How to Run the Biggest Software Market in the World
Jane BianProduct Director, PC Stars
www.pcstars.com.cnwww.softwarelist.cn
www.baihui.com
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Company Profile31
Growing Software Market in China2
How to explore China Market? 33
What PC Stars Provides?4
Agenda
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Company Overview
Beijing Baihui Digital Stars Technologies Co. Ltd.(PC Stars) was founded in March, 2006. The company commits to be the biggest online software distributor and leading SaaS(software as a service) provider in China.
After 2+ years operation, PC Stars:
• 1,000,000+ registered and purchased home users
• 2400+ retailers and 200+ online partners towards the individual
• 1,000+ resellers, SPs, SIs towards the enterprise
• 5,000+ products from 600 global software suppliers
• 7 offices in China mainland
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SaaS IT products
B2C
Enterprise Individual
TitleP C Stars Business
Business Overview
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Business Model
PC Stars covers all distribution models:
Integrated Software Distribution for individuals and families
• e-commerce and retails, IT shops, chain IT malls
• The online distribution management system enable suppliers, distributors,
and resellers to monitor the progressing of the distribution in real time mode
• provide integrated marketing services to our suppliers and resellers, which
covers Ads, PR, Channel marketing, Promotion and soon on.
• 7*24 call center and live support
Online downloadable distribution via digital platform
• B2C website focusing on IT peripheral equipments and digital products such
as PCs, laptops, digital cameras, mobile phones…
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Business model
License online distribution for enterprise users
• work with 600+ global software suppliers and distribute 5000+ products to
enterprise clients by reseller, SIs, SPs.
• provide the service including marketing, sales, technical support, software
localization
• marketing campaign including product catalog, SEO, newsletter, forums
Online software service distribution through SaaS platform
• cooperate with one of top 3 online offices Zoho worldwide; provide online
office, CRM, online backup to the home users and enterprise clients based
on IT vertical search engine
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Growing Software Market in China
China Growing Software Market
Software industry
Internet Users
SMEs
SaaS
Compound rate reach 30% in coming 5years; annual revenue will reach $ 185 billion in 2010
Internet users grow from 59.1 million in 2002 to 212 million in 2008; online consuming will reach $ 74 billion in 2008
More than 20 million SMEs have great demands on software
Revenue will reach $ 5.8 billion in 2011, compound rate 43% in coming 5 years
CCW Research
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What’s the opportunities in China market?
• The revenue of software selling reached $ 28.5 billion in 2007,The
revenue of software selling reached $ 7 billion in Q1,2008 in China
market.
• GDP=$3.43 trillion in 2007, which grows 11.4% .
• More and more local companies seek overseas IPO, who should
abide Sarbanes Oxley, which creates a lot of opportunities for
software.
• The piracy rate is 80% in China market in 2007, but 90% in 2005, the
China government has taken a lot of actions protecting intellectual
property.
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The barriers for software vendors to enter China market.
• High cost of setting up a branch organization;
• Different market and users with different background of
culture and consuming habit;
• Making fit for business mode;
• Dealing with business affairs related to localization of
product/service;
• Establishment of integrated marketing system in China;
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How to explore China Market?
Localization of Product and Price
Long-term invest first, therefore harvest
Integrated Marketing Platforms and Capacities
Success in China
Trustworthy Partners with global view and localized capacity
Channel Network Establishment
Keep your way and profit in China, but choose a right partner first.
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What PC Stars provides for vendors?
PC Stars’ partner benefit
Service Reseller Distributor Exclusive distributor Publisher
Sales
Highlight products on PC Stars’ website
yes yes yes yes
Local software download service yes yes yes
Nationwide channel distribution services yes yes yes
Technical Support
Telephone support yes yes yes yes
E-mail support yes yes yes yes
Helpdesk yes Yes Yes Yes
On-site service yes yes
Marketing
SEO yes yes yes
Chinese official website yes yes
PR Promotion yes yes
Internet marketing yes yes
Media advertising yes yes
Market activities yes yes yes
Exhibition yes yes yes
Industry seminars yes yes
Localization Sale materials& datasheet localization
yes yes yes yes
Chinese version Yes Yes
Training Certificated Training to resellers and end-users. yes yes
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Part of Our Global Partners
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Our Partners of Online Distribution
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Successful Partnership for Kaspersky
Channels
Marketing
Service
SupportOthers
Web&Pack
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Market share in China/Global from1% to 15%+
is possible!
PC Stars can help you expand China market successfully.
Possibilities
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Questions
• Are you interested in China market? What is your next step?
• What partner in China is suitable for your business model?
• What’s the barrier for you in China market?