中国媒体概览 China Media Overview

OOH

© 2016 Beyond Summits

Summary：

• As a special media, OOH advertisement will not only bring commercial effect, but also public

effect into the entire city or even broader range.

• Public transportation has been the focus of OOH advertisement in recent years. With the

increasing penetration rate of OOH video advertisement, the media transforms from

conventional to LCD TV and from public to specific audience categorized by community.

• Though the growth of advertisement release has been stabilized but still retain over 20%

annual increase. Cinema and bus advertising are the major choices for advertisement release

in 2015. Videos in supermarkets or subways are booming as media for advertisement release.

• Tier 1 city is still the primary market for OOH advertisement release. However, media channel

would keep penetrating into tier 2 and tier 3 cities as a result from the saturation of tier 1 city

market as well as the media expansion in tier 3 cities.

3

Local policy has great impact on OOH media.

• What OOH has brought is not only commercial effects, but also great public effect on the whole

city or even wider.

• OOH ads shall deeply understand and

adhere to local policies and regulations.

4

64.0%

62.1%

50.2%

46.5%

43.4%

42.4%

24.6%

24.1%

16.5%

9.7%

0% 10% 20% 30% 40% 50% 60% 70%

Bus shelter

Bus body

Outdoor LED

LCD in mall

TV in bulding

TV in bus

Big billboard

Poster in elevator

Ads on metro platform

Ads on Taxi

OOH ad reach rate in 2014

OOH form is still focusing on public transportations while the reach rate of video OOH is

increasing.

Source: CMMS, Nationwide, P30-50

5

0 5 10 15 20 25 30 35 40 45

Office building

House

Mall

Supermarket

CVS

Bus

Metro

Taxi

Hospital

Gym place

Beauty place

Railway station

Hotel

Other

2010

2011

2012

2013

OOH digital screen’s reach by different places(%)

OOH is gradually stepping from traditional billboard into digital era, from targeting total public into

accurate audience segmented by places.

Source：CMMS，2013

White-

collars

Business

Travelers

Subway

travelersGym lovers

Shoppers

6

2014 Media ads expense & resource

Media

Rate

(Launch)

Resources

Y.O.Y Y.O.Y

TV -0.5% -11%

Prints -18% -21%

Radio -10% -19%

OOH 9% -3%

Videos in Buildings 26% -

Videos in Cinemas 62% -

Videos in

Transportation

-2% -

Internet 36% -

Source：CTR

78.39

100.02

38.5%

27.6%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

0.0

20.0

40.0

60.0

80.0

100.0

120.0

2013年 2014年

2014 OOH ads scale and growth rate

Total OOH ad scale（RMB 10 bn） Y.O.Y growth rate

Source：北京中天盈信

In 2014, the growth of OOH ads’ scale is getting slower, the total OOH ads has been accounted for

100 billion RMB in 2014(including rises in ad price).

7

Source：CTR《2015年广告主 广告营销调查报告》

42%

52%

17%

31%

36%

33%

26%

28%

31%

6%

3%

8%

50%

29%

63%

48%

36%

34%

37%

33%

27%

34%

34%

24%

OOH new media form will be used in 2015

will lauch on not sure

50%

59%

22%

47%

56%

30%

50%

49%

35%

34%

8%

13%

OOH new media form actually used in 2014

Pre-movie ads

Bus body ads

Screens/videos/TVs in markets/malls

Other media inside metro

Screens/videos/TVs in buildings

Screens/videos/TVs in

house/apartments

TV/videos in metro

Bus TV/videos

Other media inside airport

TV/videos inside airport

Other media inside cinemas

TV/videos inside cinemas

In 2015, pre-movie ads and bus body ads will become advertisers’ main choices, videos inside

malls and other metro ads are being considered by most of the advertisers.

8

Source：CTR《2015年广告主 广告营销调查报告》

34%

33%

28%

27%

25%

15%

12%

10%

4%

3%

1%

0%

32%

15%

18%

12%

12%

21%

18%

26%

12%

6%

6%

5%

other media inside metro(light box or platform)

bus body ads

Pre-movie ads

Screens/videos/TVs in Buildings

Screens/videos/TVs in markets/malls

TV/videos in metro

Screens/videos/TVs in house/apartments

Other media inside airport (posters,etc.)

TV/videos inside cinemas

Other media inside cinemas(posters, etc.)

TV/videos inside airport

Bus TV/videos

OOH new media ad form to increase/decrease budget in 2015

the most prioritized OOH to increase marketing budgets the most prioritized OOH to decrease marketing budgets

Bus body ads, pre-movie ads are considered as the first media form when increasing budget while

airport ads and light box ads have the worst anti-risk capability when budget changes.

9

OOH ads scale by city segmentation in 2014

Advertisers’ eyes are still focused on tier one cities to launch OOH ads, with tier one’s ads scale takes 55% of total.

Tier three cities take least market share. As tier 1/2 cities’ market go saturated and tier 3 cities’ media keeps

expanding, media channels will further sink.

Tier one 2014 (million) Share in total 2014vs2013

Beijing 24917.5 21.4% -3.3%

Shanghai 23141.5 19.9% 6.5%

Guangzhou 16426.3 14.1% -7.8%

Total 64485.3 55.4% -4.5%

Tier two 2014 (million) Share in total 2014vs2013

Shenzhen 9236.6 7.9% 2.3%

Chengdu 6669.9 5.7% 4.7%

Nanjing 4177.8 3.6% 0.0%

Hangzhou 4036.6 3.5% 2.8%

Chongqing 3745.6 3.2% 0.1%

Wuhan 3494.4 3.0% -4.6%

Tianjin 2712.1 2.3% 0.5%

Shenyang 1860.2 1.6% -0.7%

Xi’an 1302.4 1.1% -2.1%

Dalian 1221.9 1.1% -0.1%

Kunming 996.6 0.9% -2.3%

Total 39454 33.9% 0.6%

Tier three 2014 (million) Share in total 2014vs2013

Changsha 1548.6 1.3% 1.0%

Qingdao 1468.9 1.3% 1.1%

Jinan 1400.2 1.2% 0.8%

Suzhou 1144.4 1.0% 0.7%

Zhengzhou 988.2 0.8% 0.1%

Changchun 804 0.7% 0.3%

Xiamen 721.9 0.6% 0.2%

Fuzhou 708.7 0.6% 0.2%

Taiyuan 610.6 0.5% 0.2%

Harbin 601.9 0.5% 0.2%

Dongguan 578.5 0.5% -0.2%

Shijiazhuang 538.6 0.5% 0.4%

Ningbo 442.1 0.4% 0.0%

Zhuhai 315.2 0.3% -0.5%

Foshan 258.2 0.2% -0.4%

Wenzhou 228.5 0.2% 0.0%

Total 12358.4 10.6% 4.0%

Source：Beijing CODC data

10

OOH media trend:

1. Media environment has entered a multiple-screen era, traditional OOH is gradually

transferring to digital group

Consumers are facing a real multi-screen era, traditional TV, online video, mobile video,

building TV, all these media constitute a main media matrix in video era. The key for OOH to

increase accuracy and influence lies in how OOH integrate and coordinate with other media.

2. OOH shall interact with consumer to boost promotion, to increase transmission

accuracy

OOH shall actively establish effective communication channels between brands and

consumers, shall identify more clear way to interact with consumers, thus to make consumer

digest ads properly. There will be more and more OOH using bi-directional interaction instead

of single-way broadcasting in the future.

11

OOH media trend:

3. New tech brings new opportunity to OOH, will maximize the media value for advertisers.

The future OOH media ads will deliver more accurate reach effects via technology and

creative innovation such as naked-eye 3D, eye movement tracking technique, etc. to

maximize the media value for advertisers. Brands should remember that no technology can

apply to brands, everything shall generate from consumers’ needs and characteristics.

4. Consumer market is getting fragmented, OOH media should generate exposure for

brands.

China market is more and more fragmented and diversified, the media environment is so

complicated that OOH shall locate target audience and take advantage of business cluster

effect, remember ‘where there is consumer, there shall be ads exposure’, thus to convert ads

to consumers’ attention or real sales.

12

Movie

© 2016 Beyond Summits

Chinese film market has achieved rapid growing for 5 years.

6 10

13

17

22

30

0

5

10

15

20

25

30

35

2009 2010 2011 2012 2013 2014

2009-2014 Chinese film market yearly box office (billion RMB)

0.2 0.3

0.4 0.5

0.6

0.8

0

0

0

0

0

1

1

1

1

1

2009 2010 2011 2012 2013 2014

2009-2014 Chinese film market yearly person times(billion)

Source：ENTGROUP

The monthly box office

exceeds 1.5 billion with 45

million person-times, which

has become normal in a

year.

Chinese film market has kept an inertial

growth rate of

30%-40%

14

The number of screens is steadily growing with great potentials.

6,236 9,266

13,118

18,195

24,127

0

5,000

10,000

15,000

20,000

25,000

30,000

2010 2011 2012 2013 2014

2010-2014 The Numbers of Cinema Screens

23

32 37

48 54

67.0% 69.0%73.0%

77.0% 77.0%

50%55%60%65%70%75%80%85%90%95%100%

0

10

20

30

40

50

60

2010 2011 2012 2013 2014

2010-2014 The Number of Cities with 100 million box-office and its share of total-office

38 45

61 68

19.7%15.6%

19.7% 18.7%

0%5%10%15%20%25%30%35%40%45%50%

0

10

20

30

40

50

60

70

80

2011 2012 2013 2014

2010-2014 The Number of Movies with 100 million box-office and its share of total box-office

More and more tier-2/3 cities started to enjoy an over-100-million-RMB box office, more and more over-100-million-

RMB-box movies are released during a year.

Source：艺恩咨询

1,540 2,260

3,026

3,849

4,837

0

1,000

2,000

3,000

4,000

5,000

6,000

2010 2011 2012 2013 2014

2010-2014 The Numbers of China Cinema

15

The revenue of cinemas’ media ads is continuously increasing.

14.5

20.2

27.6

28.2%26.2%

10%

15%

20%

25%

30%

35%

40%

45%

50%

0

5

10

15

20

25

30

2013 2014 2015f

Cinema’s media ad revenue in China (billion RMB)

Media ad's revenue Growth

The growth of number of films and cinemas is the main force that keeps cinema’s ad business developing a lot.

Source：主要影院媒体营业额

Wanda

Cinema

Filmore Jingmao

China Film

Group

Core

cinema

media

16

Airport

© 2016 Beyond Summits

0.49

0.56

0.62 0.68

0.75

0.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

2009 2010 2011 2012 2013

China civil airport’s passenger throughput from 2009 to 2013 (billion person-times)

Passenger throughput

Source：2014 China civil aviation development report

0.23

0.27

0.29 0.32

0.35

18.0%16.0%

10.0% 9.0%11.0%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

0.0

0.1

0.1

0.2

0.2

0.3

0.3

0.4

0.4

2009 2010 2011 2012 2013

China civil aviation’s passenger traffic from 2009 to 2013 (billion person-times)

Passenger traffic Growth

China’s civil aviation passenger traffic has been growing for four years.

The main reason that domestic airport’s traffic and throughput growing is domestic consumers’ more frequent trips

and more destinations. The aviation growth is getting slower because of the development of high-speed rail.

18

5,670.0

7,029.0

7,757.0

24.0%

10.0%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

2012 2013 2014

Scale of ads launched in airport media from 2012 to 2014 (million RMB)

Scale of ads launched in airport media Growth

Source：Beijing CODC survey data

The scale of ads launched in airports keeps increasing but with a slower growth.

1900

900

850

700

650

600

520

520

1600

1000

700

600

550

520

550

250

Transportation

Service

Finance

Real estate

Personal items

Telecommunications

Entertainment

Home supplies

Category of ads launched in airport media from 2013 to 2014 (million RMB)

2014 2013

Automobiles, service and finance industry are biggest airport advertisers.

19

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2015 China Overview, covering Chinese economy, media and markets, is a set of yearly research report conducted and

published by Beyond Summits Ltd, a leading all-media total solution provider focused on cross-border brand building &

destination marketing in China. This report aims to summarize domestic industries’ status in 2015, introduce Chinese market

knowledge to overseas stakeholders, and propose Chinese market insights. The whole set of China Overview includes 20 sub-

topics including economy, city, people, the rich, luxury, investment, auto, tourism, immigration and cross-border business, as well

as Chinese all media, internet, mobile internet, social media, TV, radio, print, OOH, movie and airport.

This report is the full version of 2014-2015 China Overview OOH, Movie and Airport Ads Research. More reports can be

downloaded from Beyond Summits’ official website link: http://www.beyondsummits.com/reports_downloading

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