China Financial Software and Financial Information Service Industry Report, 2010-2012

【Abstract】：
 
Chinese financial software market covers banks, insurance companies, finance companies, asset management and trust companies.

Characteristics of China financial software industry:
1) Customers are highly concentrated, and a considerable number of clients are featured with obvious nationalization; as the competition pattern is quite dispersed, software companies have weak bargaining power in negotiation;

2) Most of enterprises focus on undertaking projects instead of selling standardized software products. They generally use different technology for different clients, but have a labor-intensive inclination, and will encounter management bottlenecks when they reach a certain size.

Financial information service sector is the foundation of modern financial service industry and a source of financial innovation. In the countries where financial markets are mature, financial information services involve considerable staff and capital. China financial information service industry commenced in 1990s; constrained by the capital market, it was in the incubation stage before 2005 and the overall development level was low.

In 2009, Chinese Internet financial information market valued RMB2.18 billion, with the average annual compound growth rate of 45.9%. Currently, the industry has reached a certain scale, with many leading companies such as Great Wisdom, Wind Info, East Money, China Finance Online and so on. Several financial information service companies have entered the capital market and continuously enriched their products, with the major products such as financial information terminals, financial websites, BBS and trading software. In 2012, the financial information service market targeting institutional users will value about RMB4 billion potentially. The potential market aiming at high-end individual investors will value over RMB3 billion, while the potential market aiming at medium-end individual investors will value nearly RMB1.5 billion.

In China financial information service industry, most companies have adopted the "Data Terminal (B2B + B2C) + Website Platform + X" business model. China Finance Online and East Money started from website platforms, but then developed towards data terminals. Hithink Flush and Wind Info established 10jqka.com.cn and Windin.com respectively to improve the platform user stickiness. As for data terminals, Hithink Flush, Great Wisdom and East Money in B2C field have developed or will develop data terminals for institutional users, while Wind Info that always focuses on institutional clients launched “Windin Financial Terminal" for individual investors.

In revenue composition, data terminals are the main income sources. Only East Money obtains over 30% of its revenue from advertising. Advertising impacts the end-user experience of data terminals, so advertising revenue is currently gained primarily through website platform, and most companies will apply advertising resources to their own data terminal business first.

【Table of Contents】 

1.1 Financial Software
1.2 Financial Information Services

2. Development of Banking IT in China

3. Development of Securities IT in China

4. Development of China Financial Information Service Industry

5. Financial Software Companies in China
5.1 Hundsun Technologies
5.1.1 Profile
5.1.2 Financial Products
5.1.3 Operation
5.1.4 Strategy
5.2 Kingdom Sci-tech
5.2.1 Profile
5.2.2 Financial Products
5.2.3 Operation
5.2.4 Strategy
5.3 Hyron Software
5.3.1 Profile
5.3.2 Operation
5.3.4 Strategy
5.4 Shenzhen InfoTech Technologies
5.4.1 Profile
5.4.2 Main Products
5.4.3 Operation
5.4.4 Strategy
5.5 Yucheng Technologies
5.6 Global Infotech
5.7 Camelot
5.8 Longtop

6. Financial Information Service Companies in China
6.1 Great Wisdom
6.1.1 Profile
6.1.2 Operation
6.1.3 Strategy
6.2 Hithink Flush Information Network  
6.2.1 Profile
6.2.2 Operation
6.3 East Money
6.3.1 Profile
6.3.2 Operation
6.4 China Finance Online  
6.4.1 Profile
6.4.2 Operation
6.5 Wind Info
6.6 HeXun
6.7 QianLong

【Figures & Tables】

Classification of Banking IT Investment in China, 2009
Market Scale of Internet Financial Information Services in China, 2005-2011
Number of Financial Information Service Institutions in China, 2010-2012
Number of Medium and High-end Individual Investors in China, 2008-2012
Employee Structure of Hundsun, 2008-2010
Software Subsidiaries of Hundsun
Securities Solutions and Products of Hundsun
Fund, Insurance and Trust Products of Hundsun
Banking Products of Hundsun
Operating Revenue and Net Income of Hundsun, 2007-2011Q3
Operating Revenue of Hundsun by Product, 2008-2010
Operating Revenue of Hundsun by Industry, 2008-2010
Operating Revenue of Hundsun by Business, 2010
Key Clients of Hundsun, 2010
Revenue and Net Income of Hundsun, 2011-2013E
Employee Structure of Kingdom, 2008-2010
Products of Kingdom
Operating Revenue and Net Income of Kingdom, 2007-2011Q3
Operating Revenue of Kingdom by Region, 2008-2010
Operating Revenue of Kingdom by Business, 2008-2010
Operating Revenue and Net Income of Kingdom, 2011-2013E
Employee Structure of Hyron
Subsidiaries of Hyron
Operating Revenue and Net Income of Hyron, 2007-2011Q3
Operating Revenue of Hyron by Industry, 2008-2010
Operating Revenue of Hyron by Region, 2008-2010
Operating Revenue of Hyron by Client, 2010
Operating Revenue and Net Income of Hyron, 2011-2013E
Employee Structure of Shenzhen InfoTech Technologies
Customer Penetration Rate of Shenzhen InfoTech Technologies in Banking Imaging
Business, 2010
Operating Revenue and Net Income of Shenzhen InfoTech Technologies, 2008-2011Q3
Operating Revenue of Shenzhen InfoTech Technologies by Region, 2008-2010
Operating Revenue of Shenzhen InfoTech Technologies by Business, 2008-2010
Market Scale of Banking Imaging Software in China, 2010-2012
R & D Expenses of Shenzhen InfoTech Technologies, 2009-2010
Operating Revenue of Shenzhen InfoTech Technologies, 2011-2013E
Key Clients of Yucheng
Operating Revenue and Net Income of Yucheng, 2009-2011H1
Business Structure of Yucheng, 2011H1
Financial Software Products of Global Infotech
Banking IT Revenue of Global Infotech, 2008-2009
Operating Revenue of Camelot by Business, 2007-2011H1
IT Technicians of Camelot by City and Business Support, 2010
Operating Revenue of Longtop, FY2010-FY2011Q1-Q3
Operating Revenue of Longtop by Client, FY2011Q1-Q3
Key Financial Information Service Companies
Acquisitions of Financial Information Service Companies, since 2006
Business Development of Key Financial Information Service Companies
Proportion of Data Terminal Revenue of Some Financial Information Service
Companies
Employee Structure of Great Wisdom
Key Products and Annual Fees of Great Wisdom
Operating Revenue and Net Income of Great Wisdom, 2007-2011Q3
Business Structure of Great Wisdom, 2010
ARPU of Great Wisdom, 2007-2009
Number of Daily Online Users of Great Wisdom’s PC Terminal, Jul 2007-Sep 2010
Operating Revenue and Net Income of Great Wisdom, 2011-2013E
Employee Structure of Hithink Flush, 2009-2010
Key Products and Annual Fees of Hithink Flush
Operating Revenue and Net Income of Hithink Flush, 2007-2011Q3
Operating Revenue of Hithink Flush by Business, 2009-2011H1
Progress of Projects of Hithink Flush, 2011
Operating Revenue and Net Income of Hithink Flush, 2011-2013E
Proportion of East Money’s User Traffic in Vertical Financial Websites, Apr 2011
Proportion of East Money’s Effective Viewing Time in Financial Websites of Its
Kind, Jan-May 2011
Operating Revenue and Net Income of East Money, 2007-2011Q3
Operating Revenue of East Money by Product, 2008-2010
Gross Margin of East Money, 2010-Jun 2011
Operating Revenue and Net Income of East Money, 2011-2013E
Number of Active Paying Users of China Finance Online, 2009Q3-2011Q2
Operating Revenue and Net Income of China Finance Online, 2009Q1-2011Q2
Business Structure of China Finance Online, 2010Q2-2011Q2
Key Products and Annual Fees of Wind Info
Operating Revenue of Wind Info, 2006-2010
Financial Institutions Cooperating with Hexun
Number of Unique Visitors of Hexun, May-Oct 2011
Per Capita Pageviews of Hexun, May-Oct 2011
Subsidiaries of Qianlong
Key Software Products of Qianlong
Operating Revenue and Net Income of Qianlong, 2007-2011H1
Operating Revenue of Qianlong by Business, 2008-2011H1