Kazakhstan - Trade Promotion and AdvertisingKazakhstan - Trade Promotion
The advertising industry is regulated by the Law on Advertising which prohibits advertising alcoholic products, baby formula, tobacco including strict rules on advertisement of medical treatment and drugs. All advertised products should be certified. Advertising should be presented in both Russian and Kazakh languages.
There are many advertising agencies all over Kazakhstan and more than a dozen local and several Western advertising firms in Almaty, including some global Public Relations firms, such as McCann Erickson, Ogilvy & Brothers etc. Television, outdoor advertising, and general-interest publications represent the primary advertising channels for consumer goods. Advertising of services and general image promotion are usually done using outdoor advertising and personal sales.
Unlike the traditional advertising platforms, the online advertising market is growing rapidly, and according to experts, it will continue. The share of the online advertising market in Kazakhstan is growing mainly due to the interest of advertisers, as well as the growth of the Internet penetration rate in the country.
An overall expenditure on advertising in 2018 amounted USD90-100 million, which is 9% more than in 2017. Most of this expenditure was spent on TV advertising – 55-60 million (10.6% more than in 2017) and on the Internet - about USD18 million (29% more than in 2017).
Internet is the most promising channel of marketing, which is growing at the expense of increasing numbers of advertisers, rather than prices. TV is losing not only medium-sized clients, but also large ones. Those clients are smoothly switching to YouTube, Instagram and other social media sites which are showing tremendous growth in Kazakhstan (by some estimates 2.5 times over last year), bringing many tools, analytics and capabilities to firms. As such, advertisers in Kazakhstan have begun reducing their budgets for print press.
Kazakhstan and its advertising industry are benefiting from the penetration of high-speed internet and its potential in advertising has not been fully exploited. QR-code technology is popular in use and widespread domestically for money transfers and payments. But major brands are also using QR for communicating with their audiences.