Global Marketing News – 4th August 2016
Amazon has launched a Chinese language version of its Japanese website, in order to attract more customers in the country.
Along with lower shipping rates to the mainland, Amazon is looking to increase its presence in China with its Japanese site, and take advantage of the interest in Japanese products.
Jasper Cheung, president of Amazon Japan, said that the company had already increased the selection of products available to be exported to China “by the millions over the last several weeks”, and said that “the opportunity is huge”.
The demand for such a service is also boosted by the fact that online shoppers in China are increasingly looking for genuine Japanese products, following news of items like fake merchandise and contaminated baby milk available on Chinese sites.
The move is another example of how Amazon is looking to expand in Asia, and make up for its lack of a major presence in the Chinese market.
Naver has become the leading ecommerce platform in South Korea, according to a report from Mirae Asset Daewoo Securities.
The study revealed that the company posted over 72 million US dollars of revenue in Q2 this year, up more than 20% from Q2 last year.
It is also estimated that Naver accounted for 18% of the ecommerce market over the same period in South Korea.
The recent growth is helped by its dominance in search, as well as its recently released payment service Naver Pay.
Kim Chang-kwon, an analyst involved in the report, said consumers were now “making their buying decisions through Naver”, before adding that its influence on the market would only grow as time went on.
A new report from BI Intelligence has estimated that by 2021, 74% of all US display ad revenue will come from native ads.
Currently at a 56% share, the revenue from native advertising is beginning to dominate the market due to the rise of social media platforms such as Facebook and Twitter, both of whom have supported the format for some time.
The spend on the format, which currently sits at 16.8 billion US dollars per year in the United States, is expected to rise steadily by around 13 billion US dollars each year.
The report also reveals that sponsored content is expected to be the fastest growing native format over the same period, but due to high costs in producing the ads, the format will be limited.
Facebook is thinking of showing video adverts during breaks in Facebook Live broadcasts.
It has confirmed that it has started testing short ads and has already announced that the adverts will be taken from promoted videos already running elsewhere on the site.
Facebook has reportedly said that video publishers will be able to control the category of adverts that can show during their videos, and will be able to turn them off completely if the video is of a delicate nature, such as a sensitive breaking news story.
However, it is currently unclear as to when the adverts will show and if the point of the ‘ad break’ can be selected by publishers or not.
And finally, the Internet of Things is expected to provide a large boost to mobile commerce as it further reduces difficulties during transactions.
According to Javelin’s 2016 Online Retail Payments Forecast, mobile commerce is also likely to account for almost 50% of all ecommerce transactions within four years, as retailers improve their mobile services with features such as one-click checkouts.
The Internet of Things will further push the development of ecommerce as it becomes more efficient for consumers to purchase using connected commerce devices such as Amazon Dash.
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