China has become the world's largest smartphone market, with over 415 million smartphone users in 2013. WeChat has emerged as the dominant mobile messaging platform in China, surpassing Sina Weibo with over 300 million active users by early 2013. WeChat users tend to be younger and spend more time on the app than Weibo users. The document analyzes user demographics and behaviors on both platforms and how Chinese consumers are increasingly using WeChat to communicate with brands.

1. How
mobile
is
transforming
business
in
China
Sep,
2013

2. What’s
going
on
in
China?

3. China
becomes
the
world
largest
smartphone
market
3
source:
IDC
Country 2011
Market
Share 2012
Market
Share
2015
Market
Share
(forecast)
2011
-­‐
2016
CAGR
CHINA 18.3% 26.5% 23.0% 26.2%
USA 21.3% 17.8% 14.5% 11.6%
INDIA 2.2% 2.5% 8.5% 57.5%
BRAZIL 1.8% 2.3% 4.4% 44.0%
UK 5.3% 4.5% 3.6% 11.5%
Rest
of
World 51.1% 46.4% 46.0% 18.1%
Total 100% 100% 100% 20.5%
Top
five
smartphone
markets
and
market
share
for
2011,
2012,
and
2016(F)
(Shipments)

4. China
smartphone
penetraFon
is
40%
with
415.7
millions
of
users
4
0%
20%
40%
60%
80%
US Germany UK Norway France Brazil India Austrilia Japan China S. Korea
73%
40%
49%
66%
14%
20.8%
45%
63.7%
60.4%
42%
56.8%
source:
forbes

5. Chinese
Carriers
smartphone
3G
penetraFon
is
only
22%
with
China
Telecom
having
the
highest
penetraFon
at
44%
5
Subscribers
New
3G
January
2013
Total
3G Total
other Total 3G
Share Total
Share
China
Mobile 7.1 95.0 620.0 715.0 13% 64%
China
Unicom 3.7 80.1 162.8 242.9 33% 22%
China
Telecom 3.0 72.1 90.7 162.8 44% 15%
Total 13.7 247.2 873.5 1120.7 22% 100%
source:
forbes

6. Android
is
dominaFng
China’s
smartphone
market
6
0%
20%
40%
60%
80%
Android iOS Symbian BlackBerry Windows
3%4.8%
0.4%
39.2%
52.4%
2%0%
2.9%
29.6%
69.4%
China
U.S.
Smartphone OS Market Share in 2013
Even though Android sits on the top of both China and U.S. smartphone os
market, the gap ahead of iOS in China is much bigger than that in the U.S.

7. As
local
vendors
rise,
Samsung
strongly
remains
top
Android
maker
in
China
7
There are several custom versions of Android
in China that are tailored to the needs of
Chinese consumers.
15.2% 20%

8. Tablet
shipment
is
expected
to
reach
49.7
millions
of
units
by
2017,
almost
7
Fmes
that
of
2012.
8

9. Over
three-­‐quarters
of
tablet
users
in
China
don’t
believe
tablets
will
replace
PCs
9

10. Consumer
lifestyle
is
changing

11. Mobile,
web
and
TV
consumpFon
11

12. Local
player
plays
in
mobile
market
differently
12
of Chinese smartphone users on the iOS or Android
platforms had used 6 apps or more in March, 2013.
of smartphone users downloaded new apps during the
month, with 57%downloading more than 10.
74%
93%

13. In-­‐app
purchases
are
more
common
in
China
than
the
U.S.
13

14. 14
In China, there is a greater tendency to be
influenced to download an app based on
what is featured by app store
app store reviews & ratings
and

15. WeChat
explores
the
new
ways
to
connect
15
Voice Chat
Moments
Live Chat
Video Call
Group Chat
Text Messaging
QR
Code
Anytime. Anywhere. Anyone.
A free and powerful mobile communication tool that you can use

16. Text
and
Voice
messaging
are
predominant
funcFons
used
by
WeChat
users
16

17. WeChat
drives
mobile
centric
consumers
17

18. 18

19. WeChat
grows
much
faster
than
Weibo
in
last
2
years
with
more
new
hight
frequency
users
19
0
100
200
300
400
500
600
Registeredusers(MM)
3/11 6/11 9/11 12/11 3/12 6/12 9/12 12/12 3/13
Weibo WeChat

20. The
penetraFon
is
heavily
overlapped
20
57.0% 20.6%22.4%

21. The
devices
-­‐
again,
smartphone
21
95.8% 80.7%
95.8% of WeChat users
access via their mobile phones
80.7% of Weibo users access
via their mobile phones
Mobile phones are
No.1 device for both
WeChat and Weibo
Much more Weibo users access via
their desktops, laptops, and tablets

22. www.dratio.comwww.dratio.com
用户使用微信的时间更长，黏性更强
 每天使用3小时以上的微信用户比例均高于微博用户，5小时以上的用户比例更
是大大高于微博，说明微信用户的黏性更强
8.7%
4.2% 3.9%
13.4%
0%
5%
10%
15%
20%
25%
30%
35%
30分钟以下 30分钟-1个小时 1-2小时 2-3小时 3-4小时 4-5小时 5小时以上
近一个月每天平均使用时长占比
微博 微信
Users
tend
to
stay
on
WeChat
for
longer
Fme
than
Weibo
22

23. The
roles
to
users
23
Media Platform for Information
Personal Social Networking Tool
-­‐
Browse,
absorb,
and
disseminate
informaDon
-­‐
Emphasize
on
sharing
and
interacDon
-­‐
Chat
in
voice
or
text
-­‐
Emphasize
on
communicaDng
with
family
and
friends

24. The
roles
to
users
vs
The
roles
of
marketers
24
Media Platform for Information
Personal Social Networking Tool
-­‐
Browse,
absorb,
and
disseminate
informaDon
-­‐
Emphasize
on
sharing
and
interacDon
-­‐
Chat
in
voice
or
text
-­‐
Emphasize
on
communicaDng
with
family
and
friends
Media Platform for Mass
-­‐
Strong
disseminaDon
power
-­‐
Deliver
brand
message
and
campaigns
to
fans
Personalized Private Social CRM
-­‐
Provide
VIP
service
-­‐
Recruit
brand
fans
-­‐
Online-­‐to-­‐Offline
traffic
driving

25. The
content
interests
on
genders
25
News
Entertainment
Traveling
Lifestyle
Education
News
Finance and Economics
Sports
Science and Technology
Cars
Games

26. The
age
of
users
26
WeChat users are
overall younger
than Weibo users.
24 years old and younger 40 years old and older
46.8% WeChat users are
24 years old or younger
44.9% Weibo users are
40 years old or older

27. The
age
of
users
27
80s
80s are the heaviest users for both WeChat and Weibo.
5.5% 10.5% 7.0%
14.5%12.6% 11.1%
70s 90s
The percentages of different age groups of users who spend over 5 hours on Weibo or WeChat are:

28. The
occupaFon
of
users
28
More freelancers, students, and unemployed people in WeChat users.
Freelancers
29.8% are WeChat users
16.7% are Weibo users.
Students Unemployed people
23.1% are WeChat users
16.1% are Weibo users.
37.5% are WeChat users
12.5% are Weibo users.

29. The
educaFon
of
users
29
Secondary school and under
23.1%54%
WeChat has more users
with lower educational
level than Weibo.

30. The
gender
of
users
30
Women are more likely to spend longer time on Weibo.
The percentages of female users who spend over 3 hours on Weibo and WeChat are respectively:
20.5% 18.8%
Men are more likely to spend longer time on WeChat.
12.8% 22.2%
The percentages of male users who spend over 3 hours on Weibo and WeChat are respectively:

31. Future
Trends
31
Location-based Suggestions
Interest-based Suggestions
Post/Repost-based Suggestions
Hard Advertisement Spots
Charged Combo

32. Future
Trends
32
• Users who use both WeChat and Weibo will spend more time on using WeChat in future.
• WeChat will lose more than half of current users if it start to charge fees.
www.dratio.comwww.dratio.com
信未来被用户使用的时间更长
7.6%的微博和微信并用用户未来将使用微信更长时间，而使用微博时间长于微
用户只占29.6%
47.6%
29.6%
22.8%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
微信长于微博 微博长于微信 两者差不多
微博和微信并用的用户将来（半年内）平均每天使用微
博和微信的时间长短
www.dratio.comwww.dratio.com
大多数用户不接受微信的单独收费
50.9%
42.1%
7.0%
0%
10%
20%
30%
40%
50%
60%
肯定不会再用 可能还会用 肯定还会用
微信如果单独收费的用户接受度占比
 51%的微信用户表示，如果微信单独收费则“肯定不会再用”；相比之
下，只有7%的微信用户表示“肯定还会用”；
 “可能还会用”的犹豫派占42%左右

33. How
consumer
communicate
with
brands
on
WeChat
33

34. 67%
of
WeChat
users
are
using
WeChat
public
pla]orms
34

35. 35
Credit Card Users can interact with
customer service representatives to
get billing statements, credit lines,
reward points, transaction reminder,
and even pay bills via WeChat.
Credit Card Non-users can apply
for credit cards via WeChat.

36. 36
General customers can inquiry
about air fare, make flight
reservations, check flight status, get
weather information, and check-in
for flights via WeChat.
Sky Pearl Club members can check
their millage and enjoy other special
service via WeChat.

37. 37
Users can find e-coupons, get
information about latest products, find
nearby stores.
Moreover, as the first WeChat account
that offers in-app purchases,
McDonald’s offers their WeChat users
a special discount they can only get
by purchasing tea from within the
WeChat. After clicking on “pay
immediately”, users are taken to the
payment page, which only supports
TenPay and Chinese Bank cards.

38. 38
Users can make hotel reservations,
check their reservation and reward
points, get specific information of
particular hotel (pictures, price,
address, phone number, direction,
discount, nearby restaurants, etc.),
receive customized notification before
check-in, and even play interactive
games to get coupon via WeChat.
Pod Inn currently has 550,000
followers on WeChat. Among all the
successful reservations, 61% are from
WeChat new followers.

39. m/e-­‐commerce

40. 40
China
has
become
the
world’s
largest
e-­‐commerce
market

41. China
has
become
the
world’s
largest
mobile
shopping
market
and
second
largest
QR
scanning
market
41

42. 42
Yihaodian
Shopping
Walls
allow
consumers
to
buy
products
by
scanning
a
QR
code
through
a
transacUon
terminal.
Their
purchases
are
then
delivered
within
24
hours.

43. Coupon
Apps
43
A lot of mobile app provides location-based services that help users to find near by
restaurants, entertainment, shopping malls and get mobile coupon.
Dianping.com Yuele.com

44. How
many
consumers
use
smartphone
in
shop?
44
of
people
in
shop
use
smartphones
in
China
872012 IPSOS / Google smart phone survey
%

45. 45
China’s
mobile
payments
total
151.14
The
mobile
payment
market
in
China
holds
tremendous
poten5als
and
space
for
development
and
growth.
billion yuan
2012 / Deloitte Mobile Payment Industry in China

46. The
mobile
shopping
market
is
promising
and
the
percentage
keeps
rising
46

47. Taobao
possesses
the
majority
of
the
mobile
shopping
market
with
75.1%
market
share
47

48. RFID-­‐based
Mobile
payment
is
more
popular
in
supermarkets,
convenience
stores,
shopping
malls,
and
public
transport
48

49. Consumers
are
more
comfortable
with
RFID-­‐based
mobile
payment
for
small
amount
of
consumpFon
49

50. 50
of
online
buyers
purchase
clothing
in
China.
81.8%
What
products
do
consumers
buy
online?

51. Example
of
mobile
services
in
China
51

52. 52
As a real-estate management app,
Suishoufangprovides realtors with a platform where they can
set up profiles of clients
manage information of their owned realties
search apartments or houses
and

53. 53
This call-a-taxi app, currently available in Beijing, Shanghai,
Shenzhen, Guangzhou, and Hangzhou, allows users make taxi
reservation or find a taxi instantly on their smartphones.

54. WeChat
5.0
as
mobile
shopping
pla]orm
54
Information
Flow
CRM
Content
Service
Payment
Pay Phone Bill
Buy Train Ticket
Make Flight Reservation
Subscription Account
Service Account
App
QR code
Public Platform

55. How
business
is
changing?

56. Healthcare
56

57. Over
2,000
mobile
healthcare
apps
are
currently
available
to
users
in
China.
57 http://www.wantchinatimes.com/news-subclass-cnt.aspx?id=20130502000001&cid=1502
With 8 million daily users and 10,000 daily questions, Chunyu provides a mobile
healthcare Q&A service that allows users to look up symptoms or ask professional
doctors free of charge.

58. Manage Appointments
Search Doctors
Make Appointments
Guahao
App
provides
Chinese
paFents
with
an
easy
way
to
make
appointments
with
their
doctors
58
Add Favorite Doctors

59. 59
As
a
personalized
and
easy-­‐to-­‐use
tool,
Dayima
allows
users
to
track,
monitor
and
manage
their
monthly
menstrual
cycles.

60. AutomoFve
60

61. 61
My
BMW
Remote
app
enables
users
to
lock/unlock,
control,
and
find
their
cars
with
their
smartphones
at
a
distance.

62. Working
with
Baidu,
Ford
delivers
an
enhanced
an
enhanced
app
by
allowing
users
to
use
Baidu
apps
while
driving.
62

63. 63
News
&
Publishing

64. NetEase
to
build
up
No.1
Media
Brand
on
Mobile
Front
64
Local&News&
Personal)Account)
Customized+Subscrip1on+
Reward'Points'
163$Mailbox$
Share&with&People&

65. 65
With
over
7.4
million
users
by
the
end
of
2012,
iWeekly
has
been
one
of
the
most
successful
magazine
apps
in
China.
70％ of the content on iWeekly is exclusive to the app.

66. Mobile
Finance
66

67. China
has
150
million
mobile
banking
users
in
2012,
accounFng
for
over
40%
of
mobile
banking
users
worldwide.
67
Major commercial banks saw more than 100% growth in mobile banking users in 2012, and more
than 300% growth in mobile banking transaction value.

68. Bank
of
China’s
new
iPad
App
provides
personalized
interacNve
experience
for
users
by
integraNng
more
funcNons.
68
The app allowing users to customize
the welcome messages and favorite
functions to enjoy individualized mobile
financial services.
The “Pool” structure of
the app reduces both the
updating time and
network traffic.
The app supports
multitask operations and
gives feedback on the
dynamics of operation.

69. Fashion
69

70. Mobile
fashion
in
China
is
sFll
at
beginning
stage
70 http://thenextweb.com/asia/2012/05/12/chinas-hottest-digital-trends-for-fashion/
360Fashion Network is to empower the fashion industry with
affordable cutting edge mobile technology worldwide.
As an American company with offices in USA and China,
360Fashion Network has platforms for creating a variety of
apps for different clients.

71. With
1.2
millions
daily
acFve
users
on
mobile
device,
Meilishuo
has
been
No.1
Interest-­‐Driven
Fashion
Social
Network
71
Discover new styles and products
Share products/outfits with followers
Purchase the product directly through the site

72. Retail
72

73. Carrefour
Smart
Shopper
App
enables
retailers
to
engage
with
their
customers
in
a
next
generaNon
of
personalizaNon
73
Indoor&Naviga,on&
The$step$by$step$naviga/on$guides$users$to$where$the$
product$they$want$is$stocked.$
Social&Shopping&Lists&
Users$can$see$all$the$discounts$and$promo/ons,$or$
create$shopping$lists$and$share$with$friends.$$
Targeted&In7app&No,fica,ons&
The$targeted$and$personalized$in>app$ads$are$based$on$
a$user’s$loca/on$inside$the$store,$their$selec/on$of$
par/cular$products$and$other$dimensions$of$heir$
behavior$and$profile.&

74. 74
Xinxianghui
app
delivers
be_er
customer
service
by
allowing
users
to
order
food
while
waiUng
for
being
seated.