With a population of over 1.3 billion, not only does China have more Internet users than any other country, but 81.4% of Chinese consumers age 18-54 say surfing the Internet is a favorite way to spend free time.

1. Calling all Advertisers….. Do you want to
Reach Chinese consumers?

2. It seems everyone wants to reach
Chinese consumers….
But what are they like and how can I
reach them?
If only I knew the main way for
reaching each of these groups of
consumers ……
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3. Chinese Consumer Fast Facts
600 million strong.
By 2015 there will be 500 million people under age 30 in China--
roughly the population of the entire European Union.
wealthy.
80% of the wealthy (over 250,000 Yuan/year) are under age 45,
compared with 30% in the U.S. and 19% in Japan.
online.
of China’s 430 million Internet users, 73% are between the ages of 13
to 34.
located outside of China’s tier 1 cities.
1.2 billion people live outside of China’s Tier 1 cities, meaning that
185 million or 93% of China’s 200 million core consuming population
live outside of a Tier 1 city.
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4. Chinese Internet Fast Facts
Up to June, 2010, the number of net citizens in China has reached 420 million
The number of broadband net citizens has reached 364 million
The number of mobile net citizens in China has reached 277 million
The weekly online time of net citizens is 19.8 hours
The growth rate of users for online payment, web shopping and e-banking was 30%
The number of Chinese websites is 2.79 million
Number of bloggers is 231 million
26th Statistical Report on Internet Development in China (July, 2010)
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5. Chinese consumers cannot be
ignored by Western Brands. Therefore,
Marketers need ways to exploit this
growing spending power
Chinese consumers can be broadly
grouped into two segments; the ‘we’
and the ‘me’ generations
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6. WE” GENERATION
• Born in the 1960s & 70s
• Current age: 28–47
• Population: 450 million
• Often digitally connected
• Confident, well-off,
responsible, family-oriented
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7. WE” GENERATION PSYCHE
I live and work for my family
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8. They access the web through PC/
Mobile
They are time pressured through work
They like to read fact based content
They don’t trust corporate messages -
they believe their select group of online
friends
They don’t like being told – they like to
be question and make own assessment
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9. ME” GENERATION
• Born after 1980
• Current age: 12–27
• Population: 380 million
• Always digitally connected
• Individualistic, fashionable, forward thinking, realistic
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10. ME” GENERATION PSYCHE
It’s all about ‘Me’
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11. They access the web through mobile
They are time pressured through social
activities
They don’t read- they scan. The like
gossip and entertainment news
They don’t trust corporate messages -
they believe their online buddies
They don’t like being told – they like to
be engaged and participate
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12. Given the difference of these two
groups, you need to separate ‘we’
and ‘me’ brand messages and
communications strategy.
BUT in terms of connecting with them,
they both belong to the DIGITAL
GENERATION and can be reached
through online campaigns
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13. When developing a digital strategy, leverage paid, owned
and earned media
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14. Source: SinoTech Group
(adapted from David Armano’s model)
A Simple Digital Marketing Framework
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15. Summary Table
Source: Forrester Research, Inc.

16. Shift away from interrupt based marketing to a more
conversational process.. In China we have our own social
media ecosystem

17. From a Traditional Marketing Model
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18. To a New Socially Engaged Model
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19. Using Earned Media in digital campaigns to develop
engagement requires some simple principles

20. 1. Listen to them
• Monitor the channels they’re using.
• What are they saying about your brand?
• What are they saying about competitors’ brands?
.
• Pre-empt reputational crises. Be ready to respond when necessary
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21. 2. Understand them
Remember our Chinese netizens are different in behavior and
in online intent
Consider what are their motivations for using social media
(are you wanting to reach the ‘we’ or the ‘me’ group)?
How do they interact with different social media channels?
How to they interact with each other across these channels?
What drives them to participate and spread messages?
What kinds of messages will they be receptive to?
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22. 3. Be visible to them
Don’t simply jump on the social media bandwagon.
When engaging these ‘me’ and ‘we’ generations’ through
social media you must know which medium is right for your
message and your objective
– i.e. when to use corporate blogs vs. forums vs. social
networking sites.
After selecting your channels, make sure your brand is highly
visible to the public.
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23. 4. Know what incentives work for them
Why should these ‘me’ and ‘we’ folks engage with your
brand and spread your message?
Is it a social currency?
Does it leverage opinion leadership among their peers?
Timely and compelling content?
Access to exclusive promotions?
Incorporate incentives that will drive interest and
participation.
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24. 5. Gain and maintain their trust
Be authentic and transparent in communicating across
social media.
Try to add legitimate value to netizens’ online experiences.
Most importantly, don’t try to deceive this group– they are
smart and it will only lead to backlash and reputational
damage.
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25. Summary
China has a robust consumer market
that wants to buy, buy, buy…
These consumers can be broadly be
grouped into 2 segments
Both segments are active users of
digital media
Within the digital media channels,
they are both social media junkies
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26. “Tell me and I’ll forget;
Show me and I may remember;
Involve me and I’ll understand.”
ANCIENT CHINESE PROVERB
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27. Thank you -
Dr Mathew McDougall | @sinotechian
sinotechgroup.com.cn | @sinotechgroup
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