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S-Group Insights: Amazon emerges as the top advertiser in 2015 compared to Snapdeal and Flipkart, across mediums

29-January-2016
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S-Group Insights: Amazon emerges as the top advertiser in 2015 compared to Snapdeal and Flipkart, across  mediums

exchange4media.com and Strategy Group, the Analytical Arm of TAM Media Research, jointly bring you a weekly column 'S-Group Insights' on Advertising Trends of different Product Categories. This column will be published every week and aims to aid advertisers, and media agencies understand changes in Media Consumption patterns leading to Scientific Advertising Investments. In the current column, we take a look at the advertising trends in online shopping sector.

IS-B2C & online shopping Ad volumes have witnessed a rise across all the mediums especially on radio (i.e. 112% rise).

If we analyze the Ad volumes of well known players i.e. Amazon Online India, Flipkart & Jasper (Snapdeal) across years in all mediums, Amazon & Flipkart have witnessed a boom in Advertisement industry.

Amazon has emerged as the top advertiser in 2015 compared to Snapdeal and Flipkart, across all mediums majorly focusing on Print (i.e. 882%).

The publications considered most favourable for the B2C & Online Shopping Advertisements include Bennett, Coleman & Co Ltd, Amar Ujala Prakashan &  Hindustan Times.

All the three players place 75% of their print ads in English & Hindi language, wherein Amazon stretches its focus to Marathi regional language publications as well. Amazon places a maximum of its advertisement in Maharashtra followed by Andhra Pradesh. Flipkart targets Uttar Pradesh and Andhra Pradesh while Jasper (Snapdeal) targets Karnataka and Andhra Pradesh. Andhra Pradesh is considered to be the second most preferred state by online shopping advertisers after the focused market.

Jasper (Snapdeal) was on the growing trend in the initial phase but witnessed a fall after Q2'15, whereas Amazon and Flipkart have gained the market on Radio.

Amazon places its Ads only in metro cities for its promotions; on the contrary, Flipkart and Jasper (Snapdeal) promote and even target the remote areas with their advertisement, though on a minimal scale.

  Amazon has witnessed an increase of 255% in its Ad volumes on TV, with considerable focus on targeting the regional channels. Flipkart on the other hand witnessed an increase of 128% rise in its Ad volumes on TV, with a focus on targeting the regional channels too.

Amazon is considered to be the top gainer among advertisers in IS-B2C & Online Shopping, but witnessed a drop as far as Radio is concerned.

The top players in Radio in the online shopping category are: Olx Inc, Super Market (Bigbasket) and Amazon respectively. Olx targets Radio and has the maximum growth in Ad volumes followed by Super market (Bigbasket).

With the coming of online players, the business of physical retailers has got affected. With all year round sales and various mega sale events like ‘Big Billion Day’ etc., on various online platforms, the strategies to reach out to the masses is going to play a key role for the sustenance and growth of online businesses and physical retailers. Moreover, competition has led to an uprising in the way the marketing on various medium like Print, TV and Radio is unleashed. It would be interesting to see how advertisers harness these mediums to their benefit over the coming years.

Source: TAM Media Research, analysis conducted by S group, an analytical arm of TAM Media Research

Data Sources: TAM AdEx

Period: Jan-2014 to Dec-2015

Tags Flipkart

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