Wednesday, November 29, 2006

Are You Reaching Your 1.3 Billion Customers?


From ChinaBiz/China Herald:
By Fons Tuinstra

"Twenty percent of the so-called media time is the Chinese on average spending on the internet. Since only ten percent of the population is online, those figures will vary enormously. Compared to that the ad revenue flowing to this medium, 0.8 percent, is tiny. Online marketers argue that there should be at least a connection between the time consumers spend on a medium and the revenue stream. In China the gap is gigantic and the advertisement bucks are not spent where the consumers are. In the next five to ten years the number of online users is expected to double to about 250 million, putting more pressure on the old media.

On top of that: most of that 0.8 percent is going to the big three ones, Netease, Sohu and Sina, leaving out the largest part of the internet as a way to get to your consumers."

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