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Marketers In China Need To Allocate Their Ad Spend More Efficiently

May 22, 2013: 12:00 AM EST
Nielsen research finds that marketers targeting China’s one billion consumers need to optimize advertising – the message itself, as well as the frequency and distribution – to reduce or eliminate wasted dollars. Ads for mass brands should be delivered more frequently than messaging for premium products. The optimal response point for mass brands is a frequency of eight times compared with two times for premium products. Another waste-related problem is shelf space. There are 23 percent fewer advertised brands available to consumers compared to unadvertised brands, but they account for 31 percent more dollars. Of the 600,000 Chinese products on the market, only 2 percent will line the shelves of a hypermarket.
"Supercharge Ad Efficiency and Retail Distribution in China", Nielsen/Consumer 360, May 22, 2013, © Nielsen
China Business
Focus Areas
Marketing & Advertising
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