Advertising revenues grew by 24.1%

The State Statistics Committee of Azerbaijan has published the data on financial performance of advertising companies for the year 2012. Individuals and legal entities in Azerbaijan spent on advertising 48.4 million manat, which is 24.1% higher than in 2011.

Over the past seven years, the most "dead" year for advertising companies was 2009, when their income fell to 20.5 million manat. For comparison, one can show the figure for 2006. Then the advertising companies gained 34.650 million manat.

According to the State Statistics Committee, most of the companies' revenues for 2012 accounted for the creation and placement of advertising - AZN 28 million (+8 %). From the sale and rental of advertising space and time they gained 12.4 million manat. From the distribution and delivery of advertising materials the revenues amounted to 4.4 million manat.

The costs of advertising companies totaled 45.260 million manat, which is 20.8 % more than in 2011.

Despite the increase in the volume of advertising products, the market activity has declined markedly. In 2006 advertising companies signed 3,162 contracts with physical and legal entities. In 2012 this figure fell to 2,132 (- 32.6 %). In comparison with 2011 the number of contracts fell by 3.1%.

Analysis of the advertising market shows that advertisers in Azerbaijan prefer electronic media and Internet sites. The share of print media in the advertising "cake" is insignificant. Over the last 2-3 years, there has been marked increase in transport advertising. 08D