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#ALL RIGHTS RESERVED  China Consumer Sophistication  Social Media 6 trends
Prepared by Edelman Digital  # CONFIDENTIAL  #ALL RIGHTS RESERVED  RISRING DRAGON  ,[object Object],CHINA HAS THE LARGEST ONLINE POPULATION IN THE WORLD. EVERYDAY, 400 MILLION + CHINESE PEOPLE USE QQ TO COMMUNICATE WITH FRIENDS, FAMILIES AND COLLEAGUES; 100 MILLION + PEOPLE USE SOCIAL NETWORKING SERVICES; 50 MILLION + PEOPLE POST TWEETS IN SINA WEIBO……  THIS CREATE GREAT OPPORTUNITIES FOR BRANDS TO COMMUNICATE DIRECTLY WITH THOSE NETIZENS, WHO ACCOUNTS NEARLY HALF OF WHOLE CHINESE POPULATION AND HAVE MUCH MORE POWER THAN WHO ARE NOT ONLINE IN CHINA……
THE ONLINE WORLD OF CHINA  485 M   NETIZENS   318M  MOBILE NETIZENS 250M+ SOCIAL MEDIA USERS Source: China Internet the 28th Survey Report, CNNIC, July 2011
THE ONLINE WORLD OF CHINA: CHINA POPULATION OF NETIZENS  Source: China Internet the 28th Survey Report, CNNIC, July 2011
THE ONLINE WORLD OF CHINA: CHINA POPULATION OF MOBILE NETIZENS  Source: China Internet the 28th Survey Report, CNNIC, July 2011
CHINESE NETIZEN SOCIAL GRAPH  Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 Age  Education  Primary school  Middle school  High school  College University +  Device Desktop Mobile Laptop Others
CHINESE NETIZEN SOCIAL GRAPH: CAREER BREAKDOWN Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 Students  White collars  Self-employed Managers  Government officials  Jobless
CHINESE NETIZEN SOCIAL GRAPH: MONTHLY INCOME BREAKDOWN  Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 RMB
CHINESE NETIZEN ONLINE BEHAVIORS: GENERAL Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 June 2010 June 2011 Online Behaviors  Number of users (million) Percentage(of total online population) Number of users  (million ) Percentage(of total online population) Change  Searching Engine 386.06 79.6% 374.53 81.9% 3.1% Instant Message 385.09 79.4% 352.58 77.1% 9.2% Online Music  381.70 78.7% 362.18 79.2% 5.4% Online Radio  362.30 74.7% 353.04 77.2% 2.6% Blog/QQzone 317.68 65.5% 294.50 64.4% 7.9% Online Game 311.37 64.2% 304.10 66.5% 2.4% Online Video 301.19 62.1% 283.98 62.1% 6.1% Email  251.72 51.9% 249.69 54.6% 0.8% Social Networking 229.89 47.4% 235.05 51.4% -2.2% Online Books 194.97 40.2% 194.81 42.6% 0.1%
CHINESE NETIZEN ONLINE BEHAVIORS: ONLINE SHOPPING AND E-COMMERCE Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 June 2010 June 2011 Online Behaviors  Number of users (million) Percentage(of total online population) Number of users  (million ) Percentage(of total online population) Change  Online Shopping 172.66 35.6% 160.51 35.1% 7.6% Online Payment 153.26 31.6% 137.19 30.0% 11.7% Online Bank 150.35 31.0% 139.48 30.5% 7.8% BBS 144.05 29.7% 148.17 32.4% -2.8% Online Stock Trade 56.26 11.6% 70.88 15.5% -20.6%
HOW BIG IS SOCIAL MEDIA IN CHINA
SOCIAL MEDIA LANDSCAPE TRUST   FREQUENCY  Sina Weibo Renren BBS  Taobao KAIXIN001 LBS Jiepang Douban LinkedIn 0 Trust  measures the level of trust in a certain social media channel Frequency  measures how often students use a certain social media channel The size of each circle measures the popularity of a certain social media channel.  QQ Weibo Groupon
CHINESE NETIZEN ONLINE BEHAVIORS : ONLINE SHOPPING  Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010
Prepared by Edelman Digital  # CONFIDENTIAL  #ALL RIGHTS RESERVED  CRUNCHING TIGER ,[object Object],While highly engaged with brands,  Chinese consumers become more sophisticated, doubtful and independent.  They demand not only quality but also styles and values represented by a brand. For 8095s, they treat relationships with brands as a PARTNERSHIP and FORM OF SELF-EXPRESSION.  . WHILE ADAMANTLY INDEPENDENT, THEY OFTEN MAKE DECISIONS WITH INPUT FROM MULTIPLE SOURCES
CHINESE CONSUMER PROFLE These eight archetypes can be grouped into three spending tiers
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Actively Involved and Highly Engaged 1
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Engaging with online communities  Engaging with trusted brands
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Recommended Actions by Brands  ,[object Object],[object Object],[object Object],[object Object],[object Object]
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Independent but Information is Key to Influence 2
CHINA CONSUMER SOPHISTICATION  November 10, 2010
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Recommended Actions by Brands  ,[object Object],[object Object],[object Object],[object Object],[object Object],Consumer will search and buzz about you either  on domain  or  off domain  and initiatives which include any form of media or content can fall into the following categories.
CHINA CONSUMER SOPHISTICATION  Share Experience and Take Actions  3
CHINA CONSUMER SOPHISTICATION  Chinese consumers want their social networks to know about their brand experiences online.  Chinese consumers do not hesitate to write positive experience  but are also mostly like to share negative comments and join online boycott again brands they do not like
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Recommended Actions by Brands  ,[object Object],[object Object],[object Object],[object Object]
CHINA CONSUMER SOPHISTICATION  While Online Entertainment Widely Embraced, Demand Valued-Added Content Rise 4
CHINA CONSUMER SOPHISTICATION
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Recommended Actions by Brands  ,[object Object],[object Object],[object Object],[object Object]
CHINA CONSUMER SOPHISTICATION  Purchase or not: they need real-time engagement; they want your response and want it now 5
CHINA CONSUMER SOPHISTICATION
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Recommended Actions by Brands  ,[object Object],[object Object],[object Object]
CHINA CONSUMER SOPHISTICATION  Experience offline and place the order on line 6
CHINA CONSUMER SOPHISTICATION
CHINA CONSUMER SOPHISTICATION  November 10, 2010 Recommended Actions by Brands  ,[object Object],[object Object],[object Object]
Contact information Direct talk  Vincent Lee Edelman Digital  Vincent.lee@edelman.com  Sina Weibo: @liblog

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6 trends of China social media and consumer insights

  • 1. #ALL RIGHTS RESERVED China Consumer Sophistication Social Media 6 trends
  • 2.
  • 3. THE ONLINE WORLD OF CHINA 485 M NETIZENS 318M MOBILE NETIZENS 250M+ SOCIAL MEDIA USERS Source: China Internet the 28th Survey Report, CNNIC, July 2011
  • 4. THE ONLINE WORLD OF CHINA: CHINA POPULATION OF NETIZENS Source: China Internet the 28th Survey Report, CNNIC, July 2011
  • 5. THE ONLINE WORLD OF CHINA: CHINA POPULATION OF MOBILE NETIZENS Source: China Internet the 28th Survey Report, CNNIC, July 2011
  • 6. CHINESE NETIZEN SOCIAL GRAPH Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 Age Education Primary school Middle school High school College University + Device Desktop Mobile Laptop Others
  • 7. CHINESE NETIZEN SOCIAL GRAPH: CAREER BREAKDOWN Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 Students White collars Self-employed Managers Government officials Jobless
  • 8. CHINESE NETIZEN SOCIAL GRAPH: MONTHLY INCOME BREAKDOWN Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 RMB
  • 9. CHINESE NETIZEN ONLINE BEHAVIORS: GENERAL Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 June 2010 June 2011 Online Behaviors Number of users (million) Percentage(of total online population) Number of users (million ) Percentage(of total online population) Change Searching Engine 386.06 79.6% 374.53 81.9% 3.1% Instant Message 385.09 79.4% 352.58 77.1% 9.2% Online Music 381.70 78.7% 362.18 79.2% 5.4% Online Radio 362.30 74.7% 353.04 77.2% 2.6% Blog/QQzone 317.68 65.5% 294.50 64.4% 7.9% Online Game 311.37 64.2% 304.10 66.5% 2.4% Online Video 301.19 62.1% 283.98 62.1% 6.1% Email 251.72 51.9% 249.69 54.6% 0.8% Social Networking 229.89 47.4% 235.05 51.4% -2.2% Online Books 194.97 40.2% 194.81 42.6% 0.1%
  • 10. CHINESE NETIZEN ONLINE BEHAVIORS: ONLINE SHOPPING AND E-COMMERCE Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010 June 2010 June 2011 Online Behaviors Number of users (million) Percentage(of total online population) Number of users (million ) Percentage(of total online population) Change Online Shopping 172.66 35.6% 160.51 35.1% 7.6% Online Payment 153.26 31.6% 137.19 30.0% 11.7% Online Bank 150.35 31.0% 139.48 30.5% 7.8% BBS 144.05 29.7% 148.17 32.4% -2.8% Online Stock Trade 56.26 11.6% 70.88 15.5% -20.6%
  • 11. HOW BIG IS SOCIAL MEDIA IN CHINA
  • 12. SOCIAL MEDIA LANDSCAPE TRUST FREQUENCY Sina Weibo Renren BBS Taobao KAIXIN001 LBS Jiepang Douban LinkedIn 0 Trust measures the level of trust in a certain social media channel Frequency measures how often students use a certain social media channel The size of each circle measures the popularity of a certain social media channel. QQ Weibo Groupon
  • 13. CHINESE NETIZEN ONLINE BEHAVIORS : ONLINE SHOPPING Source: Global Trends in Online Shopping A Nielsen Global Consumer Report, AC NIELSON, June 2010
  • 14.
  • 15. CHINESE CONSUMER PROFLE These eight archetypes can be grouped into three spending tiers
  • 16. CHINA CONSUMER SOPHISTICATION November 10, 2010 Actively Involved and Highly Engaged 1
  • 17. CHINA CONSUMER SOPHISTICATION November 10, 2010 Engaging with online communities Engaging with trusted brands
  • 18.
  • 19. CHINA CONSUMER SOPHISTICATION November 10, 2010 Independent but Information is Key to Influence 2
  • 20. CHINA CONSUMER SOPHISTICATION November 10, 2010
  • 21.
  • 22. CHINA CONSUMER SOPHISTICATION Share Experience and Take Actions 3
  • 23. CHINA CONSUMER SOPHISTICATION Chinese consumers want their social networks to know about their brand experiences online. Chinese consumers do not hesitate to write positive experience but are also mostly like to share negative comments and join online boycott again brands they do not like
  • 24.
  • 25. CHINA CONSUMER SOPHISTICATION While Online Entertainment Widely Embraced, Demand Valued-Added Content Rise 4
  • 27.
  • 28. CHINA CONSUMER SOPHISTICATION Purchase or not: they need real-time engagement; they want your response and want it now 5
  • 30.
  • 31. CHINA CONSUMER SOPHISTICATION Experience offline and place the order on line 6
  • 33.
  • 34. Contact information Direct talk Vincent Lee Edelman Digital Vincent.lee@edelman.com Sina Weibo: @liblog