Media Focus: Online advertising on the rise
Media Focus's "Semester Report Online" shows that the online advertising market generated 374 million Swiss francs in revenue in the first half of 2013 and is expected to grow by nearly 25 percent over the next three years.
1. online advertising formats
In order to present the entire online advertising market, Media Focus' advertising statistics, which exclusively include the advertising format display, were expanded to include the advertising formats search engine advertising, affiliate marketing, online classifieds, and online directories. The following descriptions show how the various online advertising formats can be characterized and distinguished from one another.
At classic online advertising are understood to be so-called display ads, i.e., advertising spaces such as banners, skyscrapers, rectangles, or the integration of (multimedia) content from advertisers into the editorial area of the online advertising media covered. The usual forms of billing are fixed prices or prices according to the contacts (CPM) or clicks (CPC) achieved. The invoiced gross order values are integrated into the advertising print statistics.
The subarea Moving image specifies the Video Ad format (In-Banner and In-Stream).
With Search engine advertising are advertising options in which the advertiser pays for a position of its link on the common search engines. Usually, an auction process is used to determine who gets the best position. The billing method of search engine advertising is payment by number of clicks on the text-based links.
The segment Affiliate marketing is part of performance marketing and is billed on the basis of performance. Normally, billing is based on CPO, CPL, and in some cases CPC. The integration of advertising media takes place on a large number of websites, e.g. by means of display ads, text links, product feeds or special integrations. Affiliate marketing measures are usually carried out via a network and usually have a long-term orientation. The advertiser provides advertising material and remuneration as part of the "affiliate program", while the website bears the main responsibility for deciding which advertising material is delivered when, where and how.
Under the Online classifieds market (Classifieds is the term used to describe the online classifieds business. The "Real Estate", "Auto" and "Job" sections are taken into account as the basis for the Semester Report.
The advertising format Online directories includes the paid entries of a directory search platform such as paid additional entries, highlighting ad, logo entry.
2. online trend by advertising format
Development absolute
The Semester Report Online now also breaks down the advertising format of traditional online advertising (display) into the subsegments of online display and moving images. In the first half of 2013, the moving image subsegment generated 11.6 million Swiss francs, or 14 percent of classic online advertising (display). The expert panel estimated the total volume of the Swiss online advertising market at 374 million Swiss francs in the first half of 2013.
3. segment mix
4. forecast growth
According to expert estimates, all online advertising formats will see growth in 2013. The growth of the overall market in 2013 is estimated at 9.8 percent. In addition, the overall market is predicted to increase by 24.9 percent over the three-year perspective. The experts see particularly great development potential in the advertising format search engine advertising and the moving image sub-segment.
5. share of online advertising in the Swiss advertising market
The share of online includes the advertising forms display, search engine advertising and affiliate marketing. To maintain comparability, online classifieds and directories were not included for this analysis, as classifieds or directories are not recorded in other media groups either.
In the media mix perspective, the share of online advertising in the first half of 2013 was 9 percent. This represents an increase of 2 percent over the prior-year period (H1 2012, 7 percent).
6. online advertising (display) by sector
1st half year 2013
After three years at the top of online advertising (display), the financial sector was replaced by the automotive sector. In the first half of 2013, the vehicle market generated the largest advertising volume in the area of classic online advertising, at CHF 9.7 million.
In the consumer electronics + photo and IT + office sectors, display advertising has the largest shares of the respective sector media mix, at 7.8 percent and 7.6 percent respectively.
7. methodology of online advertising statistics
The data for the Display advertising format is based on the advertising print statistics from Media Focus and are product-exact, reported values (gross billed) from our cooperation partners.
List of cooperation partners:
- AZ Media
- Comparis
- Goldbach Audience
- NZZ Net
- Microsoft Advertising Switzerland
- Omnimedia
- Ringier
- Romandie Online
- Sevenone Media
- Stailamedia
- Swisscom Bluewin
- Tamedia
- United Internet Media
The data for all other segments is based on expert estimates from the following market players:
- Adresult
- Car4you Switzerland
- Goldbach Audience (Switzerland)
- Goldbach Interactive (Switzerland)
- Homegate
- Job Cloud
- Monster Worldwide Switzerland
- NetProfit
- Ringier Digital
- Stailamedia
- Tradedoubler
- Worldsites
- Yourposition
