Beijing, March 25, 2015 – In the recent two years, IDC visited more than 30 traditional enterprises and industry clusters proceeding from the emerging mode of Internet such as e-commerce, and obtained a deep insight into the impact of Internet on traditional industry transformation and upgrade. Yolanda Zhang, Research Manager of IDC China believes that, “in the Two Sessions (the National Peoples’ Congress and Chinese People’s Political Consultative Conference), Internet Plus is among the hottest vocabularies. The State for the first time encourages and supports the development of Internet as a strategic emerging industry. It can be foreseen that Internet will play a significant role in promoting industry upgrade and leading the new economic development of the whole country.”
In the upgrading process of traditional industries, advertising and media is the first industry impacted by the wave of Internet. In recent years, with the value of Internet media increasingly accepted by the market, the proportion of spending on Internet advertising has expanded steadily.
IDC analysts believe that, the impact of “Internet Plus” on the transformation and upgrading of media advertising is mainly reflected in the following four aspects:
1. Expand media resources and increase media forms: The development of Internet applications, for instance in e-commerce, has expanded the channel resources of traditional media communications. New media platforms are formed such as Web portals, e-commerce platforms, APP clients, and social media platforms, which are able to provide advertisements in the form of page ads, implanted ads, and ad search alliance.
2. Deliver ads more precisely: The traditional advertising models seek to improve brand awareness by delivering ads on mass media platforms such as China Central Television (CCTV) and leveraging the maximum range of “bombardment”, so as to foster consumer trust and boost sales revenue growth. Advertising models based on E-commerce ecosystem tend to first filter out potential target customers through accurate analysis of user data, and then deliver ads to the targeted customers. Compared to traditional advertising models, they are more accurate and cost effective.