Where is the blue ocean of WAP advertisement in China

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Tower WAP: Where is the blue ocean of WAP ads in China?

In the face of more and more stringent regulatory policies, Tower WAP Advertising alliance facing operators to strengthen cooperation with CP continuously ... Where does the domestic SP go? Where is the SP's "Blue sea"?

Ministry of Information Industry recently focused on the National 114 SP Enterprise Irregularities record publicity.　　It is reported that the public announcement list, 69 cross-regional SP Enterprises, 45 SP Enterprises in various provinces have mass SMS decoy consumption, unknown charges and other irregularities. Before, as China's information and communications industry, the largest provincial companies, is also the largest telecommunications operators in Guangdong province, Guangdong Mobile "sparse plugging" unhealthy information, 600 SP was held responsible.

In the face of increasingly stringent regulatory policies, the operators continue to strengthen cooperation with the CP ... Where does the domestic SP go? Where is the SP's "Blue sea"?

The embarrassing situation of the Chaoyang industrial SP

Around 2003, SMS "myth" led to the SP investment boom, Tower WAP advertising Alliance high profits attracted a lot of market capital. In two or three years, SP development speed once let the traditional industry jaw-dropping. SP team from the original more than 600 rapid expansion to more than 20,000, is called the SP. It also created the Nasdaq legend of the Chinese sp. 2004, China's SP development reached a peak, the SP has rushed to the U.S. capital markets.

However, due to entry threshold low, Tower mobile Advertising Alliance business Easy to replicate, Tower Mobile advertising alliance with the same quality of competition, so that the SP industry once into chaos, some small enterprises can not withstand the temptation of profit, at risk, the use of illegal means profiteering. As a result, spam messages, fraudulent text messages, pornography, forced customization flooded the entire industry, "grievances" increased significantly, SP industry is facing unprecedented credibility crisis.

2006, is called the watershed of domestic SP development. Tata Mobile Advertising Alliance to see the SP industry from the initial extensive, high-speed growth, to later chaos and disorderly development, the government and operators have introduced policies to increase the supervision of the SP market. The SP has since ended the era of easy "lap money" in the past, and the results have generally slipped. According to industry sector statistics from 2004 to 2007, the proportion of the domestic SP profit enterprises decreased, Tower WAP Advertising Alliance August 2005, 51% of the enterprise profit, 44% of the enterprise losses, the other 5% in the state of breakeven; and to June 2007, 60% The above enterprises are at a loss.

is the SP's "golden period" far away?

The continuous strengthening of supervision, the direct intervention of operators, Tower WAP Advertising Alliance SP Industry's "golden period" has gone? On the surface, the control policy directly affects the development of SP, Tata Mobile Ad Alliance but in essence, the decrease of SP profit of the Tower WAP Advertising Alliance is largely due to the pressure of disorderly competition. An "SP Survival survey" noted that leading to the current SP company's profit decline is the root cause of the single SP business, homogeneity of serious, business form seriously dependent on the operator to give loose policy, so the SP individual and even the entire industry's ability to resist risk is very poor, the relevant parties began to strictly manage the time, Www.tatawap.com has created a "rout" across the industry.

Today, some rely on illegal business survival of small and medium-sized SP has been repaying, Tower WAP Advertising Alliance its original Occupy market space by the formal operation, powerful large SP took over. Meanwhile, the improvement in the overall market environment of the Tata Mobile Advertising Alliance is also conducive to stimulating the potential consumption capacity and expanding the value-added service market cake. Visible, the government, operators to increase the monitoring of the SP industry, conducive to a fair competition environment, conducive to the healthy development of SP industry.

At the same time, the SP industry profit decline is also the market law. Www.tatawap.com after years of rapid development, SP industry has entered a full competition stage, its industry profits will inevitably fall to the entire market reasonable profit level. Yanling, a new media analyst at Analysys International, noted that the decline in the performance of SP companies in 2007 was an obvious signal: when growth in an industry tended to be normative and stable, it also meant that the industry was ripe for development.

Moreover, we want to see that the Tata Mobile Advertising Alliance SP Industry is still sunrise, Tower WAP Advertising Alliance China Telecom value-added services have a broad space for expansion. Because, the whole telecommunication operation industry is transforming to the comprehensive information Service, the development of value-added service will gradually surpass the traditional voice service. According to the Ministry of Information Industry, the Institute of Telecommunications Statistics and forecasts, as at the end of December 2006, China Telecom value-added services market total size of more than 156 billion yuan, www.tatawap.com is expected to exceed 160 billion yuan in 2007. In addition, value-added services are an important part of future 3G operations. With the launch of China's 3G, narrowband to the broadband upgrade, 3G value-added services will bring the SP industry a broader market.

SP hard to find "blue sea"

With the increasing prosperity of telecom value-added services, the standardization of SP market operation is very important. Fortunately, in the face of business development "cold winter", transformation has become the SP industry consensus. The challenge, however, lies in the presence of each SP.

To get out of the predicament requires both the wisdom of business and the courage to be decisive. Regulatory norms so that the formation of gray profits no longer exist, the SP must reposition the business, adjust strategic thinking, complete the strategic transformation of the operation, Tower WAP Advertising Alliance to a new level, to create profits.

In this respect, industry experts say, Tower WAP Advertising Alliance China SP Industry has three basic development direction: first, to the CP (content Provider) in the direction of transformation, and telecommunications operators to form a close industrial chain alliance; second, to SI (System integrator) in the direction of transformation, Thus forming the information service provider based on the two network platforms of fixed and mobile networks; Thirdly, the development of the Big Mac SP and the advantage of the existing customer resources, www.tatawap.com and through the brand operation to form the telecom operators can not replace the core capabilities.

In fact, the SPS are already trying. The air network has built the portal, the PDA and the television station cooperate, the transformation to the media channel; China friends century extended the industrial chain, through acquisitions and other means to become the possession of resources, such as CP ... Although these transformational explorations have not brought them immediate results, they have laid a solid foundation for their long-term development, especially the great development of the 3G era.

The competition in the future is the competition between the industrial chain, and the provision of the information service of the Tower WAP Advertising Alliance needs to be a big industry chain. Basic telecom operators have the important responsibility of leading the construction of industrial chain, for this reason, telecom operators in the maintenance of the healthy development of the industry, but also should introduce some preferential tariff cooperation strategy, to motivate the SP to innovate products and achieve a total win.

China's telecom value-added industry has undergone a process from www.tatawap.com to steady development, and this year has stepped into a stage that needs to overcome many difficulties. The transition road bumpy, difficult, but the future market opportunities will be in the transformation of the good development of SP enterprises.