2020 China Advertising Agency Map

Recently, independent marketing consulting company R3 released the "2020 China Advertising Agency Map" . The report shows that China has 46,336 local agencies and 324 multinational advertising agencies , with total revenues of RMB 88.874 billion and RMB 26.477 billion respectively. The report is divided into three sections based on local communication groups, regional independent communication agencies, and multinational communication agencies.

In addition to the 2020 China Advertising Agency Map, I also compared it with last year’s advertising agency map and made the following observations:

1. Compared with last year, the number of local agencies has changed, decreasing by 76. The advertising industry in 2019 is really too difficult, and it is not just talk.

2. The advertising industry has been criticized for a long time, but from the comparison of data, both local communication groups and multinational agencies have achieved revenue growth .

3. Except for Blue Label, SMG and Leo Digital which still occupy the top three positions, the rankings of other local communication groups have undergone a major reshuffle. Huayi Jiaxin has dropped from the 7th place in revenue last year to the 10th place.

4. Blue Label's revenue in 2019 showed an upward trend, which was mainly due to the explosion of short videos and overseas business, as well as the recovery of game copyrights. It can be seen that advertising agencies do not rely on a single large platform, but actively tap into more and more new traffic, which greatly promotes their own development.

5. As local agencies continue to develop and provide more integrated services, they are beginning to attract more and more attention from brand owners.

6. From the perspective of independent agencies, independent agents are constantly expanding their business scope to meet the needs of different brand owners. For example, Shengjia’s new content network layout has seven sub-brands with different business directions, each of which penetrates and supports operations.

7. The revenue of multinational agencies has generally been on an upward trend, while the revenue of WPP Group has been declining . It seems that WPP’s path to reform is not so easy. The reform cannot be confined to its own field, but should complete the transformation of layout and business with a larger span and more diversified fields.

8. Beijing, Shanghai and Guangzhou have always been divided into three parts in terms of advertising industry scale, revenue and concentration of advertising resources. However, with the changes in the media, Internet advertising in Shenzhen and Hangzhou has become a new driving force for the development of the industry, and independent agents in other regions with latecomer advantages have also begun to emerge .

Author: Advertising Queen

Source: Advertising Queen