Friday, June 16, 2006
Research Reveals Search Engines Are Top Marketing Tools In China
Use Top Three Market Penetration Tools of Search Engines, IM and Email to Enter China Market
By Catherine Zhang, Overseas Dept. at iResearch Inc., Shanghai, China
In iResearch’s recently issued 2006 China Online Economy Research Report, according to the user statistics of Internet segment markets, the penetration rate of search engines, instant messenger and email is the highest of all and takes 87.4 percent, 83.8 percent and 79.3 percent of Internet users in China representatively in 2005. The emerging Internet services such as blogging and online magazine have accumulated a considerable amount of users.
iResearch estimates that the number of Internet users in China will exceed 130 million in 2006 with a increase of 18 percent year on year. The compound growth rate is expected to be 10 percent in the next five years and the number of Internet users will rise to 232 million. The number of China's Internet users has access to the fresh period of rapid, sustained and stable development. With the increase of the number of Internet users, the number of Internet application services target clients and usage users is increasing significantly.
The huge number of Internet users in China is not only promoting Internet traffic and advertising efficiency, but is also transforming the increase of Internet user amount to the growth of industry revenues in Internet industries that rely on the payment of individual users. This is a simple rule for online game, online travel booing and C2C ecommerce. If user penetration rate reached a certain level, Internet enterprises will gradually face the trial of user satisfaction, user loyalty and other product proof. The core of competition will transform and enhance the level of user experience.

