Digital Marketing Yearbook 2009
Transcription
Digital Marketing Yearbook 2009
ASIA PACIFIC Digital Marketing Yearbook 2009 “ imperative for marketers now is to join networks and “ The interact directly with their communities of customers online. www.asiadma.com Edited by Rachel Oliver 6ddV_eZR]cVRUZ_X 2_jeZ^VR_jhYVcV 2446DDE96H@C=5D=625:?83FD:?6DD?6HD:?AC:?E@?=:?62?5@?>@3:=6 EYVHR]]DecVVe;`fc_R]2dZRcVRTYVd2dZRdSfdZ_VddV]ZeVhYVcVeYVj]ZgVh`c\R_Ua]RjSjUV]ZgVcZ_Xf_aRcR]]V]VU _VhdR_UR_R]jdZdeYc`fXYRgRcZVej`WacZ_e`_]Z_VR_UUZXZeR]a]ReW`c^d @_]Z_VEYVHR]]DecVVe;`fc_R]5ZXZeR]?Veh`c\Z_T]fUVdR_VgVcXc`hZ_X_Veh`c\`W2dZRdaVTZWZT`WWVcZ_XdeYRe eRcXVeeYVcVXZ`_d^`deZ_W]fV_eZR]SfdZ_VddUVTZdZ`_^R\VcdZ_T]fUZ_XRdZRHD;T`^Z_UZRHD;T`^ TYZ_VdVHD;T`^766CT`^R_U>Rc\VeHReTYT`^5ZXZeR]`WWVcZ_XdZ_T]fUZ_XHD;>`SZ]VCVRUVcW`c3]RT\3VccjR_UZAY`_V R]d`T`_eZ_fVe`Xc`hRdeYVUVdZcVW`c_Vhd`_eYVX`Z_daZcVd_VheVTY_`]`XZVdViaR_UVUWf_TeZ`_R]ZejR_U V_YR_TVUUV]ZgVcjWc`^eYVh`c]Ud^`deecfdeVUd`fcTVW`cX]`SR]_VhdR_UR_R]jdZd 7Z_U`fe^`cVRS`feRUgVceZdZ_X`aa`cef_ZeZVdSjT`_eRTeZ_X?V]]ZV4YR_Re)&##)$"'%#"`cV^RZ]?V]]ZV4YR_1hd[T`^ 7`cXV_VcR]V_bfZcZVda]VRdVTR]])&##&($("#"`cV^RZ]hd[RafS]ZdYVc1U`h[`_VdT`^ F_UVcdeR_Uj`fcWRdeTYR_XZ_Xh`c]U ABOUT THE ASIA DIGITAL MARKETING ASSOCIATION The ears, eyes and voice of digital marketing in Asia The Asia Digital Marketing Association (ADMA) is the voice of, and advocate for, the digital marketing industry in Asia (excluding Japan). The ADMA is guided by senior executives in the industry and is charged with gaining consensus and providing leadership on key industry issues. The ADMA actively promotes the benefits of ❚ Why join the ADMA? Being a member gives you access: • Unified voice for the industry to promote the use of digital and the Internet (in the media and with potential customers) • Forum for standards and best practice sharing • Spokespeople to represent members and respond to criticism • Industry contacts and networking opportunities • Sponsorship opportunities to raise awareness of your brand • Discounted rates for regional events • Notification of relevant speaking opportunities • Professional digital marketing qualifications – discounted enrolment fees for members • Entry in the online Membership Directory and annual Asia Pacific Digital Marketing Yearbook • Job matching service to help you find staff using mobile and the Internet as channels to communicate with consumers as well as lobbying and public relations assistance for member companies. The ADMA is a non-profit organisation with a membership base representing online publishers/ portals, agencies, research companies, technology/ ❚ How to join the ADMA Membership fees are set low enough to encourage universal membership among industry players, and taken together provide sufficient revenues to underwrite regular activities. Other activities are funded by sponsorship (cash and in kind) and by charging admission fees for some events. Visit www.asiadma.com/membership/join and complete the online registration form. service companies and marketers/advertisers. Visit www.asiadma.com for more details. The ADMA gives heartfelt thanks all our members for their support and contributions: ADMA Patrons: ADMA Corporate members: ad:tech, Admax Network, Adobe Systems Hong Kong, AGENDA Group Asia, BBC.com, Coremetrics, draftFCB China, Dow Jones Publishing Company (Asia), Edipresse, eyeblaster, G2 Hong Kong, Grif.inter@ctive, Google Hong Kong, The Hyperfactory, ICLP, Johnson & Johnson Vision Care Asia Pacific, MRM Worldwide, NDS Asia Pacific, Nielsen Online, OgilvyOne Worldwide, Omnicom Group, Omniture, Premiere Global Services, Profero, Responsys, SCMP.com, SingTel Digital Media, Sohnar Software, TIME & Fortune, Travelzoo, Universal McCann, The Upper Storey, Wunderman, wwwins Consulting, ZUJI. And all our Individual members. asia pacific digital marketing yearbook One way to reach millions BBC.com is one of the worlds largest news websites, reaching a passionate and engaged audience of 29 million unique users* outside the UK. In Asia, BBC.com reaches 8.7 million unique users* per month excluding UK – more than twice the number of our closest competitor. BBC.com users are affluent, professional, educated and international. They are influentual opinion formers with a global mindset who lead active and cultured lives. Join the list of over 800 great brands that have successfully advertised on BBC.com since the introduction of advertising on the site in November 2007. To find out more about how you can reach your target audience on BBC.com, please contact: Sunita Rajan | VP – Sales, Asia & Australasia Work | +(65) 6296 0864 Mobile | + (65) 9836 4153 Email | [email protected] Inez Albert, Digital Sales Director, Asia Work | +(852) 2248 0060 Mobile | + (852) 9469 9540 Email | [email protected] Cindy Tan, Regional Director, Asia Work | +(65) 6296 7903 Mobile | +(65) 9836 4151 / +(65) 8100 0858 Email | [email protected] Seema Mohapatra Regional Director, South Asia Work | +(91) 22 3065 2121 Mobile | +(91) 98 2116 8167 Email | [email protected] John Williams Account Director, Australasia & Korea Work | +612 8923 4203 Mobile | +61406 420 582 Email | [email protected] * comScore, Jan-March 2009 monthly average. comScore competitive set includes AMONGSTOTHERS#..#/-s!/,.EWSs2EUTERSs",//-"%2'#/- s.94)-%3#/-s-3."##/-s#."##/-s."##/- s4)-%#/-#"3.%73#/-s.%737%%+#/-s!"#.%73 s7ALL3TREET*OURNAL Contents ❚ Asia Pacific 6 ❚ Indonesia36 ❚ Singapore 54 ❚ Australia10 ❚ Japan38 ❚ South Korea 58 ❚ China16 ❚ Malaysia 42 ❚ Taiwan 62 ❚ Hong Kong ❚ NEW ZEALAND 46 ❚ Thailand 66 ❚ THE PHILIPPINES 50 ❚ Vietnam 70 24 ❚ India30 asia pacific digital marketing yearbook It's here! The third Asia Digital Marketing Association (ADMA) Yearbook has more pages and more data and more insights than ever. It's also available without charge online at www.asiadigitalmarketingyearbook.com. We've had fantastic feedback on the usefulness of past editions from marketers, advertisers, media buyers and people throughout the digital industry. Just about every marketing director, agency executive or business executive has to develop digital strategies or give a presentation on what's happening online in the Asia Pacific region. That's where the ADMA Yearbook comes in. We've gathered a wealth of the most relevant information and insight available, some of which cannot readily be found anywhere else, along with case studies that showcase some of the most innovative and effective digital work being done now. The Yearbook covers demographics, user behaviour, online advertising, mobile, online gaming, e-commerce, and much more. Many thanks are due to all the companies that contributed data, to our editor Rachel Oliver, and to ADMA Director Kay Bayliss. 2009: Connections Triumph Over Interruption I n the past year, the development of digital marketing took some exciting new turns, reaching not only new levels of growth and penetration, but also new levels of sophistication. Marketers who started with websites, banner ads and email now have an increasingly wide choice of platforms on which to engage their target customers. Search, social media, blogs, sponsored content, mobile, email, and gaming all offer opportunities for innovation and differentiation online. Online media is increasingly gaining the trust of Asian consumers. A recent TNS survey revealed that of the top 25 most trusted forms of media, 14 were online. And increasingly, trusted online media includes user-generated content. The third most trusted overall are expert product reviews from websites, with consumer product reviews from websites at #5 and consumer opinions on blogs and message boards at #7 and #12 respectively. In the early days of digital marketing, offline advertising was used as the model: interruptive messages were placed in front of (or disrupted) the content in ways that grabbed the user's attention. Now we're seeing a truly interactive model arise, in which brands engage their consumers online, either by joining the conversation, or creating a platform for a community to gather around the brand. Some of this new online communication looks more like PR than advertising, and clearly the lines are blurring between sales promotion, CRM and brand-building. Whatever it will eventually develop into, it's exciting. It's clear that Internet users have adopted new media faster than most advertisers trying to reach them. Advertisers need to do some catching up. Although there are some definitive case studies that demonstrate the power of using social media, the ADMA 2009 Survey of the region's advertisers, marketers and agencies uncovered asia pacific digital marketing yearbook that most marketers and advertisers still predominantly use websites, online ads and email. Why these relatively conservative approaches when the Internet changes continuously and offers so many opportunities for innovation? In some cases, advertisers may be concerned about the relative lack of control over their messaging and positioning on social media platforms, and in other cases they may not yet have discovered a credible way to connect with their target customers online. In any event, there is no doubt that 2009 is the year of social media. Social media platforms have not figured out a way to make money from the huge communities they have created online, but even brands with no clear social media strategy know that they must engage by joining networks and conversations. Facebook, Twitter, Friendster, Bebo, MySpace and LinkedIn have built large-scale user bases in Asia Pacific but these global players don't dominate in every market. New patterns of usage and local behaviour are emerging across the region, with clear distinctions from country to country where consumers spend time online, and how they behave. For example, 48% of all South Koreans have a Cyworld account, and the site has nearly 18 million users, of whom 30% are in their 20s. China's 51.com has 14 million average weekly unique browsers, and 150 million Qzone users actively update their accounts at least once a month. In the Philippines more than 74% of the online population participates in social networking; Friendster has 10.7 million subscribers and Facebook has more than one million. The imperative for marketers now is to join these networks and interact directly with their communities of customers online. Rich media, banner ads, pop-up ads, sponsored content and search may continue to command the lion's share of online ad dollars, but brands must now master the art of connecting with consumers, as well as -- or in many cases instead of -- interrupting their online experience with advertising messages. Two years ago, the big news in digital marketing was the scale of the opportunity, as the number of users in Asia surpassed all other regions for the first time. Last year the dominant theme was putting the consumer back at the centre of the equation, as marketers and advertisers refocused on customers' profiles and needs, rather than the tools and technologies available to reach them. In 2009, the focus is on connecting brands and consumers, and deeply engaging with target audiences across a wide variety of platforms. Gaming too can be considered part of the social media phenomenon: in a survey more than 50% of respondents said "meeting other gamers online" was important for their overall experience, and more than 60% of users said they also kept in touch with these friends on other social networking platforms. The numbers for online gaming are big and growing. Games.com attracts nearly 200,000 unique visitors a month in Asia Pacific, each of whom spends an average 86.8 minutes on the site, and QQ.com in China draws more than 44,000 visitors monthly, each spending an average of 46.5 minutes there. Looking beyond social media, online advertising continues to become more mainstream and sophisticated, despite the recession. Yahoo! predicts Asia's annual online ad spend will eclipse western Europe's by 2010 to reach US$122 billion. According to the TNS survey, dedicated websites (53%), sponsored content (50%), pop-up ads (46%), banner ads (39%) and email (19%) are the most common types of digital media seen being used in Asia. Online branding efforts appear to be paying off, with nearly a third of users saying that the brand advertising they have seen significantly increased their interest in using the brand in question. China is number one in search, with 12.8 million searches performed in a month by nearly 150,000 searchers - that's 85 searches per searcher. Japan is the second largest search market, with 5.9 million searchers. However, Korea's searchers are most prolific, with 109 searches per searcher, Singapore not far behind with 106. Mobile continues to gain, both as a text messaging and voice call channel, but also for Internet access. Asia Pacific (ex Japan) has 97.6 million mobile online gamers, and 50% of them are in in China. There is 60% mobile phone penetration in the Philippines. Filipinos send the highest number of SMS messages per subscriber in the world. Mobile site page views grew 1120% YOY. 2008 Asia Pacificwide mobile data revenues topped US$65 billion, and an estimated 473 million handsets were sold. With usage of all elements of the online marketing mix growing and becoming more sophisticated, all the stakeholders in the digital marketing industry -- from marketers and advertisers to publishers, agencies, hardware and technology solutions providers -- have a unique opportunity in 2009 to pioneer new ways to engage consumers and build their brands and sales online. David Ketchum is Chairman, Asia Digital Marketing Association and CEO Upstream Asia The Yearbook is packed with relevant and sometimes surprising data. Here's a sample of what you'll find inside: lAsia Pacific is home to the majority of the world's Internet users, with 41% of the total l32% of Asian users say the online advertising they saw "significantly increased" their interest in using the brand lOnline advertising is expected to have compound annual growth rates of 25% from 2007 to 2011 l82% of Asia's online ad spending in 2008 was in Japan, South Korea and China lMore than 450 million consumers across the region participate in social media and Facebook's Asia Pacific visitors to the site jumped 458% between mid-2007 and mid-2008 l44% of Asia Pacific Internet users have shopped online in the last three years, and 76% intend to shop online again in the next six months lMore than half of the region's entire Internet traffic is from users making repeat visits to gaming sites, and online gaming is expected to account for 75% of the US$9.2 billion premium and paid content market by 2013 l17 trillion SMS messages originated in Asia Pacific in 2008 (74% of the world total) asia pacific digital marketing yearbook ASIA PACIFIC ❚ DEMOGR APHICS The majority of the world's Internet users live in Asia, which is now home to 41% of the world's online population, as at the beginning of 2009. Out of the one billion online visitors globally, more than 431 million of them come from the Asia Pacific region. (SOURCE: COMSCORE) Other sources put Asia's online population at a much higher number - as many as 530 million Asians could now be actively online. Asia Pacific Internet Population and Usage Internet Users Penetration Latest Data (% Population) China 298,000,000 22.4% Hong Kong 4,878,713 69.5% India 81,000,000 7.1% Indonesia 25,000,000 10.5% Japan 94,000,000 73.8% South Korea 36,794,800 76.1% Malaysia 15,868,000 62.8% Philippines 14,000,000 14.6% Singapore 3,104,900 67.4% Taiwan 15,140,000 66.1% Thailand 13,416,000 20.5% Vietnam 20,834,401 24.2% TOTAL ASIA 650,361,843 17.2% User Growth (2000-2008) 1,224.4% 113.7% 1,520.0% 1,150.0% 99.7% 93.3% 328.9% 600.0% 158.7% 141.9% 483.3% 10,317.2% 469.0% Users (% of) in Asia 45.8% 0.8% 12.5% 3.8% 14.5% 5.7% 2.4% 2.2% 0.5% 2.3% 2.1% 3.2% 100.0% (Source: InternetWorldStats December 2008) (SOURCE: DIGITAL ECONOMY FACTBOOK 2008/9) Despite "rapid increases in broadband connectivity" and the number of users coming online across the region, Asia Pacific's Internet penetration rates still average out at around 15% in comparison to 30% in the rest of the world. (SOURCE: btrax ) Asia Pacific's online penetration rate is the second lowest in the world on a regional basis, Africa being the lowest. (SOURCE: DIGITAL ECONOMY FACTBOOK 2008/9) Asian markets possess the highest percentage of households with broadband fibre connections, led by South Korea with 31.4% of its households linked up to the Internet via fibre-optic connections. (SOURCE: DIGITAL ECONOMY FACTBOOK 2008/9) asia pacific digital marketing yearbook How Long Asia Pacific Spends Online Total UniqueTotal Minutes Average Minutes Average Visits Visitors (000) (m) per Visitor per Visitor WorldWide 1,078,911 1,442,534 1,337.0 44.3 Asia Pacific 431,091 412,611 957.1 34.1 China 187,822 155,039 825.5 34.2 Japan 62,052 60,777 979.5 36.1 India 32,930 18,988 576.6 19.8 South Korea 27,685 43,923 1,586.5 49.8 Australia 11,921 13,561 1,137.5 35.3 Taiwan 11,192 10,906 974.4 32.1 Malaysia 9,033 7,441 823.7 25.9 Hong Kong 3,814 4,234 1,110.1 35.9 Singapore 2,523 3,144 1,245.9 35.5 New Zealand 2,414 2,004 830.2 29.2 Source: comScore Media Metrix; February 2009; Audience: All Persons 15+ at Home/Work Locations) ❚ USER BEHAVIOUR Social networking is big in Asia. More than 450 million consumers across the region participate in social media. (SOURCE: OGILVYONE) Asia Pacific is the biggest region in the world for social networking with 169 million unique visitors - and it's growing the fastest too at a rate of 29%. (SOURCE: DIGITAL ECONOMY FACTBOOK 2008/9) Such is the pull of social media in Asia that seven out of the world's 10 top markets that "rely most on recommendations from consumers" are in this region. (SOURCE: OGILVYONE) Social networking site Friendster has Asia to thank for its popularity - out of its 30 million monthly visitors globally, nearly 28 million of them are in the Asia Pacific region. Taiwan Malaysia Hong Kong Singapore New Zealand 618 405 199 171 135 9,735 6,207 2,773 1,617 1,500 63.5 65.2 71.8 105.6 90.1 (Source: comScore qSearch; Total Asia-Pacific Internet Audience*, *Excludes searches from public computers such as Internet cafes or access from mobile phones or PDAs; Age 15+ - Home & Work Locations; September 2008) Asia's Social Media Market Country Population Forecast InternetInternetEstimated 2008 Users 2008penetration 2008 Social Media Users China 1,330,044,605 253,000,000 19.0% 202,400,000 Hong Kong 7,018,636 4,878,713 69.5% 3,902,970 India 1,147,995,898 60,000,000 5.2% 48,000,000 Indonesia 237,512,355 25,000,000 10.5% 20,000,000 Japan 127,288,419 94,000,000 73.8% 75,200,000 South Korea 49,232,844 34,820,000 70.7% 27,856,000 Malaysia 25,274,133 14,904,000 59.0% 11,923,200 Pakistan 167,762,040 17,500,000 10.4% 14,000,000 Philippines 92,681,453 14,000,000 15.1% 11,200,000 Singapore 4,608,167 4,026,400 87.4% 3,221,120 Taiwan 22,920,946 15,400,000 67.2% 12,320,000 Thailand 65,493,298 13,416,000 20.5% 10,732,800 Vietnam 86,116,559 20,159,615 23.4% 16,127,692 Asia 3,363,949,353 571,625,328 - 456,883,782 (SOURCE: OgilvyOne) (SOURCE: TECHCRUNCH/FRIENDSTER) Bloggers in Asia vs USA Facebook's 153% visitor growth which it recorded between mid-2007 and mid-2008 was higher than any other social network in the world - and it had Asia Pacific to thank for it, the number of the region's visitors to the site jumping by 458% in that period. (SOURCE: BRANDREPUBLIC) More than half of the region's Internet traffic is down to users making repeat visits to gaming sites: 51% of Asia Pacific's online population visited gaming sites in August 2008 on average 11.5 times, each spending on average 87 minutes there. The keenest players of the lot? The South Koreans, who spent around three hours per visit. Asia 73% 73% 27% 57% 45% 9% 69% 30 $30 $120 60% 26,000 USA 57% 42% 58% 26% 56% 51% 74% 35 $80 $200 52% 18,000 (SOURCE: EMarketer; july/august 2008) ❚ ONLINE ADVERTISING (SOURCE: COMSCORE) A key motivating factor for Asian online gamers is socialising. In a survey, more than 50% of respondents said "meeting other gamers online" was important for their overall experience. And these friendships can last - more than 60% of users said they also kept in touch with these friends on other online social networking platforms. (SOURCE: IDC) Asia Pacific's Online Gaming Usage % ReachTotal Unique Average Minutes Average Visits Visitors (000) per Visitor per Visitor Asia Pacific** 51.1 199,081 86.8 11.5 China 54.9 90,292 69.8 13.0 Singapore 49.6 1,172 140.0 13.0 Australia 44.7 5,032 125.2 11.3 Taiwan 42.4 4,465 151.0 15.5 New Zealand 41.1 926 134.5 9.9 South Korea 40.5 10,715 189.6 13.0 Malaysia 40.2 3,463 130.8 11.9 Japan 39.8 22,830 76.1 10.0 Hong Kong 36.9 1,388 142.9 13.1 India 27.4 8,295 45.4 4.3 (Source: comScore World Metrix; August 2008; Total Asia-Pacific Internet Audience*, *Excludes searches from public computers such as Internet cafes or access from mobile phones or PDAs. Age 15+ - Home & Work Locations) Asia-Pacific's Search Usage Patterns Country Searches (m) Asia Pacific 28,967 China 12,758 Japan 5,879 Korea 2,303 India 1,169 Australia 977 % of respondents Male Ages 18-34 Ages 35+ Single Employed full-time Household income >US$75,000 College graduate Average blogging tenure (months) Median annual investment Median annual revenues % of blogs with advertising Average monthly unique visitors Unique Searchers (000) 341,850 149,219 61,130 21,072 22,931 8,523 Searches Per Searcher 84.7 85.5 96.2 109.3 51.0 114.6 Online advertising spending in Asia (ex-Japan) will experience "dramatic growth" going forward, with compound annual growth rates of 25.4% over the 2007-2011 period. (SOURCE: IDC) Online ads may be informing customers in Asia Pacific about their choices - but it doesn't means they are persuading them to buy anything. More than 60% of users in one survey said they saw online ads as "informative" yet TV ads were "more likely to make them want to buy the product that was being advertised". (SOURCE: IDC) If advertisers do want to increase their persuasive abilities online, the best thing to do is make them laugh. According to one survey, nearly 70% of Asian online users watch online video ads, with 60% of users saying they would be "highly interested" if that ad was funny. (SOURCE: IDC) Together, Japan, South Korea and China took up nearly 82% of Asia's online ad spending in 2008. (SOURCE: SOZON) Asia's online ad spend should eclipse western Europe's by 2010 to reach US$122 billion. (SOURCE: YAHOO!) asia pacific digital marketing yearbook Online ad spend in south east Asia alone will net almost US$200 million by 2010, led mostly by increases in display advertising activities. And three markets - Vietnam, Indonesia and the Philippines - will be responsible for as much as 90% of the south east Asia region's market growth over the next five years. ❚ MOBILE An estimated 472.5 million mobile phones were sold in Asia in 2008, a 17.9% increase on 2007. (SOURCE: MARKETINGVOX) (SOURCE: MARKETING-INTERACTIVE/NIELSEN/YAHOO!) Online branding efforts appear to be paying off in the region, with nearly one third (32%) of users around Asia from Hong Kong, China, Taiwan, Singapore, Malaysia and Thailand - saying the brand advertising they have seen across all forms of digital media "significantly increased" their interest in using the brand in question. (SOURCE: TNS/MEDIA) By 2013 more than 50% of the world's projected 5.63 billion mobile connections will come from the Asia Pacific region. Not surprisingly the two markets leading the charge will be China and India. (SOURCE: TRENDSNIFF/OVUM) Excluding Japan, Asia now has around 97.6 million mobile online gamers. More than half of them are in China. (SOURCE: IDC) Nearly half - 45% - of Asia Pacific's advertisers and marketers surveyed said they used online games as part of their digital marketing strategies in 2008. Mobile data revenues in Asia Pacific in 2008 came to US$65.1 billion - in 2003 they stood at just US$21.9 billion. (SOURCE: adma digital marketing survey 2008) (SOURCE: FROST & SULLIVAN/ZDNETASIA) So much for the financial crisis - 59% of Asia Pacific advertisers surveyed actually increased their digital marketing budgets in 2008 while only 10% made cutbacks. On a regional basis, Asia Pacific is the largest mobile gaming market on earth, generating an estimated US$2.3 billion in end-user spending in 2008, which is estimated to rise to US$3.4 billion in 2011. (SOURCE: adma digital marketing survey 2008) (SOURCE: GARTNER) Internet Advertising Revenues Forecast by Region Region North America Western Europe Asia Pacific Central & Eastern Europe Latin America Rest of World Worldwide 2007 ($m) 188,415 119,976 102,807 31,563 26,329 16,490 485,580 2008 *($m) 194,990 124,420 111,534 37,041 30,924 18,606 517,515 2010 *($m) 207,570 135,781 127,916 48,424 38,920 25,938 584,550 (Source: ZenithOptimedia *Projections) Types of Digital Media Seen Being Used in Asia Media % of users Dedicated websites 53% Sponsored content 50% Pop-up ads 46% Banner ads 39% Email 29% Mobile phones 19% Ads in video games 6% Ads in virtual worlds 4% Other 11% (Source: TNS/Media; represents China, Hong Kong, Malaysia, Singapore, Taiwan and Thailand) Trust in Media Channels in Asia Media channel % who trust the channel completely Recommendations from friends and family 54% Independent reviews in publications 25% Expert product review from websites 28% Product labels on packaging 27% Consumer product review from websites 22% Manufacturers/brands websites 22% Consumer opinion in blogs 18% TV ads 18% Products/brands that appear in movies or within TV programmes 19% Magazine ads 16% Newspaper ads 16% Consumer opinion on message boards 15% Email newsletters 15% Consumer opinion in chat rooms 15% Ads on posters, buses/bus shelters 13% Ads at the cinema before the movie starts 14% Radio ads 12% Recommendations from other consumers who you do not personally know 11% Ads that appear on search engines 12% Banner ads on websites 11% Ads that have been sent to you by email 9% Pop-up or pop-under web ads 7% Ads in virtual worlds 7% Ads via mobile SMS 6% Ads in video games 6% (SOURCE: TNS/Media; represents China, Hong Kong, Malaysia, Singapore, Taiwan and Thailand) asia pacific digital marketing yearbook In 2008, 1.7 trillion out of an estimated 2.3 trillion mobile SMS messages sent around the world came from Asia. (SOURCE: DIGITAL ECONOMY FACTBOOK 2008/9) By 2012 more than US$880 million of Asia Pacific's mobile music revenues will come from ad-supported business models. (SOURCE: EMARKETER) By the end of 2008 there were an estimated 91.4 million mobile social networking users in the world - 50% of them living in the Asia Pacific region. (SOURCE: INFORMA TELECOMS & MEDIA) Asia Pacific's 3G population is set to explode. The region was home to an estimated 158.4 million 3G subscribers in 2008. By 2013 that figure could mushroom to 564 million. (SOURCE: INTELLASIA/FROST & SULLIVAN) Mobile TV revenues in Asia Pacific (ex Japan) are anticipated to reach US$1.88 billion by 2013, a dramatic increase from the US$440 million earned in 2007. (SOURCE: EMARKETER/FROST & SULLIVAN) Mobile Data Revenues by Region Region Mobile data % of total mobile Monthly mobile revenues (m)revenuesdata ARPU Asia Pacific $20,272.57 24.57% $4.74 Western Europe $13,065.12 21.13% $7.92 North America $8,636.30 19.76% $10.48 Eastern Europe $2,866.93 15.70% $2.45 Latin America $2,384.20 13.02% $1.84 Middle East $927.63 8.21% $1.73 Africa $881.74 6.62% $0.93 Total $49,034.48 19.68% $5.07 (SOURCE: Emarketer; Q1 2008) Mobile Advertising Spending in Asia Pacific 2007-2012 Mobile message ads Mobile display ads Mobile search ads Total 2007 ($m) 700 12 26 738 2008 ($m) 1,229 36 72 1,336 2009 ($m) 1,827 91 190 2,108 2010 ($m) 3,100 182 373 3,655 Asia Pacific Online Shopping Revenues 2011 ($m) 4,309 293 732 5,344 2012 ($m) 5,320 397 1,160 6,877 (SOURCE: EMarketer) Country Australia China Hong Kong India Japan South Korea Singapore Thailand 2007 (US$bn) 27.2 297.8 5.5 70.8 168.9 82 4.5 5.9 2010 (US$bn) 37.3 1415.7 10 734.3 185.3 114.7 6.6 20.8 (SOURCE: MasterCard Worldwide) Mobile Music Spending in Asia Pacific, by Format, 2007-2012 2007 2008 (m) (m) Mastertones, ringback tones and other* $654 $843 Full-track downloads $535 $747 Total mobile music spending $1,189 $1,590 of which: ad-supported mobile music $42 $80 2009 (m) $1,110 $1,067 $2,177 $142 2010 (m) $1,579 $1,644 $3,223 $258 2011 (m) $2,311 $2,606 $4,918 $566 2012 (m) $3,450 $4,216 $7,666 $882 (SOURCE: EMarketer; excludes monophonic and polyphonic ringtones; includes China, India, Japan, South Korea; *other includes music videos and streams) ❚ E-COMMERCE Online shopping throughout Asia is a "growing trend", with 44% of users having shopped online for the past three years; and 63% of respondents saying they now shop online "at least occasionally". Over a three month period, regional shoppers bought an average of 3.1 purchases online, spending on average $612.40 on their purchases over that period. More than three-quarters of them (76%) intend to shop online again in the next 6 months. Asia Pacific Online Shopping Market Outlook Country Australia China Hong Kong India Japan South Korea Singapore Thailand Online Shopping Penetration Rate 2007 (%) 2010 (%) 67 72.1 70 74.8 50 62.5 47 59.2 83 83.1 83 88.9 60 67.7 43 57.5 Online Shopping Population 2007 (m) 2010 (m) 10.4 12 147.1 480.4 2.4 3.5 28.1 203.1 72.7 75.1 29 33 1.5 1.8 3.6 10.5 (SOURCE: MasterCard Worldwide) ❚ CASE STUDY (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) In general, online shopping seems to be a pleasurable experience for Asia's consumers, with 71% finding it convenient; 66% finding it easy; and 62% of users finding it simpler than catalogue or telephone shopping. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Price and security matter to online shoppers across Asia. A sizeable 87% of shoppers cite secure payment facilities as an important factor affecting their online purchasing decisions, with 87% also citing price and 85% noting convenient payment methods. Equally, for those who are less keen to shop online, the key reason is security again, with 65% of online shoppers across the region fearing online transactions are "unsafe". And when asked how online shopping can be improved, almost three quarters of the region's online consumers - 74% - said they "wanted to see enhanced payment security". (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Asia Pacific's (ex Japan) paid online content market was expected to grow by 21% in 2008 from 2007 to reach a market size of US$4.67 billion. By the end of 2013 that number is expected to grow to US$9.2 billion. The key driver behind this growth is online gaming, which is expected to represent 75.1% of all premium or paid content revenues in 2013, representing US$6.9 billion. (SOURCE: FROST & SULLIVAN) Client: AirAsia Agency: Yahoo! Mobile Campaign: AirAsia brand building campaign Objective: AirAsia wanted to increase awareness of the company and its promotions throughout the region. Strategy: Encourage interaction and allow users to immerse themselves with the AirAsia brand. Evoke interest in AirAsia's "Sleepless in 3 cities" and "Beautiful island getaways" campaigns. Details: Partner with Yahoo! Mobile to help drive traffic to the AirAsia mobile website by placing ad banners on the Yahoo! Mobile homepage, Yahoo! Mail, Yahoo! Messenger and Yahoo! oneSearch. Engage users with a rich mobile experience on the AirAsia mobile website. Results: • AirAsia became the first-ever company on Yahoo! mobile in Malaysia. • In just 28 days AirAsia garnered 6,091,490 impressions on mobile phones across Malaysia, Singapore, Thailand, Indonesia, Philippines, Taiwan and Hong Kong. • 108,405 clicks were obtained (CTR of 1.78%) from mobile users. • Average CPC on market value was $0.56. asia pacific digital marketing yearbook AUSTRALIA Uluru (Ayer's Rock) in the Australian Outback ❚ DEMOGR APHICS Nearly three quarters (73%) of Australian homes are now connected to the Internet. At the end of June 2008 there were 6.21 million active Internet households in the country. (SOURCE: ABS/ACMA) Non dial-up (b) ISDN/other DSL Fixed wireless Mobile wireless Satellite Cable All non dial-up connections Total access connections 19 4,208 164 1,298 80 916 6,685 7,996 Download Speeds Broadband's popularity surged in Australia in 2008, with household penetration rates rising to 97% last year, up from 84% in 2007. Speed Less than 256kbps Broadband 256kbps to less than 512kbps 512kbps to less than 1.5Mbps 1.5Mbps to less than 8Mbps 8Mbps to less than 24Mbps 24Mbps or greater Total broadband (256kbps+) Total download speeds (NIELSEN ONLINE) You can tell a lot about a person by their Internet connection it appears - Australians with post-graduate degrees are 83% more likely to have broadband access than those without tertiary qualifications. '000 1,319 1,458 1,181 2,012 1,653 373 6,678 7,996 (SOURCE: abs; q4 2008) (SOURCE: ABS/ACMA) The Internet also appears to be the domain of the wealthy - households with an income of more than AU$2,000 or more a week are three times more likely to have broadband than those with less than AU$600 per week. Indigenous households are around half as likely to have broadband. (SOURCE: ABS/ACMA) ❚ USER BEHAVIOUR Australians now spend more time consuming media and this is largely thanks to the Internet: Australians were spending 16.1 hours a week online in 2008, up from 13.7 hours in 2007. (SOURCE: NIELSEN ONLINE) How Australians Connect Connection Dial-up Analog ISDN/other All dial-up connections 10 asia pacific digital marketing yearbook '000 1,298 13 1,311 The average Australian spends one and a half hours of their leisure time online every day. (SOURCE: TNS) Australian men in general spend more time online than their female counterparts - amongst heavy Internet users 62% are male and 48% are female. (SOURCE: ABS/ACMA) More media consumption means more multi-tasking: 61% of online users watch TV while they are online and 50% use the Internet while they listen to the radio. For all users who do multi-task, the Internet is "most commonly cited as the primary focus". Airline ticket purchase Bill payment Online social networking (e.g. Facebook, MySpace, LinkedIn) Directories (Yellow/WhitePages) Submitting forms or information to government websites Voice over IP/Internet telephony Accommodation bookings Adult services/websites Local/community information Gambling Instant Messaging Health and medicine sites Education/study sites 45% 68% 27% 60% 29% 9% 39% 10% 25% 10% 39% 31% 29% 35% 58% 18% 52% 22% 2% 32% 3% 18% 3% 33% 25% 35% (SOURCE: ACMA/Nielsen Online) (SOURCE: NIELSEN ONLINE) Australian Online Activities by Gender VoIP's growth potential in Australia is such that now nearly half (47%) of all ISPs offer VoIP as part of their bundled broadband packages. ActivityFemale Adult services/websites 3% Downloading Audio 21% Downloading Video 15% News, sports or weather updates 67% Streaming Video 6% Gambling 6% Making payments for government services 17% Streaming Audio 6% Auctions 34% Maps/directions 60% Health & medicine sites 32% Education/study sites 31% (SOURCE: AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY) (SOURCE: ACMA/Nielsen Online) Australians are high adopters of social networking sites 65% of online users in the country use them. Activities of Australian Gamers vs Non-Gamers More Australians are using the Internet to make voice calls, with traffic for Skype and other types of voice over Internet protocol (VoIP) services increasing by 27% in the year ending April 2008. (SOURCE: AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY) (SOURCE: IBM INSTITUTE FOR BUSINESS VALUE) The Internet is now "the preferred medium for entertainment and leisure" in Australian homes. In a survey of media habits of Australian gamers, 87% of them ranked using the Internet first as their preferred media activity ahead of watching TV, watching DVDs, reading books, newspapers or magazines and listening to music. (SOURCE: IEAA) Perhaps because of their preference for the Internet as a leisure activity, gamers are "more likely than non-gamers to use newer online services": 23% of gamers blog compared to 11% of non-gamers; 51% of gamers engage in social networking against 37% of non-gamers; and 35% of gamers download TV shows/movies compared to 18% of non-gamers. online Activity Self-publishing/Blogging Downloading Computer or Video Games Downloading TV Shows or Movies Other Voice Over Internet Telephone Playing Computer or Video Games Social Networking Watching Streaming Media Chatting Downloading Music Study Work Booking Travel/Holidays Shopping/Banking/Paying Bills Reading the News Product Information Browsing/Surfing Email % of Non-Gamers 11% 8% 18% 32% 33% 0% 37% 39% 44% 41% 56% 66% 86% 90% 90% 93% 94% 99% Male 20% 35% 28% 79% 15% 14% 24% 13% 41% 65% 27% 25% % of Gamers 23% 43% 35% 32% 33% 64% 51% 60% 57% 63% 62% 70% 81% 91% 90% 95% 97% 100% (SOURCE: IEAA) ❚ ONLINE ADVERTISING (SOURCE: IEAA) Awareness of blogging in Australia is high, with 93% of Australians aware of them, yet only 40% access them and only 13% contribute to them. Expenditure on online advertising in Australia in 2008 came to a sizeable $1.7 billion, representing a 27.1% increase on 2007, or an additional AU$364.25 million. (SOURCE: IAB/PRICEWATERHOUSECOOPERS) (SOURCE: TNS) Australian online users rate the Internet as their most trusted source of information (27%), above newspapers (20%) or the television (17%). Of the AU$1.7 billion of Australia's online ad expenditure, AU$465 million was spent on display advertising; $439 million on classified advertising; and $807 million on search and directories. (SOURCE: NIELSEN ONLINE) (SOURCE: IAB/PRICEWATERHOUSECOOPERS) Australian Online Activities by Internet Connection Activity Banking Maps/directions News, sports or weather updates Auctions Making payments for government services Subscribe/sign up to email newsletters Online radio Streaming video Streaming audio Reading blogs Downloading video Broadband 75% 64% 73% 39% 21% 37% 13% 11% 10% 17% 22% Dial up 53% 47% 58% 25% 8% 25% 2% 0% 0% 7% 12% Behind the increase in online ad spending in Australian has been strong annual increases across all categories: a 30% increase in search and directories; a 27% increase in general display advertising; and a 23% increase in classified ads. (SOURCE: IAB/PRICEWATERHOUSECOOPERS) Most online Australians seem happy with ad-supported online video content, with 75% of them saying they would watch ads either before or after quality, free content. The asia pacific digital marketing yearbook 11 remaining 25% of them however dislike ads so much that they would actually pay to avoid advertising messages. (SOURCE: IBM INSTITUTE FOR BUSINESS VALUE) Australians are split straight down the middle when it comes to how they feel about sharing information about themselves with advertisers in exchange for something of value - 50% of that said they were willing to do this. (SOURCE: IBM INSTITUTE FOR BUSINESS VALUE) Australians are becoming "less tolerant" of advertising across social media, with 38% of users saying they considered advertising "an intrusion", compared to 29% who said the same in 2007. Equally while 51% said they didn't mind advertising in 2007, a lower number - 47% now say that is the case. Australia's Top Online Gaming Sites Site WildTangent Network MINICLIP.COM MSN Games ADDICTINGGAMES.COM Disney Games % Reach 6.9% 6.3% 4.6% 3.3% 3.0% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Australia Home/ Work Locations) Australia's Top Technology News Sites NetShelter Technology Media CNET About.com Technology Network ZDNet Bestofmedia Group GRAYSONLINE.COM.AU Comment Ca Marche WIRED.COM Scientific American Network SLASHDOT.ORG % Reach 26.8% 22.9% 5.8% 3.3% 2.9% 2.5% 2.4% 2.4% 2.2% 2.2% (SOURCE: NIELSEN ONLINE) (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Australia Home/ Work Locations; heavy Internet users) Member community sites - including blogs and social networking sites - now reach 59% of Australian online users, compared to 55% in 2007. Australia's Top Entertainment Sites (SOURCE: NIELSEN ONLINE) Australia's Top Online Ad Spend Categories in 2008 Category Finance Communications Motor Vehicles Travel/Accommodation Media Retail Entertainment & Leisure Services Insurance Computers Total for all Others not in Top 10 Total Ad Spend estimates for 2008 Online Display AU$m 85.6 65.2 56.9 35.4 25.8 21.9 19.7 19.3 18.4 17.7 All Media Share % AU$m 14.1 606.3 18.0 362.2 5.1 1,118.5 6.7 525.3 8.1 319.8 1.1 2,084.3 2.6 771.0 7.6 254.6 6.6 278.8 20.9 84.6 84.1 11.2 112.5 450 4.5 10,063 (SOURCE: Nielsen AIS Australia) YOUTUBE.COM iTunes Software (App) CBS Interactive Viacom Digital Gorilla Nation MSN Video IMDB.COM ARTISTdirect Network MySpace Music Break Media % Reach 74.1% 45.1% 44.1% 27.4% 23.9% 23.3% 23.2% 20.1% 19.4% 17.6% (SOURCE: COMSCORE SEGMENT METRIX; feb 2009; Audience: All Persons 15+ at Australia Home/Work Locations; heavy Internet users) Online Advertising Expenditure - Total Spend by Category by Period (AU$M) 12 months General Classifieds ended Display December 2008 $464.5 $439.2 December 2007 $367.0 $356.7 December 2006 $303.0 $299.0 December 2005 $194.0 $206.0 Search and % Year/ Year Directories Total Growth $806.2 $1,710.2 27% $622.2 $1,346.0 34% $399.0 $1,001.0 61% $220.0 $620.0 60% (SOURCE: IAB/PRICEWATERHOUSECOOPERS) Online Advertising Expenditure by Industry Australia's Top 10 Sites Total Unique Visitors (000) Google Sites 9,708 Microsoft Sites 9,071 FACEBOOK.COM 5,331 Yahoo! Sites 5,254 eBay 4,810 Fox Interactive Media 4,218 News Interactive Pty Limited 3,992 Telstra Corporation Limited 3,877 Wikimedia Foundation Sites 3,731 Apple Inc. 3,624 % ReachTotal Minutes (MM) 81.4% 76.1% 44.7% 44.1% 40.3% 35.4% 33.5% 32.5% 31.3% 30.4% 1,220 3,931 758 370 340 565 186 101 53 24 (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Australia Home/ Work Locations) Australia's Top Online Retail Sites Amazon Sites Apple.com Worldwide Sites Shopping.com Sites Coles Group Woolworths AmericanGreetings Property ninemsn Shopping Ticketek DEALSDIRECT.COM.AU GETPRICE.COM.AU % Reach 38.9% 26.2% 17.0% 16.0% 12.6% 7.7% 7.3% 7.2% 7.0% 6.9% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Australia Home/ Work Locations; heavy Internet users) Advertiser Industry Category Finance Computers & Communications Motor Vehicles Travel/Accommodation Entertainment & Leisure Media FMCG Real Estate Retail Insurance Health/Beauty/Pharmaceuticals Government Other Recruitment Alcoholic Beverages Education & Learning Home Products & Services Community/Public Service Office & Business Equipment 2008 20.82% 15.13% 14.94% 6.30% 7.18% 4.00% 4.20% 2.91% 3.31% 3.41% 4.04% 2.93% 4.04% 1.84% 1.28% 1.60% 0.76% 0.88% 0.43% 2006 23.15% 16.96% 14.73% 6.72% 6.13% 5.09% 3.33% 2.53% 3.47% 2.00% 2.65% 2.78% 2.90% 3.69% 0.74% 1.03% 0.87% 0.85% 0.38% (SOURCE: IAB/PwC) ❚ MOBILE Mobile phone revenues in Australia increased by 6.9% in the 2007-08 period generating AU$11 billion in revenues. (SOURCE: AUSTRALIAN COMMUNICA TIONS AND MEDIA AUTHORITY) 12 asia pacific digital marketing yearbook 2007 21.31% 16.58% 14.47% 6.93% 6.15% 4.33% 4.66% 2.37% 3.10% 3.70% 3.18% 3.47% 4.01% 1.81% 1.15% 1.17% 0.72% 0.62% 0.27% Mobile phone penetration rates remain high in Australia with 83% of adults using a mobile phone service. Other sources place it much higher, as high as 108%. (SOURCE: AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY/BUSINESS MONITOR) Looking ahead, Australians want more of the same, with "the most popular requests for future mobile content" being digital music downloads (30%), games (27%) and wallpapers (25%). (SOURCE: AiMiA) By 2013 it is estimated there will be more than 25.8 million subscribers in Australia, representing a penetration rate of 117.4%. (SOURCE: BUSINESS MONITOR) Nearly all Australian mobile phone user (97% of them) use their mobile for more than just making phone calls. Of those, 61% use their phones for information services; 57% for "entertainment purposes"; 99% for "communication type services"; while 31% used their phone to make purchases. (SOURCE: MNET/TELECOMPAPER) Nearly a third of Australians (31%) have now gone online via their mobiles, on average doing this 1.9 times a week. (SOURCE: MYSPACE.COM/SWEENEY RESEARCH) The key types of information Australian mobile Internet users access are news (53%), weather (50%) and sport (34%). Compared to last year's data the greatest growth in the type of information accessed has been maps (347% increase), restaurant/cafe guides (174%) and TV listings (93%). (SOURCE: AiMiA) For mobile users who don't use their phones for anything other than voice or SMS, 10% of them say they do this because they "don't know what it does"; 26% meanwhile say they "don't get any value out of it"; 10% don't know how to connect to the Internet; 7% don't know how to access content when connected; and a sizeable 60% of users just "don't care". The cost of using mobile data services is proving a deterrent for Australian mobile phone users. A sizeable 69% of mobile users take photos with their phone, costing them nothing, while only 39% forward them on to friends, a service which they need to pay for. Equally, while 39% of mobile users have gone down the 3G route, only 27% of those people have used their phones to go online. (SOURCE: AiMiA) (SOURCE: AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY) (SOURCE: AiMiA) Mobile Internet activity is on the increase in Australia between September and December 2008, the number of page views across mobile Internet sites increased by 17.3%, representing a compound annual growth rate of 89.3%. Half of those who share their content tend to do it once a month or more. And users aged under 25 are more likely to create content to share with other users. (SOURCE: AiMiA) The two main methods Australians use to share content are MMS (63% of users) and Bluetooth (61%). For Australian mobile users, SMS is now as much of a "key expenditure" each month as voice services with 84% of users in each category saying this was the case, followed by MMS (22%), buying content (9%) and email (7%). (SOURCE: AiMiA) (SOURCE: AiMiA) More than a third (36%) of Australian mobile phone users have purchased and/or subscribed to information services via their mobiles in the past 12 months, while 33% had purchased mobile content. More than 50% of them became aware of new mobile content via the Internet. (SOURCE: AiMiA) Nearly half (48%) of mobile users bought content online via their PC; 17% bought it from their mobile carrier's portal; while 12% bought it from their mobile phone menu. (SOURCE: AiMiA) The most popular types of content purchased by Australian mobile users are games (43%), true tones (42%) and wallpapers (33%), the first two items having grown significantly in popularity in the past two years - the popularity of true tones growing by 173% and games by 171%. The number of mobile users purchasing digital music downloads has jumped by 113% over the past two years. (SOURCE: AiMiA) For mobile users that share their mobile content, by far and away the most popular type of content is photos with 96% of users saying they share this, compared to 41% who share videos; 32% who share music; and just 3% that share blog posts. (SOURCE: AiMiA) Community Services Used by Australian Mobile Users Service MSN Messenger YouTube Facebook MySpace Yahoo! Messenger Skype Google Talk FlickR Linked In Chat Rooms RSS Feed Reader Apple iChat AOL Messenger CyWorld % oF Respondents Via PC Via Mobile 57% 8% 46% 2% 45% 5% 28% 3% 23% 2% 22% 2% 12% 2% 10% 1% 7% 1% 7% 1% 7% 2% 2%n/a 2% <1% <1% <1% (SOURCE: AiMiA) Australians' Usage of Mobile Devices Technology Camera MMS Mobile Internet Bluetooth Video Recorder MP3 Player Video Calls Document Reader GPS % of device % of device enabledused 82% 69% 66% 39% 60% 27% 57% 36% 47% 25% 40% 23% 37% 10% 16% 5% 10% 4% (SOURCE: Nielsen Online/ACMA) asia pacific digital marketing yearbook 13 and when? Relevant, timely email communications help your customers feel recognised, connected and valued. Epsilon International offers the industry’s most robust and powerful email platform and combines it with comprehensive agency services to help assure every interaction builds your relationship, results and marketing ROI. 14 asia pacific digital marketing yearbook Content Australian Mobile Users Purchase Content Games True Tones Wallpapers Poly Tones SMS alerts Screensavers Digital Music Download Video Sound FX Greeting Cards Mono Tones Logos % of Respondents* 43% 42% 33% 30% 19% 15% 14% 7% 5% 3% 3% 2% (SOURCE: AIMiA; * as % of those that purchased content) ❚ E-COMMERCE E-commerce has now become a prevalent activity amongst Australian online users - 80% of them now shop online. (SOURCE: THE NIELSEN COMPANY) Communications equipment (e.g. mobile phone, fax, pager) Shares or financial information Supermarket shopping Alcohol (e.g. wine, beer, spirits) Adult entertainment Cannot say 4% 4% 3% 2% 2% 1% (SOURCE: ACMA/Roy Morgan; Items directly bought online in the previous three months, January to March 2008) Where Australians Shop Online Online retailer eBay Dealsdirect.com.au Virgin Blue Ticketek Amazon QANTAS Jetstar iTunes (Music) Ticketmaster7 Flight Centre Wotif Dstore Doubleday Books OO.com.au ezyDVD % of users 56% 23% 15% 12% 11% 12% 12% 6% 6% 6% 7% 5% 4% 7% 5% (SOURCE: The Nielsen Company; 1H 2008) When Australians shop online 37% of them choose online payment system PayPal rather than Visa (22%) as their preferred payment method. ❚ CASE STUDY (SOURCE: THE NIELSEN COMPANY) Carrying on a trend from previous years, when Australians shop online, it is mainly to book their travel arrangements, with 37% of users booking airline tickets and 31% booking accommodation. The next popular shopping item is book purchases, with 29% of users typically making these purchases. (SOURCE: THE NIELSEN COMPANY) When it comes to the online retailer who attracts the most Australian shoppers, there is one "clear market leader" - eBay, with 56% of online shoppers having bought something from the site. (SOURCE: THE NIELSEN COMPANY) Australians spend on average half that of the Americans online, spending on average US$37.86 per order against US$77.94 in the U.S. (SOURCE: EMARKETER) Australia's B2C E-Commerce Sales: 2007-2011 Year 2007 2008 2009 2010 2011 Sales (AU$ billion) $18.1 (US$13.6) $24.5 (US$20.4) $30.6 (US$26.4) $37.3 (US$28.7) $44.8 (US$31.1) % change from previous year 45% 35% 25% 22% 20% (SOURCE: EMarketer) What Australians Buy Online Items bought online % who bought a product in this category within last 3 months Travel (tickets/accommodation) 28% Other 17% DVDs/videos 16% Books/magazines/newspapers 16% Gifts 15% None in the last three months 15% Toys or games 13% Computer software 13% Other clothing/shoes 13% Other entertainment (e.g. shows, events) 13% Music to download 12% Sports equipment/clothing 10% CDs/tapes 9% Computer hardware 9% Client: Hasbro Transformers (Australia) Agency: OMD Campaign: Create the Transformer Hero of your Dreams Objective: To establish a wholly unique integrated campaign enabling children to have direct interaction with the Transformers brand and products. Strategy: Capitalise on Cartoon Network's popularity among boys aged five to 12 by driving brand awareness and interaction through an integrated on-air, online and on the ground promotion. Details: Cartoon Network developed a promotional microsite which included a drag and drop interaction that allowed children to design their very own Transformer. The campaign ran across three weeks on the Cartoon Network Australia site, and was supported by additional advertising banners linking to the micro-site and on-air advertising. A panel of Cartoon Network and Hasbro judges chose five of the best submissions, and the winners were given the opportunity to meet Hasbro Transformer artist Eric Seibenhaler in person at participating Kmart Stores. Seibenhaler presented each of the winners a personalised Transformer illustration based on their designs. Results: • More than 4,000 children participated in the promotion. • The promotion generated over 45,000 page views over the three-week campaign period. • Over a half million impressions were booked. asia pacific digital marketing yearbook 15 CHINA The Great Wall of China ❚ DEMOGR APHICS In terms of unique visitors, China is the largest Internet market on earth, representing 18% of the world's online population. China is home to the highest number of broadband users in the world - 270 million people, representing 90.6% of all Chinese online users, and an increase of 100 million new broadband users from 2007. (SOURCE: CNNIC) (SOURCE: COMSCORE) China currently is home to around 253 million Internet users overall, an online population growth of 1,024.4% from 2000. (SOURCE: BTRAX) That number could be higher however - as high as 298 million users, representing an annual growth rate of 41.9%. (SOURCE: CNNIC) There were 84.76 million households with Internet connections in China in 2008. (SOURCE: BTRAX) In terms of gender, China's online population is pretty evenly balanced with 52.5% of users being male, 47.5% female. The number of Chinese women going online has increased from last year when only 42.8% of online users were female. (SOURCE: CHINAInternetWATCH.COM/CNNIC) And that number could mushroom to 389 million Internet users in 2009. (SOURCE: BDA) The most prolific Internet users in China are teenagers 35.2% of the online population are aged between 11 and 19 years old. More than two thirds (68.6%) of Chinese online users are below the age of 30. (SOURCE: CHINAInternetWATCH.COM/CNNIC) (SOURCE: TRENDSSPOTTING) One third of all Chinese Internet users (33.2%) are students. Despite the large numbers of Internet users in China, Internet penetration rates are still proportionately low ranging anywhere from 15.9% to 22.6% depending on what source you believe. That being said, on the higher side, that figure of 22.6% is above the world average level of 21.9%. (SOURCE: CNNIC) (SOURCE: MASTERCARD WORLDWIDE INSIGHTS/CNNIC) Time Spent Online Per Week Overall time spent onlineTime spent per week (hours) Less than a year 12.7 1-2 years 12.4 2-4 years 13.8 4-6 years 16.2 6-8 years 19.9 More than 8 years 26.4 (SOURCE: CNNIC) 16 asia pacific digital marketing yearbook China's Internet Users 2008 Age Under 10 Age 10-19 Age 20-29 Age 30-39 Age 40-49 Age 50-59 Age 60 and above % of users 0.4% 35.2% 31.5% 17.6% 9.6% 4.2% 1.5% Education Primary school/below Junior middle Senior middle/technical school College Master's degree/above 5.4% 28% 39.4% 12.2% 1% Profession Others Unemployed Retirees Agricultural, forestry, husbandry, fishery labourers Freelancers Self-employed Industry/service industry workers Rural migrant workers Technical professionals Enterprise staff Managers Party/government/institute employees Students 0.5% 5.5% 2% 2.3% 6.4% 7.3% 2% 2.6% 8.7% 15% 4.5% 10.3% 33.2% Income (Yuan) per month Above 8,000 5,001-8,000 3,001-5,000 2,001-3,000 1,501-2,000 1,001-1,500 501-1,000 Under 500 No income 1.9% 2.9% 8% 13.7% 13.8% 16% 16.2% 26% 1.5% Places of access Home Internet cafe Office Campus Public area Others Access equipment Desktops Laptops Mobile phones PDA 78.4% 42.4% 20.7% 11.3% 2.7% 1.3% 89.4% 27.8% 39.5% 1.4% (SOURCE: CNNIC Jan 2009) is discovered through social connections. And 94.1% of this content is shared via instant messaging tools like QQ and MSN. (SOURCE: CASBAA) Chinese online users prioritise the Internet over TV as their main source of entertainment, with more than 80% of young Chinese saying they "placed the Web as their primary source of entertainment". (SOURCE: CASBAA/SINA/CHINA YOUTH DAILY) Blogging is picking up in China - 107 million Chinese online users say they "use blogs", representing 42.3% of the overall Internet user population. (SOURCE: OGILVYONE) More Chinese actually have become bonafide bloggers themselves however - as much as 162 million now consider themselves bloggers. (SOURCE: CHINAInternetWATCH.COM/CNNIC) Chinese broadband users love to express themselves online, with more than nine out of 10 'broadbanders' contributing "at least one kind of content" online every month. (SOURCE: NETPOP) Perhaps for this reason eight out of 10 'broadbanders' see the Internet as "liberating, efficient, fulfilling, fun and creative." (SOURCE: NETPOP) Of all China's Internet users, almost all of them read news online - 234 million of them are online news users. (SOURCE: CHINAInternetWATCH.COM/CNNIC) There might be a lot of news out there that the vast majority of Chinese Internet users are reading but a lot of them appear to feel wary of it: 70% of them think that "at best only half the information retrieved on the Internet is reliable". (SOURCE: BDA/WORLD Internet PROJECT) China was home to an estimated 202.4 million social media users in 2008. ❚ USER BEHAVIOUR Chinese online users are spending more of their time online, which is on average 16.6 hours per week. (SOURCE: BDA) (SOURCE: OGILVYONE) Bulletin Board Systems (BBS) "are at the heart of China's social media" attracting 10 million posts every day, with 80% of all Chinese websites hosting their own BBS. (SOURCE: OGILVYONE) China has the largest Internet audience in the world with 180 million regular viewers of online video content. (SOURCE: CASBAA) Chinese online users like to watch video content online frequently too. When asked "how often do you use the Internet to watch video clips", 33% of them said they do pretty much every time they go online. (SOURCE: CASBAA/SINA/CHINA YOUTH DAILY) Such is the stronghold social media has on China's online population that more than 50% of Chinese Internet users are making new friends online. (SOURCE: OGILVYONE) When the Chinese want to connect with these friends, they overwhelmingly choose instant messaging - 90% of them use IM to do this. (SOURCE: OGILVYONE) Social networking has formed a stronghold on the Chinese online community, particularly so when it comes to video content. Because of the country's "strong grassroots culture" nearly two thirds of video content in China (63.7%) The Chinese love listening to music online, with Internet music usage rates of 84.5%, representing 214 million people. The next favourite form of online entertainment asia pacific digital marketing yearbook 17 is online video with 71% usage rates; followed by online gaming (58.3% usage rates). (SOURCE: OGILVYONE) The longer Chinese Internet users spend online, the longer they spend online - those Internet users who have only been online for less than a year spend on average 12.7 hours per week on the Internet, while those who have been online for more than eight years spend on average 26.4 hours online a week. (SOURCE: CNNIC) Having blogs - Updating blogs 23.5% Forum/BBS - Friend-making websites - Network games 59.3% Network music 86.6% Network video 76.9% Online shopping 22.1% Online selling - Online payment 15.8% Travel reservation - Online banking 19.2% Online stock Speculation 18.2% Online education 16.6% (SOURCE: CNNIC, Jan 2009) China is renowned for its tight controls over Internet content. The country's online users don't seem to mind however - 85% of them approve of Internet censorship. Perhaps the reason being is that 93% of them feel that "much of Internet content to be unsuitable for children". (SOURCE: TRENDSSPOTTING) China's Web 2.0 market is expected to be worth US$645.8 million by 2011. (S OURCE: IDC/TRENDSSPOTTING) China MMORPG Market Forecast MMORPG gamers (m) Game users penetration Average ARPU per month (RMB) Market size (RMB million) MMORPG Market size (US$M) Growth Rate 2007 34.4 19.7% 20.7 8,544 1,124 54% 2008E 44.7 22.3% 21.7 11,663 1,535 37% 2009E 55.9 25.3% 22.4 15,016 1,976 29% 2010E 66.0 27.6% 22.8 18,073 2,378 20% 2011E 75.9 29.4% 23.3 21,200 2,789 17% 2009E 59.0 26.7% 29% 14.5 2,996 394 35% 2010E 66.1 27.7% 30% 15.6 3,714 489 24% 2011E 71.4 27.6% 31% 16.7 4,435 584 19% - 4,900 - - 12,500 18,200 16,100 4,600 - 3,300 - 4,000 54.3% 35.2% 30.7% 19.3% 62.8% 83.7% 67.7% 24.8% 3.7% 17.6% 5.6% 19.3% 16,200 10,500 9,100 5,800 18,700 24,900 20,200 7,400 1,100 5,200 1,700 5,800 - 5,600 - - 6,200 6,700 4,100 2,800 - 1,900 - 1,800 114.3% 49.6% 36.8% 25.5% 60.9% 57.6% 45.0% 3,800 3,500 11.4% 16.5% 3,400 4,900 -400 1,400 -10.5% 40.0% How spending time online makes Chinese users feel Sentiment Level of Acceptance Without the Internet, I cannot work or study 39.0% Without the Internet, my entertainment life will be very monotonous 59.1% Handling business online saves me a lot of trouble from visiting a place in person 69.3% Generally I read major news first on the Internet 61.8% When encountering a problem, I will first go to the Internet to seek answers 64.6% I make many new friends on the Internet 65.4% The Internet strengthens my contact with friends 82.5% In the age of the Internet, I feel more lonely 19.9% The Internet reduces my time spent with my family 29.0% The registration information I fill in on the Internet is true 47.5% It is safe to have transactions online 27.6% The Internet is my primary channel for airing my views 41.9% After having access to the Internet, I am more concerned with social events than before 76.9% (SOURCE: CNNIC) ❚ ONLINE ADVERTISING (SOURCE: JP MORGAN) China Casual Game Market Forecast Casual game players (million) Casual players penetration Assumed Ratio of paying users APRU per month (Rmb) Market size (RMB million) Casual Market size (US$M) Growth Rate 2007 42.4 24.2% 25% 12.2 1,563 206 56% 2008E 50.9 25.4% 27% 13.5 2,227 293 43% What Chinese Internet Users do online (% of groups) China's online advertising market was valued at RMB17 billion, or US$2.4 billion in 2008, representing year on year growth of 53%. Online advertising is now the "fastest growing advertising sector" in China. (SOURCE: BDA) Online advertising represented 5% of China's advertising market in 2008. (SOURCE: BDA) Middle/primary CollegeOffice Rural Total school studentsstudents employeesmigrant workers Network news 68.1% 89.9% 83.1% 73.4% 78.5% Search engines 63.5% 84.4% 71.9% 56.6% 68.0% Online recruitment 8.9% 29.5% 23.0% 23.7% 18.6% Email 52.2% 81.4% 60.4% 38.9% 56.8% Instant messaging 77.5% 91.1% 75.0% 66.5% 75.3% Having blogs 64.0% 81.4% 50.9% 43.1% 54.3% Forum/BBS 24.1% 55.5% 34.6% 17.2% 30.7% Friend-making Websites 16.8% 26.0% 20.2% 18.2% 19.3% Network music 86.9% 94.0% 83.4% 78.2% 83.7% Network video 67.4% 84.4% 68.1% 57.3% 67.7% Network games 69.7% 64.2% 60.6% 55.5% 62.8% Online shopping 16.2% 38.8% 29.4% 11.7% 24.8% Online selling 2.1% 5.2% 4.4% 0.8% 3.7% Online payment 9.6% 30.5% 22.4% 7.9% 17.6% Travel reservation 2.0% 6.8% 6.8% 2.5% 5.6% Online banking 7.7% 29.9% 25.5% 7.4% 19.3% Online stock speculation 4.7% 4.7% 15.5% 4.1% 11.4% Online education 16.2% 25.6% 17.3% 7.8% 16.5% China's online advertising market is expected to grow by 20% in 2009. (SOURCE: CNNIC) This growth has something to do with the increase in number of online advertisers in the country, numbering 600,000 in 2008. In 2009 this number could reach 900,000. Use of Online Apps by Chinese users: 2007 vs 2008 End of 2007 End of 2008 Change Growth Use rate Size of Use rate Size of Increaserate users users (10,000) (10,000) Network news 73.6% 15,500 78.5% 23,400 7,900 51.0% Search engine 72.4% 15,200 68.0% 20,300 5,100 33.6% Network job seeking 10.4% 2,200 18.6% 5,500 3,300 150.0% Email 56.5% 11,900 56.8% 16,900 5,000 42.0% Instant messaging 81.4% 17,100 75.3% 22,400 5,300 31.0% (SOURCE: BDA) Online display advertising in China was expected to grow by 41% year on year in 2008, generating RMB6.4 billion in revenues. Growth is anticipated to slow down in 2009 however to around 18% year on year growth, representing RMB7.58 billion in earnings. (SOURCE: JP MORGAN) By 2012 online ad revenues in China are expected to reach US$3.4 billion. (SOURCE: EMARKETER) (SOURCE: BDA) The advertisers that will spur this growth are likely to come from the top three industries for online advertising - IT, automotives and real estate. Other sectors to watch out for in 2009 are telecoms, online services and FMCG. (SOURCE: BDA) 18 asia pacific digital marketing yearbook Economic hardships could actually prove a boon for the online advertising market in China, with expectations of 28% year on year growth in 2009 for the online ad market, and 37% year on year growth in 2010, representing US$2.9 billion. In China, the biggest search engine marketing advertisers are in manufacturing (49.3% of advertisers); the next biggest group being IT (12.5%); then Trade (10.3%); Service Industries (6%); Pharmaceuticals (5%) and Chemical Industry (5%). (SOURCE: JP MORGAN) (SOURCE: CHINA Internet WATCH) China currently has 2.87 million websites registered within its territory, an increase of 91.4% from 2007. The total number of web pages passed the 16 billion mark at the end of 2008. Chinese online users respond well to viral messages, particularly the 25-29 age group, 85% of which have received viral messages containing an ad or a link to an ad at one time, with 71% of them saying they had passed it on. (SOURCE: CNNIC) (SOURCE: TNS/MEDIA) Half of the top 20 sites in Asia Pacific by traffic are based in China, led by Baidu.com, Tencent, SINA.com and NetEase. (SOURCE: TRENDSSPOTTING) Of all advertisers in China using search engine marketing, 86% use Baidu and 60.2% use Google. (SOURCE: CHINA Internet WATCH) Baidu is the clear market leader in China's search market with 64.4% market share, followed by Google with 25% and Yahoo! with 8% share. (SOURCE: COMSCORE/TRENDSSPOTTING) Search advertising will experience strong growth in China's online advertising market in 2009, generating an estimated RMB6.61 billion, up from RMB4.66 billion in 2008. (SOURCE: JP MORGAN) User-generated content is very powerful in China, with 58% of all purchasing decisions being influenced by online consumer reviews, rating sites, blogs, forums and bulletin boards. (SOURCE: NETPOP) The most influential source for online Chinese when making purchasing decisions is the search engine - 46% of 'broadbanders' consult a search engine to make their shopping decisions, compared to just 25% of American 'broadbanders'. (SOURCE: NETPOP) The Chinese online gaming market grew by 63% in 2008 making it worth US$2.8 billion - by 2012 it will be worth $5.5 billion. (SOURCE: PEARL RESEARCH/BUSINESS Internet CHINA) Forget Facebook, China's Qzone could be the largest social network in the world. Ranked number one in China (Facebook doesn't even make it into the top 15), Qzone claims to have more than 200 million users, compared to Facebook's 150 million. (SOURCE: WEB2ASIA) Not only is Qzone the biggest social networking site in the world, it could also be the most active - 150 million of its users actively update their accounts every month at least; 4 million users upload photos daily totalling on average 60 million photos a day; and 9.5 million new blog entries appear on it each day. (SOURCE: WEB2ASIA) Most Popular Chinese Sites Rank 1 2 3 4 5 6 7 8 9 10 Site Name QQ.Com Baidu.Com Sina.Com.Cn 163.Com Yahoo.Com.Cn Google.Cn Sohu.Com Soso.Com Microsoft.Com Taobao.Com Unique Visitors (000) 62,248 60,174 48,373 40,805 38,852 34,882 31,184 30,602 27,999 25,778 Major Business IM Online Ad Portal (Online Ad) Portal (Online Game) PaidSearch Paid Search Online Games &MVAS Paid Search Online Ad, SNS Online Auction (SOURCE: ComScore/Trendsspotting) China Online Advertising Market Forecast Type of Advertising (RMB m) Brand Advertising Search Advertising Other Online Format Total Online ad market (RMB M) Total Online ad market (US$ M) Growth Rate Total China ad market Growth Rate Ad market as % of GDP Online ad as % of total ad market 2007 4,559 2,851 122 7,533 999 53% 116,422 10% 0.47% 6.5% 2008E 6,428 4,663 135 11,226 1,627 49% 155,074 11.0% 0.49% 8.0% 2009E 7,585 6,614 148 14,347 2,092 28% 178,336 15.0% 0.49% 9.3% 2010E 10,013 9,438 163 19,614 2,860 37% 203,303 14% 0.50% 11.0% 2008E 6,428 932 41% 4.6% 2009E 7,585 1,106 18% 4.9% 2010E 10,013 1,460 32% 5.6% 2008E 239 161 24% 25.5% 0.44 4,299 623 74% 4,663 676 64% 3.3% 2009E 295 209 26% 25.5% 0.45 6,234 909 45% 6,614 964 42% 4.3% 2010E 348 254 29% 26.2% 0.47 9,039 1318 45% 9,438 1,376 43% 5.3% (SOURCE: JP Morgan) China Branded Ad Segment Forecast Branded Advertising (RMB m) Branded Advertising (US$ m) Growth rate (RMB, %) Branded ad as % of total ad market 2007 4,559 605 35% 3.9% (SOURCE: JP Morgan) China Search Market Forecast Avg. Internet users (m) Number of search (bn) Coverage Click through rate Price per click (RMB) PPC Market (RMB m) PPC Market (US$m) Growth rate (RMB, %) Total Search Market (RMB m) Total Search Market (US$ m) Growth rate (RMB, %) Search ad as % of total ad market 2007 174 123 21% 24.3% 0.40 2,472 328 133% 2,851 378 98% 2.4% (SOURCE: JP Morgan) China's Most Popular Social Networks Rank Social Network Average Weekly Unique Browsers in December 2008 (million) 1 51.com 14.0 2 xiaonei.com 9.5 3 chinaren.com 7.0 4 kaixin001.com 3.5 5 myspace.cn 2.0 6 5460.net 1.0 7 wangyou.com 1.0 8 ipart.cn 1.0 9 360quan.com 0.9 10 cyworld.com.cn 0.8 (SOURCE: CR-Nielsen) asia pacific digital marketing yearbook 19 20 asia pacific digital marketing yearbook Top 20 Advertisers Using Digital Media in China Advertiser KFC Coca Cola Nike Nokia Li Ning China Mobile Telecom Lenovo Sony McDonald's Adidas VISA Pizza Hut Motorola Haier Smartone-Vodafone Pepsi-Cola Olay Tsingtao Beer Philips Samsung Electronic Group % of users 80% 77% 76% 75% 69% 69% 68% 67% 67% 66% 65% 64% 64% 62% 62% 62% 62% 60% 60% 59% (SOURCE: TNS/MEDIA; Q: Which of the following brands have you seen advertised via digital media?) Trust in Media Channels in China Media channel % who trust the channel completely Recommendations from friends and family 66% Consumer product review from websites 29% Product labels on packaging 24% Expert product review from websites 22% Consumer opinion in blogs 21% Independent reviews in publications 21% Consumer opinion on message boards 18% Consumer opinion in chat rooms 18% Manufacturers/brands websites 15% Email newsletters 14% Magazine ads 13% TV ads 12% Products/brands that appear in movies or within TV programmes 12% Ads that appear on search engines 10% Newspaper ads 10% Radio ads 9% Recommendations from other consumers who you do not personally know 9% Ads at the cinema before the movie starts 9% Ads on posters, buses/bus shelters 9% Ads that have been sent to you by e-mail 8% Banner ads on websites 8% Ads in virtual worlds 7% Ads in video games 6% Ads via mobile SMS 6% Pop-up or pop-under web ads 5% (Source: TNS/Digital Media) ❚ MOBILE The most prolific mobile Internet users are students, 43.5% of them using their mobile devices to read the news, download music and check their email. (SOURCE: BBC/CNNIC) Chinese Internet users have embraced their mobiles as music devices, with nearly three quarters (73%) of all digital music revenues being mobile generated. (SOURCE: EMARKETER) Chinese Internet users are more likely to access the Internet via their mobile devices than their American counterparts, with 58% of them using their phones for this purpose. (SOURCE: NETPOP) Top 10 Mobile Sites Rank Site 1 Kong 2 Baidu 3 Google 4 Sina 5 QQ 6 Hao123 7Xiaonei 8 Paojiao 9 Ruanj 10 3g (SOURCE: Friendster/Opera) Top Mobile Internet Website Categories Category Entertainment Games Music News/Politics Business/Finance % Mobile Internet Users 55% 36% 31% 26% 18% (Source: Nielsen) Chinese Users' Preferred Mobile Content/ Applications Content/App News Downloads IM Search Email Games SNS Others % of users 69% 62.4% 51.1% 44.5% 38.9% 21% 20.5% 1.7% (SOURCE: InStat) In mid-2008, China had 595 million mobile phone subscribers, representing mobile penetration rates of 44.7%. (SOURCE: EMARKETER) ❚ E-COMMERCE By the end of 2008 China was estimated to have had 640 million mobile users. One third of China's Internet population engage in e-commerce. (SOURCE: ROA) (SOURCE: JP MORGAN) China currently has 85 million mobile Internet subscribers approximately 14.3% of all mobile phone subscribers in the country. One brand rules China's e-commerce market - Taobao, with a market share of 76%. (SOURCE: JP MORGAN) (SOURCE: EMARKETER) Other sources put China's mobile Internet population as high as 117.6 million, marking a 133% jump from 2007. (SOURCE: CHINAInternetWATCH.COM/CNNIC) There were 106.1 million 3G subscribers in China in 2008. China generated US$297.8 billion in online shopping revenues in 2007 - 44.9% of the region's total online shopping revenue turnover. By 2010 it is expected to bring in US$1,415.7 billion. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) (SOURCE: BTRAX) asia pacific digital marketing yearbook 21 Want to know more about doing business in Germany? Or South Africa? Or India? Or ... Done. Expertise is now one click away. Visit the Global Business section on TIME.com ® time.com/global_business 22 asia pacific digital marketing yearbook © 2009 Time Inc. TIME is a registered trademark of Time Inc. China is home to the "largest potential online shopping market in Asia/Pacific" representing 147.1 million people, or 49.9% of the region's e-commerce population. By 2010 the country will be home to 480.4 million online shoppers, representing 58.6% of the region's online shopping community. ❚ CASE STUDY (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) China may have low penetration rates but this small group of people likes to spend - the country's online shopping penetration rates are proportionately very high at 70%. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Chinese online users are no stranger to shopping online, with 87% of them intending to make a purchase online in the next 6 months. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Chinese online users may like shopping over the Internet but that does not mean they like spending a lot of money, averaging out at US$506.10 spent over a period of three months. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) That being said, "a significant and extraordinarily large" amount of what the Chinese spend on personal consumption (32.8%) goes on online purchases. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Security concerns are a major issue for Chinese online shoppers, with 87% of them saying they are reluctant to make online purchases because they believe online transactions are unsafe. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) For those Chinese who do make purchases online, only 25% of them prefer using credit cards as their online payment method, compared to 35% who prefer debit cards and 32% who prefer electronic transfers. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Online banking experienced very minor growth levels in 2008, rising to 19.3% penetration rates from 19.2% in 2007. And fewer Chinese online users are speculating on stocks online, down to 11.4% of users compared to 18.2% in 2007. (SOURCE: CNNIC) There may be a lot of people online in China, but that doesn't mean they have a lot of money to spend online. The biggest group of users by income happen to be the lowest earners - 30.5% of Chinese Internet users earn less than 500 Yuan (US$68.50) per month. (SOURCE: TRENDSSPOTTING) The majority of China's online gaming revenues come from massively multiplayer online role playing games (MMORPG) representing around 84% of the total online gaming market. (SOURCE: JP MORGAN) Client: eLong.com Agency: Netconcepts Web Technologies Campaign: Sales-building Objective: Increasing natural search traffic and sales by increasing rankings of targeted keywords. Strategy: Carry out overall optimisation site-wide, including website structure, contents, and backlinks. Increase natural search traffic and sales by increasing both "head" keywords traffic, and "long tail" keywords traffic. Reduce eLong's PPC cost. Increase natural search sales through gaining more visibility generated from effective keywords that are able to bring relevant clicks and sales. Details: Netconcepts researched approximately 100,000 keywords, which can be differentiated into grades including primary keywords, secondary keywords and long tail keywords. Netconcepts carried out an overall audit and provided improvement solutions including programming and content related changes according to the keyword research. Focus on the optimisation for homepage and channel pages, integrating with the optimisation of hotel and flight section pages. In the second stage, the plan was to increase the amount of static pages by generating approximately 100,000 HTML hotel pages. In the mean time, keyword optimisation was continued and integrated with the overall optimisation strategy. Regular updates of page content were carried out periodically. The next stage was to maximise the use of Google map data by categorising the hotels further and generating more hotel pages according to attractions, hospitals and businesses etc. It also improved the presentation of integration between Google Maps and tourism products. The fifth stage was to release approximately 200,000 flights related static pages. The last stage in the plan was to create strategies for eLong around travel blogging, which would enhance the link building strategy and brand image. Results: • Natural search traffic increased by 100%. • Hotel bookings from natural search increased by 88%; • PageRank increased from 5 to 8. • Almost 1 million pages have been indexed on Google network. • Number of backlinks increased to approximate 8.5 million. • The keyword rankings for eLong.com have been significantly improved. For example, among the top 100 hotel terms, over 50% of the keywords are gaining the Page 1 Ranking on both Baidu and Google. Terms such as "酒店预定" ("hotel booking"), "宾馆"("hotels"), "酒店查询 "("hotel search"), "北京酒店"("Beijing hotels") and "上海酒 店预定"("Shanghai hotel booking") are all ranked in the top three position. asia pacific digital marketing yearbook 23 HONG KONG Hong Kong's tallest building Two IFC rising above the city ❚ DEMOGR APHICS Hong Kong has one of the highest Internet penetration rates in the region at more than 72%. (SOURCE: OGILVYONE) Furthermore the money you have the more likely you are to be an online user - 94% of Hong Kongers in the top income bracket (HK$40,000 or more per month) have Internet access compared with 53% of those in the lowest (less than HK$20,000). (SOURCE: HK Internet PROJECT 2000-2008) Hong Kong currently is home to 3.8 million unique Internet users. (SOURCE: COMSCORE) Hong Kong is a highly networked city with 83% of its homes linked up to the Internet. (SOURCE: HK Internet PROJECT 2000-2008) Broadband is widespread in Hong Kong - at the end of 2008, 195 million homes had broadband Internet access, representing penetration rates of 77.7%. (SOURCE: OFTA HK) More women were online in 2008, now representing 50% of all Internet users compared to 48% in 2007. Hong Kong's Internet Users 2008 Sex Male Female Composition of Penetration in the Users population 50% 50% 73% 65% Age 18-24 25-30 31-35 36-40 41-50 51-60 61-74 15% 14% 13% 14% 27% 14% 4% 99% 96% 89% 87% 75% 48% 17% Status Married Unmarried 59% 41% 61% 85% Education Middle School or below High/Technical School Associate Degree University Degree Postgraduate Degree 14% 42% 13% 27% 6% 29% 79% 97% 97% 95% Profession Civil Servant Managerial/Professional Worker/Shop Assistant Self Employed Student Retired/Unemployed 4% 17% 45% 4% 10% 21% 86% 95% 77% 91% 100% 41% (SOURCE: HK Internet PROJECT 2000-2008) More than half (53%) of Hong Kong Internet users are aged between 31 and 50 years old. (SOURCE: HK Internet PROJECT 2000-2008) The higher their education level the more likely Hong Kongers are to be connected to the Internet - 97% of degree holders or above are online compared to 29% with middle school education. (SOURCE: HK Internet PROJECT 2000-2008) 24 asia pacific digital marketing yearbook (SOURCE: HK Internet PROJECT 2000-2008) How Hong Kongers go Online Access point Home Office School Internet Cafe/Library/public places Telephone dialup Broadband Cable Modem Wireless Desktop PC Notebook PC Mobile Phone PDA TV/other appliances Other devices % of users 94% 54% 71% 9% 6% 82% 14% 22% 92% 37% 10% 5% 0.2% 0.4% (SOURCE: HK Internet PROJECT 2000-2008) Internet Use in Hong Kong Total Homes (000) Online Home PCs (000) 2,298 1,910 % of Total Homes 83% % of Internet Homes 100% Dial-up Homes (000) 40 2% 2% Broadband Homes (000) 1,870 81% 98% (SOURCE: HK Internet PROJECT 2000-2008) Hong Kong Online Users, by Income Household Income Less than HK$8000 Per Month HK$8,000-9,999 Per Month HK$10,000-12,999 Per Month HK$13,000 - 14,999 Per Month HK$15,000 - 19,999 Per Month HK$20,000 - 29,999 Per Month HK$30,000 - 39,999 Per Month HK$40,000 - 49,999 Per Month HK$50,000 - 69,999 Per Month HK$70,000+ Per Month HK$0 Per Month (000) 317 187 349 108 401 732 453 302 327 492 30 (% OF USERS) 8.6% 5.1% 9.4% 2.9% 10.8% 19.8% 12.2% 8.2% 8.8% 13.3% 0.8% (Source : Nielsen Media Index Hong Kong; Base population: Individuals aged 12 - 64; Recency Of Using Internet [Past Week (Cum)]) Hong Kong Key 2009 Digital Indicators ServicesNo. Mobile subscribers 11.4 million 2.5G and 3G mobile subscribers 3.3 million Mobile subscriber penetration rate 163.1% Public Wi-Fi access points 7,987 Household fixed line penetration rate 99.2% Registered customer accounts with dial-up access 959,703 Registered customer accounts with broadband access 1.9 million Household broadband penetration rate 77.8% Internet service providers 167 Mobile network operators 5 (SOURCE: OFTA HK) Hong Kong's online youth is pretty familiar with social networking, with 53.2% of active users having their own social network profile. (SOURCE: OGILVYONE) Many Hong Konger's have also embraced blogging, with 57% of them saying they are into blogging; 43% of them spending some of their time reading blogs but not commenting; just over one third (34%) actively comment on the blogs they read. (SOURCE: SYNOVATE) When it comes to online forums and discussion groups, Hong Kong's online youth are the most active in the region with 45% of them reading as well as contributing to them. (SOURCE: SYNOVATE) Hong Kong's online youth are amongst the most prolific bloggers in the region, with 35% of them creating and updating their blogs in the past 30 days. (SOURCE: SYNOVATE) Hong Kong's online youth like seeing what their friends are up to online: 43% of the read others' social network pages on a variety of different social networking sites. (SOURCE: SYNOVATE) As many as 3.9 million Hong Kongers are estimated to be social media users, out of an overall population of 7 million people. (SOURCE: OGILVYONE) Two social networking sites pretty much own the market in Hong Kong - Xanga with 1.8 million users, and Facebook with 1 milion. (SOURCE: OGILVYONE) Hong Kongers are number three in the region, behind Taiwan and South Korea when it comes to the length of time online user spend on gaming sites, averaging 143 minutes per visitor over a month, visiting sites on average 13 times. (SOURCE: COMSCORE) ❚ USER BEHAVIOUR What Hong Kongers do Online Online users in Hong Kong overwhelmingly favour word of mouth when making purchasing decisions, with 93% of them saying they rely most on recommendations from consumers. (SOURCE: OGILVYONE) Nearly two thirds (65.8%) of Hong Kong's active Internet population claim to have read a blog. (SOURCE: OGILVYONE) Hong Kong is home to some of the "biggest media junkies" in the region with local youth aged up to 24 spending on average 12.7 hours a day online, watching TV or DVD/VCD/ videos, reading newspapers/magazines and listening to the radio. (SOURCE: SYNOVATE) Features Used EMail Search Goods/Services Information Read Newspapers/Magazines Instant messenger Play Online Games Search Financial Information Search/Download Information Listen To Songs/Radio Programs Use Online Banking Services Settle Payment Download Songs/Music Watch Video Programs Browse Blog Write Blog Download Software Trade Stock Search Job Vacancies Download Movies Make Reservation/Book Tickets Use Auction Services Purchase/Order Goods/Services Internet Phone Download Mobile Phone Ringtone Download Novel/Comic Request Customer Services (000) % OF USERS 2724 51% 2001 37.5% 1773 33.2% 1643 30.8% 1262 23.6% 1117 20.9% 1065 19.9% 1036 19.4% 983 18.4% 936 17.5% 843 15.8% 842 15.8% 670 12.5% 635 11.9% 619 11.6% 534 10% 471 8.8% 449 8.4% 444 8.3% 341 6.4% 309 5.8% 238 4.5% 234 4.4% 200 3.7% 192 3.6% asia pacific digital marketing yearbook 25 Download Mobile Phone Game/Wallpaper Netmeeting Others 123 81 783 2.3% 1.5% 14.7% (Source : Nielsen Media Index Hong Kong; Base population: Individuals aged 12 - 64) Why Hong Kongers go Online Primary purpose % of users Information acquisition (e.g. search and web browsing) 85% Leisure and entertainment 36% Communication (e.g. email, IM, SMS, chat, etc.) 31% Study 9% Online banking, trading, payment, etc. 10% Getting free resources (e.g. free email accounts, storage, downloads) 6% Making friends (e.g. alumni sites) 1% Online shopping 5% Other 3% Digital marketing methods are proving themselves to be persuasive in Hong Kong, but only to a degree, with 25% of Hong Kong online users feeling digital media as a whole "significantly increased" their interest in using the brand in question, while 53% were "somewhat interested". (SOURCE: TNS/MEDIA) If you really want to get an advertising message across in Hong Kong, go viral. Nearly three-quarters (73%) of Hong Kong online user have received a viral message at some point and more than half (54%) of them have passed it on. (SOURCE: TNS/MEDIA) (SOURCE: HK Internet PROJECT 2000-2008) How Long Hong Kongers Spend Online Average Time Spent Using Internet Less Than 30 Minutes 30 Minutes-Less Than 1 Hour 1 Hour-Less Than 2 Hours 2 Hours-Less Than 3 Hours 3 Hours-Less Than 4 Hours 4 Hours-Less Than 5 Hours 5 Hours-Less Than 6 Hours 6 Hours Or More (000) % OF USERS 385 7.2% 697 13% 905 16.9% 699 13.1% 436 8.2% 269 5% 121 2.3% 435 8.1% (Source : Nielsen Media Index Hong Kong; Base population: Individuals aged 12 - 64) ❚ ONLINE ADVERTISING Online advertising spend came to HK$702 million in 2008. (SOURCE: MARKETING-INTERACTIVE/NIELSEN) The most prolific online sector in Hong Kong is finance, which spent HK$36.6 million online in Q4 2008 - 17% of overall online ad spend. (SOURCE: MARKETING-INTERACTIVE/NIELSEN) Hong Kong's spam rate - 87% for September 2008 - is both higher than the global rate of 78%, and that of China's which was just 70% in September. (SOURCE: COMPUTERWORLD/MESSAGELABS) Hong Kong's online ad revenues in Q4 2008 marked an increase of 33% on Q3, representing more than HK$208 million. (SOURCE: NIELSEN ONLINE) During the October-December period, 1,060 advertisers ran 3,062 online ad campaigns in Hong Kong, attracting more than 6.7 billion ad impressions. (SOURCE: NIELSEN ONLINE) Consumption of the Internet increased in 2008 - while it still ranks third behind TV and newspapers as engaging Hong Kongers the most, more of them - 60%, compared to 53% in 2007 - had logged on in the previous day. (SOURCE: NIELSEN ONLINE) Dedicated brand websites seem to still be the best media channel to reach Hong Kong consumers in 2008 - as it was in 2007 - with 50% of Hong Kongers recalling their use by online advertisers. Sponsored content was the next most recognised form of advertising with 43% of Hong Kong online users recalling its use; followed closely by pop-up ads (42%). (SOURCE: TNS/MEDIA) The most active in the viral message community in Hong Kong are aged between 30 and 34 - 84% of people in this age group have received a viral message at some point, and 69% of them have passed it on. (SOURCE: TNS/MEDIA) Top 10 Hong Kong Online Advertisers: Q4 2008 Ranking Advertiser 1 Citicorp 2 Global Beauty 3 PCCW 4 Sony 5 Dell 6eBay 7 Wall Street Institute 8 The Hong Kong Jockey Club 9 Hong Kong Government 10 HSBC (SOURCE: NIELSEN ONLINE) Top 20 Advertisers Using Digital Media in Hong Kong Advertiser Nike HSBC Cathay Pacific Nokia McDonald's Coca Cola Pizza hut Sony Ericsson PCCW Adidas Sony KFC Hang Seng Bank Samsung Canon Citigroup VISA SK-II Wellcome Carlsberg % of users 69% 69% 67% 67% 67% 66% 65% 60% 57% 57% 56% 54% 52% 52% 51% 51% 48% 45% 45% 44% (SOURCE: TNS/MEDIA; Q: Which of the following brands have you seen advertised via digital media?) Top 20 Motivating Online Advertisers in Hong Kong Advertiser Advertising significantly Advertising somewhat increased interest in increased interest in using brand (% of users)using brand (% of users) Apple 40% 82% Pizza hut 36% 92% Wellcome 35% 93% KFC 33% 89% Sony Ericsson 33% 87% Nike 31% 81% Nokia 30% 91% Sony 30% 85% Canon 30% 86% Coca Cola 30% 81% McDonald's 29% 86% Cathay Pacific 27% 85% Adidas 25% 82% SK-II 25% 73% Johnson's Baby 24% 78% Samsung 22% 83% VISA 20% 64% HSBC 18% 83% Carlsberg 18% 58% Dragonair 17% 93% (SOURCE: TNS/MEDIA) 26 asia pacific digital marketing yearbook By Ad impressions (in 000's) 441,133 283,440 262,585 189,858 177,758 172,658 166,714 147,070 128,553 127,140 Trust in Media Channels in Hong Kong Hong Kong's Top Online Gaming Sites Media channel % who trust the channel completely Recommendations from friends and family 56% Product labels on packaging 25% Expert product review from websites 24% Independent reviews in publications 24% Consumer product review from websites 20% Products/brands that appear in movies or within TV programmes 18% Manufacturers/brands websites 18% TV ads 17% Consumer opinion in blogs 17% Consumer opinion in chat rooms 16% Ads on posters, buses/bus shelters 16% Newspaper ads 15% Email newsletters 15% Ads at the cinema before the movie starts 15% Magazine ads 14% Radio ads 13% Consumer opinion on message boards 13% Banner ads on websites 12% Ads that appear on search engines 11% Recommendations from other consumers who you do not personally know 11% Ads that have been sent to you by e-mail 11% Ads via mobile SMS 8% Pop-up or pop-under web ads 8% Ads in virtual worlds 7% Ads in video games 7% Yahoo! Games Travian Games TALESRUNNER.COM.HK MSN Games WildTangent Network (Source: TNS/Digital Media) Media Channels Seen as Untrustworthy in Hong Kong Media channel % who do not trust the channel Ads in virtual worlds 53% Ads in video games 48% Ads via mobile SMS 42% Pop-up or pop-under web ads 32% Ads that have been sent to you by email 28% Ads that appear on search engines 27% Banner ads on websites 24% Recommendations from other consumers 24% who you do not personally know 20% Ads at the cinema before the movie starts 18% Magazine ads 18% Radio ads 18% Products/brands that appear in movies or within TV programmes 18% TV ads 17% Ads on posters, buses/bus shelters 16% Email newsletters 16% Newspaper ads 16% Consumer opinion in chat rooms 15% Manufacturers/brands websites 14% Consumer opinion on message boards 14% Expert product review from websites 12% Consumer product review from websites 11% Product labels on packaging 10% Consumer opinion in blogs 10% Independent reviews in publications 8% Recommendations from friends and family 2% % Reach 6.2% 5.5% 2.7% 2.1% 1.9% (SOURCE: ComsCore Media Metrix; February 2009; Audience: All Persons at Hong Kong Home/Work/ College-University Locations) Hong Kong's Top Online Retail Sites Amazon Sites Alibaba.com Corporation Apple.com Worldwide Sites Dell THREE.COM.HK CITYLINE.COM DCFEVER.COM BOOKS.COM.TW Sony Electronics PRICE.COM.HK % Reach 19.0% 18.3% 13.5% 9.9% 9.5% 8.5% 8.2% 8.2% 7.4% 6.7% (SOURCE: ComsCore Media Metrix; February 2009; Audience: All Persons at Hong Kong Home/Work/ College-University Locations; heavy Internet users) Hong Kong's Top Technology News Sites CNET HKEPC.COM NetShelter Technology Media HACKEN.CC PHONEHK.COM AOL Tech REVIEW33.COM About.com Technology Network NEWHUA.COM ZDNet % Reach 12.9% 9.2% 8.9% 7.2% 5.2% 3.1% 2.4% 1.7% 1.6% 1.5% (SOURCE: ComsCore Media Metrix; February 2009; Audience: All Persons at Hong Kong Home/Work/ College-University Locations; heavy Internet users) Hong Kong's Top Entertainment Sites YOUTUBE.COM Yahoo! Music TVB.COM Yahoo! Movies CBS Interactive Youku iTunes Software (App) Tudou Sites Sony Online RTHK.ORG.HK % Reach 68.8% 43.7% 32.9% 30.0% 25.2% 20.7% 19.9% 19.6% 18.5% 17.7% (SOURCE: ComsCore Media Metrix; February 2009; Audience: All Persons at Hong Kong Home/Work/ College-University Locations; heavy Internet users) ❚ MOBILE (SOURCE: TNS/MEDIA) Hong Kong has the highest mobile penetration rate in the world at 163.1%. Types of Digital Media Seen Being Used Media Dedicated websites Sponsored content Pop-up ads Banner ads Email Mobile phones Ads in video games Ads in virtual worlds Other % of users 50% 43% 42% 40% 31% 15% 5% 2% 7% (Source: TNS/Media) (SOURCE: OFTA HK) Mobile phones are ubiquitous in Hong Kong - the number of mobile subscribers now totals 11.37 million. (SOURCE: OFTA HK) Of the 11.37 million subscribers in Hong Kong, 2.81 million are 3G or 3.5G users. (SOURCE: OFTA HK) Hong Kong's Top 10 Sites Total Unique Visitors (000) Yahoo! Sites 3,077 Microsoft Sites 2,487 Google Sites 2,363 FACEBOOK.COM 1,655 DISCUSS.COM.HK 1,046 Uwants Sites 985 SINA Corporation 928 Wikimedia Foundation Sites 836 HSBC 760 PCCW 736 % ReachTotal Minutes (MM) 80.7% 618 65.2% 854 62.0% 255 43.4% 195 27.4% 16 25.8% 19 24.3% 26 21.9% 11 19.9% 31 19.3% 18 (SOURCE: COMSCORE MEDIA METRIX; February 2009; Audience: All Persons at Hong Kong Home/Work/ College-University Locations) Hong Kong youth love their mobile phones - 80% of them own one, and typically are spending on average one hour and 48 minutes every day chatting on them. (SOURCE: SYNOVATE) Hong Kongers up to the age of 24 do more than just chat on their phones: 64% use them to listen to music; 63% use them to take photos; and 50% play games on them. (SOURCE: SYNOVATE) asia pacific digital marketing yearbook 27 The Institute of Digital Enlightenment Become one of the most skilled digital marketing practitioners in the world and have a professional qualification to prove it! In association with: For more information, and to request your course prospectus, email to [email protected] or visit www.theidm.com/adma 28 asia pacific digital marketing yearbook Hong Kongers have increased their love of texting, sending almost 100 million additional SMS messages in the month of December 2008 than in December 2007 - 436.6 million compared to 334.7 million the previous year. (SOURCE: OFTA HK) Hong Kong leads the world in the take up of mobile instant messaging (MIM) by its mobile phone users, with 23% of its mobile Internet population using MIM. (SOURCE: MARKETINGVOX.COM/TNS) marketing materials, as well as a media schedule in order to help develop an integrated SEM strategy. Keyword lists and ad copies were developed based on the early bird discounts and promotional materials provided by HKAF. They were centred around four key themes: performing arts, events, musical, and family choice. The campaign budget was allocated according to the booking period and synchronised with the offline marketing strategies. The paid search campaign was launched on both Google Hong Kong and Yahoo! Hong Kong to help generate awareness and momentum prior to the advanced booking period. ❚ E-COMMERCE Hong Kongers may not buy as much online as those in other parts of the world but they tend to spend more. Hong Kong visitors to online shopping sites on average place 12.9 orders per 1,000 sessions, lower than the global average of 29.6 orders - but they spend on average US$191.76 on each order, much higher than the global average of US$78.69. (SOURCE: COREMETRICS) Hong Kongers have traditionally spent less time making their online purchases too, implying they are much more targeted consumers. They typically spend nearly a minute less (59 seconds) than the global average to browse, make a purchase decision and then order. But in the period October-December 2008 Hong Kongers spend more time online than the global average, by 44 seconds. (SOURCE: COREMETRICS) As one of the world's leading financial centres it stands to reason online banking would take off in Hong Kong. Here the online banking market is "among the most advanced in the world" with around 3.5 million banking customers, or around 50% of the city's population. (SOURCE: RESEARCHANDMARKETS.COM) ❚ CASE STUDY After the conclusion of the pre-booking period, targeted keywords and ad copies were written to individually highlight the eight selected programmes. The second phase of the paid search campaign aimed to generate online ticket sales during the advanced booking period and ticket office sales during the counter booking period. Throughout the entire campaign, wwwins/iProspect provided day-to-day bid management for each keyword to ensure maximum return-on-investment. Results: • Over 36,000 visits to the website in five months. • Over 1,400 bookings were confirmed within one month and achieved a stunning 4,000% return on investment. • As a result of keywords and ad copies optimisation, the click-through-rate (CTR) increased by 380%, compared to the initial campaign launch period. Client: Hong Kong Arts Festival Society Limited Agency: wwwins Consulting Hong Kong Campaign:The 37th Hong Kong Arts Festival Search Engine Marketing Campaign Objective: To increase traffic to Hong Kong Arts Festival website among the major search engines in Hong Kong in order to increase the online ticket reservations. Strategy: As the leader of the performing arts industry, Hong Kong Arts Festival was poised to become one of the pioneers in the industry to leverage paid search campaigns to generate public awareness and maximise ticket reservations during the advanced booking and counter booking periods. It was carried out by running an integrated media campaign using traditional offline media, as well as online search engines. To help the client achieve their goals, wwwins/iProspect designed a search engine marketing campaign to drive targeted visitors to the HKAF website. Details: Before the start of the paid search campaign, the client provided wwwins/iProspect with detailed offline asia pacific digital marketing yearbook 29 INDIA Taj Mahal palace on sunrise ❚ DEMOGR APHICS In total India's online user base numbers 60 million people, making it one of the biggest Internet markets on earth. More than two-thirds (67%) of India's active Internet users go online at least 2-3 times a week, nearly a quarter (24%) accessing the Internet daily. (SOURCE: I-CUBE 2008) (SOURCE: BTRAX) At the beginning of 2009 India had 32.9 million unique Internet users in the country. (SOURCE: COMSCORE MEDIA METRIX) Well over a third of India's active Internet users (37%) log on from Internet cafes, with just over a quarter (26%) accessing the Internet from home and slightly more (27%) doing so from the office. (SOURCE: I-CUBE 2008) The vast majority of India's online users - 57 million of them - live in urban areas. (SOURCE: I-CUBE 2008) India currently has around 5.45 million broadband Internet subscribers. (SOURCE: TELECOM REGULATORY AUTHORITY OF INDIA) Of India's urban Internet users, the biggest group of users (30%) are "young males" aged 21-35, 27% are college students, 14% are "older men", 12% are school children, 11% are working women and 6% non-working women. The Indian online community is primarily a young one, with 80% of all users aged between 19 and 35. (SOURCE: JUXTCONSULT) (SOURCE: I-CUBE 2008) Based on recent data, Indian online users on average spend the least amount of time online compared to their other counterparts around the region. In February 2009, they spent on average 576.6 minutes online, the lowest in Asia. South Koreans by comparison spent on average 1,586.5 minutes online that month. India has the third biggest social media user base in the region, only ranking behind China and Japan with an estimated 48 million social media users. (SOURCE: COMSCORE MEDIA METRIX) (SOURCE: OGILVYONE) India has the lowest Internet penetration rate in the Asia Pacific region, at 5.3% - but that is forecast to increase to 28.1% by 2010. Finding a job seems to be high on the minds of Indian online users - 73% of consumers use the Internet for this reason, more than those who read the news online. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) (SOURCE: OGILVYONE) 30 asia pacific digital marketing yearbook ❚ USER BEHAVIOUR Indians are less keen on gaming than their Asian peers, with the lowest penetration rates in the region - only 27.4% having visited a gaming site in August 2008. Astrology Net banking Download Movies Astrology ICICI Bank Torrentz 25% 31% 35% (SOURCE: JUXTCONSULT) (SOURCE: COMSCORE) Indian bloggers like blogging more than the average blogger, posting new material more than five times a week on average, compared to three times a week. India's online ad spend represents only 1.7% of overall ad spend in the country - but it grew at a rate of 45% last year. (PULSE GROUP) Why Indians go Online Purpose Email General information Search Educational information Search Text Chat Online Gaming Online jobsites Music/Video on the Internet Financial information search Book railway tickets on the Internet Online banking Online news Internet Telephony/Video Chat/Voice Chat % of users 91% 76% 49% 46% 41% 37% 32% 21% 21% 20% 13% 13% (SOURCE: I-CUBE 2008) Indian Online Users' Top Activities Activity English info search Matrimonial search Dating/Friendship Dowload music/movies Sports News Instant messanging/chatting Job Search Emailing % of Internet Users Engaging In Activity 49% 49% 50% 54% 57% 63% 70% 72% 91% (SOURCE: JuxtConsult/Digital Economy Factbook) % Use it the Most 35% 25% 11% 7% 4% 1% 0.7% 0.6% 0.5% 0.5% Change from 2008 +7% -3% +3% -1% -5% -0.1% -0.1% -0.4% +0.3% -0.2% (SOURCE: JUXTCONSULT) What Sites Indians Most Use for Online Activities online activityTop Website Emailing Yahoo/Gmail Matrimony Bharatmatrimony Instant Messaging Yahoo! Friendship/Dating Orkut Job Search Naukri Share Pictures Orkut Online News Yahoo Social Networking Orkut Info Search - English Google Professional Networking Orkut/Linkedin Info Search - ocal language Google Video Sharing Youtube Online Travel Buy IRCTC Non-cricket Sports Espnstar Games Zapak Cricket content Cricinfo Online Buying (Non-Travel) Ebay Cinema content Youtube/Yahoo! Real Estate Makaan Listen/stream Music Raaga Business & Financial News Moneycontrol Financial Info & Quotes Moneycontrol Online Share Trading ICICIdirect Buy/Rent Movie CD Rediff PC to PC Net Telephony Yahoo! Mobile content Yahoo! PC to Telephone Net Telephony Yahoo!/Skype Cinema Tickets Google PC to Mobile Messaging (sms) 160by2 (SOURCE: MEDIA) In 2009 India's digital advertising market is expected to generate Rs850. (SOURCE: WARC) India's online banner ad market was worth around Rs2,350 million in 2008 and is expected to reach Rs3,500 million in 2009. (SOURCE: IAMAI/IMRB) The online banner ad spend per user is currently US$1.20. (SOURCE: IAMAI/IMRB) Banner ads in India attracted a high percentage of clicks, with at least 80% of the online population having clicked on one. (SOURCE: IAMAI/IMRB) Nearly two thirds (64%) of Indian online users are happy to watch ad messages in return for quality, free content. Most Used Websites by Indian Online Users Website Google Yahoo Gmail Orkuts Rediff Indiatimes Moneycontrol Hotmail Youtube Sify ❚ ONLINE ADVERTISING % Use Most 45%/44% 37% 38% 38% 44% 26% 21% 53% 76% 24%/24% 34% 32% 43% 19% 41% 27% 25% 18%/17% 23% 16% 22% 24% 28% 27% 29% 18% 28%/26% 19% 21% (SOURCE: IBM INSTITUTE FOR BUSINESS VALUE) A sizeable 36% of them however feel strongly enough about advertising that they said they would would pay for content to avoid seeing ads online. (SOURCE: IBM INSTITUTE FOR BUSINESS VALUE) Indian online users are highly willing to exchange information about themselves in return for "something of value", with 72% of them saying this was the case - more than in the USA, UK or Japan. (SOURCE: IBM INSTITUTE FOR BUSINESS VALUE) India's search engine marketing market is currently worth around US$112.5 million. Revenues are increasing 50% year on year and are anticipated to reach US$225 million in 2009. (SOURCE: IAMAI/IMRB) After email (used by 93% of online users) search is the next most popular activity amongst active Internet users (75%). (SOURCE: IAMAI/IMRB) Google easily ranks as the top search property in India, with 81.4% market share. It attracted more than one billion searches in India in June 2008 alone. (SOURCE: COMSCORE) Indian online users however are the least prolific searchers of the world's Internet population, ranking second to last in a survey of 37 countries of search activity. India has asia pacific digital marketing yearbook 31 53 searches per searcher in a month compared to the global average of 93; and 14.7 search visits per searcher compared to the world average of 23.6. (SOURCE: COMSCORE) Purchasing digital downloads is the most popular form of B2C ecommerce in India with more than three quarters (76%) of online Indians having purchased digital entertainment in the past year. Digital music is the most popular form of online purchased entertainment (63% of users). (SOURCE: INDIA PRWIRE/VISA) ibibo.Com MySpace Sites LinkedIn.com PerfSpot.com BIGADDA.com Fropper.com 1,970 352 293 2,106q 515 256 990 741 513 433 385 248 -50% 110% 75% -79% -25% -3% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ India Home/Work Locations *Excludes visits from public computers such as Internet cafes and access from mobile phones or PDAs) India's Top Online Gaming Sites Yahoo! Games ZAPAK.COM MINICLIP.COM GAMETOP.COM Big Fish Games Sites % Reach 3.6% 3.3% 2.2% 1.2% 1.2% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ India Home/Work Locations) Indian online shoppers average online spending in the past year came to US$2,147 per shopper. (SOURCE: INDIA PRWIRE/VISA) India's Top 10 Sites Total Unique Visitors (000) Google Sites 24,251 Yahoo! Sites 20,623 Microsoft Sites 11,835 Rediff.com India 8,705 Wikimedia Foundation Sites 6,587 AOL 5,558 Times Internet 5,408 Network 18 4,916 Indian Railways 4,590 FACEBOOK.COM 4,586 % ReachTotal Minutes (MM) 73.6% 5,240 62.6% 2,820 35.9% 578 26.4% 456 20.0% 68 16.9% 72 16.4% 111 14.9% 170 13.9% 144 13.9% 352 (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ India Home/Work Locations) India's Top Online Retail Sites Amazon Sites Apple.com Worldwide Sites FLIPKART.COM Alibaba.com Corporation Hewlett Packard AmericanGreetings Property WARESEEKER.COM Dell BOOKMYSHOW.COM Indiatimes Shopping % Reach 22.5% 10.1% 7.8% 6.9% 6.6% 6.2% 6.1% 4.4% 4.0% 3.6% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ India Home/Work Locations; heavy Internet users) India's Top Technology News Sites NetShelter Technology Media CNET About.com Technology Network EXPERTS-EXCHANGE.COM Comment Ca Marche TECHTREE.COM Scientific American Network Bestofmedia Group ZDNet VELOCITYREVIEWS.COM % Reach 25.3% 22.8% 5.5% 4.6% 2.8% 2.8% 2.4% 2.0% 2.0% 1.6% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ India Home/Work Locations; heavy Internet users) India's Top Entertainment Sites YOUTUBE.COM CBS Interactive Metacafe Yahoo! Movies AOL Music Real.com Network WindowsMedia SONGS.PK BOLLYWOODSARGAM.COM SANTABANTA.COM % Reach 48.2% 31.3% 19.8% 19.0% 18.3% 15.1% 13.9% 13.7% 12.5% 11.4% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ India Home/Work Locations; ; heavy Internet users) India's Top Social Networking Sites Total Unique Visitors (000) Orkut Facebook.com Bharatstudent.com hi5.com 32 asia pacific digital marketing yearbook Dec-07 7,123 1,619 1,736 714 Dec-08 12,869 4,044 3,269 2,012 % Change 81% 150% 88% 182% Top Indian Search Properties Searches Google Sites Yahoo! Sites Ask Network Microsoft Sites Rediff.com India Facebook.com People Group CNET Networks Wikipedia Sites AOL Share of (m) Searches (%) 1,011 81.4% 117 9.4% 24 1.9% 22 1.7% 18 1.5% 10 0.8% 9 0.8% 5 0.4% 5 0.4% 3 0.2% (SOURCE: ComScore qSearch; June 2008; Total India-Age 15+. Home/Work Locations) Type of Advertisements Seen Category Loans by Banks/Financial Institutions Job Sites Education/Training related Mobile Phone/Instruments Entertainment Sites Computer/Laptop/Printer/Scanner Matrimonial Advertisements Personal Products Investment options like Mutual Funds Insurance Ads % of Active Users 59% 59% 45% 45% 40% 38% 37% 37% 35% 34% (SOURCE: IAMAI/IMRB/I-CUBE 2007) Information Searched Subsequent to Seeing the Ads Category Job Sites Education/Training related Investment options like Mutual Funds Mobile Phone/Instruments Personal Products Entertainment Sites Loans by Banks/Financial Insurance Ads Air Tickets Ads Matrimonial Advertisements % of Active Users 41% 35% 27% 24% 22% 22% 21% 21% 17% 17% (SOURCE: IAMAI/IMRB/I-CUBE 2007) Products Bought After Seeing the Ad Category Hotels & Holiday Tours/Packages Loans by Banks/Financial Computer/Laptop/Printer/Scanner Mobile Phone/Instruments Entertainment Sites Matrimonial Advertisements Air Tickets Ads Ads for Job Sites Automobile Ads Personal Products % of Active Users 4.3% 3.8% 1.4% 1.2% 1.0% 1.0% 0.8% 0.8% 0.7% 0.7% (SOURCE: IAMAI/IMRB/I-CUBE 2007) ❚ MOBILE India is only second to China when it comes to the size of it mobile market, with 413.47 million mobile subscribers at end February 2009. More than 15 million mobile subscribers were added in the month of January alone. (SOURCE: TELECOMPAPER/TELECOM REGULATORY AUTHORITY OF INDIA) Every hour around 10,000 mobile phones are sold in India. ❚ E-COMMERCE (SOURCE: DIGITAL ECONOMY FACTBOOK) By 2012 is estimates that nearly half a billion Indian youth will own a mobile phone. India's online retail market was expected to generate Rs1,105 in 2008. (SOURCE: EBS) (SOURCE: MOBILE-YOUTH) By 2012 there will be an anticipated 650 million mobile subscribers in India, 60% of which will come from rural India. (SOURCE: TRENDSNIFF) India has one of the lowest online shopping penetration rates in Asia, with a probability of 47% that users will shop online (Japan is 83% by comparison). Only one country's citizens are less likely than India to purchase online Thailand. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) India's mobile value added services industry was worth around Rs5,780 at the end of June 2008. Over the next two years the market is expected to grow by 70% tor each Rs9,760 by June 2009 and Rs16,520 by end June 2010. The volume of products sold online in India was expected to grow by 150% in 2008. (SOURCE: EBS) (SOURCE: IAMAI/IMRB) India's MMS market was worth an estimated Rs5,930 in June 2008. India currently has 28.1 million online shoppers in its country, which is forecast to mushroom to 203.1 million people come 2010. (SOURCE: IAMAI/IMRB) (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) SMS takes up nearly half (49%) of India's total mobile VAS revenues. (SOURCE: IAMAI/IMRB) Currently around 5% of India's mobile users have 3G-enabled handsets. (SOURCE: IAMAI/IMRB) Indian online shoppers are no different from the majority of people when it comes to the one major factor preventing them from making more online purchases - security. Nearly three quarters (73%) of Indian consumers cited safety as their "primary concern" making them reluctant to purchase products online. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Only four million Indian Internet users go online using their mobile phones. (SOURCE: JUXTCONSULT) India's mobile Internet penetration rate is low at 1.8%. (SOURCE: Nielsen) When Indian online users do shop online, they, like the rest of the region's shoppers, overwhelmingly prefer to use credit cards, with 60% of them saying they were their most preferred form of online payment, the next popular method being debit cards (24% of users) (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Mobile ad spend in India is currently estimated to be worth upto Rs300 million. (SOURCE: DNA INDIA) Mobile Internet traffic in India grew by more than 90% in the last quarter of 2008. Content download sites accounted for nearly half (47%) of all mobile Internet traffic. India's online shopping market will generate US$734.3 billion in revenues by 2010, more than 10 times the amount earned in 2007 (US$70.8 billion). (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) By 2012 India is expected to the fourth biggest market in the world in terms of mobile data revenue, generating estimated revenues of US$14.1 billion. Indian online shoppers are more opportunistic than anyone else in the region, with 30% of frequently making impulse purchases, compared to around 10% in Singapore, South Korea and Australia, for example. The items they tend to snap up on impulse are home appliances and electronic products (63% of users) and airline tickets (54%). (SOURCE: PYRAMID RESEARCH/MKHOJ) (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) The number of mobile Internet users in India doubled in a 12-month period, reaching 38 million users in October 2008. Indian shoppers spend on average US$2,517 per year on online purchases - more so than the Japanese - and representing around 11% of their personal income, which is higher than the regional average of 9.8%. (SOURCE: MKHOJ) (SOURCE: MKHOJ) India's Top Mobile Internet Website Categories Rank 1 2 3 4 5 Category Games Email Entertainment Music Sports % of mobile Internet users (38%) (33%) (21%) (18%) (15%) (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) By 2010-2011 India's online matrimonial industry is expected to attract more than 20 million registrations, generating revenues of US$63 million. (SOURCE: CIOL.COM/EMPOWER RESEARCH) (SOURCE: Nielsen, Mobile Media Marketplace report - BRIC, US, Europe, Q1 2008) Nearly two thirds (65%) of Indian online shoppers have bought a travel product online. (SOURCE: JUXTCONSULT) asia pacific digital marketing yearbook 33 34 asia pacific digital marketing yearbook ❚ CASE STUDY Client: Unilever Agency: Mindshare Fulcrum/ Microsoft® Advertising Campaign: Lux Provocateur Objective: Unilever wanted to differentiate its latest offering by providing a unique experience to its consumers. Strategy: Unilever worked with Microsoft® Advertising and agency Mindshare Fulcrum to launch a campaign on Windows Live Messenger and the MSN® India network. Specially designed Windows Live Messenger Personal Expressions and banner advertisements were created to add a new online dimension to the Lux Provocateur advertising campaign. Mindshare Fulcrum created a range of Lux Provocateur animated backgrounds, dynamic display images, winks and emoticons on Windows Live Messenger. The Lux Provocateur Personal Expressions allow users to personalize their Windows Live Messenger sessions with a wide selection of customisable options centred on the Lux Provocateur animated ambassador, created specifically for this campaign. The online campaign ran from March to April 2008, comprising banner and interactive rollover advertisements on the MSN® India network and Windows Live Messenger, in addition to the downloadable Personal Expressions. With a wide and established community of Windows Live Messenger users in India, Unilever could swiftly reach out and communicate with its target audience. Details: With the Lux Provocateur Personal Expressions, users could use the fun and exclusive animated winks and emoticons to interact with their Windows Live Messenger contacts, further expanding the publicity and engagement of Lux Provocateur. Results: • More than 150,000 downloads were recorded within the month long campaign. • The boost in brand image also led to favourable sales results for Unilever's Lux Provocateur. ❚ CASE STUDY Client: Idea Cellular Agency: Pinstorm Campaign: MyIdea Objective: Against much larger rivals like Airtel and the multinational Vodafone, Idea Cellular decided to talk to the Indian consumer who is proud of their country and believe that they can help build the country, change it for the better. This resulted in a platform called "MyIdea" - which involved the consumer in a form of participative democracy - where Idea Cellular service empowered them to make this happen. Strategy: Pinstorm created a voting platform at MyIdea. co.in, and turned it over to the consumers. They fed in issues they were passionate about, and then used viral marketing tools to generate support, votes and occasionally, opposition for their ideas. Details: The look of the website was a balance between brand identity elements: yellow and the spokesperson and on the need for a fast voting platform. Care was taken to track each vote with IP address, geo-location through latitude/longitude and ensured that multiple votes by the same person for the same idea were recorded and discounted. Votes were live-reported and ideas tallied. Embedded viral marketing tools like auto-inclusion of GTalk, MSN, Yahoo and other buddy lists made it easy for the consumer to forward ideas to their contacts. Virality was tested with closed user groups and then opened it up for the public. Once the campaign caught fire, oil was poured on it with an integrated digital effort involving SEO, SEM, Display Advertising, Social Media Optimisation and Email. The theme was: "be part of this Indian democracy movement by voting for what you believe in" Results: • MyIdea.co.in has had the fastest consumer activation of any online campaign in Indian advertising history, with over 130,000 votes gathered in just 3 weeks. • Over 2,200 ideas were submitted by the public, each was moderated by the agency, each was viewed an average of 150 times, and each was voted on an average of 60 times. • The performance of the campaign so far is tracking at twice over what was expected in terms of usage and virality numbers. Many of the issues have become rallying points for key topics: Supporting the girl child; Dealing with terrorism; and India's superstar cricketers. INDONESIA Sunrise over Borobudur Temple on Java Island, Indonesia 55+ Years ❚ DEMOGR APHICS Indonesia had 30 million Internet users in 2008. (SOURCE: RESEARCH AND MARKETS) Indonesia's online population grew by 1,450% since 2000. Age (Group 2) 10-14 Years 15-19 Years 20-29 Years 30-39 Years 40-49 Years 50+ Years 1 0.03% 630 1,256 1,186 671 180 24 15.96% 31.81% 30.04% 17% 4.56% 0.61% (SOURCE: NIELSEN MEDIA INDEX INDONESIA/MIX 2008 WAVE) (SOURCE: APJIII/SYNOVATE) Indonesian Online Users, by Income Despite high Internet population figures, this still only represents a little more than 10% of Indonesia's total population. (SOURCE: OGILVYONE) Broadband Internet users are "virtually non-existent" in Indonesia, representing just 0.4% of the population. (SOURCE: OGILVYONE) Around 40% of all Internet users in Indonesia are aged between 20 and 24. (SOURCE: OGILVYONE) Age (Group 1) 10-14 Years 630 15-19 Years 1,256 20-24 Years 703 25-29 Years 483 30-34 Years 443 35-39 Years 228 40-44 Years 124 45-49 Years 56 50-54 Years 23 36 asia pacific digital marketing yearbook Household Income IR3,501 & Over 1,387 IR2,501 - 3,500 856 IR1,751 - 2,500 830 I R1,251 - 1,750 456 IR901 - 1,250 212 IR601 - 900 136 IR600 & Below 53 % of users 15.65% 17.55% 27.28% 20.97% 11.5% 5.24% 1.8% 35.13% 21.68% 21.02% 11.55% 5.37% 3.44% 1.34% (SOURCE: NIELSEN MEDIA INDEX INDONESIA/MIX 2008 WAVE) Indonesia's Internet Users 2008 (000) Sex Male 2,478 Female 1,469 (000) Household expenditure IR3,501 & Over 618 IR2,501 - 3,500 693 IR1,751 - 2,500 1,077 IR1,251 - 1,750 828 IR901 - 1,250 454 IR601 - 900 207 IR600 & Below 71 % of population 62.77% 37.21% 15.96% 31.81% 17.81% 12.23% 11.22% 5.78% 3.14% 1.42% 0.58% ❚ USER BEHAVIOUR Indonesia has an estimated 20 million social media users. (SOURCE: OGILVYONE) Nearly half of Indonesia's social media population (9 million) are registered users of Friendster. (SOURCE: OGILVYONE) How Long Indonesians Spend Online Average Time Spent Using Internet Less Than 30 Minutes 30 Minutes-Less Than 1 Hour 1 Hour-Less Than 2 Hours 2 Hours-Less Than 3 Hours 3 Hours-Less Than 4 Hours 4 Hours-Less Than 5 Hours 5 Hours-Less Than 6 Hours 6 Hours-Less than 7 Hours 7 Hours or More (000) 568 1,700 2,031 1,305 404 200 142 55 66 % OF USERS 8.78% 16.27% 31.39% 20.17% 6.24% 3.09% 2.19% 0.85% 1.02% (SOURCE: NIELSEN MEDIA INDEX INDONESIA/MIX 2008 WAVE) (000) 604 1,725 934 837 430 1,940 % of users 9.33% 26.66% 14.43% 12.93% 6.65% 29.98% An estimated 60% of all Indonesian mobile Internet traffic goes to social media destinations. Indonesia ranks number one out of nine countries surveyed for the number of mobile page views per person, with each mobile user browsing on average 358 pages in the month of October 2008. (SOURCE: OPERA) Indonesia is showing large growth rates in mobile Internet adoption with a 329.5% increase in users in this past year. (SOURCE: NIELSEN MEDIA INDEX INDONESIA/MIX 2008 WAVE) What Indonesians do Online: 2008 Features Used Email Internet Phone Download Software/Files Product Information Company Information Buy Any Product Perform Financial Services Access International News Access Local News Read e-Newspaper Read e-Magazine Listen to Music Watch a Movie Play Games Bulletin Boards Chatting General Surfing Job Hunting Video Conference Education Service Classifed Ads Participate in Auctions Other (SOURCE: ADMOB) (OGILVYONE) How Often Indonesians go Online Frequency of Using Internet Every Day A Few Times a Week Once a Week A Few Times a Month Once a Month Less Than Once a Month Indonesia is ranked second in the world, only behind the U.S. when it comes to serving up mobile ad impressions, with more than 700 million ad requests made in March alone. (000) 2,692 124 1,484 1,404 503 219 231 996 1,216 749 529 2,132 548 2,365 97 1,988 2,136 778 146 1,283 239 60 450 % of users 41.6% 1.92% 22.93% 21.7% 7.77% 3.38% 3.57% 15.39% 18.79% 11.57% 8.17% 32.95% 8.47% 36.55% 1.5% 30.72% 33.01% 12.02% 2.26% 19.83% 3.69% 0.9% 6.95% (SOURCE: NIELSEN MEDIA INDEX INDONESIA/MIX 2008 WAVE) ❚ ONLINE ADVERTISING Online display advertising in Indonesia came to US$21.85 million in 2008 and is projected to generate US$26.81 million in 2009. By 2010 online display ads should be bringing in US$28.44 million. (SOURCE: NIELSEN/YAHOO!) Search advertising revenues in Indonesia came to US$4.68 million last year and are projected to reach US$12.65 million in 2009. By 2010 search revenues will almost hit US$20.74 million. (SOURCE: NIELSEN/YAHOO!) ❚ MOBILE Friendster represents more than 50% of Indonesians' total usage of the mobile Internet. (SOURCE:C:INSIGHTS) There were 128 million mobile subscribers in Indonesia in 2008, set to increase to 159 million in 2009. By 2010 that number is estimated to reach 233 million. (SOURCE: OPERA) Young Indonesians, aged from eight to 24 have some of the highest levels of mobile phone ownership in the region, at 80% penetration. (SOURCE: SYNOVATE) Indonesia's mobile market has one of the lowest ARPUs in the world, at US$5.70 in 2Q 2008, and marking a 23% decline on the previous year. (SOURCE: WIRELESS FEDERATION) Indonesia's mobile Internet users are overwhelmingly male, representing 82% of the population. (SOURCE: OPERA) Indonesia's Top Mobile Sites 1. friendster 2. yahoo 3. google 4. peperonity 5. getjar 6. mig33 7. mocospace 8. itsmy 9. mobile9 10.kaskus (SOURCE: Opera/Friendster; ranked by unique users) ❚ E-COMMERCE The vast majority of Indonesian online users (96.6%) buy nothing at all over the Internet, ecommerce activity to date limited to just 3.3% of the country's users. (SOURCE: NIELSEN) Indonesians' Online Shopping Activities E-commerce Activity Computer Software Computer Hardware Books Recorded Music Travel-Related Clothing/Apparel Entertainment Household Appliances Collectibles Groceries Others Never Use E-commerce (000) 47 26 27 42 33 40 5 1 3 1 54 6,251 % of users 0.73% 0.4% 0.42% 0.65% 0.51% 0.62% 0.08% 0.02% 0.05% 0.02% 0.83% 96.6% (SOURCE: NIELSEN MEDIA INDEX INDONESIA/MIX 2008 WAVE) (SOURCE: MOBILE MONDAY INDONESIA) asia pacific digital marketing yearbook 37 JAPAN Shinjuku, Tokyo ❚ DEMOGR APHICS There are 94 million online users in Japan. (SOURCE: BTRAX) Japan's Internet penetration rate was estimated to be 73.8% in 2008. (SOURCE: OGILVYONE) Japan's Email Users Total Unique Visitors (000) Minutes per Visitor NovNovNovNov 2007 2008 % Change 2007 2008 % Change Total Audience 26,493 32,396 22% 67.7 84.7 25% Persons - Age Persons: 15-24 5,289 4,900 -7% 70.3 46.1 -34% Persons: 25-34 7,307 7,557 3% 57.8 63.9 11% Persons: 35-44 5,568 7,386 33% 63.8 80.0 26% Persons: 45-54 4,576 5,511 20% 51.8 107.6 108% Persons: 55+ 3,753 7,042 88% 108.7 120.6 11% (SOURCE: ComsCore World Metrix; Audience: Age 15+ Home/Work Locations) Japan has more than 62 million unique Internet users. (SOURCE: COMSCORE) ❚ E-COMMERCE Japanese Internet users spent on average 979.5 minutes online in February 2009, averaging 36.1 visits per person. (SOURCE: COMSCORE) Japan is currently Asia's biggest consumer e-commerce market, taking 62% of the region's online sales. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Japan's online population represents 6% of the total global Internet audience, the third largest after China and the U.S. (SOURCE: COMSCORE) Japan's average annual ecommerce sales come to US$38.4 billion. (SOURCE: BTRAX) Japanese is the fourth most used language on the Internet, behind English, Chinese and Spanish. (SOURCE: BTRAX) Japan's online shopping market is projected to generate US$58.3 billion in revenues in 2010. (SOURCE: BTRAX) Japanese is the most used language in the "blogosphere". (SOURCE: OGILVYONE) Nearly all Japanese Internet users shop online - the country has an online shopping penetration rate of 97%. Japanese broadband subscribers made up approximately 8.5% of the world's broadband population in 2009. (SOURCE: BTRAX) (SOURCE: TMCNET) Last year, Japanese online shoppers spent US$581 on online purchases over a three month period. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) 38 asia pacific digital marketing yearbook More so than anyone else in Asia, the Japanese prefer paying for goods online with their credit cards over any other form of payment method, with 70% of them saying that was the case. ❚ ONLINE ADVERTISING Online ad spend in Japan increased by 16.3% in 2008. (SOURCE: DENTSU) (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Japan's online shopping population should represent 75.1 million people by 2010. Japan's total online ad expenditure in 2008 came to Y537.33 billion. When production costs are factored in, total expenditure equals Y698.3 billion. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) (SOURCE: DENTSU) There are more than 147.6 million domains in Japan. Online advertising represents 8% of overall ad expenditure in Japan. When production costs are factored in, expenditure comes to 10.4% (SOURCE: BTRAX) Japan is the world's number two digital music market, with 19% market share. (SOURCE: DENTSU) (SOURCE: IFPI) It is estimated that online advertising will take a 16.3% share of overall ad spend in Japan by 2011. Online shopping is the second most favoured online activity in Japan, after email. (SOURCE: IDC) (SOURCE: MARSH RESEARCH/EMARKETER) Search engine advertising generated Y157.5 billion in revenues in 2008, a year on year increase of 22.9%, which represented the highest growth rate in the online ad sector. Almost 40% of Japanese online users paid a visit to a music site in August 2008, spending on average 16 minutes there each visit. (SOURCE: DENTSU) (SOURCE: MARKETINGVOX) There are more than a quarter of a million (244,000) blogs coming out of Japan. Japan's Top Gaining Site Categories (SOURCE: BTRAX) Site Category Health Community - Family Personal Finance Business/Finance Sep-2008 7,134 3,400 11,580 20,104 Total Unique Visitors (000) Oct-2008 % Change 8,452 18% 3,982 17% 12,829 11% 21,881 9% (SOURCE: ComsCore World Metrix; Audience: Age 15+ Home/Work Locations) Japan's Top Gaining Sites Property Total Unique Visitors (000) Sep-2008 BELLEMAISON.JP 1,843 Disney Online 2,307 Sankei Shimbun 8,035 ASAHI-NET.OR.JP 2,475 TBS Group 4,677 MYCOM.CO.JP 2,301 Mizuho Financial Group 3,236 NTV.CO.JP 3,177 COOKPAD.COM 3,089 MAPION.CO.JP 5,069 Oct-2008 2,608 2,836 9,634 2,950 5,481 2,689 3,642 3,532 3,429 5,562 % Change 41% 23% 20% 19% 17% 17% 13% 11% 11% 10% (SOURCE: ComsCore World Metrix; Audience: Age 15+ Home/Work Locations) The biggest social networking site in Japan is Mixi, with a market share of 80% and 10 million users who together generate 11 billion page views a month. (SOURCE: OGILVYONE) Japanese online users have the highest levels of tolerance for online ads, with 80% of them saying they would watch an ad in exchange for quality free video content, while 20% saying they would be prepared to pay for online videos to avoid being served ads. (SOURCE: IBM INSTITUTE FOR BUSINESS VALUE) The Japanese are fairly willing to provide information about themselves in exchange for something of value, with 62% of users claiming this. (SOURCE: IBM INSTITUTE FOR BUSINESS VALUE) Digital Music Sales in Japan, by Format, Q1 2008 Units % change (thousands) vs. 2007 Internet Single track 9,007 31% Album 525 58% Music video 386 145% Internet subtotal 9,917 34% Mobile Ringtones 51,126 -16% Ringback tones 22,601 18% Single track 34,432 48% Music video 2,420 0% Other 325 -63% Mobile subtotal 110,903 4% Online subscriptions - - Mobile subscriptions - - Other digital music 7 - Total digital music 120,827 6% (SOURCE: Emarketer) Value % change (millions) vs. 2007 ¥1,360 ¥613 ¥108 ¥2,081 43% 58% 155% 50% ¥5,875 ¥1,876 ¥11,401 ¥688 ¥136 ¥19,977 ¥166 ¥109 ¥130 ¥22,463 -13% 47% 58% 39% -17% 26% 73% 21% 4% 28% Yahoo! Japan is the number 10 top website in the world. (SOURCE: ALEXA/DIGITAL ECONOMY FACTBOOK) In a survey of online users in Japan, 70% said they had clicked on contextual search ads. But only 1% of them said they found them "very useful". (SOURCE: EMARKETER) And while many Japanese Internet users may have clicked on contextual ads in search results, an overwhelming 80% of them said they had never bought any goods or services as a result of doing so. (SOURCE: EMARKETER) Search advertising will take up 36% of online ad spend by 2011. (SOURCE: DENTSU/SOZON) asia pacific digital marketing yearbook 39 Japan's Top 10 Sites Total Unique Visitors (000) Yahoo! Sites 51,453 Google Sites 41,456 Dwango 11,488 Microsoft Sites 29,435 Rakuten 32,555 MIXI 10,667 CyberAgent 21,328 FC2 29,687 NTT Group 29,363 Wikimedia Foundation Sites 24,130 Japan's Search Activities on Top Properties % ReachTotal Minutes (MM) 82.9% 12,719 66.8% 6,126 18.5% 2,186 47.4% 2,102 52.5% 1,374 17.2% 1,217 34.4% 806 47.8% 721 47.3% 489 38.9% 402 (SOURCE: ComsCore World Metrix; February 2009; Audience: Age 15+ Home/Work Locations) Searches (MM)*** Yahoo! Sites 3,012 Google Sites** 2,294 Rakuten 120 Microsoft Sites 90 NTT Group 80 Amazon Sites 55 Excite Japan 41 NEC Corporation 37 MIXI 32 GMO Internet Group 19 Searches Per Searcher 58.9 54.7 7.6 10.5 10.9 6.5 17.4 18.2 6.9 4.5 Share of Searches 51.2% 39.0% 2.0% 1.5% 1.4% 0.9% 0.7% 0.6% 0.5% 0.3% (SOURCE: ComsCore qSearch; September 2008; Audience: Age 15+ Home/Work Locations) Japan's Top Online Gaming Sites Yahoo! Games HANGAME.CO.JP WAZAP.COM Nexon Corporation Gamepot % Reach 7.1% 4.5% 2.6% 2.6% 1.3% (SOURCE: ComsCore World Metrix; February 2009; Audience: Age 15+ Home/Work Locations) Japan's Top Online Retail Sites RAKUTEN.CO.JP Amazon Sites Yahoo! Shopping Kakaku.com Apple.com Worldwide Sites NISSEN.CO.JP ECNAVI.JP Yahoo! Japan Stores DHC OCNK.NET % Reach 73.9% 65.4% 52.3% 42.2% 22.6% 15.6% 15.3% 14.7% 11.9% 11.0% (SOURCE: ComsCore World Metrix; February 2009; Audience: Age 15+ Home/Work Locations; heavy Internet users) ❚ USER BEHAVIOUR Japan has an estimated 75.2 million social media users. (SOURCE: OGILVYONE) Nearly three quarters (74%) of Japanese Internet users read blogs, a higher level than anywhere else in the world. (SOURCE: OGILVYONE) Member community websites had a 70% reach in Japan in 2008, up 2.7% on 2007. (SOURCE: NIELSEN ONLINE) More than 20 million Japanese Internet users visited online gaming sites in August 2008. (SOURCE: COMSCORE) Japan's Top Technology News Sites ITMEDIA.CO.JP CNET ATMARKIT.CO.JP NetShelter Technology Media ZDNet AOL Tech ASCII24.COM WIREDVISION.JP BETANEWS.COM HYPERDIA.COM % Reach 18.0% 6.6% 3.8% 3.3% 3.0% 1.8% 1.4% 1.3% 0.8% 0.4% (SOURCE: ComsCore World Metrix; February 2009; Audience: Age 15+ Home/Work Locations; heavy Internet users) Japan's Top Entertainment Sites YOUTUBE.COM Sony Online NICOVIDEO.JP iTunes Software (App) FujI Television Network Oricon Yahoo! Entertainment Yahoo! Music GYAO.JP TBS Group % Reach 63.3% 51.6% 37.8% 29.4% 27.6% 24.9% 23.4% 23.0% 21.4% 16.9% (SOURCE: ComsCore World Metrix; February 2009; Audience: Age 15+ Home/Work Locations; heavy Internet users) Japan's Top Search Properties Searches (MM)Jan-08 Yahoo! Sites 3,096 Google Sites** 2,481 Rakuten 111 Microsoft Sites 119 NTT Group 93 Amazon Sites 80 Excite Japan 11 NEC 58 MIXI 40 Nifty 19 Jan-09 3,489 2,596 153 113 103 69 52 44 23 22 (SOURCE: ComsCore qSearch; Audience: Age 15+ Home/Work Locations) 40 asia pacific digital marketing yearbook % Change 13% 5% 38% -5% 11% -14% 362% -25% -42% 14% The Japanese are spending less time on gaming sites than most of their Asian peers, with users spending on average 76.1 minutes per person on them in August 2008. South Koreans by contrast spent 189.6 minutes on them. (SOURCE: COMSCORE) The vast majority - 92% - of Japan's Internet population use search engines to find information. (SOURCE: JAPAN MINISTRY OF AFFAIRS/SOZON) What the Japanese do Online Activity Webmail Online shopping Video delivery service Internet auction Blogs Music download Social networking sites Instant messenger Online gaming Homepage creation Bulletin Boards VoIP File-shareing Other % of users 88% 78% 48.7% 44.7% 31.7% 25% 23.7% 16.7% 15.7% 15.3% 14% 8% 5% 11.7% (SOURCE: Emarketer/Marsh Research; April-May 2008) Time Spent on Online Entertainment Sites Total Unique Reach Average Minutes Visitors (000)per Visitor YOUTUBE.COM 21,701 35.0% 187.0 Sony Online 15,205 24.5% 10.6 iTunes Software (App) 12,107 19.5% N/A NICOVIDEO.JP 11,246 18.1% 192.9 Fuji Television Network 7,454 12.0% 6.8 Yahoo! Entertainment 7,443 12.0% 28.9 Yahoo! Music 6,994 11.3% 16.1 Oricon 6,866 11.1% 5.0 GYAO.JP 6,214 10.0% 32.8 Yahoo! Movies 4,745 7.6% 7.5 TBS Group 4,550 7.3% 4.6 Yahoo! TV 4,451 7.2% 10.3 VEOH.COM 4,377 7.1% 54.8 Nippon Television Network NHK.OR.JP DAILYMOTION.COM WindowsMedia PANDORA.TV CBS Interactive TV-ASAHI.CO.JP 4,012 3,821 3,728 3,546 3,514 3,443 3,277 6.5% 6.2% 6.0% 5.7% 5.7% 5.5% 5.3% 5.3 9.1 45.5 5.3 63.9 4.5 4.9 (SOURCE: ComsCore World Metrix; February 2009; Audience: Age 15+ Home/Work Locations) There are currently 18 million mobile TV viewers in Japan. (SOURCE: MOCONEWS.NET) The majority of mobile users in Japan, 87%, use mobile data services. (SOURCE: RAWLINGS ATLANTIC) How Long the Japanese Spend on Mobile Internet ❚ MOBILE There are 102 million mobile subscribers in Japan. (SOURCE: INFINITA) By 2011 the country is expected to have 121 million mobile users, with a penetration rate of 95.4%. Time Spent Per Day Less than 3 hours 2-3 hours 1-2 hours 30 mins - 1 hour Daily, less than 30 mins Less than daily I don't AllFemale (% of users) (% of users) 24% 33% 15% 17% 22% 21% 16% 12% 13% 9% 4% 3% 3% 3% Male (% of users) 16% 14% 22% 20% 16% 5% 3% (SOURCE: Infinita; April 2008) (SOURCE: CELLULAR NEWS) The mobile Internet is pervasive in Japan - 90% of mobile users go online via their handsets. (SOURCE: INFINITA) Mobile advertising generated Y91.3 billion in revenues in 2008, representing year on year growth of 47%. (SOURCE: DENTSU) Mobile search engine advertising increased by 100% year on year to reach Y17 billion in revenues in 2008. (SOURCE: DENTSU) Japan's mobile ad spend is estimated to reach US$2.7 billion by 2011. (SOURC: BTRAX) Mobile ad spend represents around 1% of overall ad expenditure in Japan currently. (SOURCE: DENTSU) Nearly two thirds (65.8%) of Japan's mobile subscribers are on a 3G network, the highest adoption rate in the world. (SOURCE: DIGITAL ECONOMY FACTBOOK) An overwhelming 91% of all digital music is sold via mobiles in Japan. (SOURCE: IFPI/DIGITAL ECONOMY FACTBOOK) Mobile social networking site Mobage-Town is so popular in Japan, its 11 million users generating up to 800 million page impressions every day, that it is estimated that in 2008 the site generated more traffic than that of North America and western Europe combined for the entire year. (SOURCE: INFORMA) The monthly mobile expenditure of an average 25 year old in Japan is more than US$100. (SOURCE: MOBILE-YOUTH) Mobile search advertising will take up 40% of mobile ad spend by 2011. ❚ CASE STUDY Client: Jetstar Japan Agency: Ogilvy Campaign: Jetstar Japan Air Guitar Campaign Objective: To make a splash in the Japan market, communicate JET's fresh Aussie personality, and spread awareness. Strategy: Online promotion centred around air guitar competition. Details: The campaign website contained: Mini Youtube-like function to download 30 sec. JET music clip, enter the competition by uploading guitar film, view, and vote for favourites and Japanese comedian Dainoji - who won the World Air Guitar Championship - giving air guitar lessons. JET Japan concert tour report as exclusive content. Information about Jetstar and JET, details of Jetstar's upcoming launch of flights between Japan and Australia, and icon links to both parties' respective independent websites. Results: • 125 performances uploaded and 1,200 new Jetmail database signups. • More than 40,000 visits to the site. • 200,000 page views of the site. • Topic of 123 blog articles, and 155 chat site topics with estimated footprint of 200,000 users. • More than 106,000 individual film views on video portals (Youtube, Google video, etc). • With 97% of site access from consumers in Japan, the site was also accessed and viewed in more than 10 additional countries around the world. (SOURCE: DENTSU/SOZON) In Japan, 40% of all emails are sent from mobile devices. (SOURCE: EMARKETER) asia pacific digital marketing yearbook 41 MALAYSIA Kuala Lumpur ❚ DEMOGR APHICS Malaysia has a 62.8% Internet penetration rate up from 48.7% in 2007. (SOURCE: Internet WORLD STATS) Malaysia's broadband penetration rate was 21.1% as of Q4 2008, marking a sizable increase from Q3 when penetration rates stood at 17.5%. (SOURCE: THE MALAYSIAN COMMUNICATIONS AND MULTIMEDIA COMMISSION) Malaysia has 15.9 million Internet users, 1.4 million of which are broadband subscribers. (SOURCE: Internet WORLD STATS) The number of Malaysian dedicated Internet subscribers is expected to reach the 10 million mark by 2012. (SOURCE: TELEKOM MALAYSIA) While TV, radio and newspapers continue to dominate the Malaysian media scene, Internet is catching up, penetration rates doubling in the past five years to now reach two in 10 Malaysians. (SOURCE: THE NIELSEN COMPANY) Malaysians frequently log on outside of their own homes 81% access the Internet in public Internet outlets, Internet cafes, in the workplace or in school. Malaysia's Internet Users 2008 Sex Male Female Age 15-19 Years 20-24 Years 25-29 Years 30-34 Years 35-39 Years 40-44 Years 45-49 Years 50-54 Years 55-59 Years Over 60 Years Average Monthly Income RM1-1,000 RM1001-2,000 RM2001-3,000 RM3001-4,000 RM4001-5,000 Over RM5,000 Not Disclosed (000) % of population 1,768 1,199 661 645 479 357 248 196 170 120 49 42 59.6% 40.4% 22.3% 21.7% 16.1% 12% 8.4% 6.6% 5.7% 4% 1.7% 1.4% 166 453 648 400 298 998 4 5.6% 15.3% 21.8% 13.5% 10% 33.6% 0.1% (SOURCE: Nielsen Media Index Malaysia; Past Week Internet Users aged 15+ in Peninsular Malaysia) ❚ E-COMMERCE In Malaysia, more than 50% of the customers who shop online tend to rely on personal recommendations to make their purchasing decisions. Other main deciding factors are search engine results (37%) and special offers (34%). (SOURCE: THE NIELSEN COMPANY) (SOURCE: OMNICOM MEDIA GROUP/YAHOO!) Creating that first positive shopping experience is key in order to capture loyalty and money - Malaysian online shoppers tend to stick to the shopping sites they are familiar with, with 60% saying they buy mostly from the same site. (SOURCE: THE NIELSEN COMPANY) 42 asia pacific digital marketing yearbook Nearly three quarters (70%) of Malaysian Internet users have purchased something online, with 39% of online users having made at least one purchase online. (SOURCE: THE NIELSEN COMPANY) Malaysian online shoppers mainly buy airline tickets or book travel reservations over the Internet (55% of users), make tour/hotel reservations (41%) and buy computer hardware (22%). (SOURCE: THE NIELSEN COMPANY) Malaysia's Top Online Retail Sites Amazon Sites Apple.com Worldwide Sites Alibaba.com Corporation Yahoo! Shopping Hewlett Packard Dell AmericanGreetings Property WARESEEKER.COM ZOL.COM.CN ENET.COM.CN % Reach 17.7% 9.4% 9.0% 4.9% 4.6% 4.4% 4.0% 2.9% 1.9% 1.8% (SOURCE: ComsCore Segment Metrix; February 2009; Audience: All Persons 15+ at Malaysia Home/ Work Locations; heavy Internet users) Malaysia's Top Technology News Sites ❚ ONLINE ADVERTISING The Malaysian advertising market grew by 13% in 2008, generating RM6.2 billion. Internet ad spend accounted for just RM32.1 million of that. (SOURCE: THE NIELSEN COMPANY) Dedicated brand websites and sponsored content are the best media channels to reach Malaysian online consumers, with 54% and 53% of users respectively recalling their use by online advertisers. The third most favoured media channel is the banner ad, with 50% of Malaysian online users recalling its use. (SOURCE: TNS/MEDIA) Malaysians are very receptive to viral messages, with 88% of online users saying they have received a viral message at some point and as much as 60% of them admitting to have passed it on. (SOURCE: TNS/MEDIA) Online display advertising in Malaysia came to US$8.64 million in 2008 and is projected to generate US$9.9 million in 2009. By 2010 online display ads should be bringing in more than US$10 million. (SOURCE: NIELSEN/YAHOO!) Search advertising revenues in Malaysia came to US$6.3 million last year and are projected to reach US$9.3 million in 2009. By 2010 search revenues will almost hit US$10 million (US$9.9 million). (SOURCE: NIELSEN/YAHOO!) Malaysia's Top 10 Sites Total Unique Visitors (000) Google Sites 6,127 Yahoo! Sites 5,897 Microsoft Sites 4,858 FRIENDSTER.COM 3,327 FACEBOOK.COM 2,368 Wikimedia Foundation Sites 1,911 AOL 1,380 Fox Interactive Media 1,371 CBS Interactive 1,276 WordPress 1,211 % ReachTotal Minutes (MM) 67.8% 721 65.3% 1,052 53.8% 1,149 36.8% 328 26.2% 185 21.2% 20 15.3% 9 15.2% 172 14.1% 12 13.4% 6 (SOURCE: ComsCore Segment Metrix; February 2009; Audience: All Persons 15+ at Malaysia Home/ Work Locations) Malaysia's Top Online Gaming Sites Yahoo! Games Travian Games Y8.COM MSN Games MINICLIP.COM % Reach 5.9% 3.5% 3.2% 2.7% 2.6% (SOURCE: ComsCore Segment Metrix; February 2009; Audience: All Persons 15+ at Malaysia Home/ Work Locations) CNET NetShelter Technology Media About.com Technology Network MOBILE88.COM.MY ZDNet Bestofmedia Group NEWHUA.COM Yahoo! Tech SINA Technology Imaginova Network % Reach 21.9% 17.2% 2.6% 2.5% 1.4% 1.4% 1.2% 1.2% 1.1% 1.0% (SOURCE: ComsCore Segment Metrix; February 2009; Audience: All Persons 15+ at Malaysia Home/ Work Locations; heavy Internet users) Malaysia's Top Entertainment Sites YOUTUBE.COM CBS Interactive AOL Music Gorilla Nation Metacafe Real.com Network imeem WindowsMedia Viacom Digital Sony Online % Reach 60.9% 31.2% 16.6% 15.2% 13.9% 13.2% 11.6% 11.6% 11.5% 10.0% (SOURCE: ComsCore Segment Metrix; February 2009; Audience: All Persons 15+ at Malaysia Home/ Work Locations; heavy Internet users) Top 20 Advertisers Using Digital Media in Malaysia Advertiser Air Asia Nokia DiGi Telecommunication Maxis Communication KFC Holdings Celcom Sony McDonald's Coca Cola Nike Pizza hut Citibank Samsung MasterCard VISA Nestle Adidas Honda Malaysia Canon Marketing TM Net % of users 90% 76% 76% 75% 72% 72% 70% 69% 69% 65% 64% 64% 62% 62% 59% 56% 54% 52% 52% (SOURCE: TNS/MEDIA; Q: Which of the following brands have you seen advertised via digital media?) Trust in Media Channels in Malaysia Media channel % who trust the channel completely Recommendations from friends and family 50% Independent reviews in publications 33% Expert product review from websites 31% Manufacturers/brands websites 26% Product labels on packaging 25% TV ads 23% Newspaper ads 22% Magazine ads 21% Consumer product review from websites 21% Products/brands that appear in movies or within TV programmes 21% Radio ads 19% Consumer opinion in blogs 18% Ads at the cinema before the movie starts 17% Email newsletters 15% Ads on posters, buses/bus shelters 13% Consumer opinion on message boards 12% Consumer opinion in chat rooms 12% asia pacific digital marketing yearbook 43 Banner ads on websites Ads that appear on search engines Ads that have been sent to you by email Recommendations from other consumers who you do not personally know Pop-up or pop-under web ads Ads in virtual worlds Ads in video games Ads via mobile SMS 10% 10% 8% 8% 5% 5% 4% 4% (Source: TNS/Digital Media) ❚ USER BEHAVIOUR It is estimated that there are around 12 million social media users in Malaysia. Malaysians have a big appetite when it comes to consuming digital media, with more than half of them (53%) having streamed or played entertainment content such as fulllength movies, TV shows or music videos online. (SOURCE: THE NIELSEN COMPANY) More than two fifths (41%) of Malaysians have downloaded the same variety of content from the Internet over the last month. This ranks Malaysia in seventh and ninth place respectively out of 52 countries when it comes to the frequency of streaming and downloading entertainment content from the Internet. (SOURCE: THE NIELSEN COMPANY) (SOURCE: OGILVY) Friendster.com is the Number 1 social networking site in Malaysia with 3.02 million unique visitors a month - more than three times the size of its nearest competitor. And Malaysia takes third placing globally in terms of those who spend more than 20 hours a week watching streamed or downloaded content from the Internet. (SOURCE: THE NIELSEN COMPANY) (SOURCE: OGILVY) YouTube is the fastest rising search term in 2008 used by 51.7% of heavy Internet users. (SOURCE: GOOGLE MALAYSIA ZEITGEIST/ OGILVY) In Malaysia, while TV ownership (89%) is slightly ahead of PC ownership (87%), PC usage rates (85%) compared to TV (77%) shows that Malaysians are allowing the PC to infiltrate their lives more. (SOURCE: THE NIELSEN COMPANY) A sizeable 81% of Malay Internet users access the Internet in public places Internet outlets, Internet cafes, workplaces and schools, while 75% of Malaysia's Chinese Internet users have access to the Internet at home. (SOURCE: OMNICOM MEDIA GROUP/YAHOO!) Yahoo! is the most popular starting point on the Internet for Malaysian online users - 55% typically start their web journey with Yahoo! at home; 62% similarly at their workplace. (SOURCE: OMNICOM MEDIA GROUP/YAHOO!) Four in ten Malaysian online users spend between one to two hours on the Internet every day. Apart from the more common features such as email, surfing and information gathering, the popular activities for netizens are online TV/music/games (47%), followed by message/chat/ blogging (45%) and reading newspaper/magazines (35%). (SOURCE: THE NIELSEN COMPANY) While only a small amount of Malaysians may be blogging, they do it regularly - 15% of Malaysians now blog daily. (SOURCE: PULSE GROUP) 49% of email users use Yahoo! Mail most often compared to 30% for Hotmail and 7% for Gmail. (SOURCE: OMNICOM MEDIA GROUP/YAHOO!) More than three quarters (77%) of Malaysian IM users communicate on MSN/Windows Live Messenger and 57% on Yahoo! Messenger. Yahoo! Messenger is also significantly more popular amongst Malay Internet users with a 56% reach. (SOURCE: OMNICOM MEDIA GROUP/YAHOO) Friendster is Malaysia's most popular social network site with a 65% reach amongst social networking users. (SOURCE: OMNICOM MEDIA GROUP/YAHOO!) Malaysians are a prime example of what are known as 'multisumers' - 81% of them like to surf the Internet and watch TV at the same time. (SOURCE: OMNICOM MEDIA GROUP/YAHOO!) Malaysians are seeking news on the Internet more than ever before: online newspaper readership increased 35% last year, reaching one million readers. There is no imminent threat of the Internet replacing mainstream media though, 90% of readers still obtain their news via a hard-copy. (SOURCE: THE NIELSEN COMPANY/ OMNICOM MEDIA GROUP/YAHOO!) 44 asia pacific digital marketing yearbook How Long Malaysians Spend Online Average Time Spent Using Internet Less Than 30 Minutes 30 Minutes-Less Than 1 Hour 1 Hour-Less Than 2 Hours 2 Hours-Less Than 3 Hours 3 Hours-Less Than 4 Hours 4 Hours-Less Than 5 Hours 5 Hours-Less Than 6 Hours 6 Hours-Less than 7 Hours 7 Hours or More (000)% OF USERS 211 7.1% 655 22.1% 1,006 33.9% 507 17.1% 235 7.9% 124 4.2% 60 2% 30 1% 139 4.7% (SOURCE: Nielsen Media Index Malaysia; Individuals aged 15+ in Penninsular Malaysia) What Malaysians do Online: 2008 Internet Features Used EMail Internet Phone Download Software/File Gather info about prod/Service/company/research Purchase Product/Service Financial Services International News/Current Affairs Local News/Current Affairs Read Electronic Magazine Listen To Music Watch Movie/Tv Prog Play Games Use Icq/Messaging Job Hunting Education Services Classified Ads Participate In Auction To blog/Read blog (000) % of population 2372 471 1236 1601 281 425 487 1005 246 815 370 797 1260 244 463 120 66 738 (SOURCE: Nielsen Media Index Malaysia; Individuals aged 15+ in Penninsular Malaysia) 79.9% 15.9% 1.7% 54% 9.5% 14.3% 16.4% 33.9% 8.3% 27.5% 12.5% 26.9% 42.5% 8.2% 15.6% 4% 2.2% 24.9% ❚ MOBILE Malaysia has a total of 27.1 million mobile subscribers. (SOURCE: THE MALAYSIAN COMMUNICATIONS AND MULTIMEDIA COMMISSION [MCMC) Malaysia's wireless penetration level continues to increase and is expected to reach 96.8% in 2010, which is a forecasted 28.5 million subscribers. (SOURCE: SYNOVATE) Malaysians enjoy expressing themselves via their mobile phones, one survey revealing 18% of them made video clips on them. (SOURCE: SYNOVATE) More than 90% of Malaysians had a mobile service in 2008. (SOURCE: BUDDECOMM) While 3G numbers are growing quickly in Malaysia, they still only represent 4% of the total mobile subscriber base. (SOURCE: BUDDECOMM) Malaysia currently has more than half a million mobile Internet users. (SOURCE: THE NIELSEN COMPANY) Malaysians were the third most prolific texters in the region over the Christmas and New Year period, sending more than one billion SMS messages over a 2-day period. Only texters in the Philippines and Indonesia sent more. (SOURCE: MYSINCHEW/ACISION) In 2008, Malaysia saw low growth levels in texting activity against 2007 at only 13%, significantly lower than the likes of Pakistan which experienced 253% growth in messaging in the same period. (SOURCE: ACISION) ❚ CASE STUDY Client: Maybank Agency: Carat Media Sdn Bhd Campaign: Agent M Objective: Change the perception of Maybank2u.com to be young and progressive. Alleviate 10 percent of enquiry traffic from the Maybank call centre. Start conversations with youth on banking products and other banking related areas. Create a brand engagement for more than 30 seconds. Strategy: Wanting to target a new generation of young customers by engaging with them frequently on their terms, in their time and with their language, Maybank2u. com created an online persona called "Agent M": Asia's first financial bot on Windows Live Messenger. With a distinct personality, conversational skills and intelligence, Agent M is able to chat instantly with people on a range of banking and general topics using Windows Live Messenger. Details: Maybank embarked on a campaign to encourage young people to add Agent M as their friend on Windows Live Messenger. Agent M's presence was announced through a print campaign and by using MSN and other Windows Live services such as Windows Live Messenger and Windows Live Hotmail to target popular online channels for youth. Viral word-of-mouth spread quickly among users of Windows Live Messenger, with users asking their friends to add Agent M as a friend on their Windows Live Messenger simply by adding his email address, [email protected] as a contact. Agent M was armed with frequently asked questions from the Maybank Customer Call Centre, 10 core Maybank products and services, product complaints/resolutions, and even knowledge on general subjects such as Earth Day. With 3.8 million registered Maybank2u.com users and 118,000 daily users, Maybank used Agent M to reach a new breed of consumers spending significant time online. Malaysians lead the south east Asia region in terms of its mobile Internet adoption rates, with a 462.6% growth in users since the beginning of 2008. (SOURCE: OPERA) Malaysian mobile Internet users are engaging more with the mobile web's offerings too, with a 474.5% increase in page views since the beginning of 2008, each user averaging 11 page views each. (SOURCE: OPERA) Malaysia's Top 10 Mobile Sites 1. google 2. friendster 3. yahoo 4. gamejump 5. facebook 6. myspace 7. youtube 8. my.opera 9. wikipedia 10.utusan (SOURCE: Opera/Friendster; ranked by unique users) Results: • Users engaged with Agent M as they would a real person, asking day-to-day questions normally asked of friends. • Overall, 69 percent of users were in the target audience. • Users achieved average engagement of almost three minutes, well above the 30 second benchmark. asia pacific digital marketing yearbook 45 NEW ZEALAND Lake Matheson, Mount Cook and Mount Tasman ❚ DEMOGR APHICS New Zealand has 3.4 million Internet users with an 80.5% penetration rate. Nearly 60% use the Internet at least once a day. (SOURCE: Internet WORLD STATS/ OECD/ THE NIELSEN COMPANY) The country had just over 2.4 million unique visitors in February 2009, each spending on average 830.2 minutes online, and paying 29.2 visits. Household Income Up To $20,000 97 $20,001 - $30,000 125 $30,001 - $40,000 157 $40,001 - $60,000 356 $60,001 - $80,000 341 $80,001 - $100,000 324 $100,001 - $120,000 256 $120,001 - $250,000 343 $250,001+ 52 Refused/Not Specified 180 Don't Know 439 3.6% 4.7% 5.9% 13.3% 12.8% 12.1% 9.6% 12.9% 2% 6.7% 0.2% (Source : Nielsen Media Index New Zealand; All individuals 10+) (SOURCE: COMSCORE) There are 60 ISPs operating in New Zealand. ❚ E-COMMERCE (SOURCE: STATISTICS NEW ZEALAND) The Internet is certainly the domain of the young - 92% of 10-19 year old Kiwis are regular Internet users. But it is also highly frequented by 50-59 year olds (73%) who would also call themselves regular Internet users. New Zealanders have been slow to adopt to e-shopping but that is swiftly changing - 42% of the online population made an online purchase in 2008 (55% of regular Internet users). (SOURCE: THE NIELSEN COMPANY) (SOURCE: NIELSEN ONLINE) New Zealand's Internet Users 2008 (000) Sex Male 1,299 Female 1,371 Age 10-19 Years 541 20-29 Years 465 30-39 Years 475 40-49 Years 496 50-59 Years 361 60-74 Years 276 75+ Years 55 46 asia pacific digital marketing yearbook % of users 48.7% 51.3% 20.3% 17.4% 17.8% 18.6% 13.5% 10.3% 2.1% The New Zealand online shopping population grew 45% in the fourth quarter of 2008 (up 39% from the same period in 2007) and stands at a record 1.4 million people, out of a total population of about 4.5 million. (SOURCE: THE NIELSEN COMPANY) New Zealanders have taken to the web with gusto when it comes to buying and selling cars: over eight in ten (84%) car buyers use the Internet to research and determine which car to buy. Just over half of the country's car sellers (52%) use it as a tool to actually sell the vehicle. (SOURCE: THE NIELSEN COMPANY) On average New Zealand online shoppers spend five minutes and 39 seconds online per session. They view 7.4 pages on average and spend US$38.79 per order, more than their Australian neighbours. (SOURCE: EMARKETER) Online advertising in New Zealand grew 55% in the first half of 2008. While ad spend decreased significantly across most advertising channels in the second half of 2008, the Internet showed a similar level of spend compared with 2007 numbers (only a 0.5% decrease). (SOURCE: THE NIELSEN COMPANY) New Zealanders like to actively engage with the online shopping community, with 822,000 of them submitting product reviews online in 2008. (SOURCE: NIELSEN ONLINE) Products Researched, Compared or Bought Online Product Airline tickets Accommodation Car Hire Books/Magazines Movie/event tickets CDs/Records/Tapes Videos or DVDs Video/PC games MP3 or similar Consumer electronics Computer hardware Software downloads Software discs DVD player Furniture White goods Gardening items Groceries Flowers Vehicles Auto accessories DIY Hardware Clothing/accessories Health/Beauty items Toys Online info/reports Fitness/Sporting Jewellery Art Insurance Stocks, shares, loans mortgages Musical Instruments Stationery Other % of users 43% 33% 9% 20% 19% 15% 15% 15% 9% 31% 22% 19% 9% 6% 18% 18% 14% 14% 5% 18% 13% 13% 34% 19% 19% 18% 18% 15% 11% 9% 8% 8% 6% 9% (SOURCE: NIELSEN ONLINE) ❚ ONLINE ADVERTISING New Zealand's online advertising market was worth NZ$193.15 million in 2008. (SOURCE: IAB NZ/ PWC) The Internet was New Zealand's fastest-growing advertising channel in 2008, up 42.9% from 2007. (SOURCE IAB NZ/PWC) However, online advertising still only accounts for around 5% of total ad spend in New Zealand. (SOURCE: NIELSEN ONLINE) New Zealand's Q2 2008 online ad spend - NZ$49.2 million represented a growth of 54% against Q2 2007. (SOURCE: NIELSEN ONLINE) Amongst the different categories, search and directory ads (representing 30.9% of total online ad spend) showed the strongest growth of 75% to NZ$59.71 million. Display ads (accounting for 30.1% of online ad spend) grew 38% to $58.12 million. Classifieds grew 28% to NZ$75.32 million. (SOURCE: THE NIELSEN COMPANY) There was a 20% year on year increase in the number of online display campaigns that ran in New Zealand in October 2008. (SOURCE: NIELSEN ONLINE) New Zealand's Top 10 Sites Total Unique Visitors (000) Google Sites 1,906 Microsoft Sites 1,626 Fairfax Media 1,286 Yahoo! Sites 1,138 AOL 1,027 FACEBOOK.COM 805 Wikimedia Foundation Sites 653 Apple 561 CBS Interactive 424 ANZ Banking Group 421 % ReachTotal Minutes (MM) 78.9% 217 67.4% 349 53.3% 184 47.2% 83 42.5% 150 33.3% 78 27.0% 10 23.2% 3 17.6% 5 17.5% 10 (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons at 15+ New Zealand Home/ Work Locations) New Zealand's Top Online Gaming Sites MINICLIP.COM WildTangent Network MSN Games JIMUNGO.COM ADDICTINGGAMES.COM % Reach 6.5% 6.2% 3.7% 3.6% 2.7% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons at 15+ New Zealand Home/ Work Locations) New Zealand's Top Online Retail Sites Amazon Sites Apple.com Worldwide Sites Shopping.com Sites Woolworths 1-DAY.CO.NZ THEWAREHOUSE.CO.NZ Ticketek Hewlett Packard Alibaba.com NOELLEEMING.CO.NZ % Reach 39.2% 23.7% 11.2% 9.5% 8.0% 7.3% 7.3% 6.1% 5.5% 5.4% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons at 15+ New Zealand Home/ Work Locations) New Zealand's Top Technology News Sites NetShelter Technology Media CNET About.com Technology Network GEEKZONE.CO.NZ Bestofmedia Group WIRED.COM Scientific American Network EXPERTS-EXCHANGE.COM AOL Tech PCWORLD.CO.NZ % Reach 26.5% 22.9% 6.5% 3.7% 3.1% 2.9% 2.4% 2.4% 2.3% 2.2% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons at 15+ New Zealand Home/ Work Locations; heavy Internet users) The Internet could likely become the second largest advertising channel by 2010, even though TV currently represents roughly three-quarters of total advertising spend. (SOURCE: THE NIELSEN COMPANY) asia pacific digital marketing yearbook 47 New Zealand's Top Entertainment Sites YOUTUBE.COM CBS Interactive iTunes Software (App) TVNZ Sites Viacom Digital Gorilla Nation MSN Entertainment Channel IMDB.COM UGO Entertainment Break Media % Reach 73.7% 44.7% 39.3% 28.2% 27.4% 23.3% 20.8% 20.7% 19.4% 19.4% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons at 15+ New Zealand Home/ Work Locations; heavy Internet users) New Zealanders are mostly happy to use the Internet as a central place to share their camera work with people online: more than three quarters of them (77%) share photos online while 61% of them upload photos, equaling 2 million and more than one million users respectively. (SOURCE: NIELSEN ONLINE) Less are currently prepared to share their entertainment however, with a lower 39% sharing videos; 31% uploading music; and less than a quarter uploading videos. Belief in Media Channels in New Zealand (SOURCE: NIELSEN ONLINE) Media channel Recommendations from consumers Newspapers Consumer opinion posted online Brands websites Magazines TV Radio Email I signed up for Brand sponsorships Ads before movies Search engine ads Online banner ads Text ads on mobile phones Video upload rates were expected to increase over 2008, by 80% to reach 43% of the online population. % who believe the channel 83% 71% 64% 53% 60% 63% 64% 63% 44% 41% 21% 15% 19% (Source: Nielsen Online) (SOURCE: NIELSEN ONLINE) A sizeable 88% of New Zealand online users have at one point shared or distributed content online. (SOURCE: NIELSEN ONLINE) Nearly all online New Zealanders regularly check their email (95%) while 74% regularly catch up on the news. (SOURCE: NIELSEN ONLINE) How Long New Zealanders Spend Online ❚ USER BEHAVIOUR New Zealand children are big media consumers and their appetite is growing. Playing video games (84%) and using the Internet (62%) is on the rise even though watching TV (99%) is still the primary form of entertainment. (SOURCE: ITU) Blogging is becoming more popular in New Zealand. One survey revealed that almost half (49%) of Internet users aged 14 and older read blogs, and 17% have created their own. (SOURCE: THE NIELSEN COMPANY) Half of New Zealand's online population, 1.7 million people, read consumer reviews online. (SOURCE: NIELSEN ONLINE) In 2008, nearly half of all online users in the country - 1.6 million consumers - got involved in social networking. (SOURCE: NIELSEN ONLINE) Of that number, nearly half a million (451,000) created a blog. The number of New Zealanders who will do this in the next year is set to increase by 65%, which will represent 28% of online users. (SOURCE: NIELSEN ONLINE) Nearly a million (926,000) New Zealanders visited online gaming sites in August 2008, spending on average 134.5 minutes per person and averaging 9.9 visits per visitor, the second lowest rate in the region. (SOURCE: COMSCORE) New Zealanders are keen social networkers, with 62% of them having browsed online profiles; 45% of them having created their own profile; and 48% of them saying they have joined friend finder sites. (SOURCE: NIELSEN ONLINE) 48 asia pacific digital marketing yearbook Average Time Spent Using Internet Zero 1- 15 Minutes 16-30 Minutes 31 Minutes to 1 Hour 1 Hour 1 Minute - 2 Hours 2 Hours 1 Minute - 4 Hours 4 Hours 1 Minute - 7 Hours 7 Hours 1 Minute or More Don't Know Not Used Net Last 4 Weeks (000) % OF USERS 270 9.7% 68 2.4% 127 4.5% 276 9.9% 321 11.5% 412 14.7% 426 15.2% 888 31.8% 1 0% 0 0% (Source : Nielsen Media Index New Zealand; All individuals 10+; Internet usage per week) What New Zealanders Do on Social Networking Sites Activity % of users with online profiles Stay in touch with friends you rarely see in person 63% Buy something 48% Look for advice or information 46% Look for a new job 42% Stay in touch with friends you see a lot 40% Sell something 35% Make plans with your friends 28% Look for a car 27% Make new friends 26% Find a place to live 22% Flirt with someone 19% Find someone to date 17% Advance your career 10% (SOURCE: Nielsen Online) What New Zealanders do Online Activities in Last Month Sent/Received Email Play Indiv/Multi Player Games Online Gambling eg Poker, Sports Downloaded Software Listened To Music Listened To Radio Stations Downloaded Music Watched Television/Movies Internet Banking Entered Online Competition General Surfing Read NZ Electronic Newspaper Read International Electronic Paper Accessed Info On Product/Service Accessed News/Current Affairs Accessed Information On Sports Accessed Information On Travel Accessed Info On Entertainment Accessed Info Finance/Loan/Mortage Accessed Telecom Yellow Pages Accessed Telecom White Pages Accessed Street Directory Eg. Wise (000) % of users 2,242 80.2% 636 22.8% 69 2.5% 493 17.6% 694 24.8% 204 7.3% 536 19.2% 329 11.0% 1,423 50.9% 340 12.2% 1,716 61.4% 695 24.8% 356 12.7% 1,237 44.3% 620 22.2% 549 19.6% 656 23.5% 712 25.5% 260 9.3% 449 16% 534 19.1% 467 16.7% Visited NZ Online Shopping Site Visited O/Seas Online Shop Site Education Research General Research e.g. Health Instant Messaging Joined Chat/Discussion Groups Participated In An Online Auction Paid A Bill Downloaded Podcasts Made Telephone Call (VOIP) Searched For Jobs Online Searched For Properties Online Searched For Vehicles Online Read NZ Electronic Magazines Read Intl Electronic Magazines Subscribed digital copy of Magazine Subscribed to dig copy of Newspaper Other Read a blog Posted a blog Uploaded content to websites Not Specified 795 426 544 629 792 232 523 1,001 97 181 430 379 344 146 150 39 31 130 447 132 381 152 28.4% 15.2% 19.5% 22.5% 28.3% 8.3% 18.7% 35.8% 3.5% 6.5% 15.4% 13.6% 12.3% 5.2% 5.4% 1.4% 1.1% 4.7% 16% 4.7% 13.6% 5.5% ❚ CASE STUDY (Source : Nielsen Media Index Hong Kong; Base population: Individuals aged 12 - 64) What Video/Audio Content New Zealanders Upload Type of Content have uploaded video/audio Video topics Music video News Travel Comedy Sport Health Home video % of online users 41% 41% 29% 26% 25% 24% 19% Audio topics News Travel Sport Comedy Health Education Politics 42% 25% 23% 22% 22% 21% 20% (SOURCE: Nielsen Online) How New Zealanders Share Content Online Sharing method % of users who share content Video ClipInteresting Photo Link Sent link to content via email 68% 83% 78% Sent content through email 55% 39% 58% Sent link through IM 21% 32% 22% Posted link on their online profile 21% 29% 27% Embedded content on own Social networking profile 21% 17% 23% Song 57% 42% 20% 22% 27% (SOURCE: Nielsen Online) ❚ MOBILE 170,000 New Zealanders - about 5.9% of total mobile subscribers - use the Internet (WAP) feature on their phones. (SOURCE: THE NIELSEN COMPANY) A 3% mobile subscriber growth is expected for 2009-2010, after which it is likely to fizzle out as the market has almost reached saturation. (SOURCE: BUDDECOMM) Nearly half of the country's children (42%) use a mobile phone. (SOURCE: ITU) Client: Roadshow Films (Australia/New Zealand) Agency: Clemenger Harvie Edge Campaign: Star Wars: The Clone Wars movie Objective: To drive the awareness of Star Wars: The Clone Wars movie launch in Australia and New Zealand while introducing the franchise to a core childrens' market of five to 12 year olds. Strategy: Deliver an integrated media solution within a targeted childrens' on-air and online environment; leverage on Cartoon Network's popularity both on-air and online in both markets to solicit user-generated content within a competition environment. Details: Children were invited to upload short videos of themselves to a Star Wars: The Clone Wars competition micro-site across CartoonNetwork.com.au and CartoonNetwork.co.nz. Demonstrating their best Jedi Master Lightsaber moves, competitors had a chance to win a "Star Wars Lightsaber Party," which included a private screening for the winner and 21 of their friends. Cartoon Network then selected the top five submissions from across Australia and New Zealand, and incorporated the videos with special lightsaber sounds and visual effects. Children across the country were then asked to vote for their favourite video. Additional online ad banners and floating ad units further reinforced the call to action. Results: • Over 425,000 impressions were booked for Australia and 225,000 for New Zealand. • Over 20,000 page views for the microsite. Vodafone is the leader in New Zealand's mobile market with a 52% share in subscribers and 66% share in terms of mobile revenues. (SOURCE: BUDDECOMM) asia pacific digital marketing yearbook 49 THE PHILIPPINES Boats at Boracay beach ❚ DEMOGR APHICS The Philippines still has one of the lowest Internet penetration rates in the world: only 15.4% of its population is online. (SOURCE: UNIVERSAL MCCANN/ Internet WORLD STATS) Internet usage in the Philippines is expected to increase by 10% in 2009. (SOURCE: NIELSEN/PHILSTAR) Age 10-14 20-29 30-39 40+ 4,249 3,026 1,033 690 45.39% 37.4% 15.82% 6.24% Household Income PhP 10,000 & Below PhP 10,001 - 15,000 PhP 15,001-20,000 PhP 20,001 - 30,000 PhP 30,001 - 40,000 PhP 40,001 - 50,000 PhP 50,001 & Above 1,769 1,806 639 670 295 266 114 13.03% 25.66% 34.56% 34.15% 45.6% 52.57% 53.02% (Source : Nielsen Media Index Philippines) The Philippines has around 14 million Internet users. Of those, 967,600 are broadband subscribers. (SOURCE: UNIVERSAL MCCANN/ Internet WORLD STATS) ❚ USER BEHAVIOUR According to another estimate, however, the Philippines could have as much as 20 million Internet users. Social media is becoming more prevalent in the Philippines with an estimated 11.2 million users. (SOURCE: THE NIELSEN COMPANY/ YAHOO!) (SOURCE: OGILVY) By the end of 2008, the Philippines could have 21.5 million Internet users. Friendster rules the Philippines social media market with about 10.7 million subscribers - accounting for more than 38.8% of Friendster's worldwide users. (SOURCE: OGILIVY/IDC) (SOURCE: OGILVY) Young Filipinos log on more - 50% of Internet users below the age of 20 have accessed the Internet in the past month, showing a higher frequency than any other age group. Filipinos prefer the Internet over television and print. Internet usage increased to 28% in 2008 (up from 23% in 2007). (SOURCE: NIELSEN) (SOURCE: THE NIELSEN COMPANY/ YAHOO!) The Philippines' Internet Users 2008 Sex Male Female 50 asia pacific digital marketing yearbook (000) % of users 4,554 4,445 25.69% 26.15% There are an estimated 35 million Filipinos in urban centres nationwide - 28% of them have accessed the Internet in the past month but only 5% have in the past day. (SOURCE: THE NIELSEN COMPANY/ YAHOO!) Internet cafés are the great equaliser for all social classes in the Philippines: it is the only medium that allows Filipinos to communicate, research and be entertained for just 10 to 15 pesos an hour. (SOURCE: THE NIELSEN COMPANY/ YAHOO!) Social Networking (Friendster, Multiply, Myspace) Blogs/Online Journal Others 5,165 2,236 1,692 (Source : Nielsen Media Index Philippines) 52.02% 22.52% 17.04% 4,907 2,041 1,565 54.53% 22.68% 17.39% How Long Filipinos Spend Online It is of no surprise then that Internet cafés are the most popular choice for Filipino netizens - one survey revealed that 71% of Filipinos go online from Internet cafés; 27% from home; 7% from the office; and 7% in school. (SOURCE: THE NIELSEN COMPANY/ YAHOO!) Average Time Spent Using Internet (000) % of users Past Month Internet Usage 20 + Hours 1,937 19.51% 10-19 Hours 1,233 12.42% 5-9 Hours 1,469 14.8% Less Than 5 Hours 5,227 53.25% Past Week Internet Usage 20 + Hours 10-19 Hours 5-9 Hours Less Than 5 Hours One in three Filipino Internet users have a blog. (SOURCE: THE NIELSEN COMPANY/ YAHOO!) 1,925 1,139 1,378 4,531 (Source : Nielsen Media Index Philippines) 21.39% 12.66% 15.31% 50.64% The Filipino Internet base is quite young: at least 49% of them are 10 to 19 years old, while 32% are between the ages of 20 and 29. ❚ ONLINE ADVERTISING (SOURCE: THE NIELSEN COMPANY/ YAHOO!) Online gaming is becoming a mainstream activity in the Philippines. 53% of all Filipino netizens have indulged in them. The users often tend to be males and below the age of 20. The online advertising industry in the Philippines will be generating PHP1 billion in revenues by 2010. (SOURCE: THE NIELSEN COMPANY/ YAHOO!) Online display advertising revenues in the Philippines came to US$12.80 million in 2008. They are projected to generate US$14.62 million in 2009, and by 2010 will reach US$15 million. In the Philippines, social networks have become an important platform for friends and family to communicate. Over half (51%) of all local Internet users said they access social networking sites every month; 92% said that they have a Friendster account. (SOURCE: THE NIELSEN COMPANY/ YAHOO!) Offline texting is moving online in the Philippines. Nearly one quarter (23%) of Filipino Internet users regularly send text messages via the Internet. (SOURCE: NIELSEN/PHILSTAR) (SOURCE: NIELSEN/YAHOO!) Search advertising revenues in the Philippines came to US$2.743 million last year and are projected to reach US$6.89 million in 2009. By 2010 search revenues will almost hit US$11 million. (SOURCE: NIELSEN/YAHOO!) The Philippines, along with Vietnam and Indonesia, will be driving 90% of the south east Asia region's online ad growth in the next five years (SOURCE: THE NIELSEN COMPANY/ YAHOO!) In a survey tracking the highest usage levels across a range of devices, the Philippines came first out of 52 countries. (SOURCE: YAHOO!/THE NIELSEN COMPANY) (SOURCE: THE NIELSEN COMPANY) ❚ MOBILE What Filipinos do Online Features Used Past Month Internet User (000) % of users Making A Purchase Online 403 4.06% Newspaper/News 1,051 10.59% Employment Opportunities 997 10.04% Weather Forecast 324 3.26% Travel (Airline/Resort Booking) 141 1.42% Downloading Music/Mp3 (I.E. Limewire) 1,603 16.14% Downloads - Games 1,934 19.48% Downloads - Videos 1,254 12.63% Downloads - Files/Software 609 6.13% Downloads - Pictures 2,104 21.19% Sports 1,049 10.57% Academic Study/Research1,980 19.94% Personal Research (General Browsing) 1,933 19.47% Using Email 5,267 53.05% Online Banking 133 1.34% Chat Rooms/Online Discussion 5,073 51.09% Playing Games (Online) 3,747 37.74% Business Information 460 4.63% Health Information 861 8.67% Cinema Listings/Events Guide 327 3.29% Listening To Online Radio 1,293 13.02% Internet Phone 709 7.14% Internet Fax 129 1.3% Video Conferencing 1,334 13.44% Past Week Internet User (000) % of users 395 4.39% 994 11.05% 927 10.3% 320 3.56% 137 1.52% 1,524 1,879 1,159 590 1,919 997 1,866 16.94% 20.88% 12.88% 6.56% 21.32% 11.08% 20.74% 1,841 4,796 127 4,639 3,495 453 841 319 1,227 677 124 1,228 20.46% 53.29% 1.41% 51.55% 38.84% 5.03% 9.35% 3.54% 13.63% 7.52% 1.38% 13.65% Filipinos love chatting: they spend around two hours each day talking on landlines and around one hour on their mobiles. (SOURCE: SYNOVATE) Mobile penetration in the Philippines reached almost 60% by early 2008 - a 20% growth from 2007. Subscribers are continuing to increase despite expectations that the market is saturated. (SOURCE: BUDDECOMM) The Philippines has 68.1 million mobile subscribers - the sixth highest number of subscribers in the region. (SOURCE: ITU) The fixed-line market in the Philippines continues to be problematic. Fixed teledensity stands at less than 5% with no sign of an increase. (SOURCE: BUDDECOMM) asia pacific digital marketing yearbook 51 The Philippines telecom sector continues to contribute over 10% to the country's GDP. (SOURCE: BUDDECOMM) Mobile Internet users in the Philippines visit mobile sites more than most, averaging 278 page views per visitor, more than global average of 242 page views. (SOURCE: FRIENDSTER/OPERA) And Filipinos' visits are becoming more numerous, with mobile site page views per user growing more than 1120% in 2008. (SOURCE: OPERA) The Filipinos are prolific texters too, sending the highest number of SMS messages per subscriber in the world. (SOURCE: ITU) The Philippines has experienced a 396.4% increase in new mobile Internet users since January 2008. (SOURCE: OPERA) Mobile users in the Philippines sent out 2.36 billion SMS messages over the 2008 Christmas and New Year Period, more than a third of all SMS messages sent out globally (6.37 billion). (SOURCE: ACISION) Messaging traffic grew by 65% year on year in the Philippines in 2008. (SOURCE: ACISION) The Philippines' Top Mobile Sites 1. friendster 2. google 3. yahoo 4. youtube 5. wikipedia 6. my.opera 7. gamejump 8. symbianize 9. multiply 10.pinoywap (SOURCE: Opera/Friendster; ranked by unique users) ❚ E-COMMERCE Filipinos aren't keen on Internet shopping or banking: only 3% of the population have made purchases or banked online. (SOURCE: THE NIELSEN COMPANY/ YAHOO!) 52 asia pacific digital marketing yearbook ❚ case study Client: Nike Philippines Agency: Yahoo! Campaign: PC & Mobile Campaign Philippines Objective: Support the launch of the Nike Sportswear Collection centered around Nike icons of sports. Evoke interest in Nike 8 Mobizine (mobile magazine) which highlights the stories behind each of the 8 Nike Sportswear icons. To drive user awareness of the launch through partnership with Yahoo! web and mobile teams. Campaign Goal: Drive desktop and mobile traffic to Nike Mobizine. Promote website that includes product stories, athlete videos, as well as web downloads, building interest in Nike 8 Mobizine. Strategy: Nike partnered with Yahoo!'s PC and mobile teams to create an integrated campaign for the first two weeks of the launch on: Yahoo! PH PC Homepage; Yahoo! PH Mobile Homepage and Yahoo! PH Mobile Messenger. Details: Mobile: Yahoo! Philippines mobile homepage ran the Nike Sportswear banners for two weeks between August and September while banners ran on Yahoo! Mobile Messenger for a week. Web: Standard LREC banners ran across Yahoo! Philippines PC homepage for a week, driving traffic to switch to their mobile sets to visit the Nike 8 Mobizine. Results: • Mobile Results: Over the campaign period of two weeks, 22,000 clicks were sent to Nike Mobizine. • A remarkable CTR of 5.09% was achieved on the very first day when banners ran across the Yahoo! Mobile Homepage. • An overall average CTR of 1.86% was achieved across the two week campaign • PC Results: Yahoo! Philippines Homepage delivered more than 420,000 impressions in one week. • Achieved an above-industry standard CTR of 0.28%. asia pacific digital marketing yearbook 53 SINGAPORE Cityscape showing the Merlion and the financial district Including business, wireless and all other broadband connections, Singapore now has 4.8 million broadband connections in total. 40-44 45-49 50-54 55-59 60+ Household Income Less than S$750 Per Month S$751-1,000 Per Month S$1001-1,500 Per Month S$1501 - 2,000 Per Month S$2001 - 2,500 Per Month S$2501 - 3,000 Per Month S$3001 - 3,500 Per Month S$3501 - 4,000 Per Month S$4001 - 5,000 Per Month S$5001 - 6,000 Per Month S$6001 - 7,000 Per Month S$7001 - 10,000 Per Month S$10001 - 15,000 Per Month More than S$15,000 Per Month (SOURCE: IDA) (Source : Nielsen Media Index Singapore; All persons 15+) ❚ DEMOGR APHICS Singapore is now the most wired nation in the world, with more broadband connections than homes - household broadband penetration rates now stand at 102.1%. (SOURCE: IDA) Singapore had 2.52 million unique visitors online in February 2009. (SOURCE: COMSCORE) Almost half (49.6%) of Singapore's online population are online gamers or have visited an online gaming site. (SOURCE: COMSCORE) Online Singaporeans spent on average 1,246 minutes online in February 2009, averaging 35.5 visits per user. (SOURCE: COMSCORE) 259 356 311 258 558 10.51% 9.65% 8.43% 6.99% 15.12% 151 131 156 240 220 279 230 309 440 305 237 477 241 274 4.09 3.55 4.23 6.5 5.96 7.56 6.23 8.37 11.92 8.27 6.42 12.93 6.53 7.43 How Singaporeans go Online at Home Access point % of users 56K Dial-up/ISDN 1% Cable Modem 44% ADSL 48% Wireless Broadband 8% Don't know 2% Computer 100% Internet-enabled mobile phone 11% Game machine with Internet connection 4% (SOURCE: IDA) Singapore's Internet Users 2008 Sex Male Female Age 15-17 18-19 20-24 25-29 30-34 35-39 54 asia pacific digital marketing yearbook (000) % of users 1,875 1,815 50.81% 49.19% 208 111 332 381 323 307 5.64% 3.01% 9% 10.33% 10.84% 10.43% ❚ USER BEHAVIOUR According to one survey, 51% of Singaporeans trust a blog as much as they do traditional media. Google's Blogger platform now ranks 5th in the top 100 most visited sites for Singapore. (SOURCE: OGILVYONE) In Singapore 16% of bloggers are blogging daily. Singaporeans are not particularly new to blogging, 17% of them having blogged for three years or more. Young Singaporeans use a wide variety of media and spend a good 12.6 hours a day doing so. This covers time spent surfing the web, playing video games, watching DVD/VCD/ videos, reading newspapers and magazines, talking or texting on the phone, or listening to the radio. (SOURCE: PULSE GROUP) (SOURCE: SYNOVATE) The Lion City also boasts the highest reach in social networking, with more than 74% of its online population indulging in it. Singaporeans visit social networking sites on average 19 times a month. According to another survey, social networking accounts for 8% of Singaporeans' time spent online. Facebook is the most popular social networking site with 48% using it, followed by Friendster at 43% and Windows Live Spaces (MSN spaces) at 27%. (SOURCE: PULSE GROUP) (SOURCE: BRAND REPUBLIC/ COMSCORE) (SOURCE: COMSCORE/ SYNOVATE) Social networking and forums dominate online activity in Singapore, representing 10.2% of all Internet visits by online users. (SOURCE: OGILVYONE) Facebook's ubiquity has reached more than 1 million visitors in Singapore and ranked as the fourth most visited site. Friendster ranked sixth with 838,000 visitors. (SOURCE: COMSCORE) Good news for digital marketers: in one survey, 24% of Singaporeans said that the online presence of brands "significantly increases their interest" in them. (SOURCE: ogilvyone) More than 2.5 million Singaporeans over the age of 15 went online from home and work, consuming an average of 1,785 pages of web content and spending about 21 hours per person. (SOURCE: COMSCORE) Singapore has the second highest online gaming penetration (49.6%) in the region. (SOURCE: COMSCORE) What Singaporeans Do Online Features Used Email Access Adult Sites Access Classified Ads Access Education Services Access News/Current Affairs Access News Group/Bulletin Board Blogging/Posting Online Journal Buy Products/Services Chat Rooms/Internet Relay Chats Download Media File Download Software/Files Financial Services Gather Company Research Gather Products/Services Info General Surfing Instant Messaging Internet Phone Job Hunting Listen to Music Participate in Auctions Participate in Social Networking Portals Play Games Post Photos Online Read E-Magazines Read E-Newspapers Video Conferencing Watch Movie/TV/Video Other (000) % OF USERS 2,051 55.58% 52 1.41% 240 6.5% 400 10.84% 673 18.24% 97 2.63% 335 9.08% 406 11% 217 5.88% 348 9.43% 560 15.18% 690 18.7% 1019 27.62% 1308 35.45% 1519 41.17% 857 23.22% 174 4.72% 298 8.08% 796 21.57% 86 2.33% 430 11.65% 676 18.3% 258 6.99% 126 3.41% 396 10.73% 118 3.2% 921 24.96% 150 4.07% (Source : Nielsen Media Index Singapore; All persons 15+) How Long Singaporeans Spend Online Singaporean online gamers on average spend 140 minutes a month on gaming sites. (SOURCE: COMSCORE) Google is Singapore's most popular online tool with 80% of the population using it (2 million visitors). Microsoft's entities come a close second with a 77% reach (1.9 million visitors); Yahoo! sites ranked third with a 70% reach (1.8 million visitors). Average Time Spent Using Internet Less Than 30 Minutes 30 Minutes-Less Than 1 Hour 1 Hour-Less Than 2 Hours 2 Hours-Less Than 3 Hours 3 Hours-Less Than 4 Hours 4 Hours-Less Than 5 Hours 5 Hours-Less Than 6 Hours 6 Hours-Less Than 7 Hours More than 7 Hours (000) % OF USERS 246 6.67% 400 10.84% 549 14.88% 415 11.25% 263 7.13% 161 4.36% 97 2.63% 39 1.06% 224 6.07% (Source : Nielsen Media Index Singapore; All People 15+) (SOURCE: COMSCORE) There are as many as 3.2 million Singaporean social media users, out of an overall population of 4.6 million people. (SOURCE: OGILVYONE) Singaporeans spent an average of 21 hours online per visitor mainly for online communication, entertainment, and social networking. Instant messaging is the most popular activity making up for 24% of total minutes, while webbased email accounted for 6%. ❚ ONLINE ADVERTISING The type of digital formats that have made the biggest impression on Singaporean consumers reliably continues to be dedicated brands' websites with 54% of users saying they had seen this used most often by advertisers. They were followed by sponsored content (49% of users), banner ads (46%) and pop-ups (33%). (SOURCE: TNS/ MEDIA) (SOURCE: COMSCORE) Singaporeans are most likely to juggle watching TV or talking on their mobile phones while on the Internet. (SOURCE: TNS/ MEDIA MAGAZINE) Singaporeans appear to be big fans of viral marketing. In a survey asking Singaporean netizens if they had passed on viral marketing messages, a sizable 70% said that they had. (SOURCE: TNS/ MEDIA) asia pacific digital marketing yearbook 55 Singaporean viral recipients who are most likely to pass on the messages are aged between 35-39, 78% of them saying they have forwarded on viral messages at some point before. (SOURCE: TNS/ MEDIA) Display advertising, making up the majority of Singapore's online ad market, generated US$23.99 million in revenues in 2008, while search advertising brought in US$17.46 million. In 2009 those numbers are expected to increase to US$24.63 million and US$23.46 million respectively and signalling a closing of the gap between display and search spending. (SOURCE: YAHOO!/NIELSEN ONLINE) Looking ahead, search advertising spend is expected to reach US$25.47 million by 2010, while display advertising spend is expected to go up to US$26.1 million. (SOURCE: YAHOO!/NIELSEN ONLINE) Singapore is projected to experience a 20% or more growth in search marketing spend in 2009. (SOURCE: PURPLECLICK) Singapore's Top 10 Sites site Total Unique Visitors (000) Google Sites 2,009 Microsoft Sites 1,929 Yahoo! Sites 1,757 FACEBOOK.COM 1,128 Wikimedia Foundation Sites 848 FRIENDSTER.COM 838 CBS Interactive 529 Apple 515 Ask Network 510 WordPress 475 % ReachTotal Minutes (MM) 79.6% 378 76.5% 837 69.7% 162 44.7% 132 33.6% 14 33.2% 63 21.0% 9 20.4% 3 20.2% 5 18.8% 2 (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Singapore Home/ Work Locations) Singapore's Top Online Gaming Sites site Y8.COM Nexon Corporation Travian Games MINICLIP.COM WildTangent Network % Reach 9.7% 7.8% 7.8% 7.0% 6.3% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Singapore Home/ Work Locations) Singapore's Top Online Retail Sites site Amazon Sites Apple.com Worldwide Sites Alibaba.com Corporation SINGTELSHOP.COM Hewlett Packard AmericanGreetings Property Yahoo! Shopping Dell GMARKET.COM.SG Samsung Group % Reach 31.6% 23.2% 11.1% 8.9% 8.8% 5.8% 4.4% 4.3% 4.3% 4.2% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Singapore Home/ Work Locations; heavy Internet users) Singapore's Top Technology News Sites SITE CNET NetShelter Technology Media About.com Technology Network HARDWAREZONE.COM ZDNet Bestofmedia Group AOL Tech Imaginova Network Comment Ca Marche Scientific American Network % Reach 27.8% 26.4% 5.0% 3.7% 3.1% 3.1% 2.3% 1.7% 1.7% 1.7% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Singapore Home/ Work Locations; heavy Internet users) 56 asia pacific digital marketing yearbook Singapore's Top Entertainment Sites SITE YOUTUBE.COM CBS Interactive MediaCorp imeem Gorilla Nation iTunes Software (App) Viacom Digital Metacafe MSN Video Yahoo! Movies % Reach 79.0% 43.1% 35.6% 32.9% 28.6% 28.1% 26.4% 18.3% 18.1% 17.7% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Singapore Home/ Work Locations; heavy Internet users) Top 20 Advertisers Using Digital Media in Singapore Advertiser Singtel Nokia Starhub Citibank McDonald's Singapore Airlines Sony DBS M1 Nike Coca Cola Visa Hewlett Packard HSBC Samsung OCBC KFC UOB/OUB Mastercard Dell % of users 71% 66% 66% 65% 64% 62% 62% 61% 59% 59% 59% 57% 57% 56% 55% 55% 54% 53% 53% 51% (SOURCE: TNS/MEDIA; Q: Which of the following brands have you seen advertised via digital media?) Trust in Media Channels in Singapore Media channel % who trust the channel completely Recommendations from friends and family 46% Expert product review from websites 30% Independent reviews in publications 26% Consumer product review from websites 22% Product labels on packaging 22% Consumer opinion in blogs 17% Manufacturers/brands websites 17% TV ads 15% Newspaper ads 15% Products/brands that appear in movies or within TV programmes 14% Magazine ads 14% Consumer opinion in chat rooms 14% Consumer opinion on message boards 14% Email newsletters 13% Ads on posters, buses/bus shelters 13% Recommendations from other consumers who you do not personally know 12% Ads at the cinema before the movie starts 12% Radio ads 11% Banner ads on websites 10% Ads that have been sent to you by e-mail 9% Ads that appear on search engines 7% Ads in video games 6% Ads in virtual worlds 6% Ads via mobile SMS 6% Pop-up or pop-under web ads 6% (Source: TNS/Digital Media) Types of Digital Media Seen Being Used Media Dedicated websites Sponsored content Banner ads Email Pop-up ads Mobile phones Ads in video games Ads in virtual worlds Other (SOURCE: TNS/Media) % of users 54% 49% 46% 45% 33% 23% 5% 4% 12% ❚ MOBILE Nearly all Singaporeans, 96% of them, own a mobile phone. Security is important for Singaporean online shoppers, with more than three quarters (77%) of them considering a secure online payment facility the most important factor when making online purchases. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) (SOURCE: SYNOVATE) Singaporeans use their mobile phones almost equally for making phone calls (40%) and texting (45%); MMS (2%) and Internet access (3%) on mobile phones have yet to take off in the country. (SOURCE: UNIVERSAL MCCANN) Singapore's online shopping population is expected to reach 1.8 million by 2010. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) The city state's online shopping market is expected to generate US$6.6 billion in revenues by 2010. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Singaporeans love talking on the phone: they spend around two hours each day talking on the phone and around one hour on their mobiles. (SOURCE: SYNOVATE) Singaporean online shoppers like to plan their purchases rather than buy on a whim, with only 10% of them making frequent opportunistic purchases. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Affluent Singaporeans use their mobile phones as a 'third screen'. 95% use them to send and receive text messages (the region's highest) and 37% are likely to watch live video on them. ❚ CASE STUDY (SOURCE: SYNOVATE) Singaporeans are fans of convergence, preferring one device that meets all needs: 9% own a hybrid mobile phone, such as a PDA. (SOURCE: TNS/ SYNOVATE) Singaporeans are spending more time on the mobile Internet, their average page views per user growing by 143.6% since January 2008. (SOURCE: OPERA) Singapore's Top 10 Mobile Sites 1. google 2. facebook 3. youtube 4. wikipedia 5. yahoo 6. friendster 7. live 8. my.opera 9. cnn 10.gamejump (SOURCE: Opera/Friendster; ranked by unique users) ❚ E-COMMERCE Singaporeans love shopping: 80% of them have shopped online. (SOURCE: THE NIELSEN COMPANY) Almost two fifths of them (39%) have bought something online in the past month. (SOURCE: PURPLECLICK) Singaporeans are also amongst the highest online spenders in Asia, spending on average US$3,480 online over the period of one year, ahead of Japan, South Korea and Hong Kong. (SOURCE: VISA) Around 10% of Singapore's online users bank over the Internet. (SOURCE: ZDNET) Client: Coolserve Agency: PurpleClick Campaign: Tactical customer acquisition campaign Objective: Increase traffic and leads. Strategy: Kick off Yahoo! Search Engine Marketing (SEM) in Jan 2008. After its success, PurpleClick was officially appointed to manage COOLSERVE's Google Adwords account. For a tactical customer acquisition campaign, PurpleClick recommended banner ads on Yahoo! pages on a cost-per-acquisition model, ensuring that COOLSERVE® pays only when user signs up for a free housecall. Results: • Yahoo! SEM: Over 5,000 leads generated in six months, 20% increase in website hits & 100% increase in website hits thereafter. • Google SEM: 13,995 leads generated in three months. Through optimizing campaigns & using the same monthly budget, cost-per-click of SEM is lowered by 40% & traffic increased by 40%. • Yahoo! banner ads: More than 95% sales conversion Increased salesperson productivity from online leads Lowered operational costs for 24-hour shopfront. asia pacific digital marketing yearbook 57 SOUTH KOREA Gyeongbok Palace (Gyeongbokgung), Seoul ❚ DEMOGR APHICS South Korea is one of the most wired countries in the world: 76.1% of its citizens are online. Of those connected, 97.17% access the Internet from home. (SOURCE: Internet WORLD STATS/ WORLD BROADBAND STATISTICS REPORT) More than three quarters (78.4%) of South Korean Internet users log on every day. (SOURCE: NIDA) South Korean Internet users spend on average 13.7 hours online a week. (SOURCE: NIDA) More than 98% of South Koreans aged between 10 and 40 are Internet users - that's 99.9% of 10-19 year olds, 99.7% of those in their 20s and 98.6% of people in their 30s. (SOURCE: NIDA) South Korea had 36.8 million Internet users by the end of 2008, 15.3 million of which were broadband subscribers, with the addition of 210,000 new subscribers in Q4 alone. (SOURCE: Internet WORLD STATS/ WORLD BROADBAND STATISTICS REPORT) There were 27.68 million unique online visitors in South Korea in February 2009. (SOURCE: COMSCORE) South Korean spend the longest times online than any other Asian nation, averaging 1586.5 minutes online during February 2009. (SOURCE: COMSCORE) South Koreans also pay more online visits than anyone else in the region, the average user going online 48.9 times during February 2009. (SOURCE: COMSCORE) South Korean Internet Users 2008 % of users Sex Male 81.64% Female 71.5% Age 3-9 82.2% 10s 99.9% 20s 99.7% 30s 98.6% 40s 82% 50s 48.9% 60s+ 19% Occupation Professionals/Managers Office Workers Services/Sales Production Workers Students Housewives 98.7% 99.6% 75.6% 52.3% 99.9% 63.4% Education Level (Students) Elementary School Junior High School High School College 99.8% 99.9% 99.9% 100% Education Level (Graduates) Elementary and under Junior High School High School College and Above 28.4% 34% 78.2% 97.1% (SOURCE: KCC) 58 asia pacific digital marketing yearbook Why South Koreans Use Instant Messenger ❚ USER BEHAVIOUR Social networking - and blogs in particular - are no doubt changing media consumption habits. In South Korea, leading the world in digital trends, 77% of its online users read blogs every week compared to just 58% that read the mainstream press. (SOURCE: SYNOVATE) There were an estimated 27.85 million social media users in South Korea in 2008. (SOURCE: OGILVYONE) South Koreans love going to vertical blog forums for information-gathering and sharing. Portals like Naver (31 million visitors a month) and Daum (29 million visitors a month) are most popular. (SOURCE: OGILVYONE) Reason Chatting for Socializing Information Search Sending/Receiving Emails Visting Blog/Minihompy Sending SMS File Transfer Chatting for Work Shopping News Article Game/Fortune Telling etc Financial Services (Banking/Securities) (% of users) 75.1% 36.4% 36.1% 35.1% 33.3% 25.5% 21.3% 18.1% 17.9% 16.4% 7.5% (SOURCE: KCC; multiple response) Why South Koreans Read Blogs Reason Purpose of Using Blog Socialising Getting on Personal Interests (Hobby/Leisure) Watching Interesting Text/Photo/Video) Getting Daily Information Getting School/Work related Information Finding out the Blog Owner Expressing/Sharing Opinion on Current Issues Shopping/Searching for Products/Information (% of users) 64.2% 40.3% 38.7% 36.6% 23.7% 8.1% 7.6% 6% (SOURCE: KCC) More than 10.7 million South Koreans visited online gaming sites in August 2008. (SOURCE: COMSCORE) South Koreans are the most enthusiastic online gamers in the region, visiting gaming sites on average 13 times a month and staying for more than three hours (189.6 minutes) each time. (SOURCE: COMSCORE) Why South Koreans Blog Purpose of Having Blog Socialising Recording Daily Life Hobby/Leisure or Sharing Personal Interests Uploading Interesting Text/Photo/Video Sharing Work/School related Information Sharing Daily Information Self-Expression or PR Expressing or Sharing Opinion on Current Issues Economic Activities % of bloggers 60.3% 49.8% 32.6% 27.1% 25.2% 18.2% 10% 2.9% 0.5% (SOURCE: KCC) In South Korea, 47% of Internet users had illegally downloaded at least 55 movies a year, or more than one a week. ❚ ONLINE ADVERTISING (SOURCE: KOREAN FILM COUNCIL SURVEY 2008) Bucking a global trend, South Koreans purchase digital music (50%) more than they use PSP sites (45%) to obtain music. South Korea's online advertising market was worth US$10 billion in 2007. (SOURCE: ZENITH OPTIMEDIA) (SOURCE: UNIVERSAL MCCANN) Despite the high numbers, South Korea's online ad spend actually dropped 20% end of 2008. Online music (63%) accounts for most of South Korea's digital music revenues - 37% comes from mobile music. (SOURCE: ZENITH OPTIMEDIA) (SOURCE: EMARKETER) The Internet is expected to attract 10% of South Korea's total ad spend by this year. Blogging has captured the imagination of South Koreans - 84% of online users are blog users, with 99% of online users in their 20s and 30s checking them out. (SOURCE: ZENITH OPTIMEDIA) (SOURCE: KOREANCLICK/KOREA NATIONAL STATISTICAL OFFICE) site Total Unique Visitors (000) NHN 21,972 Lycos Sites 20,109 SK Group 17,338 CyWorld 16,567 gretech 13,570 KT Group 11,792 Yahoo! Sites 10,414 Microsoft Sites 10,140 JMnet (JoongAng Media Network) 9,497 eBay 9,385 Game portals attract more than 12 million South Koreans every month. (SOURCE: PEARL RESEARCH) What South Koreans Do Online Activity Leisure Activities (Music, Game, e-Book) Getting Information or Data Communicating (Email/Messenger) Internet Shopping and Selling Education and Learning Online Club/Community Managing Homepage (inc Blog) Financial Transaction Electronic Civil Affairs Software Download/Upgrade Job Search (Online Resume/Job Application) (SOURCE: KCC; multiple response) (% of users) 92.9% 89% 85.2% 56.2% 55.2% 49.1% 43.1% 35.4% 10.4% 9.3% 3.9% South Korea's Top 10 Sites % ReachTotal Minutes (MM) 79.4% 6,159 72.6% 3,100 62.6% 1,100 59.8% 4,992 49.0% 1,029 42.6% 368 37.6% 1,249 36.6% 524 34.3% 61 33.9% 331 (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Home/Work Locations) South Korea's Top Online Gaming Sites site Netmarble Nexon HANGAME.COM buddy Game Travian Games % Reach 13.6% 13.2% 12.8% 2.6% 2.4% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Home/Work Locations) asia pacific digital marketing yearbook 59 South Korea's Top Online Retail Sites site GMARKET.CO.KR Naver.com Shopping Samsung Group 11ST.CO.KR Interpark SHINSEGAE.COM ALADDIN.CO.KR GSESHOP.CO.KR LOTTEIMALL.COM LOTTE.COM % Reach 49.9% 47.9% 37.9% 31.7% 28.8% 25.6% 25.3% 20.6% 19.1% 18.5% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Home/Work Locations; heavy Internet users) South Korea's Top Entertainment Sites site GOMTV.COM PANDORA.TV TAGSTORY.COM SBS (Seoul Broadcasting System) KBS (Korean Broadcasting System) CBS.CO.KR Naver.com Movie MBC (Munhwa Broadcasting Corp.) Naver.com Video NOWCOM % Reach 66.1% 54.5% 45.4% 40.3% 39.7% 39.5% 37.4% 37.0% 35.6% 31.7% and about 38% have used them for creating pictures and videos. (SOURCE: UNIVERSAL MCCANN) South Korea is the second biggest market behind Japan for electronic payments via mobile, with 19% having used their phones for this purpose. (SOURCE: UNIVERSAL MCCANN) Other sources put that figure much higher, as many as 63% of South Korean mobile users could be using their devices as payment mechanisms. (SOURCE: 24/7 REAL MEDIA Wealthy South Koreans use their mobile phones for more than just making calls. One survey revealed 54% used them to receive sports results and sports-related information, 50% would watch live TV on them, 20% enjoyed making video clips on them. (SOURCE: SYNOVATE) (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Home/Work Locations; heavy Internet users) South Korea's Top News Media Sites Domain Joins.com Chosun.com Hankooki.com Mt.co.kr Sbs.co.kr Unique Visitor (000) 17,382 16,714 15,226 13,665 13,148 Reach (%) 53.8% 51.74% 47.13% 42.3% 40.7% (SOURCE: KOREANCLICK; April 2009) (SOURCE: IDC) Mobile TV has been embraced by the South Koreans, with 30% of mobile users having access to the service. (SOURCE: OPEN WEB ASIA) South Korea's Top Auction/Shopping Sites Domain Auction.co.kr Gmarket.co.kr 11st.co.kr Interpark.com Gseshop.co.kr More than a quarter (25.3%) of the region's mobile gamers live in South Korea. Unique Visitor (000) 17,999 17,942 11,595 11,506 8,648 Reach (%) 55.71% 55.54% 35.89% 35.62% 26.77% (SOURCE: KOREANCLICK; April 2009) ❚ MOBILE There are about 46 million mobile subscribers in the country. (SOURCE: ITU) South Korea's estimated mobile penetration rate in 2008 was 93.4% and is forecast to reach 96% in 2009. (SOURCE: RESEARCH ON ASIA) Around 51% of South Korean mobile users go online via their devices. (SOURCE: JP MORGAN) It is estimated that mobile ad spend in South Korea will reach US$684 million by 2012. (SOURCE: BTRAX) South Koreans use their mobile phones mostly for making phone calls (45%) and texting (45%); both MMS (5%) and Internet access (5%) on mobile phones have yet to take off in the country however. (SOURCE: UNIVERSAL MCCANN) Having said that, the South Koreans are always open to using new technology on their mobile phones. About 18% have used the mobile search function on their phones South Korean Mobile Internet Users 2008 Sex Male Female Age 12-19 20s 30s 40s 50s % of users 52.4% 48.6% 78.4% 81.8% 52.6% 31.1% 12.9% Occupation Professionals/Managers Office Workers Services/Sales Production Workers Students Housewives Education Level (Students) Elementary/Junior High High School College Education Level (Graduates) High School or Under College and Above 50.2% 66% 42.6% 36.8% 81% 34.5% 72.3% 83.5% 86% 35.4% 58% (SOURCE: NIDA) How South Koreans Use the Mobile Internet Activity Downloading Ringtones/Wallpapers MMS Listening to/Downloading Music (MP3) Mobile Game Information Search Emails Information on Daily Life Entertainment/Sports Blog/Minihompy News Mobile Banking Chatting/Messenger Watching/Downloading TV Programmes Mobile Coupon Finding Friends Services Navigation Mobile Shopping (SOURCE: NIDA) 2G Subscribers3G Subscribers (% of users) (% of users) 88.2% 89.7% 73.8% 69.4% 56.6% 63% 34% 43.5% 30.7% 30.2% 14.9% 15.5% 8% 13.2% 7.8% 9.4% 7.5% 12.6% 6.3% 9.8% 5.2% 7.8% 5% 8.4% 4.8% 8.6% 3.4% 4.2% 3% 5.6% 3% 5.4% 2.4% 4.8% Why South Koreans Use the Mobile Internet South Korean Online Shoppers Reason (% of total users) Availability of Internet Access Anywhere 77.1% Immediate Access to Internet When Needed 63.4% Relieve Boredom During Spare Time 53.9% Use Services of Contents Available only in the Mobile Phone Internet 42.9% Out of Curiosity about New Service or Technology 29.1% Needed for Study or Work 9% Unavailability of Wired Internet 6.6% Sex Male Female Age 12-19 20s 30s 40s 50s 60s+ (SOURCE: NIDA) How Long South Koreans Spend on the Mobile Internet Frequency per Week Less than 1 Time 1-2 Times 2-5 Times 5-10 Times 10 Times and Over Length Less than 3 Minutes 3-5 Minutes 5-10 Minutes 10-20 Minutes 20 Minutes and Over 2G Subscribers3G Subscribers (% of users) (% of users) 43.2% 18% 29.9% 5.9% 3% 13.6% 16.9% 35.1% 27.3% 7.1% 36.9% 17.6% 30.8% 8.7% 5.9% 11.9% 20.2% 29.6% 25.8% 12.5% (SOURCE: NIDA) ❚ E-COMMERCE % of users who shop online 54.1% 68.2% 61% 87.3% 72.4% 41.7% 27% 13.9% (SOURCE: KCC) What South Koreans Buy Online Item % of users who shop online Clothing/Footwear/Sporting Goods 66.8% Music Products 49.5% Cosmetics/Accessories 32.7% Books/Magazines/Newspapers 32.2% Bookings/Reservations 27% Movies/TV Programmes/Images 24.3% Computer/Video Games 19.8% Computer Software 16.3% Home Appliances/Electronics 15.2% Food/Groceries 12.9% Computer Equipment/Parts 11.9% Toddler/Children Products 9.8% Travel Products 8.5% Financial Services 6.5% Automobile Products 5% Photographic/Telecommunications/Optical Equipment 3.9% IT/Telecommunications Services 1.7% (SOURCE: KCC) The online retail shopping market is expected to generate US$114.7 billion in revenues in 2010. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) ❚ CASE STUDY South Koreans love to shop online. Among those who have Internet access, 99.9% have used it to buy something the highest online shopping penetration rate in the world. Client: Canon Agency: eMFORCE (SOURCE: BTRAX) South Korean shoppers spent US$707.50 on average online over a three month period in 2008. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) While virtually all online South Koreans shop online, they are not ones to buy things on impulse, with just 10% of the online population making impulse purchases. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) South Korea's Cyworld is the world's second largest music and video retailer after iTunes. (SOURCE: OGILVYONE) South Korea's online music download market has grown to such an extent that now more music is sold online than traditional offline channels. (SOURCE: OPEN WEB ASIA) More than 50% of South Koreans use online banking. (SOURCE: 24/7 REAL MEDIA) More than two thirds (67%) of South Korean online users in their 20s have paid for digital content. Of those, 91% bought music and 39% bought community or avatar items. (SOURCE: RESEARCH AND MARKETS) The country's online games market will generate US$1.7 billion in 2009. (SOURCE: PEARL RESEARCH) Campaign: Canon EOS 400D Launch Objective: Drive traffic to launch site of Canon EOS 400D digital camera and build potential buyer database. Strategy: Use an existing TVC as effectively as possible. Create interest among 25 to 34 year-olds. Details: Expandable banners featuring the TVC ran on Windows Live Hotmail. The banners were backed by text ads and a half banner on Windows Live Messenger, and premium text ads, box banners on the MSN homepage. A competition on the launch site to win a camera asked viewers to guess the identities of 13 silhouettes of national celebrities who appeared in the TVC. Another key placement of the campaign included the MSN User Created Content (UCC) Channel. Users posted comments on the identity of celebrities, which developed into a virtual community of interested participants. Results: • Delivered more than 73 million impressions. • Returned a value per click of US$0.19, a three-fold improvement on the average online campaign. • Encouraged more than 177,000 clickthroughs from the clip. • Elicited more than 7,500 views of the TVC. asia pacific digital marketing yearbook 61 TAIWAN Taipei 101 from street level ❚ DEMOGR APHICS Taiwan has a 68.94% Internet penetration rate. (SOURCE: TWNIC) The number of Taiwan online users has now reached 15.8 million. (SOURCE: TWNIC/ FIND) By 2013 it estimated that there will be 14.47 million broadband subscribers in Taiwan. 40-49 50-65 Household Income Under NT$20,000 NT$20,000-NT$29,999 NT$30,000-NT$39,999 NT$40,000-NT$49,999 NT$50,000-NT$59,999 NT$60,000-NT$69,999 NT$70,000-NT$79,999 NT$80,000-NT$89,999 NT$90,000-NT$99,999 NT$100,000-NT$109,999 NT$110,000 or above Refused/ Don't Know 1,419 633 14.2% 6.3% 263 458 821 992 1095 950 859 675 362 701 755 2,081 2.6% 4.6% 8.2% 9.9% 10.9% 9.5% 8.6% 6.7% 3.6% 7% 7.5% 20.8% (Source : Nielsen Media Index Taiwan) (SOURCE: MINDBRANCH) The Taiwanese Internet population is quite young: 96.95% of them are 16 to 20 years old; 90% are between the ages 12 and 35; those above 56 only account for 17.89% of users. (SOURCE: TWNIC) Taiwan had 11.2 million unique online visitors in February 2009. On average they each spent 974.4 minutes online that month, making an average number of 32.1 visits per person. ❚ USER BEHAVIOUR Blogging has become mainstream in Taiwan: 86.6% are reported to have a read a blog, and 70.9% have created a blog themselves. (SOURCE: OGILVY) Taiwan is a nation of active social networkers, with an estimated 12.32 million social media users in the country. (SOURCE: OGILVYONE) (SOURCE: COMSCORE) Taiwan's Internet Users 2008 Sex Male Female Age 12-19 20-29 30-39 62 asia pacific digital marketing yearbook (000) % of users 5,341 4,672 53.3% 46.7% 2,339 3,194 2,428 23.4% 31.9% 24.3% Of Taiwan's social media users, nearly two thirds (63.1%) maintain their own social networking site. Top social media activities include uploading photos (69% of users), watching videos (89.25%) and downloading podcasts (33%). (SOURCE: OGILVYONE) The Taiwanese are the second most enthusiastic online gamers in the region, visiting gaming sites 15.5 times a month and staying for an average of 151 minutes. (SOURCE: COMSCORE) What the Taiwanese Do Online Activity Email Instant messenger Voice over IP Online shopping Ordering tickets Auction MMPOG Online leisure game Downloading software Downloading MP3/music/video Downloading mobile graphics/ringtones Internet bank/credit card service Internet broker service Sending message to mobile phone Chat room/mating/making friends BBS/ forum/community Reading news Reading magazines Seeing movies Watching web TV Listening to online radio Listening to online music Searching staff/job e-card Creating blogs/albums/uploading videos Browsing blogs/albums/ videos Fortune/horoscope/mental test E-government service Searching or collecting information Subscribing e-paper Browsing Reading novels/comic books Other (000) % of users 8,130 46.4% 6,453 36.8% 779 4.4% 4,746 27.1% 1,501 8.6% 4,388 25% 2,391 13.6% 3,650 20.8% 2,375 13.5% 3,288 18.8% 722 4.1% 619 3.5% 1,535 8.8% 414 2.4% 3,180 18.1% 3,080 17.6% 6,745 38.5% 629 3.6% 1,651 9.4% 335 1.9% 401 2.3% 2,832 16.2% 807 4.6% 272 1.6% 2,380 13.6% 5,668 32.3% 2,260 12.9% 572 3.3% 10,019 57.2% 348 2% 4,374 24.9% 1,275 7.3% 19 0.1% (Source : Nielsen Media Index Taiwan) ❚ ONLINE ADVERTISING Taiwan is the third largest online advertising market in the region with annual sales averaging $1.1 billion. (SOURCE: BTRAX) The Internet is expected to attract 10% of Taiwan's ad spend by the end of the year. (SOURCE: ZENITH OPTIMEDIA) A total of 13,918 online ad banners were run by 1,144 advertisers in a total of 5,649 campaigns in Taiwan the second quarter of 2008. Pizza hut HSBC VISA Toyota Vibo Tsann Kuen Far Eastern Telecommunications Lay's Mitsubishi 54% 54% 52% 51% 51% 49% 46% 46% 46% (SOURCE: TNS/MEDIA; Q: Which of the following brands have you seen advertised via digital media?) Taiwan's Top 10 Sites site Total Unique Visitors (000) Yahoo! Sites 9,248 Microsoft Sites 6,539 Google Sites 6,288 PChome Online 3,729 Chunghwa Telecom 3,365 YAM.COM 3,047 XUITE.NET 2,520 PIXNET.NET 2,387 MYFOXY.NET 2,235 SINA 2,156 % ReachTotal Minutes (MM) 82.6% 2,985 58.4% 1,700 56.2% 446 33.3% 82 30.1% 81 27.2% 74 22.5% 25 21.3% 19 20.0% 15 19.3% 44 (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Taiwan Home/Work Locations) Taiwan's Top Online Gaming Sites site Nexon Yahoo! Games I-GAMER.NET MSN Games MINICLIP.COM % Reach 5.3% 4.5% 4.0% 2.2% 1.7% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Taiwan Home/Work Locations) Taiwan's Top Online Retail Sites Yahoo! Shopping Pchome Shopping BOOKS.COM.TW PAYEASY.COM.TW Alibaba.com Corporation Pchome Store Amazon Sites MONDAY.COM.TW SHOPPING99.COM SOFTKING.COM.TW 52.1% 29.5% 28.1% 15.8% 15.7% 15.5% 14.6% 10.3% 9.8% 9.4% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Taiwan Home/Work Locations; heavy Internet users) Taiwan's Top Entertainment Sites YOUTUBE.COM Yahoo! Movies IM.TV Pchome Photo Yahoo! Music CBS Interactive PPStream Tudou Sites Sony Online FUNP.COM % Reach 47.9% 30.5% 22.3% 22.2% 21.3% 21.0% 17.6% 16.8% 15.4% 14.9% (SOURCE: ComScore Media Metrix; February 2009; Audience: All Persons 15+ at Taiwan Home/Work Locations; heavy Internet users) (SOURCE: THE NIELSEN COMPANY/ BRAND REPUBLIC) Trust in Media Channels in Taiwan Viral marketing techniques seem to work well in Taiwan. Nearly four-fifths (79%) of Taiwanese online users have received a viral message at some point and nearly half (49%) of them have passed it on. (SOURCE: TNS/MEDIA) Top 20 Advertisers Using Digital Media in Taiwan Advertiser 7-11 McDonald's Coca Cola Nike KFC Nokia ChungHwa Telecom Taiwan Mobile Citibank Heineken Sony % of users 76% 75% 65% 63% 63% 62% 61% 60% 58% 58% 55% Media channel % who trust the channel completely Recommendations from friends and family 56% Expert product review from websites 23% Product labels on packaging 20% Independent reviews in publications 19% Products/brands that appear in movies or within TV programmes 19% Consumer product review from websites 18% Consumer opinion in blogs 17% Consumer opinion on message boards 14% Manufacturers/brands websites 14% Ads at the cinema before the movie starts 13% TV ads 13% Ads that appear on search engines 13% Consumer opinion in chat rooms 13% Magazine ads 12% Newspaper ads 12% Banner ads on websites 10% Email newsletters 10% Ads on posters, buses/bus shelters 10% Recommendations from other consumers who you do not personally know 9% Radio ads 8% Pop-up or pop-under web ads 7% asia pacific digital marketing yearbook 63 Ads that have been sent to you by e-mail Ads via mobile SMS Ads in virtual worlds Ads in video games 7% 6% 5% 5% (Source: TNS/Digital Media) ❚ MOBILE ❚ E-COMMERCE Taiwan's e-commerce market was expected to be worth NT$243 billion (US$7.29 billion) in 2008, up 32.3% from 2007. (SOURCE: MARKET INTELLIGENCE CENTER) Taiwan's mobile penetration has surpassed 110%. (SOURCE: BUDDECOMM) Fashion and beauty are the two dominant segments in Tawain's online shopping market, with compound average growth rates of 88% (fashion) and 49% (beauty). (SOURCE: MARKET INTELLIGENCE CENTER) At the end of 2008, Taiwan had more than 25 million mobile subscribers. (SOURCE: MINDBRANCH) Of Taiwan's mobile population, 10.9 million own 3G devices. (SOURCE: MINDBRANCH) More than two fifths (21.6%) of Taiwan's population over the age of 12 have used mobile Internet services before, with another 9.4% accessing the web via their PDAs. (SOURCE: 2008 Digital Divide Survey) For Taiwanese mobile Internet users, downloading ringtones (38.36%) and browsing (21.14%) are the most popular activities. (SOURCE: OGILVYONE) One survey revealed that the Taiwanese, aside from using their mobile phones for chatting and instant messaging (84%), more than half of the population (53%) would be interested in watching live video on them. (SOURCE: SYNOVATE) What the Taiwanese Buy Online Item Clothes/Accessories/Cosmetics/Care Products Books/Magazines Restaurants/Plane Tickets/Train/Bus Tickets, etc Household Goods 3C Products Computers/Peripheral Products Computer Software/Updates Film/Music Food Exhibition Tickets Financial/Insurance Products Not Shopped in Past Year Vehicles/Motorcycle Parts % of Internet Users 60.6% 49.7% 48.5% 36.3% 32.2% 30.9% 26.8% 18.5% 17.5% 15.3% 13.9% 3.2% 0.3% (SOURCE: 2008 Digital Divide Survey) How Much Taiwanese Online Shoppers Spend Amount Spent Over Year Less than NTD 1,000 NT$1,001-5,000 NT$5,001-10,000 NT$10,001-20,000 NT$20,001-30,000 NT$30,001-50,000 NT$50,001-100,000 Above NT$100,000 Have Not Shopped in Past Year Do Not Remember Clearly % of Internet Users 11.1% 35.4% 16.7% 10.8% 6.1% 4.5% 3.4% 2.6% 3.2% 6.2% (SOURCE: 2008 Digital Divide Survey) Having said that, mobiles phones in Taiwan are still mostly used for making phone calls (65%). SMS/MMS usage (3%), and Internet access (2%) on mobile phones have yet to take off in the country. (SOURCE: UNIVERSAL MCCANN) Taiwan's mobile sector earned NT$243 billion (US$7.2 billion) in 2008, with improved services and products from operators. Mobile data services increased to over 20%, up from only 2% in 2000. (SOURCE: BUDDECOMM) The ARPU (average revenue per user) for 3G services, while dropping, was still 35% higher than for 2G. (SOURCE: BUDDECOMM) Taiwan's Mobile Internet Users Age 12-14 15-20 21-30 31-40 41-50 51-60 61-64 65+ % of Age Group Using Mobile Internet 23.5% 43.7% 58% 48% 32.2% 26.7% 23.8% 17.7% (SOURCE: 2008 Digital Divide Survey) 64 asia pacific digital marketing yearbook ❚ CASE STUDY Client: Intel Agency: MRM Worldwide - Asia Pacific Campaign: Intel® Centrino® 2 Heart of The Matter Objective: "Make the processor relevant again." Strategy: MRM took the non-traditional approach of creating an online-only feature film called "Heart of the Matter". Details: Starring two of Taiwan's biggest stars and distributed exclusively online, the three-part "webisode" series managed to engage and entertain our target audience beyond typical advertising. Viewers were then invited to enter a competition where they could win a laptop. Results: • In just over two weeks, in excess of 50 million ad impressions were served with a substantial click-through rate. • The film pulled in over 200% higher traffic to the Intel What's Inside You page located on Intel.com. • During the first two weeks, the videos were viewed by more than 100,000 people. • The first week alone saw an impressive 239% growth in Intel Corporate site visits and a 236% increase in page views. • Over half of all visitors entered the contest, with an overwhelming 84% getting the correct answer and 90% submitting their emails to enter. asia pacific digital marketing yearbook 65 THAILAND Grand Palace, Bangkok ❚ DEMOGR APHICS In 2008 there were around 15 million Internet users in Thailand, out of a total population of 63.39 million, giving the nation an Internet penetration rate of around 23.7%. (SOURCE: THE NATION) Thailand's Internet penetration rate is expected to hit 27.9% by 2010. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Age 12-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70+ 158 279 159 456 317 545 239 625 158 439 840 227 557 1139 691 (000) % of users 4,076 4,144 49.58% 50.41% 1,125 2,195 1,205 1,168 683 531 417 439 263 132 36 18 7 13.68% 26.7% 14.66% 14.21% 8.31% 6.46% 5.07% 5.34% 3.2% 1.61% 0.44% 0.22% 0.09% ❚ USER BEHAVIOUR Windows Live is popular with Thais. Nearly two thirds of the country's online population use it (nine million users), spending a cumulative 2.4 billion minutes online on MSN messenger. (SOURCE: MICROSOFT) Thailand had an estimated 10.73 million social media users in 2008. (SOURCE: OGILVYONE) (Source : Nielsen Media Index Thailand; All persons 12+) More than half (55.3%) of Thais living in Bangkok go online to look for news-related content. Thailand's Online Users, by Income Household Income Less than THB4,000 THB4,000-4,999 Per Month THB5,000-5,999 Per Month THB6,000-6,999 Per Month 66 asia pacific digital marketing yearbook 1.92% 3.39% 1.93% 5.55% 3.86% 6.63% 2.91% 7.6% 1.92% 5.34% 10.22% 2.76% 6.78% 13.85% 8.41% (Source : Nielsen Media Index Thailand; All persons 12+) Thailand's Internet Users 2008 Sex Male Female THB7,000-7,999 Per Month THB8,000-8,999 Per Month THB9,000-9,999 Per Month THB10,000-12,499 Per Month THB12,500-14,999 Per Month THB15,000-17,499 Per Month THB17,500-1,999 Per Month THB20,000-22,499 Per Month THB22,500-24,999 Per Month THB25,000-29,999 Per Month THB30,000-34,999 Per Month THB35,000-39,999 Per Month THB40,000-49,999 Per Month THB50,000-74,999 Per Month THB75,000+ Per Month (000) (% OF USERS) 452 5.5% 283 3.44% 356 4.33% 302 3.67% (SOURCE: OGILVYONE) Blogs are also a significant part of the social media space in Thailand with 84% of Internet users claiming to write or participate in a blog. (SOURCE: OGILVYONE) Thailand has 2.4 million registered online social networkers, growing at a rate of 20% per month. Of them, 78% are aged between 18 and 34. (SOURCE: OGILVYONE) How Long Thais go Online Average Time Spent Using Internet Less Than 30 Minutes 31 Minutes-Less Than 1 Hour 1 Hour-Less Than 2 Hours 2 Hours-Less Than 3 Hours 3 Hours-Less Than 4 Hours 4 Hours-Less Than 5 Hours 5 Hours-Less Than 6 Hours 6 Hours-Less Than 7 Hours More than 7 Hours (000) 723 2,674 2,608 1,388 567 210 177 94 193 % OF USERS 8.33% 30.8% 30.04% 15.99% 6.53% 2.42% 2.04% 1.08% 2.22% (000) 6,782 106 1,723 1,131 642 179 234 1,293 1,702 1,656 1,034 3,069 861 2,840 316 1,120 944 127 2,721 201 90 310 262 227 1,686 2 % OF USERS 78.12% 1.22% 19.85% 13.03% 7.4% 2.06% 2.7% 14.89% 19.61% 19.08% 11.91% 35.35% 9.92% 32.72% 3.64% 12.9% 10.87% 1.46% 31.34% 2.32% 1.04% 3.57% 3.02% 2.61% 19.42% 0.02% (Source : Nielsen Media Index Thailand; All persons 12+) What Thais do Online Activity Email Internet Telephone Download Software/Files Product Info Company Info Purchase Product Perform Financial International News Local News Read e-Newspaper Read e-Magazine Listen to Music Watch Movie/TV Programme Play Games News Group/Bulletin Boards Internet Relay Chat Job Hunting Video Conference Education Services Classified Ads Auctions SMS TV on Demand-Drama TV on Demand-Music For Chat (MSN/Yahoo/Skype) Other Online display ad spend in Thailand came to an estimated US$8.77 million in 2008 and is expected to reach US$12.65 million this year. Search advertising spend meanwhile came to just US$1.88 million last year, but is estimated it will reach US$5.97 in 2009. (SOURCE: YAHOO!/THE NIELSEN COMPANY) The online advertising market is still young but growing in Thailand. Display advertising spend is expected to reach US$15.94 million by 2010, while search advertising spend is expected to more than double from 2009 to reach US$11.63 million. (SOURCE: YAHOO!/THE NIELSEN COMPANY) Viral marketing is a relatively safe bet in Thailand, with 84% of online users having received one at some point and more than half of them (54%) passing it on. Those most likely to forward viral messages are aged between 30 and 34, 86% of them having received one at some point, with nearly two thirds of them (63%) having passed it on. (SOURCE: TNS/MEDIA) (Source : Nielsen Media Index Thailand; All persons 12+) ❚ ONLINE ADVERTISING Online advertising is still in its infancy in Thailand, accounting for just 1.1% of the total 92 billion baht (US$2.56 billion) ad market. (SOURCE: 2008 MEDIA OUTLOOK/ GROUP M) Despite the low numbers, Thai businesses do believe in the Internet's advertising potential. In one survey, 61% of them thought the Internet was worth considering for their marketing needs. This sentiment is shared by both big-sized firms (501-1000+ employees) and medium-sized enterprises (50-500 employees). (SOURCE: OGILVYONE/MSN/ BRAND AGE) Thailand's overall online advertising expenditure is expected to increase to 5% of total ad spend this year. Top 20 Advertisers Using Digital Media in Thailand Advertiser Nokia (Thailand) Sony (Thailand) Toyota Motor Thailand Thai Samsung Electronics A.P. Honda Pepsi Cola (Thai) Trading/SermSuk KFC Nike Coca Cola (Thailand) Canon Siam Commercial Bank Pizza hut Kasikorn Bank Lay's VISA Heineken Citibank McDonald's Dutch Mill (Thailand) Adidas % of users 90% 78% 73% 73% 72% 71% 71% 71% 68% 68% 67% 65% 63% 63% 62% 60% 60% 59% 58% 58% (SOURCE: TNS/MEDIA; Q: Which of the following brands have you seen advertised via digital media?) Trust in Media Channels in Thailand Media channel % who trust the channel completely Recommendations from friends and family 45% Product labels on packaging 47% Manufacturers/brands websites 42% Expert product review from websites 36% TV ads 29% Products/brands that appear in movies or within TV programmes 29% Independent reviews in publications 28% Consumer product review from websites 25% Ads that appear on search engines 22% Magazine ads 22% Email newsletters 21% Recommendations from other consumers who you do not personally know 20% Consumer opinion on message boards 20% Ads at the cinema before the movie starts 20% Consumer opinion in chat rooms 19% Newspaper ads 19% Consumer opinion in blogs 19% Banner ads on websites 18% Ads on posters, buses/bus shelters 15% Radio ads 12% Ads in virtual worlds 11% Pop-up or pop-under web ads 11% Ads that have been sent to you by e-mail 10% Ads via mobile SMS 9% Ads in video games 8% (Source: TNS/Digital Media) (SOURCE: MICROSOFT) asia pacific digital marketing yearbook 67 WARC Online everything you need to know about marketing & advertising in one place … L A searchable database of over 45,000 relevant case studies, papers and research findings from different industries around the world L Knowledge and insight from more than 40 international information sources L Best practice guides to strategic issues in marketing, media and consumer research L Partnerships with industry-leading authorities in key markets L Subscribers in more than 130 countries L Continually expanded content To learn more go to www.warc.com for a 7 day free trial call +61 (2) 9908 2930 | email [email protected] 68 asia pacific digital marketing yearbook ❚ MOBILE Thailand has had nearly 9 million new mobile connections over the last year giving it a total of 61.9 million subscribers. (SOURCE: ITU) Mobile penetration rates in Thailand are high at 82%. By 2010, Thailand's online shopping penetration rate should reach 57.5%, representing 10.5 million people. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) The Thais are the "least active" online shoppers in the region, on average only making online purchases 1.8 times in a three month period. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) (SOURCE: OGILVYONE) The Thai youth love talking on their phones, accounting for 70% of mobile usage. Thais spend the least amount on online purchases too, compared to their Asian peers, totalling US$406.30 on online shopping in a three month period. (SOURCE: OGILVYONE) (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) The Thais have embraced mobile technology with open arms. According to one survey, 57% of elite Thais said that they had used their mobile devices to watch live TV, while 18% enjoyed making video clips with them. Security could be the reason Thais are reticient about shopping online - three quarters of them said they are reluctant to shop online because they fear making online transactions are unsafe. (SOURCE: SYNOVATE) (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) Thailand is in the top 10 countries in the world for data usage on mobile phones through General Packet Radio Services (GPRS) connections. Thailand's online shopping market should generate US$20. billion by 2010, up from US$5.9 billion in 2007. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) (SOURCE: MICROSOFT) Bangkok has the greatest density of users of both computers (40.2%) and the Internet (29.9%) in Thailand. (SOURCE: MICT) Mobile Internet in Thailand - a market worth US$798 million - continues to develop with the service now available in main cities. Non-voice communications is set to expand by 40% this year. (SOURCE: OGILVYONE) Thailand's mobile Internet population has grown by 116.3% since January 2008. (SOURCE: OPERA) Thai mobile Internet users are spending more time on mobile sites, their number of page views increasing by 217.9% since January 2008. Thai mobile Internet users currently average 164 page views per visitor. (SOURCE: OPERA) Thailand's Top 10 Mobile Sites 1. hi5 2. google 3. gamejump 4. live 5. manager 6. my.opera 7. pantip 8. livescore 9. youtube 10. bloggang ❚ CASE STUDY Client: Advanced Info Service (AIS) Agency: Impaq Interactive Campaign: MSN Campaign Objective: Boost brand awareness and promote a new bundled mobile phone solution to young business users. Strategy: Generate interest among affluent Thais aged 25 years and older. Boost brand awareness among business professionals. Drive potential customers to a promotional microsite. Details: AIS had used banner advertising in the past to attract a wide audience. But with a specific demographic in mind, a new approach was called for. At this point, Microsoft Advertising entered the conversation. Already one of the top ten sites in Thailand, MSN was a great location for engaging tech-savvy Thais. Ads on the MSN homepage directed traffic to a specially built Smart Solutions microsite, packed with details of products and services and offering a hotline for purchase enquiries. To maximise traffic, supporting banners also ran on Windows Live Hotmail, and Windows Live Messenger. Results: • The campaign generated 39 million impressions. • Registered more than 194,000 leads. • Boosted sales by 80%. • Drove down cost per lead by 66%. • Created strong brand awareness. (SOURCE: Opera/Friendster; ranked by unique users) ❚ E-COMMERCE Thailand has one of the lowest online shopping penetration rates in the region, with 43% of the online population showing a likelihood of making online purchases. (SOURCE: MASTERCARD WORLDWIDE INSIGHTS) asia pacific digital marketing yearbook 69 VIETNAM Rice fields on Cat Ba Island in Halong Bay, northern Vietnam ❚ DEMOGR APHICS Vietnam has about 20.8 million Internet users. (SOURCE: Internet WORLD STATS) While broadband services in Vietnam are still in their early stages (7% penetration), the number of broadband subscribers rose by 49% in the first 10 months of 2008 to reach 1.9 million users. (SOURCE: OGILVYONE/ MIC) By 2010 the country's online population is predicted to have grown to 30 million people. (SOURCE: SAIGON TIMES/YAHOO!) By the end of 2008 Vietnam was predicted to have two million broadband subscribers. (SOURCE: INTELLASIA More than 20% of the population living in major cities is now online. (SOURCE:TNS) The Vietnam Post and Telecommunications Group (VNPT) is set to spend US$1 billion in 2009 to develop its broadband networks and expand its international bandwidth. Vietnam's urban home Internet penetration rate was 34% in 2008. (SOURCE: INTELLASIA) (SOURCE: TNS) It is estimated that one in every three Vietnamese will be online by 2012. Vietnamese Internet users are fairly experienced too: seven in every ten Vietnamese Internet users have been online for more than three years. (SOURCE: OGILVYONE) (SOURCE: OGILVYONE) Four in ten Vietnamese now go online every week. The younger population makes up much of the numbers - eight out of ten 15-24 year olds access the Internet weekly. Out of 2.1 million ADSL Internet subscribers in Vietnam, VNPT has 60% market share at 1.3 million customers, while Viettel services 700,000 customers and FPT 600,000 subscribers; the rest are Netnam, SPT and EVN Telecom subscribers. (SOURCE: INTELLASIA) (SOURCE: INTELLASIA) On average, Internet users in Vietnam spend between 2.5 and three hours per session. (SOURCE: INTELLASIA) 70 asia pacific digital marketing yearbook By 2013 Vietnam is predicted to have 47 million Internet users. (SOURCE: VINAGAME) ❚ USER BEHAVIOUR As Vietnam has only had Internet access since 1997, coupled with the fact that the local population is very young, there is a huge demand for trial and exploration online. Teen-oriented websites in Vietnam get anywhere from a few hundred thousand to a few million page views a month. As a result, Internet usage in Vietnam has been growing steadily at a rate of 30% a year on average. Community Websites Game Online TV/Video Online Blog Surfing Picture Download/Upload SMS Chat Room Compose Blog Webcam Forums Internet Phone/VoIp Shop Online E-Banking 50% 46% 43% 38% 30% 29% 27% 26% 21% 20% 14% 4% 3% (SOURCE: Yahoo!/TNS; Past month Internet users aged 15+) (SOURCE: OGILVYONE) In 2008 there was estimated to be as many as 16.12 million social media users in Vietnam. ❚ ONLINE ADVERTISING (SOURCE: OGILVYONE) Social networking is a favourite pastime amongst Vietnamese online users. Nearly three quarters (72%) of 18 to 30 year olds, and 43% of the older population use social networking sites to interact with their friends and family. (SOURCE: OGILVYONE) Vietnam's online advertising market is variously estimated to be valued at anywhere from US$2.3 million to $8 million. (SOURCE: YAHOO!) It is estimated that Vietnam's ad and Internet market will be generating US$31 million in revenues by 2010 (up from US$10 million in 2007). (SOURCE: MARKETING INTERACTIVE/VIETNAM ADVERTISING ASSOCIATION) Gaming is another trend taking over Vietnam. There are various estimates of the number of online gamers in the country, with some indicating that more than half (57%) of the youth in urban cities are actively playing games on sites like vinagame.vn. By 2014 the online advertising market could be generating as much as US$75 million and will represent 9% of total ad spend in the country. (SOURCE: VINAGAME) (SOURCE: OGILVYONE) News sites such as 24H.com.vn, dantri.com.vn, vnexpress. net and vietnamnet.vn account for 6/10 of the most visited destinations for Vietnamese Internet users. (SOURCE: OGILVYONE) Vietnamese Internet users are fans of video-sharing sites such as Clip.vn and YouTube and ones that offer musical search like Zing, Baamboo, and 7 sac. (SOURCE: OGILVYONE) By June 2008, Clip.vn had more than 1 million subscribers and with an average of 100,000 hits per day, and over 1,500 videos uploaded daily. Paid search advertising is predicted to generate US$35 million in revenues by 2014. (SOURCE: VINAGAME) It is expected that Vietnam, Indonesia and the Philippines will be driving 90% of the Internet ad growth in the South east Asia region in the next five years. (SOURCE: YAHOO!/NIELSEN ONLINE) Vietnam's online display advertising spend stood at US$2.31 million in 2008 and is projected to reach US$4.186 million in 2009. By 2010 display advertising spend is expected to come to US$6.4 million. (SOURCE: YAHOO!/NIELSEN ONLINE) (SOURCE: DIGITAL MEDIA ACROSS ASIA) Blogging is taking hold in Vietnam - now more than half (55%) of online users aged between 15 and 25 have their own blogs. Search advertising spend in Vietnam was just US$495,000 in 2008 and is expected to reach US$897,000. By 2010 the search market is expected to be generating US$1.37 million. (SOURCE: INTELLASIA) (SOURCE: YAHOO!/NIELSEN ONLINE) Nearly 90% of Vietnamese online users living in the country's biggest cities have read news on the Internet and 82% have used search engines. Nearly three quarters of them (73%) have used chat while more than two thirds (67%) of them have listened to music or downloaded music. (SOURCE: VIETNAMNET/ICTNEWS/YAHOO!/TNS) ❚ MOBILE Vietnam had 30 million new mobile connections in Q42008, representing a total of 67.2 million subscribers - the region's seventh largest. (SOURCE: ITU) What the Vietnamese do Online: 2008 Activity News Search Instant Message Music/Video Download Email % of online users 89% 82% 73% 67% 58% Over 80 million mobile subscribers in Vietnam are subscribed to Viettel (26 million) and VNPT's two subsidiaries, MobiFone (26 million) and VinaPhone (20 million). (SOURCE: INTELLASIA) asia pacific digital marketing yearbook 71 72 asia pacific digital marketing yearbook Mobile penetration in Vietnam is predicted to grow by 270% to reach 46 million mobile users by 2010. Only 4% of Vietnamese online users in the country's key cities have banked or shopped online. (SOURCE: OGILVYONE) (SOURCE: VIETNAMNET/ICTNEWS/YAHOO!/TNS) Vietnam's growing youth population with high disposable incomes has been driving much of the demand for mobile services in the country. The country's mobile subscriber base has about 800,000 new additions each month. (SOURCE: INTELLASIA) The strong take-up of fixed lines is mainly due to reduction in tariffs introduced in the country in June 2007. As of the end of September 2008, there were about 13 million fixedlines in Vietnam, reflecting a growth rate of 17.1% from the previous year. (SOURCE: MIC) Vietnam's mobile Internet population has grown by 303.2% since January 2008. (SOURCE: OPERA) Vietnam's current mobile Internet users are becoming more active too, with the number of page views increasing by 405.2% since January 2008. (SOURCE: OPERA) Mobile Internet users in Vietnam average 104 page views per visitor. (SOURCE: OPE RA) There is a marked difference between mobile penetration rates in urban and rural Vietnam - 84% of urban dwellers have mobile phones, while only 33% of rural inhabitants do. (SOURCE: TNS) Vietnam's Top 10 Mobile Sites 1. google 2. dantri 3. vnexpress 4. my.opera 5. yahoo 6. gamejump 7. vietnamnet 8. truyenviet 9. thegioididong 10.tuoitre (SOURCE: Opera/Friendster; ranked by unique users) ❚ E-COMMERCE Vietnam's online retail market is blossoming, with e-stores now selling everything from motorbikes and mobile phones to luggage and camping equipment. E-commerce models like B2B (business to business), B2C (business to customers), and C2C (customers to customers) are most popular. (SOURCE: VIETNAM BUSINESS NEWS/ VIETNAM NET BRIDGE) Vietnam's answer to 123buy - 123mua.com.vn - has about 15,000 e-stores, each stocking more than 100 products. (SOURCE: VIETNAM BUSINESS NEWS) ❚ CASE STUDY Client: Unilever Vietnam Agency: WHO? Digital (with MindShare & JWT) Campaign: Life Can't Wait (Sunsilk) Objective: Develop a digitally-led activation campaign that would invoke consumer engagement and participation with Sunsilk's global re-branding initiative; "Life Can't Wait"; a campaign that aimed to convince women around the world to find inspiration from the real life "Life Can't Wait" moments of famous icons, Madonna, Marilyn Monroe and local singer, Ho Ngoc Ha. Strategy: A natural continuation of the "Icons" brand campaign, the digital activation inspired 20-something girls to come online and "Iconise" themselves by creating their own "Life Can't Wait" Billboard. This was the first phase in a nationwide search for Vietnam's next inspiring icon. Details: Using a custom-built "Iconise Me!" application, users created their billboard by uploading a photo of their face, which was then transformed into an illustration. Next, they chose their ideal hairstyle, expressed their Life Can't Wait philosophy in the form of a headline, added their photos and chose their colours. The result was a custommade poster that resembled the poster artwork from the ATL campaign. Posters were displayed in an online gallery on the site, and also pulled to 3rd party sites as banner ads (media managed by MindShare) to create deeper engagement and heighten the sense of immediacy. Eight weekly finalists were chosen and their Life Can't Wait story was embellished in the form of a radio show (conceptualised by JWT). At the end of the eight-week entry phase, the girls were flown to HCMC to create their own TVC to complete their Life Can't Wait campaign. In the final phase of entry, the three elements (Billboard, TVC and Radio) came together on a blog page for each of the finalists, and the public was invited to come online and become a fan. Message boards and sessionbased chat boxes enabled the finalists to converse with their fan base in real time. The winning finalist (collectively selected by the public and by Sunsilk) spent an indulgent PR day with Ho Ngoc Ha. Results: • Over a quarter of a million people visited the website during the campaign period. • Over 4,000 hopefuls registered to become an icon. • More than 9,500 people became a fan of the icons in the final phase. • A substantial amount of online PR and word of mouth. In one survey that polled 1600 companies in Vietnam, 75% said that they generated more than 5% of their total revenue from e-commerce. (SOURCE: VIETNAM MINISTRY OF INDUSTRY AND TRADE) asia pacific digital marketing yearbook 73 ADMA Membership Directory ❚ PATRONS Aha! Research Globe7 Hong Kong Right Media www.aharesearch.com Tel: +852 3105 0313 www.globe7.com Tel: +852 37513292 www.rightmedia.com Tel: +1 212 710 3600 Tel: +852 2159 7745 Main Representative: Peter Steyn, Managing Director Main Representative: Ling Kwan, Senior Business Development Manager, Asia Pacific Main Representative: Denise Colella, VP, International Globe7 is a pioneer in digital information and online communications, specialising in Voice-over-Internet-Protocol (VoIP) applications, hosting video contents, sharing files, Instant Messaging, Games, and a Chineselanguage social networking website. Xiaoming Shao, Director, Strategic Accounts Aha! Research is an independent full-service online market research company delivering leading-edge solutions to our clients around the world. We have extensive industry experience and apply the latest research techniques and technology. Our data collection is primarily through online consumer panels as well as via client provided email lists, and web-based surveys. Aha! Research is a member, and follows the 'codes of ethical practice' and professional standards, of the European Society for Opinion and Marketing Research (ESOMAR) - a world body of market research professionals and organisations. Roger Williams, Director - International Marketing Right Media, a Yahoo! company, operates the world's largest online advertising exchange. Revolutionising how online media is bought and sold, the Right Media Exchange removes many of the traditional trading inefficiencies, replacing them with an automated auction-based platform. With 100,000 global buyers and sellers conducting over eight billion daily transactions, the Exchange enables advertisers, publishers, agencies and networks to drive greater value and measurability from their online advertising activities. Right Media has offices in Hong Kong, Singapore and Tokyo as well as across the US and Europe. DoubleClick International Asia Microsoft Advertising Upstream Asia www.doubleclick.net Tel: +852 3760 1888 www.advertising.microsoft.com/asia Tel: +852 2804 4200 www.upstreamasia.com Tel: +852 2973 0222 Main Representative: Jayne Leung, Regional Director, Asia Main Representative: Richard Dunmall, General Manager, Greater Asia Pacific Main Representative: David Ketchum, Chief Executive Officer Kenneth Andrew, Marketing Director, Greater Asia Pacific Upstream is a full service marketing and corporate communications network ideally positioned to help companies make the most of business opportunities in the Asia Pacific region. Our clients look to us to create and manage multi-disciplinary campaigns, and we provide a full range of off and online communications solutions, including strategic public relations counselling, media relations, event management, digital marketing and Web-based communications services. Upstream primarily works with clients in three sectors: technology/ media/ telecommunications; consumer/ lifestyle/ travel; and corporate and financial. Nicole Chou, Business Development Director, Asia Cindy Burke, Account Director, Asia Andrew Wong, Rich Media Sales Manager, APAC DoubleClick is a premier provider of digital marketing technology and services. The world's top marketers, publishers and agencies utilise DoubleClick's expertise in ad serving, rich media, video, mobile, search and affiliate marketing to help them make the most of the digital medium. From its position at the nerve centre of digital marketing, DoubleClick provides superior insights and insider knowledge to its customers. Stephen Dolan, Specialist and Multinational Sales Director, Greater Asia Pacific Liam Walsh, Sales Director, Australia Erik Johnson, General Manager, Greater China Region Rathin Lahiri, Sales Director, India Toshihiro Fukutoku, Sales Director, Japan Paul Mottram, Chief Operating Officer Min Ho Kan, Sales Director, Korea Richard Huggins, Sales Director, South East Asia Region Microsoft Advertising provides world-class advertising tools and solutions for digital advertisers and publishers to drive brand and consumer engagement. The portfolio includes all of our digital advertising businesses: our global media network that includes MSN, Windows Live, Office Live, XBOX, Live Search, Facebook and more, and our global technology platforms and tools that include Atlas, AdECN, adCenter, DRIVEpm, Massive and ScreenTonic, which together create engaging digital advertising experiences for their consumers. Microsoft Advertising helps make buying and selling media simple, smart and more cost-effective across media and devices in the Microsoft network of properties and beyond, which spans 42 markets globally and 21 languages. Epsilon International Orbit Media Turner Entertainment Networks Asia www.epsilon.com/international Tel: +852 3589 6300 www.orbitmedia.com.au Tel: +61 2 9957 6533 www.turner.com Tel: +852 3128 3333 Main Representative: Dominic Powers, Senior Vice President, Asia Pacific Main Representative: Paul Campbell, Managing Director Adrian Hoon, Vice President, Asia Orbit Media Australasia ("OMA") is a digital media group that provides expertise in the creation, production and delivery of interactive and online media. Founded in 1996, OMA is owned by an experienced group of marketing professionals, who are supported by highly skilled people in Australia, Hong Kong, China, Korea and the United States to service a client base throughout the Asia Pacific region. OMA creates interactive sales, marketing and training products, builds sophisticated websites and intelligent online marketing tools integrated with content management systems. We invest heavily in our knowledge by employing specialist people of various skills and disciplines to maintain our competitive edge. Main Representative: Benjamin Grubbs, Regional Director, Interactive Media Cynthia Richmond, Vice President, Australia & New Zealand Tony Cheung, Vice President, China Regina Leung, Vice President, Marketing, Asia Pacific Epsilon International is a leading provider of multi-channel, data-driven marketing technologies and services that deliver measureable results for clients. Through the combination of our vertical market expertise, professional services and innovative technologies, we help marketers acquire, grow and retain profitable customer relationships through highly targeted and measurable email communication programmes. Our end-toend suite of industry-specific products and services includes scalable email campaign technology, delivery and creative optimisation, database value analysis, marketing automation tools, turnkey integration solutions and other strategic digital marketing services that provide actionable analysis throughout the customer lifecycle. 74 asia pacific digital marketing yearbook Jeremy Carr, Vice President, Regional Entertainment Advertising Sales Lucien Harrington, Vice President, Branding & Communication Donald Anderson, Senior Business Manager, Interactive Media Turner Entertainment Networks Asia, Inc. (TENA) is the entertainment arm of Turner Broadcasting System Asia Pacific, Inc., a wholly-owned subsidiary of Turner Broadcasting System. Established in 1994, TENA distributes Cartoon Network, Turner Classic Movies, POGO and Boomerang as well as interactive entertainment content in the Asia Pacific region. With these established entertainment brands, Turner continues to be a leader in the Asian television marketplace. TBS Inc., a Time Warner company, is a major producer of news and entertainment product around the world and the leading provider of programming for the basic cable industry. ADMA Membership Directory ❚ CORPORATE MEMBERs ad:tech draftFCB China Google Hong Kong Nielsen Online www.ad-tech.com Tel: +65 9852 0150 www.draftfcb.com Tel: +86 21 2411 0421 www.google.com.hk Tel: +852 3923 5400 www. www.nielsen-online.com Tel: +852 3161 5990 Main Representative: Paul Beckley, Vice President Technology Sector Main Representative: Gary Tse, Chairman Main Representative: Caroline Hsu, Head of Public Communications, Hong Kong Main Representative: Joseph Kam, Commerical Director, Hong Kong & Taiwan Julia Kwan, Project Manager, Asia Pacific Marble Zhang, Strategic Planner Sharon Ng, Head of Marketing, Hong Kong Stella Cheung, Account Director, Hong Kong Lisa Cousens, Regional Development Director, Asia Pacific Dow Jones Publishing Company (Asia)/The Wall Street Journal Digital Network The Hyperfactory OgilvyOne Worldwide www.thehyperfactory.com Tel: +852 6331 1383 www.ogilvy.com Tel: +852 2568 1177 Main Representative: Geoffrey Handley, Co-Founder, Director New Business Asia Pacific Main Representative: Sean Rach, Managing Director Jiang Na, Charis, Content Manager Admax Network www.admaxnetwork.com Tel: +65 6532 2507 Main Representative: Russell Conrad, Regional Managing Director Patrick Ko, General Manager www.asia.wsj.com www.cn.wsj.com Tel: +852 2573 7121 Mathew Ward, Managing Director, Singapore Main Representative: Olivier Legrand, General Manager, Asia Gilbert Lo, Regional Media Director Nellie Chan, Regional Digital Advertising Sales Director Howard Hunt, Regional Business Development Manager Kitty Wong, General Manager Eric Ngyyen, Regional Operation Director Adobe Systems Hong Kong www.adobe.com Hong Kong Sales Hotline: +852 2916 2188 Hong Kong Marketing Hotline: +852 2916 2101 Main Representative: Priscilla Tan, Marketing Manager HK/Taiwan May Chan, Marketing & Communications Manager Lok Wai Keung, Business Development Director ICLP Omnicom Group www.edipresse.com Tel: +852 2859 4406 www.iclployalty.com Tel: +852 2803 8100 www.omnicomgroup.com Tel: +65 6876 6842 Main Representative: Barrie Goodridge, Chief Executive Officer Main Representative: Melina Chan, Director, Digital Marketing Main Representative: Jason Kuperman, Vice President, Asia Pacific Digital Development Michel Lamunière, General Manager, Taasty/BRG Mary Ronan, Strategy Director Sebastien Lamunière, Regional Business Director Stephen Hay, Regional Director, Asia Pacific Louise Kristensen, Interactive Business Director, TBWA\ TEQUILA Edipresse Amanda King, President & Managing Partner, Asia Pacific, Tribal DDB Richard Fraser, Regional Managing Director, Proximity eyeblaster www.agenda-asia.com Tel: +852 2298 3888 www.eyeblaster.com Tel: +61 2 8243 0000 Main Representative: Christine Grand, Senior Strategic Planner Main Representative: Mick O'Brien, VP Operations, APAC Steve Hsia, Group CEO Jordan Khoo, Sales Director, APAC Eric Ng, Chief Innovation Officer Martin Ross, Country Manager, Singapore Clement Yip, Chief Creative Officer Griffin Tao, Business Director, Greater China Huang Zheng, Senior Regional Interactive Marketing Specialist BBC.com G2 Hong Kong MRM Worldwide Premiere Global Services www.bbc.com Tel: +65 6296 8217 www.g2.com Tel: +852 2510 6888 www.mrmworldwide.com Tel: +852 2808 7888 www.premiereglobal.com.hk Tel: +852 2353 3500 Main Representative: Sunita Rajan, Vice President, Sales Asia & Australasia Main Representative: Tony Ip, Managing Director China & Hong Kong G2 Main Representative: Mark Cripps, sAPAC Region Digital Director Main Representative: Sandy Yu, Marketing Manager, Greater China Terri Seow, Head of Marketing APAC, BBC World News Dennis Kuek, General Manager Joan B. Deni, SVP, Managing Director - South Asia Jasmine Lim, Marketing Manager, Singapore & Malaysia Tom Bowman, VP International Ad Sales Digital Keith Ho, Executive Creative Director Joanne Rigby, Marketing Director, Asia Pacific Justine Tate, Senior Marketing Manager, BBC.com Catherine Chan, Account Coordinator Gloria Lam, Regional Business Development Director - Asia Pacific Coremetrics Grif.inter@ctive NDS Asia Pacific Profero www.coremetrics.com Tel: +852 8201 0823 www.grifinteractive.com Tel: +39 039 587343 www.nds.com Tel: +852 22019153 www.profero.com Tel: +852 2524 5188 Main Representative: Tony Tsang, General Manager, Greater China Region Main Representative: Vessela Nikolova - Vice President Europe, US & India Area Contact Main Representative: Jonathan Wong, Marketing Manager, Asia Pacific Main Representative: Henry Wood, Business Director (Hong Kong) Kevin Mackin, General Manager, Australia and New Zealand Penny Wang Yuan Fen, Business Manager Asia Vanessa Griffiths-Green, Director Marketing & New Initiatives Asia Pacific Sabrina Lucini, Business Manager Italy Johnson & Johnson Vision Care Asia Pacific Omniture AGENDA Group Asia www.acuvue.com.sg Tel: +65 6827 6000 Main Representative: Li Ting Low, Senior Regional Interactive Marketing Manager www.omniture.com Tel: +61 2 8211 2707 Main Representative: Marc Gagne, Senior Director Sales & Client Services, APAC Andrew Lowe, Channel & Alliances Manager, APAC Mandeep Sharma, Vice President & General Manager - India Marité Curto, Business Manager Latin America asia pacific digital marketing yearbook 75 ADMA Membership Directory ❚ CORPORATE MEMBERS Pulse MediaTech SingTel Digital Media Travelzoo Wunderman (previously "WebDNA Interactive") www.singtel.com Tel: +65 9728 6299 www.travelzoo.com.hk Tel: +852 3180 9200 www.wunderman.com Tel: +65 6295 2018 Main Representative: Xante Koh, Marketing Manager www.pulsemediatech.com Tel: +852 28388218 Main Representative: Leonard Chan, Director Valerie Lim, Marketing Executive Main Representative: Wayne Chou, General Manager, Greater China Main Representative: Michel Mommejat, Regional Network Development Director, Asia Rainbow Lau, Advertising Sales Manager Stephane Faggianelli, President, Asia Responsys Sohnar Software Universal McCann wwwins Consulting www.responsys-asia.com Tel: +65 6327 6560 www.sohnar.co.uk Tel: +44 208 600 7520 www.universalmccann.com Tel: +852 2901 8400 www.wwwins.com Tel: +852 3962 4500 Main Representative: Rob Stanley, Managing Director, Asia Pacific Main Representative: Carl Witton, Sales Manager Main Representative: Pete Mitchell, Regional Director APAC, Digital Main Representative: Chris Ryan, Managing Director Jos Birkin, Director Anna Chan, Head of Search, APAC Sonia Tay, Principal Consultant Huang Zhe, Digital Director, Beijing Sarah Goh, Marketing & Communications Manager Dwayne Serjeant, Creative Director Patrick Xiao, Digital Director, Shanghai SCMP.com TIME & Fortune The Upper Storey ZUJI www.scmp.com www.classifiedpost.com Tel: +852 2565 2222 www.time.com www.fortune.com Tel: +65 6393 3608 www.upperstorey.com Tel: +65 6732 8618 www.zuji.com.hk Tel: +852 2175 5772 Main Representative: Kuok Hui Kwong, Managing Director and Chief Executive Officer Main Representative: Andrew Butcher, Publishing Director, Asia Pacific Main Representative: Prakash Kamdar, Managing Director Ross Settles, Director of Digital Business Ang Khoon Fong, Associate Publishing Director, TIME and Fortune, Asia Euan Wilcox, Business Director Main Representative: Sean Seah, General Manager Michael McComb, Director, Marketing and Communications Pen Kwok, Business Development Manager, SCMP. com Michelle Quah, Marketing Director, TIME and Fortune, Asia Frederick Tong, Senior Account Manager Kitty Pang, Marketing Manager ❚ INDIVIDUAL MEMBERS 1990 Media www.sdm.vn Forbes.com www.forbes.com Netconcepts China www.netconcepts.cn SynXis www.synxis.com Representative: Kelvin To, President, SDN Representative: Sunita Kaur, Regional Director, Asia Pacific Representative: Allen Qu, Chief Executive Officer Representative: Melpo Wong, Senior Account Manager, APAC AsiaPac Net Media www.asiapac.com.hk Representative: Daniel Chan, Business Director Avary Chong Representative: Avary Chong Black Box Productions www.hiphop2china.tv Representative: Pierre Larochelle, General Manager Compass Edge www.compass-edge.com Representative: Anita Chan, Managing Director CultureFish Media www.culturefishmedia.com Representative: Lonnie Hodge, Chief Executive Officer Digital River www.digitalriver.com Representative: Elisa Funck, Director of Marketing Dow Jones Factiva www.solutions.dowjones.com Representative: Irene Leung, Marketing Manager, Dow Jones Content Technology Solutions Eight Partnership www.eightpartnership.com eMarketingEye www.emarketingeye.com Representative: Rajitha Dahanayake, Chief Executive Officer Energy Media Networks www.energy-web.biz forumline www.forumline.com Representative: Meraj Huda, Founder/Principal Consultant Frontiers Digital www.frontiersdigital.com Representative: Eddie Choi, Managing Director, Asia Global Market Insite www.gmi-mr.com Representative: Stanley Lee, Director Gravitas www.gravitas.com.hk Representative: Ricky Chu, Business Director Heidrick & Struggles www.heidrick.com Representative: Steve Stine Intel Semiconductor www.intel.com Representative: Stephanie Silvester, Retail & Channel Marketing Director, Asia Pacific iris Digital, Singapore www.irisnation.com/digital Representative: James Robbins, Digital Director Javacatz www. javacatz.com Representative: Catherine Chin, Director Media Explorer www.me.com.hk Representative: Davy Ma, Managing Director NetInfinium www.netinfinium.com Representative: Edwin Tay, Chief Executive Officer Oriented Media www.orientedmedia.com Representative: Matt Harty, Managing Director Pilot Simple Software www.pilot.com.hk Terramillem Capital www.terramillem.com Representative: Rupert Purser, Executive Director of New Media Ventures Theorem Inc. www.theoreminc.net Pitchasia www.pitchasia.com Representative: Chandrakanth Nataraju, President Representative: Rita Vannithone, Director The Mobile Solutions THETMSWAY www.thetmsway.com Pixel Media www.pixelmedia-asia.com Representative: Thibaud de Loynes, Asia Development Director Representative: Kevin Huang, Chief Executive Officer Popcorn Media Network www.popcorn-network.com Representative: Pannee Ng, Business Director Quam (HK) www.quamnet.com www.quamir.com Representative: Chris Justice, Managing Director Razorfish (e-Crusade) www.razorfish.com.hk www.raxorfish.com.cn Representative: Venus Lee, Co-Managing Director SB Consulting www.sbconsulting.com.hk Representative: Steve Bruce, Managing Director SPELL www.spell.com.sg Eyeka www.eyeka.asia Representative: Melanie Ker Representative: Wendy Lee, Director Representative: Alexandre Omedo, Chief Executive Officer MoniMedia www.moni-media.net Synovate www.synovate.com Representative: David François, Managing Director Representative: Lindsay Main, Associate Director, Marketing Communications 76 asia pacific digital marketing yearbook Representative: Stacy Lu, Marketing Representative: Tim Hay-Edie, Managing Director Melanie Ker Representative: Jonathan Hardy, Managing Director Tektronix www.tektronix.com USA Today www.usatoday.com Representative: Raymond Suen, Managing Director, Asia Pacific Virtual Village www.virtualvillage.es Representative: Àlexandre Torres Coll, Senior Account Manager Web Wednesday - Asia's Premier Internet Networking Community www.webwednesday.asia Representative: Napoleon Biggs, Founder & Host WHO? Digital www.whodigital.com Representative: Julie Fitzpatrick, Business Director Zed Digital www.zenithoptimedia.com Representative: Ada Wong, General Manager asia pacific digital marketing yearbook 77 The Asia Digital Marketing Association (ADMA) has produced this Yearbook to provide basic information about the digital marketing environments across key Asian markets. This Yearbook can also be downloaded as a PDF file from our dedicated mini site www.asiadigitalmarketingyearbook.com The ADMA has research, guidelines and case studies available for download on its Web site. Visit us at www.asiadma.com where you can subscribe to our eNewsletter; keeping you appraised on digital marketing – from events around the region related to digital marketing to informative articles on the industry to online research being undertaken. Asia Digital Marketing Association Tel: +852 8100 9987 Fax: +852 3011 9587 Email: [email protected] Web site: www.asiadma.com Design by Sobercyber © Asia Digital Marketing Association 2009