Chinese Online Ads Soar to 1.8 Billion Yuan

05 July 2004

China's internet advertising revenues rose to 1.08 billion yuan ($130.49m; €106.03m; £71.31m) in 2003, more than double that of 2002, reports the State Administration for Industry and Commerce.

The burgeoning growth is not surprising given that no fewer than 78 million Chinese citizens have access to the internet. But online ads still represent only a fraction of overall national advertising revenue.

In China, as elsewhere, TV and newspapers hold the lion's share of the market, respectively commanding 23.64% and 22.53% in 2003. Respective ad revenues for 2003 were 25.5 billion yuan and 24.3 billion yuan.

Other media lagged well behind the frontrunners: radio advertising revenues won 2.56 billion yuan, and magazines 2.44 billion yuan.

China's advertising industry employs a total of 870,000 people, while overall growth for conventional media in 2003 exceeded ten percent. Aggregated revenues reached 107.9 billion yuan -- around 0.9% of the nation's gross domestic product.

Data sourced from: People's Daily (China); additional content by WARC staff