China Digital Byte series

Broadcast media in China’s digital age

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China Digital Byte series The pivot towards mobile Broadcast media in China's digital age Watching the advertising money shift screens China will soon become one of the most "connected" populations in the world with 288 million fixed broadband households and 65% mobile internet penetration by 2017. This isn't just a pipe dream – at the end of 2012, there were already 37 million homes with access to ultra-speed fibre connection to home services with the country's cable TV operators being encouraged to help grow this access. Over 75% of internet access is over mobile, and there are over 597 million active users on social media; like Sina Weibo consuming over 21 hrs of video per week. There's a surge in digital media consumption in China that's being fuelled by greater connectivity and this has empowered the Chinese consumer. The new kid on the block With average revenue per user expected to rise from US$3.6 in 2012 and stabilise at around US$5 by 2017, paid-for content will actually not be the primary value for media providers and operators. Instead, with nearly half of the US$55.7billion Chinese advertising market coming from internet advertising by 2017, the scene appears to be set for digital to dominate. However, almost 75% of digital advertising comes from search and display, and there are currently few contenders big enough to take on Baidu's 80% share of the search market. Yet, key social media sites like Weibo and Tencent's Wechat are beginning to take back some shares of the digital ad market. Total advertising market in China US$55.7bn by 2017 Online Display Ads 7.2 29.1 Traditional Ads Channels (TV, Newspapers, Outdoor) 9.9 Search Ads 4.2 Mobile Ads 5.3 Internet Advertising $26.6bn Other Online Ads

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