Tencent accelerates monetisation of its WeChat super app with search engine advertising
- Tencent will allow brands and merchants to pay for advertising in search results within WeChat, which has nearly 1.3 billion monthly active users
- Revenue from online advertising dropped 18 per cent year on year to 18.6 billion yuan in the June quarter – the steepest fall on record
Chinese social media and gaming giant Tencent Holdings is accelerating the monetisation of WeChat with the launch of search results advertising within the app, as the company looks for new growth amid falling revenue and profits.
Tencent will allow brands and merchants to pay for advertising in search results within its ubiquitous WeChat super app, which has nearly 1.3 billion monthly active users, and will introduce an auction system for better page rankings, according to an announcement by WeChat on Thursday.
The new service will help advertisers promote their official WeChat accounts, products, apps and mini games by making it possible for users to reach their content when they search for the brand name or a related keyword.
As an essential tool in the everyday life of Chinese users, WeChat has created a vast ecosystem of content and services, ranging from messaging and news to shopping and playing games.
The launch of search engine advertising will enable “effective exposure and conversion” for advertisers, according to the announcement. WeChat will continue to explore new ways to help businesses promote their products and services through the search engine, it added.