Mainland to take No 2 spot in ad market
The mainland is predicted to remain on track to become the world's second-largest advertising market next year despite concerns over an economic slowdown.
A report by New York-based research firm eMarketer yesterday forecast total advertising spending on the mainland would reach US$52.9 billion next year, a significant increase from US$46.3 billion estimated this year.
It would be the first time the mainland has overtaken Japan in advertising spending, eMarketer said. It estimated Japan would record about US$49.6 billion worth of campaigns next year, up from US$47.8 billion projected this year.
'China is not just the largest country in the world by population, but also an ad spending juggernaut that is helping Asia-Pacific achieve milestone after milestone in both total media and online ad spending,' eMarketer said.
The company excludes Hong Kong, Macau and Taiwan from its China advertising coverage.
By 2016, the advertising market on the mainland is forecast to be worth about US$74.2 billion. That would be more than the projected US$70.1 billion in combined spending in Japan and Australia in the same year.
The United States, however, remains the world's top advertising market. Data from eMarketer showed that the US was expected to post US$176.3 billion in total spending next year, up from about US$169.5 billion this year. By 2016, total advertising spending in the US will near the US$200 billion mark.
According to eMarketer, the strength of advertising spending in the Asia-Pacific region, combined with the campaigns surrounding the London Olympic Games, will lift global advertising to about US$542.3 billion this year, compared with US$505.1 billion last year.
The mainland is also predicted to become the world's No 2 online advertising market by 2014, when it surpasses Britain and Japan with US$11.8 billion in spending. Global online campaigns will reach a milestone this year when it reaches US$107.3 billion, against last year's US$88.5 billion.
Chinese internet search giant Baidu, which has the biggest share of more than 30 per cent of the country's online advertising market, said its top categories last quarter included health care, education, travel, machinery and franchising. Baidu chief executive Robin Li Yanhong said last month that 'traditional advertisers have large potential' to boost spending in online marketing campaigns this decade.