7 Dec 2022 11:15

Ukrainian media market loses over 60% of advertisements

MOSCOW. Dec 7 (Interfax) - The Ukrainian media advertising market has lost UAH 20.83 billion revenue amid the 2022 crisis, having contracted by 2.7 times year-on-year to UAH 12.12 billion, the Ukrainian media said with the reference to a survey conducted by the All-Ukrainian Advertising Coalition (VRK).

For instance, direct TV commercials shrank nearly five times to UAH 2.4 billion in 2022, although VRK is expecting them to grow 40% in 2023 due to the return of the main FMCG advertisers that almost completely left TV this year.

The press advertising market plummeted to zero as the crisis broke out but advertisers started to come back in May and placement volumes reached 25%-30% of 2021 levels by summer.

On the whole, VRK is expecting UAH 0.34 billion press advertising this year, which is almost five times less than in 2021.

According to the survey, the decrease has been the smallest in digital and out-of-home advertising, which fell, respectively, by 42% to UAH 7.19 billion and 57% to UAH 1.76 billion.

The intensification of business in western and central Ukraine led to recovery of the demand for out-of-home ads, the survey said.

Meanwhile, radio advertising decreased by approximately 1.5 times to UAH 0.33 billion, and movie theater advertising dipped 13 times to UAH 2 billion. The survey says that the rates of radio advertising market recovery have exceeded the expectations of specialists. In the second half of the year, new advertisers, those from the drugs category, arrived at the radio advertising market, and trade, finance, casino, online casino, bookmakers and mobile operators were also active.

There is still demand for regional advertising, and the revenue of certain radio stations in western Ukraine reached last year's amounts at the end of 2022.