HANGZHOU, China, June 27, 2017 /PRNewswire/ -- Imagine that you have taken some photos of you at your friend's party and you click into a photo application on your phone to edit the them. A game pops up on the screen that looks fun to play. You click into the game, spend a few seconds playing, and win a prize in the end - a 100 Yuan coupon for an e-commerce platform. It happens that you have been thinking about buying a 300-yuan electric cooker, so then you use the coupon and get a 70 percent discount for the item.
This is what users experience in the interactive performance-based advertising designed by Tuia, a HangZhou-based Internet business service provider which has serviced more than 9,000 mobile phone applications, with daily Page View of 1.2 billion and 280 million monthly active users, advertising for major Internet companies including Baidu takeout food, Ping'an Insurance, and Weipinhui (an online discount website). It has designed more than 1,000 games for attracting users to play and get the coupons of the advertiser.
The Tuia's interactive performance-based advertising is unique in China because The Mobile Internet industry is developing fast in China in the past few years in the field of mobile games, online financing, car and bike sharing, live streaming, etc. Intense competition has prompted mobile service providers to offer all sorts of discounts to attract users. Therefore, users are accustomed to receiving coupons whenever they use the applications on the phone.
"Such highly interactive advertising involves the users in a fun game so that they won't even feel that they are being sold to. Since they win the coupon by their own efforts, they will be more likely to spend it," said Li Shanhong, president of Tuia.
However, advertisements in the applications are mostly stream advertising at the moment which the information to users is simply shown up on the screen. For the lack of interaction, it is an inefficient method to turn users into buyers. Worse still, it's easy to forge the Click-through Rates (CTR) in such advertising.
According to the statistics of Celtra, the average CTR generated on mobile phone in the United States in 2013 was 1.37 percent. In comparison, the CTR of Tuia's interactive advertising is around 20 to 40 percent, with the highest been up to 49 percent.
On the contrary, Tuia's interactive advertising is a win-win result for both the application developer and the advertiser, explained Li.
"For the application developers, the interactive advertising turns the users into profits in a way that will not compromise the users' experience with the application. Moreover, it activates the users and therefore increases the number of DAU (Daily Active Users)," said Li.
For the advertisers, on the other hand, the cost of the interactive advertising is lower compared with conventional advertising. Even better, it captures high quality users with a stronger desire to actually buy the service or the commodities being advertised.
"Tuia has invented the interactive performance-based advertising which integrates advertisement into the content of mobile phone applications in China", said Li, "By the end of 2017, the interactive performance-based advertising is expected to make Tuia the third largest advertising platform after Baidu, Alibaba and Tencent, the top three Internet giants."
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