iResearch Serial Market Research on China's AI Industry Ⅲ

In 2020, the outbreak of the covid-19 pandemic disrupted many economic lives, pushing AI to an important position in pandemic prevention and control. AI enters our life and&#...

2020 China’s Digital Reading Product Marketing Report

The government work reports have encouraged people to embrace a culture of reading for seven times. The digital reading industry is enjoying favorable policies. The market size of the digital readin...

2020 China’s Fresh Supply Chain Market Report

China has many kinds of fresh food, mainly including fruits and vegetables, meat, seafood, etc. They are fresh and perishable, difficult to store and t...

First Half of 2020 Marketing Strategies of Advertisers in China’s Education Industry

Marketing Background：In the first half of 2020, the capital has increased investment in education companies but it is cautious. Both the number of enterprises in the education industry and&#...

2020 China’s Internet + Healthcare Industry Report

iResearch's estimate: In 2019, the online medical market size will be 27.17 billion yuan, a year-on-year growth rate of 42.6%. The Size of the Internet Health Insurance Market was about 11.7...

2020 China’s Digital Reading Product Marketing Report

The marketingvalue of digital reading users is high since they have strong spending power inthe fields ofautomobiles, 3C digital, FMCG, daily chemicals, luxury goods, and e-commerce.

74% of userscan accept advertisements and prefer forms that do not affectthe reading experience.Advertisements can deepen readers' intuitive impression of the brand.

Users prefermarketing activities that combine digital reading combined with festivalsand popular film or TV IPs. Userswho prefer festival marketing and IP marketing account for 36.5% and 34.8%,respectively.

The linkage ofinternal and external resources of the digital reading platforms providesmarketing services with more reading characteristics.

Internal: Use internal resources of the products in multiple dimensions to create ahigh-fit and immersive marketing experience.

External: Makefull use of the external resources of the industry to establish a digitalreading marketing ecology.

After digital reform, digital reading industrywelcomes intelligent development

The digitalreading industry represented by literary novels has formed a set of maturebusiness models in its digital reform process. From the free serializationmodel to the stable payment model, the content and themes have changed fromsingle to diverse, and to the integration of online literature and traditionalliterature; At the same time, works with realistic themes are increasing. Withthe development of technology, the digital reading platforms become moreintelligent, the user experience is more convenient, and the contentrecommendation is more personalized.

MarketSize of the Digital Reading Industry in China

The steadily increasing market size highlights thehigh media value of the digital reading platforms

In 2019,China's digital reading market size was 28.88 billion yuan, of which massreading was 27.53 billion yuan, with a steady increase in scale and a slowdownin growth. iResearch believes that the development of digital reading isbenefited from users' payment willingness caused by excellent literature IPs,and the protection of copyright by measures such as combating piracy. Thehigh-quality content has been in a new accumulation period since 2018, laying asolid content foundation for the development of the digital reading industry,enhancing market competitiveness, and attracting more users. At the same time,digital reading platforms also show media value for high-quality advertisers,creating conditions for commercial development.

2020 China’s Fresh Supply Chain Market Report

Cold chainlogistics is midstream infrastructure of the fresh supply chain. its marketsize reached 326.4 billion yuan in2019. Factors such as changes in business flow and consumption upgrade willcontinuously drive industry development from both supply and demand ends. Cold chain logistics became the core of the fresh food industry duringthe COVID-19 pandemic.

Overviewof China’s Fresh Supply Chain Industry

China's freshsupply chain is long, has many links and huge losses

Asthe original source of the supply chain,agriculture provides fresh products such as meat and poultry, vegetables,fruits, and seafood. These products are fresh and perishable, difficult tostore and transport, have strong production seasonality, and low consumption elasticity,etc. With the gradual maturity of the fresh supply chain, the seasonal andgeographical restrictions on the transportation of fresh products have beenovercome. During the COVID-19 pandemic, because of the explosive development offresh food e-commerce, the fresh supply chain attracts a lot of attention.Fresh supply chain capability  has becomea decisive factor for the development of new retail of fresh products. Thefresh supply chain industry is no longer behind the scenes and its leadingenterprises in the industry will enjoy historical development opportunities.

Over300 Million Tons of Fresh Products Are Consumed in China Every Year

Theconsumption of dried and fresh fruits grows the fastest, and the consumptionstructure is clearly upgraded

Accordingto China Statistical Yearbook data, the total amount of fresh food consumed inChina increased from 310 million tons in 2014 to 330 million tons in 2018, witha compound annual growth rate of 1.6%. Fresh vegetables accounted for thelargest proportion, reaching 41.6% in 2018. The proportion of fresh melons andfruits has increased the most, from 21.1% in 2014 to 23.7% in 2018; Theproportion of meat, poultry and eggs increased slightly to  21.8%. The proportions of milk and aquaticproducts declined slightly to 6.9% and 6.0%, respectively. The transaction sizeof China's main fresh food categories increased from 2.1 trillion yuan in 2014to 2.6 trillion yuan in 2018, with a compound annual growth rate of 5.5%. Amongthem, the growth rate of the transaction volume of dried and fresh fruits isthe highest, which is in line with the consumption of fresh food by residents,showing the residents' food consumption changing from the necessary food fordaily life to higher quality and diversified consumption structure.

ColdChain Logistics is Infrastructure of Fresh Supply Chain  

Coldchain logistics mainly serve the midstream and downstream of the fresh supplychain

Cold chain logistics refers to a logisticstransportation method that keeps the goods at a certain temperature during theprocessing, storage, transportation, distribution, retail and other links tomaintain the freshness of food or the efficiency of other products (medicine,etc.) and reduce transportation losses. It consists of pre-cooling treatment,cold chain processing, cold chain storage, cold chain transportation anddistribution, and cold chain sales, involving cold storage, refrigeratedtrucks, insulation boxes, refrigerated display cabinets and other facilities.The cold chain logistics industry requires continuous investment fromlarge-scale enterprises to coordinate order processing, transportation,distribution, carrier management, capacity management, reorder management,management of receivables and payables, and returned goods management through acomplete transportation management information system to strengthen the overalllinkage effect of enterprises to reduce costs, thereby forming a reasonable andefficient cold storage chain.

First Half of 2020 Marketing Strategies of Advertisers in China’s Education Industry

Content marketingstrategy-Variety Show Sponsorship：In the firsthalf of 2020, advertisers had high requirements for the user base of sponsoredvariety shows, and they preferred comprehensive game and life observationvariety shows.

Content marketing strategy-KOLmarketing：In the firsthalf of 2020, young people accounted for a large proportion of education appusers. The advertising value index of lifestyle, maternal, and baby KOLs ishigh for maternal and baby app users. As student KOLs can effectively reach thecollege students who are more autonomous when making product use decisions.They have become the potential KOL marketing partners of advertisers in theeducation industry currently and will remain so in the future.

Analysis of Marketing Environment andStatus Quo of the Education Industry

The capital increased investment and enterprisesurgently need effective marketing to gain attention.

Since 2014,China's education industry companies receive over tens of billions yuan ofinvestment each year. The number of investment events has exceeded one hundred,and capital pays more and more attention to the education industry. and since2016, while the number of annual investment events occasionally declined, theaverage amount of a single investment event has increased year by year from 51million yuan to over 173 million yuan as of August 2020. Investors' selectionof investment targets has become increasingly strict and the investment amountbecomes larger and larger. Through investment or M&A, internet giants suchas Tencent, ByteDance, and Baiducontinuously strengthen their layouts in the K12, interests, skills, and jobsearch and other areas in the education industry. As investors’ aggressive andcautious investment attitudes coexist, spreading their service capabilities, technology, and resourceallocation, etc., through effective marketing methods is an important way foreducation companies to gain the attention and recognition of capital.

Marketing Direction:Identify Marketing Methods

Internet user scale and usage time increase. Onlinechannels become a marketing focus.

Education Appsare favored by users since they are convenient and have rich teachingresources. Influenced by the pandemic in 2020, the school holidays areextended. Multiple parties, including government and universities, jointlyencourage and promote online learning. Users’ demand for online educationsurged again. The number of monthly independent devices and total usage time ofeducation Apps increased a lot in the first half of 2020. Users' attention toonline education channels and the increasing usage of the Internet by Chineseresidents have promoted the online business and marketing activities of Chineseeducational enterprises, attracting users' attention and enhancing conversionrate through marketing models preferred by Internet users.

Changes in Monthly InvestmentIndex of Overall Advertisers

Influenced by the pandemic, the  concentration period of advertisinginvestment by advertisers in the education industry is preceded in 2020

Affected bysome educational courses with seasonal characteristics, the educationaladvertisers' ad placement has a certain degree of time periodicity. The springcourses are in line with the learning cycle of students in the spring semester.The summer courses correspond with the summer vacation period when students canlearn intensively and frequently and can be linked to autumn courseregistration. Therefore, the marketing and promotion of courses from spring tosummer have good publicity and transformation effects. The concentration periodfor advertisers in the education industry is from March to August. Theadvertiser's investment index increased. In 2020, due to Covid-19 pandemic,online education has received a lot of attention. The advertising campaignperiod for advertisers in the education industry began in February, one monthearlier than in 2018 and 2019.

2020 China’s Internet + Healthcare Industry Report

Viewof iResearch:The Internet + Healthcare Industry is greatly affected by policies. In 2017,without stable policies, Internet + Healthcare gradually entered the rationalperiod. The focus of investment in Internet +Healthcare changed from concept to high value. The core manifestation of this value lies in high-quality medicalresources. and the core of high-quality medical resources is excellent doctorand nurse resources that can match the Internet environment. At present, thecultivation and tapping of these high-quality medical resources are stillinsufficient.

Viewof iResearch: The advantagesof Internet + Healthcare, such as reducing time costs, personalizedcustomization, and information transparency are highlighted because of thepandemic. Internet + Healthcare played an importantrole during the outbreak when gathering and contact are inconvenient. At thesame time, it also brings new ideas to the hierarchical diagnosis and treatmentand value-based healthcare. By balancing the interests of all parties with thehelp of the Internet platforms and stimulating the internal vitality of medicalcare under the premise of giving full play to the advantages of Internet +Healthcare,  a new smart community medicalsystem will be built.

Keywords of Internet + healthcare in broad sense:medical behavior, precision medicine, health management

In a narrowsense, medical behavior only refers to the diagnosis and treatment activitiesperformed by qualified physicians, pharmacists, and nurses. In a broad sense,medical behavior generally refers to all behaviors aimed at disease preventionand treatment.

In thisreport, Internet + Healthcare is defined as a medical behavior in a broadsense, that is, all medical behaviors performed via Internet platforms. Thesubjects of this behavior include Internet companies, hospitals, insurancecompanies, doctors, patients, and other users with medical and healthmanagement needs, etc. The goal is to enhance health services and informationtransparency through accurately reaching patient groups and obtainingcomprehensive health information via the Internet to realize precisionmedicine.

Factors Affecting theIntegration of Internet + Healthcare in China

Physical hospitals are the carrier of industryintegration, realizing the integration and sharing of regional medical services

Internethospitals are at the center of the closed-loop of Internet + Healthcare. Due toregulatory requirements, Internet hospital is not a stand-alone entity. It mustrely on physical hospitals to achieve complementary advantages and resourcesharing. Therefore, physical hospitals have become the basis for Internethospitals and can change the focus of medical care from the diseases to thehealth of people, realizing the intra-region integration and sharing of medicalresources.

White Paper of Video Content-driven E-commerce Industry in ChinaWhite Paper of Video Content-driven E-commerce Industry in China——full edition for free

Development History of E-commerce

Diversifying in types, the nearly matured e-commercemarket comes to a stage of exploiting existing online shoppers with content asa major tool

Since the emergence of e-commerce, thecompetition pattern and operation mode of Chinese e-commerce market havegradually been shaped, and the ecosystem gradually been refined. With thepenetration rate of Internet users and online shoppers approaching saturation,and the e-commerce market has entered an era of stock mining. Underthe shadow of double giants -Alibaba and JD - diversifiedsubdivided tracks have become the breakthrough direction for long tailenterprises. Meanwhile, content and social networking have also becomeimportant means for e-commerce to tap the market under the traffic bottleneck.

Stage of Development

Currently inthe surging period, e-commerce driven andvideo content drivenplatforms step towards co-opetition

During 2016-2017, as internet dividendfaded, traditional EC platforms urgentlyneed new traffic entrances, whilecontent platforms sought for new revenuegenerators. EC platforms, representedby Taobao and video content platforms, represented by Kuaishou, pioneered to combine video content with e-commerce. In2018, with the rapid penetration of short video and live-streaming, EC andshort video platforms connected each other. Since 2019,live-stream shopping hasgone trendy. Initial success shows in EC platforms' content building and videoplatforms'    EC system building. Their deepcollaboration gradually became co-opetition.

Market Drivers

Exhausted traffic dividends leads content to be the new traffic entrance

Recently, the Internet penetrationrate in China has reached over 60%. The internet demographicdividend has come to an end. the growth of e-commerce GMV has slowed down, and the competition of e-commerce platforms has entered astage of competition for existed users instead of new e-commerce users.

Because of the narrow traffic source, customeracquisition cost of traditional e-commerce platforms is continuously rising. It isurgent to develop new low-cost traffic entrance for traditionale-commerce platforms.

High-quality content can attract the attention ofusers and efficiently lead traffic to e-commerce platforms. Dueto the development of mobile internet, the creation and propaganda of contentbecome efficient and convenient. Thus, cost ofcontent creation reduce and content becomes acost-effective mean of acquiring traffic.

Larger audience base and higher user acceptance

Because of thelonger online time of internet users, thecontinuous penetration of e-commerce platforms in third- andfourth-tier cities and below, the increasing consumptionability of users in lower cities, the interactivityof live streaming and the fragmentation of short video, videocontent-driven e-commerce forms represented by e-commerce livestreaming has become hotspot in recentyears.

According toCNNIC's 45th China Internet Development Statistics, as of March 2020, thenumber of e-commerce livestreaming users has reached 265 million, accountingfor 29.3% of the total Internet users. Rich and high-quality content anddiversified video content e-commerce modes not only make users easily acceptvideo content e-commerce, but also help the platform to expand the user scaleand accumulate loyal users.

Continuous user growth and promising e-commerce monetization method

Since 2016,the short video and live streaming industry havedeveloped rapidly and the user size has grown continuously. Shortvideo/live streaming platforms represented by Douyin and Kuaishou have becomenew traffic highlands, and started to explore more trafficmonetization channels to increase revenue.

Videocontent-driven e-commerce companies, including short videos and livestreaming,have natural advantages in customer loyalty and trafficaggregation capabilities. They are suitable for recommending products toothers, and the platform environment is favored by e-commerce sellers.

Benefited fromthe excellent monetization potential of short video/livestreaming, Red, Douyin, Kuaishou, and other platforms with shortvideo/livestreaming content have successively expanded their e-commercebusiness.

Budget tilts towards video contentfor its well-acknowledgedmarketingeffectiveness

AsInternet usersprefer entertaining and fragmented content, video content has become the majortype of content that reaches consumers, substituting text& graph.  Consequently, video contenthas increasing spreading capacity. Meanwhile, advertisers favor video contentfor its integrated marketing effect of branding and sales: on one hand, videocontent communicates brand value effectively and efficiently through its natureof high information density, authenticity and interactivity, thus acceleratingbrand building; on the other hand, video content helps merchants acquire storetraffic efficiently with its capacity in aggregating trafficrapidly and matching users accurately. Therefore, video content has become akey tactic of online marketing.