CONNECTING TO CHINA ,
DIGITAL A - Z OF 2014
The ever-changing digital market is always surprising and full of excitements.
iClick prepared a digital glossary to let you quickly understand what happened
in the China digital market this year. Just a glance, you will know it.
View LAPP version
The e-commerce giant in China. Together with Baidu and
Tencent, the three formed the B-A-T trinity in China
reflecting their dominant position in search, e-commerce
and social media respectively. Alibaba rose 42% more
than the combined profit of Amazon and eBay in Q2 2014,
and its IPO is the largest technology listing in the US history,
outpaced that of Facebook.
libaba
Largest Chinese language search engine that
represents over 80% of market share in search and
receives more than 5 billion search queries daily.
aidu
CRM data nowadays no longer confines to retail, but
embraces that from other channels including social,
mobile and e-commerce. Everything is better in digital
world as marketers have the ability to track and
analyze them further.
e
RM
SP
Ad spending on DSP in China is going to reach 3.3
billion in 2014 (YoY 116%), representing 6.9% of total
display ad spend. DSP is quickly evolving and it is seen
that Internet giants in China are also developing their
own DSPs that connect to their owned media
inventories.
The total e-commerce transaction has reached 2.95 trillion
in Q3 2014, YoY growth of 49.8%. Taobao’s Tmall
represented over 50% share in total B2C e-commerce sales,
followed by JD.com at 19.3%. The e-commerce battlefield
in China is also shifting from PC to mobile. Mobile
commerce transaction amount is expected to account for
30% in 2014 and all the way up to 56.9% in 2017.
-commerce
raud
Gaming is one of the fastest growing sectors in China’s
digital market. There were 368 million online game users by
the Q2 2014. Mobile gaming is gaining ground in China
because of the higher penetration of smartphones.
Among all mobile game users, 66.6% of them use Android
platform while only 30.2% prefer iOS (including iPhone and
iPad).
It is seen as one of the biggest hurdles for foreign brands
in entering China. However, there are a number of
countermeasures available today for brands to
minimize the risk such as viewable impression index,
brand safety features in programmatic buy, bot traffic
detection, etc.
66.6%
368
million
aming
TML5
30.2%
HTML5 is the latest version of the industry-standard
language for creating Web and is now being used
as the key technology for developing engaging
mobile and cross-screen ad creative. Wide
application of HTML5 is seen in building mobile site,
map, video, etc.
Android continues to dominate the mobile operating
system market in China with market share at 82.7%, while
Apple is at 14.7%.
OS v.s. Android
118 warehouses
in 39 cities
D.com
One of the e-commerce giants in the Chinese
market. In May 2014, JD launched its direct
shopping entrance on its WeChat official account,
consumers can link up their JD accounts on
WeChat, to enjoy a better and more convenience
mobile shopping experience. JD.com currently has
7 fulfillment centers
and 118 warehouses across
39 cities in China.
Online search ranked as the second most commonly used
online applications by users in China (instant messaging is
the first) in both PC and mobile, thus making the share of
ad spending in SEM the highest amongst all types of digital
marketing tactics.
eyword Search
BUY
NOW
APP
Mobile advertising is gaining ground in China and
expected to reach 27.3 billion in 2014 (YoY 76%). For
marketers, instead of allocating a separate budget to
mobile alongside other media channels, they are taking a
holistic approach to test out the interwork of mobile search,
social, video, etc.
Stands for Light App. Similar to other mobile apps,
LAPP also embraces functions like voice, GPS
navigation but it requires no installation which
makes it become an even more flexible channel for
product marketing and promotion.
obile ad
Native ad was once being seen as the next major
online ad type in China, but the lack of standardization
has placed some obstacles for brands to implement it.
ative ad
O2O is one of the hottest buzzwords in 2014. The emerging
trend
is
now
widely
adopted
by
traditional
brick-and-mortar businesses including F&B, healthcare and
retail. The 3 Internet giants B-A-T have also brought O2O to
the mobile space by combining social and e-commerce.
2O
MB
PMB (Programmatic Media Buying) is growing
exponentially in China. Apart from display ad trading,
the programmatic approach is now adopted in mobile
and video inventories. The spending in mobile PMB is
expected to reach 390 million in 2014.
A leading Internet and security service provider in China.
360 is often be seen as the key rival of Baidu. It challenges
Baidu’s dominance in search by its fast improving ad
platform.
ihoo 360
TB
Sina Weibo, China's Twitter-like social media site, was listed
on Nasdaq in April 2014. There were 167 million monthly
active users and 76.6 million daily active users on Weibo as
of September 2014, an increase of 36% YoY and 30% YoY
respectively.
360
RTB was first brought to China in 2011 by Google’s
DoubleClick. Today major Internet giants including
Alibaba, Baidu and Tencent have all established their
own ad exchanges to support inventory transaction in
real-time.
ina
encent
One of the biggest 3 players in China’s Internet
world. As one of the largest online platforms in
China, Tencent provides a wide range of
services including instant messaging, online
games, information portal, etc., making itself a
centralized destination for marketers to engage
users.
As of June 30, 2014, there are 632 million Internet users and
527 million Mobile Internet users in China.
sers
ideo ad
Online video continues to grab share from
television because of the rising media cost of TV
ad and also the changing in media
consumption pattern in China. At the same
time, online video viewing habit is also moving
from PC to mobile devices.
Tencent’s flagship mobile messaging product – WeChat,
has made itself one of the most powerful apps in China.
According to Tencent’s financials, as of September 2014,
WeChat has 468 million monthly active users worldwide,
closing in on its rival Whatsapp’s 600 million monthly active
users.
eChat
It has increasing importance because of the ever growing
number of mobile internet users and also the hopping
behavior of users between mobile and PC. Cross-screen
tracking and audience targeting are new in China but they
definitely should become the focus of marketers in the
future.
Cross -Screen Targeting
By the end of August 2014, Youku’s monthly browsing
time by users was 775.5 million hours, ranked no.1
among China online video providers.
775.5 million hours
ouku
Baidu’s latest O2O toolkit Zhida (literally means “direct
access”) is seen to be competing with Tencent’s WeChat
to capture users who are looking for local services like
restaurants. The launch of the product officially marks the
beginning of the O2O competition within the B-A-T trinity.
hida
* Source: Baidu, cb.com.cn, China Internet Watch, CNNIC, eguan, InMobi, iResearch, Millward Brown, RTB Asia, Sina Weibo, Statista
** Currency unit in content: RMB
Re-define digital marketplace and advertising performance with data, insights and innovations.
iClick is Asia's leading digital marketing platform connecting worldwide advertisers with the China audience.
Its propriety XMO platform truly supports cross - channel digital marketing activities - including search,
display, mobile and social media. XMO is capable to serve every single step in digital marketing from media
planning to programmatic buy, audience targeting, campaign optimization, data analysis and reporting.
Website: i-click.com
WeChat: iClick_China
Official Weibo: Weibo.com/iclickasia
E-mail: sales_hk@i-click.com
LinkedIn: iClick Interactive Asia Limited