Market Insights Advertising & Media Advertising

TV & Video Advertising - China

China

Ad spending in the TV & Video Advertising market in China is forecasted to reach US$64.02bn by 2024.
The largest market in China is Digital Video Advertising with a market volume of US$52.99bn in 2024.
When compared globally, the highest ad spending is anticipated to be generated the United States, with US$143.80bn in 2024.
The average ad spending per user in the Digital Video Advertising market in China is projected to be US$44.17 in 2024.
The number of TV Viewers in China is expected to reach 0.90bn users by 2029.
In China, TV & Video Advertising is increasingly leveraging data analytics to target audiences effectively and maximize ROI in the competitive market.

Key regions: United States, Europe, United Kingdom, Japan, Germany

Definition:
TV & Video Advertising includes advertising in the form of moving visual images instead of traditional broadcast television and all ad formats within digital video channels. Traditional TV Advertising includes non-digital formats and excludes all forms of digital TV advertising. Traditional TV Advertising also covers all ad spending on pay-TV operators and networks, free-to-air networks, and free-to-air spin-off digital channels from terrestrial network operators. In comparison, Digital Video Advertising includes all ad formats within webpage-based videos, app-based video players, social media, or streaming apps that appear on computer screens, smartphones, tablets, and other internet-connected devices.

Structure:

Traditional TV Advertising includes all ad spending on moving image formats broadcasted via traditional transmission channels such as terrestrial and digital terrestrial (DTTV, DTT, DTTB) TV, cable TV, satellite TV, and linear TV delivered via Internet Protocol television (IPTV).
Digital Video Advertising formats are displayed as instream and outstream video ads. Instream video ads include advertising that appears before, during, or after the streamed video (pre-roll, mid-roll, and post-roll video ads) and video overlays (text- or image-based overlays that appear while watching a video). Outstream video ads include video advertising that appears in non-video environments, e.g., in-feed on social media or text-based content (so-called native advertising).

Additional information:
The TV & Video Advertising market comprises advertising spending, users, average revenue per user, and user demographic. The market only displays B2B spending and users for the market. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. Additional definitions of Traditional TV Advertising and Digital Video Advertising can be found on the respective pages. For more information on the data displayed, use the info button right next to the boxes.

Market

Region

Region comparison

Currency

Analyst Opinion

The TV & Video Advertising market in China has experienced significant growth in recent years, driven by changing customer preferences, emerging trends, and local special circumstances.

Customer preferences: Chinese consumers have shown a strong preference for video content, making TV and video advertising an effective way for brands to reach their target audience. With the increasing popularity of streaming platforms and video-sharing apps, consumers have become accustomed to consuming content on their mobile devices, creating new opportunities for advertisers to engage with their audience.

Trends in the market: One of the key trends in the TV & Video Advertising market in China is the shift towards digital advertising. Traditional TV advertising is still relevant, but digital platforms are gaining traction due to their ability to target specific audiences and provide more interactive and personalized experiences. Advertisers are increasingly investing in digital video ads, leveraging technologies such as programmatic advertising and artificial intelligence to optimize their campaigns. Another trend is the integration of e-commerce with TV and video advertising. Chinese consumers are highly active in online shopping, and advertisers are capitalizing on this trend by incorporating e-commerce elements into their TV and video ads. This includes features such as QR codes, clickable links, and interactive shopping experiences, allowing viewers to make purchases directly from the ad.

Local special circumstances: China has a large population and a rapidly growing middle class, which presents a vast consumer market for advertisers. Furthermore, the Chinese government has been supportive of the TV & Video Advertising industry, implementing policies and regulations to encourage its growth. This includes the relaxation of restrictions on foreign content, allowing international brands to reach Chinese consumers through TV and video advertising.

Underlying macroeconomic factors: China's strong economic growth has contributed to the development of the TV & Video Advertising market. As disposable incomes rise and consumer spending increases, advertisers see the potential to promote their products and services to a larger audience. Additionally, advancements in technology and infrastructure have made it easier for advertisers to reach consumers across the country, including in rural areas. In conclusion, the TV & Video Advertising market in China is experiencing significant growth due to changing customer preferences, emerging trends, and local special circumstances. Advertisers are adapting to digital platforms, integrating e-commerce, and leveraging the country's large consumer market. With continued economic growth and government support, the market is expected to further expand in the coming years.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on TV and video advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers traditional TV advertising (non-digital formats such as terrestrial TV, cable TV, satellite TV, and linear TV) and digital video advertising (video ad formats: web-based, app-based, on social media, and connected devices).

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, web traffic, and survey results from our primary research (e.g., Consumer Insights) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, population, media consumption, internet users, consumer spending, and digital consumer spending.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.