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Analysys International Says China's Online Advertising Market Will Reach RMB 4.39 Billion in 2006

29 August 2006

Analysys International, a leading Internet based provider of business information about technology, media and telecom (TMT) industries in China, says in its recently released report "China Online Advertising Market Annual Report 2006", that China's online advertising market will reach RMB 4.39 billion for the full year 2006, increasing 35.9% year over year. The search engine advertising market will account for 32.37% of the total market.


According to the report, China's online advertising market size reached RMB 3.23 billion in 2005, increasing 59.83% year over year. Sina, Sohu, Baidu and Yahoo! China were the top 4 online advertising vendors, with annual revenues exceeding RMB 300 million, accounting for 59.62% of the total market. In the first half of 2006, China's online advertising market reached RMB 2.1 billion.


( http://english.analysys.com.cn/admin/images/1473_1.jpg )


In the first half of 2006, Baidu strengthened market expansion and further increased its market share from 9.51% in 2005 to 15.37%. Google China and Tencent also increased their market share by 1.1% and 0.78% respectively, reaching 4.82% and 4.25%. Yahoo's market share in China decreased from 9.48% in 2005 to 8.08% in the first half of 2006. Netease decreased from 7.41% in 2005 to 6.2% in the first half of 2006. Search engine operators' further improved their position in online advertising market.


Affected by policy adjustment from mobile operators and the government, Internet firms whose revenues mainly came from mobile value-added services (VAS), including Sina, Sohu, Tom Online, etc., will all increase spending on online advertising as an important business growth point. Analysys International forecasts China's online advertising market will reach RMB 4.39 billion for the full year 2006, representing an increase of 35.9% year over year. Search engine advertising will account for 32.37% of the total advertising market in 2006.


This subject is further discussed in Analysys International's research report "China Online Advertising Market Annual Report 2006". For more information, please check the website: http://english.analysys.com.cn .


About Analysys International


Analysys International is the leading Internet based provider of business information about technology, media and telecom (TMT) industries in China with the mission to help their clients make better business decisions. They provide data, information and advice to 50,000 clients worldwide, representing 1,500 distinct organizations; they also deliver over 150 consulting engagements a year, and hold more than 20 events that draw in over 8,000 attendees. Their clients include executives from companies like technology vendors, vertical information technology users, as well as professionals from professional service companies, the investment community and government agencies. For more information, please visit the website at http://english.analysys.com.cn .


For more information, please contact:


Jessica Wang


Overseas Media Manager


Analysys International


Tel: +86-10-6466-6565 x394


Fax: +86-10-6466-7102/7103


Email: jessica_wang@analysys.com.cn

Source: prnewswire


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