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Fierce Competition in O2O Industry Using Offline Ads, Going Beyond TV Ads

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With the Online to Offline (O2O) business expanding from food delivery to real estate and accommodation apps, competition for ads is intensifying.

According to industry sources on Aug. 15, various apps in the fields of taxi-hailing, food delivery, real estate, accommodation, and others are advertised offline, going beyond TV ads.

DaumKakao is advertising Kakao Taxi not only on TV, but also offline by inserting the "Kakao Taxi" logo on the side of all its affiliated taxis.

Companies that run food delivery apps, which are considered to have started the O2O business, or those that operate real estate apps, which are big players in the business, are also actively advertising their apps on not only TV, but also offline – on doors on the subway and at bus stops.

The accommodation area is not an exception.

Withweb, which created an accommodation app called GoodChoice, had already begun to promote its app on TV, and has also embarked on offline ads on buses in Seoul, Gyeonggi Province, and 6 major metropolitan cities.

Experts are saying that some latecomers are actively promoting their apps offline, using their outperforming existing business figures.

An industry source said, "In the past, offline dominated online. Now, the situation is reversed," adding, "So, competition for offline advertising is expected to intensify."
 


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