In 2010 Russia became the fastest growing market in Europe in terms of online advertising revenues, and continued strong growth throughout 2011. According to the Russian Association of Advertising Agencies (AKAR), the market reached 1,4 billion USD, which is a 56% increase comparing to 2010.
According to AdScore (in Russian), Yandex holds the largest share of Russian contextual advertising market, followed by Google Russia and Begun:
Although Yandex has lost some of it’s market share in 2011, it is still by far the largest player of Russian online advertising market. The company reported $622.2 million in revenues by the end of last year.
Yandex Direct is said to have 270 000 active advertisers in 2011. The average spend per advertiser per month is 2500 Russian Rubles (approx. 85 USD). In 2010 the number was higher (3000 Rubles/ 100 USD per month), and decreased due to the fact that more and more small business with low marketing budgets start advertising online.
According to AdScore, vKontakte PPC platform is showing very fast growth in Russia. Advertising budgets of Deal-of-the-Day type of sites (Groupon and alikes) as well as local services providers are quickly shifting towards social networks from search and traditional media.