Download The Boom Year for Online Advertising in Pakistan

2013: the boom year for online advertising in Pakistan
April 04, 2013 │ BR RESEARCH
Global spending on marketing was on the mend in 2012, after having suffered huge blows across the
world due to global economic slowdown since 2008.
In the global resurrection of advertising, internet-based marketing is emerging as a leading avenue for
marketers. According to the WorldWatch Institute’s Vital Signs Online report, internet advertising was
“the fastest growing sector in 2012, now accounting for 18 percent of total” ad spend.
In Pakistan, online marketing was introduced in the early 2000’s. The advent of the telecommunications
service providers provided the first boost to this industry, starting from 2006 when Telenor Pakistan
rolled out its first online advertising campaign.
Since that time, the telcos have remained the main drivers for the industry. Banks and some fast-moving
consumer goods manufacturers (FMCGs) have dabbled in new media, to push their products and
services. But no significant expenditure from these sectors has found its way to local online marketing
firms.
However, 2012 proved to be a promising year for online marketing agencies in Pakistan as well.
Although spending by marketers did not register any mentionable improvements, over the year many
FMCGs were reported to have been establishing contact with online marketing firms to roll out
campaigns in the future.
In a recent interview with BR Research, Sarocsh Ahmed the Chief Executive of Symmetry Group
contended that in 2013, “Nestle, Reckitt Benckiser, Unilever Pakistan, Silk Bank and Burj Bank” among
other companies are expected to launch online marketing campaigns.
In March this year, the Pakistan Advertisers Society (PAS) endorsed Effective Measure, as a credible
digital audience measurement firm in the country. Given this recognition, the data provided by Effective
Measure may be viewed as more transparent by prospective marketers, thus encouraging them to
spend more on online advertising.
“The probability of misreporting by publishers and agencies has been eliminated by the introduction of a
transparent information exchange,” Imtiaz Noor the Country Manager for Effective Measure told BR
Research.
In 2012, total ad spending by marketers in the country tallied about $500 million. Of this amount, only
about one percent went towards online advertising. However, as leading retailers, banks and other
companies turn their attention to the internet and new media, online ad spending in the country is
bound to leap, in coming months.