Why Aussie Companies Shouldn’t Advertise To Chinese Consumers In The Traditional Way

Why Aussie Companies Shouldn’t Advertise To Chinese Consumers In The Traditional Way
SHARE
THIS


What best describes you?

In this opinion piece, Digital Crew co-founder and director Ophenia Liang (pictured below) argues that the best way for Aussie companies to advertise to Chinese consumers is not through traditional channels, but through digital means.

Ophenia Liang

is the co-founder and director of Digital Crew, a multilingual digital agency based in Australia, Hong Kong and China specialising in cross-cultural marketing.

Chinese Premier Li Keqiang’s visit to Australia this week is a clear message that China is a champion of free trade and wants to strengthen economic ties. The importance of this visit should not be lost on any Australian company wishing to cement business ties in China.

However, competition is tough and the landscape in China is constantly shifting. So, if Australian ​companies want to get in front of Chinese consumers, don’t advertise in the traditional way.

Why?

The first reason is because ubiquitous television and print media advertising in China over the past decade has led to a desensitised Chinese consumer. There’s just too much of it.

The second is the limited advertising budgets for most Australian brands as budget constraints top the list of pressing issues. It’s hard to compete when 84 per cent of global brands plan to increase their marketing spend into China.

The third reason is the Chinese consumer preference for mobile devices and online searches.

This comes as no surprise when the size of the digital advertising revenue market in China is expected to be close to $44 billion in 2017, according to media investment group GroupM. The largest segment in digital is online search, at more than $30 billion.

This trend is expected to continue well into the future, with search advertising remaining substantially larger than other segments such as video and banner ads, social media advertising, and classifieds.

Mobile ad revenue is the big winner in China, with this form of advertising outranking desktop for the first time at about $23 billion to $21 billion. The mobile/desktop split is predicted to be $35/$20 billion in 2017 and $71/$17 billion by 2020.

These figures and trends provide clues to Australian brands planning their business growth in China as to what is happening in advertising markets there.

To put it simply, digital is outgrowing traditional advertising, and mobile is fast outranking desktop. Mobile devices and online searches are now the method of choice for most Chinese consumers.

What does this all mean for Australian companies?

They need to be aware of the consumer trends and behavior, and respond accordingly. This means focusing more on digital marketing and advertising, rather than traditional methods such as television and print media.

Australian brands need to optimise websites for Baidu – China’s largest search engine – to increase visibility and attain better search engine rankings.

They need to increase their brand presence and reach through mobile by using social media apps like WeChat, mobile video platforms and live streaming platforms like YouKu and iQiYi.

Breaking into the Chinese market means Australian brands must find their own niche or uniqueness in this extremely crowded market. This is the only way to get noticed and win over Chinese customers, particularly with limited Australian marketing budgets.

Also, brands need to be more conceptual in their thinking.

Chinese customers want to know what your product stands for – its essence and value proposition.  Is it Australian-made, a family business, boutique or organic?

Bridestowe Lavender Estate in Tasmania won the hearts of Chinese girls born in the 1980s with its lavender bears. New Zealand’s EcoStore entered the Chinese market two years ago, positioning its products as pure, organic and baby-friendly. It is now enjoying success in a relatively short time. These examples show the importance of pinning down your unique brand value proposition before conducting any digital communication campaigns.

Brands have to get smarter. Why invest heavily in TVC or other forms of offline advertising when Chinese digital platforms offer a more cost-effective approach for communicating with Chinese consumers and enhance brand awareness?

Digital marketing channels are in a dramatic state of flux, and that is perfectly mirrored in China. For this reason, Australian brand marketers need to move much faster in response to market trends and current affairs.

On-demand, real-time campaign assessment and review is essential for the Chinese market, where data analytics is key to unlocking customer value and campaign direction. Drafting a 12-month plan and not reviewing it for a year simply won’t work. You need quarterly or even monthly strategic reviews just to keep pace.

Please login with linkedin to comment

Latest News

OMD Announces New MD For Melbourne
  • Media

OMD Announces New MD For Melbourne

OMD unveils new Melbourne MD, and it certainly wasn't among any of B&T's picks. Not that we were picking, mind you.

Sydney Festival Chooses Brightcove To Enhance Online Video Content
  • Media

Sydney Festival Chooses Brightcove To Enhance Online Video Content

Video cloud service Brightcove has announced that Sydney Festival has selected the platform to improve its user experience through online video content. Brightcove will do so by removing third-party branding and pre-roll ads, as well as adding autoplay functionality, ahead of the event in January. Leveraging the Brightcove video platform to host and publish video […]

Does Your Christmas Marketing Suck?
  • Opinion

Does Your Christmas Marketing Suck?

Remember the old Palmolive soap ad that asked, "Don't wait to be told"? This is sort of similar, albeit sans any suds.

Opinion

by Peter Harris

Peter Harris
Queensland Anti-Porn Crusaders Cop Ad Ban
  • Campaigns

Queensland Anti-Porn Crusaders Cop Ad Ban

We have a strident anti-pornography policy at B&T. Earphones must be worn at all times and strictly no little people.

by B&T Magazine

B&T Magazine
Nature’s Way Celebrates Big Things Little People Do In UCG Videos Via Wavemaker & Storyful
  • Advertising
  • Campaigns
  • Marketing

Nature’s Way Celebrates Big Things Little People Do In UCG Videos Via Wavemaker & Storyful

Health and wellbeing company Nature’s Way is celebrating the achievements of kids in a series of relatable and entertaining online videos that tug at the heart strings of parents. Instead of using actors to tell the brand story of Nature’s Way’s Kids Smart supplement range, Storyful has helped Wavemaker to license user-generated content clips of […]

DEC PR Wins Hisense Account
  • Marketing

DEC PR Wins Hisense Account

Electronics and whitegoods specialist Hisense has announced it has appointed DEC PR to lead its strategic communications remit in the local market, following a competitive tender process. DEC PR will work to support its brand building activities and managing corporate communications. The agency’s work will integrate closely with Hisense’s other marketing partners. Andre Iannuzzi, marketing […]

QMS Media Expands Presence In Melbourne With New Digital Billboard ‘The G’
  • Advertising
  • Media

QMS Media Expands Presence In Melbourne With New Digital Billboard ‘The G’

Outdoor media company QMS Media has strengthened its digital outdoor presence in Victoria, unveiling an iconic digital billboard in the heart of Melbourne’s famous sporting precinct. The launch of ‘The G’ sees QMS’ landmark digital portfolio ‘bookending’ arguably one of the most iconic and in-demand digital outdoor locations in Australia – Richmond Station Bridge – […]

HSBC Sydney 7s Creates New Visual Identity For 2018 Via Digilante
  • Advertising
  • Campaigns
  • Marketing

HSBC Sydney 7s Creates New Visual Identity For 2018 Via Digilante

As part of the HSBC World Rugby Sevens Series, the Sydney 7s event returns in January complete with a new brand identity, creative strategy and media campaign. With the 2017 Sydney 7s a sell-out event, the challenge for 2018 was to carry that momentum into the third year, defining Sydney’s place as the new ‘go-to’ […]

Bound Round Launches Family Travel Publication for Aussies
  • Media

Bound Round Launches Family Travel Publication for Aussies

Family travel platform Bound Round has announced the launch of its first e-magazine to Australian consumers. Travel Bound is a family-focused, digital quarterly publication available on all Virgin Australia flights through the carrier’s in-flight entertainment system, and is also available for consumer download via the Bound Round website. Bound Round founder and CEO Janeece Keller […]

SBS Unveils New Look, New App For SBS News
  • Media

SBS Unveils New Look, New App For SBS News

Do you like say "I only watch SBS" in an attempt to sound smarter than you are? Well, why not pretend to read this too?

by B&T Magazine

B&T Magazine
Ex-Samsung CMO Joins Amazon Australia As Marketing Director
  • Marketing

Ex-Samsung CMO Joins Amazon Australia As Marketing Director

Amazon Australia has appointed former Samsung Electronics chief marketing officer (CMO) Arno Lenior to lead its marketing division. Lenior worked as Samsung’s CMO for more than three years before departing in 2015. According to his LinkedIn profile, he has also held CEO roles at VR company Virtical and brand consultancy Blue Ocean Brands, and joined […]

by B&T Magazine

B&T Magazine
News Corp Names Its Car Of The Year
  • Marketing

News Corp Names Its Car Of The Year

News announces its annual Car Of The Year and it's not what you'd expect. Well, we certainly didn't expect it anyway.

Aussie Tennis Open & Country Road Announce New Partnership
  • Marketing

Aussie Tennis Open & Country Road Announce New Partnership

The Australian Open has partnered with iconic Australian clothing and lifestyle brand Country Road to supply the uniforms for next year’s tournament. Confirmed today as the official fashion lifestyle Partner of Australian Open 2018, one of Australia’s most loved brands will be worn by thousands of tournament staff at Melbourne Park in January. On-court officials including the chair and […]

Andrew O’Keefe Quits His Weekend Sunrise Duties
  • Media

Andrew O’Keefe Quits His Weekend Sunrise Duties

After 12 years with Weekend Sunrise, Andrew O’Keefe has decided to step away from his hosting and reporting duties. O’Keefe will continue his full-time role as host of Seven’s quiz show The Chase Australia, as well as focus on other projects with the Network. “The ideal job is doing work you love with people you love,” O’Keefe […]

Study: Brand Loyalty Hinges On Customer Support Experiences
  • Marketing

Study: Brand Loyalty Hinges On Customer Support Experiences

Fast and effective support will be a competitive differentiator for companies looking to win over digitally transformed customers and employees, new research has revealed. According to a study by IDC and LogMeIn titled Support Services as a Competitive Differentiator, nearly 67 per cent of consumers said that customer satisfaction was more important than price when […]

OMA Appoints Red Ant Design To Build Industry’s First Automated Proposal Platform
  • Advertising
  • Media

OMA Appoints Red Ant Design To Build Industry’s First Automated Proposal Platform

The Outdoor Media Association (OMA) has announced the appointment of Red Ant Design to build the out-oh-home (OOH) industry’s first automated proposal platform (APP). After an extensive global search and industry consultation, the decision to build the system in-house with a local Australian company was made. The APP will be built in an agile process, […]

Nick Ballard, Managing Director
Australia & New Zealand, BlisMedia
  • Marketing
  • Technology

Blis Unveils New Consumer Behaviour Analytics Tool For Maketers

Location data technology company Blis has launched an analytics tool that allows marketers to analyse consumer behaviour – from audience profiling, to exposure, to attribution – by capturing and activating mobile movement data. Smart Trends offers robust in-store consumer behavioural insights and in-store comparison of multiple location types and brands, allowing marketers to break down demographic, […]