Double 11, Singles’ Day, Chinese Black Friday!  You may have noticed signs or banners popping up around town or on your Wechat moments, indicating something BIG is happening on this date.  What is happening and why should we care?

Shopping is one of China’s national sports and Double 11 or ‘Singles’ Day’, where the e-commerce platforms lay the perfect hunting grounds, is a day where records are broken.

Singles’ Day – Once a day to celebrate your singleton, Jack Ma, Founder of Alibaba, has transformed China’s ‘anti-Valentine’s Day’ into a frenzy of too good to be true online sales.

Today, Singles’ Day is the largest day of sales around the world that takes place every November 11^th from midnight to midnight.

Perhaps better known as Double 11, recent Singles’ Day sales generate more revenue than America’s Black Friday and Cyber Monday combined!

In 2020, Jingdong (JD.com) total 11-day sales during Double 11 2020 grew by 32% YoY and reached 271.5 billion yuan (US$41.02 bn) in GMV. Tmall’s 11-day Singles’ Day sales reached 498.2 billion yuan (US$75.27 billion) with an increase of 26% YoY.

What’s crazy about this giant day of sales is that more and more businesses, influencers, and countries want to take part in it.

Double 11 2019 recap

In 2019 Alibaba pushed the boundaries ones more and achieved  10 billion yuan sales in just one minute and 36 seconds! One of the factors of such high sales volumes was the launching of Double 11 sales in few countries of South East Asia, such as Malaysia and the Philippines. Live-streaming also took place that year and brought a new note to the festivities. 200,000 brands participated in Tmall’s online shopping festiva in 2019l, of which more than 20,000 are foreign. Chinese cosmetic and fashion bands broke into the “top 5” of sales volumes in their categories for the first time.

Double 11 2020 recap

Tmall

250,000 brands in total participated in Double 11 in 2020, of which 31,000 are overseas brands. Tmall’s 11-day Singles’ Day sales reached 498.2 billion Yuan (US$75.27 billion).

JD

According to JD brepor, FMCG products have become the top five categories in terms of sales, while 3C household appliances such as mobile phones, washing machines, laptops and other household appliances rank first by total sales.

What to expect in the year 2021 on the Double 11 day?

As Alibaba keeps updating functions of Tmall and Taobao, this year it is all about live-streaming event! Other update on the Alibaba front: the pre-sales have started mid October, and many brands are shipping the good already! Expected to break all records, the festival is taking over offline spaces too, 90% of retailers hold 11.11 sales for all brands big and small!

KOLs (Influencers) and KOC (Key Opinion Customers) are being the busiest this season, and starting November 1st most will hold hourly sales streams. Wonder when shall you start preparing for 11.11? Our answer is: July!

Read more about KOL (influencer) marketing in China in our amazing guide!

Read more about KOC (Key opinion Customer) Marketing and how to get started with it here!

Discover 13 most popular livestreaming platforms in China!

Double 11 consumers behaviour at a glance

• Price is no longer the most important factor when it comes to purchasing, Chinese shoppers are now focused more on quality.
• Impulsive shopping is increasing as Chinese consumers’ have growing disposable incomes.
• Chinese consumers remain loyal to national influencers, meaning having the right influencer can strengthen your campaign.
• Food and Cosmetics are the top-of-mind categories for Chinese consumers.
• Chinese consumers prefer niche products that represent their lifestyles and their ideals. 
• Live-streaming is expected to reach new heights this year.
• Alibaba will put even more efforts to new Ali-markets such as real estate. 
• Improved AI of the ali apps is pushing consumers to discover products they didn’t even know they need!

You can expect to find a variety of brands utilizing technology that gives consumers the chance to see and select products that are in-store and in virtual stores. Virtual reality is being used to promote unique shopping experiences for consumers with high expectations from the day.

Whether you are planning to participate in Double 11 or not, you won’t want to miss out on the creativity that will be deployed to get consumers in the doors of shops and online making purchases.

Why shall you act now on joining the Singles’ day?

The phenomenal success of Singles’ Day is a snapshot of the times we are living in.  China’s consumers are active, captive and connected by device, with more than 82% of the online transactions during last year’s Singles’ Day taking place via mobile application.  Alibaba has intelligently capitalized on the consumer and technological trends that 21^st century China has experienced over the last 10 years.

It is a culture of early adoption and rapid pace, where e-commerce is not seen as an add-on to a company’s marketing strategy, but increasingly the main event.  It should be noted that Alibaba’s platforms do not themselves sell; they merely provide the interface or platform to enable the buyer to meet the seller.

Alibaba makes money by selling advertising space to sellers and takes a commission from larger retailers.

What Alibaba has done with Singles’ Day is turn it into a celebration of e-commerce.  Celebrities, rock stars, pop stars and sports stars are flown in to help celebrate and the numbers generated from the country’s annual “spend-a-thon” are lit up on a big screen, with analysts eagerly noting down the breakdown of consumer metrics and data by industry, brand category, spending level, region etc.

Alibaba notes its strategy this year is to take Singles’ Day global with a stronger focus on imported products and services, as well as promoting its Chinese brands to overseas buyers. The growth won’t come without some challenges such as language barriers and compliance and trade regulations to adhere to.

However today we are seeing unprecedented levels of cross-border transactions and Singles’ Day celebrates the freedom to “treat youself” by simply swiping and clicking your way through the virtual shopping aisles of the world.

If you want to participate in Chines black Friday, you shall start looking for a TP (Tmall partner), who will represent your products on the platforms, localize your products to the Chine market and get some help from Chinese KOL using  influencer marketing!

Happy Singles’ Day!

Are you preparing for this year’s Double 11? If so, take a look at the previous marketing strategies implemented brands during last year’s Double 11.

Double 11 in 2021: Strategies Chinese brands use to reach their sales goal over the years

Perfect Diary brand strategy

Brand introduction:

Perfect Diary combines the facial and skin characteristics of the Asian population with the European and American fashion trends, to develop a series of high-quality and easy-to-use cosmetic products for the new generation of women. The brand supports China’s fashion industry and aspires to become an internationally influential Chinese beauty icon. Perfect Diary supports the younger generation and believes that they should not be bound by external labels, band should instead actively explore more possibilities in life to become the best version of themselves.

Marketing strategy:

Perfect Diary’s marketing strategy combines Celebrity endorsements with KOL corporation and KOC sharing on social media, with a goal to create an overwhelming response for the 618 and Double 11 shopping season!

Prior to 618 and Double 11, Perfect Diary launched a large number of new products and opted for celebrity endorsements and famous KOLs to help build a successful brand image and attract more interest from the public. The brand spent lots of money on KOL reviews.

Perfect Diary selected 2-3 new products, and invited small and medium-sized KOLS (with thousands of followers) to share the products on social media to attract more traffic and brand awareness. Just before 618 and Double 11, Perfect Diary invited popular celebrities to make recommendations and specifically focus on one or two products.

However, Perfect Diary needs new marketing methods to better enhance the brand’s interest and influence. So, their solution is Brand crossover. Like many brands, Perfect Diary looks for stars to better promote its products and events. The brand also takes advantage of the fashion week, with famous brands and supermodels seeking cross-industry cooperation. Perfect Diary also seeks cooperation with major international well-known IP.

For brand, this marketing approach not only helps the brand to penetrate into different consumer groups, but also expands its user circle and enhances the brand’s reputation.

Consumer review:

Three Squirrels brand strategy

Brand Introduction:

Three Squirrels Co. LTD was founded in 2012 and its headquarters are located in Wuhu, Anhui province. It is the first online food brand in China and is the largest food e-commerce enterprise with the highest sales volume in China. It mainly sells nuts, dried meat, dried fruit, pureed foods and other snacks. On December 3, Three Squirrels announced that its annual sales in 2019 exceeded 10 billion Yuan – making it the first company within the snack industry to exceed 10 billion Yuan.

Marketing strategy:

Three Squirrels is mainly internet based and uses B2C platforms to implement its online sales. This unique business model closes the gap between merchants and customers, ensuring that customers are able to enjoy fresh and tasty food. Three Squirrels pioneered online food sales in China.

Three Squirrels’ offline business is a self-run food store (200 square meters), that focuses on the consumer experience and physical display of products. The brand plans to use Alibaba’s retail channels to enter thousands of community stores. According to Zhang Liaoyuan, Three Squirrels now has 700,000 stores, with a product repurchase rate of 75%. The Three squirrel stores (cooperative shops with young entrepreneurs), rely on the owners’ IP to sell their products. As of August 10, 2019, the number of Squirrel stores exceeded 100.

With its unique sales model, the Three Squirrels came first place in the Tmall nut industry on Taobao on the double 11, 2012, with daily sales of nearly 8 million Yuan. Its rapid development made history in China’s e-commerce. In 2013, Three Squirrels sales exceeded 300 million.

Three Squirrels are transforming into a digital supply chain platform. Zhang Liaoyuan believes a large number of food producers should connect with consumers to make the two links shorter. In the end, the efficiency of the industry will be improved, costs will be reduced, the quality will be better, and consequently, there will be a higher consumer demand.

Adolphbrand strategy

Brand introduction:

Adolph is a personal cleaning and health care brand, part of Guangzhou Adolph Personal Care Products Co. LTD.  Its headquarters are located in Guangzhou. The brand’s founder, Chen Diansong, met Adolph Martins Ganning, a Spanish performer, when he was traveling in Europe. Adolph created a classic smell that evoked strong emotion, referred to as “the smell of love”. The founders hope to pass on “the smell of love” to commemorate Adolph.

Marketing strategy:

Originally, Li Zhizhen suggested experiential marketing because “Adolph products do not use spokespeople or magazine advertising, but instead share samples with a number of potential customers to reach a bigger audience.” Adolph uses money in this way to save on advertising.  Over 90% people who try the products come back to Adolph and become a customer.

The product is delivered by the manufacturer and the store agent does not have to pay for it. With this in mind, the store’s purchase price is just 3.3 percent less. There is enough profit to promote and build teams for store, which means that the brand can still be present on channels without a spokesmen or advertising.

Regarding the brand’s marketing, Adolph collaborates with popular Mobile game social platforms, variety shows so that the brand is able to receive huge brand awareness and traffic on a global scale.

PurCotton brand strategy

Brand introduction:

PurCotton is a wholly-owned subsidiary of the robust medical group, Shenzhen PurCotton Technology Co. Ltd. It has 20 years of professional technology and production experience within the medical cotton industry. It provides laced, cotton spun, non-woven fabrics. The brand has expanded from medical products to civilian products. As the only high-end cotton household goods brand with a medical background in China, its core concept “cotton care for health” commits to providing safer, more comfortable, and environmentally friendly healthy cotton products.

At present, PurCotton specializes in four main product categories: maternal and infant care, female care, quality life care, and medical care. These categories include products such as soft towels, sanitary items, napkins, baby diapers, cotton household items, etc. and they are all widely recognized and favored by the customers.

Marketing strategy:

Every “PurCotton” product has a lasting guarantee. It has eight main types of products, such as clothing, household goods, baby and children’s products, women’s care, and many more. The basic “PurCotton” materials are imported from American and are of a very high quality. In 2010, PurCotton fell into the trap of wasting money to buy online traffic. However, in 2011, it adjusted its strategy and began to establish trust between its products and users, resulting in a better reputational position and improved sales prices. Over time, the brand’s trust has gradually accumulated with the establishment of direct sales – both online and offline. As of 2015, the PurCotton brand has more than 90 offline stores.

Xiaoxiandun brand strategy

Brand introduction:

Xiaoxiandun is a beauty product made from bird’s nests in Malaysia and Indonesia. It was established in 2014 and has a shelf life of 15 days. It has no additives and is a cold and fresh product that gets delivered to thousands of houses every week. Its brand mission is to make tonic health care easier and hassle-free.

Marketing strategy:

Consumers don’t often know how to select or make this product at home which makes the consumption of it very few. Therefore, Xiaoxiandun focuses on making the process much simpler for consumers. For example, the brand selects the ingredients (with no additives), freshly stews it, and chills it ready for delivery (uses a C2m business model) – making the customer journey effortless and hassle-free.

Providing a natural solution for pregnant women and those who love beauty

Traditional tonic products, such as those made from bird’s nests, seem like products that only middle-aged and elderly people can afford. However, the demand for tonic health care is rapidly changing and there is becoming a much bigger demand from the younger generation.

Advice to brand’s live-streaming in 2021

1. Live broadcasting has become a very common way for users to learn about a brand and its environment – similar to the experience of going to an offline store to buy things as the customer is able to meet the employees and get a feel for the business.
2. When broadcasting, the brand image should be considered, e.g. the style that the anchor conveys and the type of environment being showcased.
3. Different brands should have a professional anchor landing style.
4. Profits, including gifts, should be very clear and diversified.
5. Live broadcasts should be planned well in advance and holidays/events should be taken into consideration. For example, the seasons, Christmas, Chinese New Year, 618 and Shuang 11.

HI-COM is a multilingual communication agency dedicated to providing China specific 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!

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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. 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.

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.

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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.

HI-COM ASIA is a professional multilingual translation agency working in more than 40 languages and offering a wide range of services. We work in a wide range of fields including finance, medical, legal, SEO and digital marketing. One of our most recent projects at the end of this year was set up with our IT partner QP Software for the marketing agency DIGITAL RETEX working with the DUCATI brand.

1) Case study – RETEX AGENCY – DUCATI

The project was the Technical SEO Optimization & SEO Optimized Translation into Mandarin for the new version of the website of a major brand: DUCATI, one of the renowned clients of the DIGITAL RETEX agency.

The different translations were in simplified Chinese to meet the brand’s desire to develop in a new and growing market. We took care to optimize the SEO translations in Simplified Chinese by taking into account the different possible meanings from one language to another as well as the localization to the culture and dialects whose words and characters used may have alternative meanings.

2) THE DUCATI BRAND

Ducati is a brand that is part of Italy’s “Made in Italy” heritage and is one of the best known motorcycle brands in the world. Founded in 1926 in Bologna, Italy, the various models of motorcycles offered by the brand are sold all over the world, from Japan to the United States and many European countries. This is why DUCATI now wishes to move into a new market: CHINA.

To do this, the creation of a website in Chinese and referenced on BAIDU is essential.

3) WHAT IS SEO OPTIMIZED TRANSLATION and SEO TECHNICAL OPTIMIZATION?

In order to better understand the project established for DUCATI, it is helpful to ask the question: what is SEO optimization and what are the benefits? SEO (Search Engine Optimization) represents the translation of a website while adapting the words and written content to contain certain keywords in order to improve the referencing of the site. This means that prior to the translation, research must be carried out on the target audience, the market, the competitors and the keywords to be targeted. An SEO-optimized translation will aim to choose keywords that are important to the brand in order to create content around it and thus improve its ranking on search engines in relation to it, here on BAIDU. For a good SEO translation it is also important that the keywords represent popular searches and that they are repeated consistently in the content created. If your site is placed in the highest searches and on the first page you will generate more clicks on your site. More clicks means more traffic and increased sales and therefore more revenue for the brand. For example, if your company is based in Italy and you want to sell your products in China, in order to successfully penetrate the Chinese market, it is essential to optimize your website and content specifically for Chinese consumers.

Baidu has become the leading search engine in China, it has a 90% penetration rate in the Chinese market and holds 68.44% of the search engine market share there. It should be noted that Google is not allowed in China.

Thus, SEO optimization is not enough on its own, the technical optimization of the site must be efficient, otherwise the potential customer may not find your site because BAIDU will not be able to reference it properly if the technical aspects of the back office are missing. What is the purpose of technical SEO? It is to complete and write on each page and article of the site the meta description, title, description of images etc. so that BAIDU knows what the page is about and thus reference it correctly. In this case the algorithms are Chinese and the requests are made in Chinese characters. The indexing robots will focus mainly on Mandarin content. In addition, the IT team can work with software linked to the back office of your website in order to check each step of the process and the functioning of all technical aspects.

Thus, in addition to the creation of content adapted to the market that includes certain SEO keywords, the meta description and title of the pages and articles created is as important as the SEO-optimized translation.

4) OUR WORKING METHOD – OUR PARTNER

HI-COM is a multilingual translation agency dedicated to providing Chinese-specific social media communication and e-commerce marketing services to companies worldwide. Working with over 100 brands, HI-COM is the partner of choice for companies looking to enter the Chinese market. Contact us today for a free consultation!

Our main mission was to ensure that the content we created was translated in an optimized way with respect to searches and keywords while working on the technical aspects to ensure that each page has a unique and optimized meta description, title, and tag as well as keywords.

HI-COM took care of translating the entire original website into Simplified Chinese while making sure to target the keywords in order to integrate them into the translated content and our partner carried out integration of the meta description tags.

Once this work was done, we started the implementation on WORDPRESS in the back office for all the information on the new Chinese version of the website.

We worked on the creation of more than 70 new pages and 200 existing ones. Since this work concerned the Chinese version of the website, the website was adapted for the BAIDU search engine. Baidu is the equivalent of Google in China, as the latter is not allowed in the country. The SEO on BAIDU is somewhat different from the SEO on Google but is still based on the same principles.

Additionally, the choice to translate into simplified Chinese was made because it is now the version of the Chinese language most used in China since the 1960s.

Finally, the META TAG DESCRIPTION is very important for the referencing of the site because it contains html information that search engines use to understand the content of the page. It is also what will appear when your site appears on it and thus allows you to be better referenced if it is well optimized. By optimizing these meta tag descriptions, Baidu users will be able to find you based on the type of product, the name of the brand and the category of the product, all based on keywords to be highlighted in characters and pinyin (written letters) and in simplified Chinese.

At the end of the optimized translation and technical implementation on the site, we conducted an SEO audit to verify the performance of the added and improved points including meta tag description, image formats, page loading speed and broken links or duplicate pages and whether the implementation of the different elements was successful or not.

We would like to thank DIGITAL RETEX and Ducati for trusting us with this project.

Contact us now for your translation projects, web integrations or other projects! 

HI-COM is a professional translation agency working with clients from different fields, carrying out multiple translation projects of all types.

One of our most recent projects was an SEO-optimised translation for the MYA agency for a well-known beauty brand.

1) THE PROJECT

Our agency’s mission was to provide localisation, transcreation and SEO-optimised translation from French into 6 languages (English, Spanish, Italian, German, Polish and Turkish). We were therefore responsible for localising the product sheets, blog articles and other material on the brand’s website.

2) THE MYA AGENCY

MYA Agency is a 100% digital agency working in 3 different countries: France, Belgium and China. This agency is specialised in the digital visibility of brands, webmarketing, natural referencing and Chinese marketing.

MYA assists its clients with improving the visibility and reputation of the brand on search engines as well as content writing!

With more than 10 years of experience serving SMEs, manufacturers and start-ups, MYA has developed real expertise in this field.

3) WHAT IS OPTIMISED TRANSLATION, LOCALISATION AND TRANSCREATION?

What is SEO-optimised translation and its benefits?

SEO (Search Engine Optimisation) translation refers to the process of translating the content of a website into a specific locality; this means that research is required to understand the cultural references and social attitudes of your target location.

It is important to carry out a translation that is SEO-optimised in order to improve your website’s ranking on search engines. An SEO-optimised translation will aim to choose keywords that are important to the brand in order to create content around it and thus improve its search engine rankings in relation to the brand.

In addition, for a good SEO translation it is also important that the keywords represent high searches and that they are repeated consistently in the text. Effective local SEO can also help you generate more clicks on your international website.

More clicks means more traffic, increased sales and therefore greater revenue for the brand.

For example, if your company is based in France and you want to sell your products in China, in order to successfully penetrate the Chinese market, it is essential to optimise your website and content specifically for Chinese consumers.

Thus, SEO translation alone is not enough; the localisation of the site must be efficient, otherwise the potential customers may move on in a matter of seconds.

What is the purpose of website localisation?

Its main purpose is to adapt content to a specific language and culture for local consumption. In some cases, the translator can work on localisation elements for the same language. For example, a text for the Chinese market compared to one intended the French market will use a different vocabulary with an adaptation to the culture of both countries.

More than a simple translation, website localisation aims to help brands and companies target a larger number of potential customers. The advantage being to increase brand awareness and revenues.

However, it is not enough to simply translate the content of your website, such as meta titles, meta tags and image descriptions. You will need to consider other cultural factors that could impact your content, such as fashion, colours, customer behaviour, etc.

Product descriptions written correctly in one language represents a professional and trustworthy business otherwise your products will not be perceived as relevant to your target audience.

What does transcreation consist of?

Transcreation is a term used to refer to the process of adapting the source content from one language to another according to its cultural and regional characteristics. In other words, the definition of transcreation is to convey the meaning of the original sentence taking into account its social and cultural context.

For example, when focusing on a marketing transcreation, you need to determine whether your marketing message will translate correctly. Communication slogans, for example, need to be more than just translated, but need creative transcreation to maintain meaning and to choose the right terms in relation to the language.  This method is unique as far as presentation is concerned because it involves adjusting the message in another language.

Transcreation is a so-called creative process that relates to the field of advertising and marketing.

Transcreators have some of the same skills as translators, but they also have skills in writing advertising and marketing content.

4) WHAT WERE THE PROCESSES APPLIED?

The content translated, localised and transcreated for MYA’s end client included new fragrance and make-up ranges that were to be displayed on the brand’s international website.

In addition to the translation, we worked with retail experts in the different target countries to ensure that the most appropriate and suitable keywords were applied for each national market, in order to strengthen the brand’s SEO ranking in each of these countries.

Firstly, one of our business developers was in charge of the direct contact between the project managers and the agency.

Our project managers were then responsible for finding the translators and transcribers specialised in the cosmetics field and native speakers of the required translation languages.

Proofreaders also specialising in the cosmetics field had to proofread the various translations and our production manager was responsible for the control and quality of the translations provided.

HI-COM is a multilingual translation agency dedicated to providing companies worldwide with Chinese-specific social network communication and e-commerce marketing services. Working with over 100 brands, HI-COM is the partner of choice for companies looking to enter the Chinese market!

Contact us today for a free quote!

When it comes to dual localization, brand name translation, especially into languages such as Chinese, Japanese, and Arabic, can be very sensitive, and despite the fact the end result may only consist of one or two words or characters, the amount of time, research, and effort involved to arrive at this point can be enormous. This is especially the case in China, where one character may have several meanings, and these meanings may morph into something completely different when paired with another character.

8 out of 10 brands localize their brand name when entering foreign markets. In markets like China it is necessary because local customers may not be able to pronounce your brand’s usual name.

To illustrate this, 好（hǎo) means “Good”, and 好坏 (hǎo huài) means “Very bad”!

What is the process of brand name translation?

When working on brand name translation, it is important to follow the methods applied by professional naming agencies. The goal is not only to find a Brand translation that will mean and/or sound the same as the original, but also to make sure the new name will be positive, sound right, be original, and fit the new location’s market.

Brand names can be translated in different ways. They may reflect phonetic specifications, meaning or be more independent, or include both.

The brand name translation process includes 4 key parts:

1. Brand Image definition
2. Definition of the target audience
3. Benchmark of existing competition and their brand names
4. Brand name translation

Brand Image Definition

When conducting research on Brand Image, one should include the brand’s attributes (what type of organization it represents, what it stands for, the meaning of its logo etc.), association (the meaning and emotions that the brand name brings out), targets (the type of audience the brand is aiming for), domestic market (the category to which its loyal customers belong), and price positioning (is it a luxury, mass market or niche brand?). This research is critical for creating a successful foundation to brand name translation.

The second step is about defining key words associated with the brand. This can be done in focus group studies.  Ask your group what they think are the main associations people make when hearing your brand’s name. Then work around the key words they have used to describe your brand.

Why should you translate and localize your brand name when exporting your company?

You need to ask yourself how your customers will pronounce the name of your brand. Do they include words or sounds that may have a different meaning in another language or that could cause offence?

When it comes to translating your company name or even your product name, it’s important to ask yourself these questions. You can either transliterate the name which means create a name that sounds like your brand or one that is spelt similarly. Or you can also transcreate which means creating a name that has the same meaning as your brand name even if the spelling is quite different.

At HI-COM we offer both of these services to help you expand your market especially in China, where the native language looks and sounds completely unlike Latin languages.

Find more about brand name translation here!

For example, your focus group thinks that your brand is associated with modern fashion and ethical/responsible products. When describing high quality association, they use words like young, good quality, design, and fresh. And ethical association was all about sharing, support, and charity. Even with such limited information, brands like TOM’s come to mind. The goal is to create a new brand name that will not distract from the brand’s current image but at the same time, ensure it sticks in the minds of the brand’s new audience.

Definition of the target audience

The goal of this research is to find out who are we talking to. The Brand’s market research and your marketing strategy will be at their most useful here. If you are working on a brand name translation of a famous cognac brand that wants to enter China market, your market may be:

• 25-35 years old (demographic), youngsters and young-at-heart who are looking for a subtle and modern cognac
• They are energetic, modern, sophisticated drinker

Benchmark of existing competition and their brand names

One of the most important tasks here is to determine who the relevant competitors are, analyze their names and find similar trends.

Take into account the origins of your competitors, as translated and original names may play by different rules. Try to see what similarities the translated names have. Can you apply these trends to your brand name translation?

Brand name translation – putting it all down

Now, when you have all you need, you can now start the actual brand name translation process. Decide on how important it is to be close to your original name phonetically. See how many syllables the brand name has, and (if you work with Chinese brand translation) what meaning each syllable shall have. Pay attention to cultural norms and habits. For example, Hyundai Accent had consistently declining sales in the Russian market, until it was renamed as Solaris.

Of course, a strong linguistic background is required to choose the best variations, that will not sound strange together.

How big brands translate brand names to Chinese

It is very important to leave brand name translation work to the pros, otherwise you might end up on the pages of “failed marketing” articles. But be careful, even pros can fail. Therefore it is important to double check your results with an extra focus group before you make it official.

1. Funny on the ear

A buzz around AirBnB’s new Chinese name 爱彼迎 （àibǐyíng) appeared after the seemingly innocent characters 爱 (love) and 迎 （welcome) (which does not mean, but sounds like another character 淫 (yín) with meaning of “”lust, excessive, loose” ）were separated by a second character 彼, making the name sound a little like a word for female genitalia. The original meaning of 彼 is “those”, but its spelling is not so important, as it sounds the same. And considering that the business of Air BnB is based on inviting strangers to your home, this may give some a strange impression of the company’s main line of business…

2. Brand name translation: Missing the point

Examples of major campaigns such as KFC’s “finger-lickin’ good” being translated to “bite your fingers off” in China a few decades ago, and Pepsi’s “Now it’s Pepsi for those who think young” translated as, “New Pepsi is for people with the minds of children” have basically become classics in failed marketing.

3. Brand name translation: Irrelevant meaning 

When translating a brand name, keep in mind that the characters have to remind a customer of your scope of business. So if you are in the automotive industry, pick characters that represent speed, safety or even an animal like a “precious horse” (BMW with their 宝马 （bǎomǎ）), or a tiger on a road (Land Rover with 路虎（lùhǔ) ). If you work in the IT business, opt for words relating to “ideas”, “progress” or “knowledge”.

When Google picked 谷歌（gǔgē）, which literally means “a village song”, their supporters were, let’s say, a bit confused.  And in the case of Best Buy,  百思买 （bǎisīmǎi） their name is more of a warning: think a hundred times before buying!

4. Skipping a translation 

So as you can see, it’s a minefield out there. No wonder some companies have never localized their brand name in China. Look at GAP, or Facebook, for example. But if the first one has 3 letters and somehow fits into local minds, the second one is called by the users as they please which can be a good excuse to turn a brand into a joke (脸书（liǎnshū））, and in the worst case scenario an English name of a brand will be long/complicated/unmemorable for Chinese customers, so they will just not talk about it, putting a stop to word-of-mouth. This actually happened to Hermes; for the first few years, Chinese customers simply did not talk about the brand, giving the company no choice but to pick a Chinese name.

You would think that companies as big and as prestigious as Hermes would know better and would never make poor judgment on such an important task as brand name translation, but apparently no one is immune. So think twice before deciding to do such a job in-house.

In the early 2000s, Dosirak instant noodles from Korea entered the Russian market. “Dosirak” is what is written on the Korean packaging to this day. The product did not sell well as the brand name sounded too funny to local ears (associated with a “person who has very frequent bowel movements”), and the noodles were renamed to “Доширак” (Doshirak). Given that the letter “sh” doesn’t exist in Korean language.

Looking for a trustworthy professional with experience in China in brand naming? Then HI-COM is here for you! We are an international multilingual expert that makes communication easy, professional and engaging. With our rich pool of resources all over China and an ever-ready international team, HI-COM will make sure your message is fully understood, localized according to the highest standards, and delivered on time! Contact our team today!

Britain and China share a long history. In a world of Brexit and with China’s e-commerce market growing, it will be clear to most that Britain will be looking closely at China to secure one of their trade deals outside of the EU. Britain has some of the most luxurious brands which are hugely popular among Chinese people. With recent predictions stating that China’s middle class is set swell up to 630 million, a large number of British brands will be looking to capture a larger share of the Chinese market. Chinese consumers tend to hold British luxury products highly as they are seen as ‘sophisticated’ and ‘classy’. Today, we will talk about why certain British brands have dominated the Chinese market and remained popular, while others have been less successful.

The British brands doing well in China and why

Burberry, Alexander McQueen, Dyson, British Airways, Ted Baker and Rolls Royce are some of the popular British brands in China that have been able to succeed in bringing their business across.
Burberry is a household name for those who shop in high-end fashion. In China, ‘Burberry’ is perceived as a luxury, upmarket brand, and is one that many Chinese people feel represents all the good things about London and British heritage.

What has Burberry done right in China?

Burberry takes a whooping 40 percent of its revenue from China. So, what has Burberry done right? Burberry has a Chinese flagship store in Shanghai within the Kerry Centre. The flagship is amongst 45+ stores in China. The brand has been able to reach a lot of its customers through its retail stores or online stores. Some may even go far in saying that, the key to Burberry’s success has been its marketing strategy. Burberry has capitalized on China’s e-commerce market by making waves on Chinese Social media and the e-commerce platforms. Burberry launched a store on Alibaba’s Tmall platform. The brand has been able to connect with the Chinese audience through WeChat’s mini programs. They have been able to engage with the Chinese audience by launching exclusive products through WeChat. This can be seen when Burberry launches a new product on the 17th of each month as part of its B series.

The Brand also understands how influential KOL stars can be in China. Burberry had previously targeted Chinese consumers at London Fashion Week by pulling singer Kun Chen, actress Dongyu Zhou and rapper Lucas Huang as Chinese ambassadors. The Fashion house gained an extra 300,000 followers on Weibo because of their influence.
Burberry is an established brand and if you combine that with a local Chinese digital strategy, it’s a successful cross border story.

What has Dyson done right in China?

Dyson is another innovative British brand that is sweetly sailing the Chinese e-commerce market. Dyson is one of the popular British brands in China.

The brand has made a mark by having its products sold in 200 stores across 45 cities in China. Dyson has been able to recreate the word innovative time and time again through releases of new products. From hoovers to air purifiers to hair dryers, Dyson is still regarded as a high-end brand.

According to reports, China is Dyson’s fastest growing market. The story of James Dyson as a creator, businessman and designer appeals to Chinese consumers. Dyson products hallmark quality and great innovative design.

The brand again catered for the Asian market by designing smaller machines. Another reason why Dyson has catapulted in China is because Dyson’s products come across as unique. A great example of this would be when Dyson launched the cordless hand held vacuum.

Dyson has been able to adapt to the Chinese market and create a demand for them to stay relevant. They have launched on e-commerce platforms such as JD and Alibaba’s Tmall. Dyson understands the Chinese market and has capitalized on big sales festivals such as the infamous 11.11. During the 11.11 festival in 2018, Dyson’s newly ‘Airwrap Hair Curler’ apparently sold out within three minutes on Alibaba’s Tmall and just 15 seconds on JD.com.

Dyson was one of the 84 brands to reach 100 million yuan in sales within an hour. Dyson has not only be making splashes online, People’s Daily reported that Dyson held 61% of China’s vacuum cleaner market in 2018.

The British brands that haven’t fared well and why

Marks & Spencer, New Look, Top Shop and ASOS are some of the brands that have not been successful in breaking through the Chinese tides.

Mark & Spencer’s demise in China can be broken into a number of reasons. The brand opened its first store in Shanghai in 2009 and 9 years later, it left China all together. So what went wrong with Marks & Spencer? The brand may have come across too quintessentially ‘British’ and was not suited to the Chinese taste.

Another reason could be Marks & Spencer didn’t keep up their presence on China’s digitally advanced platforms. They weren’t able to communicate and engage with their potential customers online.

It is vitally important to understand the market and gather as much information as possible about your potential customers. Marks & Spencer didn’t truly understand exactly where to position themselves and the steps they could have taken to salvage their brand.

This problem is also shared with ASOS, New look and Top Shop. Mid-sized high street fashion brands have struggled in China. This could be down to the fierce competition from the online market, where China has several e-commerce platforms catering for low to high end fashion consumers.

ASOS, Top Shop and New Look have been swept under the sea of online shops and failed to attract audiences in China. It could also be blamed by the fact the retail industry has been at a decline all together and that has affected physical stores the most. Marks & Spencer and New Look have both faced challenges in the UK and have had to close some of their physical stores down.

They’ve both narrowly avoided going into administration. Again, this could be down to the brand’s failure to adapt to the online market.

What can British brands do to transition into China?

A brand should have a clear, solid plan when trying to enter the Chinese market. We emphasis a great deal should be spent on market research. It is important to gather a comprehensive study of the local shopping habits, tastes and competition. Once you feel you have gathered enough intel about the market.

The next step would be to create a digital footprint on Chinese social media and Chinese e-commerce platforms. The key here is to be present and engage with your potential online Chinese consumers.

From there, we recommend that you localize your brand’s website, name and marketing material. Chinese social media is a huge deciding factor to how a business will fare in China.

The brand should then create social media campaigns that attract and educate the local audience. The final step would be to set up your own social media and e-commerce channels for the Chinese market.

Another added bonus step would be to use a KOL star to create further awareness. Chinese influencers hold a huge following and can bring brand awareness and generate leads as seen with Burberry’s London Fashion Week campaign.

If you have any more questions about Chinese digital marketing and how to enter the Chinese market with minimum costs, feel free to get in touch as we’d be delighted to hear from you. We hope we can help you achieve what these popular British brands in China have done.

HI-COM is a multilingual localization and communication agency dedicated to providing professional localization solutions, content and social media management to businesses around the world.

HI-COM helps companies enter the Chinese digital ecosystem with a simple and hassle-free approach. Let us help you achieve what these popular British Brands have in China. Contact us for your free consultation today!

The Belt and Road Initiative (BRI), is a global infrastructure strategy implemented by the Chinese government in hope to form a unified market.  Potentially generating a brand new era of globalisation, the initiative was first introduced in 2013 by Chinese President, Xi Jinping, to improve “connectivity and cooperation on an intercontinental scale”.

The Belt and Road Initiative (BRI), is a global infrastructure strategy implemented by the Chinese government in hope to form a unified market.  Potentially generating a brand new era of globalisation, the initiative was first introduced in 2013 by Chinese President, Xi Jinping, to improve “connectivity and cooperation on an intercontinental scale”.

Since 2013, the initiative has developed significantly and is now arguably one of the largest collections of construction projects in history, with over 130 participating countries.  Therefore, it probably comes as no surprise to know that $500 billion worth of global infrastructure projects are now planned or underway.  China’s total oversea’s investment could reach $1.3 trillion over the next seven years. These projects include airports, railways, industrial centres, motorways, ports, urban sectors and new cities.

Within the initiative there are six main economic segments which are referred to as “corridors”.  These corridors are allocated dependent on country’s participation and geographical location. Here are the six economic corridors:

1. The New Eurasian Land Bridge
2. The China-Central Asia-West Asia Corridor
3. The China-Pakistan Corridor
4. The Bangladesh-China- Myanmar Corridor
5. The China-Mongolia-Russia Corridor
6. The China-Indochina Peninsula Corridor

How did it get its name?

Originally referred to as “One Belt, One Road” in 2013 by Mr Xi, the strategic name originates from the ancient trading route, Silk Road.   Mirroring the idea of this historic route, the initiative aims to create “Modern Silk Routes” by connecting countries in the Far East with the Middle East and Europe. Whilst “Belt” refers to the overland transportation links between the participating countries, “Road” ironically represents the maritime routes connected via Chinese ports.

About Silk Road

Silk Road was established around 2000 years ago during the Han Dynasty in China. The famous route was used for trading products such as tea, cotton, fruits and vegetables, livestock, tools, artwork, materials and of course, silk. 

Some of the most popular traded items between the East and West were paper and gunpowder (both invented in China in the Han Dynasty) which consequently had lasting impacts on history and culture in the West.  However, it wasn’t just materials discovered on the historic trading route, but also languages, cultures, philosophies and sciences.

How does China hope to benefit from the BRI?

Besides establishing new relations between China and the rest of the world, the BRI has the potential to provide considerable economic and political growth for China. For example, China’s export markets will expand, there will be promotion of RMB as an international currency, and reductions in trade frictions such as transport costs.

As a developing country, China has changed the typical model of globalisation that has been traditionally dominated by developed countries, such as those in the Western world. The BRI has dramatically increased China’s global governance status and also improved the rest of the world’s international trading relationship with China.

How can HI-COM help?

As a result of the “modern Silk Road”, China’s global trading relationships are expected to strengthen, whilst more businesses will feel encouraged to communicate internationally with different markets.  However to do so, doesn’t just require speaking a foreign language (although that will certainly help), but it will also be necessary to become familiar with different cultures, work ethics and trading markets.

If you or your company require any information, translation or localisation, please feel free to get in touch as HI-COM be delighted to help.

HI-COM is a fresh and innovative localization and communication agency. Based in the bustling international city of Shanghai, we are multilingual communication specialists. Our clients vary from startups and SMEs to Fortune 500 companies, across all major industry sectors from FMCG, to marketing, to automotive and engineering. What all our clients have in common is their ambition to grow and compete in an increasingly globalized economy.

Fantasy is one of the most difficult genres to translate. Made-up locations, creatures, and objects may present quite a challenge for a translator, especially if the book is a part of a series. Today we will discuss the methods of translating fantasy books, the main difficulties, and some recommended translation techniques.

Fantasy genre

Fantasy is one of the most difficult genres to translate. Made-up locations, creatures, and objects may present quite a challenge for a translator, especially if the book is a part of a series. Today we will discuss the methods of translating fantasy books, the main difficulties, and some recommended translation techniques.

What you need to know about translation of Fantasy books 

Books in the fantasy genre often contain fictitious words whose sound and style can create certain associations. In the original language their essence can be understood on an intuitive level. During translation, these features may get lost, and as a result, the main meaning and theme of the work that the author wanted to convey may disappear. In the fantasy genre, translating the text correctly to ensure the accurate transmission of the lexical and stylistic meaning is the main task of modern literary translators.

Fantasy is a genre of literary fiction, based on myths, legends, and fairy tales. This style has gained particular popularity among modern writers due to extensive opportunities opening up for writing work. The author is not constrained by certain frameworks, allowing them to come up with original plots and use an interesting style that will engage the reader.

A distinctive feature of these books is the presence of unique words and definitions invented by the writer. This practice of using axioms allows writers to specifically emphasize the plot, express the emotional state of the characters, and describe events more clearly.

Therefore, the translation process involves a detailed study of the work, the implementation of a detailed analysis of lexical features, and the search for similar expressions that can reflect the essence of the words.

In general, translation of books can be done using two methods:

– literal translation, in which it is important to keep the structure of the text unchanged;

– indirect translation, where special attention is paid to preserving the semantic load.

Translation of fantasy books, example 1: The Hobbit

Each method has its own characteristics when transmitting the main information. The main lexico-stylistic problem of these processes relates to incorrect translation and replacement of words. In such cases, the reader of the book may incorrectly reveal the essence of concepts, which leads to the loss of the idea of ​​the book and the emergence of false associations. Quite often, a similar phenomenon was encountered when translating the novels of J. R. R. Tolkien. For example, in the works of the author, elves often appear. So, in the “Hobbit” three elf races are mentioned: Fair Elves (Light-elves), Deep Elves, and Sea Elves, which, according to the author, are characterized by light, wisdom or love of the sea. In the Chinese version it was translated as ‘Golder’ Elves (金色精灵)  , Dark Valley Elves (幽谷精灵 ) and Sea Elves (海精灵), which does not fully match the original meaning.

Translation of fantasy books, example 2: Harry Potter

One of the important factors of the fantasy genre is borrowing words without explaining their meaning. A false interpretation of the concepts may cause misconceptions about the plot of the book, which may result in the reader not fully understanding the meaning and cause-effect relationships of the described events. For example, Quidditch balls in the works of J.K. Rowling have quite telling names. In the Chinese version, The Golden Snitch was translated as “Golden Thief” “金色飞贼”, where 贼 means a quick and skillful thief, who can climb roofs and jump above walls. This name fully conveys the behavior of the ball during the game, so that the reader can immediately understand its essence. However, in some translations the ball is called the “Golden Snitch”, which does not allow the reader to instantly understand its feature.

Translation of fantasy books, example 3: The Happy Prince

Many fantasy writers add a specific behaviour to special fictional characters, which is often described by their names. Violation of the structure of the phraseological unit of the word in translation leads to the mixing of ideas in the work. A famous example is the work of O. Wilde, “The Happy Prince”. Due to the fact that in English all animals and birds belong to the male gender, Swallow has characteristic male features, while Reed has female features. But in translations to gender-inclusive languages, this may change. When translating, the idea may lose its meaning, as after translation, Swallow and Reed could become an equivalent of the opposite gender in the translated language, which happens in the Russian version of the book. As a result, the tempers of the heroes and their behaviours are misleading for the reader.

Change of the syntactic composition could also lead to a change in the meaning of the text. English is a very specific language, and the rearrangement of adjectives, nouns, and verbs into different positions in a sentence may convey different meanings according to some readers.

Why is it so difficult to translate fantasy books

Translation of fantasy books is considered a painstaking process. The translator needs not only to rewrite the text in another language, but also to convey the main meaning, features, and ideas, which is possible only after a detailed study of the work. Compliance with the basic rules of the language is considered an important element of the translation, but the incorrect transfer of the plot could jeopardize the entire value of the book.

One of the main obstacles when translating any books – is the inability to provide consistency. When Harry Potter was translated by one of the publishing houses in Russia, it was split into 2 parts and given to 2 different translators. The book went to print in a rush without proofreading, and as a result, the same characters, spells and locations had 2 different versions in the book, which created tension and confusion within the audience. The same problem may arise when translating books that belong to a large series. The translator must read previous versions or have a glossary from previous translations provided to them.

Some Examples of translation of Fantasy books produced by HI-COM

French-English translation sample

French – Chinese translation sample

How to choose a translator or translation agency that will provide a high standard of translation of fantasy books

When sourcing their translators, agencies such as HI-COM pay great attention to their background, experience and personal interests.

When an agency takes on a project such as translation of fantasy books, it must provide the adequate resources to their translators, such as validated glossaries, previous translations of books, and style guides.

Translation agencies must control quality of the translation delivered, having a professional bilingual proofreader and editor checking the work after the translator. This will prevent inconsistencies, unnecessary add-ons, and incorrect translations.

Lastly, agencies must work with professional teams of translators and proofreaders in order to deliver high quality translations to publishing houses and independent clients.

Have more questions? Send us an email!

As one of the most powerful economic players in the world and its largest manufacturer, China attracts many foreign entrepreneurs and investors. In this article, we will share with you the process of starting a business in China and how to register a company as an expatriate, taking into consideration factors such as formalities, procedures and the necessary documentation required.

As one of the most powerful economic players in the world and its largest manufacturer, China attracts many foreign entrepreneurs and investors. In this article, we will share with you the process of starting a business in China and how to register a company as an expatriate, taking into consideration factors such as formalities, procedures and the necessary documentation required.

If you wish to take advantage of the business opportunities offered by this country, you will need to create a legal entity from which to operate. This depends on factors such as the nature of your activity and your budget among others.

After discussions with Bridge To China(Shanghai Henghui Enterprise Development Ltd), a company that helps foreign companies deal with local government in Shanghai and its surrounding regions, we wrote this article to share with you the process of starting a business in China as an expatriate.

The Chinese market is a growing market attracting an ever increasing number of foreign companies. However, it is not so simple to establish a company or a branch in Shanghai for example as a foreign sole proprietor or as a foreign company. HI-COM has prepared the main steps and lead time for this with the help of Bridge To China.

Here are the steps of the process for forming a basic company that do not involve special approval from government:

1.  Name check with Business Bureau

The name of the companyin Chinese that you plan on using. Bear in mind that, in order to avoid using a name that is already in use or, for some reason, is unusable, you must ask for the name’s pre-approval from the AIC (Administration of Industry and Commerce) in the city in which you intend to open the company. This pre-approval may require between 2 and 15 days, depending on where you apply.

2.  Application to Commerce Bureau

All foreign investment into China is governed by the commerce bureau (商务委), which will issue you a Letter of Registration to be used when opening a bank account.

3.  Application to Business Bureau

All companies (both local and foreign companies) are registered with the Business Bureau (工商), who issues the business license and monitor the business operations. To obtain an approval certificate and business license, you will have to apply through two different government entities: The Ministry of Commerce (MOFCOM) and the State Administration of Industry and Commerce (SAIC) or most likely, in the event of a “modest” investment, with their local branches.

4.  Business License to be Issued

The founding date of the company will correspond with the day you are issued the business license.

5.  Chops (authorisation stamps) to be made by the Police

Fourchops, Company Chop, Legal Representative Chop, Bank Chop and Accountant Chop will be issued and registered with the Police to detect any contract fraud.

6.  Open Bank Account (BoC)

Finding a suitable bank for your business is crucial when forming a company. It is there where your funds and your capital will be stored. You will need an international bank, which is able to carry out transactions with foreign banks in order to facilitate substantive exchanges with your country of residence. HSBCis generally the most popular bank because it is fully international and has its main offices in Shanghai and Hong Kong.

7.    Tax registration

Companies have to comply with China’s tax regulation by maintaining monthly bookkeeping, declaring taxes such as VAT, corporate income tax, personal income tax and filing financial reports and audit reports annually. Here is a list of taxes to consider for a WFOE or Joint-Venture:

• Corporate Income Tax: This is a tax on profits (or the gross income minus company expenses) of 25%. However, there are various ways to receive a tax reduction on profits (for example if your industrial sector is “encouraged”, you will only pay 15%).
• Turnover Tax (or Transaction Tax): This is a tax on sales that can vary between 3% and 5% depending on the type of business (the exception is “entertainment” firms, for which this tax varies between 5% and 20%).
• Custom Duties: These are duties on goods imported to or exported from China (even in this case there are various ways to get a reduction or exemption from duties, such as if your firm is situated in a Free Trade Zone).
• VAT: The VAT in China is usually 17%. As in Europe, this is a tax on consumption therefore companies can “unload” it.
• Individual Income Tax: This is a tax imposed on dividends levied by the company partners and the tax on workers’ salaries.

8.    Registering for Import/Export License through the Custom Bureau

Register with the Custom Bureau and apply for an IC card.

Documents required for all these steps:Original Passports (3 working days needed to be verified by Commerce Bureau.) If the shareholder/investor is a “Legal Entity”, certification by Local China Embassy for the Legal Entity and a sound credit statement from the local bank for the business will be required.

Lead Time:

• 12 working daysto obtain the business license
• 1 dayto open a bank account
• 1 dayfor tax registration
• 15 working daysfor custom bureau registration

Documents that Bridge To Chinacan provide:

Company Constitution, Shareholder/Director Appointment Letter, Biz Lease Contract, Im/Export etc.

Before registering your company, you must decide on the status that best suits your needs. The most common forms for foreign companies are the Joint Venture, the Representative Office, the Wholly Foreign Owned Enterprise (WFOE)and the Partnership Enterprise.

Each of these possibilities has advantages and disadvantages and it is important to choose the right entity because this is what will follow your business throughout your development on the Chinese market.

• The Joint-Venture (JV):

Thisis an agreement between two partner companies from different countries co-operating long term. The joint venture is based on the pooling of traditional, commercial, technical, managerial and financial and human resources. The basic idea is cooperation and the sharing of risks, profits and losses.  The Chinese government encourages this form of establishment with the aim of transferring technology and knowledge to Chinese companies.

Procedure:

1. Business Name Check/Registration
2. Application for Certificate of Approval
3. Application for Business License
4. Business License Police Registration
5. Make Company Chop
6. Open Bank Account
7. Capital Injection

* For Trading, Manufacturing, Food & Beverage and operating other special industries, additional approval is required from governmental bodies.

Creation time: 6 – 12 monthsupon receipt of all documents (depending on the sector of activity).

• The Representative Office (RO):

A representative office is an organization that conducts market research and seeks contacts for its head office. It contributes to developing its activity in other countries (commercial audit, quality audit, etc.). It is a suitable choice if you would like to work with the Chinese market but you do not want to run the risk of setting up a company and remote commercial development is expensive and complicated: the representative office is an ideal development intermediary.

Procedure:

1. Application for Business License
2. Business License Police Registration
3. Make Company Chop
4. Open Bank Account

* The parent company has to be over 2-years old.

Creation time: 3 – 5 monthsupon receipt of all documents

• The Wholly Foreign Owned Enterprise (WFOE):

This isa limited liability company in China wholly owned by a foreign individual or company. Liability is limited to the registered capital. The WFOE can generate income and pay taxes in China. A Chinese partner is not necessary for its creation. It offers all the possibilities of development, payment and recruitment with risk limited to the registered capital.

Procedure:

1. Business Name Check/Registration
2. Application for Certificate of Approval
3. Application for Business License
4. Business License Police Registration
5. Make Company Chop
6. Open Bank Account
7. Capital Injection

* For Trading, Manufacturing, Food & Beverage and operating other special industries, additional approval is required from governmental bodies.

Creation time: 4 – 6 monthsupon receipt of all documents (depending on the sector of activity).

• The Partnership Enterprise

This is a form of establishment in China on the basis of a partnership between two companies, or two (or more) individual investors. There are no nationality constraints for the partners. The objective is to enable entrepreneurs to carry out their projects without too much financial commitment. This recent form of establishment is ideal for entrepreneurs or small structures with all the possibilities of a WFOE without registered capital.

Procedure:

1. Business Name Check/Registration
2. Application for Certificate of Approval
3. Application for Business License
4. Business License Police Registration
5. Make Company Chop

Creation time: 4 – 6 monthsupon receipt of all documents (depending on the sector of activity).

Administrative procedures in China can be long and complicated, so it is important to do your research well so as not to waste time. Consult the appropriate sites in order to know which documents you will need for the entitiy you have chosen.

It is also possible to use an agency who can speak Chinese to facilitate this often-painful process for foreign companies.

Which districts are more interesting in terms of incentives and subsidies(government funding, rent, entrepreneur subsidies, etc)?

Bridge To China is working with BaoShan SiTang Biz Park (Baoshan District), and ChongMing HengTai Biz Park (Chongming District).

Both offer free business registration, and tax incentives unto 20% (VAT & Income). Chongming is more generous regarding both the tax incentive and other supports for agriculture/environment related business types. Baoshan is close to the city center thus more convenient for the tax registration when the legal representative is required to be present.

Which kind of fields (IT, Manufacturing, service, etc) have access to more funds from the Chinese government?

All businesses registered in China with a sound standing are eligible to apply for all types of government funding and subsidies in addition to tax deductions and other incentives. This depends greatly on the business itself with its potential growth projection and items such as IP and TM.

For companies to succeed in China, it is important to offer something innovative that is different from the competition. For your establishment in China, you will have to promote your product via Chinese social media like Weibo, Wechat and Douyin.  Even if China tends to be improving in terms of respect for other commercial innovations, the country will not escape its reputation and the copy of the product is unfortunately always present.

This means that as soon as you know that you want to work in China, you must register your trademark, because the Chinese government applies the “first-to-file” principle.  Any applicant who registers the trademark first will be considered the true owner of the company. To register your trademark, you must work with an agent of the Trademark Office of the Public Administration of Industry and Commerce of the People’s Republic of China. For registration, you must prepare the Chinese name of your trademark.

Once your brand is registered, you should also consider registering patents and designs to protect the uniqueness of your products. To do so, you will need to contact the National Intellectual Property Office of China. The associated costs will depend on your product.

Good to know:

Depending on each particular case and the province or city where you have decided to settle, additional steps may be required.

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