Business Archives - HI-COM Translation Agency Shanghai Mon, 12 Aug 2024 03:30:29 +0000 en-US hourly 1 https://wordpress.org/?v=6.7.2 https://www.hicom-asia.com/wp-content/uploads/2022/02/cropped-logo-512px-32x32.png Business Archives - HI-COM 32 32 Trade Shows in China 2024 – How to Prepare your business https://www.hicom-asia.com/successful-trade-show-china/ Thu, 09 Nov 2023 06:53:53 +0000 https://www.hicom-asia.com/?p=11106 how to visit expo in china during covid

What do you need to know about attending trade shows and exhibitions in China post-pandemic? How can you make sure your company is ready to face the world’s most digitally advanced customers and partners? What are the every-day obstacles for foreign guests in China?  Let’s take a look together! Participation in trade shows and exhibitions […]]]>
how to visit expo in china during covid

What do you need to know about attending trade shows and exhibitions in China post-pandemic? How can you make sure your company is ready to face the world’s most digitally advanced customers and partners? What are the every-day obstacles for foreign guests in China?  Let’s take a look together!

Participation in trade shows and exhibitions is great for creating leads and sales, as well as getting exposure in your industry. Trade shows are also great sources of knowledge where you can learn what’s happening in your industry. Some of the participants of Trade shows in China are government officials, media, influencers, large retail buyers, and hundreds of thousands of different business representatives.

If you have attended trade shows in the past, you’ve likely seen just how much goes into them. Businesses have displays (from standard sample shelved to fully operational chef-stations or robotic-productions), promotion teams and locally hired extra staff on-site, free samples and gifts for attendees, stand entertainment, and of course business reps, ready to talk endlessly about their products. There are events that take place within trade shows as well as in addition to them. Some events are hosted by the trade show organizers (seminars, awards, etc.), some events are hosted by country organizers (dinners, breakfasts, online forums), and some are organized by the exhibitors (customer appreciation dinners).

With all this in mind, there is an awful lot to prepare before attending an exhibition. The same is true when preparing to attend an exhibition in China.

To ensure you have all your bases covered, follow this detailed checklist to help make the most of your time.


What are the differences in Chinese and Western Trade shows? Chinese trends and attention grabbers

Canton Fair, CIIE, SIAL, and CBIE are some of the biggest trade shows in China. In fact, the Canton Fair is so large that it has been split into 2 seasons (Spring and Fall), with each one taking place in 3 phases of 5 days. The surface area taken up by each phase is so large that it would take one person 8 days straight just to make a very brief visit to each booth. Of course, not all exhibitions are so large, but if you’re not organized beforehand, you may end up wasting valuable exhibition time on issues such as staying too far away from the site, or insufficient transport.

tech ai hostess for trade show expo china tech hologram for trade show expo china tech drone sky writing for trade show expo china

Trade shows in China have lots of similarities to the ones is the West, especially in terms of organization of space. Some of the main differences are the digitalization of every possible step, from registration and badge use (a photo of a QR code of your badge is normally enough for access to all areas), to contact exchange (having your own WeChat account is crucial for exchanging contacts), to vendor management (order and payment of printing, food, express delivery and so on).

When it comes to booth preparation, you would probably need to spend lots of time on the design of the meeting space. But don’t forget that what you actually do in your booth and how you behave will also be noted by the guests and will leave a longer impression in their hearts. To gain extra attention, businesses use costumes and models, lottery activities, games, and shows (cooking/playing instruments/high tech entertainment).

Needless to say, having a local partner or agency to smooth all those aspects for you can be extremely useful, allowing you to focus on what you came to promote: your core business.

Click here to enquire about business assistance for your coming trade show.


What do you need to know before you come to an exhibition in China? Preparing your team for that big business trip to China 

Personal necessities

In China there is generally no access to Google, Uber, Facebook, or WhatsApp.

You will need to make sure to get roaming when you arrive; even to access the airport WIFI, it’s necessary to have a phone number that works.

When you have a moment, download all the equivalent apps that you will need.

An alternative to Google that works well and is foreign-visitor friendly is Microsoft’s Bing.

Uber’s Chinese alternative is Didi; an English version of the app is also available.

WhatsApp is blocked in China, and people use WeChat. Make sure to add your most important contacts in China beforehand.

Maps – Google maps wont work in China but there are several other options.

If you are using your foreign SIM card with roaming – all the apps blocked by the firewall should work normally.


What can you do to promote your brand and your business in China?

Some of the larger brands host customer appreciation dinners or other events within the frame of exhibition, such as a standard dinner for existing and potential customers, or a lavish Business Awards evening.

Our Case study: 

The Pollock Group (Russian Fishery) together with Pacific Rim have been engaged in a few interesting activities as part of the China Seafood Expo 2023.

They have used the PR possibilities and tools (provided by HI-COM) to ensure their business audience would hear their name one more time. The PR list provided included 15 most reliable and business oriented media names in their industry (including China Daily, Xinhua news, China Business portal, Tencent news, China food, etc).

Media PR in CHina for exhibitions

Secondly, the company invited one of the most famous food influencers in Qingdao (where the expo was hosted), Hunrgy Monkey, to participate in an eating contest. His live stream generated more than 80,000 views.

KOL livestream at exhibition in China

And lastly, the the company hosted a Business Award banquet for 100 people. That event was created to celebrate the big return to the market and the end of Covid restrictions for their business. The event was greatly appreciated by their most loyal business partners and customers.

trade show in china dinner awards host trade show in china dinner awards2 trade show in china dinner awards trade show in china dinner 2 trade show in china dinner

Business necessities

Before coming to China for an exhibition, you might want to translate your marketing materials, invitations, thank you letters, and name cards. A professional translation agency like HI-COM can even arrange for prints to be delivered directly to the booth.

Getting an interpreter is another task that should be addressed before you arrive. Professional translation agencies (such as HI-COM) will be able to shortlist the candidates according to your criteria. You might want to talk to the interpreter by phone before coming to make sure your expectations are met. Changing an interpreter last-minute may backfire.

If your companyn is serious about the Chinese market, it is advised to register a corporate account on Chinese social media such as a WeChat official account. This will serve as a localized mobile website, and news and update center for your company, as well as a newsletter service for your clients in China.

Having a WeChat official account will also show prospective customers that you know all about your market, and are here to stay. HI-COM is here to assist you with this task.

How to use WeChat for Message blast (sending one message to several hundreds of people at once)

If you would like to send invitations or thank-you letters to all your visitors at once via WeChat, here’s how to do it.

Step 1. Prepare the image. It must be an image. The app supports one image per blast.

Step 2. Go to WeChat–>Me–>Settings–>General–> WeChat tools–>Broadcast Message

*If you can’t find this function, update your app to the latest version.

Step 3. Click on ‘Send now’ and select people you want to send the message to. Then choose the image.

Step 4. Send.


Taking care of your online reputation before coming to China

Chinese businessmen are known for their tendency to double check every bit of available information. So, when they see your product for the first time, they will Baidu it (search for results on Baidu, a local equivalent of Google). But fear not! There is a way to put their minds at ease.

Take matters into your own hands and start working on your e-reputation in China before your brand or your booth arrives here.

Working on your e-PR list and content to be showcased can significantly multiply your success in China. This can be done similarly to how you would approach it in the West, by outreaching to media outlets in your niche with proposed articles for publishing.

HI-COM can help you to handle this by providing:

  • PR List (suitable media)
  • Registration of WeChat account (or other social media apps)
  • Content creation in Chinese
  • Cooperation with Livestreamers, Bloggers, KOLs and other talents

Getting help on-site at exhibitions in China

Most companies arrange their booth with the help of the organizer. Design, furniture, and samples can all be handled by the country representatives of the host exhibition. However some companies prefer to have that personal touch, which means they’ll be looking to put in extra effort and set up differently. These companies would need a local partner who can assist not only in setting up, but also in assisting you at the time of the event. For small emergencies such as running out of business cards, a local partner like HI-COM can give you a hand in most situations.

What can HI-COM provide for your booth in China:

  1. Specialized interpreters in your industry, who can also serve as a travel assistant (arrange transportation, communicate with local exhibition staff and vendors, communicate with prospects, etc.)
  2. Marketing Materials (including localization of catalogues, invitations and thank-you letters)
  3. Interpreters for factory tours
  4. Exhibition follow-up – data processing
  5. KOL/Influencer coverage of your booth (inviting niche influencers to your booth and showcasing your products on social media)
  6. PR and Press cover on-site
  7. Models and Animators for your booth (depending on the product category, these talents can make a significant difference to visitors’ experience)
  8. Photographers and Videographers for the event (why not have professional materials for your website and social media?)
trade show interpreting trade show interpreting chinese

How to translate your marketing materials

It’s important to catch the attention of people passing by your booth. To do so, make sure your your materials are translated appropriately. More importantly, ensure your materials are localized to suit Chinese audiences.

This means not only having your content translated into the target language, but also taking an approach that will ensure your pictures and color schemes are not inappropriate. It is inadvisable to cut corners when translating and localizing your materials; after all, it’s your reputation that’s at stake here.

A professional translation agency is able to adapt your original brochures and technical data sheets into another language, modify the design and prepare it for printing. A competent agency will even deliver these prints to your booth.

Here at HI-COM, we only use native language translators and editors, ensuring a smooth workflow, high-quality output, and design!

Want to check if we are a good fit? Drop us a line!


Choosing and Working with Interpreters in China

During the trade show, it will be crucial to have at least one person on-site who can interpret or speak Chinese so that you do not miss out on opportunities to network. After all, your goal is to meet potential customers and influential attendees.

Don’t expect all of them to feel comfortable speaking your native language. Although more and more people in China are learning English, and will likely be able to have some simple conversations, when it comes down to negotiations and terms, you will want someone on your side who can understand what is being said, and also so that prospective customers feel comfortable discussing business in their own language.

When looking for exhibition interpreters, make sure you prepare your basic technical exhibition materials, hold interviews with potential talent, and make sure your exhibition interpreters are experienced, presentable and outgoing.

Here at HI-COM, we pay close attention to these criteria, and provide one of the most comprehensive Exhibition Interpreting Services in the industry. In our practice, we have provided interpreters for large and small businesses, summits, training courses and press conferences in Shanghai, Hong Kong, as well as numerous trade shows and exhibitions around China, France, Germany, Russia, Korea and other countries.

Take a look at HI-COM’s Exhibition and Summit interpreting portfolio!


Emergency management

If you run out of business cards, or realise you ordered last year’s prints, don’t panic! Your Chinese temp staff, or even interpreter, will manage to fix the situation. In China, exhibition halls are crowded with all sorts of vendors and printing agents. It is not recommended to fully rely on them, but in times of crisis they will be the ones to the rescue! Express name card printing will be available every day of the event, and will take 30 minutes to be delivered to your booth (of course, the highest quality paper may not be available in such a short space of time, but it will certainly be be better thank nothing).

The wall prints can be done in 2-3 hours and placed on your walls within 15 minutes.

But of course, keep in mind that a real emergency can strike at any time, so make sure that you and your team members have the necessary insurance.


What do you need to do for your brand/business after the show to maximize potential

Once the exhibition is over, the work doesn’t stop! Don’t miss your chance to follow up with the connections you made during the expo.

You can continue partnering with an agency to help translate your email marketing content and thank-you notes. Following up with your new contacts in Chinese is a thoughtful gesture, and an important aspect when building working relationships.

email collection chinese

Once you have decided to commit to a trade show, it’s time to start preparing. Your chances of new business are high if you are ready to meet new people, answer questions, and sell your products or services!

Need help with preparation or booth management? HI-COM, as always, is here for you! Drop us a line if you have any difficulties with your upcoming trade show in China, and we will be happy to do all we can to support your business needs!

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China markting strategy in 2023: avoiding mistakes https://www.hicom-asia.com/entering-chinese-market-things-brands-need-to-do/ Thu, 05 Jan 2023 02:20:09 +0000 https://www.hicom-asia.com/?p=5711 china market entry strategy

2023 is set to see China open itself up to more international businesses. What products will most likely succeed in this new landscape after China’s three years of relative isolation? One trend that does not seem to be stopping  will be the accelerated development of e-commerce technology. The launch of the digital RMB signals the […]]]>
china market entry strategy

2023 is set to see China open itself up to more international businesses. What products will most likely succeed in this new landscape after China’s three years of relative isolation?

One trend that does not seem to be stopping  will be the accelerated development of e-commerce technology. The launch of the digital RMB signals the government’s commitment to positioning China as the world leader in e-commerce infrastructure. Loosening regulations on the previously heavily scrutinized tech space has already initiated a rush of investments into big tech. Tech products, both hardware and software, will likely see healthy demand in China’s market in 2024.

According to the 2023 McKinsey China Consumer Report, during China’s zero COVID policy, consumer confidence plummeted while the middle class’s savings grew. As China exits zero COVID, the government will aim to encourage consumer spending to prop up domestic consumption. Domestic and international brands offering products in the luxury and premium category can expect success provided their products are unique, high quality, and well localized for the Chinese market (think bio-active honey or products with established name recognition in China).

International brands looking to take advantage of this critical opportunity for establishing their business in China must create strategies for localized branding, communication, e-commerce, and traditional distribution. These will require a deep understanding of Chinese consumer behavior habits and consumer profiles as well as knowledge of local marketing and operation tools.

Wondering how to start building your China market entry strategy? To begin we suggest doing Chinese market research and reviewing local strategies and trends that have already been proven to work:

  1. Establish a strong online reputation
    In 2022, over 1 billion Chinese people accessed the internet, making China’s digital population the largest in the world. Having a strong digital presence is a must for any brand looking to succeed in this landscape. Ensure your website is localized – this means fully translated including Chinese metadata and tags, with local domain and hosting, optimized for mobile (most people in China access the internet via mobile), and searchable on Baidu.
  2. Marketing and ad placements on Chinese social media platforms
    Due to China’s great firewall, a strong digital presence on China’s domestic social media platforms is essential for targeting Chinese audiences. Understand the various demographics found on major platforms like RED (Xiaohongshu), Douyin, WeChat, Weibo, Kuaishou, and Bilibil before tailoring your marketing and ads for each platform.
  3. KOL marketing
    A KOL, or key opinion leader, is the Chinese term for an influencer. KOL marketing is prominently used in China to not only increase a product or brand’s exposure but also to localize marketing for international brands, inspiring trust and familiarity among Chinese consumers.
  4. KOC marketing and product seeding
    KOCs, or key opinion consumers, are influencers who review products within a specific niche. Unlike KOLs who are usually celebrities, KOCs provide consumers with a more relatable point of access for brand marketing campaigns, demonstrating to consumers how end users engage with a product. Brands reach KOCs via product seeding.
  5. Establish your brand’s e-commerce sales channels
    As of 2023, China has the world’s largest e-commerce market, with an extremely mature logistics infrastructure to support it. China’s e-commerce has also become so closely interconnected with Chinese social media platforms that the term social e-commerce was coined to describe it. Major platforms include Alibaba’s Taobao and Tmall, JD.com, Tencent’s Weidian, and e-commerce integrated social media platforms such as Douyin and RED.
  6. Livestream sales
    Livestream sales is a trend uniquely successful in China. In 2022, livestream sales accounted for over 10% of e-commerce revenue in China. It offers consumers an immediate and interactive shopping experience along with discounts and flash sales. Popular platforms for livestream sales include Douyin, RED, WeChat live, Taobao live, and Kuaishou, all of which offer seamlessly integrated livestream ecommerce functionality such as one click purchases.

Now that you’re familiar with localized Chinese marketing strategies, let’s talk about how to fine tune and optimize a complete China marketing strategy for your brand in 2023.

10 Tips from HI-COM to Optimize Your 2023 China Marketing Strategy:

1. Competitive Marketing Study and Benchmarking Analysis

competitive benchmarking analysis when entering chinese market

Every marketing plan should begin with benchmark competitors, and the Chinese market is no different.

Often, the biggest mistakes foreign companies make in this market is a result of their lack of knowledge and/or underestimation of the local competition. For example, brands come to China with a vision to be a perfect fit in the Chinese consumers lives, but sometimes they do not take into consideration that similar products might already be present in the local market ( with a much lower price), or that the foreign version of the product is not appealing to the Chinese locals.

Mapping out the opportunities, exhibiting challenges and external development conditions are the elements you need to look at firstly. Here at HI-COM we can help you to do a full comprehensive research of these and more elements.

What are other elements you must pay attention to when doing market research in China:

  • Market size and the size of your niche 
  • Buyer persona in China, general rules of consumption in China 
  • How can your USP be localized and presented on the Chinese market? 
  • Communication strategies of your competitors 
  • Distribution models of your competitors 
  • Future trends and changes that might affect your business in the next 2-3 years. 
  • Do the technical research on import and logistics, there are products forbidden for importing in China! 

Examples of Western and Chinese Market Differences:

In an interview to HBO TV Channel, influencer, Mr. Bags, mentioned that luxury brands often reach out to him for the promotion of “western looking” products for Chinese consumers.  However, he tells these brands to not launch their products in China or to instead create a different version of this product customised to the local taste.

In the automotive market, miniature versions of cars are very popular in heavily populated cities of Europe. Therefore, one would assume that in a city such as Beijing where there is lots of traffic, very few parking spaces, and pollution is a big concern, that smaller cars would be a big hit – but surprisingly they’re not. As a result of this, the Smart line of cars were discontinued in China, and are instead now in the process of improving their USP by working together with Geely on a brand new electric car – which will appeal to a completely different type of customer.


 

2. Localize Your Unique Selling Proposition

brands localization for chinaBands should keep in mind that those products and services taking Instagram (or other foreign media channels) by storm, might not actually be very popular in China, and vice versa. The Chinese market is essential for most luxury brands, as well as digital product brands such as Apple, on-the-go brands such as Starbucks, lifestyle brands such as Ikea, and many more. However, it should also be noted that all of these brand successes came with experience and understanding of the different needs of foreign markets.

What can you do to assure your product or service is localized for the Chinese market?

  • Understand the consumption habits and how business is conducted in China, especially in your category.
  • Do not stop at desktop research, arrange focus group to really grasp the essence of Chinese consumer insight. Include as many questions about your product or service as possible, from packaging to usage, to customer journey and experience, to why would people would  recommend or not recommend your product or service to friends.
  • Use the insight collected, change the product or service accordingly before entry to the market.

 

Examples of good localization strategies:

By understanding the concept of “面子/mianzi” or “keeping the face”, Apple made millions by providing Chinese people the opportunity to tell their friends that they are “rich” by only investing one or two thousand dollars on a new model of the phone. Of course there were many other reasons that made Apple so popular in China, but it is astonishing to see how the vast majority of citizens using the subway have the newest model of the iPhone every year – but each time no longer than a week after its official release.

When Starbucks came to China it realised that people were not interested in the coffee-to-go concept but rather the “here to stay” idea, so they immediately restructured their space into big comfortable communal areas so to accommodate their young customers. Starbucks also realised that in the larger cities, the younger generation needed a place to “hang out” with their friends.

As the country rapidly develops, the generations are growing up with very different values, which leads to a lack of common interest within families.


 

3. Localize Your Brand

brand name localization china

It is important for brands to develop a reputation in order to enter the Chinese market. Many variables go into the making and localizing of a brand name, therefore, it is vital to come up with a name that associates the message that your company wishes to convey. It is also important for companies to be aware of how the name translates into other languages.

Brand name translation is implemented in 4 main steps: brand image consideration, knowledge of a target audience, benchmark of brand names of existing competition, and linguistic aspects of the new brand name.

This might sound obvious, but companies must know who their target audience is.

Next, you need to localize the communication when entering the Chinese market. Localization is the process of adapting or recreating a company’s marketing materials to fit another market so that it appears natural and effortless. This can include a variety of actions, from translating the content to changing fonts and images.

The purpose of localization is to make the product feel as natural as possible in the hands of the new users. Companies should make sure that their marketing strategies are aware of cultural customs/languages, because if Chinese marketing materials seem unnatural or unprofessional to the online user, chances are, they will be less likely to take an interest in the product or service.

Other elements to pay attention to when working on brand localization:

  • Creation of communication strategy that answers the questions: who are you reaching, what message are you sending and what do you hope to achieve? 
  • Creation of editorial plan using Chinese digital tools and SM platforms. 
  • Creating localized content for your brand, including text and visuals. 
  • Setting up measurable KPI.
  • Reviewing your competitors communication strategies on monthly basis.
  • Creating promotion strategy using paid (ads) and earned (KOL, PR) media channels.

Interested in brand localization services for the Chinese market? Shoot us an email!


 

4. Align Your Goals with Budget Wisely

enter china market budget setting

One of the most common mistakes a brand can make is planning to go after a whole country, without realising its size. For example, a lot of brand owners can’t name more than 5 Chinese cities, but yet plan to target every person in China.

However, the problem with targeting a whole country like China, is the expense of such a large promotional campaign. China is also home to 56 different ethnicities each with different values, different everyday habits, and contrasting opinions. Therefore, it is almost impossible to target every city in China, unless your brand has a multi-million dollar annual marketing budget and an outstanding product/service retail price.

According to Jing Daily, In China in 2021, yearly marketing budgets on average have grown to around $100,000 on the low end and over $1,000,000 on the high end. This doesn’t mean that you can’t achieve any results if you don’t have these resources. It rather means that you need to be realistic with your goals and expectations. Set your marketing priorities and follow that list from most to least important.

Some of the advices HI-COM’s marketing team can give is:

  • Learn what metrix to look at in order to keep your hand on the pulse of the business. For example, mid-size premium brands are not looking at amount of followers they have, but rather on engagement levels of their audience. 
  • Have a clear idea of long term and short term marketing strategies and allocate resources (and budgets) accordingly. Overstocking products that have expiration dates in China can be a very expensive mistake. Even if it is more costly to produce and transport smaller amounts of products, it is still cheaper in the long term. 
  • Make research on the most trendy marketing and sales ways. See what new media is suited for your brand. 

 


 

5. Accept that in China People Don’t Lack any Type of Products

chinese market entrance competitive analysis

This point is vital for any company aiming to enter the Chinese market. Brand’s should realise that China is not a third world country where imported products are being fought for, but it is actually referred to as the “factory of the world”, and has extremely rich resources – sometimes even things unheard of by Westerners, including imported and local items. Therefore, it is important to do thorough market research when planning to enter the Chinese market to have a clear picture of any gaps in the market and to understand why your product could benefit the Chinese market.

When working on your Chinese market entrance plan, be sure that your brand positioning doesn’t begin with “because we are an imported brand..”


 

6. Develop an Education Content Marketing Strategy

education content marketing strategy chinaMany foreign brands have succeeded in China with products that were previously unknown to the Chinese population. At the beginning, McDonalds, Nespresso, and Rexona all struggled in the Chinese market and had do a lot of research and customer education in order to introduce their products/services into the habit of local people.

The benefits of products such as coffee, chocolate, imported wines and spirits, energy drinks, avocados, pastries, etc. had to be presented to the public in a sensitive and educational way. Brand still do this today, for example, influencer Viya, has recently been informing people on her livestreams why they “can’t live without” products such as dental floss and facial massagers, and selling thousands of items within minutes.

 


 

7. Use a KOC (Key Opinion Customer) and product seeding marketing tactics

koc marketing strategy for new brands in china

There is no better marketing than “word of mouth”. A good (or bad) word of mouth message can be spread faster throughout communities than any type of advertising. To encourage this, it is not enough to just have a great product, but instead, brands must provide appealing offers.

Local Chinese brands are champions when it comes to word of mouth marketing. Chinese brand, Perfect Diary, uses a great scheme to stimulate its sales. For example, when a customer buys one of their items for 99 RMB (12 USD) he/she then has an option to get a second complimentary product for 1/10 of the price. Every order they process includes samples of their new products. Perfect Diary was one of the highest selling brands in 2019 after the Double 11 festival, and has only grown since. The sales revenue of the brand at Double 11 spiked up to 80,000,000 RMB, and the brand was 7th place in the list of most popular cosmetics of the Double 11 festival (the first among Chinese brands).

Foreign brands entering the Chinese market should consider providing a good deal or offer. Whether that means offering competitive prices, an extra service, or an upgrade – it will beat any other long-term marketing tactics.
Learn more about KOC marketing and how to get started with it here

Product Seeding is another way to use KOL and KOC marketing “on the budget”. Product seeding happens when brands send free products to influencers and content creators with the hope of getting free or law-cost media coverage. This means that the brand has no say in what will be published by KOL or KOC. Product seeding is a great way to earn low cost or even free word-of-mouth marketing in China. But there are some details you need to pay attention to. Here are some tips from HI-COM influencer outreach managers:

  • Chinese KOLs and KOCs prefer working with known brands, and seeding campaign will be more successful for bigger international brands. 
  • Chinese influencers are quite professionals, but select your talents carefully, there are still many fake accounts and agencies out there! 
  • Sometimes the gifts sent to KOLs and KOCs are not published on their pages at all, but this doesn’t mean that the product was wasted. You have started to build the relationship with valuable resources and that’s what matters.
  • Chinese KOL’s have their own style of reviewing and publishing content, so don’t be surprises by creative or overly traditional posts about your brand. 

 


 

8. Learn about the Customer Journey in China

Enter the Chinese market, RED Customer Journey: Discover tutorials (make up, fashion, lifestyle) Follow KOLs and Superstars Discover new products (usually small brands, news bands, new designers) Purchase new products on RED platform Write reviews and create videos of products purchased Enter the Chinese market

When entering the Chinese market, it is very important to consider the conversion funnel and customer shopping habits for different products and services in China. Companies should make sure that their marketing strategies are adapted to the cultural customs and way of life of the market they’re targeting.

For example, is your product more suitable for RED (Xiaohingshu) or WeChat Mini-program customers? To answer this question, you need to find out who uses these apps and why.

It is important to be clear on the demographics of the most-used apps and platforms in China, for example, the business focus and the best-suited industries, etc.

When targeting a specific group of customers, brands must understand every aspect of the customers’ life and find a way to fit in with it.


 

9. Groups, Private Traffic and New Media Marketing Strategy

personalization marketing strategy in chinaIn 2021, the Chinese consumer is more service-oriented than ever before. For example, it is a well-known fact that Chinese customers are very demanding, as they expect amazing service 24/7 and this service must make the customers’ lives easier.  Customers are now expecting an even more personalised service.

In 2021, like many other brands, Luckin coffee in Shanghai began to increase its customers via private location groups (dependent on the store location). These groups are used for promotions, announcements of pop-up events and sales, weekly draws, mini-games, and other online products.

How does it work for most brands and why should they care? By the end of 2020, brands started to pay more attention to the customer journey and brand discovery of WeChat. A big problem for companies was their low following of WeChat official accounts.

However, WeChat doesn’t provide an option to view the WeChat ID of the followers, therefore, there’s little chance of having a private conversation or being able to check whether the follower is a “bot”. To overcome this, brands started adding potential followers, customers, and friends, to private group chats.


 

10. Be ready to react and adjust quickly

entering chinese market

 

Have a flexible mindset when enter the Chinese market 

A unique feature of the Chinese digital market is its fast-paced development.  For example, something that was mainstream yesterday might be not an option tomorrow. However, a lot of foreign brands do not adapt to these changes, which leads to weaker product visibility and decreasing brand loyalty.

Today, in order to get a space on the Tmall platform, foreign brands must go through a detailed assessment by Alibaba’s representatives, in order to find out whether they’ll have a “fighting chance” on this platform.  This includes an analysis of the brand’s mindset. Only flexible and adaptable brands” are able to receive a green light and join the platform.

Another example that comes from one of our client’s in snack import sector. After being on the market for 2 years, they started to receive comments and requests from few large wholesalers about minimizing their packaging to a pocket size of 50g. and mixing all the flavors of snacks in these mini packages. Being able to handle such requests (that developed to orders), the brand was able to grow their sales a solid 39% within that year, and 80% in the year after that.


How to get a strong China market entry strategy that is tailored for your business, resources and KPIs made by professionals? Follow these few steps: 

  1. Send email request to our managers, specifying your needs
  2. Get a detailed proposal along with lead-time and quotation 
  3. Confirm the proposal
  4. Schedule a kick-off call with HI-COM’s strategist, where you can get knowledge on China market and your specific case, and provide the details of your business

 


Further Reading

 Banned marketing terms in China

What are the distributors in China looking for in foreign brands?  

Top livestreaming platforms in China

KOL (Influencer) marketing in China: costs and best strategies

HI-COM is a localization and multilingual communication agency dedicated to providing China-specific strategy, social media communication and e-commerce marketing services to businesses around the world. Working with more than 100 brands, HI-COM is the go-to partner of companies that want to enter China market!  Contact us for your free consultation today!

Scan QR code to follow Localization and The Chinese Market Entry News or Contact us on WeChat: 

 

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All You Need to Know About NAATI Translation https://www.hicom-asia.com/naati-certified-translation/ Tue, 30 Nov 2021 06:47:33 +0000 https://www.hicom-asia.com/?p=4386 naati translation HI-COM

Are you from a non-English speaking country? If you are planning on going to Australia to study, immigrate, set up a business, or even just to travel, “NAATI” translation will be required for your personal documents. Any foreign language document that will be presented to the Australian government requires translation by a translator with NAATI […]]]>
naati translation HI-COM

Are you from a non-English speaking country? If you are planning on going to Australia to study, immigrate, set up a business, or even just to travel, “NAATI” translation will be required for your personal documents. Any foreign language document that will be presented to the Australian government requires translation by a translator with NAATI certification:

  • If you plan on driving during your vacation to Australia, you’ll be required to have a NAATI translation of your driver’s license.
  • If you plan on studying in Australia or applying to a school there, you’ll need a NAATI translation of your diploma and/or academic transcript.
  • If you plan on immigrating to Australia, you’ll be required to have NAATI translations of all official documents such as birth certificate, marriage certificates, and citizenship documents.
  • If you plan on starting a business in Australia, Australia’s DFAT (Department of Foreign Affairs and Trade) will only accept documents translated by translators with NAATI certification. The DFAT stopped accepting translations from translators accredited by other bodies in 2018.

Read on to learn more about NAATI translation:

What Is NAATI Translation?

NAATI translation services china

NAATI is the acronym for National Accreditation Authority for Translators and Interpreters. It is a non-profit body responsible for establishing and maintaining translation and interpretation standards and practises in Australia.

As the accreditation body for translators and interpreters at Australia’s national level, NAATI offers five parallel credential levels for both translators and interpreters: recognized, paraprofessional, professional, advanced/conference, and advanced/conference (senior).

The lower two levels of recognized and paraprofessional are usually only acceptable for very low demand languages.

For all other languages, documents must be translated by translators with a minimum of professional-level certification.

Advanced translators (senior) and conference interpreters (senior) constitute the highest level of NAATI certification and are required for high-level international summits and conferences such as UN meetings.

NAATI accredited translators have a letter of accreditation and will include a special stamp on their work as evidence that their translation is NAATI certified.

You can find a full directory of current NAATI accredited translators and interpreters on the NAATI website


 

When Do You Need NAATI Translation Services?

Documents requiring NAATI translation include birth certificates, marriage certificates, divorce papers, diplomas, academic transcripts, police checks, payslips, and bank statements.

While NAATI translation is not required for private business translations such as marketing documents and product descriptions, choosing to work with NAATI certified translators and interpreters offer many benefits when entering the Australian market:

  • NAATI certified translators have proven they meet the exacting professional translation standards at Australia’s national level.
  • They are in tune with Australian political and cultural sensitivities.
  • Since NAATI certification expires every three years, NAATI certified translators must constantly demonstrate they are active within the field.
  • As practising professionals, NAATI translators can be trusted to treat sensitive documents with confidentiality.

 

Documents That May Require NAATI Translation Services

  • Payslip Translations

  • Academic Transcript Translation

  • Bank Statement Translations

  • Birth Certificate Translation

  • Marriage Certificate Translation

  • Death Certificate Translation

  • Driving License Translation

  • Divorce Certificate Translation

  • Police Report Translation

  • Degree Translation

  • Financial Translation Services


 

I Want to Study in Australia, What Documents Do I Need to Have Translated by a NAATI Certified Translator?

naati translation for studying

In order to study in Australia, you will most likely need to provide your Academic Transcript Translation, as well as a Bank statement in some cases. These translations require a NAATI NAATI translation seal.

We provide high quality document translations that are accepted by Government departments and universities and licensing authorities, including the Department of Immigration and Border Protection (DIBP).

If you require your documents to be translated by a NAATI translator, contact us and we will ensure your application process – at least the translation part of it – is as painless as possible.


 

How  Can You Find a NAATI Translator if You Are Not in Australia at the Moment?

NAATI translation chinese

Here at HI-COM, we deal with Chinese, Russian, Spanish and any other NAATI translations daily! We provide NAATI certified translators capable of providing the highest quality. Preparing a document for Australian authorities requiring a NAATI translation may seem a little daunting, but don’t worry.  We have a 100% acceptance rate with all authorities that ask us for a NAATI stamped document.

We use experienced and highly skilled translators who are experts in their specified fields.

In need of NAATI translation services? Shoot us an email!

How do we work with NAATI translation?

Send your documents to us and we will provide a high-quality NAATI certified translation from and to more than 40 languages within a few days (depending on the number of documents). HI-COM has created a pool of resources in Australia so that you don’t have to worry, even if you are not in Australia right now! We will provide the most qualified translator for your needs who will know exactly what you are looking for! Our translators have more than 10 years of experience and work on NAATI translations every day!

Get a free quote for NAATI translation services in 15 minutes by email!


 

HI-COM is a multilingual translation agency dedicated to providing professional translation services to businesses around the world. In need of NAATI translation services? Contact us today for a free quote!

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China Fashion Retail Strategies: Online and Offline https://www.hicom-asia.com/china-market-entry-strategies-distribution-in-china/ Mon, 22 Nov 2021 01:59:04 +0000 https://www.hicom-asia.com/?p=21093 disctribution in china

Developing a comprehensive China marketing entry strategy can be a daunting task. More and more brands find China an attractive market, not only due to its size, but also due to its growing middle class, demand for new product categories, and new regulations favoring imports from a list of countries. There’s plenty of room for […]]]>
disctribution in china

Developing a comprehensive China marketing entry strategy can be a daunting task. More and more brands find China an attractive market, not only due to its size, but also due to its growing middle class, demand for new product categories, and new regulations favoring imports from a list of countries. There’s plenty of room for new brands big and small to enter this market, given they know where to start.

What are the business models of China’s fashion retail  channels?

Offline distribution

Depending on the industry, retail channels may include large retailers (shopping malls, specialized stores), convenience stores, and large and small brand stores.

Online channels

Online markets can be categorized according to two models: localized fulfilment, with most platforms belonging to this category (Tmall, JD, Douyin, and other social commerce platforms), and cross-border fulfilment, where products are imported only after they are sold to the customer (Koala, Tmall Global, RED cross-border, etc.)


 

How do distributors choose the brand to work with?  

To answer this question, we have invited the co-founder of Export2China, Mrs. Xin Lingling who is specialized in fashion retail and has more than a decade of work experience with brands like Lacoste, and many more.

export2china Xing Lingling

Q: What are the distributors in China looking for in foreign brands?  

A: Distributors are looking for a unique proposition to offer to the market. Either the brand is strong and popular in the brand’s home country already, or the brand is offering a very competitive price, or perhaps the brand is ready to work on an aggressive digital marketing strategy in China in order to take the market share. Length of the contract also plays a big role, as no distributors will want to put years of effort educating and engaging with the local target audience just to see the brand go to the competitor.

Q: What is the general rule for brands when choosing their distributors in China?

Brands choose their distributors according to a set of criteria including the distributors brand portfolio, the yearly purchasing budget, the geographical location, and the size of the business. Other factors are also important. For example, does the distributor have a strong network and favorable conditions to enter the most suitable shopping malls of the regions? Will the distributor support the brand in marketing activities in the area?

Q: What type of marketing activities do brands need to prepare for in order to attract the local audience and the best distributors? How early do these activities need to be launched? 

A: Nowadays distributors realize the power of marketing in China and strongly prefer to work with brands who are willing to invest in digital marketing.

So, what does that mean, exactly?

  • Marketing Study: brands need to have a clear picture of the market, including the interest of Chinese customers in the product, both in brand’s home country and in China. Focus group studies, competitor analysis, pricing strategy, target audience definition, all these elements are important in order to create an effective marketing plan in China.
  • Brand Name Localization and Trademarking: this is an important step and should be completed early on, before the brand is even physically present in China. A Chinese trademark is needed for many administrative tasks, such as registering a corporate social media account or for e-commerce store registration.
  • E-Reputation: here we are talking about the brand’s digital footprint in China. It needs to inspire trust among the Chinese local audience. This includes press releases, reviews, social media mentions and other publicity.
  • Social Media Groundwork: Create a WeChat Official Account, establish a presence on RED (Little Red Book) with reviews and recommendations, and ensure other digital activities related to the brand’s business model and industry are covered.
  • KOL Marketing: if the brand falls into the categories of fashion, cosmetics, mother and child products, or food and beverage, KOL and KOC activities are crucial for setting up the brand for the market.

 

How to find a trustworthy distributor in China for fashion retail?  

There are a few ways to approach your search. Traditional trade fair participation is a solid way to meet many business players in your industry. But with the recent travel restrictions to China, this way is not the easiest. 

Online search and outreach can be another way to connect with a China market distributor. But this runs the risk of landing an inexperienced distributor with a pretty website. In fact, not many local Chinese brand distributors even have websites, rendering this option suboptimal.

Word of mouth and relationship building can be an excellent way to find the perfect business fit. It demonstrates that your brand already has built solid business relationships in China and possesses channels for gaining insider information. However, it’s unlikely that a brand of the same category or even industry would be willing to share their effective Chinese distributors. In this case, a China-based business partner or a representative will be able to help.

It is important to remember that there is no “magic solution” for China market entry. No honest company will ever “guarantee quick results” for one simple reason – the market is just too complex and competitive. The era of foreign products shortages is long over, and the Chinese market is now one of the most developed and dense markets in the world. That’s not to mention China’s increasingly rapid technological advancement and demanding customer base.


 

Do you need a local partner in China?

Having a locally based partner company provides a crucial advantage to any brand that is aiming to enter the Chinese market. From aiding in setting up the essentials to advising on best practices, a local partner serves as a foothold in a new market. Your local partner can help establish a network of distributors, find warehouse solutions, and procure other necessary resources. This company can be your brand’s eyes and ears when it comes to dealing with local affairs, whether it be distributors or TP management, as they have the ability to judge the project by the domestic market industry standards. By being on the ground, they are able to see and report local market reactions in real-time and rapidly assist with necessary adjustments.

Export2China is a Chinese-based consulting firm focused on fashion and education industries.

HI-COM is a digital marketing agency dedicated to providing China-specific strategy, social media communication and e-commerce marketing services to businesses around the world. Working with more than 100 brands, HI-COM is the go-to partner of companies that want to enter China market!  Contact us for your free consultation today!

Scan QR code to follow Localization and The Chinese Market Entry News or Contact us on WeChat: 

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How to Build an Online Reputation I E-reputation in China I HI-COM https://www.hicom-asia.com/how-to-build-online-reputation-in-china-e-reputation/ Thu, 28 Oct 2021 01:40:59 +0000 https://www.hicom-asia.com/?p=20742 how to build ereputation in china

In today’s world of oversaturated digital ads, brand e-reputation has never been more important. This is especially the case in China, where word-of-mouth and KOL marketing are widely regarded as the most trustworthy. How to Build E-Reputation in China 1. KOL Campaign Worldwide, influencer marketing has become the dominant marketing paradigm. In China, influencers are […]]]>
how to build ereputation in china

In today’s world of oversaturated digital ads, brand e-reputation has never been more important. This is especially the case in China, where word-of-mouth and KOL marketing are widely regarded as the most trustworthy.

How to Build E-Reputation in Chinastrategies to build ereputation in china

1. KOL Campaign

Worldwide, influencer marketing has become the dominant marketing paradigm. In China, influencers are known as KOLs or key opinion leaders. For building brand reputation and awareness in China, KOL campaigns will provide a strong return on investment.

A strong KOL campaign consists of working with reputable and respected KOLs to translate your brand messaging in a way that localizes for your customer base in China.

KOLs play a key role in online reputation management for your brand. Picking the most suitable KOL for your brand requires being in tune with your target audience. By working with trusted KOLs within their community, your brand will acquire the cultural cachet for gaining traction in China.

As brand reputation requires time build, brands should view KOL marketing as a long-term, dynamic strategy.

 

2. KOC Campaign

KOC (Key Opinion Customer) marketing is an incredibly effective tool for building brand interest and driving sales in China.
Although most KOCs don’t have a large fan base, they are the key for consumers when making a buying decision. They are generally seen as more trustworthy due to their authentic and reliable content. If your brand is at seeding stage in the Chinese market, collaborating with KOCs would be a safe option.

Check out this guide to learn about the most efficient ways to promote your brand through a KOC-based strategy!

 

3. PR

To complement your social media campaign, getting your brand into press releases will help grow your business’s e-reputation in China. With third-party outlets reporting on your brand, you not only gain increased reach but also increased credibility.

In China, like elsewhere, people rely on various e-magazines and press outlets to help them with their purchasing decisions. These range from childcare advice columns to technology review platforms to fashion magazine editorials. As these outlets represent a third-party assessment of your brand, consumers are more likely to see them as trustworthy and credible.

These outlets play an important role in online reputation management. Having your brand name mentioned in press releases will help with building long-term consumer trust and awareness in your brand. The most popular sources for doing PR in China are:  参考消息环球时报, 新华社, 中国日报.

4. Local SEO

When potential customers want to know more about your brand, they will check your website for sure. Most searches online are done on Baidu, but there are other local search engines such as Sogou, Youdao, and 360.

A helpful resource for keyword research is Dragonmetrics. By analyzing monthly search volumes for various keywords and phrases, you can build a solid foundation for the next step of building your e-reputation campaign in China – content.

5. Social Media

Much like any other market in the world, having a strong social media presence in China is key to building your business’s reputation online.

Today, the social media landscape in China is relatively fragmented, with many platforms specialized for specific interests and demographics. This means that overseas brands need to understand which platform is most suitable for reaching their desired target audiences.

For example, Xiaohongshu is a rapidly growing social recommendation platform in China. While a massive platform, 90% of its userbase is female, making it most suitable for beauty, healthcare, and fashion brands.

On the other hand, livestream platforms Bilibili and Huya have massive gaming communities, making these platforms most suitable for tech and digital brands, while Dianping, a review platform, has become the go-to platform for Chinese brick-and-mortar stores.

With so many specialized social media platforms in China, it’s easy for brands to spread themselves too thin. Focus on the platforms most suitable for your brand and work to establish a strong online reputation on those.

 Steps to Build Social Media Campaign in China

Step 1. Identify Your Platforms

As mentioned previously, choosing the right platforms to market on is of utmost importance. Due to the differences in algorithms and demographics on each platform, you will need to adjust campaign content and strategy around the platforms you choose.

The most popular platforms for building brand visibility in China are Sina’s Weibo, Zhihu, Baidu’s Baijiahao, Ifeng, Sohu, Tencent’s WeChat, andToutiao. For reaching younger audiences, visual-heavy platforms such as Douyin, Xiaohongshu, Bilibili, Huya, and Kuaishou are also very popular.

Step 2. Keyword Research

Social media might not be the first thing that comes to mind when we think about keyword research – but it can be an awesome source for marketers to understand what their consumer base in China wants to see online.

Step 3. Content

As overused as the phrase is, content really is king. Based on your research into keywords and platforms, you’re now able to perfectly craft content and build your online reputation.

In China’s highly visual social media landscape, strong content combines powerful visual elements, either pictures or videos, with enticing written content. It is important to ensure both the format and message of your content is tailored towards where you market and who you market to.

Step 4. Build Publication Plan

Depending on your resources, such as graphic designers and copywriters, schedule content in advance to be published at least once a week. Curate content schedules to ensure a diverse and balanced flow of content.

While much of your content will be perennially relevant, for some content, timing can be just as important as what you say. Plan your publication schedule around major brand events to build anticipation and relevant Chinese holidays to localize your brand.

Conversely, it’s also important to keep publication plans flexible, allowing you to react to current events to catch audience attention.

Step 5. Post Content Regularly

Now that you’ve started your social media campaign, keep in mind the fundamentals – online reputation relies on consistency. With a regular schedule, you will remain relevant to platform algorithms and stay on your audiences’ radar. Remember that your competitors are on the same platforms, producing their own tailored content to attract the same target demographics.


 

Difficulties When Building E-Reputation in China

 

Content Localization

The process of localizing your brand messaging for any region plays a huge role in how successfully you are able to build your brand reputation. Being able to navigate the cultural differences between your home market and the China market can make or break business expansion goals.

Beyond textual translation, localization for the Chinese market means reworking your brand messaging to meet the aspirations of Chinese consumers. In the fast-paced environment of China, cultural trends move quickly. From specific wording changes to major overhauls in visual branding, content localization can be a large undertaking.

Hiring a professional brand localization agency based in China will help your brand smoothly transition into this new market, letting you focus on building your business.

 

Platform Matching

China’s digital ecosystem may seem daunting to the uninitiated. With a myriad of choices, there are many nuances and pitfalls to watch out for when it comes to choosing the right platforms.

With China’s major online platforms attracting different segments of China’s diverse population, building your brand’s online reputation on these platforms requires a deep understanding their various demographics. Don’t make the mistake of seeing the China market as homogenous. To be successful you must localize for China’s diverse online communities.

Navigating these Chinese platforms for an overseas brand can challenging. That’s why agencies like HI-COM are here to help overseas businesses establish brand presence online the right way in China.

 

KOL Campaign Execution

Even without the language barrier, finding the right KOLs and managing them is challenging. While KOL marketing may be the most used marketing tactic in China today, successfully executing a KOL campaign requires experience and a strong understanding of the Chinese market.

Accurately gauging the actual reach and engagement of a KOL across platforms can be difficult. While managing KOLs, some details may be lost during communication, resulting in promotion campaigns that don’t reflect your vision.

We recommend working with a professional KOL agency. This way you are able to have peace of mind in the legitimacy and efficacy of their KOLs. A KOL agency has strong working relationships with their rosters, taking out the guesswork in conveying brand vision.

HI-COM is a digital marketing agency dedicated to providing China-specific strategy, social media communication and e-commerce marketing services to businesses around the world. Working with more than 100 brands, HI-COM is the go-to partner of companies that want to enter China market!  Contact us for your free consultation today!

Scan QR code to follow Localization and The Chinese Market Entry News or Contact us on WeChat: 

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How Can H5 Impact on Your Sales on WeChat in 2021? – HI-COM https://www.hicom-asia.com/how-can-h5-impact-on-your-sales-on-wechat/ Mon, 26 Jul 2021 07:52:22 +0000 https://www.hicom-asia.com/?p=20086 h5 wechat pages mini programs

It can often be intimidating for international marketing professionals to learn that the digital tools they’ve grown to understand and use in Western contexts are either not used in China, or have analogues that require extra time to learn. Some are familiar, and relatively easy to get to grips with – Twitter to Weibo, Amazon […]]]>
h5 wechat pages mini programs

It can often be intimidating for international marketing professionals to learn that the digital tools they’ve grown to understand and use in Western contexts are either not used in China, or have analogues that require extra time to learn. Some are familiar, and relatively easy to get to grips with – Twitter to Weibo, Amazon to Taobao, WordPress-based blogs to WeChat articles. A less-understood, but no-less vital analogue, is HTML5 to H5.

What’s H5?

h5 pages meaning

 

Sources on the internet can get this muddled, so one thing must be made clear from the outset: while the term ‘H5’ may have started out as an abbreviation of HTML5, its meaning has developed. HTML5 is a language. H5 is an umbrella term that encapsulates an approach, and several languages and tools, used to engage through particular mobile platforms. The approach uses HTML5 to create CSS-integrated marketing pages, often accompanied by flash elements, that are specifically compatible with Chinese mobile apps such as WeChat and QQ.

Most webpages built with HTML5 tend to focus on responsive web design (RWD), meaning that the visual and interactive elements on the page adapt to the device which it is being viewed on. H5 pages, meanwhile, focus on mobile viewing. Furthermore, they often have one or more layers of functionality drawn specifically from WeChat or QQ’s API, rendering them redundant when viewed outside of these apps.


Why an H5 page is essential for your business

After reading the outline above, some questions may arise: Why use H5 if it’s going to result in pages that are unviewable or seemingly broken when viewed on a normal web browser? Why eschew RWD when we’ve spent years perfecting it?
The first thing to understand is that H5 pages are not supposed to be a replacement for normal websites or mini-apps. Rather, they are used for activations related to specific marketing campaign goals. They might include a game, or a video-based product introduction. They might be a brochure, or an invitation. More often than not, they are intended for single or limited-use, not repeat or sustained interaction.

The second thing to understand is that internet in China is mobile. Chinese internet users are far more likely to perform web-based activities – be it socializing, reading, shopping or otherwise – from the palm of their hands compared to Western internet users. Traditional browser-based websites are only one part of the picture, and an increasingly small one.

With these two facts in mind, here are some of the benefits of using H5:

1) Attractive product display.

The in-app browsers on Chinese social apps are optimised for H5. Borders, alignment, colour, music and animation will all display smoothly on a page built within the H5 framework. Product display normally comes in the form of a few pages of product background, leading to images with embedded links for conversion. Take a look at the Renrenxiao list of H5 pages that include product listings here to get an idea.

2) Boosted interaction and user engagement.

H5 pages can include games, quizzes, lucky draws, questionnaires, video challenges, red envelopes and more. They can use WeChat’s ‘Shake’ functionality, as well as display shared results between WeChat friends, and perform location-based activities. Recently, the ‘drag and drop’ functionality has been used to go beyond creating simple games, into giving users VR experiences.

3) Fast implementation and cost-efficient.

The number of templates for H5 pages online now is humongous. There are a whole bunch of websites where users may use a template, or craft one of their own, using browser-based tools (more on these below). Many simple H5 templates are free, and more complex ones can cost as little as 50RMB. There’s no need to worry about paying for hosting, as this is usually provided by the website the template is bought from.

4) Customizable for all needs and industries.

Renrenxiou lists template categories for 34 industries, ranging from financial services to wedding planning, childcare to film and television. The truth is, H5 pages can be adapted for any industry, or non-industry-based marketing need. There are H5 templates for wedding invitations, for artist portfolios, for restaurant menus and interactive birthday cards. They are simply a way of making information more visually appealing, more easily digestible, and more interactive.
What other strengths do H5 pages possess?

Our partner organization, QPSoftware, recently did a deep dive on the rise of H5 pages, why they’re so popular, and what benefits businesses can garner through their use.

Two of the most notable points were:

5) H5 pages allow you to collect data about your users.

It’s possible to view exactly how users have interacted with your H5 pages – where they clicked and when, how long they spent viewing, whether they shared, and how long it took them to complete various tasks. For fans of big data (which all digital marketers should be), this is gold dust. The more variables on user behaviour the better. It helps determine what worked and what didn’t, and when tied in with user data such as gender, app default-language and location, can enable powerful user segmentation.

6) H5 pages are faster and less expensive to develop than WeChat mini-apps.

As mentioned above, H5 pages are not intended as a replacement for mini-apps. Each thing serves a particular purpose, and has particular functionality. There are, however, overlaps in some of the functionality, that can be utilized if money or time is too tight to develop a mini-app. Examples include the display of articles, product information or ‘smart’ business cards. There’s always the option to use referral links or forms in the H5 format to complete conversions, even if it introduces one extra step as compared to what might be possible directly in a mini-app.

Want to learn about other solutions for WeChat marketing? Check our guide out!


How to create H5 pages

There are several services and tools online, chock-full of templates, that people can browse through and edit. Popular sites include Maka, Renrenxiou, Yiqixiu, iH5.

With Maka and Renrenxiou you can either choose a template, or start from scratch using their online editors. Everything on their websites is in Chinese, and although it’s possible to navigate the site with a browser-based translator, the page editors are so packed with text that it immediately becomes quite difficult for those trying this method. It can also be the case that when switching between Chinese and English in the browser menu, the content and formatting gets mixed up and pages can break or functionality is lost.
Another option is to hire an agency who can develop H5 pages independently.

Are there other tools that help marketers increase sales on WeChat? Yes! Check our 30 Tools for Marketing on WeChat out!

Summary

H5 pages are another square in the patchwork quilt of digital marketing in China. They may seem confusing or odd at first, but once they’re fully understood and mastered, they can be an incredibly powerful marketing tool. They enable product display of a high aesthetic standard, they have functionality that allows for dynamic user interaction, they’re fast and cost-efficient to implement, and they’re highly customizable. Not only that, but they allow for the collection of valuable user data, and can fulfill some of the needs of a mini-app in a pinch. For businesses looking to get ahead in China, they offer a real opportunity.

HI-COM is able to build H5 pages from scratch, or modify existing templates, according to client needs. We can also help translate and localize content between more than 40 languages, with the help of expert native-speaker interpreters. Contact us today to discuss your project!

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Hospitality and the Need for High Quality Content – HI-COM https://www.hicom-asia.com/hospitality-and-the-need-for-high-quality-content/ Wed, 14 Jul 2021 07:28:28 +0000 https://www.hicom-asia.com/?p=20082

With the COVID-19 pandemic showing signs of coming to an end, now is the time for those in the hospitality sector to prepare for the new normal. There are plenty of opportunities up ahead, and the deciding factor in whether they may be taken advantage of will likely be an organisation’s ability to communicate and […]]]>

With the COVID-19 pandemic showing signs of coming to an end, now is the time for those in the hospitality sector to prepare for the new normal. There are plenty of opportunities up ahead, and the deciding factor in whether they may be taken advantage of will likely be an organisation’s ability to communicate and appeal to new international visitors.

The focal point of international travel in Asia looks to be making a shift, and when Chinese borders open up, there will be rush of tourists eager to explore. Below, we take a look at how organisations in the hospitality sector can, and should, adapt.

Correct and Stylish Translations Make the Service More Attractive

When translating hospitality content, it should be a given that translations should be technically correct, but they need to be contextually correct too. Take for example the sentence ‘four-person automobiles are available for leasing’. It is technically correct, and conveys the necessary information, but it isn’t natural English. A better sentence might be ‘Family-sized cars are available for rent’.

In the first case, the reader might immediately be taken out of the text, their focus shifted away from the service being offered, towards the oddness of the phrasing. In the second, they likely receive the information, note its positive aspects, and read on. The same goes for any language – it is important to have the contextual meaning of a translation checked by someone who understands it.

The same can be said for style. In English, for example, hospitality content tends to be fairly matter-of-fact – a mixture of plain information mixed with occasional evocative adjectives. While in Chinese, listings can often be more lyrical and poetic – plain information is often complemented by abstract verse.

Which Locations Should You Focus on As Your Next Target?

In the ASEAN region, Cambodia is trail-blazing in terms of its vaccination program. At the time of writing, a quarter of its population have received at least one dose. It has plans to achieve herd immunity by Q4, in order to open its borders to vaccinated tourists, and its economy is once again growing.

This could mark a turning-point in the Cambodian hospitality sector, and opportunities for international hospitality organisations. Why? Cambodia has often been treated as a stop-off point, often for Angkor Wat, in tourists’ larger South-East Asia tours. But if Cambodia opens before other countries in the region, it’s predicted that travellers will spend more time there, opening up new opportunities for hotels and tours catering to those who stay for a week or more, rather than just a few days.

Hainan is another place to keep an eye on. Known as the ‘Hawaii of China’, it has been inundated with domestic tourists over the last year, only adding to its status as a luxury beach-filled getaway. A combination of duty-free shopping, a beautiful natural environment, and the establishment of world-class hotels has turned the island into a place full of opportunity in the hospitality sector.

 

Being Ready: When Chinese Borders Open

After two years of travel across borders being extremely limited, there’s a good chance that border restrictions will ease in 2022. The consequences of this will be twofold: first, and perhaps most significantly, there will be swathes of Chinese tourists looking to holiday outside of the middle kingdom. Now is the time to get prepared for that moment – by localizing content aimed at Chinese tourists, it will be possible to stand out in the crowd of hospitality service providers.

Second, international tourists will be able to visit China. For companies operating within China, this represents a good opportunity to focus on getting their international offer perfected. By translating services into several languages, it will be possible to engage tourists coming from all over the globe.

HI-COM is a digital marketing agency dedicated to providing China-specific strategy, social media communication and e-commerce marketing services to businesses around the world. Working with more than 100 brands, HI-COM is the go-to partner of companies that want to enter China market!  Contact us for your free consultation today!

Scan QR code to follow Localization and The Chinese Market Entry News or Contact us on WeChat: 

 

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Is Your Official WeChat Account Content in Breach of the Chinese Advertising Law? https://www.hicom-asia.com/wechat-account-advertising-law-china/ Sun, 30 May 2021 04:08:55 +0000 https://www.hicom-asia.com/?p=9449 Wechat content advertising law of china

Advertising law in China has taken a new turn, and is now going after the official WeChat accounts of companies and artists. More and more companies, both local and foreign-owned, are being handed penalties for using terms such as “the best”, “one hundred percent”, “first”, “most advanced”, and “lowest price” on their social media accounts. […]]]>
Wechat content advertising law of china

Advertising law in China has taken a new turn, and is now going after the official WeChat accounts of companies and artists. More and more companies, both local and foreign-owned, are being handed penalties for using terms such as “the best”, “one hundred percent”, “first”, “most advanced”, and “lowest price” on their social media accounts.

Everything business posts on WeChat – be it content on an official account, a video via channels, or a representative posting on their moments – falls under the rules of advertising law in China. Let us reiterate this – everything. As such, WeChat has strict rules for what can and can’t be posted, to make sure businesses operate in line with national law.

Why?

It’s a priority for the government to make sure that all ads, including WeChat ads, do not misguide or mislead the public. In 2015, the national advertising law was reissued, at double the length of its previous 1994 incarnation. For any business doing WeChat marketing, it is vital to get to grips with the provisions in this law.

According to the Marketing Supervision and Administration of Jing’An district (静安区市场监督管理局曹家渡市场监管所), any information published on an official WeChat, Weibo or any other company account is as just as relevant as the information contained on an official website or in advertising material, and is therefore considered advertising.

Moreover, any individual who reports a valid violation of consumer rights in China receives a cash prize.

Needless to say, some individuals are making a living out of this legal condition, and spend their time browsing on the internet, looking for violations. Once an applicant has sent his report, the officials have two weeks to investigate and report to the higher authority as well as to the applicant. In the case where a law has been broken and the application is legitimate, the brand/social media account holder will be penalized, and the applicant will receive a prize.

What is a Violation of Advertisement Law in China?

The penalties for violating the national advertising law can be huge – from a six-figure fine to the revocation of a business license (more on that below). Furthermore, WeChat is bound by the 2016 Internet Advertising Law to self-regulate.

This means that even before any government agency gets involved, content will be taken down, accounts may be suspended and a review might be initiated. At best, this might mean a delay in a campaign or project; at worst, it might mean a complete failure.

Advertisement Regulations and Restrictions on WeChat in 2021 – What you Need to Know

Here is a summary of the important parts of the advertising law as it relates to WeChat. WeChat also has its own terms that are often being updated, and should also be taken into account when trying to create effective advertisement.

1. Avoid Superlatives on Your WeChat Posts (best, greatest, etc.)

  • Up first, and (ironically) of paramount importance: no superlatives. Superlatives are the adjectives that tend to end in ‘est’, to imply the ‘most’ of something that something can be. In Chinese, the equivalent is ‘最’. Examples include ‘best’, ‘newest’, ‘cheapest’, ‘most advanced’, ‘highest’, ‘coolest’, etc.

2. Do Not Use Descriptions Relating to the Word ‘One’

  • Do not use over-the-top descriptions relating to the word ‘one’. What does this mean? No describing a product, service or business as ‘one-of-a-kind’, ‘one of the top’, or ‘Top one seller’. Nothing advertised should be described as the ‘first’ of its kind, nor part of any ‘first wave’.

3. Do Not Use “Star” Rating

  • Do not place a business, product or service on a subjective scale, such as ‘national’, ‘international’, ‘Grade A’ or ‘5A’, or give it an arbitrary ‘star’ rating.

4. Avoid Words such as ‘Premium’ or ‘Excellent’ when advertising on WeChat

  • No words that imply attaining an upper limit or having reached an extreme. E.g. top, cutting edge, premium, top quality, excellent, ultimate, extreme, perfect, excellent, pinnacle, unprecedented, leading, unique.

5. Don’t Mention Anything Related to Scarcity (very rare, only a few available, etc.)

  • This can be a bit of a spanner in the works for international marketers, for whom scarcity is a key technique. Be mindful not to use words and phrases like ‘rare’, ‘unique’, ‘hard to find‘, and ’only a few left’.

6. No Exclusivity

  • Nothing related to exclusivity, especially with reference to an individual with ‘star power’ or a unique position within the creating process. For example, advertising surrounding the personal story and personal, exclusive access to, a developer, creator, founder or inventor.

7. No Words Related to Country and/or Nation

  • Similar to number 2 on this list, but specifically related to country and/or nation. I.e. no claiming something to be the ‘national leader’, or of ‘international quality’, or related to a national residence/landmark.

8. Do Not Use Anything Related to Amounts of Wealth

  • Language and images related to gold or large amounts of wealth, when not specifically aligned with the product or service, are prohibited. This includes pictures of coins, banknotes and foreign currency.

9. No Words Like ‘Leader’ or Similar

  • When referring to brand, WeChat ads may not use the likeness or implication of being a champion, a superstar, a leader, a monarch or an emperor. They must avoid using language like ‘supreme leader’ or its analogues. In general, do not use language related to being a leader, a pioneer or being ‘brilliant’.

10. Talk about Your Brand Correctly

  • Do not describe brands, products or services using the words ‘unprecedented’, ‘permanent’ or ‘omnipotent’.

11. Avoid Using Content Relating to Authority

  • Do not advertise special privileges with regard to authority on WeChat – including: special supply, exclusive supply, expert recommendation, national xx leader recommendation.

12. Do Not Use Click-for-reward Tactics

  • Which can be counted as defrauding consumers. E.g. no ‘Click here to receive a prize’, or ‘Congratulations on winning, click for your surprise!’ Any gifts offered in WeChat ads must include details of their name, true value, the overall quantity available and (if appropriate) the deadline for receiving them.

13. Can You Use Call-to-actions like ‘About to sell out’ when advertising on WeChat?

  • Avoid any language that seeks to manipulate consumers based on changes to the product availability, price, or quantity. E.g. ‘About to sell out’, ‘the lowest price in history’, ’no down payment if you buy right now’.

14. No Discrimination!

  • WeChat ads must not contain language that is discriminatory based according to class. No advertising things that are for ‘the upper classes’ or a ‘rich area’. No picking between consumers based on their perceived class.

15. Avoid Unlicensed Tie-ins with National Major Events

  • For example the Winter Olympics, Olympic Games, World Cup, and Double 11 (which is registered IP belonging to Alibaba).

16. About Statistical Data on WeChat Ads

  • Do not provide statistical data in WeChat ads without evidence. Evidence should have a source link, so that the public may follow up.

17. About Sales Events Advertising on WeChat

  • Businesses may not make limited-time sales events, unless the dates and times are clearly stated, and those dates and times are strictly adhered to. For flash sales, weekend sales and anniversary sales, the difference between normal sales and the special event rates must be clear and accurate.

18. Some Other Dont’s to Consider before Advertising on WeChat

    1. Do not use the national flag, national emblem, national anthem
    2. Do not feature transportation, commercial, cultural and educational facilities under planning and under construction
    3. All the pictures included in the text are realistic representations
    4. For loan and mortgage services: provide bank name, loan/mortgage amount and term. Include info on instalments, duration and daily payments
    5. Only RMB is allowed for settlements, foreign currencies are not allowed
    6. The content of any advertisement must not be exaggerated and untrue

There are also a few marketing tricks brands no longer can use, most of which are connected to unclear time limitations, unproven or false brand history facts (since XXXX year), general historic facts (“never before”, “unprecedented in the nation’s history”), and having buttons that lead to a page different from the one indicated (“click here to receive…”), etc.

In simple terms, advertisements should be identifiable by consumers as advertisements. Mass media must not publish advertisements in disguised form, such as in the form of news reports, or ‘advertorials’. Advertisements published through mass media should be marked with “advertisements”, which are different from other non-advertising information and should not cause misunderstanding among consumers.

Other such regulations can be found in the second revision of the China’s commercial and advertisement law.

Since the authorities now have their eyes on WeChat official accounts, more and more companies are asking content providers and communication agencies to assure their content complies with the regulations.

What Will Happen to You and Your WeChat Account if You Violate the Advertising Law?

The procedure for the investigation and penalization of a social media account, including a WeChat account is quite simple. The official representatives of your district will call your office to confirm your address and will arrange a time to visit (usually the very next day). Most likely you will not know any details before their visit, except the name of the account reported.

During the the visit, representatives will ask a few questions about the sensitive content. They will check your business license and business scope, the reasons why you post on WeChat and if those posts bring you any commercial gain. This will then lead a tax-related conversation.

After the conversation, they will ask you to provide a written explanation as to why the situation arose in the first place (from “I was not aware of the law”, to “I posted it on purpose”). You will also need to support the statement with the necessary documents and contracts (in case your agency is in charge of someone else’s content, or if your content is created by a sub-contractor).

Then, all that remains is to see whether the case will be dropped, or if a fine will be applied for you to pay.

How Much is the Penalty for Violating Advertising Law in China?

Depending on the severity of the indiscretion, there are different possibilities. For breaking WeChat terms, punishments range from taking down the content, limiting or blocking the traffic to content on WeChat moments, limiting or closing an official account, to banning the company from using WeChat, period. For violating advertising law in china, fines start at 10,000RMB and stretch up to 1 million.

Business licenses may also be suspended. In short, it’s not good news; certainly not worth the risk.

Avoiding Trouble on Your WeChat Account

Firstly, make sure you or those working on your content have read the law and are not using any forbidden terms, subjects, or any of the marketing tricks mentioned above.

 

wechat advertisement punishment

Secondly, make sure that all your existing content on WeChat account, Weibo, E-commerce platforms, Website, Mini-apps, etc. does not violate the law.

If you are concerned about this legislation and need help checking and editing the legal compliance of your content, keep in mind that HI-COM has been providing such a service for the past two years and has already helped hundreds of companies avoid legal trouble. Contact us now and get some answers for free!

If your content is already under investigation, please seek legal help.

Disclaimer: The information mentioned in the above article should not be considered as legal advice. HI-COM is not a law firm, and is not authorized to provide legal advice. However, we are in a position to proofread and edit your content in accordance with the advertising law regulations of China.

More about Our Services

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Benefits of Community Management in China and How to Implement It – HI-COM https://www.hicom-asia.com/benefits-of-community-management-china/ Mon, 24 May 2021 03:50:59 +0000 https://www.hicom-asia.com/?p=20062 community management benefits china

Community Management (CM) refers to a variety of actions and activities that create dialogues between a brand and its customers, fans and followers. Through social media engagement, events, contests and more, it is all about building a web of connections surrounding a brand, such that it becomes more than just a faceless entity. It is […]]]>
community management benefits china

Community Management (CM) refers to a variety of actions and activities that create dialogues between a brand and its customers, fans and followers. Through social media engagement, events, contests and more, it is all about building a web of connections surrounding a brand, such that it becomes more than just a faceless entity. It is a deft art, which done well can hugely benefit long-term sales, but done badly can seriously damage a brand image. Take, for example, the response by Dolce & Gabbana to controversy regarding their TV commercials in 2018. The Global Times reported that their apology was taken to be insincere, and has had an enduring effect on their business in China.

Market orthodoxy would suggest that if a product is good enough, and there is demonstrable need, pairing it with good old-fashioned advertising should be enough to generate the sales needed to succeed and build a brand . CM, however, creates a sense of community around that product, that can humanize a brand, lending feelings of sincerity and authenticity to its messaging.

Community Management also stands the chance of elevating baseline commercial success to new levels, not only generating new customers, but paving the way for enduring sales relationships . This, in turn, leads to opportunities for deeper market insights and thus improvements to a brand or service. People long to be part of something, to belong somehow to a conversation or a group that is aligned with their interests, and makes them feel special in some way. To put a brand or product at the centre of that feeling simply makes good business sense.


The benefits of Community Building in China, Online

We can neatly divide community management along online-offline lines. The online ecosystem in China is unique, and should be considered carefully when planning CM strategies. The key idea to consider is that Chinese netizens are often more active than their counterparts in other countries. The breadth of subjects engaged with is surprising to many international brands. Take, for example, the fact that in 2019, COPA19 research found that Chinese football fans are more digitally active than any others – more, even, than British and Brazilians.

What does this mean for international brands? First, it speaks of a willingness among Chinese netizens to engage with depth, over time, with the things they find interesting. Netizen fandom may have started with a focus on ‘idols’ such as actors, but it is demonstrative of the tendencies and attitudes of internet users across the country, who now shift their sights to brands. Second, it is a sign that products for which CM might be a pipe-dream in other countries might stand to benefit quite a lot from it in China. That is to say that niches are sought out and embraced by much of the huge online population.


The benefits of Community Building in China, Offline

Consumers, fans and followers across China are always eager to transfer their online affinity for a given community to an offline setting. It’s become common to talk of events, venues and stores ‘chasing the wanghong (网红, internet famous) dollar’. The important thing here is to think carefully about what a given community might want, execute it well, and then make sure that community members queue for it. “Queue for it?!” You might think. It might seem odd, but it’s how things work in China.

The sign of a queue outside an offline brand activation or experience is all the evidence people need that it must be worth something. If people can get a good photo once they’ve finished queueing, then even better.

It may sound shallow, to relegate the substance of offline community engagement to second place, but it makes sense when you think of it from a CM-in-China perspective. It is ingroup-outgroup psychology, through and through. This all adds value to a brand, it humanizes it, and increases the chances of creating strong, dedicated brand advocates.


Why do brands need to create communities in China?

 

The benefits of good community management are manifold. Here are just a few.
1. Community management can help build advocacy. There is a multiplier effect – engaged community members will speak for the communities they are a part of.

2. It helps increase the reach of your content. Community members are much more likely to share content than the average reader or viewer.

3. It humanizes your brand. This takes the relationship between consumer and brand from functional to personal.

4. A developed community can add value to the product. Social proofing is a very powerful force in marketing – people want to buy what other people are buying.


How to get started, and where to look for good examples of community management

The first port of call for most brands is WeChat. Having an official account allows brands to post content in a variety of forms – from blog-like posts to video.

1. Content creation for your community.

Blog-like posts are invaluable for advertising offline events, and presenting an online face. A good example to look at here is GongLuShangDian (公路商店, roadside store). Primarily a store for subculture apparel and accessories, it posts regular content highlighting elements of Chinese youth culture, that regularly garner more than 100,000 views, and always have a long string of discussion in the comments section. They complement this with offline tie-ins, sometimes sponsoring events, and cobranding with hipster Shanghai beer store 624 Changle.

In need of engaging and attractive content? Contact us today to discuss your project!

2. Open avenues for communication within your brand community.

Sadly, for any official accounts created since 2017, the comments section is disabled. Some form of two-way communication is possible, via the messaging function, but this is sparsely used and doesn’t allow followers to see each other’s comments. Lacking comments sections, brands will often create chat groups instead, which can house up to 500 members in each.

3. Channels to use when doing community management.

Another alternative is to create video content for the new ‘channels’ feature, where comments are enabled. It must be noted, however, that this is technically only for use by personal accounts. While some brands may choose to circumnavigate this rule, it is a breach of WeChat’s terms of service.

4. Questionnaires and other research tools for community management.

WeChat articles have innate support for polls and questionnaires. It can be fun for community members to see their responses compared to others, and can help you gain insights on community preferences.

5. Update your members and keep in touch.

Let your community know what’s going on in the world of the brand. People will be interested to read how the business is developing, and track the stories of the people involved.

6. Using visuals such as flyers in your community online.

Beautifully designed flyers, for events, promotions, or projects, catch people’s eyes. WeChat official accounts have support for posting single images.

7. Contests and other interactive content for your community.

Nothing motivates people like good competition. Caution is advised here, however, as WeChat rules prohibit official accounts from motivating any action within the WeChat platform, such as ‘share this article to enter’.

Other platforms suited for community building.

Weibo and RED are more flexible when it comes to communication between brands and their communities. In 2012, Nike took the smart approach of dividing its communities into sub-communities, such as ‘Nike Women’, and ‘Nike Football’. They combine their online community management with frequent offline activation events, such as ‘Nike Run Club’ and their ‘On Air Studio’, which gives space for different creators to show their specialties to the public.

KOC marketing and community management go arm-in-arm with each other. Read more about KOC marketing in our guide!


More ways to grow your community in China

 

Content aside, there are sources of further community members that you can mine through various techniques. Where can they be found?

1. From existing clients.

You can flyers, promotional materials and information about community activities to product orders. This can be done physically, by email, or via a post-purchase landing page.

2. From prospects.

These are people who have already demonstrated some interest in your brand, or in the kinds of products and services you offer. Targeted social media advertising, that sells not just your product but your community, can get them onboard.

3. From existing community members.

You can offer incentives and appeals for community members to add or introduce their friends to the community. This might come in the form of competitions, vouchers or simply acts of recognition.

4. From events, including offline QR codes or invitations.

There’s no better way to humanize a brand than to actually represent it in physical, human form. Whether sponsoring an existing event, or creating an event independently, it’s possible to get an audience engaged with a brand.

In conclusion

There are a variety of means to start community management in China, and it stands to provide huge benefit, but it requires an understanding of the local context. By creating a sense of belonging among fans and followers, and reinforcing it both online and offline, it is possible to carve out a loyal, active group of brand advocates. For more tips about how to get started, feel free to get in touch.

Here at HI-COM we understand the Chinese market. If you want to learn more about community management marketing or in need of community management services in China drop us a line!

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What Startups Need to Know about China Market Entry I HI-COM https://www.hicom-asia.com/what-startups-need-to-know-about-china-market-entry/ Thu, 04 Mar 2021 03:52:53 +0000 https://www.hicom-asia.com/?p=19072 startups entry chinese market strategy

Guest post by PTL Group 2020’s global turmoil has led China to better define its strategies, advance its R&D foundation and cultivate a burgeoning tech sector. With that in mind, China maintains an open-door policy that aims to create easier access to its lucrative market, for anyone who can support the country in fulfilling its […]]]>
startups entry chinese market strategy

Guest post by PTL Group

2020’s global turmoil has led China to better define its strategies, advance its R&D foundation and cultivate a burgeoning tech sector. With that in mind, China maintains an open-door policy that aims to create easier access to its lucrative market, for anyone who can support the country in fulfilling its goals. This is exactly where startup companies that bring sophisticated and innovative technology can gain momentum.

Here are some points to consider, before your startup takes off in the Chinese market.

Your Entry Strategy

When a startup company decides to enter the Chinese market, it must formulate a detailed entry strategy. Given China’s special characteristics, careful preparation cannot be overlooked.

In order to minimize risks and maximize chances for success, your startup should aspire to:

 

Shorten time-to-market

Time and budget constraints mean that there is no place for mistakes. Mistakes are too expensive in China and could lead to irreversible damage. Therefore, a quick and effective setup is the key to a great start in China.

Because the startups’ financial management is based on investments, and benchmarks have yet to be met, demonstration of feasibility and a fast penetration rate are crucial for future investment rounds. But in China time doesn’t only equal money, but also everything else.

A short time-to-market:

  • Shortens the time for the next investment round
  • Decreases costs
  • Creates a competitive advantage
  • Reduces copycat risk

Rely on local knowledge

Surprisingly or not, even with some understanding of the Chinese language, initiating a sales operation in China alone isn’t simple. In China you have to be aware of the “small prints”, nuances and cultural issues, that are most often difficult for foreigners to comprehend.

Business functions in China operate better when relying on local infrastructures, knowledge, and support. Also, partnering with a local expert is beneficial in China throughout all phases of operation, and across all business needs. This includes, for instance, conducting background checks on local candidates for hiring a local sales team, financial planning and issuing local invoices, marketing localization, establishing digital infrastructure, obtaining licenses and regulatory compliance.

Operating alone in China is like operating in the dark. Every interaction with a third party in China requires local knowledge to protect your interests.

Maintain operational flexibility

Growing the business goes hand in hand with growing operational needs. If not handled wisely, adapting to change may become more and more complicated.

No matter how structured your plan is, it should be re-examined after the first year of operation. You will often need to redefine strategies and make tactical adjustments based on the company’s growth rate, geopolitical market trends, feedback from the field and other dynamic circumstances. Operational flexibility will allow the company to make tactic adjustments fast and effectively, with minimum harm to business stability.

 

Your Operational Model

The two most common ways to set up operations in China as an independent brand are either registering a Wholly Foreign Owned Entity (WFOE), or utilizing outsourcing services for comprehensive operational support.

After years of working with dozens of startups in different operational models in China, our experience in 2021 leaves no room for doubt: in most cases, outsourcing as the key to enjoying comprehensive operational support has proven to be the best market entry model, simply because it embodies all the three principles above. 

The Bottom Line

Applying the aforementioned essential strategies to your China work plan will ensure your startup is on the right track to fulfil its potential. In the multitude of players in the Chinese market, values of distinction and agility will pay off in the long run, so be sure to keep them in mind from day one.

This post was written by our good partner, PTL Group. PTL Group provides management and operational support for international companies throughout their market entry and growth stages in China. Among the 300+ projects PTL Group has carried out, the market entry for startups package has served dozens of satisfied clients in China.

 

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