Understanding Performance Marketing in Asia

Performance Marketing in AsiaPerformance Marketing in AsiaJanuary 15, 2013 – ASW – Las Vegas

Eric J. GerritsenVice President, Sales & Business Development, Neverblue

- A GLOBALWIDE MEDIA COMPANY

GlobalWide Media background:


• Diversified digital marketing and Internet technology company connecting advertisers and merchants to target consumer audiences worldwide

• Formed in 2006, specializing in email marketing

• Bought Neverblue Media Co. in 2012. Active in search, display, social, mobile

• Early leader in international performance marketing. Active in Asia for 8 years

• Verticals: Dating, travel, insurance, fashion, gaming, financial services, digital downloads

• Offices in Los Angeles, Victoria, Hong Kong and London

Outline:

• Opportunity in Asia: The Big Picture

• For Advertisers & Merchants

• For Affiliates ““


Opportunity: The Big PictureOpportunity: The Big PictureWhy Asia? Why Now?


Asian Internet in Numbers:






The next billion Internet users



Global Adspend – Asia #1 next year


Crossover pointIs next year



Digital Adspend:


Big trend – Mobile marketing in Asia:


Big trend – Mobile marketing in Asia:


• 2nd largest mobile ad market after US

• Need for great performance campaigns

• Important to travel market – apps

• Big for gaming

• Affiliates with mobile experience emerged in 2012, leaders who can scale will emerge in 2013

• Pay-per-call models to emerge this year

For Advertisers & MerchantsFor Advertisers & Merchants


History: 40 years of rapid economic growth60s-70s – Japan, first to rise, leaders in electronics and quality manufacturing

80s-90s – “Tigers” Korea, Hong Kong, Singapore, Taiwan, also Malaysia, Thailand – cheaper manufacturing

90s-00s – China, India, also Indonesia

00s-10s – China surges, India grows – watch Indonesia, Philippines, Vietnam

Now – developed Asian economies have all moved upstream into services and are also moving from export-led growth to domestic consumption led growth- A GLOBALWIDE MEDIA COMPANY


Almost 1 billion Asians have joined the middle class in the last

30 years

For Advertisers & Merchants:Economic Lifecycle Mapping


Maternity

Education

Cars Dating

Real Estate

Consumer goods

Travel

Insurance

MedicalClothes

Products/Services

Diapers

Fashion

InsuranceDates

MortgagesHotels

Health/LifePharma

Entertainment

GamingUniversities

Electronics

Lifecycle

A billion new consumers need all these products/servicesCreating the biggest marketing opportunity in human history

Funerals?

A perfect confluence


Rise of Asian middle class

Move to digital Adspend

Performance Marketing

USA Asia

16% CAGR

40%+ CAGR

Higher Internet penetration

Key vertical markets


• Travel

• Gaming

• Insurance

• Data

• Fashion

• Market research

• Dating

• Financial Services

Travel


We expect to sell over One Million hotel room nights in Asia this year

For AffiliatesFor Affiliates


2013 Affiliate Trends:


• Hunger for learning among affiliates

• Move from Asian affiliates running American campaigns on American media to running Asian campaigns on Asian media

• Huge inventory of mobile media – affiliates will figure out how to monetize, including pay-per-call

• Three major domestic markets: China, India & Japan + major regional, pan-Asia market for travel, gaming, financial services

• As more advertisers and merchants jump on board, more campaigns for affiliates to choose from

• Hong Kong and Singapore to emerge as the leading centers for performance marketing in the region

Players need to invest in affiliates to win


• Interact events in 7 Asian cities last year:

- Shenzhen- Hong Kong- New Delhi- Bangkok- Shanghai - Beijing- Singapore

• 8 more this year

• 2,000 new affiliatesBangkok Interact - 2012

Out of Bounds Thailand in March


• Fly our Top 20 affiliates to Phuket Thailand

• All expenses paid

• Adventure/bond

• Invest to win

Summary Asia Performance Marketing Trends:


• Expect more advertisers and more merchants to get into performance marketing, to drive both Asia sales and drive global expansion plans

• Many new players in China – lots of drama and confusion. Leaders will emerge

• Payment terms in India could slow evolution down there

• Leaders will start to rapidly separate from followers. Winners will invest and be local

• Homegrown players will link up to major global players. M&A will start to figure into the picture

• Indonesia, Vietnam, Philippines will come into the mix adding another 100M Internet users in SE Asia

• Large spoils will go to those who figure out mobile affiliate marketing in a specifically Asian use context

• Travel will emerge as the #1 performance marketing vertical in Asia

Asia


Where you want to be in 2013

Asia


Where We Are

Unit B, 6/F, Teda Building87 Wing Lok StHong KongTel: [email protected](Director, BD-Asia)

mailto:[email protected]

Performance Marketing in Asia


Thank You

eric.gerritsenATneverblue.com





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