{"id":21350,"date":"2019-10-04T10:30:33","date_gmt":"2019-10-04T09:30:33","guid":{"rendered":"https:\/\/staging.phdmedia.com_\/china\/?p=21350"},"modified":"2019-10-04T10:33:29","modified_gmt":"2019-10-04T09:33:29","slug":"friday-data-snack-2-2-2-3-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2","status":"publish","type":"post","link":"https:\/\/www.phdmedia.com\/china\/friday-data-snack-2-2-2-3-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2-2\/","title":{"rendered":"PHD China’s Friday Data Snack!"},"content":{"rendered":"

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Category\"\"<\/a><\/strong><\/h3>\r\n

Danish mid-market apparel brand GANNI, a brand with <\/span><\/b>USD 100 million<\/span><\/b> <\/b>in annual turnover<\/span><\/b>, has seen increasing mentions on Chinese social media and commerce platforms like RED (Xiaohongshu), where it has amassed over <\/span><\/b>1600 mentions.<\/span><\/b> Fashion forward users are publishing photos wearing the brand\u2019s clothing to show off their taste and sophistication. This media buzz is even more surprising given that the brand does not have an official presence in China.\u00a0 click for more…<\/a><\/span><\/b><\/p>\r\n

INSIGHT & IMPLICATION:<\/span><\/b> Outbound Chinese tourists as well as Chinese residents of other countries can be a rich source of earned media for overseas brands that have yet to enter the Chinese market or don’t have immediate plans to do so. Appealing to this audience segment can help brands understand what potential there might be in the market and help build significant social buzz. An increase in awareness and desire will allow a smoother and faster development if or when a brand officially enters the market.<\/span><\/p>\r\n

Consumer\"\"<\/a><\/strong><\/h3>\r\n

According to the China Population and Development Research Center, the national birth rate has continued to fall, reaching <\/span><\/b>a year-on-year drop of up to 30%<\/span><\/b> in some areas like Chongqing. The reasons behind this sharp decline include the decrease\u00a0 of the number of women of child-bearing age (15-49) and the changing perception of people born in the 1980s and 1990s that having children is not necessarily an essential part of marriage. click for more…<\/a><\/span><\/b><\/p>\r\n

INSIGHT & IMPLICATION: The t<\/span><\/b>arget audience pool for brands selling to families with young children is shrinking while the overall population is becoming older on average. This means that the audience size of couples without children is increasing and brands need to consider what role they can play in the lives of those consumers and how they are addressing their needs and wants. Due to their lifestyle choices, these consumers are likely to have higher disposable income and can represent a significant source of business for brands that are able to reach them meaningfully.<\/span><\/p>\r\n

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Culture\"\"<\/a><\/strong><\/h3>\r\n

According to a Kai Tak Education survey, <\/span><\/b>83% of Chinese millionaires<\/span><\/b> plan to send their children to study overseas. 40% of all international students in the United Kingdom are from China, with <\/span><\/b>95,000<\/span><\/b> of them belonging to the high spending category. The US currently hosts around <\/span><\/b>350,000<\/span><\/b>, Australia <\/span><\/b>153,000<\/span><\/b> and Canada<\/span><\/b>75,000<\/span><\/b> students from China. click for more…<\/a><\/span><\/b><\/p>\r\n

INSIGHT & IMPLICATION:\u00a0<\/span><\/b>While many luxury and premium brands heavily rely on outbound Chinese tourists as a source of revenue, many of them ignore the importance of Chinese expatriates, especially students who often come from wealthy families. They tend to have significant spending power and can become a source of significant social buzz and brand desire in the Chinese market. One common mistake overseas brands make is treating the Chinese student population the same as other student demographics. In reality, Chinese students rarely change their media habits and they stay highly active on platforms popular in China as this is where their family members, friends and key sources of information and news are. This is why, in order to meaningfully reach this consumer segment, overseas brands should consider a different communications and brand experience approach that will suit the media habits of Chinese students, customising the social and digital platforms they commonly use. If executed properly, this approach could pay off in the long term \u2013 not only in the brand\u2019s home market, but also in China.<\/span><\/p>\r\n

Media\"\"<\/a><\/strong><\/h3>\r\n

During Alibaba\u2019s Investor Days, the company announced that the development of relevant content has driven sales growth across different categories. For example, Alibaba claims that thanks to \u201cThe Longest Day in Chang\u2019an\u201d (in Chinese:<\/span>\u957f\u5b89\u5728\u5341\u4e8c\u65f6\u8fb0<\/span><\/b>) , Beijing lamb soup orders on food delivery app <\/span><\/b>Eleme <\/span><\/b>increased by 180%<\/span><\/b>; music app Xiami saw clicks and trials <\/span><\/b>reaching 5.8 million<\/span><\/b> and the number of tickets purchased for Xi\u2019an\u2019s tourist destination Chang Hen Ge <\/span><\/b>rose by 64%<\/span><\/b>. click for more…<\/a><\/span><\/b><\/p>\r\n

INSIGHT & IMPLICATION: <\/span><\/b>While numerous brands in China utilise content primarily as a sponsorship vehicle, it is also possible to rely on it as one of the communications drivers for category growth. This is especially important for brands in categories with low penetration. Utilisation of content in this aspect can go beyond simple functional communications and reach users in a more emotional and engaging manner. That said, brands need to understand that a successful outcome will heavily depend on a significant number of elements, starting from the selection of media channels over the content itself (including the creation of opportunities during the production) to availability and convenience of purchase conversion.<\/span><\/p>\r\n

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Have a great weekend!<\/strong><\/p>\r\n","protected":false},"excerpt":{"rendered":"

\u00a0 Category Danish mid-market apparel brand GANNI, a brand with USD 100 million in annual turnover, has seen increasing mentions on Chinese social media and commerce platforms like RED (Xiaohongshu), where it has amassed over 1600 mentions. Fashion forward users are publishing photos wearing the brand\u2019s clothing to show off their taste and sophistication. This […]<\/p>\n","protected":false},"author":84,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[503,498],"tags":[897,528,898],"class_list":["post-21350","post","type-post","status-publish","format-standard","hentry","category-industry-insights-global","category-our-views","tag-data-snack","tag-phd-china","tag-phd-insights"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/posts\/21350","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/users\/84"}],"replies":[{"embeddable":true,"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/comments?post=21350"}],"version-history":[{"count":0,"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/posts\/21350\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/media?parent=21350"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/categories?post=21350"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.phdmedia.com\/china\/wp-json\/wp\/v2\/tags?post=21350"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}