2. What Russia is…. Country with large territory Customers behavior varies from region to region Diverse in Technology 17 075 400 km² or11,46 % from total dry land Ranked 9 in the world by population size (142 914 136 mlnpeople*) * Source:Rosstat, 2011
3. Currently every 2rd adult Russian is on the Internet Monthly internet audience isabout50mln. Yearly change Month +3,9 mln. -13% +10,1 mln. Week -6% 36,3 mln. Day +41% Main growth – due to regions, 90% of new users outside of Moscow and Saint-Petersburg 3 Source:Internet in Russia. FOM. Winter 2010/11
4. Key Investment Highlights Large and High Growth Internet Market Opportunity Growth in Internet Users vs. Penetration Total Internet Users (MM) Key Developed Markets Russia 2014e BRIC Brazil Internet Penetration 2010 (%) Russia 2010 China India Internet users CAGR 2010-14e (%) 2010 2014e Source: Euromonitor (January 2011), FOM (March 2011) for Russia 4
8. Buying trends Large cities 80% 20% 60% 40% Travel tickets Percentage of people over 35 Computers & peripherals Food Older Younger CD&DVD Cell phones Books 70% 10% 50% 30% Household appliances and electronics Proportion of people buying each product category: More than 15% 7-14% Less than 7% Clothes, shoes Children’s products Cosmetics & perfume Small cities Percentage of population in cities 1 mln+ 6
9. Popular product categories as a % of all online shoppers August 2010 +5 pp -1 pp -4 pp 0 pp +2 pp -1 pp 0 pp -1 pp -3 pp 0 pp Source:FOM. E-commerce market. March 2011. 7
10. 33% of payments are made remotely as a % of all online shoppers Advance payment 8 Source:FOM. E-commerce market. March 2011.
14. Interest level: 4 regions lead the way Clothes Shoes 12 Words stat Yandex
15. Category interest level by gender and age Clothes Shoes 4% 11% Women 79% 44% Women 76% 16% 4% 1% 2% Men 21% Men 24% 11% 5% 1% 50% 40% 30% 20% 10% 0% 13 Source: Words stat Yandex
16. Advertisement click rate “Clothes” query All queries “Shoes” category 14 Source: Words stat Yandex
17. Users response rate by age 48% >45 35-44 25-34 18-24 <18 Clothes Shoes 64% 36% 48% 50% 56% 15 Source: Words stat Yandex
18. Popularity of TOP players in fashion 1 Bonprix 1 2 Otto 3 2 Quelle 1 3 Sapato 2 Wildberries 3 La Redoute Lamoda 16 Source: Words stat Yandex
28. User Services Yandex.Spravochnik(GEO location) The largest catalogue of organizations and cartographic service in runet. Key features Biggest cartographicalservice in Russia with geo-located information ‘Organization page’ provides users with contacts, address, website and other detailed information Mobile application for most popular platforms Value proposition Premium position Adv Message Premium placement on the companies list relevant to user queries Additional Adv message on the card with contacts of the selected organization is shown on the map Extended list of placement were info is shown like search, mobile application etc. 20
33. CTR +73%Key features Selected trusted user profile with defined sociodemographic and behavioral patterns Applied MatrixNet technologies algorithm to Defining factors which are common for all users of a group (for each sociademographic group) Evaluation of importance of these factors Results extrapolation to all Yandex users, 100% of audience is covered If the data is contradictory or not full and the system can not define users’ sociodemographic group ads are not shown to them 22
34. Thank You! Preston Carey Director, Business Development preston.carey@yandex.ru +1 857.288.8762 @prestoncarey
Notas do Editor
Last year clothes and shoes became the biggest sectors by size of involved audience and keep growing when the other sectors remain stable or decrease.
