NEWS15 August 2014

Chinese advertisers invest in mobile

Asia Pacific News

CHINA — Advertisers in China are ahead of global companies when it comes to integrating mobile into their ad strategies according to the World Federation of Advertisers (WFA).


A survey of 21 key Chinese advertisers spending RMB25bn ($5.7bn) annually on communication found that 20% claimed mobile has been a priority for some time and that the channel is well integrated into an overall marketing plan. A further 35% claimed to have a strategic vision for mobile, in the survey conducted by WFA in conjunction with media agency, PHD.

The approximate weighted average of mobile spend found that 11% of interactive budgets in China were spent on mobile, with a few Chinese respondents spending up to 40% of digital budgets on mobile. This contrasts with a separate global WFA survey of 23 companies spending an estimated $39bn annually, which found just 4% of respondents had successfully integrated mobile into their marketing plan, although 57% said a strategic vision for the channel had been developed.

Global advertisers were also spending significantly less of their digital budgets on mobile, with the weighted average showing a 6% share of digital budgets. No global advertiser was spending more than 20% of digital spend on mobile.

The gap between the global picture and the Chinese market is likely to get bigger. All Chinese respondents planned to increase their mobile spend in the next 12 months, 72% said they planned to make a large increase, compared with 54% of global advertisers who had similar plans.

The biggest common challenge faced by both groups was the difficulty of measuring the impact of mobile and comparing it with other channels, which was mentioned by 67% in China and 50% globally.

David Porter, media director North Asia, Unilever and WFA member said: “It is clear marketers are recognising the potential of mobile. But we also see great complexity and the need to drive better measurement and transparency.”