As the world is dominated by digital connectivity, advertising has become a vital and indispensable tool for businesses looking to enter new markets and expand their reach. With mainland China specifically, the country’s booming economy, massive population, and high smartphone penetration offer enormous potential for businesses looking to tap into the market. If you are a business planning to tap into the Chinese market, choosing the right kind of digital ad platform is crucial.

In this guide, we take a look at the type of digital ad platforms a business can choose from when advertising in China, each platform and ad format’s advantages and limitations, as well as several factors to consider when picking the right one for your business needs. 

Types of digital ad platforms to choose from:   

The Chinese digital landscape tends to differ significantly from other regions in many key aspects. Unlike most regions that have access to popular platforms such as Facebook, Google, Twitter, and WhatsApp, China has none of these. Instead, China’s digital ecosystem is dominated by plenty of homegrown tech giants such as Tencent, Alibaba, and Baidu, to name a few. Moreover, social media platforms such as WeChat and Weibo integrate social networking, messaging and e-commerce features, making them an all-in-one platform.

To succeed at marketing a business, one must learn the ins and outs of how these platforms function, as well as their limitations. 

WeChat

WeChat is the region’s most popular multi-purpose app. WeChat has over 1.2 billion monthly active users, in addition to having 45 billion messages exchanged daily. The platform boasts a highly engaged audience, and it prides itself on being a multi-purpose platform not only for messaging, but also for social networking, content consumption, and e-commerce. The platform’s integrated payment system helps to facilitate seamless transactions, meaning everything can be done within the app.

WeChat further offers highly robust targeting options, letting advertisers reach a specific demographic – this can be based on a user’s location, interests, and online behaviours. There are three main types of advertising a business can do using an official account: 

WeChat Moment ads

WeChat Moment ads are similar to Facebook’s News Feed and appears alongside posts from family and friends. The only difference is that they have a small call out, indicating an advertisement. It consists of a brand name, ad copy, logo, and banner. Clicking on the ad will lead users to a landing page.

WeChat Banner ads

WeChat banner ads are similar to website banner ads. They appear at the bottom of an article or message. Ad banners consist of the account name, brand logo, message, and call to action (CTA) button. The visuals are either static images or video. When clicked, it transports viewers to a separate landing page.

KOL promotion

KOL promotion stands for ‘Key Opinion Leader’ promotion, and it is similar to influencer marketing. KOL promotion on WeChat involves getting KOLs to talk about a brand or promote a campaign, usually for a flat fee.  

Advantages of WeChat

With so many people using WeChat on a regular basis, this makes it an ideal platform for businesses looking to reach a broad audience, as it provides access to a wide range of potential customers. The platform also lets businesses create branded profiles which serve as powerful channels for customer engagement, content marketing, and promoting.  

Limitations of WeChat

While WeChat is incredibly well-known and has plenty of active users, the flip side is that competition for visibility is extremely high. This means there is limited organic reach for official accounts. Additionally, it is important to remember that content restrictions and censorship policies may affect certain topics or industries. WeChat also has a relatively high advertising cost when compared to other advertising platforms. 

Weibo

Weibo is a microblogging platform that has over 523 million active users and is predominantly popular amongst younger demographics and urban dwellers. Content can be shared in real-time allowing for viral potential, which makes the platform suitable for highlighting trending topics and campaigns. This can increase the visibility and engagement of a campaign. Some advertising formats include promoted posts, display ads, and influencer collaboration, to name a few.

Display advertising

These are banner ads in the form of images, gifs or videos. They appear in the newsfeed, on the Weibo homepage, or in the ‘Discover’ section. Businesses can also add a CTA button to drive users to a particular landing page. Display ads are one of the most popular forms of advertising on Weibo, and they operate on a cost-per-click model.

Search engine promotion

Weibo provides a built-in search function called ‘Discover’ that allows users to search for fan pages, news, posts, accounts and more. Using this ad format, businesses can bid on search keywords and create search ads. These will appear as the topmost results on the search page when users search for keywords.  

Advantages of Weibo

Weibo’s platform is designed for sharing content, and posts can go viral quickly. This organic reach can potentially enhance the visibility of a business’s content. Additionally, with the platform’s real-time nature makes it a great place to share live events, breaking news, trending topics, and timely promotions. Businesses can further engage with audiences in real time, increasing brand awareness.

Limitations of Weibo

With Weibo, there is high competition for user’s attention, as a result of the fast-paced nature of the microblogging platform. This means posts that could have been published a day ago may be forgotten quickly. As organic reach has decreased over time, this means businesses need to rely on paid promotion for greater visibility. There are also limited targeting options when compared to other ad platforms, and Weibo tends to be less effective in reaching older demographics and rural populations.

Douyin (TikTok)

There is no doubt that TikTok has taken the entire world by storm with its catchy, short-form video content. China instead uses the Chinese alternative, Douyin. Much like its international counterpart, Douyin lets users create short videos such as comedic skits, lip-syncs, dances, and more. With a rapidly growing user base, Douyin is popular amongst younger demographics. Currently, 75% of users are below 30 years old, making it a great option for businesses looking to target Gen Z and Millennial consumers.

Douyin’s advanced algorithmic recommendation system enhanced content discoverability, and e-commerce integrations allow for seamless product promotion and sales within the app. Below are a few main types of advertising formats on Douyin:

Open screen ads

These appear when a user opens the app. Also known as ‘brand takeover’ they take over the entire screen. These ads can either be static images that last for three seconds or videos that last from four to five seconds. As they are mainly visual and have no interruptions, open screen ads are considered to be a highly effective ad format.  

Sticker ads

Douyin’s sticker ads let users create a customised sticker that can be put in their content.

Feed ads

Feed ads appear on the recommend page, with businesses allowed to run a 5 to 60-second video. This is only shown once a day to each user. They are considered a form of native advertising as they blend into a viewer’s feed.

Advantages of Douyin

As mentioned, Douyin is known for its short and visually engaging videos. Businesses have the option of creating attention-grabbing and creative content to captivate viewers and convey their brand message effectively. Aside from organic content, Douyin offers native advertising formats that can seamlessly integrate with the platform. These formats allow businesses to create a non-disruptive and immersive ad experience.  

Limitations of Douyin

However, there is intense competition for user attention as a result of the abundance of content already on the platform. Content tends to be short-lived and is easily lost and forgotten. Douyin also has limited ad formats and targeting options when compared to other online ad platforms. The app is also less effective for reaching niche markets and older demographics.  

Baidu

While most users would immediately think of Google when finding search engines to use, in China, Baidu is the dominant search engine instead. It has a vast user base and high search volume, and it accounts for 81.7% of search engine queries.  

The platform features extensive targeting options for ads that are based on search queries, user demographics, and online behaviour. There are also various advertising formats, including display ads, search ads, and contextual ads, to name a few. Businesses can conduct advanced keyword research and use bidding tools to optimise their campaigns and expand their reach. Below is a breakdown of some Baidu ad formats:  

Search ads

These are similar to Google search ads. Baidu’s search ads are text ads and include a title, a short description, and a URL. The platform typically displays one to three advertisements at the top, followed by organic results, and then one to two ads at the bottom of the page.

Brand zone

This is geared towards brands looking to create awareness. It is a large ad format that takes up the topmost space and consists of descriptions, images, and URLs.  

Advantages of Baidu

Much like other search engines, Baidu allows businesses to create text and display ads based on specific keywords. Businesses can then bid on keywords to have their ads displayed when users search for relevant terms. Baidu also offers location-based advertising options, allowing businesses to target users in a specific geographic area.  

Limitations of Baidu

Unfortunately, there is intense competition for top ad placements, which can drive up costs for businesses looking to use Baidu. Ad visibility can also be affected by ad-blocking software and user preferences. Additionally, there may also be credibility and trust challenges due to issues with misleading or fake information on the platform. 

How to pick the right platform for your business

When it comes to picking the right platform for your business, it is crucial to consider its advantages, features, and limitations. These may vary depending on your specific sector, target audience and marketing objectives. Here are a few things to keep in mind when looking to pick the most suitable platform for your business needs. You may also discover that you would like to run ads on multiple channels instead of just one.

Understand your target audience

You should have a clear understanding of your target audience. As China is so large and diverse, it has distinct demographics, each with its own preferences and interests. Businesses should conduct thorough market research to identify their ideal customer profile, which should include their age, language, location, and online behaviour. This knowledge will serve as a bedrock for choosing a platform that fits your target audience’s habits and characteristics.

Analyse platform popularity and usage

China has its own unique digital ecosystem, with several dominant platforms that enjoy immense popularity. Some of the most widely used channels for advertising in China include Baidu, Douyin, WeChat, and Weibo. Take a look at the platform’s main user base, engagement levels, and features to find the one that resonates with your target audience. Other factors to consider include user demographics, platform research, and the type of content that does well on each platform.

Consider compliance and regulatory factors

China has specific guidelines and regulations that govern online advertising. This includes data privacy laws, content restrictions, and licensing requirements. It is crucial you pick a platform that complies with all these regulations to avoid any legal issues and potential harm to your business’s reputation. 

Evaluate advertising capabilities and formats

Different platforms in China offer a range of advertising formats, such as display ads, sponsored content, influencer partnerships and live-streaming. Consider what your product and service are, and your marketing objectives, and pick which advertising formats will best highlight your offers in addition to resonating with your target audience. You should also check out the platform’s targeting capabilities, performance tracking tools and ad customisation options to help increase your advertising ROI. 

The bottom line

Overall, choosing the right advertising platform in China requires an informed and strategic approach. By understanding your target audience, analysing the platform’s features, evaluating advertising formats and leveraging market insights, you can make a well-informed decision that compliments your business goals. As the online advertising landscape is highly dynamic, continuous monitoring and adaption are essential for a business to stay relevant in a rapidly evolving market. 

Reach us at MediaGroup for a consultation

If you have any further questions about breaking into the Chinese market, feel free to drop us a message. Our PPC team includes highly experienced native speakers on the ground in Hong Kong and mainland China, and we are excited to help you run and optimise your campaigns. Contact us today for a free consultation.