Mobile marketing is literally going mobile in China.
China is the world’s fastest growing automotive market and the high growth in vehicle sales in the country is driving the growth in connected in-vehicle telematics and infotainment systems fitted in cars.
ABI Research forecasts that almost one in two cars sold in China by 2018 will be supplied with either an embedded, or hybrid OEM-fitted telematics and infotainment system.
What does this mean for advertisers and marketers in the world’s most populous nation? Potentially, it could open the floodgates of new and highly influential mobile marketing opportunities.
“Although the penetration of telematics and in-car infotainment services is very low at present, it is expected that more than 20 OEMs will launch services in China during the next 2-3 years to address the growing consumer demand for connectivity,” ABI reports.
However, these OEMs, particularly the foreign companies, face significant financial and strategic challenges in deciding which companies to partner with along the value chain.
“China is a unique, complex, and highly regulated market and strong partnerships are required with leading Chinese players who can provide access to the host of obligatory licenses required to operate in China,” says principal analyst, Gareth Owen.