Health, beauty drive ad spend last year

   Date:2007/03/02

ADVERTISING spending rose 22 percent in China last year, powered by toiletries, health tonics and drugs. Total spending on mainstream media - TV, magazines and newspapers - reached 386 billion yuan (US$48 billion) in 2006.

The figure was based on published rate cards and didn't account for discounts that often range up to 50 percent. The figure also didn't include outdoor media and the Internet, two growth markets.

Ad spending on all industries, except computers and accessory products, rose in the past year. The market was led by the pharmaceutical, toiletry, retailing and service sectors. Those industries accounted for more than half of total spending.

Sports events, including the World Cup, and popular television shows like the singing contests "Super Girl" and "My Hero" - the Chinese versions of "American Idol" - led the competition for commercial sponsorships. The TV shows also boosted the use of mobile short-message ads.

The 2008 Beijing Olympics will trigger even more intense competition among advertisers to reach the 1.3 billion consumers in the country. New media such as the 400 million mobile phones carried by Chinese and the Internet have also become increasingly important channels for advertisers to reach their customers.


 

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