Adma digital-marketing-yearbook-2010


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Adma digital-marketing-yearbook-2010

  1. 1. ASIA PACIFIC Digital Marketing Yearbook 2010 Stay engaged with your customer and flexibly follow the trends across multiple platforms. “ “ Edited by Rachel Oliver
  2. 2. asia pacific digital marketing yearbook 1 The ears, eyes and voice of digital marketing in Asia The Asia Digital Marketing Association (ADMA) is the voice of, and advocate for, the digital marketing industry in Asia (excluding Japan). The ADMA is guided by senior executives in the industry and is charged with gaining consensus and providing leadership on key industry issues. The ADMA actively promotes the benefits of using mobile and the Internet as channels to communicate with consumers as well as lobbying and public relations assistance for member companies. The ADMA is a non-profit organisation with a membership base representing online publishers/ portals, agencies, research companies, technology/ service companies and marketers/advertisers. ❚❚ Why join the ADMA? Being a member gives you access: • Unified voice for the industry to promote the use of digital and the Internet (in the media and with potential customers) • Forum for standards and best practice sharing • Spokespeople to represent members and respond to criticism • Industry contacts and networking opportunities • Sponsorship opportunities to raise awareness of your brand • Discounted rates for regional events • Notification of relevant speaking opportunities • Professional digital marketing qualifications – discounted enrolment fees for members • Entry in the online Membership Directory and annual Asia Pacific Digital Marketing Yearbook • Job matching service to help you find staff ❚❚ How to join the ADMA Membership fees are set low enough to encourage universal membership among industry players, and taken together provide sufficient revenues to underwrite regular activities. Other activities are funded by sponsorship (cash and in kind) and by charging admission fees for some events. Visit and complete the online registration form. ABOUT THE ASIA DIGITAL MARKETING ASSOCIATION Visit for more details. The ADMA gives heartfelt thanks all our members for their support and contributions: ADMA Patrons: ADMA Corporate members: ad:tech, Admax Network, AGENDA Group Asia, BBE, British Council, comScore, Coremetrics, draftFCB China, Dow Jones Publishing Company (Asia), Edipresse, Experian Hong Kong, eyeblaster, Financial Times, Google Hong Kong, Hewlett Packard, Johnson & Johnson Vision Care Asia Pacific, KatalystM, Lucini & Lucini, Mediaplex, MRM Worldwide, NDS Asia Pacific, Nielsen Online, Omnicom Group, Omniture, PGi, Publicis Modem Singapore, Pulse Mediatech,, Singapore Press Holdings, SingTel Digital Media (inSing), The Economist, The Hyperfactory, The Rubicon Project, The Upper Storey, TIME & Fortune, Universal McCann, Vocational Training Council, Wunderman, wwwins Isobar, ZUJI And all our Individual members. ©2010 FORTUNE is a registered trademark of Time Inc. Making tangible. SUCCESS With unrivaled access to the world’s most influential leaders and companies.And the trusted perspective you need to succeed. Welcome to the new Fortune. Re-imagined, refined and re-focused to deliver the insight you need now. In brief and in depth.
  3. 3. asia pacific digital marketing yearbook 3 ❚❚ Asia Pacific 6 ❚❚ Australia 12 ❚❚ China 18 ❚❚ Hong Kong 26 ❚❚ India 30 ❚❚ Indonesia 34 ❚❚ Japan 38 ❚❚ Malaysia 42 ❚❚ NEW ZEALAND 46 ❚❚ THE PHILIPPINES 50 ❚❚ Singapore 54 ❚❚ South Korea 58 ❚❚ Taiwan 62 ❚❚ Thailand 66 ❚❚ Vietnam 70 Contents Essential reading Anytime, anywhere THE WORLD'S LEADING BUSINESS NEWS IN PRINT, ONLINE AND ON MOBILE The Wall Street Journal Asia reaches Asia's business elite where they live, work and play by delivering unparalleled news and analysis through a variety of print, online and digital platforms. Online, The Wall Street Journal Digital Network includes an ever-growing network of Asia-specific offerings that target the region's most influential business decision makers including,, and Digital offerings, including WSJ Mobile Reader for BlackBerry and iPhone, also continue to grow as the desire for news on-the-go inspires new technologies, expanded functionality and enhanced delivery from the world's most trusted source for global news and analysis. To find out more about integrated advertising solutions, please contact your Dow Jones sales representative at or call: Hong Kong 852-2831 2504; Singapore 65-6415 4300; Tokyo 81-3 6269 2701.
  4. 4. 4 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 5 • When it comes to making online purchases, Asians across the board listen closely to their friends. Nearly half (48%) of South Korean internet users said they had bought something in the past because it was either discussed or recommended by one of their online friends, as have 38.2% of Malaysians, 40.4% of Japanese, 42.2% of Vietnamese, 48.4% of Indonesian's and one third of Filipinos. • Mobile shopping is taking hold of the region, with nearly eight out of 10 Asian mobile users engaging in some form of mobile shopping activity in the past year. • The Koreans are the top shoppers, with 97% of internet users say they have shopped online. • Indians spent the least amount of time online of any Asian nation, at 11 hours per month. • 63% of Singaporeans online watch TV at the same time. • Japan leads the pack with mobile social media – more than 75% of social network users only access the sites via their mobiles. • The Filipinos lead the world in SMS, with two billion text messages sent every day. • Hong Kong people take the instant message crown, spending twice as much time IM'ing as anyone else in the region. • More than half the Asia Pacific region's online population is Chinese, but they are the least prolific users of search in Asia Pacific. • Australians spend more time on social networking sitesthan anyone else in the world (seven hours a month) and 27% of all Australians blog. Online advertising spending has rebounded, following recovery from the recession, and continues to grow. However, there is no consistent pattern across the region. In 2009, Japan's online ad revenue grew just 1.2% over 2008, but hit a milestone: more money was spent on online media than on newspaper advertising for the first time. In China in 2009, 16.69% of all ad spend was online. Contrast this statistic with the Philippines, where just 1% of total advertising expenditure is online and SMS reigns supreme. For reference, Singapore's percentage of online spending stands at approximately 6%. Another trend to watch is the balance of paid, owned and earned media. Paid media such as rich media, display, search and sponsored content remain the dominant forms of online marketing expenditure. Companies and brands continue to trust the control over the media plan and the content that paid media offers. Owned media such as corporate websites, brand websites and microsites have always been an important component of the online marketing mix. Now increasingly social media such as Facebook pages and Twitter feeds are being added to the mix (except in China, where they are blocked, and marketers use other similar services). These owned media feeds provide both controlled content distribution opportunities, as well as platforms for customer and community interaction. The dynamics of earned media are different, when customers become the channel, and brands have no control of what is said or shared. However, when brands get positive word of mouth from earned media, it is credible and powerful. Earned media, and to some extent the social media aspects of owned media, have more in common with public relations than traditional advertising. After we waded through terabytes of statistics on platform usage, media consumption, and broadband and mobile penetration in order to compile this Yearbook, it's easy to see why some marketers lose sight of their customers and become pre-occupied with the technology. Our hope at the Asia Digital Marketing Association is that this Yearbook helps you get beyond facts and figures, and provides you insights that will make you a better and more successful marketer. At the end of the day, there really is no such thing as a digital strategy, just solid marketing strategies that happen to use digital channels. No one has a crystal ball into what devices, applications, web services, and sites tomorrow's customer will use, so stay engaged with your customer and flexibly follow the trends across multiple platforms. David Ketchum is Chairman, Asia Digital Marketing Association and President of Bite Communications, Asia Pacific. D igital marketing in Asia Pacific in 2010 offers an almost infinite combination of ways to engage customers, participate in their communities, sell them products and services, and build brands and corporate reputations. Content can be highly personalised, relevant and localised deeply to take into account factors such as language, location, time of day, past behaviour and stated preferences. The range of available media is staggering, value-priced, and offers exceptional targeting. And this year the true "internet experience in the palm of your hand" is now available in many urban centres across the region, thanks to the spread of smartphones, 3G networks, and the applications that run on them. There is a battle of epic proportions going on to determine which platforms will host the majority of online users' activities. The days when a portal was a web user's main access point to the internet are long over, but it's not yet clear what will take its place. Will the future be driven by search? Social networking? Mobilility? A device? An application? A browser? Microblogging? Google, Facebook, Twitter, Apple, Microsoft, Skype and Yahoo! are just a few of the international players experimenting with different mixtures of applications, content and devices in their quest to be dominant. And in Asia Pacific, some world-class companies are looking to meet local needs or expand globally, such as Alibaba, Rakuten, Livedoor, Orkut, Rediff, Sina, Baidu, Daum, Telstra and others. Of note: Tencent is now among the top five sites visited globally. These developments are exciting and empowering for marketers, advertisers, and their agencies. The consolidation of major players in the global internet industry such as Google's purchase of DoubleClick and the Microsoft/Yahoo! search deal, offers scale, and unprecedented reach and frequency for online marketing. That's matched with localised innovation that is bubbling up and providing new, highly relevant opportunities for engagement. The reality is that no one platform is going to win the markret outright, and whether each competitor purports to be "open" or not, they all have the potential to overlap and underlie one another. To quote author David Weinberger's book title, the internet remains "Small Pieces Loosely Joined" rather than a monolithic, consistent entity, despite various companies' attempts. The iPhone (and now the iPad) and its apps-and-content ecosystem as helped blaze new trails in mobility, e-commerce and content. However, there are also plenty of other cutting edge devices (30% of the world's smartphone market is in Asia Pacific) and plenty of other platforms driving the trend. Last year it seemed that social networking – and more particularly Facebook – might take over as the dominant "operating system" of the internet. Now it's clear there are multiple players. For example, people on Windows Mobile phones access Gmail. Someone is searching Baidu using a FireFox browser. A teenager is playing a Playfish game on Facebook. People are transferring money with Alipay. A YouTube video is streaming through a Yahoo! site. Someone is Skyping on an Apple laptop, while someone else is IM'ing on their Nokia. A Chinese teenager just connected with a friend on RenRen with a email address. The platform companies continuously refine their revenue models and try to grab market share, which is healthy because their platforms interconnect and produce hundreds of thousands of customer touchpoints for marketers to engage. How marketers deploy these platforms and what campaign ideas will be most successful is far from universal and, as in past years we're seeing increasing diversity in consumer habits across the region. Here's a look at some of the trends in Asia Pacific, and of course there is much more detail in each of the country sections of this Yearbook. • Internet users in Asia Pacific spent more than 5.6 trillion minutes online in 2009, and bought US$7 billion in virtual goods. We're back! This is the fourth edition of the Asia Digital Marketing Yearbook, compiled by the Asia Digital Marketing Association (ADMA) with the help of our members and supporters. Thanks to all our contributors for this year's collection of information, insights and case studies. And, a huge thank you to the ADMA's tireless director Kay Bayliss, to Yearbook editor Rachel Oliver, and to designer Garry Tipping who once again made this mammoth project a reality. The Yearbook is produced by the ADMA as a service to marketing directors, agency executives and business people who want to know what's happening online in the Asia Pacific region. Printed copies of the complete Yearbook are available to full members of the ADMA, so join today if you are not yet a member at As always, the PDF download version of the full Yearbook is available free at 2010: Multiple Platforms, Infinite Choices
  5. 5. 6 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 7 ❚❚ DEMOGRAPHICS The Asia Pacific region is easily home to the biggest internet audience on earth, with more than 764 million internet users as of early 2010. To put this in context, the rest of the world has around 995 million internet users between them. (SOURCE: INTERNETWORLDSTATS) It's not only the biggest, it's the fastest growing too. Asia Pacific now plays home to the fastest growing internet population in the world. China, India and Japan were mainly to thank for Asia's 22% increase in usage in the year up to September 2009, with China taking home the prize for the fastest-growing country in Asia. China experienced a 31% surge of internet users in that period, bringing its own total audience to 220.8 million. (SOURCE: COMSCORE/MARKETING-INTERACTIVE) Asia Pacific will also be the main driving force behind the global adoption of broadband moving forward. By 2013, the region is expected to be home to 49% of the global broadband market. There are anticipated to be more than 640 million broadband users worldwide by 2013. There are currently more than 160 million broadband subscribers across Asia Pacific. (SOURCE: INFORMATION WEEK/PARKS ASSOCIATES) Four out of the top 10 countries in the world ranked by home broadband use are from Asia. South Korea tops the list, with 95% of its homes now having access to broadband; followed by Singapore (88%) in second place; with Taiwan and Hong Kong in joint fifth place (81%). (SOURCE: AFP/STRATEGY ANALYTICS) Asia Pacific's Internet Users 2009 Country Internet Penetration User Growth % of Users Users (m) Rate (%) 2000-2009 (%) in Asia Asia Pacific 764.43 20.1 568.8 100 Australia 17.03 80.1 158.1 – China 384.00 28.7 1,606.7 50.2 Hong Kong 4.87 69.2 113.7 0.6 India 81.00 7.0 1,520 10.6 Indonesia 30.00 12.5 1,400 3.9 Japan 95.97 75.5 103.9 12.6 Malaysia 16.90 65.7 356.8 2.2 New Zealand 3.50 83.1 321.7 – Philippines 24.00 24.5 1,100 3.1 Singapore 3.37 72.4 180.8 0.4 South Korea 37.47 77.3 96.8 4.9 Taiwan 15.14 65.9 141.9 2.0 Thailand 16.10 24.4 600.0 2.1 Vietnam 22.77 25.7 11,289.9 3.0 (Source: InternetWorldStats; April 2010) ❚❚ USER BEHAVIOUR The Asia Pacific region's internet users spent more than 5.6 trillion minutes online between them in 2009. (SOURCE: COMSCORE) On average, internet users across the Asia Pacific region each spent 1,008.4 minutes online per month in 2009, lower than the world monthly average of 1,376.7 minutes. (SOURCE: COMSCORE) Search is a considerably more popular activity today amongst the region's internet users than it was a year ago. In the space of one year (from September 2008 to September 2009) the number of searches conducted by Asia Pacific users jumped by 33%. (SOURCE: MEDIA/COMSCORE) In September 2009 alone, the region's internet users made 38.6 billion searches, averaging up to 88 searches per user in that month. (SOURCE: COMSCORE) Nearly half of all search activity (44.1%) across the region in September 2009 took place on Google, representing 17 billion searches. (SOURCE: COMSCORE) How Long Asia Pacific Spent Online in 2009 2009 Average 2009 Total 2009 Average 2009 Average Monthly Unique Minutes Spent Monthly Minutes Monthly Visitors ('000) Online (MM) Spent per Visits Per Visitor Visitor Worldwide 1,139,370 18,830,995 1,376.7 49.0 Asia Pacific 465,291 5,641,870 1,008.4 40.8 China 211,684 2,374,432 858.3 44.6 Japan 66,176 887,023 1,114.5 42.4 India 34,766 270,697 646.9 23.1 South Korea 28,606 618,618 1,797.8 59.2 Australia 12,444 178,922 1,198.0 38.5 Taiwan 11,750 145,324 1,030.6 37.7 Malaysia 9,271 94,742 851.6 29.8 Hong Kong 3,896 65,684 1,402.5 43.6 Singapore 2,651 41,899 1,315.8 39.3 New Zealand 2,543 28,303 926.1 33.6 (Source: comScore World Metrix; Audience: All Persons 15+ at Asia Pacific Home/Work Locations) Asia Pacific's Online Gaming Usage in 2009 2009 Average 2009 Average 2009 Average 2009 Average Monthly Monthly Unique Monthly Minutes Monthly Reach (%) Visitors ('000) Spent per Visitor Visits Per Visitor Worldwide 37.5 426,884 105.8 9.1 Asia Pacific 30.9 143,636 51.9 7.1 Singapore 41.2 1,093 66.5 7.2 South Korea 34.2 9,777 138.1 11.9 New Zealand 34.1 869 86.2 8.0 Australia 33.9 4,230 72.2 7.7 China 32.4 68,458 30.3 7.4 Hong Kong 29.5 1,151 118.5 7.9 Malaysia 28.3 2,628 56.0 5.3 Taiwan 26.6 3,133 24.9 4.5 Japan 24.4 16,194 82.1 8.6 India 17.6 6,117 45.0 4.1 (Source: comScore World Metrix; Audience: All Persons 15+ at Asia Pacific Home/Work Locations) Asia Pacific's Social Networking Users Market Total Internet Social Networking % of Internet Users*('000) Users ('000) Users China 215,460 105,379 49 Hong Kong 3,921 2,502 64 India 35,432 22,259 63 Indonesia 6,014 5,074 84 Japan 67,586 24,276 36 Malaysia 9,400 6,344 67 Philippines 4,526 3,924 87 Singapore 2,696 2,085 77 South Korea 28,978 16,632 57 Taiwan 11,932 7,565 63 Vietnam 5,625 2,947 52 (Source: comScore Media Metrix Report, August 2009; * Home and Work users, 15+ on personal computers) ❚❚ ONLINE ADVERTISING Half of the top 20 sites across the Asia Pacific region are based in China. (SOURCE: COMSCORE) On a regional basis, Asia Pacific is now only slightly behind Europe and the Middle East (EMEA) in the spamming stakes. In October 2009, nearly one quarter (23%) of all spam globally orginated from Asia, compared to the 28% that came from EMEA. (SOURCE: SYMANTEC) Asian search engines now easily compete with the rest of the world. Chinese site came third behind Google and Yahoo! in a ranking of top sites by search traffic in July 2009. While Google had 76.7 billion searches that month, giving it 67.5% market share, Yahoo! received 8.9 billion searches (7.8% market share) with Baidu very close behind with 8 billion searches and 7% market share. (SOURCE: COMSCORE) An Asian brand is now in the global top five online properties ranked by time spent. Tencent joins Microsoft, Google, Yahoo! and Facebook as the sites internet users spend their most time on. Globally, internet users spent 893 million minutes on Tencent in September 2009. (SOURCE: COMSCORE) The average online user in Asia Pacific receives 170 promotional emails a week, nearly half as much as the average North American (300 emails a week). (SOURCE: epsilon international) Special offers and discounts seem to work well across Asia, with 58% of Asian (ex Australia) internet users saying they made online purchases as a result of a coupon or offer they received in an email. (SOURCE: EPSILON INTERNATIONAL) Asia Pacific's Top 50 Sites of 2009 SITE 2009 Average Monthly Unique Visitors ('000) Google Sites 277,307 Yahoo! Sites 225,320 Microsoft Sites 211,123 TENCENT 150,396 Baidu 146,974 SINA 104,565 83,956 NetEase 78,509 Sohu 77,641 Wikimedia Foundation Sites 77,374 Xunlei Networking 70,454 CBS Interactive 67,693 FACEBOOK 66,339 Tudou Sites 56,537 Amazon Sites 53,115 KuGou 51,506 Youku 49,235 Oak Pacific Interactive Sites 48,418 Apple 46,398 Sites 45,974 eBay 40,479 Rakuten 39,079 FC2 38,357 AOL 37,328 GMO Internet Group 36,849 NTT Group 35,588 56 35,311 Adobe Sites 35,030 PPStream 34,928 Livedoor 32,834 NHN 31,497 CyberAgent 31,059 WordPress 30,961 Lycos Sites 30,665 The Mozilla Organisation 29,560 Nifty 29,425 Ask Network 27,656 Phoenix Television 27,472 Sony Online 27,260 Recruit Co 25,738 QIANQIAN 25,713 Kakaku 25,651 PCPOP Sites 25,459 Xinhua News Agency 25,028 Fox Interactive Media 24,732 Chinabyte Technology Co. 23,536 Sakura Internet 23,513 TOM.COM 23,121 Kingsoft 22,587 4399 22,457 (Source: comScore World Metrix; Audience: All Persons 15+ at Asia Pacific Home/Work Locations) ASIA PACIFIC
  6. 6. 8 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 9 Asia Pacific Online Ad Spend: 2009-2012 Market Year (US$ million) 2009 2010 2011 2012 Australia 1,597 1,748 1,888 2,002 China 3,271 4,089 5,152 6,594 Hong Kong 138 146 157 169 India 101 117 134 154 Indonesia 0.9 1.0 1.4 1.8 Japan 7,324 7,910 8,724 9,509 Malaysia 26 34 41 48 New Zealand 214 251 343 349 Singapore 16 17 18 19 South Korea 1,236 1,397 1,536 1,690 Taiwan 208 229 252 277 Thailand 7 7 7 8 Vietnam 0.8 0.9 1.1 1.3 Asia Pacific 14,142 15,949 18,258 20,827 (Source: ZenithOptimedia, December 2009) Asia Pacific's Top Social Networks in 2009 Property 2009 Average Monthly Unique Visitors ('000) Total Internet: Total Audience 465,291 Social Networking 254,209 FACEBOOK 66,339 Baidu Space 48,212 QQ.COM Alumni 28,410 Windows Live Profile 22,792 Orkut 22,454 Cyworld 19,377 QQ.COM Mini World 17,919 KAIXIN001 16,405 HI5 15,886 FRIENDSTER 15,832 (Source: comScore World Metrix; Audience: All Persons 15+ at Asia Pacific Home/Work Locations) Asia Pacific's Top 20 Digital Brands of 2009 Rank Brand 1 McDonald's 2 Nokia 3 KFC 4 Coca-Cola 5 Nike 6 Sony 7 Samsung 8 Adidas 9 Pizza Hut 10 Nestle 11 Pepsi 12 Canon 13 Toyota 14 Heineken 15 Citibank 16 Olay 17 Honda 18 Philips 19 Visa 20 Head & Shoulders (Source: TNS/Digital Media) How Asia Pacific Defines Spam vs North America Definition % of APAC % of North America Respondents Respondents Emails that intend to trick me into opening them 67 83 Emails of an offensive subject matter 69 71 Any email I receive that I did not ask for or subscribe to 54 73 Emailers from senders who are unknown to me 52 76 All emails that are filtered into the junk mailbox 42 45 Any email I receive that I don't want, regardless of whether I subscribed 39 39 Any email sent to me from a sender who is not on my address book or approved sender list 29 45 An email from a company I may have given permission to send me mail at one time, but that I no longer wish to receive 32 39 Emails from companies I have a relationship with offline, but to whom I never gave permission to contact me via email 28 34 Emails from a company I have done business with but that come too frequently 23 31 Any email that tries to sell me a product or service, even if I know the sender 27 26 (Source: Epsilon International) Why Asians Unsubscribe from Emails Reason % of APAC % of North America Respondents Respondents Irrelevant content 62 67 Receive too frequently 56 64 Think address being shared/sold 30 50 Don't recall signing up 20 48 Privacy concerns 29 32 (Source: Epsilon International) Why Asians Open Permission-Based Emails (PBEs) Type of Subject % of APAC % of North America Line Content Respondents Respondents Discount offer 66 59 Free product offer 63 57 Contains familiar brand name 60 50 Breaking info/news 49 34 New product announcement 48 29 Free shipping offer 42 36 Contains recent purchase info 43 34 Limited time offer 48 31 Contains my name 37 16 Other 5 7 (Source: Epsilon International) What Asians do After Opening PBEs Action % of APAC % of North America Respondents Respondents Click on a website 87 69 Enter sweepstakes or promotion 57 67 Watch video clip 63 46 Purchase online 62 46 Purchase offline aT retail store 58 48 Sign up for more information 67 38 Click on advertised link in newsletter 62 34 Play a game 55 39 (Source: Epsilon International) ❚❚ E-COMMERCE The "virtual goods" industry in Asia is worth US$7 billion, putting the US$1 billion that is generated in the US considerably in the shade. Asia's top market, China, was expected to generate around US$5 billion in virtual goods transactions in 2009 alone. Other markets leading Asia's dominance in the virtual goods market include Japan and South Korea – both playing home to thriving online and mobile gaming industries. (SOURCE: +8*/VIRTUALGOODSNEWS.COM) In a survey of six countries across Asia Pacific, an overwhelming proportion of the region's online population (89%) said they had shopped online in the past year. The Asian countries who show the biggest preference for online shopping are South Korea (97% of respondents who said they shopped online), China (94%), Japan (94%) and Australia (89%). (SOURCE: VISA ECOMMERCE CONSUMER MONITOR) What are internet users across the region buying online? Much the same as always, according to one survey which found the most popular items purchased online over the past year have been clothes (55%), books (50%) and music downloads (49%). (SOURCE: VISA ECOMMERCE CONSUMER MONITOR) And why do the region's internet users shop online anyway? According to the same survey, the most popular reasons are the convenience of being able to shop anytime (80%); to be able to compare prices and get better deals (79%); to find and compare products (78%); and to hunt around for bargains (75%). (SOURCE: VISA ECOMMERCE CONSUMER MONITOR) Money talks, particularly if it's made of plastic. Of the region's internet users who do shop online, a sizeable 83% of them said in a survey that they would continue to do so with the aid of electronic payment cards. (SOURCE: SINA.COM/VISA) When the region's internet users do shop online they don't just stick to local retailers. According to one survey, more than one third (39%) of online users said they had shopped from overseas websites. The countries which showed the biggest tendency towards shopping internationally are China and India. (SOURCE: VISA ECOMMERCE CONSUMER MONITOR) What Asia Pacific is Doing Online Key Site Categories (% Reach) Entertainment 71.2 email 59.0 Social Networking 56.1 News/Information 55.2 Retail 54.4 Blogs 48.5 Technology 47.6 Community 47.5 Games 47.1 Business/Finance 39.9 Photos 34.2 Instant Messaging 31.8 Sports 26.3 Education 23.6 Travel 22.7 Career Services and … 20.8 Automotive 17.6 Health 14.8 Government 10.1 (Source: comScore World Metrix, August 2009) Asia Pacific's Top Online Retail Product Categories RETAIL Subcategory (% Reach) Retail 54.4 Comparison Shopping 21.4 Books 17.8 Computer Hardware 11.3 Consumer Electronics 11.0 Computer Software 9.2 Apparel 8.9 Health Care 5.1 Mall 5.1 Fragrances/Cosmetics 3.8 Retail-Music 3.5 Retail-Food 3.0 Department Stores 2.8 Tickets 1.9 Flowers/Gifts/Greetings 1.7 Jewelry/Luxury Goods/Accessories 1.4 Consumer Goods 1.4 Sports/Outdoor 1.4 Home Furnishings 1.3 Toys 1.2 (Source: comScore World Metrix; % Reach of Retail Subcategories by Country; August 2009) ❚❚ MOBILE Asia Pacific buys more phones than any other region on earth. Nearly 480 million mobile devices were sold across Asia in 2009 (compared to less than 200 million in Western Europe). And this year, the number will surpass half a billion, according to estimates, with nearly 547 million expected to be sold across the region. (SOURCE: GARTNER) There are currently around 2.03 billion mobile subscribers in Asia Pacific. That's expected to increase to 2.53 billion by the end of 2013, an increase of nearly 25%. China and India won't be the only countries to drive this growth – Indonesia, the Philippines and Vietnam are expected to display subscriptions booms as well. (SOURCE: TELECOMPAPER/INFORMA TELECOMS & MEDIA) Mobile service revenues for the Asia Pacific region are tipped to hit US$326.37 billion by the end of 2013, an increase of more than 16% from the end of 2009. (SOURCE: TELECOMPAPER/INFORMA TELECOMS & MEDIA) Asia Pacific is the fastest growing market in terms of mobile multimedia revenue, and is expected to generate US$13.3 billion in 2013, representing a CAGR of 13.8% from 2008. (SOURCE: IEMARKETRESEARCH) Music is expected to drive the region's mobile multimedia market moving forward. Revenue generated from Asia Pacific's mobile music sector is expected to reach US$6.72 billion by 2013, a significant leap from the US$2.27 billion generated in 2008. (SOURCE: IEMARKETRESEARCH) There were expected to be 1 billion mobile subscribers in North Asia alone by the end of 2009, with 80% of them living in China. Those subscribers were anticipated to generate as much as US$183 billion in revenues for that year. (SOURCE: NEWSWIRE TODAY/FROST & SULLIVAN) By 2014, the number of mobile subscribers in North Asia should exceed 1.37 billion, reflecting a CAGR of 7.7% (2008-2014). Mobile revenues meanwhile are expected to jump to US$229.8 billion by the end of that 2014 – a CAGR of 5.2% for the same period. (SOURCE: NEWSWIRE TODAY/FROST & SULLIVAN) There were expected to be as many as 453.3 million mobile subscribers in south east Asia by the end of 2009. Currently just 6% of them – or 22.9 million people – are 3G subscribers. (SOURCE: FROST & SULLIVAN/INTELLASIA) The south east Asian mobile market is currently valued at US$32 billion. However, while the number of subscribers rose at a rate of 18.4% over 2009, the billings rate for that period rose by a more modest 13.6%. Much of this has to do with the newest batch of subscribers coming from emerging markets such as Cambodia, Vietnam, Indonesia and the Philippines, all exhibiting lower ARPUs. (SOURCE: FROST & SULLIVAN/INTELLASIA) By the end of 2014, south east Asia could have as many as 606 million mobile subscribers, generating around US$36.2 billion in mobile revenues in that year. (SOURCE: FROST & SULLIVAN) Asians continue to lead the world when it comes to the love of mobile shopping. In a survey, almost eight out of ten mobile users in Asia Pacific "reported some mobile shopping activity", while nearly a quarter of them (23%) made some form of mobile purchase in the month of December 2009. (SOURCE: MOTOROLA/EMARKETER) While Asia does not currently lead the world in terms of mobile payments, it is showing strong growth in this area, with payment transaction values estimated to reach US$29.8 billion in 2013. Pre-paid top ups are expected to account for 50% of this amount, followed by money transfers as the next largest mobile payment category. (SOURCE: IEMARKETRESEARCH) By 2012, it is expected that there will be around 123 million mobile payment users in the Asia Pacific region. (SOURCE: IEMARKETRESEARCH)
  7. 7. 10 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 11 The mobile phone is becoming the favoured device for young Asians to connect to social networking sites according to one survey. More than 50% of Chinese, Indian, South Korean and Thai mobile users prefer to use their handsets over their PCs for this purpose, it estimates. (SOURCE: TELECOMASIA.NET/IDC) Around 30% of the global market for smartphones lies in the Asia Pacific region. (SOURCE: MMA) By 2015, there is expected to be around 347 million smartphone users in Asia Pacific-ex Japan. (SOURCE: CREDIT SUISSE) With more smartphones on the market, it's predicted that non-SMS wireless broadband data revenues in Asia- ex Japan will be boosted from US$1.3 billion in 2009 to $14.5 billion at the end of 2015. Of this revenue, 17.4% is expected to be generated by non-SMS data use. (SOURCE: TELECOMASIA.NET/CREDIT SUISSE) Asia Pacific is surely home to the most prolific texters on earth. It is estimated that a staggering 1.9 trillion SMS messages were sent in 2009 alone, a 15.5% increase on 2008. And expectations are already set that mobile users across Asia will send 2.1 trillion messages to each other in 2010, an increase of 12.7% on 2009. (SOURCE: GARTNER) The Asia Pacific mobile healthcare market could be worth as much as US$1 billion by 2010. (SOURCE: MMA/SOLIDIANCE) Asia Pacific's Mobile Shopping Activities Activity (% of respondents) Asia Pacific Worldwide Called to ask someone about a product I might purchase 51.6 30.8 Texted to ask someone about a product I might purchase 37.7 21.3 Sent a picture of a product I might purchase 29.3 16.3 Used mobile phone to access internet to look at product reviews or other information 35.9 14.3 Used mobile phone to access internet to compare prices 34.5 14.2 Used mobile phone to access internet to get coupons or special offers while shopping 28.0 8.5 Made an internet purchasedirectly on the mobile phone 23.0 6.9 Used mobile phone for at least one of the above shopping-related activities 78.0 51.4 (Source: Emarketer/Motorola January 2010) ❚❚ CASE STUDY Client: Bankee (Philippines), Funtastic (Australia), Wrigley (India) and Taiwan Mobile (Taiwan) Agency: Cartoon Network Campaign: BEN 10 Game Creator Objective: To open up a desirable platform for marketers to effectively tap into a pool of a highly engaged audience of young gamers and content creators. Strategy: To effectively engage with today's digital natives, Cartoon Network launched Ben 10 Game Creator and Ben10 Alien Force MMOG to further enhance its user- generated content offering. The projects provide a platform for marketers in search of deeper interaction with their target audiences. The strategy here was to leverage on the immense popularity of the free, online gaming platform that merges the popular animated action franchise with user-generated content – the first game of its kind. Details: By allowing BEN 10: Alien Force fans to access tools and animations needed to easily build their own action-adventure game around the series, Game Creator is the online "destination" for young gamers. The highly interactive element of Game Creator, which gives players the power to create their own games and pass their completed creation to their friends, was recognised by the digital investments from our advertisers. With Ben 10 Game Creator, clients were provided with four exciting advertising placements options: top leader-board, a 15-second Flash game pre-loader, sponsor logo placement and game page branding – allowing maximum flexibility for marketers to spread their message to key audiences. Results: Following the launch in early March 2009 across eight Cartoon Network Asia sites, the platform saw the following results: - 384,405 games created. - 70,000 unique users. - More than 78 million game plays. Caroline Chan General Manager OMD Hong Kong “Foodie” Windows Live Messenger: Ask friends for restaurant recommendations. Bing: Read restaurant reviews. Internet Explorer: Find the location & check the menu. MSN: Blog about the food & atmosphere. Be part of their inner circle Caroline is one of millions of professionals who continuously use our products, tools and services to stay close to the things that matter most, things that are off limits to all but her most trusted family, friends and associates. If you want to talk to people like Caroline, talk to us. C M Y CM MY CY CMY K
  8. 8. 12 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 13 How Australians Connect Connection ‘000 % Dial up Analog 1,077 13 ISDN/other 10 0 Total dial-up 1,087 13 Non dial-up DSL 4,171 50 Wireless Fixed 160 2 Mobile 1,961 23 Total wireless 2,121 25 Satellite 90 1 Cable and fibre 931 11 ISDN/Other 20 Combined connections Total non dial-up 7,333 87 Total all subscribers 8,420 100 Speed Less than 256kbps 1,103 13 Broadband 256kbps to less than 512kbps 1,297 15 512kbps to less than 1.5Mbps 1,249 15 1.5Mbps to less than 8Mbps 2,529 30 8Mbps to less than 24Mbps 1,800 21 24Mbps or greater 443 5 (Source: ABS; June 2009) ❚❚ USER BEHAVIOUR When Australians log on at home, it's mainly for personal reasons, with 96% of home users saying this was the case. Less than half of them, meanwhile (46%) work online. (SOURCE: ABS) Australian internet users spent an average of 57 hours online at home in 2Q 2009, racking up a total of 3,099 page views per person in that period. (SOURCE: ACMA) More than a quarter (27%) of Australians blog. (SOURCE: ACMA) Health clearly matters to online Australians. Nearly three quarters of them (62%) have looked up health information on the internet, with 50% of them using that information to diagnose themselves. (SOURCE: TNS) More than one quarter of online Australians (27%) felt that the internet allowed them to diagnose and treat themselves without the aid of a doctor. (SOURCE: TNS) More Australians are logging on to social media, with more than 70% of online users visiting social networking sites in June 2009, an increase of 29% on 2008. (SOURCE: COMSCORE) More than 70% of Australian internet users paid a visit to a social networking site in June 2009, representing nearly 9 million people. Facebook dominated the sector, attracting more than 6 million visitors, a growth of 95% on 2008. (SOURCE: MARKETINGVOX) They may not be the biggest online audience in the world, but when it comes to social networking, they can certainly be the most dedicated. Australians spent more time on social networking sites in December 2009 than anyone else in the world, racking up nearly 7 hours on social media sites, more so than their peers in countries such as the US, UK or Japan. (SOURCE: THE NIELSEN COMPANY) How Often Australians go Online Frequency of Connecting to the Internet Everyday At Least At Least At Least Weekly Monthly Yearly '000 % '000 % '000 % '000 % Age 15–17 511 68 226 30 – – – – 18–24 1,146 69 464 28 – – – – 25–34 1,558 65 742 31 70 3 10 0 35–44 1,266 51 1,024 42 155 6 14 1 45–54 1,117 52 842 39 181 8 21 1 55–64 774 56 508 36 95 7 16 1 65 or over 374 48 318 41 63 8 22 3 Gender Male 3,431 59 1,988 34 342 6 48 1 Female 3,315 57 2,137 37 281 5 40 1 Personal income Less than $40,000 3,206 60 1,875 35 277 5 29 1 $40,000–$79,999 1,845 56 1,211 37 192 6 22 1 $80,000–$119,999 559 60 322 34 46 5 7 1 $120,000 or over 344 65 162 31 16 3 6 1 Could not be determined 792 54 556 38 92 6 23 2 Employment status Employed 5,002 58 3,093 36 486 6 61 1 Not employed 1,744 59 1,032 35 137 5 27 1 Indigenous status Non indigenous 6,695 58 4,089 36 610 5 88 1 Indigenous 51 51 36 36 13 13 0 0 Education Bachelor degree or above 2,031 68 846 28 94 3 16 1 Advanced diploma or diploma 805 59 458 34 83 6 16 1 Certificate 981 49 849 42 162 8 16 1 Year 12 or below 2,813 56 1,917 38 278 6 39 1 Total 6,746 58 4,125 36 624 5 88 1 (Source: ABS; Dec 2009; Selected findings) ❚❚ ONLINE ADVERTISING A total of AU$1.87 billion was spent on online advertising in Australia in 2009, a 9.4% increase ($161 million) on 2008. (SOURCE: IAB/PWC) The increase in online ad spend in 2009 was mainly due to the 17% growth in search and directories advertising, which brought in AU$944.25 million in 2009 compared to $806.5 million in 2008. General display contributed $498 million, with the remaining $429 million coming from classified advertising. (SOURCE: IAB/PWC) Search and directories dominated online ad spend taking up 50.5% of expenditure in 2009; followed by general display (26.6%); then classified (22.9%). (SOURCE: IAB/PWC) The biggest spenders on online advertising came from the finance sector in 2009, taking up 19% of online ad expenditure. The next top spenders came from the computers & communication industry category, taking up 12.72% of online ad spend, closely followed by motor vehicles, with 12.46% of overall online ad spend. The category that spent the least? Office and business equipment, with just 0.21%. (SOURCE: IAB/PWC) The FMCG sector may not be the biggest online spenders in Australia, but in the last year they have shown the biggest increase in online ad expenditure, adding AU$7.1 million to the amount they spent in 2009 compared to 2008. (SOURCE: IAB/PWC) While traditional media sectors recorded drops in advertising spend in the first half of 2009, online actually managed a 12% increase in ad revenues, generating AU$892.5 million. (SOURCE: MARKETING INTERACTIVE/CEASA) ❚❚ DEMOGRAPHICS Australia currently has more than 17 million internet users in the country, representing a penetration rate of 80.1%. (SOURCE: INTERNETWORLDSTATS) Australia's internet user base grew 158.1% between 2000 and 2009. (SOURCE: INTERNETWORLDSTATS) Nearly three quarters (72%) of Australian households now have home internet access. In the last decade, household access to the web has more than quadrupled. (SOURCE: ABS) Broadband access has now reached around two thirds (62%) of Australian homes – or 5 million households – and 86% of homes with internet access now have broadband connections. The Australian Capital Territory has the highest proportion of broadband households (74% of all homes) of any state in Australia. (SOURCE: ABS) Home is the favourite access location for 68% of Australian internet users that are aged 15 and over. (SOURCE: ABS) Nearly all (96%) of home users mainly used the internet at home for personal and private purposes. Less than half of them (46%) tend to work online. (SOURCE: ABS) Australia's Internet Users 2009 Age ‘000 15–17 853 18–24 2,063 25–34 2,945 35–44 3,063 45–54 2,936 55–64 2,409 65 or over 2,66 Gender Male 8,345 Female 8,593 Personal income Less than $40,000 8,962 $40,000–$79,999 4,158 $80,000–$119,999 1,050 $120,000 or over 581 Not determined 2,187 Employment status Employed 11,008 Not employed 5,930 Indigenous status Non indigenous 16,747 Indigenous 190 Education Bachelor degree or above 3,410 Advanced diploma or diploma 1,667 Certificate 2,867 Year 12 or below 8,685 State or Territory of usual residence New South Wales 5,560 Victoria 4,272 Queensland 3,346 South Australia 1,277 Western Australia 1,694 Tasmania 392 Northern Territory 125 Australian Capital Territory 271 (Source: ABS Dec 2009; selected findings) Uluru (Ayer's Rock) in the Australian Outback AUSTRALIA
  9. 9. 14 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 15 However, despite a 41% increase in the number of online advertisers and a 19% increase in the number of banner ads, general display online ad revenues in Australia at end of Q3 fell by 5% compared to the same quarter in 2008. (SOURCE: DIGITAL MEDIA/NIELSEN) The drop in display ad revenue could be down to one thing: Australians are among the least likely in the world to actually click on general display ads, according to one survey. (SOURCE: DIGITAL MEDIA/NIELSEN) Australians may not like clicking on many online ads, but a lot of them remember them. One third of internet users are able to recall the ad when asked and 41% of them can link the brand to an un-branded ad. (SOURCE: NIELSEN) The search advertising market in Australia saw growth rates of 30% in the year 2008/9 and is projected to grow at a slower CAGR of 20% until 2014. Online directories revenue grew by 21% in the same year, slightly lower than the 22% growth rates seen in 2007/8. The online directories market is expected to sustain CAGR of 15% between 2010 and 2014. (SOURCE: FROST & SULLIVAN) Australia's Top Sites for 2009 2009 Average Monthly Unique Visitors ('000) Google Sites 10,547 Microsoft Sites 9,668 FACEBOOK 6,648 Yahoo! Sites 5,731 eBay 4,953 Apple 4,185 Telstra 4,103 Fox Interactive Media 4,072 Wikimedia Foundation Sites 3,940 News Interactive 3,125 (Source: comScore World Metrix; Audience: All Persons 15+ at Australia Home/Work Locations) Australia's Top Gaming Sites for 2009 2009 Average Monthly Unique Visitors ('000) Online Gaming 4,230 WildTangent Network 950 MINICLIP 803 Nickelodeon Casual Games 582 MSN Games 560 EA Online 383 Disney Games 362 Spil Games 269 World of Warcraft (App) 261 Universal Multiplayer Game Entertainment 256 AOL Games 226 (Source: comScore World Metrix; Audience: All Persons 15+ at Australia Home/Work Locations) Australia's Top Retail Sites for 2009 2009 Average Monthly Unique Visitors ('000) Retail 7,201 Amazon Sites 2,288 Apple Worldwide Sites 2,100 Coles Group 944 Sites 911 Woolworths 828 GETPRICE.COM.AU 515 Ticketek 490 AmericanGreetings Property 409 DEALSDIRECT.COM.AU 381 MYSHOPPING.COM.AU 343 (Source: comScore World Metrix; Audience: All Persons 15+ at Australia Home/Work Locations) Australia's Top Entertainment Sites for 2009 2009 Average Monthly Unique Visitors ('000) Entertainment 9,131 YOUTUBE 5,749 iTunes Software (App) 3,537 CBS Interactive 2,758 Viacom Digital 1,595 Vevo 1,347 IMDB 1,292 Gorilla Nation 1,229 Break Media Network 1,123 AOL Music 965 UGO Entertainment 944 (Source: comScore World Metrix; Audience: All Persons 15+ at Australia Home/Work Locations) Australian General Display Online Ad Spend 2009 Advertiser Industry Category AU$ ('000) % of Spend Finance 94,654 19.01 Made up of: - Business Banking 4,271 0.86 - Credit Cards 19,435 3.90 - Home Loans 27,160 5.45 - Superannuation 1,724 0.35 - Personal Banking 21,095 4.24 - Wealth Management 6,772 1.36 - Other 14,197 2.85 Computers & Communication 63,365 12.72 Made up of: - Computer Hardware 21,543 4.33 - Computer Software 5,344 1.07 - Telecommunications 28,797 5.78 - Internet/ISP 7,681 1.54 Motor Vehicles 62,051 12.46 Made up of: - Internet Sites 3,197 0.64 - Manufacturers 51,347 10.31 - Dealers 1,734 0.35 - Other 5,773 1.16 Travel/Accommodation 35,290 7.09 Made up of: - Flights 13,098 2.63 - Accommodation 7,823 1.57 - Car Hire 1,044 0.21 - Holiday Packages/Agents 3,933 0.79 - Other 9,392 1.89 Entertainment & Leisure 38,882 7.81 Made up of: - Music 1,901 0.38 - Movies 14,045 2.82 - Games/Consoles 4,439 0.89 - Other 18,497 3.71 Media 21,465 4.31 FMCG 26,604 5.34 Made up of: - Food 12,786 2.57 - Beverages (non-alcoholic) 6,365 1.28 - Other 7,453 1.50 Real Estate 20,273 4.07 Retail 17,831 3.58 Insurance 15,917 3.20 Health, Beauty, Pharmaceuticals 22,938 4.61 Government 20,201 4.06 Other 25,858 5.19 Recruitment 7,081 1.42 Alcoholic Beverages 7,968 1.60 Education & Learning 8,366 1.68 Home Products & Services 3,459 0.69 Community/Public Service 4,762 0.96 Office & Business Equipment 1,035 0.21 (Source: IAB/PWC) How Australians Define Spam Definition % of Australian Respondents Emails that intend to trick me into opening them 85 Emailers from senders who are unknown to me 76 Any email I receive that I did not ask for or subscribe to 77 Emails of an offensive subject matter 74 Any email sent to me from a sender who is not on my address book or approved sender list 43 All emails that are filtered into the junk mailbox 46 An email from a company I may have given permission to send me mail at one time, but that I no longer wish to receive 35 Any email I receive that I don't want, regardless of whether I subscribed 38 Emails from companies I have a relationship with offline, but to whom I never gave permission to contact me via email 41 Emails from a company I have done business with but that come too frequently 31 Any email that tries to sell me a product or service, even if I know the sender 23 (Source: Epsilon International) Why Australians Unsubscribe from Emails Reason % of Australian Respondents Irrelevant content 72 Receive too frequently 59 Think address being shared/sold 40 Don't recall signing up 38 Privacy concerns 29 (Source: Epsilon International) Become one of the most skilled digital marketing practitioners in the world and have a professional qualification to prove it! 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  10. 10. 16 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 17 Why Australians Open Permission-Based Emails Type of Subject % of Australian Line Content Respondents Free product offer 68 Discount offer 62 Contains familiar brand name 47 New product announcement 42 Contains recent purchase info 38 Free shipping offer 32 Contains my name 29 time offer 27 Breaking info/news 20 Other 6 (Source: Epsilon International) ❚❚ E-COMMERCE Around 8 million internet users shopped online in 2009, representing 64% of all Australians who accessed the internet. (SOURCE: ABS) Australians are big on shopping online. Now, 85% of online Australians shop for books, DVDs, technology, sports and travel products mostly over the internet. That equals around 11.98 million people. (SOURCE: GETPRICE.COM.AU/COREDATA) Why do Australians love online shopping so much? It's easy and can avoid the crowds, that's why: 75% of online users in a survey said that convenience turned them on to online shopping; 78% cited the ability to make price comparisons; and a solid 33% of them said they simply preferred the opportunity to get away from people and to shop in peace. (SOURCE: GETPRICE.COM.AU/COREDATA) More than half (51%) of online shoppers in Australia have spent more than AU$200 online in the past year, with a similar proportion of them saying they purchased online at least once a month. (SOURCE: GETPRICE.COM.AU/COREDATA) The more money you have, the more likely you are to shop. As much as 82% of Australians in the top household income bracket shopped online in 2009 compared to 42% in the lowest earning category. (SOURCE: ABS) Australia's online gaming market is expected to be worth AU$2.2 billion by 2013. (SOURCE: B&T/PWC) Australia's Online Shoppers in 2009 Used the internet to purchase Did not use the internet to goods or services purchase goods or services '000 % '000 % Age group (years) 15–17 303 38 500 62 18–24 1,176 63 701 37 25–34 1,970 75 673 25 35–44 1,774 68 850 32 45–54 1,493 65 802 35 55–64 910 60 606 40 65 or over 366 45 453 55 Gender Male 4,026 64 2,243 36 Female 3,966 63 2,341 37 Personal income Less than $40,000 3,210 54 2,680 46 $40,000–$79,999 2,636 73 960 27 $80,000–$119,999 773 79 210 21 $120,000 or over 470 85 81 15 Could not be determined 902 58 652 42 Employment status Employed 6,484 69 2,905 31 Not employed 1,508 47 1,679 53 Indigenous status Non indigenous 7,940 64 4,516 36 Indigenous 51 43 68 57 Level of highest educational attainment Bachelor degree or above 2,479 78 705 22 Advanced diploma or diploma 1,059 72 421 28 Certificate 1,377 63 813 37 Year 12 or below 2,951 53 2,575 47 State or Territory of usual residence New South Wales 2,488 61 1,594 39 Victoria 2,031 63 1,198 37 Queensland 1,647 67 824 33 South Australia 570 63 335 37 Western Australia 829 64 458 36 Tasmania 183 68 85 32 Northern Territory 66 66 34 34 Australian Capital Territory 177 76 56 24 Total 7,992 64 4,584 36 (Source: ABS Dec 2009; selected findings; Persons 15 and over; Use of the internet to purchase or order goods or services–for private purposes in the last 12 months–2008–09) Top Online Retail Subcategories in Australia Category % Reach Retail 57.5 Comparison Shopping 18.2 Books 21.1 Computer Hardware 22.4 Consumer Electronics 8.2 Computer Software 12.1 Apparel 10.9 Health Care 2.6 Mall 2.4 Fragrances/Cosmetics 2.7 Retail-Music 4.8 Retail-Food 3.6 Department Stores 6.3 Tickets 7.1 Flowers/Gifts/Greetings 5.1 Jewelry/Luxury Goods/Accessories 3.2 Consumer Goods 0.9 Sports/Outdoor 4.6 Home Furnishings 3.0 Toys 2.8 (Source: comScoreWorld Metrix, August 2009) ❚❚ MOBILE Annual mobile ad revenues in Australia are expected to reach AU$232 million by 2013. (SOURCE:B&T/PCW) SMS can now pretty much be called ubiquitous, with 99% of Australians now text messaging each other. (SOURCE: DIGITAL MEDIA/MICROSOFT) More than 25% of all Australians aged 14 and over have accessed the mobile internet at one point or another. (SOURCE: SENSIS) Australian mobile users are more targeted than their PC predecessors, according to one survey. Mobile users there like to get "straight down to business", with the top mobile activities involving either researching products and services, (41% of mobile internet users) or looking for the suppliers of those products and services (36%). (SOURCE: SENSIS) Of Australia's mobile shoppers, 25% have bought a ringtone; 25% have conducted mobile banking; 19% have bought something with a credit card; 12% have ordered a product or service over their phones; and 10% of them have either bought or sold something on a mobile auction site, according to one survey. (SOURCE: SENSIS) Other than shop, more than one quarter (27%) of mobile Australians have downloaded videos via their phones; 25% have downloaded games; 17% have watched mobile TV and 12% have used their phone to scan a bar code. (SOURCE: SENSIS) Social networking for Australians isn't just conducted over the PC – they are getting in on the act with their phones too, with 40% of mobile Australians using their phone to access a social networking site. More than one quarter (27%) of them have read a blog via their mobiles; 12% have actually written a blog using their phone; and 8% have used Twitter specifically with their phones. (SOURCE: SENSIS) Young Australians are yet to get on board with mobile social networking, however. According to one survey of 18-35 year olds who use social media, only 19% of them in Australia are actually using their phones for this function. (SOURCE: TELECOMASIA.NET/IDC) The take-up of 3G services is driving the demand for more sophisticated mobile services in the country, with 3G and wireless broadband services posting a 162% increase in June 2009 from the previous year. Now, wireless broadband subscribers make up 25% of all internet subscribers in Australia. (SOURCE: MUMBRELLA/ACMA) There were 12.28 million 3G services up and running in Australia in June 2009, compared with 8.55 million in June 2008. (SOURCE: MUMBRELLA/ACMA) One third of Australians use SMS as a mechanism to alert people to key events in their lives, such as the birth of a baby or a promotion at work, according to one study. The same study found that 44% of Australians send picture messages while travelling, while 33% did so when buying houses and at the birth of their children. (SOURCE: TELECOMPAPER/TELSTRA) How Australians Feel About Mobile Ads Attitude towards Ads % of Mobile Users Agree Disagree Don't know I would accept ads on my mobile phone in exchange for free mobile content or special offers 39 50 11 I would accept ads on my mobile phone if I could opt out 49 42 9 I would accept ads if they did not impact on the performance of my phone 47 46 8 I would accept ads from companies whom I've agreed to accept ads from 56 37 7 I would accept ads from companies with whom I have pre-existing relationship 36 52 12 I would accept ads on my mobile phone 25 60 16 I would accept ads that offered me incentives 44 45 11 I would accept ads linked to my specific interests 41 48 11 I would accept ads for free or discounted calls or text Messages 52 39 9 (Source: AIMIA) What Australians do on the Mobile Internet Activity % of Mobile Users Accessing Internet Internet browsing 68% Accessed news updates 50% Accessed weather updates 48% Sent or received email 44% Accessed sport updates 32% Streamed or downloaded music 23% Made VoIP calls 22% Streamed or downloaded videos 16% Used Mobile TV 11% None 8% Other 6% (Source: ACMA April 2009) ❚❚ CASE STUDY Client: Lion Nathan Agency: Holler Sydney Campaign: Beck's üBERSELEKTOR Objective: The challenge: bring Beck's positioning of "Different by choice" to life across its sponsorship of the Melbourne, Adelaide, Perth and Sydney Festivals. Take into consideration that the audience is mostly out and about and wants to enjoy the best their city has to offer during each Festival. Strategy: Rather than just filling online and offline media placements, Holler devised an additional stream of digital dialogue and content. Using the moniker of üBERSELEKTOR, Beck's participated in many of the most innovative communities online: Tumblr; Vimeo;; SoundCloud; as well as the social media "standards" such as Facebook; Flickr; YouTube and Twitter. Details: Holler created event photos with a photo booth, animations for VJaying, video art projected onto buildings and interviewed participating music and video artists. We offered real-time information from the venues, chatted with influential punters on Twitter as well as gave away VIP experiences via Facebook. All content was amplified through the different Festival organisers and Beck's editorial and music partners MTV, Modular Records, InTheMix, FasterLouder and FutureClassic. Results: - Googling the term "üBERSELEKTOR" led to ten pages of brand-owned search results. - A photo library of 3,500 event shots that Beck's holds the rights to. - 400 comments and 360 'Likes' on Facebook posts. - 1,600 'Tweets' full of valuable local and international content.
  11. 11. 18 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 19 How the Chinese Connect Place of Access % of Users Home 83.2 Office 30.2 Internet cafe 35.1 Access equipment Desktop 73.4 Mobile phone 60.8 Notebook 30.7 Other 0.5 (Source: CNNIC March 2010) ❚❚ USER BEHAVIOUR Chinese internet users spent on average 14.3 hours online a month in 2009. (SOURCE: COMSCORE) The top three applications for Chinese internet users in 2009 were music (83.5% of users), news (80.1%) and search (73.3%). (SOURCE: CNNIC) More than two thirds of Chinese respondents in a global survey (68%) said they had downloaded a song online without paying for it, 37% of them via a P2P service. (SOURCE: SYNOVATE) In 2009 the number of online gamers came to 265 million people, an increase of 41.5% on 2008. (SOURCE: CNNIC) Around 124 million Chinese now use social networks. (SOURCE: WEB2ASIA/CNNIC) Nearly a quarter of a billion (244 million) of China's internet users now use instant messaging. (SOURCE: CNNIC/DIGITAL MEDIA) Nearly 290 million Chinese internet users listen to music online, while 222 million watch online video. (SOURCE: CNNIC/DIGITAL MEDIA) User-generated content is gathering pace in China, with 89.7 million Chinese now writing their own blogs and 41.5 million use microblogging services like Twitter. (SOURCE: TRENDSTREAM/LIGHTSPEED/EMARKETER) Chinese living in the country's top 60 cities spend more than 70% of their leisure time on the internet. (SOURCE: MCKINSEY) Nearly half (49.7%) of Chinese internet users go online for news and information. (SOURCE: COMSCORE) What Chinese Internet Users did Online in 2009 Activity Utilisation Users Growth Rate (%) ('00,000) rate YOY (%) Instant Messaging 70.9 27,233 21.6 Blog 57.7 22,140 36.7 Blog Update 37.7 14,477 37.9 Forum/BBS 30.5 11,701 28.6 Social Website 45.8 17,587 – Email 56.8 21,797 29 Search Engine 73.3 28,134 38.6 Online News 80.1 30,769 31.5 Online Game 68.9 26,454 41.5 Online Video 62.6 24,044 19.0 Online Music 83.5 32,074 28.8 Online Literature 42.3 16,261 – Online Shopping 28.1 10,800 45.9 Travel Booking 7.9 3,024 77.9 Online Payment 24.5 9,406 80.9 Online Banking 24.5 9,412 62.3 Online Trading 14.8 5,678 67.0 (Source: CNNIC March 2010) ❚❚ ONLINE ADVERTISING China's online advertising revenues reached RMB20.61 billion (US$3.02 billion) in 2009, a 21.2% increase on 2008. (SOURCE: DIGITAL MARKETING INNER CIRCLE/IRESEARCH) Baidu took home the biggest slice of the online ad pie (21.3% of revenues), followed next by Google (11.1%), Sina (7.5%), Tencent QQ (4.9%) and NetEase (1.5%). (SOURCE: DIGITAL MARKETING INNER CIRCLE/IRESEARCH) China's online advertising market is expected to generate RMB30.09 billion in 2010 and RMB99.37 billion by 2013. (SOURCE: DIGITAL MARKETING INNER CIRCLE/IRESEARCH) Online currently accounts for 16.6% of overall ad spend in China. By 2012, the Chinese internet market is expected to take up 28.8% of overall ad revenues. (SOURCE: ZENITH/CREDIT SUISSE) Between January and November 2009, there were an average number of 3,717 online advertisers in China on a monthly basis, a 24% increase on 2008. (SOURCE: CREDIT SUISSE) There may be more online advertisers – but that doesn't mean they are spending more. Average monthly spend fell 13% year-on-year to RMB194,997 in 2009. (SOURCE: CREDIT SUISSE) Ask the Chinese what type of advertising they mistrust and they are likely to cite online ones, with ads in video games coming out on top (47% of respondents saying they do not trust). They are joined by ads in virtual worlds (47%) and closely followed by SMS ads (46%), email ads (38%), pop- ups (38%) and banner ads (28%). (SOURCE: TNS/DIGITAL MEDIA) All is not lost however – 84% of Chinese respondents to the same survey said that a brand's presence online "increased their interest in using it to some degree'". (SOURCE: TNS/DIGITAL MEDIA) And the Chinese would be more than happy to accept more online advertising – if they were paid for it. More than 50% of Chinese respondents in a survey said they would be willing to accept more ads in exchange for payment. (SOURCE: SYNOVATE) SNS advertising acceptance levels are a mixed bag. Just 30% of SNS users in China say they will accept any form of advertising, with 26.6% saying they accept targeted ads. (SOURCE: WEB2ASIA/CNNIC) Nearly a third of SNS users (30.1%) say they have never clicked on an ad in a social networking site. (SOURCE: WEB2ASIA/CNNIC) The online gaming market in China was worth an estimated RMB25.8 billion (US$3.7 billion) in 2009. (SOURCE: MOC/XINHUA) By 2013, online gaming revenues are projected to bring in US$9.5 billion a year. (SOURCE: BDA) China's search market is now worth more than RMB7.5 billion and is expected to be worth more than RMB12 billion by the end of 2010. (SOURCE: IRESEARCH/ADCHINA.COM) ❚❚ DEMOGRAPHICS More than half (50.2%) of Asia Pacific's internet users now live in China. (SOURCE: INTERNETWORLDSTATS) At the end of 2009, there were 384 million internet users in China. China now has a penetration rate of 28.9% – up from 22.6% in 2008. (SOURCE: CNNIC) The majority of China's internet users – 346 million people – are now broadband subscribers. (SOURCE: CNNIC) By 2014, China's broadband population is expected to be more than 551 million-strong. Mobile broadband users are expected to represent nearly 70% of this group. (SOURCE: GLOBAL TIMES/OVUM) The average Chinese internet user visits around 75 websites every month. (SOURCE: DCCI/ADCHINA.COM) In 2009, the average monthly income of internet users in China was 62% higher than non-internet users. (SOURCE: CREDIT SUISSE) Nearly two fifths (38.5%) of internet users in China are aged 30 years or older. (SOURCE: CNNIC) The vast majority (72.2%) of all internet users in China live in urban areas. (SOURCE: CNNIC) China's Internet Users 2009 % of users Age Age 10-19 31.8 Age 20-29 28.6 Age 30-39 21.5 Age 40-49 10.7 Age 50-59 4.5 Age 60 and above 1.9 Gender Male 54.2 Female 45.8 Education Primary school/below 8.8 Junior middle 26.8 High school 40.2 College 12.2 Master's degree/above 12.1 Profession Others 0.8 Unemployed 9.8 Retirees 2.1 Agricultural, forestry, husbandry, fishery labourers 2.8 Freelancers/Self-employed 13 Industry/service industry workers 4.4 Migrant workers 2.4 Professionals 10.4 Non-managerial white collar 15 Managerial white collar 3.1 Party/government/institute employees 7.5 Students 28.8 Income (Yuan) per month Above 8000 2.9 5001-8000 2.7 3001-5000 9.3 2001-3000 15.4 1501-2000 13.4 1001-1500 13.7 501-1000 14.5 500 or below 18 No income 10 Region Rural 27.8 Urban 72.2 (Source: CNNIC March 2010) The Great Wall of China CHINA
  12. 12. 20 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 21 China's e-book market is expected to explode in 2010. E-reader sales stood at around 800,000 units in 2009 and are anticipated to grow to 3 million this year. (SOURCE: CHINA DAILY/DISPLAY SEARCH) Thanks to more Chinese booking flights, hotel and package tours online, online travel revenue in China is expected to reach US$695.8 million in 2010, an increase of 27% on 2009. By 2013 the revenues are anticipated to reach US$1.3 billion. (SOURCE: IRESEARCH) China's online games market generated US$3.57 billion in revenues in 2009. That number is expected to increase to US$4.5 billion in 2010 and US$9.2 billion by 2014. (SOURCE: NIKO PARTNERS) China's online gaming market is being driven by the success of MMORPG which now accounts for 79% of the online game market. The market scale of MMORPG increased by 35.2% year on year to reach RMB20.38 billion in 2009, while advanced casual games generated RMB3.55 billion. (SOURCE: CHINATECHNEWS/MOC) More than one quarter (26% or 87.88 million) of China's internet users shopped online in the first half of 2009, an increase of 38.9% on 1H 2008. (SOURCE: CHINAINTERNETWATCH) More than 85.7% Chinese online users searched for product information online during the first half of 2009, 53.5% on B2C sites and 32.5% on C2C sites. (SOURCE: CHINAINTERNETWATCH) For Chinese internet users who shop online, C2C sites such as Taobao and Paipai are the first choice for 85% of them, rather than traditional B2C sites such as Amazon. (SOURCE: CHINAINTERNETWATCH) Nearly half of China's online users (48.7%) have become aware of online shopping sites via their friends and family. (SOURCE: CHINAINTERNETWATCH) Top Online Retail Subcategories in China Category % Reach Retail 50.4 Comparison Shopping 14.8 Books 14.5 Computer Hardware 6.5 Consumer Electronics 9.9 Computer Software 6.1 Apparel 7.8 Health Care 7.0 Mall 3.8 Fragrances/Cosmetics 2.0 Retail-Music 1.4 Retail-Food 0.5 Department Stores 1.5 Tickets 0.3 Flowers/Gifts/Greetings 0.4 Jewelry/Luxury Goods/Accessories 1.0 Consumer Goods 0.2 Sports/Outdoor 0.1 Home FurnishingS 0.5 Toys 0.1 (Source: comScoreWorld Metrix, August 2009) ❚❚ MOBILE There are now an estimated 739 million mobile users in China, representing a penetration rate of 54.3%. (SOURCE: MIIT/PEOPLE'S DAILY) By the end of 2009, there were 233 million mobile internet users in China, accounting for 60.8% of all internet users in the country. (SOURCE: CNNIC) By the end of 2010 there will be more internet users in China than the entire population of the United States, more than 300 million people. (SOURCE: EMARKETER) By 2013, 41% of all mobile users will be mobile internet users too. (SOURCE: BDA) 3G is still in its infancy in China. There are currently just 15 million 3G subscribers in the country. (SOURCE: IMEDIA CONNECTION) That being said, the market is growing fast. New mobile subscriptions (2G and 3G) numbered 9 million every month in Q4 2009. (SOURCE: IMEDIA CONNECTION) Half of all Chinese 3G users access the mobile internet five times a day at least. (SOURCE: IMEDIA CONNECTION/IRESEARCH) Nearly half (46.5%) of all mobile phone users said they would use 3G within six months, once it became available to them. (SOURCE: CNNIC) Chinese mobile users sent 784.04 billion SMS messages to each other in 2009. (SOURCE: MIIT) Chinese mobile users send an average of 2.1 billion SMS messages to each other every day. Of these, 86% come from China Mobile customers. (SOURCE: CHINATECHNEWS/MIIT) Two fifths (40.9%) of China's SNS users expect mobile usage from their networks. (SOURCE: WEB2ASIA/CNNIC) M-commerce revenues in China were expected to reach RMB55 million in 2009, a 130% increase on 2008. (SOURCE: TELECOMPAPER/IRESEARCH) In 2009, 10.3% of online shopping transactions were made by means of mobile payment. (SOURCE: CHINAINTERNETWATCH) During the first six months of 2009, there were a total of 62.69 million mobile payment transactions made in China, worth US$2.49 billion in expenditure. (SOURCE: TELECOMPAPER/INTERFAX CHINA) Mobile entertainment is predicted to bring in US$18 billion by 2013. (SOURCE: RCR RESEARCH/JBB RESEARCH) Legal mobile music downloads are beginning to take off in China, with 16% of Chinese saying they have paid for music applications on their phones. More than one quarter of them (27%) have paid for a full length mobile music track. (SOURCE: SYNOVATE) By the end of 2009 there were an estimated 12.3 million mobile game players in China. (SOURCE: PYRAMID RESEARCH) By 2013, China's online search market should be generating RMB22.7 billion (US$3.4 billion) a year. (SOURCE: BDA) China's online brand advertising market revenue came to RMB7.97 billion in November 2009, and is expected to grow by 35% year-on-year in 2010. China's overall online advertising market is expected to grow by 44% in 2010. (SOURCE: CREDIT SUISSE) Paid search is expected to grow at a rate of 55% year-on- year in 2010. (SOURCE: CREDIT SUISSE) Entertainment has a 63.8% reach in China, the lowest in the region. (SOURCE: COMSCORE) The Chinese are the least prolific searchers in the region, averaging 61.7 searches per searcher in August 2009, lower than the regional average (84.5 searches per searcher). (SOURCE: COMSCORE) China's Top Portals by Brand Advertising Revenue Site RMB million Sina 1,421 Sohu 1,125 Tencent 885 Netease 307 MSN China 252 Soutun 240 Youku 212 Baidu 129 (Source: iResearch/Credit Suisse estimates) China's Online Ad Revenues 2009-2012 (RMB million) 2009 2010 2011e 2012 Brand ad 10,853 14,595 18,918 23,271 Search 10,453 16,244 24,179 31,166 Others 1,639 2,186 3,087 4,014 Total 22,946 33,025 46,184 58,451 Breakdown (%) Brand ad 47.9 44.7 41.5 40.3 Search 44.9 48.6 51.8 52.8 Others 7.2 6.7 6.8 7.0 YoY (%) Brand ad 9.3 34 30 23 Search 61.7 56 49 29 Others -8.8 33 41 30 (Source: Credit Suisse estimates; * gross revenue – advertisers actual spending) China's Online Brand Ad Market Revenues: 2009/10 Brand Ad Revenue Breakdown (RMB million) (%) YoY (%) yoy (%) industry 2009 2010 2009 2010 2010 IT 971 1,117 11 9 15 Electronics 348 400 4 3 15 Food & Beverage 495 693 6 6 40 Auto 1,422 1,849 16 15 30 Telecom & Handset 398 577 4 5 45 Personal Care 294 440 3 4 50 Internet Service 1,753 2,629 20 22 50 Real Estate 792 1,070 9 9 35 Finance 380 532 4 4 40 Others 2,090 2,765 23 23 32 Total 8,942 12,072 100 100 35 (Source: iResearch/Credit Suisse estimates) Trust in Media Channels in China Media channel % who trust the channel completely Recommendations from friends and family 57 Independent reviews in publications 20 Manufacturers / brands websites 17 Consumer opinion in blogs 20 TV ads 12 Newspaper ads 11 Ads that appear on search engines 11 Banner ads on websites 9 Ads in virtual worlds 6 Ads in video games 7 Ads via mobile SMS 8 (Source: TNS/Digital Media) China's Top 10 Motivating Digital Brands Rank Brand 1 Lenovo 2 Nokia 3 Haier 4 Nestle 5 Nike 6 ICBC 7 McDonald's 8 L'Oreal 9 Adidas 10 Wong Lo Kat Herbal Tea (Source: TNS/Digital Media) Top 5 Online Advertisers in China in 2009 Advertiser Online Ad Spend (RMB million) Jiayuan 520 VANCL 510 Lining 370 Nike 290 51job 260 (Source: ChinaInternetWatch/CR-Nielsen) ❚❚ E-COMMERCE In 2010, revenues generated from online advertising, games, shopping and other activities is expected to come to RMB112.3 billion, a 51% growth on 2009. (SOURCE: DIGITAL MARKETING INNER CIRCLE/IRESEARCH) China's online shopping market generated RMB250 billion (US$36.6 billion) in 2009, representing 1.97% of all domestic retail sales. It is thought that around 100 million Chinese now shop online. (SOURCE: IRESEARCH/XINHUA) More than 87 million Chinese online users shopped online in the first 6 months of 2009. (SOURCE: CHINAINTERNETWATCH) Of those online shoppers, 32.3% made no more than two purchase transactions during the first six months of 2009. However, a similar amount (30.5%) made between five and ten online shopping transactions in that same period. (SOURCE: CHINAINTERNETWATCH) More than half (50.4%) of online Chinese have visited an online retail site. (SOURCE: COMSCORE) Chinese online shoppers have a strong preference for C2C sites, being the first choice for 85% of them. The top site by far is Taobao, with 76.5% of online shoppers citing it as their first choice. (SOURCE: CHINAINTERNETWATCH) Nearly half (48.7%) of online shoppers in China have become aware of shopping sites through family and friends. (SOURCE: CHINAINTERNETWATCH) More than 85.7% of Chinese online users searched for product information online in the first six months of 2009. Breaking it down, 53.5% visited B2C sites and 32.5% visited C2C sites to do this. (SOURCE: CHINAINTERNETWATCH) Comparison shopping is yet to take off in China, with just 14.8% of online Chinese having visited a comparison shopping site. (SOURCE: COMSCORE) China's virtual goods market was expected to generate more than US$5 billion in sales in 2009. (SOURCE: VIRTUALGOODSNEWS.COM/+8*)
  13. 13. 22 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 23
  14. 14. 24 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 25 China Mobile currently controls around 80% of China's mobile games market via its Monternet platform. (SOURCE: PYRAMID RESEARCH) Mobile internet users in China averaged 248 page views per user in December 2009, 132.8% more than in December 2008. (SOURCE: OPERA) Smartphones now represent more than 20% of all handset shipments to China. (SOURCE: IMEDIA CONNECTION) A sizeable 77% of Chinese consumers say they cannot live without their mobile phones. (SOURCE: SYNOVATE) However, 44% of Chinese say they are already receiving too many ads on the mobile phones already, according to the same survey. A similar amount, 42%, say they are open to more ads – if they can make some money out of it themselves. (SOURCE: SYNOVATE) China has more than 350 million accumulated mobile instant messenger accounts, and 136.39 million active accounts. (SOURCE: ANALYSIS INTERNATIONAL) Chinese Mobile Internet Users 2009 % of users Age Under 10 0.5 Age 10-19 37.9 Age 20-29 35.3 Age 30-39 17.1 Age 40-49 6.7 Age 50-59 1.8 Age 60 and above 0.7 Gender Male 56 Female 44 Education Primary school/below 8.1 Junior middle 26.9 High school 42.4 Associate college 11.4 College 10.3 Master's degree/above 0.9 Profession Others 0.7 Unemployed 9.9 Retirees 0.4 Agricultural, forestry, husbandry, fishery labourers 3.1 Freelancers/Self-employed 12.2 Industry/service industry workers 4.9 Migrant workers 2.9 Professionals 9.9 Enterprise non-managerial 15.7 Enterprise managerial 2.8 Government-non managerial 4.1 Government-managerial 1 Students 32.3 Income (Yuan) per month Above 8000 2.7 5001-8000 2.7 3001-5000 8.4 2001-3000 14.3 1501-2000 13 1001-1500 13.5 501-1000 16.5 500 or below 19.5 No income 9.3 Region Rural 30.8 Urban 69.2 (Source: CNNIC March 2010) What Chinese Mobile Internet Users do Online Activity % of users Mobile Phone TV 16.5 Mobile Phone Email 18.4 Mobile Phone Online Game 19.3 Mobile Phone Online Community 22.8 Mobile Phone Online Music 50.4 Mobile Phone Search 55.2 Mobile Phone Reading 75.4 Mobile Phone Online Chatting 77.8 (Source: CNNIC March 2010) ❚❚ CASE STUDY Client: Coca-Cola China Agency: wwwins Isobar China Campaign: Coca-Cola Coke with Food Campaign Objective: The key challenge was to create an association between Coke and everyday meals, reinforcing how much "Shuang" (Chinese character representing refreshment and enjoyment) the consumer can experience at the dining table when Coke is there to accompany the food. Strategy: Instead of just showing "behind the scene" footage of the TVC, we wanted to really place the consumers "behind the scenes". An additional video of the TVC was shot solely for the online campaign purpose to create the unique digital experience. Details: With the online video template, we created a unique and exciting experience that allowed consumers be part of the video for them to "show off" to their friends. Under the theme of "Having Dinner with Fei-Lun-Hai" we pushed the boundaries of Real-time Flash 3D Technology to allow users to upload their face photos, which then were converted into 3D faces then mapped onto a person who dined with the Fei-Lun-Hai members in the video. In the final video, consumers could see themselves dancing and dining around the table with Fei-Lun-Hai. And with simple share function, consumers could send the video link their friends, or even paste the video on their blogs. Results: The campaign generated the following response: 700,000 3D user-generated interactive videos successfully generated, the viral effects that were tracked reached exposure to more than 20 million people. THE EVENT FOR DIGITAL MARKETING connecting all sides of the interactive marketing and advertising landscape THE EVENT FOR MODERN MARKETING: ● CONFERENCE ● EXHIBITION HALL ● NETWORKING SEARCH, EMAIL MARKETING, RSS, MOBILE MARKETING, GAMING, TV 2.0, AFFILIATE MARKETING BLOGGING, VIDEO MARKETING METRICS, MEDIA BUYING, PODCASTS, WIKIS, PERSONAS WEB ANALYTICS AND BEHAVIORIAL TARGET MARKETING EXPO HALL IS FREE! upcoming events in asia 3 - 4 June 2010 Suntec City International Convention Centre 28 - 29 October 2010 Grand Prince Hotel New Takanawa 20 - 21 October 2010 Shanghai International Convention Centre
  15. 15. 26 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 27 What Hong Kong's Internet Users Earn Monthly Household Income Total % of Users HK$70,000+ Per month 218,424 5.5 HK$70,000-79,999 48,779 1.2 HK$60,000-69,999 96,370 2.4 HK$50,000-59,999 192,364 4.9 HK$40,000-49,999 518,419 13.1 HK$35,000-39,999 191,198 4.8 HK$30,000-34,999 311,904 7.9 HK$25,000-29,999 338,447 8.5 HK$20,000-24,999 595,502 15 HK$15,000-19,999 440,105 11.1 HK$13,000-14,999 228,786 5.8 HK$10,000-12,999 478,324 12.1 HK$8,000-9,999 185,600 4.7 HK$8,000 or less per month 165,998 4.2 (Source: Yahoo!/Synovate 2009 HK Media Atlas Q1'09-Q4'09) ❚❚ USER BEHAVIOUR There were around 2.5 million social networking users in Hong Kong as of August 2009. (COMSCORE) Over 50% of online Hong Kongers have uploaded a video to a video sharing site, according to one survey. (SOURCE: UNIVERSAL MCCANN) Hong Kong internet users spent an average of 156 minutes a day online in 2009. (SOURCE: NIELSEN) Hong Kong internet users spent on average more than 25 hours online a month in 2009. (SOURCE: COMSCORE) What do Hong Kong internet users do when they are online? In August 2009 it was mainly instant messaging (15.9% share of minutes online), with Hong Kongers spending twice as long as Asians across the region did on the activity that month. Entertainment sites took up 11% of their time (led by YouTube and TVB) and social networking took up 8% of their time. (SOURCE: COMSCORE) Entertainment reach in the city was 72.7% in August 2009. (SOURCE: COMSCORE) Just over a third (37%) of Hong Kongers feel they could not live without the internet. (SOURE: SYNOVATE) Why Hong Kongers go Online Activity % of users For getting information 80 Communication by text 30.3 Shopping/reservation 4.4 Leisure 41 Education 17.5 Financial activities 8.4 Online community 1.2 Downloading/upgrading software 5.1 (Source: APIRA) How Long Hong Kongers Spend Online Average Time Spent Using Internet ('000) % of Users Less Than 30 Minutes 412 7.7 30 Minutes-Less Than 1 Hour 666 12.4 1 Hour-Less Than 2 Hours 924 17.2 2 Hours-Less Than 3 Hours 745 13.9 3 Hours-Less Than 4 Hours 458 8.5 4 Hours-Less Than 5 Hours 257 4.8 5 Hours-Less Than 6 Hours 144 2.7 6 Hours Or More 517 9.6 (Source : Nielsen Media Index Hong Kong; Base population: Individuals aged 12 – 64) What Hong Kongers do Online Features Used ('000) % of Users EMail 3,062 57 Search Goods/Services Information 1,826 34 Instant messenger 1,757 32.7 Read Newspapers/Magazines 1,698 31.6 Social Networking 1,407 26.2 Play Online Games 1,388 25.8 Settle Payment 1,131 21 Use Online Banking Services 1,129 21 Listen To Songs/Radio Programs 1,046 19.5 Search Financial Information 1,007 18.7 Search/Download Information 995 18.5 Watch User-generated Video Online or Watch Professionally Produced Video Online 1,124 20.9 Browse Blog 714 13.1 Download Free Songs/Music or Download Paid Songs/Music 754 14 Use Search Engines 682 12.7 Write Blog 662 12.3 Trade Stock 620 11.5 Download Software 609 11.3 Make Reservation/Book Tickets 529 9.8 Search Job Vacancies 494 9.2 Chat Room 441 8.2 Use Auction Services 433 8.1 Purchase/Order Goods/Services 402 7.5 Download Movies 359 6.7 Download TV Programs 255 4.7 Request Customer Services 243 4.5 Make Friends Online 242 4.5 Download Mobile Phone Ringtone 216 4 Internet Phone 209 3.9 Download Books/Comics 184 3.4 Download Mobile Phone Game/Wallpaper 138 2.6 Netmeeting 108 2 Others 511 9.5 (Source : Nielsen Media Index Hong Kong; Base population: Individuals aged 12-64) ❚❚ ONLINE ADVERTISING Hong Kong online ad spend came to HK$869 million in 2009, a 17% increase on 2008 (HK$744 million). (SOURCE: THE NIELSEN COMPANY) Online ad spend in Hong Kong is expected to grow by 13% in 2010. (SOURCE: MEDIA/HK4As) By 2012, online ad spend is expected to come to US$169 million. (SOURCE: ZENITHOPTIMEDIA) While Google reigns supreme across much of Asia as the favoured search engine, in Hong Kong it is Yahoo! that attracts the majority of searches, it taking 58.9% of Hong Kongers' search queries. (SOURCE: MEDIA/COMSCORE) Hong Kong internet users are pretty loyal to the emarketing programmes they sign up to, 80% of them saying they always open and read emails they have subscribed to. Equally a similar proportion, 70%, delete emails that have been sent to them by unknown senders – unread. (SOURCE: COMPUTERWORLD/RADICA) Hong Kongers love bargains, which may be why 78% of Hong Kong internet users in a survey said they find emails offering discounts to be the most persuasive tactics to get them to purchase what was offered in the emails. Discount coupons are nearly as persuasive, say 72% of users, while free gifts (65%) and cash rebates (50%) are also popular. (SOURCE: COMPUTERWORLD/RADICA) Nearly two-thirds (63%) of Hong Kong internet users in a survey said that they forwarded promotional emails on to their friends and relatives. (SOURCE: COMPUTERWORLD//RADICA) ❚❚ DEMOGRAPHICS There are currently more than 3.9 million active internet users in Hong Kong, as of August 2009. (SOURCE: COMSCORE) Around 81% of Hong Kong homes have broadband. (SOURCE: AFP/STRATEGY ANALYTICS) More than two thirds (69.4%) of Hong Kongers aged 10 or over accessed the internet in 2009. (SOURCE: CENSUS & STATISTIC DEPARTMENT) Hong Kong internet users on average spend 18 hours a week online. (SOURCE: APIRA) There are around 8,825 public WiFi access points in Hong Kong. (SOURCE: YAHOO!/OFTA) Hong Kong's Internet Users 2009 Total Users ('000) % of users Gender Male 1,903.04 48 Female 2,058.39 52 Age 15-19 432.68 10.9 20-24 455.49 11.5 25-29 511.61 12.9 30-32 476.65 12 35-39 478.16 12.1 40-44 454.08 11.5 45-49 403.72 10.2 50-54 271.79 6.9 55+ 226.20 5.7 Marital Status Single 2,168.82 54.7 Married with Children aged 15 or below 854.44 21.6 Married without Children 274.09 6.9 Divorced, Widowed (with children aged 15 or below) 13.78 0.3 Divorced, Widowed (without children) 6.74 0.2 Married with all Children aged 16 or above 607.72 15.3 Divorced, Widowed (with all children aged 16 or above) 16.94 0.4 Attained Education No Formal Schooling 6.59 0.2 Primary School or beloW 197.44 5 Sec 2,436.78 61.5 Tert non-degree 421.90 10.7 tert degree+ 880.61 22.2 Employment Status Working Full Time (30 hours above a week) 2,380.02 60.1 Working Part Time (Less than 30 hrs a week) 208.03 5.3 Retired 89.77 2.3 Unemployed 178.82 4.5 Student 814.65 20.6 Housewife 283.00 7.1 Refused 7.12 – Occupation/Job Position PMEB 812.26 20.5 skilled & unskilled white collar 716.13 18.1 Services workers & shop sales 261.05 6.6 Craft & related workers 165.48 4.2 Plant & machine operators and assemblers 76.70 1.9 Elementary occupations 157.70 4 Place of Access At home 3,684.73 93 In office 1,280.94 32.3 At school 173.37 4.4 In Internet cafe 55.72 1.4 In other places (e.g. library, shopping mall) 198.41 5 (Source: Yahoo!/Synovate HK Media Atlas Q1-Q4 2009) Hong Kong's Two IFC rising above the city HONG KONG
  16. 16. 28 asia pacific digital marketing yearbook asia pacific digital marketing yearbook 29 ❚❚ E-COMMERCE While nearly all Hong Kong internet users (98.3%) had used some form of e-business service in 2009, 15.9% used "online purchasing services" for their personal means, an increase on 2008 (10.3%). (SOURCE: CENSUS & STATISTICs DEPARTMENT) More than half of online Hong Kongers have visited a retail site (51.3%). (SOURCE: COMSCORE) Comparison shopping is gaining some traction in Hong Kong, with 13.8% reach, as of August 2009. (SOURCE: COMSCORE) In 2009, Hong Kong's online shopping adoption rate grew at a CAGR of 144.8%. (SOURCE: APIRA) Top Online Retail Subcategories in Hong Kong Category % Reach Retail 51.3 Comparison Shopping 13.8 Books 13.8 Computer Hardware 16.9 Consumer Electronics 17.1 Computer Software 8.6 Apparel 7.6 Health Care 1.2 Mall 1.4 Fragrances/Cosmetics 4.7 Retail-Music 6.6 Retail-Food 1.9 Department Stores 0.9 Tickets 2.9 Flowers/Gifts/Greetings 1.9 Jewellery/Luxury Goods/Accessories 2.2 Consumer Goods 0.3 Sports/Outdoor 0.9 Home Furnishings 1.4 Toys 2.3 (Source: ComsCore World Metrix, August 2009) ❚❚ MOBILE Hong Kong's mobile subscriber penetration rate now stands at 171.6%. Hong Kong, a city of 7 million people, had more than 12 million mobile subscribers as of November 2009. (SOURCE: OFTA) Of Hong Kong's mobile population, more than 4.9 million are 2.5G and 3G subscribers. (SOURCE: OFTA) As of the beginning of 2010, there were 8,826 public WiFi spots in Hong Kong. (SOURCE: OFTA) Hong Kong's mobile data revenue is expected to increase at a CAGR of 10.5% from 2009 to 2014, increasing from US$557 million to $916 million. (SOURCE: PYRAMID RESEARCH) In 2010, Valentine's Day and Chinese New Year Day both fell on 14 February, perhaps prompting Hong Kongers to send more than 28.3 million SMS messages and receive 36.8 million of them – a 54.19% and 42.08% increase respectively compared to Valentine's Day 2009. (SOURCE: OFTA) More than half of Hong Kongers (59%) feel they could not live without their mobile phone. (SOURE: SYNOVATE) Nearly half of Hong Kong mobile phone users (49%) already feel they are receiving too many ads on their phones. (SOURE: SYNOVATE) Unlike their peers across the Chinese border, Hong Kongers are still resistant to the idea of mobile phone advertising – even if they get paid for it (66% of users saying they are resistant). (SOURCE: SYNOVATE) ❚❚ CASE STUDY Client: Anna Sui Agency: Euro RSCG Hong Kong Campaign: ANNA SUI SUPER BLACK MASCARA Objective: In a crowded market place, the challenge was to engage Anna Sui's 15-30 year old style-conscious, digitally-connected consumers and communicate to them the product's benefits – with the ultimate aim of increasing traffic to Anna Sui counters. Strategy: Super Black Mascara exaggerates the eyes, but how could the brand communicate this in a playful and flirtatious way online? Euro RSCG Hong Kong tapped into the global reach of social networks to create an innovative Facebook application which invited users to virtually apply the new range of mascara to their own photos. The campaign brought the product experience online, by literally allowing users to apply mascara to the eyes of their online photos. Details: This fun application saw users playfully digitally enhancing their facebook photos with flirty long lashes, and posting their glamourised images. Running to the tagline "Long lashes that captivate – be the Anna Sui Captivating Star", the campaign ran across a range of online and offline channels in Hong Kong, Taiwan and Korea, including a product mini-site, "how to" videos on YouTube, eDM, SMS and in-store materials. In order to maximise the viral potential of the application, users were then invited to pass on the application to friends in order to receive vouchers and win prizes to drive traffic to Anna Sui counters. Results: Within the first month the campaign generated: - More than 6,000 Facebook users accessed the Super Black Mascara Facebook application. - More than 600 people become fans of the application group. - More than 500 vouchers were downloaded. - The brand website saw an increase in visits of over 50% during the campaign period. Hong Kong online advertisers numbered 2,239 as of the first half of 2009, running 7,158 campaigns between them, a 22% increase on 2008. In total, 11.2 billion ad impressions were served over that 1H 2009 period. (SOURCE: THE NIELSEN COMPANY) The most prolific online advertising category in Hong Kong is not, surprisingly, finance representing HK$65 million of ad value, followed by computers & electrical (HK$51 million) and education (HK$48 million) (SOURCE: THE NIELSEN COMPANY) In the first six months of 2009, social networking sites and other friend-introducing sites increased their estimated ad value tenfold (1,014%) compared to the first half of 2008. (SOURCE: THE NIELSEN COMPANY) Hong Kongers are amongst the most ad savvy internet users out there, showing the highest propensity to avoid sites with intrusive ads and pop ups – 46% of users, much higher than the global average (28%). (SOURCE: SYNOVATE) More than one quarter (27%) of Hong Kongers would be more recipient to online ads – if they were paid to do so. (SOURCE: SYNOVATE) More than one quarter (26%) of Hong Kongers are open to behavioural marketing and the technology that facilitates it – as long as no data is collected in the process that could identify them. (SOURCE: SYNOVATE) Hong Kong's Top 10 Sites of 2009 2009 Average Monthly Unique Visitors ('000) Yahoo! Sites 3,184 Microsoft Sites 2,628 Google Sites 2,594 FACEBOOK 2,004 DISCUSS.COM.HK 1,367 Uwants Sites 1,303 SINA 1,053 Wikimedia Foundation Sites 919 Television Broadcasts 903 PCCW 784 (Source: ComScore World Metrix; Audience: All Persons 15+ at Hong Kong Home/Work Locations) Hong Kong's Top 10 Gaming Sites of 2009 2009 Average Monthly Unique Visitors ('000) Online Gaming 1,151 Yahoo! Games 233 Gamania Digital Entertainment 180 Travian Games 163 MSN Games 112 9YOU 102 GAMEBASE.COM.TW 85 WildTangent Network 74 Gameflier 74 TALESRUNNER.COM.HK 73 MINICLIP 56 (Source: ComScore World Metrix; Audience: All Persons 15+ at Hong Kong Home/Work Locations) Hong Kong's Top 10 Retail Sites of 2009 2009 Average Monthly Unique Visitors ('000) Retail 2,033 469 Apple Worldwide Sites 459 Amazon Sites 309 PRICE.COM.HK 210 THREE.COM.HK 174 DCFEVER 174 CITYLINE 164 RINGHK 121 Nissen Group 119 Hewlett Packard 116 (Source: ComScore World Metrix; Audience: All Persons 15+ at Hong Kong Home/Work Locations) Hong Kong's Top 10 Entertainment Sites of 2009 2009 Average Monthly Unique Visitors ('000) Entertainment 2,828 YOUTUBE 1,551 TVB 899 Yahoo! Music 822 Yahoo! Movies 550 iTunes Software (App) 478 Tudou Sites 438 PPStream 431 CBS Interactive 422 Youku 408 Sony Online 324 (Source: ComScore World Metrix; Audience: All Persons 15+ at Hong Kong Home/Work Locations) Hong Kong's Fastest Growing Online Ad Categories Ranking Categories Growth by Ad Value(%) 1 Introductions/Social Networking 1014 2 Automotive 201 3 Sundry Service 194 4 Real Estate 180 5 Fashion 172 (Source: The Nielsen Company; 1H 2009) Hong Kong's Online Ad Spend by Sector Categories Market Gross Adspend on Internet (HK$m) Banking & Investment Services 527.1 Education & Training 266.19 Computers & Internet Services 216.56 Telecommunication, Mobile Phones & Services 111.54 Entertainment 106.59 Transportation & Logistics 101.75 Travel & Tourism Services 96.58 Cosmetics & Skincare 75.85 Beauty, Slimming & Fitness 68.78 Hotels, Resorts & Service Apartments 58.04 Pharmaceuticals & Healthcare 57.24 Restaurants 54.01 Mass Media 51.61 Retail 48.56 Non-profit Organisation 45.66 Sports 41.34 Jewellery, Watches & Luxury Products 37.55 Camera, Photography & Optical Instruments 37.1 Toiletries & Household 35.69 Fashion, Accessories & Eyewear 34.9 Government 34.25 Business Services 33.68 Insurance 31.72 Beverages 30.78 Electrical Appliances 27.03 Automobile & Petroleum 26.61 Food 24.4 Toys & Hobbies 19.23 Property & Real Estate 11.7 Energy & Mining 8.66 Wine, Beer, Whisky & Liquor 6.97 Bridal 6.8 Construction 4.51 Books, Gifts & Stationery 3.62 Industry 2.4 Pets 1.68 Miscellaneous 1.53 Funeral Services 0.01 Tobacco 0 Unknown 0 Total 2,348.22 (Source: Yahoo!/admanGo; January-December 2009) Hong Kong's Top 10 Website Brands in 2009 Brand Ad impressions ('000) Total 23,927,360 Yahoo! HK 13,631,410 atnext 2,141,341 2000fun-HP 2,017,361 HKEPCHardware 1,860,722 Discuss 1,153,393 Mingpao 970,985 The Sun 712,127 AAStocks 533,116 MSN Hong kong 476,805 fotop 430,098 (Source: Yahoo!/Nielsen AdRelevance – 06/04/2010)