WeChat Advertising 2020 Guide

Nowadays WeChat advertising is the booming trend. Due to the extremely high number of users, which is 1.2 billion, WeChat ads is a powerful in your marketing strategy and in helping brands to enter Chinese market.

What is Wechat Advertising?

WeChat advertising enables companies to display promotional messages on users’ timeline, in WeChat Official Account articles, or in the mini-program. Additionally, WeChat advertisement is a great tool for brands to enhance and maximize the number of WeChat Official Account followers, it helps companies to drive their traffic and generate app downloads.

Wechat Paid advertising consist of 3 types of ads:

WeChat-ad-types
WeChat ads types
  1. WeChat Moments Advertising
  2. WeChat banner adverting
  3. WeChat Key Opinion Leader advertising

Let’s find out the difference between these 3 types.

  1. WeChat moments advertising

WeChat‘s moments advertising was launched in early 2015, at that time into the first testing campaign were involved Coco Cola and Mercedes-Benz.

How does it work?

For Western marketers, WeChat advertising is the most familiar method to enable promotion on WeChat moments, which are similar to Facebook ads that appear on the timeline.

Therefore, WeChat advertising on moments is divided in two major cases:

  • Companies registered in Mainland China either local companies or Wholly Foreign Owned Enterprises – WFOE, which are willing to invest at least 50k RMB (~8,000 USD)
  • Foreign companies which are willing to invest $1,500 –$8,000 USD

Therefore, for foreign business the process goes through Tencent team, in order to get more information, you can contact us.

Remarkably, that advertising applications from real estate and financial industry are not accepted by Tencent.

Moment ads can have the following components:

WeChat Moment ad example
  • Brand name and profile picture
  • Up to 40 character ad description
  • Link to an html5 web page that’s hosted on Tencent’s server
  • Up to 6 pictures or 6-15 seconds short videos

WeChat advertising targeting

Users can be targeted according to their location, interest, age, gender, device and phone network.

Location

In terms of location, Tencent since April 2017 started offering WeChat Overseas Advertising to target Chinese travelers in 42 countries and regions:

  • Asia: Hong Kong, Macau, Taiwan, Japan, Korea, Malaysia, Singapore, Thailand, Vietnam, Russia, Philippine, Cambodia, Laos, Maldives, Myanmar, India, Indonesia
  • Europe: Germany, France, England, Italy, Finland, UAE, Egypt, Belgium, Denmark, Netherlands, Morocco, Portugal, Sweden, Switzerland, Saudi Arabian, Sri Lanka, Turkey, Spain
  • North America: United States, Canada, Mexico
  • Oceania: Australia, New Zealand 
  • South America: Brazil, Argentina 

The current location data helps to define Chinese tourists. However, due to the legal reason WeChat advertising is not open yet to local residents.

Gender & Age

When it comes to gender & age users are usually targeted from 5 to 60 years old.

Industry related specifics

WeChat enables companies to choose to advertise to 18 industries and 122 sub-categories. Moreover, there are 18 core categories which include: education, travel, finance, cars, real estate, furniture, fashion, F&B, personal services, professional services, cosmetics, home electronics, sports, health, child education, bags, watches, shoes, jewelry, politics and law, luxury goods, drinks, Internet, entertainment.

WeChat behavior

Moment ad can be seen by individual users every 48 hours. Lately, within 6 hours the ad disappears in case if the moment ad was not liked, commented or clicked on the link by the user. The interaction of the user with moment ad is leading to the enhanced likelihood of his/her friend receiving the same ad. Therefore, the number of target users can be increased by this viral effect.

How much does it cost?

The minimal entry price for both Chinese and foreign companies is 50,000RMB

City size Text & Pictures Ads CPM Video ads CPM
Core city 150 180
Large city 100 120
Others 50 60

CPM (cost per 1,000 impression)

Core cities: Beijing, Shanghai

Large cities: Guanzhou, Chengdu, Shenzhen, Hangzhou, Wuhan, Suzhou, Chongqing, Nanjing, Tianjin, Xi’an, Guiyang, Changsha, Qingdao, Ningbo, Zhengzhou, Dalian, Xiamen, Jinan, Harbin, Fuzhou

WeChat Overseas advertising:

The minimal entry price of 50,000 RMB is for following countries/regions:

Hong Kong, Macau, Taiwan, Japan, Korea, Malaysia, Singapore, Thailand, United States, Australia. Notably, 10,000 RMB for the following countries: Germany, France, England, Italy, Canada, New Zealand

  Text & Pictures Ads Video ads
CPM (1,000 impression) 150 180

  

  1. WeChat banner advertising

Banner ads in WeChat Moments

Banner advertising” is another form of advertising on WeChat. These banners are similar to those banners that you see on website. However, in WeChat they are featured by a WeChat Official Account written message at the bottom of article, in-article banners ads, and KOL promotion.

WeChat banner ads contain three following components:

  • WeChat article written by another WeChat Official Account, where the WeChat banner ads appear at the bottom of it.
  • Ad banner, in this case the banner has a logo, account name and headline. It takes the users to a page containing additional information about the brand/product in case if the banner was clicked.
  • Action call, it takes users to another landing page.

The banner ads become a great tool in order to drive users to follow WeChat Official Account, download an app, claim coupon code, buy a product, sign up link or to a customized landing page.

3 types of ads on WeChat
3 types of banner ads on WeChat
How much do WeChat banner ads cost?

The minimal entry price for both Chinese and foreign companies is 50,000RMB

CPM (cost per 1,000 impression):

City size CPM1 CPC2
Core city 25 Bidding system
Large city 20
Others 15 Starts at 0.5 RMB / click

CPM (cost per 1,000 impression).                Core cities: Beijing, Shanghai

Large cities: Guanzhou, Chengdu, Shenzhen, Hangzhou, Wuhan, Suzhou, Chongqing, Nanjing, Tianjin, Xi’an, Guiyang, Changsha, Qingdao, Ningbo, Zhengzhou, Dalian, Xiamen, Jinan, Harbin, Fuzhou

  • The WeChat KOL Banner type

In terms of costs, the KOL banner version is much more expensive, however the payment is still based on performance, the price is determined by KOL.

Who can use WeChat banner ads?

According to Tencent you will need to meet following requirements:

  • A registered company in China
  • Provide all the licenses that prove the fact that you can advertise in the specific industry, and that your ads are associated with. For instance, you will need to provide the licenses that allow you to0 sell food in China, in case if you want to advertise food.
  • For foreign companies, it is also possible to apply for banner advertising, it will require you to go through manual application process.
  1. Key Opinion Leaders on WeChat

KOL WeChat
KOL’s article redirects traffic to an online shop within WeChat

 Another way to make your brand promoted on WeChat is Key Opinion Leaders. In this case, your company should pay to a popular WeChat blogger, it can be through a flat fee, result-based fee. Additionally, promotional post on their WeChat account can be exchanged to products provided by your company. An article which will include the information about your brand can be reflected in the push information. 

Usually KOLs have more than 500,000 of followers, which means that they have enough power to drive and promote a great number of sales by posting a product related article.

KOLs usually charge according to commission base, which is between 20-40%. However, it is usually hard to find the right KOL, including the fact that in terms of product’s quality, price and type large number of accounts can be quite picky.

 Where can you find KOL for WeChat advertising? To learn more how to find and get a right Key Opinion Leader to promote your brand, contact us.

How to succeed with WeChat advertising

We collected vital tips which will help you to succeed in WeChat promotion of your brand:

  1. Targeting in this case is very important, in order to build the right advertising line on WeChat you should define the auditory, to whom your product can be advertised to.
  2. Create a strong strategy of WeChat advertisement and newsfeed.
  3. Your company’s ads should be adjusted on time by competitive team members in case if the WeChat doesn’t meet the expectations.
  4. The content of your ads should be offered more value to users.
  5. In order to meet a better measure engagement, ensure that your benefit from CPM pricing across the board (impressions, clicks on external link, links, and comments) and your ads encourage clicks and interactions.

Conclusion WeChat Advertising

In conclusion, WeChat advertising has a significant influence in nowadays world of e-commerce. It connects a huge number of users with third-party services, including gaming and shopping.

If you have any more questions, contact us. We are specialized in Chinese marketing. We have a deep understanding of both western and Chinese culture. Our members are professional culturally-conscious marketers from both the West and China. We can provide you outstanding efficiency and ROI in our service. 

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12 thoughts on “WeChat Advertising 2020 Guide”

  1. Pingback: Online Marketing in China: 10 secrets Revealed | repo2o

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  4. Iti s a great article for wechat marketing
    Do brands need to do wechat marketing plan

    Do you offer wechat marketing course ? wechat marketing with case study?

    1. We can offer Wechat Marketing Training, but it is not our core business…
      Send us an email Maria, and we will send you our case studies. 🙂

  5. We want a small ad in WeChat and other social media if it meets our advertising budget for China. This would be a long term advertisement.

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