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15/04/2024

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By admin*

Thriving in the Chinese Market: Strategies for Business Success

marketing in China

The majority of top businesses are now aware that they must pay attention to marketing in China. Though it already has a sizable customer base, as Chinese consumers’ incomes continue to climb, the market has much more potential for doing business in China.

Many foreign companies have had difficulty acquiring the business necessary to thrive in China. They think that China is just an additional market for other countries to do business in China, and it does not merit the extra attention that some business experts think it deserves.

Also, with China’s great firewall in place, many foreign companies find it challenging to understand the Chinese market and practice marketing in China. Here are five marketing strategies for doing successful marketing in China.

Riding the Guochao for Doing Business in China

Guochao is a term meaning ‘national wave,’ which describes the trend led by Gen Z in making traditional Chinese elements fashionable. Every Chinese New Year, brands take their turn at incorporating Chinese culture into their product design, packaging, and marketing campaigns, but what’s different now is that the demand to include cultural elements is year-round. Guochao is becoming a crucial marketing element for companies in China and a big benefit for locally based Chinese companies.

Business in China: Embracing Adaptability

Successfully conducting business in China hinges on more than just offering quality products or services; it requires a keen awareness of the country’s distinct business environment. From navigating government regulations to building relationships with local partners, businesses must adapt their strategies to fit the unique dynamics of the Chinese market. This adaptability is critical to overcoming challenges and seizing opportunities in this dynamic landscape.

Getting the most out of social media for marketing in China

Chinese brands have been proactive in their digital marketing strategies, with WeChat emerging as a critical marketing channel.

With WeChat’s extensive features, including gamification and customization, brands have found innovative ways to engage with their audience. Moreover, one notable marketing in China trend on the platform is the increased emphasis on direct-to-consumer communication: brands have started engaging in closer interactions with their customers by inviting them to private group chats, creating a more intimate and visible connection with their followers.

Live commerce has become a crucial channel for online sales, combining live streaming and online commerce to enable real-time interactions and purchases during live streams. Platforms such as Taobao, Douyin, Xiaohongshu, and WeChat offer this functionality, empowering brands to tap into this growing trend. Consider partnering with a China marketing agency that can guide you through the intricacies of these platforms and help you develop an effective digital strategy.

marketing in China

Adapting to fast change and embracing an omnichannel approach

The Chinese market experiences changes and innovations at a very high frequency, and brands that want to compete in it successfully have to be ready to adapt to changes: agility is crucial for brands entering the market. The market changes at “what seems like daily frequency.”

Building on that, Chinese consumers are raising their standards of shopping convenience, expecting services and products to be available 24/7 and delivered as fast as possible. This is why most Chinese brands are focusing on improving their supply chains’ effectiveness.

The changing roles of online and offline sales channels

The speed of fast change is especially evident in the growing importance of digitalization in China. Almost 40% of Gen Z consumers in China stated they would browse apparel in-store but shop online, which underlines that the two fields play different but equally important roles. This pushes domestic brands to upgrade direct-to-consumer digital touchpoints and transform offline stores into seamless experiences.

Catering packaging to the digital world

Any restaurant, luxury clothing brand, or jeweler hopes to be ‘Instagrammable’ and cater their décor and products to capture the attention of cameras. However, in China, this trend extends to product packaging. Many Chinese brands that have arisen in the past few years have the social media economy in mind, not just as a marketing after-thought but in the product and packaging design.

Complementing their KOL strategy with KOCs

KOLs are considered a “must-have” for China marketing strategies. However, brands may get more bang for their buck by tapping into KOCs. For starters, KOLs are large-scale influencers, and their widespread influence can come at a hefty price. In contrast, KOCs are often regular consumers who don’t need payment to promote a product and will naturally share products they like.

What foreign brands can learn from Chinese brand’s marketing strategies?

It is all too easy for foreign brands to copy and paste their domestic market strategy for doing business in China. However, this approach is not effective in China due to the nation’s unparalleled digital ecosystem and unique consumer identity. Therefore, foreign brands need to conduct thorough market research before doing business in China, including studying the Chinese business culture.

Each business is unique, and market entry strategies should be tailored to individual circumstances and goals. With the right strategy from the Chinese marketing agency and a deep understanding of the Chinese business culture, businesses can thrive and make their mark in one of the world’s most promising business landscapes..

 

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