Western Perception vs. Chinese Reality: The China Way
-
Upload
australian-business-forum -
Category
Marketing
-
view
159 -
download
2
Transcript of Western Perception vs. Chinese Reality: The China Way
-
vs. Chinese realityWestern perception
-
Statistics are exciting
-
Chinas millionaires increased
67.2% in 20144,000,000 households**BCG 2014 wealth report
14 million people play tennis
of all consumption in China to come from young (G2) consumers by 2020
35%is the average age of super-rich in China51
students went abroad in 2014694,000
1.8%Luxury CPI
7 of the top 10 on the Hurun Rich List are popular bloggers
7/10
-
But when it comes to marketing in China, statistics can be a distraction
-
Behind the mind-boggling statistics China is a country as diverse as Europe, so you must consider: Regional culture
levels of developmenttastes
dialect
Business opportunities may exist away from the highly populated
megacities
-
New symbols & words every yearOn the Internet or mobile, 286 means you are slow or unresponsive; 886 means good-bye; 9494 means yes, I agree.
http://www.shanzhaimi.com/
The most popular and powerful new word so far is the word
Shanzhi
-
Until now, everything has a (Shnzhi) version, for it really symbolizes the vibrancy and complexity of the market.
-
Whats in a name?Auspicious names have a practical application
-
1.2 billion people are NOT your target audience
GUANGZHOU
SHANGHAI
BEIJING
-
QINGDAO
9 million
-
CHENGDU
14 million
-
In the west, its pretty simple.
In China, its not.
We identify our target audience and focus our efforts on them.
You need to consider and build relationships with multiple stakeholders because success or failure depends on a range of influences.
Different regulatory regimes
More invasive Government policy
Heightened cultural influences
Politics are considered when decision making
-
Where to focus your business and find the right market?
-
Opening the right doors to the China market
In the west this would be undue influence; in China, take this approach or youll fail.
Supporting a research chair
at an influential university
Participating in a regulatory
committee
In other words, know the right people
-
Red tape analysisYou need to get a grip on whats really happening
R 34 Provincial regions
2862 County-level regions
334 Prefectual level regions
42,000 Township-level regions
and even more at village level...
-
Hot topic on Baidu & new goverment policy
New policies and regulations creating business
Opportunities for international companies
Increasing complexity & compliance
Risk & reputation
Tracking water pollution
Go deeper & challenges are revealed
-
Competition is rising from homegrown brands
Local brands have moved a long way from the negatives of Made in China
Chinese people take pride in their countrys achievements
Understanding who and where competitors are is a major consideration
International brands are trusted in China but...
-
Who is Xiaomi?It released its first smartphone in August 2011. By the end of 2014, Xiaomi overtook Samsung becoming the largest smartphone vendor in China and third largest in the world.With a valuation at more than US$46 billion it became the worlds most valuable tech start-up.
What does this mean for us?
Will Xiaomi crush Samsung and Apple?
-
K
People believe in key opinion leaders, not the government or media.
-
Kai Fu Li50, 228, 741 followers
Ex Google and Microsoft head, Kai Fu Li is a very active and vocal technology blogger with over 50 million followers. Just a few positive tweets from Kai Fu Li can create a huge sway in shaping perception in the public.
Most influential KOL?
-
You need to be there
The pace of change is almost
incomprehensible for westerners
-
The 3 key success factors
Cairns Tourist Market | 15 April 2015
3Youll be invisible without a Chinese brand/company name
Position for relevance: localise your brand experience and marketing, while maintaining your brand integrity
Get local, up-to-date insights to base your strategy on1.
3.
2.
-
tThank you