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If we needed more conviencing that the advertising market in China is taking off then look no further than the published results from CTR Market Research. They are suggesting that advertising expenditure has grown 17 per cent to US$41 billion in the first half of the year for China. This growth percentage for the first six months is the highest in four years. Based on that, CTR has adjusted its estimated growth rate for 2010 from 10 to 13 per cent following a prediction earlier this year.
Got to love those predictions.
Spending on television still takes up 78 per cent of the media share. However, TV has the smallest percentage growth (15 per cent) compared to other media. Total spending on TV is US$33 billion, dropping 13 per cent from the same period last year. This is partly due to the policy adjustment of State Administration of Radio, Film and Television (SARFT).
Newspaper records US$5 billion in total ad expenditure followed by outdoor (US$2 billion), magazine (US$1 billion) and radio (US$960 million). Radio surprisingly enjoys the highest percentage growth (35 per cent) due to an increase in mobile activity.
Outdoor spending is slightly affected by the recent governmental restrictions leading up to the Shanghai Word Expo and the Guangzhou Asian Games.
The cosmetic and toiletry industries hold the top spot for industry spending with US$6.4 billion, increasing 26 per cent. Business and services sums to US$5.12 billion, followed by beverage with US$4.96 billion, foodstuff with US$4.07 billion and pharmaceutical with US$3.74 billion.
The Chinese household appliances, transportation and home product industries are labeled as ‘emerging advertisers’ with the most sizeable growth at 71 per cent, 48 per cent and 43 per cent respectively.
Written on Tuesday, 10 August 2010 14:02 by Matt McDougall
