© 2011 SinoTech Group (China) Limited �
The MulBple Faces of China �
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WHAT IT MEANS TO MARKETERS
As of June 2010, China had 420 million neBzens, and Internet penetraBon rate had climbed to 31.8% Keep in mind that those top Ber 1 ciBes only account for less 10% of the total internet populaBon. It is important to craP your internet strategy according to these different consumer needs.
© 2011 SinoTech Group (China) Limited �
In China, Internet is equal to trust �
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Recommenda5ons 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 publica5ons
Consumer opinion on message boards Consumer opinion in chat rooms Manufacturers / brands websites
Email newsleIers Magazine ad
TV ads Products/brands that appear in movies or within TV
programs Ads that appear on search engines
Newspaper ads Radio ads
TRUSTWORTHY MEDIA CHANNELS Here is a list of different forms of communicaBon. How much do you trust each of them?
© 2011 SinoTech Group (China) Limited �
Site Layout Looks Different
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WHAT IT MEANS TO MARKETERS
When marketers try to build their Chinese websites, they should always balance between the needs looking ‘good’ and looking ‘busy’ The visually clean sites of the West do not necessarily translate to Chinese sites. Note the layout of Sohu and Sina to the leP.
© 2011 SinoTech Group (China) Limited �
Measurement is Company Confidential
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WHAT IT MEANS TO MARKETERS
Many Chinese websites are resistant to place tracking code on their site but normally will provide you with some level of analyBcs. You may need to push the Publisher for click and impression data but given many Chinese sites now use commercial website analyBcs pla]orms it is freely available. Some Publishers just don’t like to share site informaBon outside their company.
© 2011 SinoTech Group (China) Limited �
Consumers are Shopping Online
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WHAT IT MEANS TO MARKETERS
Online shopping is a form of entertainment in China. NeBzens spend hours just browsing shopping sites and increasing buying online goods (cosmeBcs, clothing and electronics being among the most popular sectors Note: many Western brands are seang up ‘official’ Taobao shops.
© 2011 SinoTech Group (China) Limited �
Digital MarkeBng is MulB-‐Channel
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WHAT IT MEANS TO MARKETERS
Many marketers jump into a digital markeBng campaign and only posiBon ‘media buying’ as their online promoBons strategy. Chinese neBzens have diverse internet behaviors and respond/trust the various digital channels differently. Consider using mulBple channels at different points within a campaign to produce the most effecBve outcome.
© 2011 SinoTech Group (China) Limited �
LocaBon Based Services
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WHAT IT MEANS TO MARKETERS
LocaBon based services are slowly gaining interest with certain sectors. As a marketer you can leverage these pla]orms with some of these ideas; 1. Reserved parking spot for the Mayor 2. EscalaBng rewards for checking in and
bringing more friends along 3. The Mayor gets a free pass to the front of
the line. 4. Free boile of wine during the week of
your birthday — worth your age in dollars 5. Free round of shots for the Mayor — and
five friends 6. Free hotel room upgrade for the Mayor
© 2011 SinoTech Group (China) Limited �
Mobile is Bigger than the PC
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WHAT IT MEANS TO MARKETERS
Studies show that teenagers are no longer checking their email regularly, instead they connect to their friends either through a social network (like renren) or mobile. Having a mobile strategy is a must in 2011
© 2011 SinoTech Group (China) Limited �
Search Beyond Google
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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 “holisBc” approach and include SEO in your Search Strategy for China. Paid search and search opBmizaBon on Baidu is not the same as Google.
© 2011 SinoTech Group (China) Limited �
Group Buying
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WHAT IT MEANS TO MARKETERS
Group buying sites grew dramaBcally from 4 at the beginning of 2009 to nearly 1,700 by Dec 2010. With many of sites looking for unique offers and venues, marketers of parBcular brands can leverage these sites needs for fresh daily offers to achieve greater market awareness. 500 billion yuan (75.4 billion U.S. dollars) was made in group buying sector in China 2010
© 2011 SinoTech Group (China) Limited �
Social media is King
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WHAT IT MEANS TO MARKETERS
Like Search, social media has gone mainstream in China. Chinese neBzens are acBvely engaging on all forms of social media (such as SNS, BBS and micro-‐sites).
© 2011 SinoTech Group (China) Limited �
Pay AienBon or Get Replaced
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WHAT IT MEANS TO MARKETERS
China leads the world in developing duplicated products. You must always look at innovaBons to ensure you stay ahead or risk being replaced.