Sunday, September 25, 2005

ATM in China will become a new platform for advertising

Before I came to New Zealand, I worked for a bank in China. Yesterday when I chatted with my previous colleague through MSN, I heard a piece of interesting news: ATM in China will become a new platform for advertising.

In China, every bank has its own ATM network. However, at the same time, all of those networks are technologically connected and led by the Central Bank. From this angle, the network of ATM in China is rather big and significant.

From October of 2005, ATM in China will become a new platform for advertising. When a customer withdraws cash from an ATM, he or she has to see a 15-second animated advertising which is played by that ATM. Although it is somewhat boring, customers can benefit from that advertising because the service fee for ATM will be reduced to Zero. The money paid by advertising companies to banks will cover those service fees.

From the perspective of the bank, they can make more money from their ATM network because advertising companies usually pay more than customers’ service fees. At the same time, customers’ burden is relieved.

The biggest beneficiary is of course those advertising companies. They will get a totally new advertising platform----ATM. In fact, in my mind, that platform is rather ideal for promoting. In China, there are nearly 50 million people who use ATM everyday.

I predict that maybe some years later, ATM will become a powerful new media that will bring people more information and services than now.


At 5:00 PM, Blogger Childfree! It could have been so simple! said...

Quite interesting. If banks would cancel their transaction fees but would have ads attached to statements or as you reported at the ATM then I wouldn't mind.


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