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On-line Ads Grow Rapidly in China

On-line advertising is coming into a life of its own in China with smart advertisers focusing their attention on the country's 9,000 Internet-based firms.

According to a survey conducted by Forrester Research, China's on-line advertising market was valued at 8 million U.S. dollars in 1999 and it said that the market will be worth about 440 million U. S. dollars by 2004.

The growth of on-line advertising is far outpacing that of the conventional ad industry. On-line advertising is expected to win a greater share of the market in coming years, Business Weekly of China Daily reports.

DoubleClick, one of the world's top on-line advertising agencies, recently opened its first Chinese office in Beijing and has no business at present. But this NASDAQ-listed firm is the on- line ad agent for at least 140 Asian website portals and is also the on-line ad operator for IBM, Ericsson and Dell.

Kevin O'Connor, CEO and co-founder of DoubleClick, said that his company provides an advantage in that a customer needs only sign one contract to launch an on-line ad in more than 80 countries.

According to a survey on local Chinese on-line advertising agents, 7.68 percent of Internet users frequently click to and read on-line ads; 25.18 percent sometimes.

The survey conducted by the China Internet Network Information Center also shows that 49.04 percent of Internet users click to the ads only when they are interested in the contents of the ads; 14.09 percent never do it while only 4.01 percent hate the ads because they fear they will be encouraged to spend money.


unknown, July 2, 2000, XINHUA via NewsEdge Corporation

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