China Media Forecasts 2008 from GroupM

A report titled with “This Year, Next Year: China Media Forecasts 2008″ was released by GroupM, a global media investment management operation, in 21 July 2008. There are some conclusions drawn by the report below:

• Growth in 2007 was relatively restrained, as many marketers are conserving funds for the anticipated Olympic bonanza in Q3 this year. The Beijing Olympics will accelerate media investment growth to 22% in 2008.
• How the slower global growth will affect China is hard to tell. Domestic demand and manufacturing output are still booming. Media investment driven by local and multinational advertisers continues to keep pace and grow spectacularly across all sectors.
• We are confident of a strong media investment growth in our 2009 forecast as demand in China becomes a more important source of growth for global giants and indigenous Chinese companies focused on brand-building. However hard the comparatives may be in 2009 and however strong the imperative for the incoming US administration to rein in its imbalances, China media investment will
  still have Expo 2010 (in China for the first time) to look forward to.
• Television continues to dominate media investment in China with a high revenue share in 2008, and thus sets the pace of the total media investment.Cable DTV in China develops rapidly. Penetration varies by city. SARFT wants all cities in China to be digital by 2010. Most cities in China are in the early stages of growth, but the growth rate is extremely high.
• China has as many as 228.5 million Internet users, easily surpassing US to be the world’s biggest Internet community. It is thus not surprising that Internet is the fastest-growing advertising medium with high revenue growth expected in 2008 and 2009.
• Among the emerging media formats in China, mobile and LCD screens deserve mention. The combined advertising spend on these is likely to grow at higher pace than the Internet.

“The China media market will continue to be among the most exciting and challenging in the world. Due to its size and diversity, China is no longer seen by marketers as a single market, but a collection of evolving, complex and differing markets. Advertiser options multiply correspondingly, especially in digital, events, sponsorship and other branded content opportunities, all offering new ways to reach and engage with consumers. This may come as a surprise to those who might not normally associate choice with China.” said Sara Si, General Manager, GroupM Knowledge Center, China.

you can download the resource .pdf file here, for Chinese version, here.

Related posts

• SOFTBANK Leads Investment totaling $430 million in Oak Pacific Interactive (0)