Examining Potentialities: Evaluating China’s Most Recent Advances

April 24, 2024

  1. JD introduces avatar of founder Richard Liu to promote goods in move to lure shoppers

  • The creator of the Chinese e-commerce business JD, Richard Liu, used an avatar that resembled him to debut his live streaming show on Tuesday. 
  • In less than an hour, the billionaire’s virtual twin propelled overall sales volumes to surpass RMB 50 million ($6.9 million), according to the company.
  • With significant investments in new markets, JD is finally attempting to take advantage of China’s online retail trend of fusing content forms with shopping. 
  • Liu’s rare public appearance, albeit through an extremely life-like avatar, demonstrates the urgency of change for the company as it plays catch-up to rivals that have cultivated high-popularity influencers over many years.

Link: https://technode.com/2024/04/18/jd-introduces-avatar-of-founder-richard-liu-to-promote-goods-in-move-to-lure-shoppers/

  1. Luxury brands take a bite of China’s bakery boom

American fashion house Michael Kors collaborated with edgy pastry connoisseurs Basdban to create a denim-clad patisserie filled with treats like croissants, eclairs, and coffee branded with the Michael Kors brand to celebrate the launch of its MK denim bag collection in Shanghai.

  • Michael Kors isn’t the first brand to tap into China’s sweet tooth with its foodie-focused pop-up. Across the mainland, the communal, relaxed appeal of the country’s bakeries has whet luxury’s appetite.
  • In January, Valentino Beauty teamed up with South Korean chain Butterful & Creamorous to take over the bakery’s Shanghai flagship store. 
  • Max Mara also capitalized on Butterful & Creamorous’ cultural success with its own installation last September. The campaign’s hashtag amassed over 44,000 views on Xiaohongshu.
  • For consumers, the appeal of the pop-ups expands beyond just tasty treats. The collabs are also satiating Gen Z’s appetite of embellishing their social media accounts with visually appetizing trends.
  • These collaborations arrive at a time when luxury is inching ever-closer towards the hospitality industry, as experiential marketing and lifestyle choices such as “xiaozi” (petite bourgeoisie) gain traction with consumers.

Link: https://jingdaily.com/posts/luxury-brands-take-a-bite-of-china-s-bakery-boom

  1. Third time’s the charm? Douyin relaunches seeding app Kesong

  • The new version of Kesong is created and operated by the team behind the likes of CapCut (剪映), ByteDance’s short-form video editing app. 
  • The new design of the app resembles a combination of Xiaohongshu’s layout and Instagram’s colour scheme. 
  • Kesong can provide a more lifestyle-centric community for the platform outside Douyin, but with access to Douyin’s pool of users and content. 

Link: https://daoinsights.com/news/third-times-the-charm-douyin-relaunches-seeding-app-kesong/

  1. How luxury brands can get into pole position with F1

  • All eyes are on motorsport Formula 1: average viewership doubled from 554,000 in 2018 to 1.11 million in 2023. It is a cross-cultural phenomenon, being increasingly leveraged by luxury brands.
  • After F1 confirmed a series of streaming partnerships with Chinese firms Tencent, Guangdong TV, and Shanghai TV in 2018, China was named as a “key market for Formula 1” by Ian Holmes, the company’s director of media rights.
  • From streetwear like Palace, to luxury watchmakers such as IWC and H.Moser & Cie, F1 is becoming a frequently-tapped franchise for its high cultural capital.
  • After a five-year hiatus, the Chinese Grand Prix returns on April 18 2024, so it is a good moment for luxury brands to utilize the mainland’s adoration for the sporting event — Lululemon, for example, has named the only Chinese F1 driver, Zhou Guanyu, as brand ambassador.
  • Brands want in on the extensive exposure that F1 offers, yet producing authentically cool collaborative collections requires a sophisticated understanding of cultural nuances and the fans who are watching.

Link: https://jingdaily.com/posts/how-luxury-brands-can-shift-into-high-gear-with-f1

 

  1. How Ami’s Suzhou runway and celebrity front row won Chinese fans

  • In an electrifying encore presentation, cult French fashion label Ami Paris took to Suzhou, China, on April 10 to showcase its Fall/Winter 24 collections (women’s, men’s, and accessories) amid the historical backdrop of the ancient Xiangmen Wall.
  • The hashtag “Ami’s Suzhou show” quickly climbed up Weibo’s Hot Search List, with 46.1 million views so far.
  • The brand’s Weibo livestream also reached over 3.55 million views, thanks to an impressive lineup of influential Chinese celebrities. Attendees from film and music included Bonnie Chen, Kara Wai, Daddi Tang, Jerry Yan, Peng Wan, Cheng’en Yu, Tony Yu, Cecilia Boey, Mika, Henry Lau, and Qin Li.
  • At the same time, the choice of location garnered approval of netizens and guests alike. Suzhou, often dubbed “China’s Venice” for its extensive canal system and UNESCO-recognized classical gardens, seamlessly blends heritage and modernity, providing a fitting frame for Ami’s design philosophy.
  • Teaser videos from the brand even zoned in on Suzhou’s historical setting and traditional culture, tapping neatly into China’s guochao, or national pride, trend — a move that so many brands have been attempting.

Link: https://jingdaily.com/posts/ami-suzhou-runway-celebrity-front-row-won-chinese-fans

  1. Xiaohongshu 2024 Spring Trend Report

Since the beginning of spring, more than 400 billion have been read on spring-related topics. Posts on spring-related content increased by 118% year on year. The users are more interested in fashion, culinary, photographic skill and destination strategy.

  • Discover spring in a unique manner: people may not always seek out popular destinations.
  • Experience spring in the park: people seek joy in local parks instead of distant travel.
  • Unlock outdoor activities: canoeing, hiking, fishing, biking are current trends.
  • Embrace spring with close ones: picnic with friends, park visit with mother suffering from Alzheimer’s disease were the hot topics.

Link: https://mp.weixin.qq.com/s/P7nWnmEXma5mpVExNommnw

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Uncovering Prospects: Examining the Most Recent Developments in China’s Market

October 31, 2023

Singles’ Day 2023: Retailers pursue low-priced strategies in hopes of consumers opening wallets

  • Chinese e-commerce companies are vying with one another to offer customers tempting discounts on Singles’ Day this year. However, the nation’s largest online shopping event has gradually lost its shine as promoting low prices has evolved into a yearly marketing tactic for companies that are having trouble reviving customer sentiment. 
  • As the 11.11 pre-sale period begins, up-and-coming retailers like Douyin and Kuaishou, as well as more established competitors like Alibaba and JD, are resorting to offering direct discounts to customers. This is because they still believe that the massive event will motivate customers to divulge their personal information and open their wallets, particularly in light of China’s uneven economic recovery.

LINK:https://technode.com/2023/10/24/singles-day-2023-retailers-pursue-low-price-strategies-in-hopes-of-consumers-opening-wallets/

 

Ctrip introduces a feature for booking restaurants abroad.

In addition, Ctrip announced that it will be in the Ctrip App and overseas version of Trip.com simultaneously online overseas restaurant booking function. The first phase covers more than 6000 restaurants in more than 1000 cities around the world. The Ctrip Group global partner summit was recently held in Singapore on October 26. During the meeting, the 2023 Ctrip Food Forest “global restaurant selection list” was released for Paris, New York, London, and other 24 cities overseas. 

Taobao uses an AI shopping assistant to prepare for Double 11.

For the first time this year, AI will be assisting Double 11 bargain hunters. Taobao Wenwen, Taobao’s integrated AI model, uses text understanding and generative capabilities to respond to user queries.

  • As part of the Double 11 special promotional period, the AI shopping assistant will combine product information with tips on the best discounts, giving shoppers added confidence in their decision-making.
  • The intention is to retain users who visit Taobao exclusively and discourage them from using Xiaohongshu, Baidu, and Douyin for recommendation-seeking purposes.
  • Other online reviews note that the recommendations given by the AI assistant sometimes do not correspond to the question asked and that the overall quality and coherence of the content need to be improved.
  • Taobao Wenwen’s user base is currently only 5 million, and many more will be required to train it before it can rival Xiaohongshu’s 190 million monthly active users as a reliable sidekick.

LINK: https://daoinsights.com/news/taobao-gears-up-for-double-11-with-ai-shopping-assistant/

 

What Brands Should Know About Singles’ Day 2023: China’s Version of “Black Friday”

  • Value innovation, or pursuing low cost and differentiation simultaneously, is this year’s winning Singles’ Day tactic for the luxury market.
  • Value lies in thoughtful packages supported by persuasive marketing narratives rather than aggressive pricing.
  • Discerning Chinese luxury consumers at a shopping festival will accept paying less for the same value or paying the same for more value.
  • AI improvements to customer interactions are being introduced in this year’s festival. It makes wiser purchasing decisions possible by deciphering intricate discount combinations.

LINK:https://jingdaily.com/chinas-black-friday-is-here-what-brands-need-to-know-about-singles-day-2023/

 

Internet addiction: China rolls out most comprehensive regulations yet

  • The regulations, which go into effect on January 1, 2024, ask technology companies and schools to work together to protect minors online by providing specialized intervention software and better internet literacy education.
  • ByteDance decided to implement an automatic “teen mode” on their popular video-sharing app Douyin in 2021 due to growing government scrutiny. This mode places limitations on the amount of time users can spend using the app.
  • The regulations, according to the statement, are designed to protect young people’s “physical and mental health” online from various threats, such as invasions of privacy, cyberbullying, and internet addiction.

LINK:https://daoinsights.com/news/internet-addiction-china-rolls-out-most-comprehensive-regulations-yet/ 

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Exploring WeChat Channels Backend: Features & Stats

April 28, 2023

WeChat Channels: In today’s digital age, social media has become an essential part of our lives. From personal to professional use, we all use social media platforms to connect, share, and grow. One such platform that has gained immense popularity in recent times is WeChat Channels. Channels are one of the most important features that Tencent plans to invest in this year. We wrote more about it in WeChat Channels: An In-Depth Look at the Statistics and the Future Plans.

One of the key features of WeChat is that it can be accessed both from the mobile and desktop levels. While the mobile version is ideal for content creators who want to create and share content on the go, accessing Channels through the desktop version offers more functions and a clearer overview of statistics.

Some of the key channel statistics that WeChat provides are follower metrics, message data, engagement metrics, average open rates, location and demographics, and content performance. WeChat’s channel statistics provide valuable insights for businesses to track their performance and make data-driven decisions to optimize their marketing and engagement efforts on the platform.

Let’s dive deeper into this to understand how the WeChat Channels backend works to take the utmost advantage of the platform for different business needs.

You can access it at: https://channels.weixin.qq.com/

 

WeChat Channels Backend Homepage:

One of the key features of WeChat is its desktop-level functionality, which allows users to schedule the publication of posts and view important daily data.

WeChat Channels Backend Homepage Desktop

WeChat Channels Backend Homepage

Upon logging into WeChat, users can see the most important daily data from the previous day. This data includes key statistics such as the number of views, likes, and comments on recent posts. This information is useful for businesses and individuals who are interested in tracking the performance of their content on the platform.

In addition to viewing daily data, users can also schedule the publication of their posts directly from the desktop. This functionality allows users to plan and prepare their content in advance, which can be particularly useful for businesses and individuals who want to maintain a consistent posting schedule.

 

WeChat Channels Content Management:

Preparing and scheduling social media content can be a time-consuming task for content creators. On the desktop backend of WeChat Channels, brands have the ability to prepare their posts and schedule them for publishing at a later time. This includes the ability to upload videos or create carousels of images, write engaging copy with relevant hashtags, add location tags, and schedule the post for a specific date and time.

WeChat Channels Backend Post Scheduling

WeChat Channels Backend Post Scheduling

In addition to these key features, brands can also add a short title for SEO purposes, helping to optimize their post for WeChat search engine and improve its visibility for the Channels algorithm. By carefully crafting the title and post description along with hashtags, content brands can increase the chances of their post being discovered by users who are actively searching for related content.

🏆 Explore top practices for WeChat Channels posting in WeChat Channels – How to Post for Success?

 

WeChat Channels Data:

The statistics page is where the most important information sits. We have access to all the data, including followers’ data, demographics, and post data. 

Firstly, we can see changes in the follower base. 

It is worth noting that following the WeChat Channels account requires a separate action to follow. As of now, official accounts where brands post articles although can be linked in many ways do not share the follower base pools. 

WeChat Channels Data

WeChat Channels Data

On this page, we can track changes in the follower base by different time ranges and actions performed. We can also see our followers’ demographics, such as gender, age, location, and system used.

 

Secondly, we can see data regarding our posts. By day and time periods, we can see total views, engagements, and source of traffic. 

For each unique post, we can see: 

  • Completion rate
  • Views
  • Average playtime
  • Engagements such as likes, recommendations, comments, shares
  • Set as ringtone

 These data points help content creators to understand what kind of content is resonating with their audience. This way they can optimize their strategy accordingly.

 

Other functions of WeChat Channels desktop:

In addition to the above data points, the WeChat Channels backend also provides other important functions. For example, live-streaming, e-commerce, comments, and private message management. These features can be linked with WeCom, WeChat’s enterprise communication and management platform. The heating tool is another useful function that allows content creators to boost views and increase exposure.

Live-streaming: WeChat allows users to live stream videos from their desktop. This feature can be used for personal or business purposes, such as conducting online workshops, tutorials, and product demonstrations.

🎥 Learn more about WeChat Channels Livestreaming in one of our most popular blog posts

E-commerce: WeChat has a built-in e-commerce platform that allows businesses to sell their products directly on the app. It allows for a seamless and instant shopping experience.

Comments and private message management: WeChat’s desktop backend allows users to manage their comments and private messages more efficiently. This feature can be used by businesses to improve their customer service and respond to customer inquiries more quickly.

Heating tool: WeChat’s heating tool is a feature that can be used by businesses to boost their views and increase exposure. This feature can be used to promote a business or product to a wider audience.

Explore our Beginner’s Guide to WeChat Channels

Conclusion:

In conclusion, the WeChat Channels backend is a powerful tool that provides valuable insights and statistics for content creators to analyze their performance and optimize their strategies. By leveraging this information, content creators can understand their audience better and tailor their content to engage and grow their followers. With the help of additional functions such as live-streaming, e-commerce, and heating tools, content creators can further enhance their presence on WeChat and achieve their marketing objectives.

If you want to know more about the Chinese market and how we can help create successful WeChat campaigns for 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.

 

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Chinese Marketing Updates

April 28, 2023

TikTok Parent ByteDance Battles Meta for Virtual-Reality App Developers

Developers who created virtual reality software for Meta Platforms are being offered payment by ByteDance Ltd. to port their programs to its rapidly expanding Pico headset line.

After experiencing lengthy delays in receiving distribution approval, some software developers have expressed frustration with the way Meta is reviewing new applications for its Quest headsets. Some developers claim that the business’s procedures lack precise guidelines, leaving them to eagerly anticipate the entry of new rivals. 

ByteDance acquired Pico, a B2B-focused company, in 2021 and changed its focus to B2C. Currently, the Pico 4 headset performs worse than the Meta headset and has a much smaller selection of games (300 vs. 500).

https://www.wsj.com/articles/tiktok-parent-bytedance-battles-meta-for-virtual-reality-app-developers-30ce091f

 

An interesting “mini” marketing strategy for the brand

 

The milk tea company “Diandian” has introduced the Earth Day mini cup to celebrate World Earth Day:

McDonald’s mini cone, DQ mini ice cream, and a Wuling small car that popularized the mini model have all used mini marketing to successfully penetrate various product markets.

Creating products that are larger than conventional, creating visual impact, and raising traffic topics when consumers are tired of brand and product cognition.Meet the market’s demand and expectations for weight loss, lightweight, and burden free products.

For current consumers, lightweight consumption and cute design in various aspects have become undeniable market trends, and product miniaturization is the simplest way to approach the trend.

https://mp.weixin.qq.com/s/R6FoptfmnOiLZPFMTh2uLw.  

 

Galeries Lafayette teams up with Hopson Group for luxury expansion in China

 

The new partnership aims to open ten stores in China by 2025. Future stores will carry independent Chinese designer brands in addition to well-known international ones.  

In order to convey “a certain vision of the French art of living in the heart of unique and selective multi-brand environments,” the joint venture will also concentrate on selling luxury brands in their upscale stores.

Through the partnership, both parties will be able to leverage their individual strengths to build a cutting-edge high-end department store company with a world-class buyer team and cutting-edge supply chain management system. 

Overall, the new partnership between Galeries Lafayette and Hopson Group marks a significant advancement in China’s luxury retail market. 

https://daoinsights.com/news/galeries-lafayette-teams-up-with-hopson-group-for-luxury-expansion-in-china/

 

Rivals Tencent Video and Douyin Reach Content-Sharing Agreement After Copyright Spat

 

Both parties have formally agreed to support content sharing, enabling users of Tencent’s well-known TV dramas to access them through the Douyin app without violating copyright. This is an intriguing development in the competition between China’s video and live-streaming apps, which are increasingly popular among Chinese consumers as tools for shopping and entertainment.

The collaboration may be an example of putting differences aside for the benefit of developing China’s tech and social media sectors. In the long run, it might also draw more users to the platforms.

https://jingdaily.com/tencent-douyin-content-agreement-copyright/

 

How Luxury Brands Are Courting the New Chinese Consumer As Shopping Tourism Resumes

Luxury brands are utilizing a variety of digital strategies, including e-commerce, social media, and live streaming, to connect with China’s extremely tech-savvy consumers. 

Personalized shopping experiences are created by luxury brands in collaboration with travel agencies as part of their key strategy for appealing to Chinese consumers.

By providing immersive, experiential shopping opportunities like in-store events and pop-ups, luxury brands are also leveraging the growth of the “experience economy.”

With features like personalized recommendations and augmented reality try-ons, Alibaba’s Tmall Luxury Pavilion and Luxury Soho platforms are playing an increasingly significant role in connecting luxury brands with Chinese consumers.

Additionally, luxury brands are taking action to address Chinese consumers’ concerns about sustainability and ethics in their marketing and business practices.

https://www.alizila.com/how-luxury-brands-court-chinese-consumers-shopping-tourism-travel-alibaba-lvmh-richemont/

 

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Weibo & Twitter: Are They Comparable?

May 26, 2022

Weibo is often called China’s answer to Twitter but is that actually true? Let’s dig into the specifics of both of the platforms and understand what Weibo is really about. 

With over 140 million active users, Twitter is one of the most popular social media platforms in the United States, and the platform was acquired by Elon Musk for $44 billion, about a month ago. In China, Weibo is regarded as Twitter’s equivalent. There are a number of Chinese microblogging sites. The most popular of these is Sina Weibo.

Unlike Twitter, Sina Weibo, which debuted in 2009, was not the first in this space. However, it has increased its user base during the last three years. 

Twitter Vs. Weibo: Features

  1. Rich Media
    Weibo:  Sina Weibo allows users to insert extra material such as photographs, videos, music, emoticons, and polls. The site also allows you to see links from video streaming sites such as Youku Tudou, without leaving the site.
    Twitter: Twitter, like Facebook, allows you to include video URLs in your tweets and reshare videos. It also allows you to download videos on occasion, but only at a very low level. Here, it might take a page from Weibo and implement a feature that allows users to view videos linked to tweets without leaving the platform, so increasing user retention. 
  2. Comment Threads
    Weibo: Weibo has capitalized on its platform’s social validation feature by making its comment thread user-friendly. You can see comments properly sorted out under a tweet with a single click. You can also include your @username in the comment to remind the audience about your brand and company. In this way, Weibo supports corporations in raising brand awareness.
    Twitter: Twitter, on the other hand, is still unorganized in that sector because you have to take the time out to browse and track who has responded to your tweets. The ones commenting on the tweets mix with other comments about different topics. The thread is sorted under one umbrella. 
  3. Trending Categorization
    Weibo: Weibo’s hall of fame is a dedicated page that tells you what’s ‘trending,’ similar to Twitter’s except for this one. Weibo dominates the trending game because it divides its trends into categories such as sports, entertainment, finance, and travel, making it more user-specific.
    Twitter: Since the hashtags that appear on a user’s feed are generally news or brand-related issues, Twitter has yet to categorize its trending hashtags based on user preferences. 
  4. Contests
    Weibo: Weibo includes a function called ‘event,’ which is the virtual equivalent of a party, but in sections (as usual). The feature aggregates everyone’s ideas, increasing engagement by a factor of ten. The Weibo event allows you to participate in local events, prized events, forum events, and other great events highlighted at the top of the website, as well as spark Weibo messages (weebs).
    Twitter: Twitter hasn’t yet reached this level of engagement, but it has managed to generate interest through contests and meet-and-greets with influencers. These sponsored contests have provided marketers with an exciting way to reach out to their consumers, but they could learn a thing or two from Weibo on how to organize it on a larger scale. 
  5. Number of Characters
    Sina Weibo, like Twitter, has a character limit of 140 characters. Nonetheless, it makes a significant difference. A Chinese character, like an English word, has a meaning. A string of 140 characters might mean a lot of different things. In English, however, each word consists of many characters. The 140-character constraint restricts the expression of thoughts. As a result, you cannot use extended words to explain complex concepts on Twitter. According to the most recent Economist research, Chinese is great for microblogging.

Twitter Vs. Weibo: Revenue

Twitter: At first glance, Twitter’s business appears to be in good shape. Its revenue increased by 7% in 2020 due to the pandemic but increased by 45% year over year in the first nine months of 2021 as those challenges faded.

Twitter’s total monetizable daily active users (mDAUs) increased by 27% to 192 million in 2020. It had 211 million mDAUs at the end of the third quarter of 2021, up 13% from the previous year. This expansion was driven by its expansion in other markets, particularly Japan.

However, Twitter became unprofitable in 2020 and continues to lose money in the first nine months of 2021. A substantial chunk of the losses was due to tax and legal charges, but they were also exacerbated by a 30% rise in staff this year.

Twitter also anticipates that the forthcoming sale of MoPub will cut revenue by $200-$250 million next year, making it more difficult to meet its target of producing more than $7.5 billion in annual revenue by 2023.

Weibo: Weibo’s income declined 4% in 2020 due to the pandemic, which lowered ad sales. Its live streaming business has also slowed. However, Weibo’s income increased 39% year on year in the first nine months of 2021 as those businesses recovered. Analysts anticipate a 37% increase in sales for the full year.

Weibo’s total monthly active users (MAUs) increased by less than 1% year on year to 521 million at the end of 2020. However, it concluded the third quarter of 2021 with 573 million MAUs, a 12% increase from the previous year.

Weibo, unlike Twitter, has been consistently profitable under generally accepted accounting rules (GAAP). Its net income fell 37% in 2020 but increased 10% year on year in the first nine months of 2021 as pandemic-related challenges faded. Analysts predict that its net income will grow faster in the fourth quarter and by 54% for the year.

They predict Weibo’s revenue and earnings to climb 12% and 29%, respectively, in the coming year, which is still outstanding growth for a stock that trades at only ten times forward earnings

Weibo Twitter

Conclusion

If you’re a business looking to expand globally, or considering entering the Chinese market for the first time, this article should be a good guide. Both Twitter and Weibo have their advantages and disadvantages, so there’s no one-size-fits-all solution here; instead, it’s a matter of researching your target audience and deciding which platform is best to your needs. It may even make sense to maintain a presence on both—if nothing else, that will allow you to reach customers at both ends of the spectrum.

Both platforms are popular worldwide, and their differences open avenues for different types of businesses. For example, Chinese businesses would benefit from a Weibo account to attract Chinese customers and global firms should rather create a Twitter account to attract customers worldwide.

Though the features of Weibo outnumber those of Twitter, and revenue for the Chinese platform appears to be increasing, it is still too early to determine whether Twitter will be replaced (or at least complemented) by Weibo. However, with Weibo’s recent development and expansion, it is certainly a unique alternative to Twitter. 

Read more about Weibo and its recent status here.

If you wish to know more about Weibo and other Chinese social media platforms, please contact our team. We use our knowledge and expertise to help businesses build meaningful partnerships and develop their network among Chinese customers. For additional information, please contact at contact@thewechatagency.com.

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China News for the Week

May 11, 2022

Top 5 Chinese Tech Firms Have Lost Nearly Half of Their Combined Market Cap in 2 Years

Why it matters: After two decades of phenomenal expansion, the top five Chinese tech behemoths have lost at least 46% of their total market capitalisation.

  • In April 2020, Apple’s valuation = Alibaba+Tencent+Meituan+JD.com+Pinduoduo the top five Chinese tech firms
  • In April 2022, Apple’s valuation = 49 top Chinese tech firms combined. Apple’s valuation has more than doubled while many Chinese tech firms’ valuation has decreased or stagnated

What are the reasons? 

  • A saturating local market
  • Pandemic outbreaks
  • US-China trade tensions
  • Rigorous government regulations
  • The loss of the “upbeat spirit” of China’s business world.

Link: https://technode.com/2022/05/09/top-5-chinese-tech-firms-have-lost-nearly-half-of-combined-market-cap-in-2-years/

Chinese Internet Users Buy Fake Covers After Social Media Forcefully Reveal Their Locations

Why it matters: Chinese internet users are playing cat and mouse with the country’s social media sites, which have violated users’ privacy by requiring them to give their geolocation.

Many people have been surprised by the new rules. Many popular marketing personas with international pictures and selling qualities, for example, are demonstrated to be based in China.

As a result, several enterprises are now selling services that change IP addresses on e-commerce platforms like Taobao for as little as RMB 6 ($0.9) per day. Many of these businesses claim to be able to change location information (in Chinese) on platforms such as Weibo and Douyin.

Link: https://technode.com/2022/05/07/chinese-internet-users-buy-fake-covers-after-social-media-forcefully-reveal-their-locations/

Why Is Email Marketing Ineffective in China?

An email has never been popular in China in comparison to the West. Experian Market Services statistics from 2015, which examined email marketing success in selected Asia Pacific nations, showed that China’s total opening rate was barely 10.5%, compared to 33.1%  in New Zealand.

Chinese users check their emails 22% less frequently than users worldwide. Smartphones have mostly overtaken desktops as the primary computing device in China. The country was a late adoption of computers, and as internet cafés began to develop in the 1990s and early 2000s, young people began to engage with one another using social messaging apps such as QQ.

Email marketing frequently disappoints marketers because the majority of Chinese do not regularly check their personal emails (if they have one at all) and would expect the brands they care about to meet them in their native digital environment.

WeChat brand accounts are far more engaging than email and can provide information on several elements of the brand.

Link: https://daoinsights.com/opinions/why-does-email-marketing-not-work-in-china/ 

The Future of E-Commerce on Douyin and 5 Tips on How to Prepare

In China, TikTok is known as Douyin. With over 600 million active daily users, it’s a hugely popular short video app. That equates to half of China’s population.

Unlike TikTok, Douyin clearly integrates e-commerce. Douyin users can complete purchases within the app by clicking links within each short video. Douyin thus becomes a viable sales channel, perfectly adapted to impulse purchases.

Link: https://agencychina.com/blog/e-commerce-on-douyin-5-tips-how-to-prepare/ 

WeChat to Reveal Users’ IP Location on a Public Posts

WeChat announced on Friday that it will begin displaying users’ whereabouts when they post on a public account.

WeChat, which is controlled by Tencent, said it would soon begin testing the setting, which only applies to users of its “public platform,” where they can comment on news, essays, and other written content published by official accounts.

The new settings will show the province or municipality of Chinese users who post on public accounts. Posts made by users from other countries on public accounts will show the nation indicated by their IP address.

WeChat, which has over 1.2 billion monthly users, stated in a notification that the action targeted misinformation about “local and international hot-topic topics,” but did not elaborate.

Link: https://mp.weixin.qq.com/s/-utfIpLwq7Iq6GKqldKRhw

A Part of Gen Z Decides to Give Up Filters on Social Media

Posting on WeChat is becoming increasingly tiresome for many individuals. Typically, it takes them 5 minutes to take photos and 1 hour to edit them in Photoshop, plus they have to think of an interesting environment to write in. Finally, it appears to be extra labour.

As a result, as more people become dissatisfied with social media, they want a platform that is easier and less stressful. Then, all of a sudden, a new app becomes extremely popular. It’s called “BeReal,” and it was created in France.

Users cannot upload photos to this platform. Instead, they can only utilise the app’s camera to snap a live photo. Furthermore, the platform lacks a filter and editing tool, so users may only send original photographs. Furthermore, BeReal does not allow users to choose when they want to snap photos and share them. Instead, the system tells every user to perform everything at once. Every time, users have only 2 minutes to shoot photos and upload them before it is too late. BeReal wishes to save the most genuine moment in your life. Furthermore, you cannot choose not to be genuine because both of your phone’s cameras will be activated, allowing people to see both your face and where you are. Finally, there are no “like,” “share,” or “comment” buttons on BeReal; the only way to communicate with your friend is to take a picture of yourself and send emoji.

The concept of BeReal is that they want people to calm down and forget those annoying data, while just focusing on what is happening in real life. Perhaps because of that, BeReal suddenly became popular. In the first quarter of 2022, the number of users increased by 315%. And it has become the Top 4th app in America, France, and England, just behind Instagram, Snapchat and Pinterest.

In France, 80% of the users are Gen Z, mainly because they are tired of pretending and being identified by others. They are not afraid of being “ugly”, they just want to be themselves rather than live in other people’s comments.

Link: https://mp.weixin.qq.com/s/5L0JpmtmXZ-j7Va2sVB-xQ

Glamping Swept China’s Social Media This Labor Day Holiday

Because of the COVID-19 control measures and continued domestic travel limitations, Chinese people spent their Labor Day holiday this year on short getaways and staycations. The most popular topic these days is “glamping” (glamorous camping). According to Ctrip data, online traffic for “camping” reached a historic high on the first day of the holiday, and search volume jumped by 90% over the previous week. There are nearly three million campaign-related UGC (user-generated content) entries on Xiaohongshu, ranging from gear photos to the journey itself.

From January to April of this year, the number of participants on Ctrip was five times that of the entire year of 2021. In addition, the number of camping facilities has increased by 800% since this year.

Camping can be classified into two categories: luxurious camping and survival camping. The first emphasises quality, whereas the second emphasises the difficulty of surviving in the field. The most popular is luxury camping because most people prefer to explore nature rather than build a genuine fire. And those stunning photographs on social media have had a huge influence on individuals who have never gone camping before, making camping a new fashion trend among young Chinese visitors.

This brisk growth portends a bright future for the outdoor equipment and apparel business. According to Daxue Consulting, the sector would be worth $100 billion (666.8 billion RMB) by 2025. Luxury residences were eager to seize this opportunity. Prada debuted its Outdoor Collection last year, a distinctive ready-to-wear line inspired by the great outdoors.

However, this part still has many obstacles, such as style, functioning, colours, activities, and so on. Players in this game should think outside the box and be more creative while maintaining quality.

Link: https://jingdaily.com/glamping-labor-day-china-prada-beast/?utm_source=Jing+Daily+Subscriber+List&utm_campaign=069f57ad7b-EMAIL_CAMPAIGN_2020_03_12_06_39_COPY_01&utm_medium=email&utm_term=0_8dec01cd8d-069f57ad7b-40884038

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China Learnings This Week

March 28, 2022

Short Video Platforms to Deal with Stricter Rating Measures

Problems with fan circles, such as irrational fan support among young fans, have become a cause of concern for Chinese politicians. Setting up a classification system for short video platforms is one of the options that has recently been offered.

‘First, we should tighten content management and allow the media to fulfil its social role,’ Chinese officials stated. Second, market restraints should be increased to aid the return to the rationality of the star-making frenzy.’

Netizens praised the move, pointing out that short videos have a significant influence on young people today, and that many videos on platforms like Kuaishou focus on attracting attention but neglect quality.

Last year, China saw certain limits come into effect when a notice was published in September 2021 forbidding TV and streaming platforms from running idol training shows – competitive reality shows that pit future stars against one other, with the victors going on to become China’s newest idols.

Link: https://mp.weixin.qq.com/s/8t7aaiOj0j1OhHSIwffFqA 

 

How to Make Your Brand Go Viral: Branded Mini-Movies in China

Mini movies are short cinematic pieces created for a particular product or brand. The duration is generally shorter than 30 minutes. With the advancement of new media technologies, the branded mini-movie was formed, and it has become a popular marketing tool in recent years.

The purpose of a branded mini-movie is to disseminate information in order to demonstrate the brand’s values and messaging for commercial purposes. Touch and Go, a 90-second Cadillac commercial mini-movie starring Daniel Wu and released in 2010, is credited with being China’s first branded mini-movie.

Many brands have turned to mini-movie marketing as a regular activity in recent years, and some have even developed their own mini-movies. Alibaba Pictures, for example, was launched by Alibaba in 2014.

One of the most popular mini-movies was  What is Peppa? (啥是佩奇?) video with several hundred million views across streaming media platforms and the Chinese hashtag for #WhatIsPeppa was viewed nearly 1.5 billion times on Sina Weibo soon after its release.

Link: https://daxueconsulting.com/branded-mini-movies-in-china/ 

 

Video Account Has Added Useful New Features

  1. The service menu can be added to the WeChat Channels

Recently, brands that have received certification have been able to add a “service menu” capability to their home page, allowing for a straight jump to a mini-program.

At present, several WeChat Channels have added new service menus, and different types of accounts can customize the service setup. For example, the Channel 丁香医生 has two service sections and Huawei Customer Service features six service sections for contacting customer service, store inquiries. etc.  It can more effectively reach users and improve their convenience.

  1. Paid live-streaming rooms on WeChat Channels

Previously, Tencent NBA WeChat Channel hosted first paid live broadcast room, which carried NBA regular season content. The brand can create a paid live streaming room where users can choose what they want to view.

  1. The relationship between WeCom and WeChat Channels getting closer

WeCom added an option to send, receive, and watch the WeChat Channels live broadcasts, as well as send and receive live broadcasts from customers and publish them to customers’ friends’ Moments. The current version of WeCom now supports the direct push of the channel’s business card, which helps to gain exposure of the brand and increase the number of WeChat Channels followers.

Link: https://mp.weixin.qq.com/s/VcPwp9lo_67PL1DG5Ck9kg

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China’s Latest Updates 

February 15, 2022

China’s first virtual magazine: a read in the Metaverse

Huasheng Media and Alimama have joined the newest Metaverse campaign in China. On February 9th, the two partners released MO Magazine, a virtual magazine that replaces traditional reading experiences with an immersive virtual reality environment.

This new medium is led by Ayayi, one of China’s most popular virtual KOLs, and Jing Boran, a Chinese actress, giving both hit figures even more clout in China while tapping into the need for Metaverse.

The digital area offers a futuristic sci-fi atmosphere in which spectators can learn about human civilisation in a digital museum that also includes an audio narrative about the earth’s evolution. This makes reading more engaging because viewers are not only players but also builders of the digital world, with the ability to contribute to the virtual “human evolution.”

Meanwhile, 88% of readers who completed the virtual reading were given a Metaverse Spaceship ticket, according to reports. In just two days, the virtual magazine has received over 400,000 views, with interest building when hashtags related to the launch of the magazine began trending on Weibo, attracting millions of views on the microblogging site.

Link: https://daoinsights.com/news/chinas-first-virtual-magazine-a-read-in-the-metaverse/ 

Shanghai Bans Effeminate Men, Money Worship in Commercial Ads

Shanghai’s market regulator released a new advertising rule on Wednesday, barring the representation of male characters in romantic relationships, effeminate men, and philosophies like money worship in commercials, among other things.

Advertisements are also barred from promoting ideologies such as “money worship, hedonism, extravagance, and soft pornography.” Also, to ensure that their communication is up to date, brands must be informed of new national and city-level legislation.

Link: https://www.sixthtone.com/news/1009633/shanghai-bans-effeminate-men%2C-money-worship-in-commercial-ads 

Alibaba: Consumption Trends for the Lunar Year of the Tiger

According to the short report, the event boosted ice and snow consumption when it coincided with the Olympic Games: over 1 million people visited the Olympic Games’ Tmall shop, and the mascot Bingdundun was sold out in one night.

In addition, there was a large increase in the sale of ski and ice sports equipment.

The festival became digital, ushering in a slew of new trends: Tiger-themed goods, such as backpacks, t-shirts, and caps, are quite popular. The search rate has climbed to 874%, while the number of people purchasing pre-cooked meals has increased by 345% via the Hema app.

Link: https://mp.weixin.qq.com/s/ZDzU2v1WeV7I42LkDeFSUg

WeChat: Keywords About the Lunar New Year of the Tiger

  • Over 5 billion WeChat hongbao with designed covers have been sent during the CNY, the total number of WeChat hongbao covers was 380 million.
  • The take out food order increased 13.8% compared to last year on New Year’s Eve and over 120 million people watched the Spring Festival Gala on WeChat Channels
  • The top 5 video themes on Moments were: fireworks, family reunion dinner, new year wishes, festival mood and count down
  • The Tiger welcome a new year was the top 1 WeChat status sticker 
  • Over 16 million coupons (over 800 million RMB) have been sent via WeChat pay and low carbon travel with Paperless boarding increased to about 82.3%

Link: https://mp.weixin.qq.com/s/FmxWAT-R8no-Gy-PxoL-9w

100 Keywords Forecast 2022

On January 27, 2022, Wunderman Thompson, a brand of WPP, released the future 100:2022 – trends and changes to watch in 2022.

This analysis projects 100 developing trends in ten categories in 2022, using 100 keywords: “culture,” “technology and innovation,” “tourism and vacation,” “brand and marketing,” “food and beverage,” “beauty,” “retail and business,” “new luxury life,” “health,” and “work.”

Brand and marketing 10 keywords:

Brandalism: In recent years, the advertising business has made significant attempts to achieve carbon net zero in its own operations. Activists argue that this isn’t enough and that the efforts pale in comparison to the carbon footprints of some of the advertising industry’s biggest clients.

“No matter how good the idea is, as long as it is to promote high-carbon products, provide misleading green packaging for oil companies, or use high-energy advertising screens, it is a kind of pollution and bad advertising.”

Co-creative platforms: The next generation of digital platforms puts the user in charge of their own creativity.

The new digital platform gives users more creative control, allowing them to take more initiative. They are a new set of creative people who meticulously develop virtual imagery, human designs, and self-expression.

Superfollowers: New in-app subscriptions on social platforms are allowing digital creators to monetize their work.

In terms of media content, social platforms are expanding to provide more than just amusement. Enhanced features and incentives to attract, gain, and keep a large following are fueling innovation and enriching social media dialogues for both producers and consumers.

Twitter, for example, allows authors to earn $2 to $10 per month by tweeting to their super fans; Twitter is also exploring business accounts to provide companies with special settings to display relevant information.

Branded virtual worlds: Gaming is increasingly displacing traditional advertising mediums, particularly among younger people.

As firms and marketers enter into this burgeoning field, expect to see more branded virtual worlds.

Allow users to compete in the virtual arena while wearing Nike apparel and equipment. P&G invites visitors to a virtual world where they may learn about the company’s product line, play games, and learn; BMW has established a virtual world that includes the IAA mobile 2021 International Auto Show and an exclusive Coldplay concert.

Users may learn about products, shop, and even watch movies in the virtual world thanks to SK-virtual II’s metropolis.

Euphoric ads: In brand advertising and engagement, happy moments are keeping spirits up.

Consumers value themes of optimism and unity, and businesses that emphasise these communal characteristics generate favourable responses from customers and increase involvement inside their branded communities.

Headless brands: A new wave of consumption creation is changing from the company’s control of the brand to the collective decision of brand, products and services

Regenerative brands: Across industries, more brands are stepping up to commit to regenerative practices, supercharging their sustainability goals.

Brands are acknowledging that doing less harm to the planet is no longer enough. Regenerating the world’s resources and repairing the damage is now the ultimate sustainability stretch goal.

New company manifestos: To stay culturally relevant and engage with today’s employees, companies are altering their internal brand messaging.

Companies are undergoing a rebranding process that aims to modernise internal rules to match today’s needs and prioritise employees. The move implies a new degree of regard for employee happiness and well-being, which necessitates a new level of understanding and empathy on the part of employers.

Dreamvertising: Brands and advertisers are looking to guide our dreams. 

77% of US marketers say they plan to use dream tech for advertising purposes in the next three years.

Augmented ads: With augmented reality, brands are taking their digital advertising to the next level.

AR ads are ushering in a new era of digital marketing and advertising—ads that people want to interact with.

To entice digital consumers, major brands are embracing augmented reality technologies to boost their digital advertising.

Link: https://www.oceanskycruises.com/sites/default/files/2022-01/The-Future-100-2022.pdf

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[UPDATE] Xiao’e Pinpin, a WeChat mini program

June 23, 2020

Xiao’e Pinpin joins Tencent’s eCommerce efforts letting WeChat users buy lifestyle products through WeChat

Tencent rolled out Xiao’e Pinpin, a new mini-program meant for social commerce on WeChat that Tencent has made available to all of its 1.1 billion users.

The mini-program went online on 29 April. It carries a giant catalogue of lifestyle products, including lipsticks and iPhones. This play marks Tencent’s most recent move in China’s e-commerce sector. Previously, Tencent had invested in tech companies like JD.com and Pinduoduo, as well as supermarket chain operator Yonghui.

Xiao’e Pinpin uses a “content feed” to showcase its merchandise. It shows one merchant’s product details which are followed by goods from a different vendor. Two slots are reserved at the top of the feed for special promotions. As of now, the mini-program hosts more than a 100 shops. Goods on sale are uncategorized, without any search functions. At the moment, it is unclear how the mini program’s algorithm determines the order in which products appear on feeds.

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Wechat: Kitchens specialist FRANKE chooses KRDS Shanghai as its agency on record

May 22, 2017

FRANKE, the world leader in comprehensive systems for domestic kitchens and for professional applications in food service that promises to bring confidence, convenience and comfort into people’s lives through innovation and quality service. Headquartered in Aarburg, Switzerland, the Group employs around 9’000 people at 68 subsidiaries on 4 continents, and exports to over 100 countries. Having made a decision to enter social media to reach out to their followers better, they had their official WeChat account launched in 2015.

 

WeChat being one of the frontrunner in China’s social media environment and a platform service where brands create a unique relationship with followers, content has to echo users’ daily concerns and bring value to them.

 

This is why FRANKE chose KRDS Shanghai as its social media agency on record for the year 2017-2018.

 

FRANKE appreciated the high quality of the proposal which reflected KRDS Shanghai’s deep knowledge of chinese netizen habits, its ability to react rapidly and make sure the brand stays on top of social media trends.

 

“We felt very confident when we met KRDS team, we trust their expertise and we value the fact that they listen to us. We feel we are a priority for them” – Pansy ZHANG, Marketing Director, Franke China

 

Aurélien FERRIE, General Manager Greater China at KRDS added “We are very proud of welcoming FRANKE as a new client. Being in charge of their social media and digital strategy and its execution, is great responsibility and one more opportunity for us to keep demonstrating our expertise and the value of our proposition“

 

Besides being a social agency, KRDS Shanghai is also capable of producing designs matching FRANKE’s Swiss premium brand standards thanks to its award-winning studio. These designs will include animations such as gifs, cinemagraphs aimed at increasing engagement among the brand’s followers.

 

Incorporated in 2013, KRDS Shanghai, the social and mobile agency has been ideating and producing digital content and social media campaigns, on Weibo and WeChat, for many local and international clients, to name few Club Med, Louis Vuitton, Air France, BNP Paribas, Biotherm and the French International Soccer Team.

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