JCDecaux renews and extends its partnership with Shanghai Metro signing a 15-year contract to operate advertising across its 18 lines
Paris, July 25th, 2022 – JCDecaux SA (Euronext Paris: DEC), the number one outdoor advertising company worldwide, announced that it has signed a 15-year contract to extend the advertising operations of lines 1 to 13 of the Shanghai Metro as well as 5 new lines (lines 14 to 18). This contract, awarded following a tender, will be managed by a joint venture, STDecaux, 60% held by JCDecaux and 40% by Shanghai Shentong Assets Management Co., Ltd.
Shanghai Metro currently has 503 stations with an average of 11 million passengers commuting every day in 2021. The metro is currently recovering from the lockdown and has already reached 8.6 million passengers per day as of July 22na2022.
This contract covers all of Shanghai Metro’s lines, with more than 12,000 backlit advertising panels on platforms and in corridors, as well as around 500 digital screens, creative solutions, advertising in trains (excluding TV advertising in trains and on platforms and 200 LCD screens) .
The partnership aims to continue delivering the highest international standards of metro advertising as STDecaux will invest strongly in digital in the next years from long-term campaigns booked by brands to the digitalization of assets to create digital networks across the City of Shanghai. STDecaux will also invest in data and software to be able to automate and sell by targeted audience & impressions.
JCDecaux is present in 12 Chinese cities across metros, bus, airport and city street furniture and operates the advertising for 47 metro lines in Shanghai, Beijing, Guangzhou, Chongqing, Hong Kong, Nanjing, Suzhou and Tianjin reaching 35 million metro passengers every day in 2021.
Guangyao YU, Chairman of Shanghai shengong Metro Group said: “We are very glad to have cooperated with JCDecaux for the past 15 years during which both sides have jointly created strong value to Shanghai Metror advertising as well as excellent show cases leading to numerous nationwide recognition for our business partners. Together, we have brought some remarkable achievements to fruition. Shanghai Metro has always been a pioneer in high quality development and promoted the strategic goal of “domestic leadership and world class standards” in all of our construction and operations endeavors. It has always adhered to the business philosophy and values of common and joint development and has supported and encouraged STDecaux, our JV with JCDecaux, to innovate and be a trend-setter on the Shanghai metro platform. In 2018, Shanghai Metro and JCDecaux took the lead in reaching a consensus on the digital transformation of outdoor advertising, and STDecaux is now clearly a pioneer in global DOOH and has become, after 15 years of cooperation with JCDecaux, a leader in the advertising industry. We have not only elevated advertising in Shanghai metro into a leading world class advertising medium, we have added extra depths and dimensions to make it an integral part of urban cultural development. Today, Shanghai Metro network has exceeded 800 kilometers and embarked on a new journey. We look forward to the renewed co-operation between shengong and JCDecaux to once again deliver new heights in business results and achieve new developments in the pursuit of excellence!”
Junming SHI，Chairman of Shanghai shengong Asset Management Company said: “We are very pleased to choose JCDecaux, the world’s No. 1 outdoor advertising company, as our media business partner. This further cooperation between shengong and JCDecaux reflects our respect and recognition for JCDecaux’s professionalism. We are full of confidence for our future cooperation, and with JCDecaux’s international experience and its impressive performance, we will continue to provide high-quality services to advertisers, an even better riding experience to passengers, and bring greater returns to both. shengong and JCDecaux.”
Jean-Charles Decaux, Chairman of the Executive Board and Co-CEO of JCDecaux, said: “We are delighted to renew and extend our collaboration with Shanghai shengong Meter for the next 15 years. This strengthened partnership underlines the success of the operational capacity of our teams in terms of commercial and extra-commercial activities including health, security & environment and the relevance of our joint-venture business model with the Metro since 2007. As the leader in metro advertising in China, we will continue to optimize the solutions offered to our customers through innovative technologies, notably via our ambitious digitalization plan. This will allow us to enrich the passenger experience in the Shanghai Metro and guarantee maximum visibility and efficiency for advertisers and their agencies.”
Key Figures for JCDecaux
- 2021 revenue: €2,745m (a)
- N°1 Out-of-Home Media company worldwide
- A daily audience of more than 850 million people in more than 80 countries
- 957,706 advertising panels worldwide
- Present in 3,518 cities with more than 10,000 inhabitants
- 10,720 employees
- JCDecaux is listed on the Eurolist of Euronext Paris and is part of the Euronext 100 and Euronext Family Business indexes
- JCDecaux is recognized for its extra-financial performance in the FTSE4Good (4.2/5), CDP (A Leadership), MSCI (AA) and has achieved Gold Medal status from EcoVadis
- 1st Out-of-Home Media company to join the RE100 (committed to 100% renewable energy)
- Leader in self-service bike rental scheme: pioneer in eco-friendly mobility
- N°1 worldwide in street furniture (530,143 advertising panels)
- N°1 worldwide in transport advertising with 154 airports and 215 contracts in subways, buses, trains and tramways (340,753 advertising panels)
- N°1 in Europe for billboards (72,611 advertising panels)
- N°1 in outdoor advertising in Europe (596,831 advertising panels)
- No. 1 in outdoor advertising in Asia-Pacific (232,268 advertising panels)
- N°1 in outdoor advertising in Latin America (64,893 advertising panels)
- N°1 in outdoor advertising in Africa (20,808 advertising panels)
- No. 1 in outdoor advertising in the Middle East (14.177 advertising panels)
(a) Adjusted revenue
For more information about JCDecaux, please visit jcdecaux.com.
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07-25-2022 # Shanghai Metro_UK