Indian 2010 Online Advertising Spends by Industry : Top 5 Trends

Online Advertising in India is expected to grow by 26% in the year FY 2010-11 over FY 2009-10 according to Internet and Mobile Association of India latest report.

Industry vertical wise, Auto, BFSI, Online Publishers, Travel, IT & Telecom are the biggest onlinespenders and they continue to remain so. FMCG companies are one of the biggest advertisers on Television and Print  and 2010 had been the year when " this sector " saw a lot of money invested across the digital media.. It  is expected that FMCG’s online ad spend will gradually increase over the next couple of years along with Education and Telecom

 Among the the top 5  Online Industry Trends for 2010 , according to the research done by   

e-Tech Group | IMRB International (a specialist unit of IMRB International) Internet and Mobile Association of India are as follows

• The total Online Advertising market of India is estimated at Rs. 785 crores for the year  FY 2009-10 and is expected to grow to Rs. 993 crores in year FY2010-11

• Online Display advertisements contributed Rs. 417 crores (  Rs 4170 million )Display Advertising continues to surge, registering a growth of 22% over previous year’s figure of 325 crores.In FY 2007-08 Display Advertising was estimated to be Rs. 235 crores, registering growth of 77% in two years.

• The display ad market( banner advertising ) is  expected to grow by 28% while Text is expected to grow by 26% in FY 2011.In year 2009-10, Display ad industry is estimated to be Rs. 417 crores and Text ads is Rs. 368 crores; Travel, BFSI, auto & Telecom continue to remain biggest display ad spenders in year 2009-10 and will remain so for year 2010-11 as well.

• In FY 2010 (Apr’09-Mar’10) BFSI contributed around Rs. 89 crores towards Text and Rs. 52 crores towards Display ads. This totals to Rs. 141 crores for year FY10 and is estimated to grow to Rs. 177 crores in year FY11, an increase of 25%

• Display advertising for the Auto industry has risen from Rs. 24 crores in FY08 to the current level of Rs. 39 crores for FY10. This is expected to reach Rs. 62 crores for FY 2011  a growth of 63% expected  over a period of 2 years.

• Travel Industry Display ad spend for the year FY10 was Rs. 59 crores and is expected to grow by 14% to Rs. 67 crores for the year FY11. Text  ads spent by the Travel industry , is expected to grow from Rs. 74 crores in FY 10 to Rs. 90 crores in FY 11, an increase of 26%

• Fast Moving  Consumer Durables:to spend about Rs. 17 crores on Text  and Rs. 39 crores on display advertising in year 2010-11.

• Consumer durables: Consumer  durable advertisers are estimated to have  spent Rs. 34 crores on Display which is almost  double the amount they spent in FY08 and Rs. 10 crores on Text  ads.  The  ad spends of  display ads have been growing steadily over the years, and are pegged to touch Rs. 48 crores by the year 2011.

source:Internet and Mobile Association of India

Kindle becomes the is Bestselling Amazon Product

 Kindle for PC

Kindle for iPad

Kindle for Android

 Kindle

Amazon.com today announced that the third-generation Kindle is now the bestselling product in Amazon's history, eclipsing "Harry Potter and the Deathly Hallows (Book 7)." The company also announced that on its peak day, Nov. 29, customers ordered more than 13.7 million items worldwide across all product categories, which is a record-breaking 158 items per second

"We're grateful to the millions of customers who have made the all-new Kindle the bestselling product in the history of Amazon -- surpassing Harry Potter 7," said Jeff Bezos, Amazon.com founder and CEO. "We're seeing that many of the people who are buying Kindles also own an LCD tablet.


Customers report using their LCD tablets for games, movies, and web browsing and their Kindles for reading sessions. They report preferring Kindle for reading because it weighs less, eliminates battery anxiety with its month-long battery life, and has the advanced paper-like Pearl e-ink display that reduces eye-strain, doesn't interfere with sleep patterns at bedtime, and works outside in direct sunlight, an important consideration especially for vacation reading. Kindle's $139 price point is a key factor -- it's low enough that people don't have to choose."

On Christmas Day, more people turned on new Kindles for the first time, downloaded more Kindle Buy Once, Read Everywhere apps, and purchased more Kindle books than on any other day in history.On the peak day this season, Amazon's worldwide fulfillment network shipped over 9 million units across all product categories.Amazon shipped to 178 countries.

Among the top 5 best selling holiday products were 

• Electronics: Kindle (Wi-Fi); Kindle 3G; and Apple iPod touch 8GB
• Toys: Scrabble Flash Cubes; Qwirkle Board Game; and LEGO Ultimate Building Set
• Video Games and Hardware: Call of Duty: Black Ops; Just Dance 2; and Donkey Kong Country Returns
• Sports & Outdoors: Zumba Fitness Total Body Transformation System DVD Set; Razor A Kick Scooter; and Power Balance Silicone Wristband
• Movies: "Inception"; "The Blind Side"; and "Toy Story 3"
• One of Amazon's most remote shipments contained the "Tinker Bell and the Great Fairy Rescue," "Toy Story" DVDs, "Chicken Soup for the Dog Lover's Soul," NHL 11, Halo Reach and Call of Duty: Black Ops and was delivered to the hamlet of Grise Fiord, north of the Arctic Circle in Canada.

Other Holiday Facts Trivia from Amazon

• Amazon shipped over 350,000 units to APO/FPO addresses.
• "The Girl with the Dragon Tattoo" was the most purchased Kindle book on Christmas Day.
• "The Girl with the Dragon Tattoo" was the most gifted Kindle book on Christmas Day.
• Wireless: Samsung Captivate Android Phone (AT&T); HTC DROID INCREDIBLE Android Phone (Verizon Wireless); and Motorola DROID X Android Phone (Verizon Wireless

The Kindle e-book software is available for nearly all mobile devices, making it simple for customers to read books on an Apple iPad, Amazon Kindle, Google Android phone as well as a desktop computer. A person can start reading on one device, stop, and pick it where he left off on another device.

Online Holiday Sales uncreases by 15% in 2010

Online sales increased more than 15 percent this holiday season, according to data released Thursday, the latest confirmation of the growing importance of Internet commerce during retail’s most lucrative time of the year.

Retailers online took in $36.4 billion from Oct. 31 to Dec. 23, compared with $31.5 billion in the period a year ago, according to MasterCard Advisors SpendingPulse, which tracks all forms of payments for purchases, including cash and check.

The growth of online purchases is expected to surpass in-store sales this Christmas, though it still represents a small percentage of total sales. The National Retail Federation said last week that it expected sales in November and December to increase 3.3 percent this year, up from 2.3 percent a year ago, to $451.4 billion.

Much of the online increase came in apparel sales, SpendingPulse said, which took in $7.3 billion since Oct. 31, up 25.7 percent from a year ago.

Over all, apparel purchases online accounted for 18.9 percent of the total clothing sales this holiday, SpendingPulse said, up from 16.9 percent a year ago.Department stores saw an 11 percent increase in online purchases. Sales of electronics goods increased 12.2 percent. Jewelry had a comparatively modest 4.5 percent increase online, according to SpendingPulse.

This year, six days surpassed the $1 billion mark, led by Nov. 30 and Dec. 1, which each had about $1.1 billion in sales.One three-day period — Dec. 14, 15 and 16 — each had sales of more than $1 billion. Last year, only three days had $1 billion in sales or more.

Cold, wet weather across much of the country in the last several weeks led consumers to stock up on warm clothing, which has been a boon to retailers, said Michael McNamara, vice president for research and analysis at SpendingPulse. The inclement weather has led many to shop at home.

source: Nytimes.com

Online Display Advertising: Top 5 Reasons Why The Click is Over

Online Display AMedia mind global_benchmark_q4_2010

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One of online marketers’ simplest metrics and a key challenge to keep track of, is  the clickthrough rate. While there are a lot of  debate on whether its just the CTR that matters... and whether that should be a standard metric  of  judging the " results and effectiveness of the campaign

The importance given to the CTR .. is  primarily due  to "  the fact that apart from the CTR model, there has been no unamity on  just " how to judge the  metrics" of an online ads . While the CPM model ensured that " advertisers bombard users with their banners ...the CPC model recognized that  a click  leads to a action which may or may not convert. A high CTR rate does not guarantee a high conversion .. which means that "even a click to the landing page  of the advertisers which does not convert is actually wasted clicks which is again equal to users not clicking at all . 

However the fact of the matter is that the CTR ( click through rates ) has been in decline for years. As many recognize the importance of other measures in determining the success of online campaigns in attempts to capture the branding as well as the direct-response effects of advertisements, fewer and fewer web users were clicking on fewer and fewer ads.

Based on longitudinal data from digital ad solutions provider MediaMind, however, that decline appears to have stopped. The company’s analysis of data from July 2006 through July 2010 shows that annual average click rates have plateaued, at 0.09%.

According to “Standard Banners—Non-Standard Results,” it was the success of online display ads that caused the drop in clicks to begin with. As users saw more and more ads across the internet, many continued clicking, but not fast enough to keep up with the expanding inventory. Clickthrough rates fell steadily until reaching an equilibrium.

The study also provides further evidence to back up brand marketers who want to measure more than just clicks to determine the effects of their campaigns. Just 20.4% of conversions came after clicking on a banner ad. Instead, the vast majority happened among web users who had seen the ad but not clicked on it, and who converted at a later date.

The new findings are an encouraging sign for advertisers,” said Gal Trifon, CEO and co-founder at MediaMind, in a statement. “Although CTR is only a partial measure of online success, the leveling of CTR shows that online advertising has reached a level of maturity and that advertisers have become more sophisticated in luring users’ interest.

How US Online Users Shares Content :

Research from Chadwick Martin Bailey found that three-quarters of web users are likely to share content with friends and family, and nearly half do so at least once a week. But while much social networking content is built around such shared items, most people still prefer to use email to share  items of interest.

Overall, 86% of survey respondents said they used email to share content, while just 49% said they used Facebook. Broken down by age, the preference for email is more pronounced as users get older. And only the youngest group polled, those ages 18 to 24, reverses the trend, with 76% sharing via Facebook, compared with 70% via email.

Earlier research from StrongMail and ShareThis also found email was still on top for content-sharing. Other studies have shown that, when limited to sharing on social sites, Facebook is No. 1.

Acording to the Research  Reports Rather than focusing on sharing content they thought the recipients would find helpful or relevant (58%), most respondents cared more about what they thought was interesting or amusing (72%). Asked to select the single biggest reason they shared content, the greatest percentage of respondents (45%) again said it was because they enjoyed it. Men and women reported similar reasons for sharing, but motivations varied by age. The oldest respondents cared more about the value of content to recipients: 67% of those ages 55 and older said they shared items because they would be useful to recipients, compared with just 45% of 18- to 24-year-olds.

Overall, 86% of survey respondents said they used email to share content, while just 49% said they used Facebook. Broken down by age, the preference for email is more pronounced as users get older. And only the youngest group polled, those ages 18 to 24, reverses the trend, with 76% sharing via Facebook, compared with 70% via email

Read the full story  here

US Online Spends Surges Over Newspaper Ads

2011 will mark the first time marketers put more money into online advertising than newspapers, eMarketer estimates,For the first time,  US advertisers will have spent more on Internet ads than on print newspaper ads. This is a truly crossover event in the history of " any media "


15 years after the Internet was founded, this is going to be the first time  when the " Internet " has truly become global and all compassing.

The digital-marketing research firm says U.S. spending on online ads will hit $25.8 billion, surpassing the $22.8 billion spent on print ads in newspapers.

Total newspaper spending, including advertising in print and online editions, will fall to $25.7 billion in 2010, a decline of 6.6%. Spending on print newspapers alone will fall more steeply to $22.8 billion. Meanwhile, a rise of 13.9% will push US online ad spending up to $25.8 billion by year’s end.

The spending gap will widen significantly next year, as total newspaper spending falls again to $24.6 billion (including $21.4 billion for print) and online climbs to $28.5 billion.

“It’s something we’ve seen coming for a long time, but this is a tipping point,” Geoff Ramsey, CEO of eMarketer, told The Wall Street Journal.

Companies will spend 119.6 billion dollars on online and digital strategies and 111.5 billion dollars on newspaper and magazine advertisements and other print campaigns, according to the study by California-based Outsell.Outsell, which provides research and advisory services to the publishing and information industries, described the spending shift as "an industry milestone crossover event."

Despite a drop in the dollar amount of online newspaper spending during the recession, online has been accounting for a growing portion of all newspaper ads as print spending declines even more sharply. In 2010, online makes up about 11.7% of all US newspaper ad spending, a proportion set to rise to 13% next year.

UK Social Network Ad Spending to Double by 2012

eMarketer estimates social network ad spending in the UK will rise from £130 million ($203 million) this year to £275 million ($430 million) by 2012, an increase of more than 110% in two years. This will boost social network ad spending from 3% of all online ad spending to 6% over the same time period.

Facebook, the most popular social network in the UK as in the US, will take the greatest share of spending as marketers continue to follow their customers to social media.

“There’s a new breed of advertisers that have recognized this shift and understand that he who adds the most value to the consumer wins,” a representative from Facebook told eMarketer. “Agencies have been quick to recognize and harness the power of social but in the last six months alone, we’ve seen marketing directors start to truly understand the opportunities in this space and build a great social experience for customers.”

In the US, social network ad spending—estimated by eMarketer at $1.68 billion this year—takes a larger slice of the online pie, at 6.7% in 2010.The most likely reason for this discrepancy is that the major social networks, specifically Facebook, were born in the US; however impressive the subsequent growth and advertiser interest in other countries, those markets are playing catch-up to some extent.

Similarly, the US also has a somewhat larger share of its population active on social networking sites, according to eMarketer estimates. Just under half of web users in the UK visit social networks at least monthly this year, compared with an estimated 57.5% of US internet users. The total UK audience is up 15% this year to 21.8 million.

Growth will moderate, with the number of UK social network users set to rise just 10% next year and by the single digits thereafter, reaching nearly 30 million and 59.9% penetration by 2014

source: Emarketer.com

UK Internet Growth Statistics : Top 5 Trends

Internet use in the UK continues to climb steadily, especially among residents ages 50 and older. More than 44 million people were online in 2010 and around 70% of households had broadband.ays of going online are also proliferating, thanks to expanding wireless infrastructure and device options such as smartphones and tablets. These in turn are prompting new patterns of media consumption both inside and outside the home.

For example, substantial amounts of social networking and search activity in the UK have already transferred to the mobile platform. Consumers are also increasingly engaged with brands and content via mobile devices. In October 2010, the UK’s Internet Advertising Bureau (IABUK) reported that 26.6 million people (59% of mobile phone owners in the country) had used mobile media such as apps or downloaded data to their handsets.

UK Online Statistics for 2010

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YEAR	Users	Population	% Pop.	Usage Source
2000	15,400,000	58,789,194	26.2 %	ITU
2005	35,807,929	59,889,407	59.8 %	Nielsen Net//Ratings
2007	38,512,837	60,363,602	63.8 %	Nielsen//NR
2009	48,755,000	61,113,205	79.8 %	Nielsen Online
20109	51,442,100	62,348,477	82.5 %	ITU

The 2010 Internet Access survey of households and individuals measures home access to the Internet and individuals’ use of the Internet across the UK.

The key findings from the survey

• 30.1 million adults used the Internet every day or nearly every day, almost double the estimate in 2006

•  9.2 million adults had never used the Internet

• 31 per cent of Internet users connected via a mobile phone, up from 23 per cent in 2009

• 17.4 million adults used the Internet to watch television or listen to the radio, an increase from 6.4 million in 2006

• 73 per cent of households had Internet access

• 31 million people bought or ordered goods or services online in the last 12 months

• In 2010, there were 38.3 million Internet users in the UK, that is, individuals who used the Internet in the three months prior to being interviewed for the survey which was  77 per cent of the UK adult population. 

• Of those, 30.1 million accessed the Internet every day or almost every day, equating to 60 per cent of all adults.

• Over 9 million adults had never used the Internet, at 18 per cent, down from 10.2 million in 2009.

• The number of people who used a mobile device  to access the Internet wirelessly, away from the home or workplace, increased in 2010 with 45% of Internet users connecting this way, up from 40 per cent in 2009.

• London was the most wired City  when it came to internet usage

US Internet Users and Facebook Users Compared By States

US Internet USers compared to facebook Users

Facebook Penetration Statistics - Thomas DiSanto
O

Out of 240 million internet users in the US,around 133 million of us are Facebook users. That’s a mind boggling 43% penetration of US internet users.

Indian Telecom growth Story : The Top 5 Trends

• Indian Telecom Total Subscriber base in September 2010

Indian Telecom	Statistics
Total telephone subscriber base	723.28
Tele-density	60.99%
Wireline user base	35.57
Wireless user base (GSM+CDMA+WLL(F))	687.51
Active wireless subscribers in VLR	482.29
Monthly additions (Wireline + Wireless)	16.99
Monthly additions (Wireline)	-0.20
Monthly additions (Wireless)	17.10
Broadband subscribers	10.29

(Subscriber numbers is in million)

• Telecom Operators Stats - September 2010

Service Provider	Wireless Subscribers	VLR Subscribers	Proportion of VLR Subscribers
Aircel/Dishnet	46515378	27486641	59.09%
Bharti	143292272	127955403	89.30%
Loop	2983899	1438683	48.21%
BSNL-GSM	72537194	42961761	59.23%
BSNL-CDMA	5784531	NA
HFCL-CDMA	295683	115646	39.11%
HFCL-GSM	727261	382273	52.56%
Vodafone	115553042	86649844	74.99%
IDEA	67332175	59179298	87.89%
MTNL-GSM	5015979	1818709	36.26%
MTNL-CDMA	295275	85793	29.06%
RCL-GSM	41206812	27341140	66.35%
RCL-CDMA	55287293	37737141	68.26%
RTL	20843265	13433680	64.45%
Sistema Shyam	6638470	3070009	46.25%
Spice	6881332	6184343	89.87%
Tata CDMA	40915744	18005492	44.01%
Tata GSM	38155972	17619730	46.18%
S Tel	1642272	399580	24.33%
Unitech	11267660	3482519	30.91%
Videocon	4482272	1742311	38.87%
Etisalat	56583	24640	43.55%

2010 Monthly Statistics

Wireless Segment (GSM, CDMA & FWP)

Wireless subscriber base increased from 584.32 Million in March-2010 to 601.22 Million at the end of April-2010 registering a growth of 2.89%. Wireless Tele-density stands at 50.98.

Wireless Service: Service Providers’ share in net additions during the month of April 2010

Service Provider wise Market Share as on 30-04-2010

Wireline Segment

Wireline subscriber base declined from 36.96 Million in March-2010 to 36.83 Million at the end of April-2010. BSNL/MTNL, two PSU operators hold 84.64% of the Wireline market share. Overall Wireline teledensity is3.12.

Service Provider wise Market Share as on 30-04-2010

source : telecomindiaonline.com

Best Indian Workplace 2011 : Top 50 Best Companies

The Top 50 companies to work for in India for 2010

Rank	Name of the Company	Location	Number of Employees	Gender Ratio (F:M)	Voluntary Turnover
1	Google India	Bangalore	1,259	1:0.99	30%
2	MakeMyTrip	Gurgaon	674	1:2.55	23.89%
3	Intel Technology	Bangalore	2,430	1:3.99	4.4%
4	Marriott Hotels	Mumbai	2,433	1:9.01	27.37%
5	NetApp India	Bangalore	1,042	1:4.51	5.95
6	American Express	Gurgaon	5,200	1:1.33	15.00%
7	NTPC	New Delhi	24,708	1:8.11	0.12%
8	PayPal India	Chennai	419	1:3.6	0.48%
9	Ajuba Solutions	Chennai	1,612	1:1.41	23.45%
10	SAS Institute	Mumbai	108	1:5.75	13.89%
11	Crowne Plaza Today	Gurgaon	399	1:5.23	48.87%
12	Dow Corning	Mumbai	241	1:6.3	9.96%
13	Taj Hotels Resorts	Mumbai	13,009	1:6.58	11.55%
14	Godrej Consumer	Mumbai	1,314	1:30.29	6.24%
15	Whirlpool of India	Gurgaon	1,128	1:13.28	8.69%
16	Interglobe Enterprises Ltd	Gurgaon	5,040	1:1.86	12%
17	iNautix Tech	Chennai	2,263	1.21	8.66%
18	Hilti India	Delhi	427	1:13.72	12.88%
19	Titan Industries	Bangalore	4,329	1:3.49	4.87%
20	Intelenet Global	Mumbai	25,810	1:2.27	NA
21	Qualcomm India	Mumbai	1,073	1:6.5	4.38%
22	Federal Express Corp	Mumbai	514	1:4.3	12.65%
23	Kotak Mahindra	Mumbai	6,461	1:4.04	18.77%
24	Domino’s Pizza India Ltd	Noida	5,650	1:9.58	53.35%
25	Classic Stripes Ltd	Mumbai	325	1:3.28	6.46%

26	Viacom Media 18 Ltd	Mumbai	363	1:2	15.43%
27	Bharti Airtel Ltd	Delhi	17,227	1:7.33	17.99%
28	BNY Mellon International Ops	Pune	1,816	1:2.71	6.11%
29	Visakhapatnam Steel Plant, Rashtriya Ispat Nigam	Visakhapat	17,225	1:35.49	NA
30	Talentica Software India	Pune	104	1:0.2	6.73%
31	Indian Oil Corporation	Delhi	33,954	1:11.93	0.04%
32	Yum Restaurants	Gurgaon	1,713	1:6.39	36.19%
33	Monsanto India Limited	Mumbai	785	1:6.2	22.93%
34	HDFC Standard Life	Mumbai	14,228	1:5.51	82.72%
35	Tata Teleservices Limited	Mumbai	8,743	1:11.13	18.99%
36	Marico	Mumbai	1,266	1:5.9	16.87%
37	Claris Life sciences	Ahmedabad	1,312	1:22.02	20.43%
38	Cadbury India	Mumbai	2,347	1:23.45	5.45%
39	Intuit Technologies	Bangalore	304	1:5.2	5.26%
40	Quintiles India	Bangalore	1,317	1:0.73	9.57%
41	Blue Dart Express	Mumbai	6,015	1:16.33	7.95%
42	Hardcastle Restaurants	Mumbai	891	1:16.76	6.29%
43	Eureka Forbes	Mumbai	9,048	1:18.92	52.58%
44	Godrej Industries	Mumbai	1,223	1:12.7	2.92%
45	S.C. Johnson Products	Delhi	578	1:10.12	16.78%
46	Bajaj Capital Limited	Delhi	873	1:4.49	32.88%
47	Professional Assistance for Development Action	Delhi	269	1:3.84	11.9%
48	Firstsource Solutions	Mumbai	20,065	1:2.49	62.67%
49	LG Electronics India Pvt Ltd	Noida	3,896	1:18.1	5.34%
50	Pitney Bowes Software India	Noida	364	1:3.55	10.71%

In 2010 list of Great places to work, 3 out of top 5 companies are Multinationals while 4 of them are technology companies.

source: http://trak.in/