Day1 ad stream_1400_adex_results

TOGETHER FOREVER? ONLINE + TRADITIONAL MEDIA

Adex 2010 Internet advertising spending in

Europe (5th edition)

Key findings


Adex 2010: key findings Agenda

•  Introduc<on and methodology •  Top-‐line figures •  Key trends Compiled & presented by •  Catherine Borrel, IAB Europe •  Vincent Létang & Daniel Knapp, IHS Screen Digest


Methodology


Comparing “apples to apples”

RATECARD

Campaigns x Ratecard

GROSS

Revenue Billed

NET

Revenue Billed No Agency commissions


Key challenges to ensure comparability

•  Fair Gross value •  Category representa<on

•  Display •  Search •  Classifieds & Directories •  Other

•  Exchange rate adjustments at a constant rate •  Introduc<on of mobile display and mobile search


Our coverage now includes 25 countries

•  Austria •  Belgium •  Bulgaria •  Czech Republic •  Croatia •  Denmark •  Finland •  France •  Germany •  Greece •  Hungary •  Ireland

•  Italy •  Netherlands •  Norway •  Poland •  Russia •  Romania •  Slovenia •  Slovakia •  Spain •  Sweden •  Switzerland •  Turkey •  UK


Topline Figures


•  At constant country sample (25 countries of 2009 and 2010) •  At constant exchange rate

10

12

14

16

18

20

2009 2010

Total online advertising (€bn)

Overall growth: 15.3%


Key facts and figures

•  A €17.7bn market

•  Internet adver<sing back to double-‐digit growth –  Re-‐accelera<ng to +15.3% in 2010 –  2009: +4.5%, 2008: +20%

•  Internet now contributes 18% to all-‐media adspend

•  Online Display showing the strongest growth: + 21.3%


Europe continues to chase the US

0

5

10

15

20

25

2009 2010

Total online advertising (€bn)

Europe US Constant exchange rate: average 2010: 1 EUR = 1.3279 USD


Display drivers

•  New formats/placorms: video, social, mobile

•  Innova<on in targe<ng, audience measurement and banner formats

•  General renaissance of branding campaigns and display media


Key Trends (segments, markets)


Segments: display beats search growth in 2010…

21.3%

16.1%

7.4%

15.3%

-5%

0%

5%

10%

15%

20%

25%

Display Search Classifieds & directories

Grand total

2009 2010


…but search remains the larger segment

€5,8bn

€8,0bn

€3,9bn

0

1

2

3

4

5

6

7

8

9

Display Search Classifieds & directories

2009 2010


…however, display increased its share to 33%

30 33

46 45

23 21

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

100%

2009 2010

Segment market shares (%)

Display Search Classifieds/Directories Other


Markets: The top 6 make 74% of total adspend

€ 435 € 521 € 565 € 687 € 814 € 1,004 € 1,007

€ 1,883

€ 3,630

€ 4,770

€ 0

€ 1,000

€ 2,000

€ 3,000

€ 4,000

€ 5,000

€ 6,000

Denmark Norway Sweden Russia Spain Italy Netherlands France Germany UK

Total online adspend in €m


Comparing Markets (1): CEE is catching up

0%

5%

10%

15%

20%

25%

30%

35%

40%

Total online advertising growth 2009 – 2010 (%)


Comparing Markets (2): Display surges in East & West

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Slo

veni

a

Finl

and

Sw

itzer

land

Irela

nd

UK

Rom

ania

Spa

in

Rus

sia

Cro

atia

Nor

way

Net

herla

nds

Turk

ey

Aus

tria

Ger

man

y

Italy

Bel

gium

Bul

garia

Den

mar

k

Slo

vaki

a

Cze

ch

Rep

ublic

Fran

ce

Hun

gary

Sw

eden

Gre

ece

Pol

and

Online display advertising growth 2009 – 2010 (%)


Mobile display enters the mainstream

11.4%

3.5% 3.1% 2.8% 2.8%

0.7%

0%

2%

4%

6%

8%

10%

12%

Finland Italy Spain Norway UK Hungary

Mobile display adspend in proportion of total display (%)


Market: Growth and maturity

*Calculated using WARC & IHS Screen Digest data

Austria

Belgium

Bulgaria

Croatia

Czech Republic

Denmark Finland

France

Germany

Greece

Hungary

Ireland

Italy

Netherlands

Norway

Poland

Romania

Russia

Spain

Slovakia

Slovenia

Sweden

Switzerland

Turkey

UK

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

0% 5% 10% 15% 20% 25% 30% 35%

Year

-on-

year

gro

wth

200

9-20

10

Online advertising market share

Business

Day1 ad stream_1400_adex_results