China Media Group StockGuru Profile CHMD.OB
CHINA MEDIA GROUP CORPORATION 8-K Link Here.
Just a short note on CHMD and more research to follow tonight.
I think it is incredibly important to understand the huge potential in advertising in China.
CHMD is precisely where they need to be … no one is buying more advertising time in China than pharmaceutical companies … or so says A.K. Nielsen. Yes, Nielsen is in China, too, and expanding their coverage as well.
But here are the quick facts I think you need to know:
With China’s GDP in a permanently upward mode, advertising is growing exponentially as well, which is logical BUT advertising is growing even faster than the GDP of China! Up 22 percent since last year!
China’s advertising expenditure via television, newspapers and magazines reached $49.5 billion U.S. dollars in 2006, up 22 percent on the previous year, according to the Nielsen Media Research.
Television has remained as one of the most favored mediums among advertisers, accounting for 81 percent of the total ad expenditure on the three key forms, said Nielsen. As you will recall, CHMD is in the process of acquiring a permanent interest in digital television opportunities.
And even more important is the fact that advertisements for medicines and cosmetics took up a large proportion of the total media industry. The pharmaceutical industry is the very industry with an interest in underwriting the healthcare message CHMD has been contracted to take to the Chinese people.
China’s advertising expenditure via television, newspapers and magazines reached 49.5 billion U.S. dollars in 2006, up 22 percent on the previous year, according to the Nielsen Media Research.
Television remained the most favored medium among advertisers, accounting for 81 percent of the total ad expenditure on the three key forms, said Nielsen. As you will recall, CHMD is in the process of acquiring a permanent interest in digital television opportunities.
And even more important is the fact that advertisements for medicines and cosmetics took up a large proportion of the total industry. Pharmaceutical advertising is precisely what CHMD has targeted to support their healthcare related messages.
CHMD is focused on the outdoor billboard opportunities in delivering their message. Outdoor billboards have become the third-largest media format in China for advertisers, after television and newspapers. It is such a vast and lucrative business that some foreign venture capitalists have also entered the sector. The China Times site gets as much as 70 per cent of its readership from overseas.
Since 2004, AGB Nielsen has installed “people meters” in nearly 10,000 homes in nine cities and provinces, including Shanghai and Beijing, representing 56 million urban and 315 million rural Chinese.
With Nielsen in China we can be assured we are getting the straight facts on media and China, and with a national license to advertise, we can be be sure CHMD has the potential to go after the most lucrative market for advertising in China: the pharmaceutical industry!
Source: China Media Group
China Media Group Corporation
9901 I.H. 10 West, Suite 800
San Antonio, TX, 78230
Hong Kong Office
1803 Chinachem Tower
34-37 Connaught Road, Central
Hong Kong, China
Phone: +852 3171 1209 ext 222
General Information: info@chinamediagroup.net
Investor Relations: ir@chinamediagroup.net
Website: http://www.chinamediagroup.net
Forward Looking Statement: This release contains forward-looking statements that involve a number of risks and uncertainties. These forward-looking statements contain words such as “expects,” “believes,” “anticipates” and “intends.” Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include, but are not limited to, economic conditions affecting the B2B environment; continued ability to obtain hardware, software and peripherals at competitive costs; the company’s ability to finance its planned expansion efforts; the company’s ability to manage its planned growth; and changes in regulations affecting the company’s business and such other risks disclosed from time to time in the company’s reports filed with the Securities and Exchange Commission. The company does not intend to update any of the forward-looking statements after the date of this document to conform these statements to actual results or to changes in management’s expectations, except as required by law.
Disclosure: Pentony Enterprises LLC has been compensated 1,050,000 restricted 144 shares, shares directly from the company for profile coverage. Pentony Enterprises is not a registered investment adviser or a broker/dealer. Pentony Enterprises LLC makes no recommendation that the purchase of securities of companies profiled in this web site is suitable or advisable for any person, or that an investment in such securities will be profitable. In general, given the nature of the companies profiled and the lack of an active trading market for their securities, investing in such securities is highly speculative and carries a high degree of risk.
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