Integrating wireless and the web may be the next big thing here, but contributor Elizabeth M. Lloyd tells us it's already happening in China.
Innovation is the key to becoming the standard for entertainment website technology. MyRice.com is a leading Chinese portal reaching users in China, Hong Kong, Macao, Japan, South Korea, Europe and the United States. MyRice.com, once part of Lycos China, is one of the world's top 50 websites (Alexa ranking: 40), with more than five million daily unique visitors and 35,000,000 daily page views.
MyRice is now a subsidiary of Livedoor Co. Ltd., the largest free ISP and one of the largest portals in Japan with a current market cap of over three billion U.S. dollars (Livedoor also acquired ValueClick Japan in March 2004).
MyRice works with a variety of global brand advertisers such as General Motors, Nestle, BellSouth, Walt Disney, Hewlett Packard, Dupont, Panasonic and Budweiser. Due to its impressive advertiser roster, reputation as being a leader in both internet and wireless markets (MyRice.com has strategic partnerships with China's leading mobile providers China Mobile Monternet, China Unicom Uni-wise and China Telecom V-net), and its target demographic focusing on users between the ages of 18 and 35, it is no surprise that MyRice is one of China's top 10 websites among its 1.3 billion people.
MyRice's unique value proposition to its users is its convergence of wireless and internet services. MyRice currently has 1.3 million Mobile subscribers registered and 600,000 unique email accounts, both constantly growing at a fast rate. To take advantage of the powerful synergies between wireless and internet, MyRice has just unveiled color letter sending software called, "FaFa," an innovative way of connecting mobile phones and the internet. Users can now send any file, whether it be articles, pictures, flash and sounds, from their computer to a mobile phone. Unlike SMS, there is no need to limit content to 70 Chinese characters, as FaFa can send up to 20,000 Chinese characters.
According to Jim Sun, an analyst with London-headquartered Evolution Securities, there are four major internet sectors projected to account for 80 percent of the internet industry's total revenues by 2008. Wireless value-added services, online games, online advertising and the use of search engines are predicted to be the biggest sources of internet revenue.
From desktop to mobile, MyRice is on the pulse in all four sectors:
Wireless Value-Added Service
Strategic agreements with local mobile and telecom companies has positioned MyRice as a top cross network entertainment portal for both its users and advertisers. I already mentioned the FaFa technology that allows users to send any file from MyRice or the internet to a mobile phone.
MyRice's wireless value-added services cater to large advertisers like Coca-Cola China. MyRice has launched internet and wireless campaigns for Coca-Cola China, increasing Coca-Cola China's site traffic by over two million page views. MyRice.com set up a SMS notification system to keep members updated with Coca-Cola events. Users simply register through Coke's website or SMS, become a member of the Coca-Cola club, and gain access to company news, promotion events and chats with other members.
Online Games
The business of video games for mobile phones is one of the most dynamic and fast-paced industries in the world today. According to IDC's latest report, "Asia/Pacific Wireless Gaming 2004-2008 Analysis and Forecast: Ready to Play?," the wireless gaming market in Asia/Pacific (excluding Japan) reached U.S. $237.4 million in 2003, and is expected to reach US$1.3 billion in 2008 with a 40 percent CAGR (compound annual growth rate).
According to the People's Daily Online, China has a gaming population of 20 million. With MyRice's wireless messaging capabilities, users can send/receive short text messages to participate in many wireless mobile games. Cost per message varies from 0.20 - 0.30 Chinese Yuan.
Online Advertising
The 18 to 35 age group accounts for 94.3 percent of Chinese internet users (Source: China Daily), and, according to Ad Age China, the Chinese aged eight to 24 have annual incomes worth $40 billion. So, Beth Cann, Livedoor's VP of marketing, argues that "MyRice gives brand marketers interested in penetrating the China market lucrative online advertising opportunities."
Search
MyRice's search engine is powered by Baidu.com, the world's largest Chinese language search engine. MyRice users can search on anything on the MyRice site as well as the web.
For online media properties wishing to be an innovative value add for both its users and advertisers, integrating both internet and wireless services is imperative. "Brand marketers should be sure to deploy a multi-channel approach to keep customers connected with your brand .... Also, choose a communications strategy that drives brand awareness and customer action at each stage of the brand relationship lifecycle" says Livedoor's Cann. The key here is launching a cross network interactive platform -- from desktop to mobile.
Elizabeth M. Lloyd is the director of strategic development for YFDirect, the affiliate division of online direct marketing company, Netblue. Lloyd's work on international online marketing has been highlighted in numerous publications as well as in academic curricula for international marketing classes worldwide.
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