Great Times Call for Great Media

Huang Shengmin, Dean of School of Advertisement, Communication University of China

Today's China is ushering in a great era. A great era needs socially-responsible enterprise. A great era also needs great media. CCTV, China's largest media, should become the biggest showcase platform for Chinese economy and Chinese enterprises. As for CCTV Prime Advertising Resource Bidding and Subscription once a year, I think it is not a simple business practice, but actually a big stage for concentrated display of China's economy and China's market.

Advertising and consumption are closely interrelated, especially television advertisings. TVC is an important platform for the consumer goods companies to shape up brand and promote sales performance. In 2010, the people's livelihood will be the most fundamental and most crucial issue of China's economy, and top priority is whether we can stimulate domestic demand and expand consumption. As stimulating domestic demand not only relies on the governmental policy measures, but also relies on the enterprise's own efforts. Advertisement is an important means of stimulating domestic demand and promoting consumption. This is one important reason that CCTV Bidding this year can additionally rise by 18.47% based on the high benchmark last year.

Upon issuance of “No.61 Order” by SARFT, under the guidance of policy, the biggest beneficiaries are certainly channels which can maintain relative balance of advertising saturation and price increase. This is obviously beneficial to CCTV and other channels whose advertising air time is under well control. And channels of local satellite televisions, which place greater reliance on advertising time and TV series advertising, will face enormous challenges. In 2010, many provincial-level TV stations will greatly raise advertising prices under the background of limited advertising time and increased earning targets, and CPM and CPRP will significantly increase. Many enterprises choose CCTV under this expectation.