Baidu-backed video site iQIYI has struck an exclusive deal with Pixels for exclusive advertising sales rights in Hong Kong and Macau.
IQIYI is currently in expansion mode to include original content and Hong Kong has been listed as a key market.
Pixels partnership with iQIYI aims to give iQIYI a better understanding of the local market and tap the growing demand for online video advertising for Hong Kong marketers as well as brands who want to reach users in china.
Last year iQIYI launched its own in-house film production studio, iQIYI Pictures and announced Chinese phone maker Xiaomi would invest US$300 million to accelerate its content unit.
iQIYI’s video services reach into a number of platforms and devices from connected TVs, PCs, mobile phones and tablets. Using Baidu’s Big Data, iQIYI can analyze Baidu’s user data to offer precise targeting to advertisers on iQIYI.
Kevin Huang, CEO of Pixels, said you only need to look at consumer media consumption habits on the MTR to see that Hong Kong consumers are spending a lot of their time with mobile video and time shifting.
“As time passes, consumers hunger for quality content continues to increase exponentially and digital video on demand on mobile and desktop is their platform of choice.”
Xiao Chen, vice president of sales at iQIYI, added that Hong Kong was a dynamic and vibrant city with one of the fastest internet speeds around the world.
“Coupled with 230% mobile phone penetration, the city has adopted online video at a rapid pace. This makes it one of the most exciting cities for iQIYI to set foot in and we look forward to our continued investments in Hong Kong.”
Pixels is looking to offer pre-roll video, sponsorship opportunities and licensed content as part of its offering.