Advertising has become one of the core functions for corporates in the current market scenario. Consumers are rapidly becoming more aware about brand differentiations which make it very important for the companies to choose the right mechanism to create the appropriate buzz for their products. Advertisements have been existent in various forms such as print, radio, outdoor, TV etc. However, one of the leading mode of advertisement that has caught the eye of large number of consumers is internet advertising. Due to the increasing penetration of internet and activities such as social media networking; consumers, especially youth, are spending longer hours on the internet which makes it an efficient tool for companies to generate correct ads to attract them. Online advertising industry in China is growing impressively and is set to increase further. Companies are now spending huge amounts on advertising on the online medium that helps them to target their specific group of consumers.
The report begins with the Chinese Advertising Industry section that highlights the spending on media and advertisements and the growth of the advertisements as compared to the GDP growth. The section provides information regarding the various channels used by the consumers in China. This is followed by the Online Advertising industry section that depicts the market size and the growth of advertising on the internet. The same is provided from 2006 to 2013. It also highlights the key segments in the space and their respective shares of the online advertising market and the various sources of advertisements used by advertisers. It includes an overview of the market segments in the online advertising space along with the major user industries contributing to its growth and also the players operating in the segment. This is then followed by the business models that are adopted by the players to generate revenues.
An analysis of the factors driving the growth of the online advertising market in China include growth in internet users, rise in target industries, rise in online retail, growing social networking user base, emergence of online video advertising and under-penetrated market. Major challenges faced by the market players are also analyzed which include technological constraints and literacy and declining importance of portal websites. Further analysis of the market reveals the key trends in the market which include dominance of search engine ads, IT, Auto industries largely advertise on portals, remodelling of alliance network advertising, players continue exploring online community advertising.
The report also delves into various government regulations and policies governing and controlling the operations of the players in the Chinese online advertisement market.
The competitive landscape of the online advertising market is extremely diversified with different players adopting various business models to generate revenues. The competition section provides an overview of the competitive landscape of the Chinese online ad market highlighting the ranking of the key players in terms of revenue and profit. The section also provides a 3-dimensional analysis of the financial performance of top five players in the online advertising market in China. It also includes a snapshot of the key players in the market with their business and key financial overview.
The key takeaways section summarizes the future outlook and the initiatives or strategies adopted by the online advertising players amidst the various opportunities and challenges persistent in the online advertising market in China.
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