Mobile Ads in China

According to JP Morgan’s estimation, the market of online marketing has reached 600 billion Yuan in 2011. According to China’s 12th Five-Year Plan (2011-2015), this number will increase to 1000 billion Yuan before 2015.

1. Bright future of mobile marketing

Online marketing can be divided into two types: PC online marketing and mobile online marketing. Mobile marketing is now becoming more and more important.
As shown in the following tendency chart, from July, 2010 to March, 2012, the increase of mobile internet users (the blue line) is much faster than PC internet users (the red line). The time of mobile marketing is coming!

(the increase of mobile internet users and PC internet users)

Obviously, mobile online marketing is developing at a higher speed. And it can be complementary to PC online marketing. It is explained in the following chart, showing that mobile online users are more active (the blue line) from 7 am to 10 am and from 9 pm to 12 pm while mobile online users are more active from 10 am to 8 pm.

The increasing number of mobile online users and the active time of mobile online are now attracting more and more people to mobile marketing.

2. What solutions are used in China?

There are mainly two types of mobile ads in China: mobile searching ads and display ads and the other types of ads such as interactive ads are still in the beginning stage.

Mobile searching ads

According to a research on the use of smart phone and cell phone from google, 77% of the smart phone users will visit searching engines when they surf online, following are SNS, retailer web and video web.
Before it was PC SEO that helps your company appear on a obvious place on searching engine. But now is the time of Mobile SEO. If the user cannot find the information about your company on the first page of results, they will probably miss your company. Then you should manage a mobile searching ad to appear on the first page. After they find your page, but cannot find the information they want, such as number, address, they will also turn away. And this solution is suitable for most B2C companies.

Display ads

The mobile display ads can be put in two places: applications and browser. In terms of forms, mobile display ads can be banner, multi-media or other interactive forms, but they all designed surrounding users’ needs.
China now is the second biggest downloader for Apple applications, only next to US. According to the statistics from Apple, Chinese users have over 20 applications in their cell phone averagely. This new solution allows companies to reach their customers fast and widely at a low cost.

For example, the mobile game “talking Tom Cat” has been downloaded 70 million times in China, according to Narry Singh, CBO from Outfit7. It means the ads put in the game can reach 70 million smart phone users in China.

One form of these display ads works well in China is called discount ads. For example, Ding Ding (local search engine for restaurant, entertainment place, bar, etc.) places their ads in some applications such as QQ (like MSN, No.1 online chatting software in China).

The information about discount is very clear. In fact, Chinese customers are highly price sensitive shoppers. For example, during the “Qingming” festival, the Chinese customers spend 160% more in Lotte shopping mall during the discount time than usual, the JoongAng Daily reports.

Another classic way of using mobile ads is based on the location of cell phone users. That is also the unique advantage of mobile ads. So far only mobile ads allow companies to put ads according to people’s location. Nuomi (a groupon website in China) put a special ad in office buildings that office workers can easily visit the web page about discount via their cell phones and then they can download e-voucher.

This makes ads go to the target people accurately and easily. For example, if the target customers of your company are rich college students, then why not put ads in the college.

The mobile marketing in China is still young. There are not so many choices as in PC marketing field yet. On the other hand, it is now under a period of fast development. As a suitable complement for PC marketing, it has some unique advantages like reaching the customers in certain locations.

Would you like to make a strategy for your mobile marketing?

see more about advertising in China