The presentation I made in Berlin at Digital Signage Europe 2013. It covers some results of the research we carried out in AUVIX on DS market in Russia.

1. Digital Signage in Russia:
Observations and Trends
Alexander Pivovarov
Center of Excellence of Digital Signage
13.06.2013 (updated)

2. About AUVIX
• Leading Russian pro-AV distributor and System
Integrator
• 20 years on the Russian market
• 40 brands and over 20 distribution contracts
• 1500 dealers over the entire Russia
• over 3000 cities in Russia and CIS
• over 200 implemented projects
• 150+ employees

3. Russia: Basic Facts
 17 075 400 sq. km. ≈ 3 Europes
 The largest country in the
world, 1/8 of inhabited land area
 9 time zones
 143 mln. people - 9th nation

4. Russia: 8th World Economy
USA
$16.2
Japan
$5.1
China
$9.0
Germany
$3.6 France
$2.7
Brazil
$2.5
UK
$2.4
Russia
$2.2
Italy
$2.1
India
$2.0
GDP in trillions of U.S. dollars
Source: IMF, World Economy Outlook

5. Russia: Economy Slowdown
 GDP slowdown (2.4% by end of 2013,
1/2 of expected)
 Capital outflow
 Retailers observes slowdown in the
growth of sales
 Decrease in inflation
 Increase of tax burden on the small
business
 Growth of NPL (nonperforming loans)
The Russian Economy is not-so-bad,
but there are fears of crisis among
business society

6. Digital Signage in Russia
Our observations
•Low penetration of Digital Signage - Russia is behind Europe
few years
•Potential capacity is HUGE
•Digital Signage is a must-have tool for Russian retail chains
•Lot of interest among AUVIX’s partners on Digital Signage
•Lack of knowledge and expertise among partners
•Lack of understanding how to use Digital Signage among
end-users

7. DS Russia Research 2013
Participating companies
•Panasonic
•NEC
•LG
•Samsung
•MMD Philips
•Dismart
•Increditech
•Adissy
•Auvix
•Digisky
•Hoist Group
•Cardo Media

8. H1‘2013 Results
Source:AUVIX Research, June 2013
Q: Russian DS market
in 5 months of 2013
compared to 2012
The market showed some
growth, but it was rather slow.
Higher growth rate for
newcomers and aggressive
players.
Moderate decline
11 %
No change
33 %
Moderate growth
33 %
Significant growth
22 %

9. Q1‘2013 Results
Number of units: 6750
Volume (MUSD): 24.30
+0,7%
-1,7%
Flat Panel Displays Market in Russia,
Q1’2013
Source: Quarterly Flat Panel Market Report, Q1’2013

10. Short Term Forecast
Source:AUVIX Research, June 2013
Q: What’s your forecast
on Digital Signage market
for next 6-12 months in
Russia?
It’s expected that the market will
grow faster in the future.
Despite of crisis fear nobody said
that the market will decline.
No answer
11 %
Moderate growth
56 %
Significant growth
33 %

11. Long Term Forecast
Source:AUVIX Research, June 2013
Q: What’s your forecast
on Digital Signage market
on long term (3-5 years)
in Russia?
In a long term perspective, it’s
expected that the market will grow
significantly.
No answer
11 %
Moderate growth
22 %
Significant growth
67 %

12. Top Segments
Source:AUVIX Research, June 2013
Top Segments in
Russia
Advertising and QSR
segments have got a
significant boost.
PQMedia: Russia was the
fastest-growing DOOH
market in 2012, rising 26.9%,
QSR
Advertising
Retail
Corporate
Hospitality
Banking 6 %
6 %
13 %
19 %
25 %
31 %

13. Success Story
Megafon Retail by DISMART, 1500 locations

14. Alexander Pivovarov
Center of Excellence of Digital Signage
AUVIX
Email: a.pivovarov@auvix.ru
Tel: +7 (916) 214-0255
Skype: a.pivovarov