32
Russia: The New Frontier Yandex, Russia International Search Summit

Business case yandex in russia

Embed Size (px)

DESCRIPTION

International Search Summit in London , Oct-2010

Citation preview

Page 1: Business case yandex in russia

Russia: The New Frontier Yandex, Russia

International Search Summit

Page 2: Business case yandex in russia
Page 3: Business case yandex in russia

Russian Internet Audience

Page 4: Business case yandex in russia

Geography

2010

2009

Area – 17M km² = 11% of mainland

Population – 142M people = 2% of Earth

population

83 federal subjects, 11 cities 1M+, more

than 180 different ethnic groups, 9 time

zones

Page 5: Business case yandex in russia

Russian Internet Users (Spring 2010; millions people)

Daily Weekly Monthly

Spring

2003

Spring

2004

Spring

2006

Spring

2007

Spring

2008

Spring

2005

Spring

2009

Summer

2009

Autumn

2009

Winter

2009-2010

Spring

2010

Page 6: Business case yandex in russia

Moscow 2010

Internet Penetration in different age groups

Internet Users of this age All people at this age = 100%

Russia 2010

18-24 25-34 35-44 45-54 Age

Monthly reach

55+

Page 7: Business case yandex in russia

Runet is not only in Russia

Data source:

InternetWorldStats

Belarus

4,4M of users,

Ukraine

15,5M of users,

Kazakhstan

5,3M of users,

Russian

Federation

59,7M of users,

Page 8: Business case yandex in russia

Popular Browsers

51%

31%

11%

4%

2%

1%

IE

Firefox

Chrome

Safari

Opera

Other

Worldwide

33%

27%

6%

1%

32%

0%

IE

Firefox

Chrome

Safari

Opera

Other

Russion Federation

Data sources:

LiveInternet,

StatCounter, 2010

Page 9: Business case yandex in russia

Data source:

ComScore

Russian Internet audience Social Networking

Media Total Unique

Visitors (000) % Reach

1 VKONTAKTE.RU 31 524 72,8

2 Odnoklassniki 16 552 38,2

3 Mail.Ru - My World 14 231 32,9

4 FACEBOOK.COM 3 885 9,0

5 FOTOSTRANA.RU 3 565 8,2

6 TWITTER.COM 1 772 4,1

7 PRIVET.RU 1 522 3,5

8 VKRUGUDRUZEI.RU 1 471 3,4

9 MOIKRUG.RU 992 2,3

Media Total Unique

Visitors (000) % Reach

1 FACEBOOK.COM 571 480 45,3

2 Windows Live Profile 143 540 11,4

3 MySpace 97 734 7,7

4 TWITTER.COM 94 813 7,5

5 Orkut 55 027 4,4

6 LINKEDIN.COM 49 661 3,9

7 VKONTAKTE.RU 46 958 3,7

8 Yahoo! Pulse 45 643 3,6

9 Baidu Space 37 731 3,0

Russian

Federation WorldWide

Page 10: Business case yandex in russia

Data source:

ComScore

Russian Internet audience

Most of top sites are russian

Media Total Unique

Visitors (000) % Reach

1 Yandex Sites 34 182 78,9

2 Vkontakte 31 596 73,0

3 Mail.Ru Sites 30 207 69,7

4 Google Sites 29 096 67,2

5 RosBusinessConsulting 18 701 43,2

6 Odnoklassniki 16 552 38,2

7 Rambler Media 14 363 33,2

8 Wikimedia Foundation Sites 14 333 33,1

9 BitTorrent Network 13 927 32,2

10 Microsoft Sites 11 479 26,5

11 AOL LLC 11 281 26,0

12 SUP 9 678 22,3

13 DEPOSITFILES.COM 9 171 21,2

14 Opera Software 9 079 21,0

15 UCOZ.RU 8 720 20,1

16 ZAYCEV.NET 8 415 19,4

17 Gazprom Media 8 101 18,7

18 LETITBIT.NET 7 919 18,3

19 The Mozilla Organization 7 915 18,3

20 KP Publishing House 6 272 14,5

Page 11: Business case yandex in russia

What is new?

• Russian internet

is going mobile

• Cyrillic domain names (Яндекс.рф)

Page 12: Business case yandex in russia

Yandex mobile search audience

~ 10% of our general search audience

~ 3% of our paid clicks

CTR is 40% higher

Pages per user – 26% lower

Page 13: Business case yandex in russia

Leading Searchengines in Russia

(yandex.ru)

Page 14: Business case yandex in russia

Search Engines in Russia, %, monthly

LiveInternet.ru Stat

Page 15: Business case yandex in russia

Why Yandex?

•Russia is special

•Yandex is local

•Russia has strong

background in mathematics

and linguistics

•Yandex built world class

R&D team

•Russia has economy big

enough to generate big and

complicated busynesses

•Yandex developed

contextual advertizing

system, which dominates

local market

Page 16: Business case yandex in russia

What makes us strong?

• School of data analysis - a 2-year

Master’s-level program. Subjects: automated

indexing, information, search technologies and methods

of data processing (aggregation, automated

classification, facts extraction, decision-making theory,

etc)

• Matrixnet – machine learning based

technology for ranking search results

Page 17: Business case yandex in russia

Russian Internet Advertizing

Market

Page 18: Business case yandex in russia

Russian advertising market

Page 19: Business case yandex in russia

Internet Advertising Market ($ m)

Display Ads – Russian Association of Communication

Agencies (AKAR) Research,

All Market - RBC & “Kommersant” Publication.

Page 20: Business case yandex in russia

Market size, millions $

Online advertising

Data sourse:

AKAR,

January-June

271

100

171

361

119

242

Total Internet banner ads contextual ads

2009 2010

+40%

+33%

+20%

Page 21: Business case yandex in russia

Contextual ads market in Russia

Market evaluation for the Jan-Jun 2010:

– AKAR: USD 210 million (without VAT)

– MindShare Interaction: USD 186 million (without VAT)

Yandex.Direct

Google Adwords

+ Begun

Page 22: Business case yandex in russia

Yandex Direct Now:

• More than 78 000 advertisers monthly

• More than 4 300 000 active ads monthly

• More than 29 000 000 active keywords in

ads monthly

Page 23: Business case yandex in russia

Who sees Yandex.Direct Ads (September 2010)

Page 24: Business case yandex in russia

Audience Geography

Источник: ФОМ, Яндекс.Директ

Moscow and

Petrersburg Other regions

Internet audience

Contextual ads

audience

Paid clicks

Page 25: Business case yandex in russia

Regions grow faster

Moscow + Petersburg

Regions

Regional share in Yandex paid clicks

Page 26: Business case yandex in russia

Yandex.Direct – advertisers number

Page 27: Business case yandex in russia

B2B vs B2C: cpc dynamics

Page 28: Business case yandex in russia

B2B cost per click

Page 29: Business case yandex in russia

B2C cost per click

Page 30: Business case yandex in russia

Market size, billion $

Online shopping

2.9

3.5

4.8

2007 2008 2009

+20%

+40%

Data sourse:

RBC

Page 31: Business case yandex in russia

WELCOME!

•Yandex sales representative in the USA –

Preston Carey

[email protected]

Office: +1 857.288.8762

Mobile: +1 617.306.0963

Address:

4 Middle Street

Newburyport, MA 01950

Page 32: Business case yandex in russia

Eugene Lomize Head of advertising technology dep.

address: 16, Leo Tolstoy st.

Moscow, Russia, 119021.

phone: +7 (495) 739-2222

fax: +7 (495) 739-2332

e-mail: [email protected]