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Video Ad Spending on the Rise in China

Paid search still accounts for more digital ad spending than any other format

February 15, 2017 | Media Buying

Video’s share of digital ad spending grew slightly in China between Q4 2014 and Q4 2016, according to a February 2017 report from Analysys International Enfodesk. Paid search, however, still accounts for more digital ad spending than any other format.

Digital Ad Spending Share in China, by Format, Q4 2014-Q4 2016 (% of total)

While paid search’s share seems to be on the decline—Q4 2016’s 34% figure is the third lowest in nine quarters, stretching back to Q4 2014—the format still accounted for 6.4% more of the digital ad spending pie than video (at 27.6%). Still, it signals a subtle shift—less spending on paid search, and more on video.

Banner and email ads have been relatively flat, with banners making up around 25% of total digital ad spending since the end of 2014, while email has comprised 0.7% every quarter since Q2 2015.

Digital ad spending in China increased 4.5% between Q3 2016 and Q4 2016 to total RMB70.25 billion ($11.28 billion), according to Analysis International’s report.

Ben Clague

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