China internet advertising market has entered a mature stage that the growth rate has been stable for several consecutive quarters this year. The overall internet advertising market reached 55.86 billion yuan (US$8.69 billion) with an increase of 12.1% compared to Q2 this year and 37.9% compared to Q3 2014 in the third quarter of 2015 according to iResearch.
Although the weakness of the macroeconomies impacted on the development of advertising, online advertising market in China still maintained a relatively steady pace of development as one of the most important advertising channels.
Search engine advertising (34.8%), e-commerce advertising (25.4%) and brand online display advertising (15.8%) were the top three advertising forms in the third quarter of 2015. Classified ads increased by 64.2% compared to the same quarter last year. E-commerce ads increased by 59.5% YoY and video ads increased 41.5%.
The search engine market reached 22.2 billion yuan (US$3.45 billion) representing a growth of 10.8% QoQ and 35.0% YoY in the third quarter of 2015. The growth rate was essentially flat with the previous two-quarters this year.
Market structure of the search engine market continued to maintain steady in Q3 2015. Baidu (82.3% by revenue share) remained dominant, followed by Google China (7.9%), Sogou (4.8%) and Haosou (3.8%).
Advertisers tended to invest more from the PC to the mobile client in the search engine market. Mobile search engine revenues grew by 102% in Q3 2015 compared to the same period last year while revenues on the PC fell by 20% YoY. Broadly speaking, with the internet becoming essential mobile usage is exploding and mobile computing devices will play the leading role in most industries.
Also read: China Overall Advertising Insights Q3 2015