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Hey Sergey, Yandex Kicks Google Butt In Russia

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China and India get all the attention from the major Internet players when it comes to growing Internet economies, but search advertising in Russia has a couple of local players dominating the field.

When thinking about a search ad company enjoying a market share approaching 60 percent of its field, it is reasonable to think of Google first. In Russia, Google exists as an afterthought, with AdWords nowhere near as competitive as it is in other places.

Contextual advertising in the Russian market has boiled down to a couple of players: Yandex, which provided an assessment of such ads in Russia, and Begun.

Yandex claimed it has between 55 and 60 percent of the contextual ad market, based on revenue. Begun followed that with 30 to 35 percent. Everyone else, including Google’s AdWords, is chasing the leftovers.

The bigger ongoing ad budgets come from construction, car dealerships, and firms in the business to business segments of the economy, according to Yandex.

Those budgets aren’t huge in number yet, totalling only $210 million. But they have doubled year after year since 2005, showing a growing acceptance of contextual advertising by Russian companies. Their advertisements have been displayed to viewers about 140 million times per day on weekdays, Yandex said.

Hey Sergey, Yandex Kicks Google Butt In Russia
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