Since 2016, the Ukrainian advertising market has been rebounding, with digital media showing the most promise.
The market hit $625 million in 2018 and is expected to reach $793 million in 2019, according to the latest report by All-Ukrainian Advertising Coalition.
But the market is still lower than the 2013 peak of nearly $1.4 billion.
The digital sector is expected to keep growing fast, reaching $134 million in 2018, or 17 percent more than the previous year. But still, TV ads accounted for the biggest share in 2018 – $331 million – and will again in 2019, at $411 million.
Election years are always good for advertising. This one will be no exception, with likely a two-round presidential election on March 31 and April 21, and parliamentary elections on the last Sunday in October.
The political ads are also giving a boost to digital advertising.
“Many clients worry that TV will be overloaded with political advertising, and in the first half of the year they tend to consider only limited content on these channels. This will only further increase the (importance) of digital advertising,” said Victoria Enkina, communications director at Tabasco, an advertising agency, back in December, according to Sostav.ua.
YouTube mania
Advertisers also showed substantial interest in the American video-sharing website YouTube as an advertising platform last year. Digital video channels, including YouTube, in Ukraine almost doubled and reached $48.5 million. Next year it might grow by another 70 percent, experts predict.
Print media advertisement is headed for more decline, expected to dip to only $65.8 million in 2019. Radio ads are expected to grow by 24 percent, reaching $25.5 million, in 2019. Last year several groups of advertisers, such as pharmaceuticals and food products, tried out radio.
Global advertising trends, such as mobile applications and social media, are shaping budgets too.
For example, Instagram is set to grow, says Yulia Sergiychuk, director at Promotion Technologies, a consulting agency, according to Sostav. ua in Dec. 25, 2018. Ukraine’s advertising market is constrained by low incomes, the need for more highspeed internet and other factors, Sergiychuk says.
Competition is becoming tougher for all brands and in all categories.
“Leaders that have occupied their market share over the years may lose everything in one day due to an inappropriate phrase posted on their social page. Now there are no unimportant moments,” Enkina said. “I think that there will be more advertising, (and) it will definitely become better.”
