Yam.com, the first Chinese Web server, has profoundly adjusted its
business model and strategy in a bid to stay ahead in today's rapidly
changing cyber environment.
Originally launched as a non-profit Chinese search and directory site in
1994, yam.com dipped its fingers in the ebusiness of marketing and
advertising sales two years ago.
According to Ms Geena Lin, yam.com's sales director, the Internet should
develop itself not just as a medium, but as an interactive community for
viewers and marketers.
Interactive communication and a niche community are key values of the
Internet, which plays a different role to traditional TV and print
media, said Ms Lin.
As the region's staple food, the name Yam underlines the company's aim
to provide basic information, from news and shopping, to finance and
music.
"We developed a variety of content to communicate with different
communities," said Ms Lin.
The Internet is evolving from an information media to an interactive
marketing tool with the offering of database, online survey,
communications and marketing solutions.
Banners became the most commonly used advertising tool online when
marketers first recognised the Internet as a medium.
Ms Lin said today marketers seek more sophisticated online communication
solutions to promote their brands and products.
IT-related services and products accounted for 40 to 45 per cent of
total Internet ad spend a couple of years ago.
With the bursting of the dotcom bubble in the stock markets, the
company's dotcom clients have dropped by 20 to 30 per cent since
April.
However, the drop was picked up by emerging categories like FMCG,
telecom, skin care, travel and beverage.
Yam.com staged a 2.5 to three-time increase in revenue growth this year,
buoyed by marketers' increase in online budgets.
Although banners accounted for 75 to 80 per cent of yam.com's total
advertising income, Ms Lin said advertisers were keen to explore new
tools such as floating icons, content sponsorship and text linkage.
"You have to put (the potential of interactive) communication first when
using the Internet (as an advertising medium)," said Ms Lin.
The Internet is not simply a mass medium, but it is an interactive
communication platform, which offers viewers a chance to chat and share
opinions.
Content, communications, virtual community, ecommerce and Chinese
comprise the motto of yam.com, which has 10 to 12 million page views and
one million visits per day.
Internet advertising is about creativity, not just design, noted Ms
Lin.
She added that the crux of cyber advertising was creating something you
have never thought about doing with traditional media.
Yam.com is actively looking into new communication platforms for
viewers, targeting marketing tools and integrated WAP phone and
broadband technologies, according to Ms Lin.
Yam.com has also formed a joint venture with a computer retailer
Cybermart in the mainland.
The venture presently focuses on logistics, rather than websites, said
Ms Lin.
She added that the company's ultimate goal was to expand into the
ecommerce business.
