The media market in Romania was flat in 2013 compared to 2012, after a four-year decline, and the same is expected for 2014, according to this year’s Media Fact Book report released by Initiative, one of the largest players on the local media market.

Total net ad-spend in Romania was EUR 305 million, versus EUR 303 million in 2012, the report shows. From its EUR 540 million peak in 2008 until 2013, the media market had lost over 40 percent of its value, with all its main segments seeing strong declines, except Internet, which was the only segment that has been growing throughout this period.

TV advertising segment, which still makes 60 percent of the total market, declined by 43 percent, to EUR 193 million. In 2013, spending on TV ads remained flat compared to 2012. However, the print took the hardest hit during this period, with total advertising expenditure contracting more than five times, to EUR 19 million. Print was affected by the Internet growth, but also by the launch of numerous news TV stations, which determined many newspapers to move online, while others completely disappeared. The radio advertising market was also at some EUR 19 million in 2013, while outdoor totaled about EUR 28 million, the report shows.

The rising star on the media market continues to be the Internet, which saw its share in overall revenues grow year after year and reached some EUR 46 million in 2013 which is 15 percent of the overall market. In 2008, the Internet advertising market was just EUR 16 million, which was less than 3 percent. Internet advertising should continue to grow this year, to EUR 50 million, while the other segments will continue to stagnate or decline.

At the end of 2013, the Internet penetration was estimated at 58 percent among the 16 to 74 year old population, while almost 53 percent of Romanian households have an internet connection.

The digital advertising market is rapidly evolving into new platforms, devices and formats, the report reveals. For 2014, the main drivers of growth for the online media market will be Google and Facebook, which will benefit from up to 25 percent higher budgets from advertisers, according to Initiative estimates.

The largest advertising clients last year, on all segments of the market, were personal care and home care companies, with some EUR 38 million total budget, followed by mobile telecommunications operators, with EUR 36 million, and medical & optical products and services providers, with EUR 31 million. Then come beer producers, with EUR 19 million, retailers, with EUR 17 million, and banks and insurers, with a combined EUR 14 million, the report also states.

You can find the complete report here. (in pdf, in English).

Andrei Chirileasa, andrei@romania-insider.com