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Chinese subway stations sell personalized advertising – operators fight for money


Chinese subway stations sell personalized advertising – operators fight for money

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Hong Kong
CNN

Xiaotu was looking for his soul mate, but the usual ways of meeting people on campus or browsing online dating apps just weren’t right for him.

Instead, the 23-year-old decided to go all out: He paid 999 yuan (around $140) to place a personal ad on a gigantic 6.5 by 1.7 meter electronic billboard in his local subway station in the southern Chinese metropolis of Guangzhou.

The ad, which went live in May, showed a smiling Xiaotu in his best suit next to a message and a giant QR code inviting interested passengers to add the photo-loving Gen Z college graduate, sign of Libra, as a contact on the social media platform WeChat.

During the five-day run of the ad, about 200 new friends added him to the app, said Xiaotu, who had asked to use a nickname to reveal personal details.

He is part of a wave of people placing ads on subways in major cities in China as subway system owners – mostly local governments – seek additional revenue while struggling with high debt and declining revenues.

In Guangzhou, where nearly half of the city’s 19 million residents ride the subway every day, dozens of personalized ads have appeared in subway stations in recent months, containing everything from dating profiles and job advertisements to anniversary posters and birthday greetings.

Li Linyu's husband received a surprise birthday greeting on the Guangzhou subway.

Technician Li Linyu, 30, said an ad on the Guangzhou subway was a nice way to surprise her husband on his birthday.

Her self-designed ad featured several photos of her husband surrounded by cartoon graphics, including a cake and a crown, and a colorful banner that read, “Happy Birthday!”

In a memorable moment for the couple, Li filmed her husband’s surprised reaction when he saw his face on the giant LED screen in a crowded subway station.

“He was completely stunned,” Li said. “He never imagined he would be on a subway billboard – it was completely unbelievable.”

The ads went viral on Chinese social media, with commentators calling the service “a joy to watch” as it eases the rigors of daily commuting and offers the opportunity to “gain insight into the lives of ordinary people.”

In addition to Guangzhou, cities such as Beijing, Chengdu and Hefei have also launched personals programs, according to state-affiliated news channel The Paper.

The programs, launched this year, come at a time when local governments are tightening their budgets in the face of high debt and budget cuts as a result of the nationwide real estate crisis – and there are signs that this will also have an impact on China’s largely state-funded subway operators.

Commuters head to the subway platform during rush hour in Beijing in spring 2020.

China’s robust growth – one of the fastest sustained expansions of a major economy in history – has been driven for decades by a real estate boom fueled by rising population and urbanization.

But the all-important real estate market, which accounts for 30 percent of the economy, fell into crisis three years ago after the government drastically restricted developers’ borrowing. This downturn poses a major threat to China’s growth prospects in the medium term.

In Guangzhou, the promotional program comes after a 958 million yuan (about $134 million) drop in local government subsidies for the city’s subway in 2023 from last year, according to the operator’s annual report.

The subway has seen a 20 percent increase in monthly revenue since the introduction of the personalized advertising program, state-run media outlet Workers’ Daily reported last month, citing an official from the operator. The subway charges 380 yuan (about $50) to 999 yuan per ad for a five-day ad.

CNN was unable to reach the city’s subway operator for comment.

Other cities have also introduced cost-cutting measures on their subways. Last year, a line of the Beijing subway was converted to energy-saving lighting to save electricity, reports the state-run Beijing Daily. And the eastern Chinese technology metropolis of Hangzhou shortened the operating hours of the subway escalators earlier this year, reports the state-run tabloid Global Times.

While it is unclear how much Guangzhou and other subways will earn in the long term from selling personal ads, it is clear that some passengers are already benefiting.

Xiaotu told CNN he had been on a few dates with subway passengers who responded to his ad, but he was still looking for his soul mate.

He also remembered the “magical feeling” of seeing his profile displayed in the station – especially when he was recognized by the people riding next to him.

“I felt like a star,” he said.

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