Online advertising solutions provider DoubleClick expects its Asia revenue to double during 2001, the company’s chief executive officer said Thursday.
Further expansion of the region’s advertising market and the introduction of new products would account for the increased sales, said CEO Kevin Ryan in Hong Kong on Thursday.
For regional expansion, the company planned to establish offices for its Internet advertising management solutions subsidiary DoubleClick TechSolutions in India, China and Taiwan within the year.
“Among all Asian countries, we expect much of this growth to be fueled by China, Japan and Korea,” Ryan said. “Internet advertising in China is currently in its infancy, rendering a huge potential for growth.”
Among the new products the company plans to introduce in Asia are wireless advertising solutions and Dynamic Advertising Reporting and Tracking (DART) solutions, which are expected to allow Web sites to increase revenue with little maintenance and management cost, due to better tracking information.
The company Wednesday announced Chinese portal Netease agreed to utilize the DART technology for handling all targeting, delivery, reporting and billing.
Stephen Moss, chief executive officer of DoubleClick Asia, expected online advertising to reach five percent of the entire Asia advertising market by 2005, compared to one percent last year.
Moss explained advertisers normally allocate their spending according to consumers’ media consumption. Although consumers found about 10 percent of their media on the Internet, advertisers are allocating only one percent of its spending in this media.
“There are gaps between the media consumption and advertising spending,” said Moss. “Therefore more rooms should be available for growth in online advertising.”
Currently, DoubleClick operates its business in Asia, excluding Japan, through DoubleClick Asia, a 50/50 joint venture with AsiaContent. According to the agreement, DoubleClick has an option to buy back DoubleClick Asia and become the majority owner by 2003.
Sheila Lam is a reporter at asia.internet.com.