China quick review : ooh, china export, hosting, logistic, content Marketing

By November 29, 2012
In a box

China exporters project moderate growth in 2013, prepare for challenges / Savvis unveils virtual hosting services for China / Focus Media reports Q32012 Results / 360buy Opens its Last Mile Delivery Service to Third Parties / PR Newswire Survey Reveals Content Marketing Trends, Challenges and New Media Adoption by Companies in China

China exporters project moderate growth in 2013, prepare for challenges -- Global Sources survey

China exporters foresee a tough business environment in 2013, but remain hopeful for growth in overseas orders. This is highlighted in the latest survey of 1,546 exporters by Global Sources. Optimism is lower than it was in a similar survey conducted a year ago on 1H 2012 projections when nearly all respondents said they were certain of export growth. Compared with 2H 2012 expectations, meanwhile, the outlook for 2013 is more positive as fewer companies foresee a drop in outbound revenue. Fifty-one percent of respondents said they expect revenues from overseas shipments to be higher next year. For most companies, emerging markets are expected to continue playing a key role in supporting business in the next 12 months. Moreover:
• 28 percent expect to boost production efficiency in 2013;
• 27 percent said they plan to try lowering production costs to keep prices in check;
• A similar number of surveyed manufacturers said they may launch upscale products to justify higher quotes;
• 23 percent said they may move up to product segments that generate higher margins; and
• 19 percent plan to explore business opportunities within China.
Survey results indicate China exporters plan to continue targeting the EU and the US in 2013, although orders remain slow. They intend to bank on a wider selection of upscale and basic products to reinvigorate demand there.At the same time, companies may pursue business in alternative destinations. Foremost among their options is South America, followed by the Asia-Pacific region. Manufacturers also expect to strengthen their exporting presence in the rest of Europe.

Savvis Unveils Virtual Hosting Services for China

Savvis, a CenturyLink company specialized in cloud infrastructure and hosted IT solutions for enterprises, today expanded its website hosting capabilities for global brands that need a web presence in China. Companies that host their web content using cloud computing, managed hosting or colocation at one of Savvis' data centers in Hong Kong, Singapore or Tokyo can now take advantage of virtual hosting services that simplify the process of getting web content into China while also achieving the end-user experience benefits of a local web presence. A website-acceleration solution enables the virtual hosting services, using caching and dynamic delivery technologies to distribute web content to end-users in China through a widespread network of in-country content delivery network (CDN) nodes.
 

Focus Media Reports Third Quarter 2012 Results

Focus Media Holding Limited announced its unaudited financial results for the third quarter ended September 30, 2012. Total net revenue for the Q32012 was $256.3 million. Advertising net revenue from the LCD display network was $128.4 million, representing an increase of 6% from $120.6 million for the third quarter of 2011. Advertising net revenue from the poster frame network was $81.6 million (+ 75% ). Advertising net revenue from the in-store network was $14.5 million, representing a decrease of 9% from $15.9 million for the third quarter of 2011. Advertising net revenue from the movie theater network was $23.2 million for the third quarter of 2012, (+ 78% yoy). Advertising net revenue from the traditional outdoor billboard network was $8.6 million for the third quarter of 2012, representing (- 30%). GAAP net income was $64.6 million, representing a year-on-year increase of 4%. As previously announced on August 13, 2012, FocusMedia received a preliminary non-binding proposal letter from affiliates of The Carlyle Group , FountainVest Partners, CITIC Capital Partners, CDH Investments, China Everbright Limited and Mr. Jason Nanchun Jiang, CEO of Focus Media, that proposes a "going-private" transaction.

The Company is providing a breakdown of operating data as follows:

1) The approximate number of displays in the LCD display network was as follows:
                                                               As of September 30, 2012     As of June 30, 2012
LCD screens                                      136,870                                      135,001
LCD 2.0 digital picture screens      35,535                                         35,112

2) The approximate number of devices in the poster frame network was as follows:
                                                               As of September 30, 2012     As of June 30, 2012
Frame 1.0 picture frames (note)     497,269                                      484,145
Frame 2.0 digital picture screens   35,892                                        35,616
Total                                                       533,161                                      519,761

360buy Opens its Last Mile Delivery Service to Third Parties

360buy.com, a direct B2C e-commerce company, announced today that it has launched a pilot program opening its last mile delivery service to third parties. Through its directly operated last mile delivery network, 360buy is able to ensure speedy and reliable order delivery with featured services, including cash on delivery, to online shoppers in China. Currently, 360buy owns nearly 1,000 stations and has a courier team of more than 10,000 to provide last mile delivery service in over 360 Chinese cities. For its direct B2C e-commerce customers, 360buy offers same-day delivery service in 23 cities and next-day delivery in more than 150 cities across China.

PR Newswire Survey Reveals Content Marketing Trends, Challenges and New Media Adoption by Companies in China

PR Newswire has released its new report on content marketing and new media adoption in China. The report reveals that many Chinese companies now consider content marketing a critical component of their communications strategies, and the greatest challenges they face are content production and ROI. The report further found that new media usage will rise sharply in the next 12 months.
• 95% of companies surveyed consider content marketing important or critical, and believe that the greatest challenges they face are content production and ROI. 40% of top executives (C-suite/business owners) manage or participate in brand-related content marketing activities.
• In the coming 12 months, companies will significantly increase the frequency in which they use new media tools for content marketing. This list of tools includes the dominant Weibo (microblogging) platforms and mobile marketing, as well as multimedia elements such as images and videos. However, the use of blogs is expected to drop considerably.
• 57% of companies surveyed allocate less than RMB500,000 of their budget to content marketing (excluding advertising), while 75% allocate not more than 50% of their total corporate communication budget to content marketing. In the next 12 months, budgets allocated to content marketing through channels such as online media, Weibo and the mobile internet are expected to rise significantly.
• There are major differences in the extent of use of various content marketing tools and channels by companies of different types and sizes across different industries. As compared to their overseas counterparts, Chinese companies attach the greatest importance to new media channels such as Weibo, online communities and forums, encyclopedias and videos, but significantly less importance to social networking services.
• 88% of companies surveyed use news releases as the most common tool for content marketing. 34% percent of companies use news release distribution services provided by PR agencies and newswires. The majority of news releases issued by companies involve a new product launch (76%) or a promotional/marketing campaign (59%).
• 85% of companies surveyed have set up a homepage on social media sites or a corporate Weibo account. The number of followers grew from last year, but not significantly. Companies are learning to be more realistic in terms of objectives and expectations surrounding communication through new media.
• Companies are paying more attention to customer service and to the interactive features of recognized social media. In the past 12 months, 60% of companies said they had adjusted or changed their products, services or marketing strategies at least once as a result of comments or feedback from their followers on social media sites, up 10% from last year.
• 61% of companies surveyed have not yet used third-party media monitoring services. Comprehensive media and public opinion monitoring (27%), via social media and digital mining services offering in-depth industry-wide analysis of competitive intelligence, are more favored by companies.

 

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