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HKU SPACE & University of Surrey Open Day: Tourism Forum

HKU SPACE & University of Surrey Open Day: Tourism Forum. Presented by Kevin Huang CEO Pixel Media March 20, 2010. Agenda. Internet in China Travel habits online Show Case and Case Study of Tourism Clients using Online About Pixel Media. Internet in China. Source: CNNIC, 2010 Jan.

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HKU SPACE & University of Surrey Open Day: Tourism Forum

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  1. HKU SPACE & University of Surrey Open Day: Tourism Forum Presented by Kevin Huang CEO Pixel Media March 20, 2010

  2. Agenda • Internet in China • Travel habits online • Show Case and Case Study of Tourism Clients using Online • About Pixel Media

  3. Internet in China Source: CNNIC, 2010 Jan 384 million internet users in China as of 2009 and still growing strong . Forecasted to reach 840m (62% penetration by 2013) vs US’s 231m internet users.

  4. Internet in China Source: CNNIC, 2010 Jan Time spent online per week grew from 16.6 hours/week to over 18 hours / week

  5. Internet in China 2/3 of China’s internet users are over 25 year olds with high disposable income and practically grew up with the internet.

  6. Demographics of China’s internet users reflected in the kinds of activities users engage in online

  7. Users spend more time online… Over 4.8 hours spent online EACH DAY Synovate Young Asian Study

  8. “ Can you still choose to ignore the internet based on those numbers? And so how does the internet fit into a consumer’s travel purchase pattern?

  9. Leisure travelers plan their trips 3-4 weeks in advance Average no. of weeks in advance: 4.0 weeks 2.7 weeks No. of weeks in advance to start travel plans & make reservations (%) Base: China - Those who have traveled for leisure (Sample size: 518) Q. For your personal/leisure trips, how far in advance do you usually…? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate

  10. The internet - The most indispensable source for travelers • Followed by word of mouth, guide books and travel brochures • TV & magazines are further down the list % Friends/ Relatives/ Colleagues Travel agents Email offers/ programs Magazines Internet Newspapers TV Radio Guide books Travel brochures Base: China - Those who have traveled for business or leisure (Sample size: 564) Q. Which of the following sources do you use for your planning or researching for travel, either for business or leisure purpose? And which do you think is the most important? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 10 |

  11. Home is the primary location for planning travel online but a significant proportion do so at work at home: 86% (84%)* at work: 46% (58%)* Plan/Research for travel on the internet Mostly at work 12% Mostly at home 52% Both at work and at home equally 34% Other places 2% Base: China - Those who use internet for travel plan/research (Sample size: 457) *Among those who are working Q. When you plan or research for travel on the internet, where are you usually at? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 11 |

  12. Portals are the most used online destination for travel planning Websites/Services use when plan or research for travel, for business or leisure trips (%) Online travel agencies Search engines Travel blogs Portals Travel community sites Travel guide websites Tourism bureau websites Email offers/ programs Car rental websites Airline websites Opaque/ discount websites Hotel websites Base: China - Those who use internet for travel plan/research (Sample size: 457) Q. What types of websites/services do you use when you plan or research for travel, either for business or leisure purpose? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 12 |

  13. Air tickets & hotels – Most researched items online Travel services researched for online in past 12 months (%) Base: China - All respondents (Sample size: 650) Q. In the past 12 months, which of the following services have you researched into using the internet? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 13 |

  14. Hotels & air tickets - Top 2 items purchased/reserved online Travel services bought online vs offline in past 12 months (%) Base: China - All respondents (Sample size: 650) Q. In the past 12 months, which of the following services have you bought over the internet? … bought offline? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 14 |

  15. Air tickets & hotels – Will continue to be the most purchased items online Travel services plan to purchase/plan to purchase more on the internet in next 12 months (%) Base: China - All respondents (Sample size: 650) Q. Which of the following services do you plan to purchase on the internet more? Which of the following services do you plan to purchase on the internet? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 15 |

  16. Online travel purchasers spent around US$900 for purchasing travel services online on last trip Amount spent for online travel purchases/reservations on last business or leisure trip (%) Average spent on last trip US$900 US$980 Base: China - Those who have bought online (Sample size: 371) Q. Which of the following ranges represent the total amount you have spent for online travel purchase/reservations on your last business or leisure trips? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 16 |

  17. Internet users are receptive to planning travel online % Strongly/Somewhat agree The internet gives me greater depth of information on travel products/ services The internet is the best way to compare value Advertising is a useful source of travel ideas Using the internet to purchase is the best way to save money I feel safe making travel bookings/reservations online Doing travel reservations via the internet makes my life easier Strongly/Somewhat disagree: 5% 8% 12% 12% 15% 20% Base: China - All respondents (Sample size: 650) Q. Please tell us how much you agree or disagree with each of the following statements about holidays. Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 17 |

  18. Travelers share their travel experience online, mainly by sharing photos Methods used to share travel experiences after the holiday trip (%) Base: China - Those who have traveled for leisure (Sample size: 518) Q. After your holiday trip, how do you share your travel experience? Source: MSN/Windows Live Online Travel Survey Feb 2007 conducted by Synovate Page 18 |

  19. A Showcase of Travel advertising tapping on Digital Advertising:AIRLINES

  20. Low Cost Fares by Airlines • Often directs users back to their own sites for direct sales and cheap rates apply to online booking only • Advantages • Efficient and Cost Effective • Direct • Fast • Sold !

  21. A Showcase of Travel advertising tapping on Digital Advertising:THEME PARKS

  22. Seasonal Themes at Parks • Build Awareness • Drive Need • Enable Virtual Tour • Advantages • Audience Segmentation Available • Reach users at Work or outside of TV Time • Interactive and Engaging

  23. A Showcase of Travel advertising tapping on Digital Advertising:HOTELS

  24. Hotels and Resorts • Branding or Tactical • Drive Promotions and Offers • Advantages • Bigger and Engaging formats for better branding • Its TV.. Just MUCH BETTER • Track able and Justifiable

  25. A Showcase of Travel advertising tapping on Digital Advertising:Destinations / Tourism Boards

  26. Tourism Boards and Destinations • Build Awareness • Drive Need • Enable Virtual Tour • Advantages • Audience Segmentation Available • Reach users at Work or outside of TV Time • Interactive and Engaging

  27. Case Study:a Leading Hotel in Asia

  28. Ran with a 22 second TVC online Data from eyeblaster Reports % of Actual Video Viewed * Interaction defined as actions such as play, replay, mute, pause, close

  29. About Pixel Media

  30. Pixel Media is a leading Asia focused online advertising sales company delivering greater ROI for advertisers and publishers with online advertising solutions. • Founded in 2002, following the management buyout of DoubleClick Media Hong Kong. • Current Presence in Greater China and South East Asia • Six operating offices employing about 80 media and advertising professionals • Revenues grew by 15 fold since its founding and achieved operating profitable each year since its founding

  31. To connect advertisers to their target audience online efficiently Our Vision

  32. Where Pixel stands in the digital ad value chain

  33. Our Business Model Pixel Media Group value adds with sophisticated ad targeting technology to bring better ROI to advertisers and publishers; Revenue shares earned with websites

  34. 1) Sales House (Site Representation) Major brands include: MSN, Sina, Sohu, QQ, HKTDC Over 50 websites under Exclusive Representation 3) Ad Tech Serving ads to our websites and delivering targeting and ROI to advertisers Our Businesses 2) Ad Network 4 markets, 300+ websites, 15 channels ,+50% reach in all markets. #1 ad network in China, #2 in Hong Kong, and #3 in SG and MY respectively* * Comscore media metrix Jan 2010 Ad Network ranking measured by reach

  35. Pixel Media Web Publisher Partners and more. Majority of Representation are exclusive in nature; For Example Microsoft Advertising: Exclusive Sales House in Hong Kong Sohu.com – Exclusive HK and South East Asian Sales House Sina.com.hk – Exclusive Global Sales Representative

  36. Adsfactor Network Website Partners and more.

  37. Summary • Consumers are spending more and more time online today and will continue to do so • Research about their travel now often done online; its just easier No? • Will become increasingly comfortable with transactions and e-commerce • Advertisers need to reach them at Planning Stage, not at transactional / purchase time • Look beyond travel websites for advertising to reach a broader audience • Measure what you cannot offline • Friend, Foe or Frenemy?

  38. Thank YouI can be reached atkevin.huang@pixelmedia-asia.com+852 2851 2490

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