Archives for posts with tag: advertising

For the 2016 Olympics Coca-Cola has adapted it’s global campaign idea to the Chinese market. The 2016 Message: “Gold” is not about winning at all costs.

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The campaign is an example of how marketers in China try to tap into the national zeitgeist. China experienced years of fast-paced economic growth and development; growth has slowed, and the government has pushed to rebalance the economy to something more sustainable. That feeling has trickled down to ordinary people too, with a sense that after years of striving to get ahead, it’s time to take stock of what’s important.

“People are trying to lead a more balanced life – it’s not about winning at any cost,” said Richard Cotton, head of creative excellence for Coca-Cola China.

See the video and further background from AdAge here.

Coca-Cola partnered with internet giant Tencent and its social network Qzone, which has 588 million monthly active users. It has a feature similar to Facebook’s “On This Day,” which offers prompts about memories people have shared in the past. Coke is sponsoring the memories, turning them into “Gold Moments.”

A hard hitting campaign from Japanese premium cosmetics brand SK-II, supports Chinese womens’ fight agains the suffocating notion of ‘leftover women’.   It captures a new form of femininity in China – confident, independent and uncompromising in terms of what they will achieve in their lives.

SK-II outlines the cultural phenomena of the ‘leftover women’ as a form of psychological torture for women you must face at the pressure of getting married ‘to a certain man’ of a ‘certain station in life’.

The brand has been active on social media using the hashtag #Changedestiny.

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See this campaign and the article in full from Social Brand Watch here.

WeChat had more mobile transactions over just Chinese New Year than PayPal had during 2015

The scale of social and messaging platforms in China is at its peak on Chinese New Year, as statistics on usage of platforms such as WeChat and Weibo reveal.

According to WeChat, owned by digital media business Tencent, 420 million people sent each other lucky money via the app’s payment service on the eve of Chinese New Year. According to WeChat, it has seen a total of 8.08 billion red envelopes sent so far for Chinese New Year, eight times more than last year. 

To put this into context, according to PayPal it made 4.9 billion transactions in 2015 (half of the number of transactions made on WeChat just for Chinese New Year) and only 28 per cent were made on a mobile device.

The lunar new year festivities spread to the UK this year, with many foreign brands taking to the streets and online to help people celebrate. But it is the digital channels that are changing the shape of celebrations in Asia.

According to the data from Tencent, women were more generous as 56.5 per cent of senders were female.

One significant difference in the digital version of the tradition seems to be the amount being sent. The statistics revealed that the most popular amount gifted was RMB 8.88 ($1.35), (eight is a lucky number). This is a lot lower than would be gifted in envelopes in person and is likely to be a lot lower than the average transaction amount on a platform like PayPal.

See the full article from the Drum here.

While China’s economy is still blazing ahead at an amazing pace, regions outside the conventional Tier 1 markets may offer the most lucrative opportunities. In 2016, more than ever given the shifting patterns of China’s economy, it will be worth looking at the vast country through the changing fortunes of its cities.

The key to growth may now lie in the “Rising Suns”: Places that few outsiders have heard of, such as Guiyang, Xiangyang and Hengyang, which will shine brightly in 2016, their economies growing by up to 12%. Coincidentally, in their names they all have the character yang, which means “sun” in Chinese.

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A key shift in these markets has made them an ideal growth market: 40% of all Chinese prefecture-level cities will have an average disposable income of at least 30,000 yuan (nearly $5,000) by 2016—an important threshold, at which people start to spend on goods other than food and clothes.

A brief overview on the Rising Suns cities below, see the original article from the Economist here, a synthesised review of the top cities below (from the original post here).

No. 1: Guiyang

China top 5 emerging cities GuiyangGuiyang is the capital of Guizhou province of Southwest China. Guizhou has been the poorest of China provinces with economy heavily relying on state owned enterprises. With the population of 2.8 million, it is now becoming a hub of operations for Chinese giant telecom companies. Private companies are also following the lead with Alibaba setting up cloud-computing facilities in the city.

Guiyang also serves as an important transportation hub for South Western China with Guiyang–Guangzhou High-Speed Railway already operating and three more high-speed rail lines tocommence operations within the next few years.

Disposable income per person is currently at USD 5,100, almost half of China’s average of USD 9,800. Guiyang has been ranked number 1 fastest growing local economy by the Economist.

No.2: Xiangyang

China top 5 emerging cities XiangyangXiangyang is a prefecture-level city in northwestern Hubei province. Xiangyang possesses large water energy resources whilst its mineral deposits include rutile, ilmenite, phosphorus, barite, coal, iron, aluminum, gold, manganese, nitre, and rock salt.

Textile production has been the mainstream industry of the area, however, in the last few years, it has become an attractive destination for industrial transfers, the trend of companies relocating their manufacturing facilities to cheaper locations.

With its population of 1.6 million and disposable income per person stands at USD 4,300 and the city has been ranked at number 2 among China emerging cities.

No.3: Hengyang

Hengyang is the second largest city of Hunan Province after its capital Changsha. The population of the metro area is 1.3 million but if counting the suburbs, it reaches over 7 million people. Hengyang’s disposable income per person is currently USD 4,900.

No.4: Chongqing

Chongqing is a major city in Southwest China and one of the five national central cities in China. Administratively, it is one of China’s four direct-controlled municipalities (the other three are Beijing, Shanghai and Tianjin), and the only such municipality in inland China. Chongqing disposable income per person stands at USD 5,400.

It is an enormous city of 8.9 million people and booming real estate market. It is also one of the fastest urbanizing centers in China with more than 1,300 people moving into the city daily, adding almost 100 million yuan (US$15 million) to the local economy.

No.5: Suqian

Suqian is a prefecture-level city in northern Jiangsu Province. With the population of about 1 million and relatively low disposable income per person (USD 4,100), Suqian is still one of the cheapest location for manufacturing in the province.

See a wrap up of the best Lunar New Year campaigns by AdAge here.

It’s been a busy time for brands in China. During the Lunar New Year period, marketers tap into the festive spirit with messages about family, getting together — and surviving the insanity of holiday travel in China.

Travel, especially trains, is a constant theme in commercials. Just about everybody travels back to their hometown, crowding trains and leaving road traffic at a standstill (and just imagine the lines at highway rest stop bathrooms). The official Xinhua news agency reported that people made 1.15 billion trips during the travel season. And despite the stress of getting home for the holidays, ads usually end on the same note: family’s worth it.

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When looking at how big foreign brands have marked the holiday, PepsiCo, Oreo and McDonalds were clearly a few of the best.

Facebook, Twitter, Pinterest and Snapchat are the platforms that get most of marketers’ love in the U.S., but digital practitioners could learn a thing or two from WeChat, China’s booming mobile app that’s one of a growing number of messaging apps brands are watching closely.

The Chinese app boasts more than 600 million users, and some reports claim more than 50 percent of those users open it 10 times a day. While that still pales in comparison to Facebook’s 1 billion daily global users, Tencent-owned WeChat has a tight grip on China’s social and mobile industry compared with competitors like Line and Viber.

Thomas Graziani, co-founder of Chinese agency WalktheChat, which specializes in WeChat marketing spoke with Adweek about how marketing and advertising works on WeChat, which has significant differences from U.S.-based platforms.

A few things marketers should know about WeChat:

It’s the Facebook of China… but more
To grasp WeChat as a marketing platform, it’s important to first understand how the app works and why people use it.

In the U.S., the average smartphone user opens a handful of apps every day to text friends, check email, use social media and take pictures. In China, WeChat is all of those apps rolled into one and is sometimes the only app consumers use.

Here is a short list of things the app lets folks do:

  • Message friends
  • Pay bills and manage their bank accounts
  • Order food
  • Buy clothes and movie tickets
  • Book cabs
  • Make doctor’s appointments
  • Post to social media
  • Send money to friends
  • Check in for flights
  • Read news

Getting onto the platform takes some know-how

There are two options for building a brand following on WeChat: a subscription account that lets brands push out one message per day and a service account that caps the number of brand messages to one a week. Both require setting up an account.

With subscription accounts, brands can push out consistent messaging, which WalktheChat recommends for marketers that already have a strong content-marketing strategy.

Service accounts, on the other hand, reach more people but can’t be used as often by marketers. According to Graziani, these accounts are better suited for brands that want to do more than use the platform for branding—including e-commerce and customer service.

In either case, it’s hard to break through the clutter, and the app requires brands to act more like users than marketers.

“Because people spend all their time on it, it’s extremely competitive to get attention from people,” Graziani said. “The platform is not making it easy for brands to reach users.”

Similar to how digital marketers approached Facebook years ago, brands strive for a lot of followers because WeChat is a numbers game.

See the full article form AdWeek here.

Alibaba has been on an acquisition spree, most recently with a Hong Kong newspaper:

China’s Alibaba confirmed that it has “entered into a definite agreement to acquire” the struggling Hong Kong-based newspaper the South China Morning Post (SCMP). It includes all the assets of the SCMP Group, which includes stakes in some web startups. The financial terms are not disclosed.

“The South China Morning Post is unique because it focuses on coverage of China in the English language. This is a proposition that is in high demand by readers around the world who care to understand the world’s second largest economy,” said Joe Tsai, executive vice chairman of Alibaba Group, in a statement. “Our vision is to expand the SCMP’s readership globally through digital distribution and easier access to content.”

Alibaba’s buy-out of the SCMP is the latest in many big moves into media and content by the ecommerce titan. A few months ago, Alibaba paid out US$4.2 billion to acquire China’s top video site company, Youku Tudou. It runs the Youku and Tudou sites, which combine user-generated content with licensed movies and TV series. It also has a film studio.

Tsai explained their decision to the sub-100,000 readership of the SCMP: “So, you’re probably wondering why. Why is Alibaba buying into traditional media, considered by some a sunset industry? The simple answer is that we don’t see it that way.” He adds that SCMP will continue to focus on “editorial excellence” and keeping readers’ trust as it adapts to fit in with fast-evolving new media and the way news is read via social media. No specific plans are revealed.

The newspaper was founded in 1903. Alibaba is acquiring it from Malaysian tycoon Robert Kuok’s Kerry Media, which bought the controlling interest from News Corp in 1993. The SCMP has a paywall, but its slowly rising digital revenues are not making up for tanking print sales.

See the full article from TechinAsia here.

Alibaba also recently invested in music streaming- see more here.