.2018 04.2019
How many times per month an average user is exposed to video
advertising (2018 vs 2019):

28. Source: February 2018, April 2019, Ukraine, Factum Group
FREQUENCY OF VIDEO
ADS EXPOSURE
The user is most frequently exposed to
video ads of FMCG, e-commerce and
trade related brands. Over the course of
last year these areas have significantly
strengthen their positions on the market
of video advertising: the amount of
video published by them grew X 1,5-2
times, while their share among other
categories accounted for 40%. 02.2018
04.2019
FMCG E-commerce Trading Other Internet
services
Public
services
The
medicine
Electronics
and soft
Telecom Finance and
insurance

29. Source: data and expertise of newage.
VIDEO VIEWERSHIP
The users are tend to complete views of
short clips: the longer the video, the
more viewers would hit the skip button.
Online cinemas generate more complete
views of video ads compared to
YouTube: on average the rate differs by
20 percentage points.
OTHER
(Starlight, Pluses, AdMixer, etc.)
96% 78%
44% 61%
35% 55%
26% 49%

30. VIDEO TOOL KIT: FORECASTS,
DEVELOPMENT, MARKET STRUCTURE

31. Source: data by eMarketer, Global, 2015 – 2018; UAC data, Ukraine, 2015-2018
INTERNET ADVERTISING
Expenses on internet advertising* are
continuing to grow year on year. In
Ukraine, according to UAC, growth rate
is ahead of the world’s average:
advertisers doubled their digital spent
comparing to the previous year.
*Includes banner ads, sponsorship, mobile advertising, digital
video, search and other digital channels
154.3 млрд. $
171.1 млрд. $
187.7 млрд. $
204.0 млрд. $
2015 2016 2017 2018
Expenses on digital in 2015-2018
2.4 млрд.
грн.
3.1 млрд.
грн.
4.3 млрд.
грн.
9.5 млрд.
грн.
2015 2016 2017 2018
+11%
+10%
+9%
+30%
+39%
+120%

32. In 2018 expenses on TV and digital-
advertising leveled for the first time:
advertisers spent almost 80% of their
ad budget on these two channels. The
ad spent on printed press is gradually
decreasing.
Source: 2015-2018, Ukraine, UAC data
MARKET STRUCTURE
Printed press
TV-advertising
Out-of-home media
Radio advertising
Digital advertising
Where do advertisers spend their money?
2014 2015 2016 2017 2018

33. DYNAMICS OF EXPENSES
ON DIGITAL ADVERTISING
Source: data by UAC, Ukraine 2019; IAB, Ukraine, 2019
In Ukraine, there are two main players
who measure the volume of advertising
market – Ukrainian Advertising Coalition
and Interactive Advertising Bureau.
According to their estimations,
advertisers spent 3-5 billion UAH on
digital ads.
UAC maintains standards and
categories established by IAB in
assessment of the volumes of digital
advertising, while incorporating
technical innovations for sizing up of
this category.
Expenses on digital advertising in 2018, Ukraine (Mil UAH)
951
2370
2166
186
487
1359
186
520
Banner ads
Banner ads
Digital Video
Integrated content
Non standard
Digital video
Sponsorship
Other digital
3 016 5 209

34. Source: 2019, Ukraine, Европа, данные ИАБ
DYNAMICS OF EXPENSES
ON DIGITAL ADVERTISING
In Ukraine video advertising is more
popular than in european countries.
Over 40% of advertising budget is spent
on this channel by ukrainian advertisers.
Share of expenses on video advertising:
Video ads Other types of ads
Ukraine Europe

35. Source: the results of monitoring of the media activity in the Internet, February
2019, Factum Group
INTERNET PENETRATION
Ranking of video ads categories by volume in March 2019:
FMCG is the leading category in regards
to video ads volume in Ukraine: the
segment generates a third of all video
ad clips. E-commerce and internet-
services are making up for another third
of the market of video-advertising in the
country.

36. TOP VIDEO-ADVERTISERS
Source: the results of monitoring of the media activity in the Internet’ 04.2018-03.2019, Factum Group
October 2018 November 2018 December 2018 January 2019 February 2019 March 2019

37. Source: expertise of the agency
MAXIMUM REACH
It is possible to reach every second
internet user in Ukraine by applying
video advertising.
YouTube allows to reach almost a half
of internet audience while other
platforms can grasp a quarter.
maximum monthly unique reach~14 M
users
МАКСИМАЛЬНЫЙ ОХВАТ
~12 M
Desktop YouTube
CPM 35+ uah
~4 M
Reach Desktop
CPM 55-100 uah
~12 M
Mobile YouTube
CPM 35+ uah
~3 M
Reach Mobile
CPM 55-100 uah

38. RECOMMENDATIONS: CREATIVE, STRATEGIES, ANALYSIS

39. • A lot of advertisers are tend to user
the same creatives, that they use for
advertising communication on TV,
which is fundamentally wrong.
Content consumption on TV and via
digital differs substantially.
• Place your message in the first half of
video clip. This will allow to increase
the number of user contacts with the
brand by as much as 25%.
• Use pre-test before the campaign
launch to identify which creatives will
yield best results.
WORKING WITH
CREATIVES
Adapt clips for
digital channels
Place your main
message in the first
half of the clip
Test your creatives

40. WORKING WITH
CREATIVES
• Removal of the "Skip" button allows
to optimize viewership of the clip by
15-30%, even taking into account
extra charges
• Video ads have stronger influence on
the user, which should be taken into
consideration while planning an ad
campaign.
For the majority of our clients the
most effective frequency of ad
exposure is 1-2 times per week.
Communicate
with optimum
frequency
If there is a necessity, remove the
«Skip» button
Don’t analyse
based on clicks

41. Retargeting
7/14/30 days
Overview video of a
certain product
EXAMPLE OF VIDEO CAMPAIGN STRATEGY
L1
L2
L3 Cold audience
Neutral
audience
Hot
audience
еCPC
CPC
CPA
vCPM
Trueview
for action
vCPM
Trueview
Bumper (!!!) + in-stream (!!)
+banner (!)
with interaction
Optimizing settings
without interaction Banner
нейтральная
стратегия
without interaction
with interaction
Ваnner (!!) + Bumper (!)
Исключение уже существующей/купившей аудитории
L1
L2
L3
Acquisition modelTargeting
Interests
Demographics
Competitors
Search
overview videos
Website segments
Instream
Excluding
existing/purchased
audience
banner bumper
bumper in-stream banner
banner
Neutral
strategy
in-stream
+
++
- priority

42. In present moment it is possible to
automate all the placements and launch
everything via single window.
Every programmatic platform allows to
target users by hundreds of settings
and create the most relevant scenarios
to select the right strategy of
communication with the user.
Source: agency expertise
• Segmentation/targetings:
• Scenarios of ad impressions
• Optimization by acquisition model/scripting
• Testing of creatives, duration & settings
Interests Soc. Dem Custom Search
queries
Keywords Destinations Geolocations Profile
data
Contact
data
USE THE FULL SET OF
TOOLS’ FEATURES

43. The goal of video campaigns is to create a demand!
ANALYSIS OF VIDEO
CAMPAIGNS
How you should analyse a video
campaign:
• Never analyse effectiveness based on
click!
• Take into account cross-conversions
• Segment ad exposed users by the level
of intent
• Idenfigy long tail created by display
campaign and work with it
• Check for attribution between the
channels
• Asses clip viewership and user
engagement
• Gauge the growth of brand metrics –
awareness, loyalty
Source: agency expertise
Click View + Cross-device
~5%-50% ~30%-95%
Conversion MemorabilityWebsite

44. Credits and main sourcesContacts
Rolskyi Olexandr
Client Service Director
Sydoruk Nadiia
Digital-analyst

45. Kyiv, Henerala Shapovala str., 2А, of.162
Tel. +38 (068) 641 64 68
info@newage.com.ua
THANKS FOR YOUR ATTENTION!