China Ready Certification Programme
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This document describes the China-Ready Certification Program offered by China Edge to help luxury brands and retailers prepare for the Chinese market. The program includes workshops in four areas: strategy and risk management, outbound engagement, cultural training, and digital engagement. Staff can become certified in each area. The goal is to increase sales to Chinese visitors through tailored strategies, marketing, and staff training on Chinese culture and customer service. Benefits include higher traffic, conversion rates, sales, and brand value in China.
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China Ready Certification Programme
- 1. ©ChinaEdgeLimited,2013 The China-Ready Certification Programme for Luxury Hospitality and Retail
- 2. ©ChinaEdgeLimited,2013 China Edge The Team & Approach
- 3. ©ChinaEdgeLimited,2013 @ChinaEdge Team Jeremy @ChinaBlogTweets Strategy and Risk Management Roy @chinacontact Outbound Engagement Arnold @RealArnoldMa Digital Engagement Yuyu @yuyumedia Cultural Training Michaela @wolfmichaela Luxury & Retail Marketing
- 4. ©ChinaEdgeLimited,2013 Plan Engage Deliver Plan the strategy and promotion, and manage the risks Engage Chinese shoppers via travel industry & digital/social media campaigns Deliver staff training to customise service and boost sales The China Edge Approach
- 5. ©ChinaEdgeLimited,2013 China-Ready Certification Program STRATEGY & RISK OUTBOUND ENGAGEMENT CULTURAL TRAINING DIGITAL ENGAGEMENT Staff certification Staff certification Staff certification Staff certification CHINA-READY Gap Analysis. Action Plan. Brand Certification
- 6. ©ChinaEdgeLimited,2013 The China-Ready Certification Program Staff Certification
- 8. ©ChinaEdgeLimited,2013 • Each brand receives a tailored final report and China action plan (included in Programme cost) • Increased traffic, conversion, sales to Chinese visitors, off-peak sales • Increased visitors to the Chinese landing pages • Increased social followers • Increased Tax free return to re-invest in marketing/advertising • Increased brand value • Local leverage for China market entry Benefits
- 10. ©ChinaEdgeLimited,2013 2012 2015 (Bain, 2013) Global Luxury Spenders – Demographic
- 11. ©ChinaEdgeLimited,2013 Has the market overtaken the strategy? Global Chinese consumers drive results • Burberry: “Chinese consumers…25 % of its global sales” (Xinhua) • Prada: “Europe sales drive Prada higher, thanks to Chinese tourists” (Stock Watch) Manage global customers – not just brand – globally 3-Dimentional strategic approach is required Images:bornrich.com Benefits to Bond Street Retailers
- 12. ©ChinaEdgeLimited,2013 Intellectual property • Register early • Monitor & enforce Culture & Crisis • Understand & adapt • Don’t “hurt the feelings…” Cost vs Investment • Tailor to resource constraints • What’s the cost of missing China? Image: Weibo; Business Insider Risks As Well As Rewards
- 13. ©ChinaEdgeLimited,2013 Starts with Strategy… • Short & long-term plans • Management & resources • Customised offerings • Best & worst practice • Mitigating risks • Trends • Needs analysis 3-Dimentional Approach
- 15. ©ChinaEdgeLimited,2013 Engaging the wealthy Chinese tourists successfully requires insight into the demographic makeup of this market and understanding of the how, where, what and why of their travel and spending behavior: •How do they find inspiration, plan and execute their travel? •Where do they come from in China and the rest of the world? •What are they looking to spend on •Why are they outspending all other nationalities? The BSA China-Ready workshop on Chinese tourism engagement will provide the answers and equip you with the tools your business needs to target the right audience of Chinese consumers with relevant messages, improve sales conversions and up-selling through a sensitive understanding of their motivations and cultural influences. Outbound Tourism Engagement
- 16. ©ChinaEdgeLimited,2013 •Aspirational – Mass Affluent •International Sophisticates •Officialdom •Second Generation •Modern Entrepreneurs •Traditional Business Elites •Nouveau Riche Outbound Tourism Engagement – Chinese HNW Visitors Who are your customers?
- 18. ©ChinaEdgeLimited,2013 Chinese market is a demographic, not a geography
- 19. ©ChinaEdgeLimited,2013 •The motivations for outbound travel Extend Business / Asset Portfolio Education for Self / Children Relaxation or Adventure Shopping for Self / Gifting Health and Beauty •Their sources for research and information •Where should you engage them? •Priorities of the Chinese when travelling •How to better engage with Chinese tourists? Outbound Engagement – Chinese Visitors How to influence their planning and purchases?
- 20. ©ChinaEdgeLimited,2013 •Travel trade relations •Chinese travel media •Social media and digital marketing •Relationships •Targeted advertising •Service and hospitality •Sales training Outbound Engagement – Chinese Visitors Deliver culturally sensitive and socially relevant marketing
- 21. ©ChinaEdgeLimited,2013 Digital & Social Media
- 22. ©ChinaEdgeLimited,2013 Web Usage 10.5% 2006 42.1% 2012 52.1% 2015 Data Source: CNNIC Report, Jan 2013 China had 564 Million internet users in 2012 – more than US and UK combined
- 23. ©ChinaEdgeLimited,2013 Digital Creative - Differences 8 Accessible Content Delivery Mobile Compatibility Built in Mandarin Built for Chinese Technology Built to Scroll Built to Attract Built around Social Chinese Regulations 8 Must-Do’s for Chinese Websites The China Rulebook Quick solutions – Chinese landing page, Social media brand page
- 25. ©ChinaEdgeLimited,2013 Brand Activity BRAND Sina Weibo CS Weibo Youku Tudou Douban Kaixin Jiepang Wechat Burberry x x x x x x x Louis Vuitton x x x x x Gucci x x x x Armani x x x Dior x x x D&G x x x x
- 27. ©ChinaEdgeLimited,2013 Summary China has the highest social media and eCommerce engagement of any country in the world, Chinese consumers are extremely brand conscious and rely on P2P recommendations – 44% check social media before making buying decisions. The Digital workshop will help brands to attract Chinese consumers before they arrive, capture their attention and become a must-stop on tourists’ agendas. •Review and audit your digital communication for the Chinese consumer •How to influence customers buying decisions online •How to gain virality – build brand awareness and reputation via Social Media •Demystifying Chinese eCommerce – Are you ready? What’s the best route of entry for your brand? •Review each digital channel, each platform, their roles and how to leverage them to reach Chinese consumers
- 29. ©ChinaEdgeLimited,2013 29 ©ChinaEdgeLimited,2013 • General Cross Cultural Awareness Training • Culture/Country Specific Training: 29 Values EtiquetteMorals Business Practice Ethics Protocol Negotiation Style Importance of Cultural Understanding
- 30. ©ChinaEdgeLimited,2013 30 ©ChinaEdgeLimited,2013 • Avoid misunderstandings • Gain understanding • Create a high service standard for the brand • Maximize sales transactions 30 Why we need it?
- 31. ©ChinaEdgeLimited,2013 • Cross-cultural awareness • Brief background on China • An analysis: Who are your customers • Core Chinese cultural values • Chinese communication styles • Greeting & etiquette • Case study - selling effectively • Strategy & action planning @ Orient Business Consulting Ltd, 2013 A Typical Training Day
- 32. ©ChinaEdgeLimited,2013 China-Ready Certification Program STRATEGY & RISK OUTBOUND ENGAGEMENT CULTURAL TRAINING DIGITAL ENGAGEMENT Staff certification Staff certification Staff certification Staff certification CHINA-READY Gap Analysis. Action Plan. Brand Certification
- 33. ©ChinaEdgeLimited,2013 China-Ready Certification Program Cost £ 1,900 for 4-day workshop including needs analysis, action plan and brand certification £ 600 for individual workshop day only For custom designed in-house China-Ready certification, costs start at £3,800. Email: info@chinaedge.co.uk or call 020-7193-1222 to enquire about the next scheduled Certification Program. The China Edge Academy
Notes de l'éditeur
- Darker picture twitter
- More then 1.11 billion mobile phone users
- Chinese Newsletter, 3 times a year, to highlight the China-Ready brands on Bond Street and the personal shopping services, private views & exclusive experiences offered (complimentary to maximise on the program). Published before the Chinese and summer holidays (Chinese New Year and National Day holidays) Sticker Point of sale block BS website China edge newsletter website Additional services (at additional cost) can be provided by China Edge to enhance the impact of the China-Ready Programme, and to support the Bond Street Association’s engagement with Chinese consumers, including: Chinese landing page for BSA with pay-per-click Baidu promotion campaign Set-up & management of Chinese social media platforms Leverage key opinion leaders in China
- Chinese consumers are now the biggest luxury consumer group in the world, and could make up one third of the market by 2015 This is a fundamental rebalancing that brands need to address – not just in China, but wherever they serve Chinese customers. Act now, or someone else will eat your piece of the pie!
- The UK government wants to reach 500,000 Chinese visits by 2015 (green line) but at current trends, we will only pass 300,000, compared to 210,000 in 2012 If the UK had addresses visa and marketing issues earlier and followed USA growth trends, it could expect to receive nearly 1 million visits from China by 2016 (red line). France already gets 1.4 million visitors from China. Despite a taking a recessionary dip in 2008-2010, growth rebounded with improving economic conditions. Had the UK government supported a strong marketing campaign since 2005 and mirrored EU visa policy, as well as allowing for individual visitor visas, the visitor numbers could have followed the red line. As it stands, reaching the government’s target of 300,000 visits by 2015 is not a certainty. But we are making progress – thanks to lobbying and George Osborne's October visit… Osborne announced improved processes and VIP “super-priority” processing. We also offer multi-entry visas through the Select Business Scheme, and dual-processing with Schengen. Government reports 96% approval rate – just not enough applicants… A lot of it comes down to marketing and perceptions – which we need to change! Chinese already spend £300m (2012)
- Modern business owners come from more developed and satellite cities (Tianjin, Dalian, Hangzhou, Suzhou, Nanjing) International professionals prefer the cosmopolitan feeling of the large cities, Beijing, Shanghai and Guangzhou Nouveau Riche stay close to their power centre in 2nd, 3rd tier cities Traditional business elites live in the places that were first to industrialise and develop- southern China and eastern seaboard. 2nd generation rich and government officials can come from anywhere.
- Roy and Jeremy highlighted size of market Scale translates into amount of internet users …
- Briefly highlight a few main topics digital creative, social, search and ecommerce These along with other channels, will be the subject of each workshop --- First off are the difference in web design Some things we use inhouse to explain some difference, they tie into one, i.e. accessibility, ICP, hosting & domain, regulations, etc. Quick solution
- Huge, diverse, western are banned Niche platforms, easier targeting Here are a few of the top ones
- Some established brands – burberry worked to get their brand awareness, almost all of the top 8 Not about amount, squeeze the most out of one platform, Chinese highest social + ecommerce of any country Get your engagement and content strategies right Really think about content categories, test your engagement plan
- No google, at the moment still dominated by Baidu, but shifting Shows the fast peace of Chinese digital industry
- You can lose face by... - Not living up to expectations - Not keeping a promise Inappropriateness of a request in relation to one status - Inappropriate humour You can give face by... - Being courteous and polite - Giving service above and beyond the call of duty - Respecting hierarchies and age