Keeping Up with China: Latest Market Updates and News

iFlytek demonstrates new AI writing tools based on its own language model, claims it outperform ChatGPT

 

With the release of its own AI language models and associated applications, iFlytek is continuing the contribution of Chinese tech companies to the global AI development initiative sparked by ChatGPT.

An artificial intelligence writing tool called the iFlytek AI Writer aids users in quickly creating articles based on given information and prompts. On May 6, the product had its initial release.

According to the chairman of iFlytek, the model has surpassed ChatGPT in the areas of Chinese long-text generation, medical knowledge, and mathematical prowess but still falls short of ChatGPT in this area.

Three upgrades will be made to the model soon. On June 9, the model will be improved with code and multimodal interaction skills, and on August 15, it will be improved with open-ended question, multi-round dialogue, and mathematical ability capabilities. He added that by October 24 the model will be on par with ChatGPT’s current level in English and surpass ChatGPT’s current level in Chinese.

https://technode.com/2023/05/10/iflytek-demonstrates-new-ai-writing-tools-based-on-its-own-language-model/

 

 

Xiaohongshu tests new feature enabling influencers to add shopping links to posts

 

As part of its push towards e-commerce transactions, Xiaohongshu is enabling a select group of merchants to invite platform influencers to include shopping links when they post recommended content.

Instead of connecting to external e-commerce platforms, the links are directly connected to stores within Xiaohongshu.

In January 2021, the feature was initially accessible to all platform creators, but it was removed six months later due to “unsatisfactory link conversion rates.”

Xiaohongshu, which is frequently compared to Instagram, has been refocusing on e-commerce in recent months. It tested a group-buy feature last month and found success with livestream shopping earlier this year.

https://mp.weixin.qq.com/s/FTb_v-_vYsghkMr454iNtg

 

 

LinkedIn to shut China app, cut over 700 jobs

 

 

InCareer, the Chinese version of LinkedIn, will shut down its job board in August. Thanks to our strong China-based team, InCareer had some success over the past year, but it also faced stiff competition and a difficult macroeconomic environment.

LinkedIn stated in October 2021 that the Chinese-language version of its services would be discontinued due to “a more difficult operating environment” and “greater compliance requirements.”

Instead, the Microsoft-owned company introduced InCareer, a stand-alone employment app. InCareer had 57 million users as of July 2022 and was linked to 875 million members globally via LinkedIn.

700 employees in China will lose their jobs as a result of InCareer’s decision to change its business strategy and assist Chinese companies with recruiting, marketing, and training personnel abroad.

https://news.linkedin.com/2023/may/a-message-from-linkedin-s-ceo

 

 

Dazi culture in RED

 

 

Users of Xiaohongshu list the “professional” connections they require to expand their personal social network beyond simple acquaintances.

Recently, the “Dazi Culture” has become a trend on the internet. Finding a partner for a certain activity or pursuit—be it a study partner, a travel companion, a movie buddy, or a workout partner—is central to “Dazi” culture.

“Da Zi” is a colloquial term for a friendship. They do provide a relationship that people are eager to have, especially when you just want someone to eat or shop with but not share your most private secrets with. Despite the fact that they are not close friends.

“Da Zi” may be the reason why young people associate with one another because they have common interests, taste, or preferences.

The “Voice Live” feature, which focuses on voice social networking and lets users create open rooms and have conversations with random people about a variety of topics of interest, was internally tested by Xiaohongshu in October.
In February this year, 小红书 launched a “group chat” function, continuing to break the reality-based social networking model of acquaintances and connecting strangers by interests.

https://mp.weixin.qq.com/s/rWi4TqsjEsMSXrk7uLMtew

 

 

Balenciaga gives a nod to sustainability for 520 festival

 

 

Balenciaga, a luxury French fashion house, is leveraging Chinese Gen Zers’ growing passion for sustainability in advance of the 520 shopping festival (also known as Internet Valentine’s Day).

Chinese Gen Z consumers’ attention to brands’ social responsibility has emerged as a defining characteristic. With the recent launch of 500 new sustainable products on Tmall Luxury Pavilion, luxury brands have made sure to stay on top of this trend.

Along with the launch of the line, Balenciaga also published an interactive mini-program on the messaging app WeChat. On the microblogging platform Weibo, as of May 10, the hashtag “Balenciaga 520” had accumulated 17 million views.

Balenciaga gives a nod to sustainability for 520 festival

 

 

Chinese Tourists’ Spending In Europe Rises, But Visitor Numbers Remain Weak

 

 

The return of Chinese tourists to foreign countries began closer to home, with Asian locations like Thailand, Japan, South Korea, and Singapore emerging as early favorites, according to data from several Chinese travel agencies. Richer Chinese tourists appear to be among the first to travel back to Europe.

Chinese consumers now pay much more to travel to Europe, and demand is still below pre-pandemic levels. Those who do make these lengthy trips, though, are spending more money than before.

Europe will likely have to wait until the end of 2023 or 2024 to see the return of large-scale Chinese tourism.

https://jingdaily.com/chinese-tourist-europe-spending/

 

 

Lancôme spotlights Chinese ceramics in eye cream campaign

 

 

For the promotion of its Absolute Eye Cream, Lancôme examined the beauty of conventional Chinese ceramics. The campaign uses the restoration of old objects as a metaphor for rejuvenating sagging or aging skin.

Chinese consumers’ desire for goods that honor their country’s rich cultural heritage, both old and new. Foreign brands can take advantage of this trend with clever product design and local partnerships, making it far from the exclusive domain of domestic brands.

According to the study, half of Chinese women between the ages of 25 and 30 use anti-aging products like skin-lifting creams, serums, and eye creams.

Lancôme spotlights Chinese ceramics in eye cream campaign

 

Court Ruling Sparks Debate Over Promoting Work on Social Media

 

 

Luxury brands are embracing the concept of “virtual luxury” more and more in order to appeal to younger, digitally savvy consumers who value sustainability and one-of-a-kind experiences. To engage customers and create fresh opportunities for brand interaction, this entails using virtual experiences and products.

But the question still stands: Is authenticity still important in marketing? While virtual luxury might be alluring in the short term, brands shouldn’t discount the value of authenticity and quality when fostering long-term consumer trust and loyalty.

Given these trends, luxury brands should think about how to strike a balance between the advantages of virtual luxury and the requirement to uphold a strong brand identity and reputation. This might entail coming up with inventive ways to combine tangible goods and services with digital ones, all the while upholding the brand’s commitment to excellence and authenticity throughout.

https://www.sixthtone.com/news/1012863

Checking the performance of prior posts within the last 30 days is now possible in the WeChat backend, which is a new data point available.

Unlocking the Power of 520 Day: How Brands are Capitalizing on China’s Love Celebration

You might know Valentine’s Day, but what if we told you that there’s another love day in China, where people celebrate love by sharing gifts with their loved ones? Yes, it’s ”520 Day”. China has more romantic holidays than most nations, with Valentine’s Day falling on February 14, 520 Day falling on May 20, and the Qixi Festival falling on August 22 this year.

You should be aware of 520 Day if you sell gifts such as jewelry, watches, handbags, or even automobiles. Valentine’s Day might not be a big deal in China. Instead, that happens most often on May 20 also called 520. Because it’s a consumer-focused holiday with a significant online component and gift-giving as a core element, it’s crucial for retailers to be aware of it.

Let’s get to know more about 520 days and how marketers can take advantage of them.

What is 520 in China?

Chinese users began using the term “520” online to shorten the phrase “I love you,” much like English speakers do with “ILY” or “ILU,” which is how 520 Day got its start. This is because when spoken in Mandarin, the phrase “I love you” (wǒ ài nǐ) sounds very similar to 520 (wǔ èr líng).

In China, it is not a recognized public holiday. However, on this special Day, restaurants and movie theaters are much more crowded and expensive in the evening. Also contrary to Qixi festival which is deeply rooter in Chinese tradition, ‘520’ is a purely commercial holiday coined only in recent years. It doesn’t take any of its allure and fun!

💕 Why should brands include Qixi, the Chinese Valentine’s Day, in their marketing strategies?

Is February 14 not so important anymore?

Valentine’s Day this year appears to be less busy than in years past. Big luxury brands like Louis Vuitton, Dior, Gucci, and Balenciaga didn’t launch any related initiatives in China. Social media platform Xiaohongshu recorded only around 50,000 posts mentioning “Valentine’s Day 2023” as of February 13, slightly fewer than the same period last year.

The general public does celebrate Valentine’s Day even though the holiday’s origins don’t have much cultural resonance with local shoppers. However according to a Chinese survey, people prefer traditional Chinese romantic celebrations like the Qixi Festival and 520 Day to Valentine’s Day.

Valentine’s Day is unlikely to gain popularity in China as consumers turn toward their own cultural heritage and brands prefer to leverage guochao in their marketing communication. 

This dynamic explains why high-end businesses have made marketing around more regional events a top priority. For the following significant romantic festival, 520 Day, luxury players will probably go all-out.

 

How are the other brands doing it?

 

Balenciaga 5:20 video game hall

Last year, Balenciaga launched a campaign that featured a number of charitable endeavors and limited editions, all of which were offered on their official website and in physical stores. One standout was the “5:20 Video Game Hall,” a virtual arcade with pixel art and a lifelike soundscape that is currently available on the company’s WeChat channel until May 20. Alongside this, WeChat memes and 520-only profile pictures were made available for free download.

This year, the brand prepared a range of 520-exclusive products such as T-shirts and other accessories. These can be decorated using included garment marker. There is also a beloved gaming component but this time users become farmers growing virtual crops using regenerative agricultural techniques.

🎮Female Gaming – One of China’s Most Promising Trends

Balenciaga 520 Campaign China

Saint Laurent’s Tmall Super Brand Day

Since the beginning of its campaign on April 30 in conjunction with Tmall Super Brand Day, French luxury fashion house Yves Saint Laurent has amassed hundreds of millions of cumulative exposures online. 

The pink version of its Kate bag line was first introduced during the campaign. The color symbolizes love.

Saint Laurent has created an interactive 3D experience that enables customers to try on the various styles in an immersive setting. In addition to enlisting the help of celebrities and KOLs on social media. 

 

Special 520 products from Bvlgari

On May 1, Bvlgari launched a campaign to promote its 520 products, and to do so, it used Weibo’s pop-up advertisements to introduce Wu Lei as its 520 campaign spokesperson.

The first 1000 customers who spend more than 20,000 RMB between April 20 and May 20 will receive special 520 stickers. The first 300 customers who order 520 items online will also receive a special festival-related stamp in the mail.

 

Tiffany’s limited edition ruby necklace – “Blue is the Color of Love”

Tiffany presented a limited edition Tiffany Hardwear necklace set with rubies to commemorate Valentine’s Day this year. Olympic gold medalist and model Eileen Gu was the face of the luxury jeweler’s  advertising campaign.

Gu’s support for this cause has increased its social media engagement: as of publication, the campaign hashtags #ElieenGuTiffanytheColorofLove and #ElieenGuColorson on Weibo had amassed a combined viewership of 230 million, a sizable number for a commercial ad.

With comments like “mysterious,” “high-end,” and “gorgeous,” 99 million people have viewed Tiffany’s iconic blue box.

Tiffany 520 Campaign China Eileen Gu

“V” for love from Valentino

The Valentino Garavani 520 Mini Loc handbag campaign featured the letter “v” from the word “love” concealed inside the iconic logo of the accessory. 

The theme of the campaign was that love is a special declaration between two people. Along with this storytelling, the celebrity partnerships for the campaign received overwhelmingly positive reviews from online users.

One of the top 3 trending topics on Weibo on May 10 was the hashtag #LayZhangJessicaJung, which received 100 million views in a single day.

 

Maison Margiela’s “I love” twist locker

Margiela introduced Aa New Lock handbag exclusively in China. The piece made its debut in Maison Margiela’s Avant-Premiere Spring-Summer 2022 collection, embellished with pistachio green leather and an “I love” twist locker.

Multiple sets of character strings with associations to love can be found in the accessory’s twist locker’s special edition. When the bag is locked, the phrase “I love” is visible; when it is unlocked, a number of options are available, including “You,” “The Earth,” “My Cat,” and “Maison Margiela.”

 

Prada: Mathematics of Love

One of the first high-end companies to launch its 520 campaign in China was Prada. The “Mathematics of Love” campaign  examines love in the context of the post-pandemic era. It defines love as both universal and particular, timeless yet also linked to the present.

A special selection of 520 products are available through a WeChat pop-up shop.

 

​​Louis Vuitton: Treasure Hunt

Louis Vuitton released a 90-second short film on May 12 to commemorate 520 Day. The film shows a treasure hunt on the company’s monogram handbags led by the actress Song Jia and livestreamer Li Jiaqi.

Li’s on-screen persona is unusual for Louis Vuitton, which has traditionally favored celebrities with sizable fan bases; however, his endorsement seems to have greatly impressed netizens, as his Weibo campaign post garnered over 4.2 million views.

 

Diesel Taps Collectible 

Diesel and Dolores, a company known for its collectible toys, worked together to produce 520 Valentine’s Day figurines this year. 

The art toys come in three colorways: neon pink, neon green, and neon yellow. They feature Diesel’s Spring 2023 collection and its best-selling 1DR handbags. 

DIESEL 520 Campaign China

📅 Discover our China’s 2023 Marketing Calendar

Conclusion

Referencing well-known Chinese holidays or launching specific promotions can be a very effective way to engage customers. However, it’s equally crucial to ensure your messaging and imagery are culturally sensitive. Do not rely on stereotypes, or you run the risk of gravely offending your audience.

If you want to know more about the Chinese market and how we can help your business, contact our team. We use our knowledge and expertise to help businesses build meaningful partnerships and develop their networks among Chinese customers. For additional information, please contact us at contact@thewechatagency.com.