Understanding Baidu’s potential for advertising your brand

China Search Marketing

Baidu has become a key player in the Chinese digital landscape and understanding Baidu’s potential for advertising your brand and the services they provide for users is essential for success in China. We have prepared six bullet points for you to quickly understand the rapid growth that Baidu has experienced and their promising future continuing in that fashion.

  • Baidu is the most dominant Chinese language search engine, with a total of 80% of the market share. To understand Baidu’s increasing influence in Chinese digital, one must compare Baidu’s current market share with their share five years previous. In 2010 Q4, Baidu had 56.6% market share. This has increased by approximately 23.5%.
  • Being the largest Chinese language search engine, Baidu has a large market for search engine advertising. Baidu TV and Baidu Union were established to regulate and profit from the advertising space on Baidu and other third party websites that are part of Baidu Union. By allowing advertisers to choose the websites on which they post their video advertisements via using their advertisement targeting and matching system.

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  • Baidu Baike is the Chinese alternative to Wikipedia, however it only allows for registered users to make editing to its encyclopaedia due to Chinese laws. At the World Wide Web Consortium conference in 2008, Baidu’s William Chang said that “There is in fact no reason for China to use Wikipedia… It’s very natural for China to make its own products.” Baike was first established in 2006 as a test version. Within three weeks of launch Baike had 90,000 articles surpassing Chinese Wikipedia.
  • Reported by the China Digital Times, Baidu has a history of being the most restricted censor in the search engine industry. Fortunately for Baike, their biggest competitor Wikipedia is intermittently blocked or certain articles filtered in China since 2004, enabling Baike to take hold of China’s digital encyclopedia market.
  • In 2014, Baidu made a bold step to move from a PC-centric to a mobile-first company. By December 2014, search revenue by mobile surpassed PC. This shows signs that Baidu’s Chinese ecommerce dominance is going to be increasingly influential and is going to continue to grow. By making their search engine and other functions smart phone enabled, Baidu empower their users to extend their usage of Baidu’s digital services on the go. By being no longer limited to usage at the PC desk, Baidu has expanded their market and their revenue figures.
  • Despite Baidu showing signs of potential growth continuing for decades in China’s massive market, due to skepticism of the future growth of the Chinese market as a whole Baidu has been selling shares at discounted prices. This is to encourage long-term minded investors in by an increased profitability opportunity.

For more information on how a brand can utilise Baidu’s online advertising please view our Online Advertising page. To get in contact with Emerging Communications please use the contact info at the bottom of the page.

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