How is the television commercial market in Russia characterized?
Greetings!
In the present day, TV commercials serve as the primary form of advertising for Russian consumers. Extensive research indicates that television, along with the Internet, enjoys the widest reach among audiences. Consequently, our discussion today revolves around TV commercials.
Audience for Russian TV
Starting from the early 2000s, there has been a decline in the number of Russians who watch TV on a daily basis, in contrast to the growth observed during the 1990s. This decline is particularly evident among individuals aged 15 to 24, while the percentage has increased for respondents belonging to the older generation. This trend can be observed from the survey data provided in the table.
Source: Levada-Centre
The decline in daily TV viewership can be attributed to the advancement of internet technologies in Russia. However, despite this development, television remains the primary source of information, as revealed by the survey titled “Where do Russians get their news from?” conducted among individuals aged 18 and above in 130 towns across 45 regions. The survey results showed that 88% of respondents rely on TV for news, while only 21% depend on the internet.
Russian television employs a strict categorization system consisting of three groups of channels based on the target audience’s age.
The first group caters to the older generation and includes five channels. Four of these channels, namely “1st Channel,” “Russia,” “TVC,” and “Culture,” primarily focus on the female audience. The last channel in this group, “NTV,” targets a male audience. The second group comprises channels aimed at young people, namely “TSN” and “YNT.” The percentage of female viewers slightly outweighs that of young men. The third group of channels is designed for the middle-aged audience and includes “Ren-Tv,” “5th Channel,” “TV-3” (with a predominantly male audience), and “Home” (with a predominantly female audience).
Determining the Cost of TV Commercials in Russia
The cost of placing TV commercials can vary significantly based on the region and population size.
In large cities with a population of 100,000 or more, the cost is determined by the rating. This means that advertisers pay for Gross Rating Points (GRP) rather than the duration of commercial airtime in these cities.
The rating represents the average number of individuals who watched a particular TV program at any given time, expressed as a percentage of the total audience participating in the research. This audience includes civilians aged 4 and above in cities with a population exceeding 100,000.
In small population centers where telemetering is unavailable, only commercial airtime (minutes) is sold without considering the rating.
Selling TV advertising based on ratings is considered more progressive and effective. The main advantage of advertising by GRP is the ability to pay for guaranteed contact with potential customers, rather than just purchasing airtime. Sales based on ratings also offer advertisers the opportunity to select their target audience more precisely.
Furthermore, unlike the payment based on advertising minutes, the responsibility of ensuring that the campaign reaches the required Gross Rating Points (GRP) falls on the seller. If the campaign fails to achieve the targeted GRP, the advertiser is entitled to a refund or additional GRP as compensation.
TV ratings are measured through a dedicated panel comprising individuals who represent the general demographic characteristics of urban Russia. This panel takes into account factors such as gender, age, education, number of children, and social status. In Russia, the panel consists of approximately 4,000 households, totaling around 10,000 people.
To measure ratings, a device called a peoplemeter, which resembles a remote control, is installed in the homes of panel members. Each family member has a designated button on the peoplemeter. Pressing this button sends a signal to a central computer center every time they watch a movie, TV series, or TV program. This data is then used to calculate the ratings.
In Russia, the company responsible for measuring ratings is TNS Media Intelligence. Currently, the data provided by TNS Russia is considered official. The cost of commercial placements in major cities is directly influenced by these ratings.
Russian TV channel ratings
Based on the most recent data from TNS TV company research staff, the rankings of the leading TV channels in Russia are as follows:
During the time period of 7.10.2013 to 13.10.2013, the daily average percentages for TV channels in Russia, as reported by TNS, are as follows:
Here is the list of the top 100 programs in Russia for the week of 7.10.2013 to 13.10.2013:
The complete list can be accessed at the TNS channel.
By analyzing these indicators, we can identify the most popular channels and optimal time slots for airing TV commercials.
Moreover, I would like to highlight our White Paper titled “How does the media-buying market in Russia work? A media buyers’ quick guide for effective work in Russia.” This E-book is specifically designed for experienced international media buyers. While local media buyers are well acquainted with their domestic market and its unique features, entering a new market requires understanding the specific dynamics of that particular arena.