1、2019 Marketing in China StudyAn overview of fi ndings and opportunities,featuring insights from The Right Partnership Is Essential To Successful Marketing In China,a May 2019 commissioned study conducted by Forrester Consulting on behalf of The Trade Desk.Featuring data from a commissioned survey co
2、nducted by2“There is a massive,untapped opportunity for brands to grow in China.We have purposely built our platform for companies of all sizes to capitalize on this growth.”Jeff GreenCEO&FounderThe Trade Desk3About the studyThe Right Partnership Is Essential To Successful Marketing In China was con
3、ducted by Forrester Consulting on behalf of The Trade Desk.It surveyed 300 marketing leaders across North America(100),APAC(100),and EMEA(100),all of whom make or infl uence marketing decisions.Thirty-four percent of responders are C-level.Among respondent companies,75%have annual global revenues in
4、 excess of$1 billion USD.More than half will spend in excess of$100 million USD on digital media in China this year.The Trade DeskThe Trade Desk is a technology company that empowers buyers of advertising.Through its self-service,cloud-based platform,ad buyers can create,manage,and optimize digital
5、advertising campaigns across ad formats and devices.Integrations with major data,inventory,and publisher partners ensure maximum reach and decisioning capabilities,and enterprise APIs enable custom development on top of the platform.Additional data sourcesUnless otherwise stated or attributed,all da
6、ta points are from The Right Partnership Is Essential To Successful Marketing In China,a May 2019 study conducted by Forrester Consulting on behalf of The Trade Desk.4The Trade Desks China off eringWhat it isThe Trade Desk is the fi rst global programmatic planning and buying platform to give advert
7、isers access to premium inventory from the major Chinese media players:Alibaba,Baidu,IQIYI,and Tencent Marketing Solution.What it enablesBrands can now buy audience-based,digital advertising programmatically in China and across the world through a single demand-side platform.Advertisers gain unfette
8、red access to premium China media with global-standard insights,data,reporting,safety,and transparency at the high standard brands expect.Media buyers capture effi ciencies through unifi ed audiences across global campaigns and even as consumers travel globally with standardized reporting and centra
9、lized campaign management and optimization.Why it matters92%of global marketing leaders believe China is either their biggest or a signifi cant growth opportunityChina is essential for growth51%of global marketing leaders will spend over$100 million USD in 2019,and 83%expect that number to grow by 1
10、0%or more in 2019Digital budgets are big and growing75%of global marketing leaders believe it is very important or critical to work with an independent ad-buying partnerBuying independenceis critical76%of global marketing leaders will move their spend to a global partner,if possible Centralizing glo
11、bal campaigns are keyThis off ering by The Trade Desk represents over three years of planning,negotiations,technical development,and data and inventory integrations.Fast facts about The Trade Desks programmatic off ering in China Built from the ground up over three years to bridge the Chinese and gl
12、obal Internets Premium inventory from Chinas leading media owners:Baidu,Alibaba,Tencent,iQIYI,and others Global-standard data targeting,measurement,brand safety,and fraud protection End-to-end management of government data requirements and creative approvals5Contents 7The China opportunityHow both t
13、he scale and value of Chinas digital audiences are growing and how global marketing leaders are engaging with the market 13A unique audience and marketWhat makes the China consumer and market unique 16The Trade Desks programmatic platform in ChinaWhat the solution offers and what it enables for mark
14、eters 24Getting startedKey steps to testing the waters or expanding your China presence with The Trade Desk 67The China opportunityA huge,valuable audienceMuch has been made about Chinas scale and breadth,but as the market matures theres significant value to be unlocked.China is a mobile-first,digit
15、al-first,and e-commerce-first market,and much of the population has never had a landline.The internet is their gateway to the wider world for content,collaboration,entertainment,and commerce.The Chinese middle class is now larger than the population of the United States and on track to reach 550 mil
16、lion by 2023.1 China Bureau of Statistics 20192 McKinsey&Company 20193 CNNIC 20194 World Data Lab 20185 https:/ eMarketer Digital Ad Spending 20187 Business Insider/Accenture 2019The China opportunityinternet users,and on track to reach 1 billion by end of 2020$1.4T USDmiddle-class purchasing power
17、parity by 2030highest e-commerce penetration in the world35%in digital ad spend in China,growing at 22%in 2019$80B USDof consumers are willing to share data in exchange for personalized services (vs.UK/Germany at 40%)67%8The China opportunityGlobal marketing leaders see digital marketing playing a c
18、ritical role in their growth,as evidenced by their digital marketing budgets.Over half of them will spend more than$100 million USD in 2019 and plan to increase their spend by 10%or more in the coming years.Increasing importance and investment for global marketing leadersThe results from the commiss
19、ioned Forrester Consulting study indicated that as China matures,so does its importance to the global marketing leaders surveyed,with 88%citing China as very important or critical to their growth.Just over half(51%)of these companies have been operating in China for five years or less.Forty percent
20、of global marketers reported that China currently represents more than a quarter of their revenue,and sixty-seven percent expect China to account for more than a quarter of their revenue within five years.How long has your brand been selling in the Chinese market?1%15%35%36%12%Less than one yearOne
21、year to less than two yearsTwo years to less than five yearsFive years to less than 10 years10 years or moreProportion of brand sales from China today versus in five years12%48%28%12%1%to less than 10%10%to less than 25%25%to less than 40%40%or more3%27%40%30%TodayIn five years51%currently spend$100
22、 million USD or more on digital media in China83%plan to increase spend by 10%or more in five years9The China opportunityChinas pace of innovationGlobal marketing leaders are certainly aware of Chinas market size and growth rates.Perhaps equally important is the pace of innovation and consumers will
23、ingness to engage with brands.This suggests that brands that innovate and actively engage consumers can grow far faster in China than in other markets.World Data Bank“By 2030 the Chinese middle class will have a purchasing parity power of$14 trillion USD.”1One of the largest and fastest growing mark
24、ets2Leaping forward in digital and mobile innovation3Higher levels of brand engagement4Emerging middle and upper class5Growth of e-commerceTop five reasons why China is so important to brand and business growth10 The China opportunityeMarketer“Programmatic makes up 70%of digital media in China and i
25、s set to double in 2019.”55%Customer acquisitionTop 10 benefits of programmatic mediaProgrammatic is criticalIn a market with 829 million internet users and 610 million online shoppers,1 finding your China audience is challenging.Fifty-one percent of global marketing leaders reported that they will
26、spend$100 million USD or more on digital media in China across 2019.Whether your budget is$100,000 or$100 million USD,programmatic is the most efficient way to reach the right China audience.Global marketing leaders see programmatic media as critical to delivering revenue and engaging customers effi
27、ciently.1 CNNIC-201947%More effective media55%Increased efficiency45%Improved customer identification/profile50%Increased visibility/reach/scale44%Real-time reporting50%Increased revenue40%Cost savings48%Better customer experience40%Customer journey insights11The China opportunity46%Insights into Ch
28、inese consumer behaviors and preferences46%Insights into digital/mobile marketing trends in China43%Localized expertise on setting up a media buying program for China41%Guidance on keeping up with changes in the Chinese media landscape35%Access to local media buying partnersGlobal marketing leaders
29、top-five “wish list”to maximize Chinese mediaBrands need guidance on navigating ChinaTo advertise in China,brands have typically had to establish a local presence and identify local creative and media buying partners to help them navigate the market.Digital marketing in China typically required deep
30、 consumer and media marketplace insights and carried challenges around data accuracy,pricing,and transparency.The Trade Desks China programmatic platform removes these hurdles,allowing marketers to focus on campaign delivery and optimization.1213 A unique market and audienceMobile,social,and e-comme
31、rce firstChina is a highly unique market with extremely high levels of engagement in social media,e-commerce,and online videos.All marketing channels should take a mobile-first approach,considering that 98%of internet users are mobile.1 Short video apps such as Tik Tok,Kuaishou,and Lu Ke,are part of
32、 a relatively new format that have grown exponentially in recently years.Global marketing leaders have prioritized their channel spend for 2019 similarly,with a focus on social,commerce,and video.China app storesDomestic:2.68 million appsApple:1.81 million apps Mobile internet users:817 million11 CN
33、NIC 2019Types of media global marketing leaders plan to buy in 2019Social mediae-commerceOnline videoShort video appsDigital OOHNew appsPortals&verticalsOther mobile ads0%10%20%30%40%50%60%70%80%74%70%64%51%48%45%39%33%A unique market and audience14 A unique market and audienceMobile in app Full-scr
34、een splashes Native display Native videoVideo Splashes Pre/mid/post roll In-feed ads Video pause adsUnique formats with high engagement levelsCreative sizes and specifi cations for China can vary signifi cantly from other regions.Some best practices to ensure your creative formats scale in China inc
35、lude:1516 The Trade Desks global programmatic platformSeamless,safe,independent,global,innovative ad buyingThe Trade Desks China product is the result of the first-ever partnership between an international buying platform(DSP)and any of Chinas major media players.The platform was developed in answer
36、 to global marketing leaders need for an independent,safe,reliable,and accurately priced buying partner:The Trade Desks global programmatic platform75%of global marketing leaders believe it is very important to work with an independent ad-buying partner in China76%of gloabl marketing leaders are lik
37、ely to move their media investments to a global partner who operates in China17 The Trade Desks global programmatic platformInventory partnersThe Trade Desk is fi rst-to-market with providing marketers with programmatic access to China partners Alibaba,Baidu,iQIYI,and Tencent Marketing Solution,repr
38、esenting the majority of the Chinese internet and advertising space.Together,they represent over 2 billion monthly active users(MAUs),the majority of Chinese Digital media spend,and a market valuation of almost$2 trillion USD.Similar to the United States Amazon,Apple,Google,and Facebook*they have ea
39、ch evolved their own broad ecosystems of associated services across cloud,e-commerce,retail,ridesharing,social,video,AI,voice,and much more.Snapshot1Baidu Exchange ServiceOriginally Chinas primary search engine,now with a massive app boasting 2 billion users globally.Tencent Marketing SolutionThe wo
40、rlds most valuable social network and the worlds largest gaming company,with over 120 million paid subscribers.No.1 app store in China.iQiyiChinas No.2 entertainment app(and leading video app with 600 million MAUs).Off ers users a wide range of original and licensed video content in addition to game
41、s.89%of global marketing leaders stated it wasimportant for their DSP partner to work with major media partners in China1 Traffi c and other platform data from publishers (e.g.,Amazon,Baidu,YouTube,etc.).*None of these Chinese platforms are exact copies of their western counterparts.Comparisons are
42、provided for context only.Alibaba Group/YoukuOne of Chinas largest video platforms(Youku)with over 1.2 billion video views per day.Acquired by Alibaba in 2016.18 The Trade Desks global programmatic platform“Our partnership with The Trade Desk is our fi rst partnership with an international demand-si
43、de platform.We value The Trade Desks independence and objectivity and see this partnership as an important step in providing leading global brands access to millions of engaged consumers in China.”Andy SunGeneral Manager of Programmatic BusinessiQiyi“The three things The Trade Desk off ers are trans
44、parency,high value inventory,and third-party data.I have not seen other DSPs doing similar things.”Benson HoChief Data Strategy Offi cerTencent Marketing Solution19 The Trade Desks global programmatic platformBest-of-breed data partnersThe Trade Desks platform integrates a host of data and brand saf
45、ety partnerships for the fi rst time in the Chinese market.These partnerships highlight audience insights that ensure brand safety,prevent click-fraud,and measure viewability.All partner services are immediately available to clients of The Trade Desk,with additional partners being added throughout 2
46、019 and beyond.Fraud ProtectionBrand SafetyA major mobile ad-network in China covering over 600 million users.InMobi provides location,click,and in-app behavioral data across location,demographics,handset,media preference,and product preference.A leading ad verifi cation company in China.RTBAsia pro
47、cesses 25+billion data points daily to protect media buys in China against known and suspicious nonhuman and invalid human activities.A contextual intelligence platform with thousands of contextually relevant topics such as late-breaking news and trending themes available for marketers to target and
48、 extend their audience reach in China.A contextual intelligence platform and the global leader in brand safety.Grapeshot helps marketers and agencies confi dently avoid unsafe content that will damage brand equity.Contextual TargetingAudience TargetingA mobile-focused data management platform(DMP)wi
49、th 72 audience segments across demographics,interest,and purchase intent.Segments are built from 3.9 billion mobile profi les.A leading ad verifi cation company in China.AdBugprovides anti-fraud solutions to make China media buys more effi cient using machine learning,real-time signals and historica
50、l data to identify and block invalid traffi c.20 The Trade Desks global programmatic platformWhoever it is:You can reach your China audienceThe Trade Desk works with major data providers to provide clients with access to hundreds of segments and over 700 million active devices.The platform also empo