However, when more and more enterprises plan to greatly increase the amount of online advertising next year, many advertising companies are still hovering in front of online advertising. It is not so much indecision as being at a loss. Macro data gives people confidence, but specific decision-making actions must be based on the understanding and analysis of various market factors.
The online advertising agency market has low "threshold" and rich returns.
According to the survey report of iResearch, there are more than 65,438+000 advertising companies engaged in online advertising agency in China, and more than 20 advertising companies are mainly engaged in online advertising agency. Online advertising agencies have developed rapidly, but compared with the sparse situation before. Considering the background that the Internet is becoming one of the most powerful media, such a large-scale online advertising agency team is really pitiful. We see that there are many local companies among the top online advertising agencies. On the one hand, this is a reward for some of them to stick to the position of online advertising. On the other hand, it shows that the entry threshold of online advertising agents is still low and has not yet entered the white-hot stage of fierce competition.
At present, the specialization of online advertising agency is basically manifested in the division of services by industry. In this regard, local enterprises seem to be more active. Most international advertising companies still maintain a "take all" attitude. 90% of the customers of Creation Miracle Advertising come from the online game industry, and most of the mobile phone customers of Century Huamei Advertising come from the automobile industry. Advertising companies such as Xinhaiheng, Jiahua Hengshun and Longtuo are mainly real estate advertisers, while Ma Hong Media and New Economic Cooperation mainly serve customers in education and other industries. This relatively single professional division of labor shows that the service level of online advertising is not high and the integration of online media resources is not strong.
In 2004, the total investment of China advertisers in the online advertising market was 654.38+0.9 billion yuan, of which 700 million yuan was directly invested in online media by advertisers in the form of framework agreement and sponsorship, and the rest was 654.38+0.2 billion yuan (brand marketing expenditure was 654.38+0 billion yuan; The effect marketing expenditure is 200 million yuan), and advertisers entrust online advertising agents to put online media. After earning 200 million yuan from it, online advertising agents spent 654.38 billion yuan on online media. In 2004, the proportion of online advertising agency fees was about 16.67%, indicating that the industry returns were reasonable, the overall operation was standardized and the competition was low. With the increase of the total amount of online advertising and the number of agents, it is conceivable that this proportion will gradually decline. However, due to the excessive expansion of the overall market scale, it will ensure a high level of service return for a long time.
So it can be said that time and speed are the key factors that can determine success or failure at present. The sooner you cross this still low threshold, the better your chances of success.
Table1Scale of Main Online Advertising Agents in China in 2004
(excluding technology, production and other income)
Name of agency: amount of online advertising media agency (RMB 10,000)
Interpretation of Advertisement (Yes) 14000
Huayang Lianzhong+Li Chuan 14000
Dentsu advertisement 10000
Bosheng Yunfeng-Hongye Sheng Da 8000
Shi Sheng Great Wall 6000
Century huamei 5000
Create a miracle 4200
Ke Shi Si Tong 4000
Teng letter advertisement 3500
Ganoderma Dayang 2400
McCann Bright 2000
Quanzhou Border Culture 1200
Jingxin advertisement 1000
Sunshine Jiaxin 600
Traditional advertisers are rich in resources.
For online advertising agency service providers, there are too many "first buckets of gold" waiting for them to dig. The most convenient method is grafting. Whoever can persuade traditional media advertisers to "wade" into online media will find a "gold mine". Almost all advertisers who have waded through the water are holding the attitude of adding advertisements to online media.
Undeniably, the distribution of online advertisers in China is relatively concentrated at present. According to the survey report of iResearch, IT, network service, mobile phone communication, transportation, automobile and real estate were the top five industries launched by online advertisers in 2004, while the fast-moving consumer goods industry, which had high hopes, was still in a downturn. Advertisers in some high-volume industries in the advertising market have not changed the inertia of focusing on traditional media with TV as the leading factor. But at the same time, this situation can still be regarded as a "favorable" plot, because as long as we refer to the growth trend of the number of online advertisers, we can generate enough confidence to regard it as a "reserve resource". In 2004, there were 3,225 online advertisers, an increase of 1.435 compared with 2003, and an increase of 25 1.4 compared with 2002, which is almost a geometric progression. And it can be said for sure that the new online advertisers are basically diverted from the traditional media.
At present, the main investment force is still a big brand with abundant budget. In 2004, Samsung Electronics invested the most in advertising, with a total investment of 596.5438 million yuan, followed by China Mobile and Yi Bei, with 40.47 million yuan and 40.02 million yuan respectively. As the value of Internet media is generally recognized by the society, it is believed that more and more powerful brands will appear in the forefront of the list. Internet has the media characteristics of unlimited extension space, which has become more and more attractive to advertisers who are tired of fighting in the limited space of traditional media, and the gold content of online media will continue to increase. The data of the16th survey of China Internet Information Center released in July 2005 (see Table 2) shows from another angle that the industry distribution of online advertisers will be further enriched. Demand is the market, and the market is an irresistible force.
The online advertising market is in the "golden age"
The development of online advertising market must rely on the growth of online media itself. At the same time, the rich income brought by online advertising has also promoted the healthy development of online media. It can even be said that the Internet can usher in the "second spring" thanks to online advertising.
Of course, the income of online media is not balanced. In 2004, the total revenue of the five major media, mainly portals, was 654.38+0.24 billion yuan, accounting for 65% of the total revenue of online media. Sina is still the leader in China's online advertising market, with the number of visitors and customers in the leading position in the portal camp. In 2004, the online advertising revenue was more than 500 million yuan, which was comparable to some traditional large media groups.
Table 2 What products or services do users think can't meet the demand on the Internet (multiple choice questions)
Computers, computer accessories (such as memory and hard disk) and computer peripherals (such as printers and scanners) 19.0%.
Books, newspapers, magazines and other paper publications 17.4%
Mobile phone 14.9%
Audio-visual products (including CD, VCD, DVD, etc. ) 14.2%
Household appliances 13.3%
Computer software 13. 1%
Clothing 12.9%
Travel ticketing and hotel reservation services 12.0%
Education and learning services (online school paid registration, training courses, etc.). ) 1 1.9%
Digital camera 10.8%
Food 10.3%
MP3 player 9.7%
Other digital electronic products 9.3%
Life, household goods and services 9.3%
Medicine, medical care products and services 9.2%
Paid subscription and paid membership services 7.6%
Flowers, cakes and other gifts services 7.5%
Wealth management and insurance products and services 7.5%
IP phone cards, mobile phone recharge cards and other point cards are 6.8%.
Sporting goods 6.6%
Office supplies 6.4%
Online game supplies (including game cards, virtual props, etc. ) 6. 1%
Cosmetics 5.2%
Other 1.8%
The emergence of this situation, on the one hand, reflects the inevitability of the law of market value, on the other hand, it also shows that the value of most online media, especially a large number of unique media, has not been effectively tapped. The high concentration of online advertising and the widespread existence of large-scale blind areas of high-quality resources indicate that the online advertising market is in a "golden age", and the "gold digger's song" will become the main theme of the recent development of online advertising market.
As the most open and free emerging media, compared with traditional media, the Internet has unique advantages in capital operation and resource integration. It can be said that the commercial Internet is a premature baby born by capital. And since its birth, it has been growing in constant reorganization and merger. In China, this feature of Internet media is particularly valuable, which can integrate resources inside and outside the industry more quickly and flexibly, and also provides the most powerful support for the construction and development of online advertising marketing market. Moreover, the merger and reorganization of online media is completely capital-oriented, with a clear marketing purpose, which is more conducive to the development of advertising marketing activities.
At the same time, the concept of specialization of online media is almost innate, and the division of labor among websites is clear. Now the so-called professional online media refers to more subdivided characteristic positioning websites. In 2004, the number of professional online media in China increased significantly, and the number of online media with a certain online advertising professional sales team rose rapidly from more than 40 to about 80. These characteristic websites have become the target of the increasingly formed online media group with the portal as the core. For example, Sohu bought online professional media 17 173 and real estate professional media focus network. Yahoo China localized the management of online advertising operators through the merger process with 372 1. It is worth noting that online game communities and other types of online communities have huge user traffic, but they have not yet played a good advertising value. These communities and new forms of communities such as blogs have great potential for the development of online advertising.
For example, the search engine market is similar to outdoor advertising in the traditional advertising field, and its marketing value should not be underestimated. According to the statistics of iResearch, the search engine market in China in 2004 was 690 million yuan, with an annual growth rate of 147%. In 2005, the search engine market in China will reach1200 million yuan, with an annual growth rate of 74%.
The diversification of online media provides a broad stage for online advertising, and it also puts forward higher professional requirements for online advertising agents. Therefore, after experiencing the low threshold period of the current online advertising market, it will face the requirements of online media for service specialization, and online advertising agents should plan ahead.