Along this talk, I took the audience on a trip to China´s technological trends and Chinese costumers´ digital engagement insights. China is the home of extreme tech-savvy citizens and brings numerous examples of industries been re-shaped due to the digital disruption. I also shared some ideas of how these trends and behaviors, first perceived like challenges among the marketing professionals, can turn into exciting opportunities to interact with Chinese customers and growth their business.
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Connecting with Chinese customers in times of digital disruption, SMWHH 2016
1. Connecting with Chinese
customers in times of digital
disruption
Berenice Pendzialek
#SMWHH – #SMWChinaDigital
Social Media Week Hamburg 2016
Hamburg, Feb. 24, 2016
2. Berenice Pendzialek - 白瑞
MBA Focus in China Logistics and Tourism (UNAM)
Economic Analyst in The Economic and Commercial Section of the Embassy of the
People’s Republic of China in Mexico
General Manager of COTRI China Outbound Tourism Research Institute
Doctoral studies in the Catholic University of Eichstätt-Ingolstadt (KU-Dept. of Tourism
Geography). Dissertation: “Performing tourism: Chinese outbound organized mass
tourists on their travels through German tourism stages”
Freelancer - Chinese Outbound Tourism Specialist / Project Manager of the “Destination
Targeting China” Project of Heinemann Duty Free
Startup Entrepreneur
@BerenicePAceves
WeChat: BerenicePendzialek
Hamburg Chapter Leader
https://travelmassive.com/chapters/hamburg
3. Consumer opportunity – COT
Source: Pendzialek, 2014; adapted from CNTA and CTA / UNWTO, 2015
Chinese outbound tourism
in million border-crossings and CAGR,
2000-2013
2014: 109 million border-crossings
2015: 120 million border-crossing (Est. CNTA)
Hong Kong, Macau & Taiwan share of total
million border crossings (Jan-Oct)
2014: 62% 2015: 54%
Outbound tourism international tourism
expenditure, 1995-2014
4. Digital Snapshot
Source: WeAreSocial, 2016 / Merics, 2015
Digital in China, January 2016
Netizens y-o-y increase (2015-2016): 8%
Forecast 2016: 700 million Netizens
SM users in China = USA und Europe SM users
combined
Mobile SM users – 88% active SM users
China´s internet
giants and their
kingdoms
E-Commerce
- Taobao, Tmall, Alipay
Social media
networks,
online games
- WeChat, QQ,
Qzone, Tenpay
Search engine and maps
- Baidu, Baidu Maps
5. #1 Netizens predominantly use mobile devices
Source: WeAreSocial, 2016
Internet use in China -
January 2016
90% internet users via mobile
Mobile-boom, i.a. due to low
smartphones prices
Mobile internet users are not
just young users anymore
6. 7 out of 10 new users connected via smartphones
Source: eMarketer, 2016 / News.cn, 2014
24-7 access to information, friends
and entertainment.
Devices used by new* internet uses in
China to access the internet, 2014 & 2015
% of respondents
Mobile displaces the PC-based digital world
7. #2 Increasingly social
Source: WeAreSocial / Next Digital Group / Dragon Trail Interactive
WeChat:
650millionmonthlyactiveusersinQ4/2015
Whatsapp
Qzone:
650+million(MAUs)inQ4/2015
Facebook&MySpace
SinaWeibo:
220+million(MAUs)inQ4/2015
Facebook&Twitter
SM effect
95% Chinese netizens trust a brand they have seen
before on SM
43% Chinese netizens are interested in products
shared by friends on SM
38% shopping decision based on SM
recommendations
SM Platforms in detail
8. WeChat: a life style App
Source: Tencent / Tech in Asia
CNY 2016:
8.08 billion red envelopes
sent via WeChat
9. #3 The rise of e-commerce
Source: The Economist, 2015 / KPMG, 2015 / iResearch
E-commerce as % of total retail sales
in 2013, and forecast for 2018
CN E-commerce Value 2013: US$295bn
8% of all retail sales 16% in 2018
M-commerce fast growing pace: 74% grow a
year, whereas e-commerce shows 35%
(2013est)
Top Chinese Marketplaces in 2014
1. TMall 57.36% 6. Amazon 1.5%
2. JD.com 21.22% 7. Dangdang 1.5%
3. Suning 3.5% 8. Yixum 1.4%
4. VIP.com 2.8% 9. The 1 Store 1.4%
5. Gome 1.9% 10. Others 7.41%
10. Increasing preference for overseas online shopping
Source: Azoya International, 2015 / iResearch 2015
Overseas online shoppers as % of total online customers in China, 2014
Websites used for overseas online shopping
(OOS) in 2014
Major reasons for OOS, 2014
11. How to get the best out of these trends?
Go mobile first
Implications: appropriate content sorted by
device, less passive consumers
e.g. mobile media increase
Mobile internet ad spending: 22.3% of total
media spending in China in 2015
Forecast 2019: 47.8%
Get your omni-channel marketing right
Consistency and metrics along different distribution
channels
Not to neglect the customer´s preparation phase
e.g. 56% of Chinese travelers plan activities before travel
and 45% actually book it
50% research activities via smartphone and almost 40%
book them via the devices
Source: eMarketer, 2016 / Phocuswright, 2015 / Gebr. Heinemann, 2016
12. How to get the best out of these trends? - 2
Adapt content and marketing messages
Interactive:Visitorscanfollow
HDFWeChataccountand,if
any,enteradigitalcampaign.
LinktoSinaWeiboaswell.
Content:
Allabout sharing
Adaptedmarketing
messages
Keyinformation
aboutcustom
regulations
Infoonaccepted
Chinesepayment
methods
Recommendationof
brands&products
Awakeemotionsvia
storytelling
GovRules:CNregistrationand
hosting.ICPLicenceandverified
SMaccounts.
Source: Gebr. Heinemann / Storymaker / 21 TORR
Sneakpeek:
www.heinemann-dutyfree.cn
TobelaunchedonMarch,2016
Responsivewebdesign
Design:EastandWest
style
13. How to get the best out of these trends? - 3
Immerse in the O2O
QR Codes
- Share contact information
- Get product information and find the product online
- Mobile payments
Geolocation services
Shopping Chic with Ctrip: iBeacon & WeChat Shake-a-Shake
Source: Ctrip
14. Thanks for your attention!
WeChat: BerenicePendzialek
berenice.pendzialek.org
@BerenicePAceves