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Introduction
As China’s digital economy becomes more platform-driven, data-intelligent, and content-heavy, the advertising landscape is undergoing rapid transformation. For overseas brands looking to scale in China, understanding the latest market trends is crucial for campaign planning and performance optimization. This article unpacks the major digital ad trends shaping China in 2025 and offers actionable insights to align your strategy with current market dynamics.
1. Fragmentation Across Niche and Vertical Platforms
1.1 Beyond the Big Three (Baidu, Alibaba, Tencent)
While BAT remains dominant, new vertical ecosystems like Xiaohongshu (lifestyle), Zhihu (knowledge), and Bilibili (youth culture) are capturing ad budgets due to their targeted audiences and high engagement rates.
1.2 Strategy: Diversify Platform Mix Based on Audience Goals
Overseas brands should match vertical platforms with target demographics. For instance, Xiaohongshu works well for wellness and beauty brands, while Bilibili is ideal for tech or gaming products.
2. Rise of AI-Powered Ad Personalization
2.1 Dynamic Creative Optimization (DCO)
Chinese platforms now offer advanced DCO solutions, where ad creatives adapt in real-time based on user behavior, time of day, and device. Brands using this tech are seeing 30–50% boosts in CTR.
2.2 Predictive Targeting
Platforms like JD.com and Douyin are refining AI models to recommend ad placements and audiences that will most likely convert, based on purchase patterns and engagement heatmaps.
3. Livestream-Linked Ad Campaigns
3.1 Embedded Shopping in Short Videos
Short video ads now seamlessly link to livestreams or product detail pages. Many platforms offer auto-invite features for users to join upcoming broadcasts while viewing teaser ads.
3.2 Use of AI Livestream Hosts
AI-generated virtual influencers are increasingly featured in digital ad campaigns. They offer 24/7 availability, consistent messaging, and lower production costs while maintaining user novelty.
4. Regulatory Shifts and Data Compliance
4.1 Impact of China’s Personal Information Protection Law (PIPL)
Advertisers must now ensure that all audience targeting, retargeting, and user data collection meet stringent consent requirements. SaaS brands must adjust backend CRM and ad tech integrations accordingly.
4.2 Transparent Ad Labeling Requirements
Platforms now require clear disclosure when content is sponsored. Native ads that don’t comply risk takedown or reduced visibility. This impacts influencer campaigns and embedded video ads most.
Case Study: Nordic Baby Care Brand Rides Regulatory Wave to Build Trust
In response to tighter privacy rules, a Nordic baby care brand led with a “Data Safe for Moms” campaign. Their display and search ads emphasized ethical data handling and opt-in transparency. The message resonated—CTR improved by 47%, and the brand saw a 20% boost in WeChat followers during the same campaign window.
PLTFRM is an international brand consulting agency that works with companies such as Red, TikTok, Tmall, Baidu, and other well-known Chinese internet e-commerce platforms. We have been working with Chile Cherries for many years, reaching Chinese consumers in depth through different platforms and realizing that Chile Cherries’ exports in China account for 97% of the total exports in Asia. Contact us, and we will help you find the best China e-commerce platform for you. Search PLTFRM for a free consultation!
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