Advertiser Survey: 2026 China Marketing Investment Expected to Grow by 10% on Average

The Chinese digital marketing landscape is at a pivotal turning point in 2026, where technological leaps meet a renewed focus on real brand value.

As Philip Chen, CEO of Gentlemen Marketing Agency (GMA) a Shanghai-based agency that’s spent over 15 years helping international brands navigate China’s dynamic e-commerce and digital channels

…. We’ve bridged Western innovation with local execution across platforms like Douyin, Tmall, WeChat, and beyond, and the latest insights from Miaozhen Marketing Academy’s 2026 China Digital Marketing Trends Report align closely with what we’re experiencing on the ground.

I see this every day with our clients, ads spends increase..

Ads Survey 2026

The report, of China Daily, based on surveys of nearly 200 marketing leaders across 20+ industries (from FMCG and beauty to pharma, auto, and 3C), paints a picture of cautious optimism after three years of slowing growth. For 2026, overall marketing spend (digital plus traditional) is expected to rise by 10% a welcome uptick from the 8% stability we’ve seen in recent years. That’s the first acceleration since 2022.

China: 30% of advertisers now hold positive investment sentiment

About 30% of advertisers now hold positive investment feeling… , up 8 percentage points year-over-year, while negative views dropped from 54% to 47%. Market mood is clearly improving.

From my perspective at GMA, where we focus on helping foreign brands achieve positive ROI in China’s competitive ecosystem, this rebound feels real but uneven. Confidence shines brightest in pharma / healthcare and beauty /personal care, where demand remains resilient.

Categories like auto and food & beverage, however, are more cautious, likely due to ongoing consumer pressure and saturated competition.

Philip insight: Brands are waking up to the fact that pure performance tactics in a post-traffic bonus era just aren’t sustainable. Everyone intellectually agrees that brand building drives long-term growth, but short-term sales pressures often force a pivot back to effects-driven spending.

The report captures this tension perfectly.

Top Growth Ads Levers for 2026…

When advertisers were asked where the biggest opportunities lie, the answers were clear and pragmatic:

• Stronger brand building topped the list at 48% no surprise, as we’ve advised many clients that in China today, trust and emotional connection cut through noise better than ever.
• New product launches followed closely at 47%.
• Youth-focused strategies came in at 42% notably outpacing “premiumization” (only 24%). Young consumers still drive trends, and we’ve seen massive lifts when brands authentically engage Gen Z through short video and KOLs.
• AI strategy implementation ranked fourth at 38%.

Philip insights: Overseas expansion (“going global”) is heating up at 25%, reflecting Chinese brands’ outbound push and foreign ones seeking diversification. Meanwhile, the once-hyped lower-tier city penetration dropped sharply by 11 points the sinking market narrative is losing steam as urban consumption holds firmer.

Where the Money Is Flowing ?

Media investment trends show a clear tilt toward what’s working now 🙂

• Mobile internet leads增投 at 62% (up 7 points).
• Content marketing at 44% (a new high-visibility option).
• Out-of-home (OOH) at 29% (up 3 points).

On digital platforms:

• Planting/grassroots platforms (种草, like Xiaohongshu) dominate at 76%增投.
• Short video at 56%.
• AI-native apps surge to 47% — a telling sign that search is migrating toward generative AI experiences.

Ad formats: KOL collaborations “reign supreme” 😉 67%, followed by performance ads (46%), native content placement (40%), search / brand zone ads (34%), and video feeds (33%).

Even app open-screen video is gaining traction, up 7 points to 21% high-quality, immersive formats are earning more respect. 🙂

In content, sports events lead增投 at 31%, with micro-dramas right behind at 30% ; both tapping into emotional, shareable storytelling that resonates deeply in China.

Top 3 growth bets for 2026 according to the survey:

1. Double down on brand building (48%)
2. Launch new products (47%)
3. Go after younger consumers (42%)

Interesting: “younger” beat “premium/high-end” by a mile (only 24% picked premium). Gen Z and young millennials are still moving the needle hard in China. 😉

Also: “going global / brands going out” jumped to 25%. “Lower-tier city sinking” dropped 11 points feels like that story is quietly losing steam.

Where the money’s actually moving:

Mobile internet still king (62% plan to increase). Content marketing jumped high (44%). OOH creeping back up too (29%). 😉

Platform winners in China:

• Grass planting / community platforms (Xiaohongshu style) → 76% increasing
• Short video → 56%
• AI native apps / tools → 47% (wow, search is really shifting)

Ad formats people love right now: KOL & influencer collabs (67% ↑) Performance ads (still 46%) Native content placement (40%) Even app open-screen video is getting love again (up to 21%).

Content-wise: sports events (31%) and micro-dramas (30%) leading the pack. Both super shareable, super emotional, makes total sense. 😉

Now the AI part everyone keeps asking me about…

85% say “we urgently need to use AI / large models in marketing.” But “I have no idea how to actually use it” jumped from #14 to #7 biggest challenge. 25% of people picked it….

We use AI a ton internally at GMA, creative brainstorming, copy variants, spotting trends in comments, quick moodboard generation; but it’s still very much a copilot. Highest AI involvement is only ~35% even in creative generation. Humans are doing the taste, the cultural read, the final call.

That’s not changing anytime soon.

Biggest roadblocks people told the report: 😉

• No good success stories yet (42%)
• Don’t fully trust the output (33%)
• Data security worries (33%)
• Our org structure isn’t ready (29%)

When budgets get squeezed, fewer people are just blindly chasing “highest ROI channel” or slashing left and right. More are looking inside:

• Tying marketing KPIs directly to actual business growth (66%)
• Actually investing in digital talent (51%, +20 points!)
• Cutting management bloat instead of creative teams (37%, up 5 points)

Simple headcount slashing? Down 12 points.

Turns out randomly firing people doesn’t magically fix things.

So yeah, my 2026 feel like the year we stop chasing new tactics and start getting serious about balance again: short-term numbers + long-term brand equity AI speed + human taste China domestic + selective global moves young consumers + real innovation….

If you are a brand trying to figure out your next play here whether you’re coming in from overseas or a local player pushing boundaries happy to chat. We’ve been living these shifts every day since 2010.

Here’s to making 2026 the year we actually build something that lasts.

Philip

CEO- Ecommerce at Gentlemen Marketing Agency Shanghai

For international players eyeing China (or Chinese ones going global), the message is clear: adapt fast, but build lasting value. The traffic era’s easy wins are gone; the next phase rewards those who understand consumers deeply and execute with precision.