Jiang Nanchun, founder and chairman of Focus Media, has been deeply involved in the advertising industry for decades.
Nobody wants to watch advertisements. It is quite an interruption– Jiang Nanchun
But he found one venue that’s an exception where people would like to watch the advertisements instead of staring strangers.
In the era of mobile Internet, information and channels are more fragmented. Advertisements may create an instant impact, but it may not be remembered by the target audience.
The elevator advertisement has four unique benefits. Elevator ads can grasp the audience in various scenes such as office buildings, apartments, theatres and shopping malls etc.
- Mainstream crowd
- guaranteed reach
- highly notified by the audience
- low interruption
At present, Focus Media’s main products are elevator media (including elevator TV media and elevator poster media), cinema screen advertising media and terminal store media, covering the mainstream consumer groups in the city.
Focus Media has established subsidiaries in South Korea and Indonesia, and Singapore affiliates to expand overseas media resources. It has seen this trend early and is accelerating the process of internationalisation.
Since 2003, Focus Media has witnessed over 52.1% CAGR in its business results. In 2017, booked RMB 12.01 billion in revenue, a year-on-year increase of 17.63% and RMB 6.0 billion in net profit, a year-on-year increase of 34.90%.
Alibaba join hands with focus media
Alibaba became the second-largest shareholder of Focus Media in 2018. In July 2018, Alibaba Group and its group companies invested in with a strategy of approximately RMB 15 billion.
Alibaba’s new retail infrastructure capabilities and big data capabilities provides with Focus Media’s extensive offline reach network, bringing new experiences and unique value to users and businesses.
At present, Focus Media has concentrated on real-time monitoring, dynamic push advertisements. Where people stare at for few seconds, there will be a commercial success. It is necessary to expand the media.
Focus media is targeting 5 million terminals in 500 cities and reaching the mainstream consumption power of most Chinese cities.