Page 58 - UKRRptFeb20

to ​the latest report​ by the All-Ukrainian Advertising Coalition as cited by the Kyiv Post. In 2019, the total advertising market was valued at roughly $1bn. The market, however, is still lower than the 2013 peak of nearly $1.4bn.
In IT, a $100mn Ukrainian startup fund is being created by the government,​ said Oleksandr Bornyakov, Deputy Minister of Digital Transformation of Ukraine. The Finance Ministry reports this Saturday, nine finalists from 300 applicants will present their projects to the competition committee of the Ukrainian Startup Fund.
Ukraine has the world’s second cheapest internet, ​according to Worldwide Price Comparison, a study by the British company BDRC Continental and provider Cable.co.uk. The average cost of connecting in Ukraine is $6.64 per month, only four cents more than in Syria. Ukraine is part of Eastern Europe’s cheap internet pool of countries. After Ukraine, the ranking is Russia - $7.35 per month; Romania - $8.15 per month; and Belarus - $9.87 per month.
Ukrposhta, the state postal company, switched to $25mn profit last year, from $30mn loss in 2018​, the company reports. Employing 76,000 people, Ukrposhta increased its net income by 21%, to $342mn. Competing for head to head with Nova Poshta, the private delivery service, Ukrposhta acquire 547 new cars, 8,300 new computers and 5,000 point of sale terminals for contactless transactions.
On January 21, the government unveiled ‘Dilo Svita’ a national project to teach 6mn people digital skills​, Bornyakov said. This program meshes with a larger goal of closing internet ‘white spots’ – or extending internet use to the last 10mn Ukrainians. In addition, as part of increasing the nation’s IT professionals from 200,000 today to 500,000 in 2024, the government wants to train people for key support roles, notably IT marketing managers.
The market for television ads was valued at $480mn in 2019. ​And it will grow by 25% for direct marketing ads – for example, the ones during commercial breaks – and 20% for sponsorships, ads placed in TV shows and televised sports events. Sports broadcasting sponsorships can increase by at least 20% in 2020.
Online ads, in turn, also generated 24% more profit in 2019​, making $240mn. In 2020, online banner advertising placed on websites as well as ads spread through social media like Facebook and Instagram will see 20% growth, generating $146mn more than in 2019, the All-Ukrainian Advertising Coalition forecasts.
Digital video advertisements will see 30% growth, generating roughly $33mn more to reach a total of over $140mn in revenue.
The market for outdoor ads, including billboards and transport advertising, was valued at $177mn in 2019. ​The advertising coalition predicts it will be the most promising direction in marketing in 2020, with an impressive 86% growth. The amount of outdoor billboard ads, for example, is expected to increase by up to 15% only due to the space left vacant after political ads were removed following the presidential and parliamentary elections in 2019. In the press, the advertising market was valued at $77mn in 2019, 14.8% more than in 2018. The radio ad market has shown growth of roughly 25%, making $30mn; it is expected to grow at least 15% more in 2020.
58​ UKRAINE Country Report​ February 2020 ​ ​www.intellinews.com