Report from Burson-Marsteller China on Digital trends in China in the Year of the Rabbit

1. 11 on ’11
China Digital
Communications
Trends
Year of the
in the
Rabbit.
Burson-Marsteller China.
March 2011.
Digital Insight Series.

2. 20*10
@ Tiger
The year 2010 proved a milestone for digital
penetration, communications, marketing and
innovation in China.
With rich media stories such as the continued
ascendancy of Renren and Kaixin001, the fevered
speculation around Google‟s „exit‟ from China, the
start of new social concepts such as Location-
Based Services [LBS] and Group Shopping the
coming of age of Social Media as a mainstream
channel for communications and marketing in
China was writ as de-facto by the end of 2010.
Perhaps the most interesting trend was the
phenomenal rise of Sina‟s microblogging platform –
Weibo, leading to spectacular issues, online crises,
rumors, gossip, and more dynamic ways for
businesses to market and communicate.
Looking back.

3. 20*11
@ Rabbit
Many companies in China still continue to struggle
with the new realities of the real-time “Social” Web. Social
technology advancements have so fast and furiously altered
the landscape of corporate reputation, brand management,
public relations and market influence.
Burson-Marsteller‟s Corporate Social Media Study,
published last November, revealed how large organizations
and multinationals, particularly, have yet to sustain
cohesive strategies around Digital Engagement and Social.
This is likely to change quickly over the next two years. If
2009 and 2010 was a period of “digital foreplay” for
companies at large, then 2011 and 2012 are pegged to be
the year of “digital embrace.”
Evolving strategies and
presences.

4. *11
@ Digital Embrace
Defining future communications trends is never
an easy task. Nowhere is this more true than on
the world‟s largest and most dynamic internet
market, with over 460 million internet users,
actively participating and spending more time on
the web than anywhere else.
2011 promises to be an even more interesting year. Of
course, China is a vast country, filled with a diversity of
consumer behavior and experience – from international
metropolis‟ like Shanghai and Beijing, to tier 2 and 3 cities.
But there are predications we can safely make, based on
our understanding of China‟s fascinating digital
communications landscapes.
Zaheer Nooruddin
Lead Digital Strategist
zaheer.nooruddin@bm.com
New technology adoption.

5. @ China Net
Microblog Trends

6. 1.
Presence re-activation
According to Burson-Marsteller
Asia-Pacific‟s 2010 Corporate
Social Media Study, while many
companies rushed to establish
online presences in 2007 and
2008, more than half of these
lapsed into inactivity. Below, you
can see a screenshot of Sinopec‟s
abandoned Sina Weibo presence.
In 2011, re-activating lapsed
presences and launching new,
more targeted ones by
businesses will be a trend.
Realizing that Social Media is here to stay, companies that first
adopted social media presences early on but without cohesive
social strategies will try again.

7. 2.
Infographics
Data visualization take center stage in how key information is
communicated to stakeholders in 2011. Why? Because in a
world where information overload for customers, clients and
colleagues is a critical issue, nothing works better.
Why use infographics?
We know that the Internet has made the sharing of data and
information easier than ever. Great, right? Well, not always.
This onslaught of numbers, statistics and facts can leave some
people more confused than when they started, meaning you
lose their attention. Infographics visualize complex data,
turning into a digestible byte, meaning that data is more likely
to affect change in an audience. In China‟s cluttered digital
information highway, standing out is the key to being heard-
infographics can help do that.

8. 3.
Private social networks
Dogged by issues of data security and control, companies will
increasingly choose to invest in developing their owned social
web sites within which to engage their audiences discreetly –
retaining strategic control of the experience.
P&G‟s “BeingGirl” social site, created to engage a young, female
audience around issues of beauty, have gone a long way to
prove that private, branded social networks are a smart strategic
bet for businesses.

9. @ China Net
User Trends

10. 4.
Social-savvy execs
Like their western peers, CEOs and executives in China will
realize the need to open and curate their own presences online –
expect more sustained Executive Blogging than ever before in
2011.
.
And it looks like they‟re already on their way - 3 of the top 20, 5 of
the top 30 and 10 of the top 50 microbloggers on Sina Weibo are
executives.
Google China‟s former CEO, Kai-Fu Lee, is widely known across
China, not as the president of Innovation Works, but also as a
famous online personality. Lee is a popular personal blogger and
microblogger- his microblog is ranked #9 on Sina Weibo. Lee also
runs a popular website to help young Chinese people with their
careers in IT.

11. 5.
Networked mobility
The rise of the
Smartphone in China, by
all projections, is set to
be staggering. According
to statistics from
Enfodesk by the end of
2010, the number of
mobile Internet users in
China had grown nearly
19% from the same
period in 2009, reaching
288 million; the market is
now valued at over RMB
63.7 billion.
As more consumers connect to the net via mobile and use apps to
share and connect, more opportunities for targeted messaging and
pervasive experiences by businesses will be available then ever
before. Ericsson projects this number exploding to 800 million by
2015.

12. 6.
Online presence integration
This year, those companies that have been worked hard at
building their social footprint will finally integrate these
channels with their corporate presences. SNS pages and
externally hosted blogs will become increasingly visible on
corporate websites. Who wins? Everyone.
The online shopping site Taobao makes it simple to share
your recent purchases with your network through various
social media - showing your friends what brands and
products you support.

13. @ China Net
User Trends

14. 7.
Social search
Paid search and technical SEO is just a step in the battle for
content visibility online. Companies will understand this point and
invest more in targeting audiences via the seeding of digital
messaging wherever they live online - in SNS and forums.
The potential and power of searching for information in real-time
using the social web has recently been thrust into China‟s
spotlight as netizens tapped into social networks to reunite
missing children with their parents. Dr. Yu Jianrong, a professor
of the Chinese Academy of Social Science, set up a Sina
microblog account encouraging netizens to post photos of
missing and young beggars. To date, the microblog has posted
1,000 photos, gained 100,000 followers and reunited six children
with their families.

15. 8.
Location-based comms
Tencent and Sina‟s services. With Nokia‟s 250 million China
customers and the influence of Tencent and Sina on Chinese
netizens, this is sure to grow the power of LBS in China.
Today, there are around 30
location-based service (LBS)
companies on the Chinese web.
And, according to Analysys International, by the end of Q3 2010,
these sites claimed between three and four million active users.
As location-based networks grow, companies will market
products using these platforms and services – adding relevance
to their marketing campaigns like never before.
A relative newcomer to the LBS scene is qieke.com, a rebranded
travel site, which is currently compatible with iOs, Symbian and
Android phones. Qieke has partnered with more than 100
brands, including Lenovo and Starbucks, to offer special deals
and discounts for users who check-in to certain locations.
According to the company, the site already has 1 million users,
100,000 of which are active.

16. @ China Net
Usage Habits

17. 9.
Social Commerce
According to CNNIC, the number of online shoppers in China
increased by nearly 50% in 2010 to 160 million users. Science
and Technology Daily pegs group sales in China is already a RMB
409 million industry.
The convergence of
social networking and
shopping began last
year with China‟s
largest e-commerce
portals developing
social networking
features. As of June
2010, only 6% of these
buyers were using
group buying services,
but 80% had plans to
Fast to adapt: Renren. China‟s
try them in the future.
largest social network, quickly moved
Social commerce,
to introduce “group shopping”
driven by group
features. Having launched in March
shopping, will gain in
of last year, Taobao‟s group shopping
2011.
site, ju.taobao.com, had sold over
RMB 200 million worth of products to
over 5 million users. Perhaps the We‟re just beginning to
most striking sale of the year was see the power and scale
when the site sold 205 Mercedes- of group buying in the
Benz Smart Cars in just 3 ½ hours. China market.

18. 10.
Mobile “domain”ation
According to CNNIC‟s February
2011 statistics, 66% of China‟s
457 million Internet users
accessed the web via mobile
phones. With the ascendance of
the Mobile Experience as a
primary enabler of influence,
communications and marketing,
companies will begin to stake
their claims on customer
attention by seriously investing
in mobile web strategic
presences like never before.
One company that is an early adopter of the Mobile Web is
Ctrip.com, a travel planning site. Ctrip launched the mobile
version of its website, m.ctrip.com, in April of last year. The
new site allows users to easily book flights and hotels across
China through their mobile device.
Continuing its commitment to mobile options, Ctrip officially
launched three application options for users - Google and
Nokia apps can be downloaded directly from the site, while the
iPhone app is available on the App Store.

19. @ China Net
User Trends

20. 11.
Better Intel & Analytics
Fueled by the adoption of smarter online monitoring and
intelligence services, companies will for the first time in
2011 take charge of their online analytics, measuring
digital programs against ROI in more meaningful ways in
the bargain.
CIC, a provider of social media intelligence, has teamed
up in November with Sina Weibo to leverage the
incredible amount and quality of content on the
microblog.
The partnership “is expected to lead to
new models and methodologies to bring
value to enterprises via social media
intelligence and analysis.”

21. 11
Digital Comms
Trends.
Presence re-activation
Infographics
Private networks
Social-savvy execs
Networked mobility
Presence integration
Social search
Location-based comms
Social commerce
Mobile “domain”ation
Better analytics

22. Sources
1. Presence Reactivation
• Burson-Marsteller Asia Pacific‟s 2010 Corporate Social Media Study
http://www.slideshare.net/bursonmarstellerchina/bursonmarsteller-asiapacific-social-media-
study
5. Networked Mobility
• Tencent Digital: http://digi.tech.qq.com/a/20110214/001092.htm
7. Social Search
• The Age: http://www.theage.com.au/world/chinese-parents-tap-into-social-media-in-search-
for-missing-children-20110210-1aojm.html
8. Location-based Comms
• Wall Street Journal: http://blogs.wsj.com/chinarealtime/2010/12/22/checking-in-china-sees-
rush-of-foursquare-imitators/
• Tech Crunch: http://techcrunch.com/2010/02/23/location-based-services-revenue/
• Penn-Olson: http://www.penn-olson.com/2011/01/30/nokia-sina-tencent-location-based-
service-in-china/
9. Social Commerce
• Marbridge Consulting: http://www.marbridgeconsulting.com/marbridgedaily/2010-11-
05/article/40556/cnnic_china_has_140_mln_group_buying_site_users
• China Internet Watch: http://www.chinainternetwatch.com/843/taobaos-juhuasuan/ ;
• China Daily: http://usa.chinadaily.com.cn/business/2011-01/20/content_11888955.htm
• Science and Technology Daily: http://www.stdaily.com/kjrb/content/2011-
01/12/content_265267.htm
• CNN: http://www.cnngo.com/shanghai/shop/taobao-sells-205-benzes-just-over-three-
hours-653638
10. Mobile “domain”ation
• China Internet Watch: http://www.chinainternetwatch.com/926/china-internet-users-2011/
• China Hospitality News: http://www.chinahospitalitynews.com/en/2010/04/06/15851-ctrip-
com-launches-mobile-website/
• Pacific Epoch: http://pacificepoch.com/china-investment-research/sector/hotels-and-
travel/articles/ctrip-releases-new-look-mobile-booking/
11. Intel & Analytics
• CIC blog: http://www.seeisee.com/sam/2010/12/01/p2741
Net Trends Usage statistics: China Internet Watch

23. Points Of View.
Burson-Marsteller China regularly publish digital
perspectives on digital and related communications
topics. See more at: http://www.slideshare.net/bmasia or
http://www.slideshare.net/bursonmarstellerchina

24. DigiTrendSpotting.
For further information on China‟s 11 Digital
Trends for 2011, please contact:
Zaheer Nooruddin
Director, Lead Digital Strategist
Burson-Marsteller (Greater China)
86.1471603.0394
Email: zaheer.nooruddin@bm.com
Twitter: @BMDigitalChina
Chris Deri
CEO & Market Leader
Burson-Marsteller China
8610.5816.2678
Email: chris.deri@bm.com
Twitter: @Chris.Deri

25. About Burson-Marsteller China
Burson-Marsteller, a leading global public relations and
communications firm, entered China in 1985 at the invitation of the
Xinhua News Agency, becoming one of the first global public relations
firms to operate in the People's Republic of China. Today, we provide
evidence-based communication and advisory services to clients from
our offices in Beijing, Shanghai, Guangzhou and Chengdu.
Burson-Marsteller guides clients towards success in the rapidly evolving
and growing China market. Our services include corporate
communications, brand and product marketing, issues and crisis
management, and government relations and public policy consulting.
We provide these services to clients in major industry verticals such as
energy, banking, insurance, telecommunications, technology,
healthcare, automotive, chemicals, retail, property and fast moving
consumer goods.
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