Mobile Ad Spend in China Hits $7 Billion This Year - eMarketer

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Mobile Ad Spend in China Hits $7 Billion This Year

China alone to account for over 15% of global mobile internet ad spend

December 15, 2014

Ad spending on mobile internet-based formats in China skyrocketed this year by 600.0%, according to eMarketer’s latest estimates of total paid media, digital and mobile ad spending worldwide. We forecast that by the end of 2014, advertisers in China will invest more than $6.39 billion in mobile internet ads, representing 15.9% of all mobile internet ad spending in the world—and making the country second only to the US in absolute mobile internet ad dollars.

Digital Ad Spending in China, by Device, 2013-2018 (billions, % change and % of total)

When messaging-based formats are added to the mix, mobile ad spending in China rises to $7.11 billion in 2014. We estimate that with all mobile formats included, they will account for 30.0% of all digital ad spending in the country in 2014, rising to 41.5% in 2015. By the end of our forecast period, nearly two-thirds of all digital ad spending in China will be devoted to mobile devices.

Digital itself will account for just over 37% of total paid media spending in China this year, with mobile specifically making up 11.1% of the total. By 2018, more than one-third of all ad spending in the country will be mobile.

Total Media Ad Spending Share in China, by Media, 2013-2018 (% of total)

Digital is already the leading channel for paid advertising in China, with TV coming in second. In 2017, mobile ad spending in the country will surpass dollars invested in TV ads for the first time, and digital as a whole will account for more than half of all ad spending.

eMarketer bases all of its forecasts on a multipronged approach that focuses on both worldwide and local trends in the economy, technology and population, along with company-, product-, country- and demographic-specific trends, and trends in specific consumer behaviors. We analyze quantitative and qualitative data from a variety of research firms, government agencies, media outlets and company reports, weighting each piece of information based on methodology and soundness.

In addition, every element of each eMarketer forecast fits within the larger matrix of all its forecasts, with the same assumptions and general framework used to project figures in a wide variety of areas. Regular re-evaluation of each forecast means those assumptions and framework are constantly updated to reflect new market developments and other trends.

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