2024年中国市场营销及媒体环境报告（英）

Investment Rating - The report indicates a strong investment focus on digital advertising in China, with digital accounting for 80-90% of marketing spend, highlighting a significant shift from traditional media [5][8]. Core Insights - China's advertising landscape is dominated by digital channels, with digital advertising being the main course rather than a supplementary option as seen in other markets [4][5]. - The BATB (Baidu, Alibaba, Tencent, ByteDance) ecosystem remains highly consolidated, giving these players significant pricing power and leading to persistent cost inflation in digital advertising [11][12]. - There is a notable over-investment in digital media by brands, suggesting a potential rebalancing towards traditional media could be beneficial [8][10]. Summary by Sections Digital Advertising Landscape - Over 80% of advertising in China is digital, with mobile-centric strategies accounting for 75% of digital budgets [5]. - Digital advertising in China serves both brand-building and sales objectives, contrasting with the more tactical role it plays in the US [4][5]. Media Inflation and Cost Trends - Media cost inflation is expected to be modest in 2024, with digital channels projected to rise slightly while traditional channels face declines [7]. - Traditional media formats are viewed as under-priced opportunities, despite brands being slow to shift budgets away from digital [7][8]. Dominance of BATB - The BATB companies control a significant share of the digital advertising market, with Alibaba leading but facing competition from rapidly growing platforms like Pinduoduo and ByteDance [11][12]. - The consolidation of power among these players may further increase during economic downturns, as smaller competitors struggle [11][12]. Modes of Digital Growth - Four distinct modes of digital growth are identified: 1. Traditional e-commerce through platforms like Tmall 2. Multi-level marketing and private traffic via WeChat 3. Social commerce strategies on Douyin and RED 4. Direct-to-consumer (DTC) approaches using owned websites and mini-programs [24][31][33]. CRM and Private Traffic - Brands are increasingly focusing on private traffic and CRM strategies to build deeper connections with high-value customers, with WeChat being the primary platform for these efforts [42][43]. - The integration of CRM systems is strong, with 73% of brands already deploying such systems, indicating a trend towards enhanced customer engagement [43][47].