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2 TABLE OF CONTENTS 1. UAE Online Advertising Market Size and Introduction, UAE Online Advertising Market Revenue Models, UAE Online Advertising Market Segmentation by Type of Industry, UAE Online Advertising Market Segmentation by Type of Advertisement, Market Size of Different segments in the UAE Online Advertising Market UAE Online Search and Social Advertisment Market, UAE Online Display Advertisment Market, UAE Online Lead Generation Advertisment Market, UAE Online Sponsorship Advertisement Market, UAE Video Advertisement Market, UAE Online Classifieds Advertisement Market, UAE Mobile Advertisment Market, UAE Advertsement Market, Market Share of Major Players in UAE Online Advertising Market, Market Share of Major Players in UAE Online Search Advertising Market, Market Share of Major Players in UAE Online Display Advertising Market, Market Share of Major Players in Video Advertising Market, Competitive Landscape of Major Players in UAE Online Advertising Industry 7. UAE Online Advertisement Market Future Outlook and Projections, Macro Economic Indicators of UAE Online Advertising Industry, Gross Domestic Product of UAE, Internet Users in UAE, Mobile Subscribers in UAE, E-Commerce Industry in UAE, Average Online Time Spent in UAE,

3 8.6. M-Commerce Industry in UAE, UAE Online Advertising Market Trends and Development 10. Appendix Market Definitions Abbreviations Research Methodology Data Collection Methods Approach Variables (Dependent and Independent) Multi Factor Based Sensitivity Model Final Conclusion Disclaimer 3

4 LIST OF FIGURES Figure 1: UAE Online Advertising Market Size on the Basis of Spending in USD Million, Figure 2: Market Share of Major Players in UAE Online Search Advertising (Google, Yahoo, Bing) on the Basis of Spending in Percentage, 2012 Figure 3: Market Share of Major Players in UAE Online Display Advertising (DMS, Google, Yahoo, Facebook, Connect Ads and others on the Basis of Spending in Percentage, 2012 Figure 4: Market Share of Major Players in UAE Video Advertising on the Basis of Spending in Percentage, 2012 Figure 5: UAE Online Advertising Market Future Projections on the Basis of Spending in USD Million, Figure 6: Gross Domestic Product in UAE in USD Million, Figure 7: Internet Users in UAE in Million, Figure 8: Mobile Subscribers in UAE in Million, Figure 9: E-Commerce Industry in UAE in USD Million, Figure 10: Average Time Spent Online per Day in UAE in Hours, Figure 11: M-Commerce Industry in UAE in USD Million,

5 LIST OF TABLES Table 1: Cost of Revenue Models in UAE Online Advertising Industry in USD, 2012 Table 2: UAE Online Advertising Market Spending by Type of Industry (Banking and Finance, Automotive, Real Estate and Properties, Telecom Services, Education, Leisure and Entertainment, Airlines, Health and Beauty, Hotels and Resorts, Restaurants and Bars) in USD Million and Contribution on the Basis of Spending in Percentage, 2012 Table 3: UAE Online Advertising Market Unique Campaigns, 2012 and 2013 Table 4: UAE Online Advertising Market Segmentation on the basis of Spending on Different Type of Advertisement (Search and Display, Display, Lead Generation, Sponsorship Advertisement, Digital Video, Classifieds, Mobile) in Percentage, Table 5: Market Size of Different Types of Online Advertisements (Search and Social, Display, Lead Generation, Sponsorship, Digital Video, Classifieds, Mobile) on the Basis of Spending in USD Million, Table 6: Competitive Landscape of Major Companies in the UAE Online Advertising Industry Table 7: Revenues of Leading Digital Agencies (BBDO, 2 Pure, Flip Media, Prototype Advertising) in UAE in USD Million in 2012 Table 8: UAE Online Advertising Market Future Projections by Type of Advertisement (Search and Social, Display, Digital Video, Lead Generation, Mobile, Sponsorship Advertisement and others) on the Basis on Spending in USD Million, Table 9: UAE Broadband Users in Million, Table 10: Correlation Matrix for UAE Online Advertising Market Table 11: Regression Coefficients Output 5

6 UAE ONLINE ADVERTISING MARKET SIZE AND INTRODUCTION, The online advertising industry in UAE experienced a tremendous growth as a platform for advertising and media spending. The CAGR represented by online advertising industry in the country for was close to ~ %, reaching a market size of USD ~ million in The broadband penetration in the country reached Figure: UAE Online Advertising Market Size on the Basis of Spending in USD Million, USD Million UAE ONLINE ADVERTISING MARKET REVENUE MODELS,

7 Cost per click model is more cost effective for industries such as hotels, banks and automotives since these industries are well versed with the exact keywords that would lead the consumer to their websites. The model also works out effectively with the average cost per click in the country being Table: Cost of Revenue Models in UAE Online Advertising Industry in USD, 2012 Revenue Model Average Cost Industries Focusing on Model Cost Per Click Cost Per Thousand Impression Cost Per Action Cost Per Completed View UAE ONLINE ADVERTISING MARKET SEGMENTATION BY TYPE OF INDUSTRY, 2012 The spending for online banking and finance industry advertisements was the highest in the country in the year 2012, with USD ~ million being spent, thereby making a contribution of 11.5% in the overall online advertising spending in the country. Factors such as high usage of Table: UAE Online Advertising Market Unique Campaigns, 2012 and 2013 Industry Unique Campaigns in 2012 Unique Campaigns in 2013 Telecom Services Banking and Finance Automotive Websites and Portal Media and Publishing Education Retail Food and Snacks 7

8 Health and Beauty Airlines Travel and Tourism Mobile Phones Healthcare Clothes and Accessories Beverages Non Profit Organizations and Charities Hotels and Resorts Conferences, Forums and Seminars Government and Public Sector Perfumes and Fragrances Real Estate and Properties Restaurants and Bars Jobs and Careers Home Appliances Dairy Products Software Watches and Jewellery Industrial Products and Services Consumer Electronics IT Products and Services Health and Fitness Energy Furniture and Furnishings Leisure and Entertainment Baby and Child Care Exhibitions and Shows Cosmetics and Makeup 8

9 Computer and Video Games Household Printer, Fax and Copier Advertising and Communication Market Intelligence and Research Insurance Services Computers Construction and Development Distribution Sportswear and Accessories Aerospace and Defense Shopping Malls Processors Sports Professional Equipment Logistics and Postal Services Foundation Vision and Eye Care Consulting Shipping and Freight Associations Car Rental Fashion Free Zone Home and Garden Manufacturing Toys Total 9

10 UAE ONLINE ADVERTISING MARKET SEGMENTATION BY TYPE OF ADVERTISEMENT, The online advertising industry in UAE can be classified into 8 major segments namely search and social, display, classifieds, digital video, mobile, lead generation, sponsorship advertisement and Table: Market Size of Different Types of Online Advertisements (Search and Social, Display, Lead Generation, Sponsorship, Digital Video, Classifieds, Mobile) on the Basis of Spending in USD Million, Advertisement Type Search and Social Display Lead Generation Sponsorship Advertisement Digital Video Classifieds Mobile Total MARKET SHARE OF MAJOR PLAYERS IN UAE ONLINE SEARCH ADVERTISING MARKET, 2012 The online search advertisement market is dominated by Google, which occupied close to ~% of the total share in Yahoo and Bing and other small players contributed ~%, ~% and ~% respectively in Google has contributed the highest share with its strategy of bringing 10

11 Figure: Market Share of Major Players in UAE Online Search Advertising on the Basis of Spending in Percentage, 2012 Google Yahoo Bing Others MARKET SHARE OF MAJOR PLAYERS IN UAE ONLINE DISPLAY ADVERTISING MARKET, 2012 The online display advertisements have many social media networks playing an important role along with the search engines. The largest share was of Digital Media Service by the Choueiri Group, which contributed ~% in The company is exclusively dedicated to 11

12 Figure: Market Share of Major Players in UAE Online Display Advertising on the Basis of Spending in Percentage, 2012 DMS Google Yahoo Facebook Connect Ads Net Advantage Ikoo Twitter MARKET SHARE OF MAJOR PLAYERS IN VIDEO ADVERTISING MARKET, 2012 The two major players operating in the video advertisement market of UAE are YouTube and Shahid.net, with 12

13 Figure: Market Share of Major Players in UAE Video Advertising on the Basis of Spending in Percentage, 2012 Youtube Shahid.Net Table: Revenues of Leading Digital Agencies in UAE in USD Million in 2012 Advertising Agency Revenue BBDO 2Pure Flip Media Prototype Interactive UAE ONLINE ADVERTISEMENT MARKET FUTURE OUTLOOK AND PROJECTIONS, The online advertising industry of UAE has started to experience advantages of in terms of a diverse and large user profile. The industry has a tremendous opportunity to become one of the 13

14 leading advertisement medium in the long term. The market is expected to reach a value of USD ~ million in 2017, growing at a CAGR of ~% during Figure: UAE Online Advertising Market Future Projections on the Basis of Spending in USD Million, USD Million Table: UAE Online Advertising Market Future Projections by Type of Advertisement on the Basis on Spending in USD Million, Advertisement Type Search and Social Display Digital Video Lead Generation Mobile Sponsorship Advertisement Classifieds Total 14

15 DISCLAIMER The research reports provided by Ken Research are for the personal information of the authorized recipient and is not for public distribution and should not be reproduced or redistributed without prior permission. You are permitted to print or download extracts from this material for your personal use only. None of this material may be used for any commercial or public use. The information provided in the research documents is from publicly available data and other sources, which are reliable. Efforts are made to try and ensure accuracy of data. With respect to documents available, neither the company nor any of its employees makes any warranty, express or implied, including the warranties of merchantability and fitness for a particular purpose, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use will not infringe privately owned rights. The report also includes analysis and views expressed by our research team. The research reports are purely for information purposes. The opinions expressed are our current opinions as of the date appearing in the material and may be subject to change from time to time without notice. Investors should not solely rely on the information contained in the research documents and must make investment decisions based on their own investment objectives, risk profile and financial position. The recipients of this material should take their own professional advice before acting on this information. Ken Research will not accept returns of reports once dispatched due to the confidentiality of information provided in our reports. In case, a report qualify for return, we will issue a credit, minus shipping charges, of equal value to the original purchase price, toward a future purchase no refunds. The decision about whether the product return can be accepted or not is solely at our discretion. Any dispute will be subject to laws of India and exclusive jurisdiction of Indian Courts. No part of this manual or any material appearing may be reproduced, stored in or transmitted on any other Web site without written permission of Ken Research and any payments of a specified fee. Requests to republish any material may be sent to us. 15

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