Razorfish - Royce Lee on Understanding Digital China

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Understanding Digital China Royce Lee

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Big Idea 4: Understanding Digital China was delivered by Razorfish's Royce Lee on April 22, 2009, at the 9th Annual Razorfish Client Summit (#rzcs on Twitter).

Transcript of Razorfish - Royce Lee on Understanding Digital China

Page 1: Razorfish - Royce Lee on Understanding Digital China

Understanding Digital China

Royce Lee

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Page 2© 2009 Razorfish. All rights reserved.

WHAT IT MEANS TO MARKETERS

Keep in mind that those top tier 1 cities only account for less 10% of the total internet population.It is important to craft your internet strategy according to these different consumer needs.

TIP #1 The Multiple Faces of China

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TIP #2 In China, Internet is equal to trust

TRUSTWORTHY MEDIA CHANNELSHere is a list of different forms of communication. How much do you trust each of them?

Recommendations from friends and family

Consumer product review from website

Product labels on packaging

Expert product review from website

Consumer opinion in blogs

Independent reviews in publications

Consumer opinion on message boards

Consumer opinion in chat rooms

Manufacturers / brands websites

Email newsletters

Magazine ad

TV ads

Products/brands that appear in movies or within TV programs

Ads that appear on search engines

Newspaper ads

Radio ads

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WHAT IT MEANS TO MARKETERS

Yes, it is not pretty, but it is very functional and practical. When marketers try to build their websites, they should always balance between the needs from top cities and those from less advanced ones (tier 1 and 2).

Remember, content is still king for Chinese, especially in text.

TIP #3 Style or Culture? Why Portals look “busy” in China

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TIP #4 Digital Measurement is Different due to Business Climate

WHAT IT MEANS TO MARKETERS

Be persistent. Keep asking your agency to push publishers to implement third party tracking, such as Atlas. At least something basic, like clicks. This little step actually makes huge difference in your marketing decision, but be ready to have surprises

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WHAT IT MEANS TO MARKETERS

Be open and creative. Understand how your partners’ needs can give you some advantage.

For instance, if you are from Levi’s, you may offer the right for QQ to “manufacture” virtual versions of your latest jeans to sell to members in exchange for more advertising dollars and exposure.

This may explain why many Chinese publishers prefer to give out inventory as a “bonus” to their partners, instead of aggressively selling.

TIP #5 Investing in Guanxi (Partnerships)

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WHAT IT MEANS TO MARKETERS

Many marketers are closely monitoring this trend, and some have even started doing their own eCommerce experiments.

For instance, Nike launched its NikeiD in 2007, Nestle plans to launch the first eCommernce site for Dreyers, and Dell has even built an eShop in Taobao.

TIP #6 Consumers are Shopping Online

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WHAT IT MEANS TO MARKETERS

With the 3G launch in 2009, expect to see more mobile usage in China. Studies show that teenagers are no longer checking their email regularly, instead they connect to their friends either through a social network (like Kaixian) or mobile. Crafting a strategy where users live in the digital world is key.

TIP #7 Mobile is Bigger than the PC

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WHAT IT MEANS TO MARKETERS

Search is important. While many marketers are focusing on doing Paid Search, you may want to take a more “holistic” approach in terms of a Search Strategy in China.

TIP #8 Search Beyond Google

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WHAT IT MEANS TO MARKETERS

Like Search, social media is going mainstream in China. Communities are actually welcome to interaction with brands, and often come up with good opportunities.

TIP #9 Social media as Validation

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WHAT IT MEANS TO MARKETERS

Branding is important, so marketers need to build their brand before others can copy their products. Also, be really flexible and open, in order to succeed in China- or you will get duplicated and replaced.

TIP #10 Pay Attention or Get Replaced

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Thank You

Royce [email protected]