Bloomburg are reporting on the comments made by Vladimir Dolgov, Head of Google Russia, that online ad sales will jump fivefold in Russia to reach $1 billion in 2010.
In 2010, Google believes its operations in Russia could be tapping a billion dollar Internet advertising market. 2007 saw Russia grow to a $200 million bonanza in online ads. Two years from now may make that a fleeting, unprofitable memory.
Vladmir Dolgov said online advertising as a whole has caught fire in Russia, with 75,000 companies out of three million registered firms indulging in online ads. Online ad sales reached $200 million last year and have more than doubled every year for the past four, Dolgov said.
Russia will have almost 40 million personal computers this year, according to a Communications Ministry forecast, up from more than 31 million last year. The number of Internet users in the country of 142 million people will rise to 46 million, up from 35 million in 2007.
Yandex still dominates the market in Russia but Google appears to have made gaining ground in Russia a higher priority of late. They have started offline advertising in the Moscow underground and several online campaigns to increase user numbers.