Mail.ru Group has lowered its revenue forecast for 2014 due to a fall in display advertising sales. Budgets have now been re-allocated in favor of contextual advertising and television.
Mail.ru Group revenue, as reported in the first half of 2014, increased by 21.7% to 15.1B rubles, mainly due to the games and user charges (+ 34.7% and + 20% respectively).
The advertising part of the revenue has suffered from poor economic and geopolitical situation, according to the company’s general manger Dmitry Grishin.
According to Grishin’s words, Mail.ru has played a low ball due to several reasons. In particular, a recently purchased company HeadHunter had played below the expected results. Also, Mail.ru’s advertising proceeds have suffered due to bad economical situation the and