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Marketing in China by guest blogger Fenghua Mo of Market Me in China

" We want to be truly global. We can't be truly global unless we're in China, and this is the start of that journey." UK online clothing retailer ASOS chief executive Nick Robertson said. (source: TheGuardian) China is the world's second largest economy by nominal GDP and by purchasing power parity after the United States. It is the world's fastest-growing emerging market with more than 1.3 billion population, both Western and Chinese companies are seeking opportunities to conduct business there. However, the high level of governmental control and regulations in traditional media makes western brands question where and how to start the journey in China. Turning to digital is a key for western brands to unlock China's market.

Opportunities for western businesses in China

Based on the reports from some authorities, there is a very strong opportunity within the following industries.

1. Retail, especially luxury goods

According to UK Trade and Investment, China's domestic consumption will grow rapidly in the next five to ten years. Chinese consumers, especially the growing middle class, are becoming more and more brand and quality-conscious. In their eyes, western brands mean good quality and fashion. On the other hand, affluent Chinese consumers are increasing and have a very positive attitude towards luxury goods which are symbols of good taste, wealth, success and social status. However, western retail brands are either underinvested in digital marketing in China, or don't have a presence in China's market on the digital world yet.

2. Travel

According to China Tourism Academy, travel is the biggest hobby of nearly 90% of wealthy people in China, which shows Chinese high-end tourism market is very optimistic and prospective for development in the future. 68% of wealthy people overseas travel costs per person over £5,000. The opportunities are the top destinations for Chinese wealthy people. Europe is the top destination. France ranked first in shopping destination, Hong Kong, Italy, Switzerland, the United States, the United Kingdom are also the prefer shopping destinations. Favourite islands for wealthy Chinese people are the Maldives, followed by Hawaii.

3. Education

Education in the US, UK, Canada, Australia, Germany and other developed countries is viewed as a reputation for excellence. Therefore, there is a huge opportunity for universities, colleges and schools to attract Chinese students.

4. Real Estate

Chinese property buyers switch from Hong Kong to Thailand, the US and London, according to Financial Times. The Chinese buyers, spending $9 billion on investing in houses in the US during the 12 months ended 31 March 2012, are the second largest foreign investors in the US housing after Canadian. This is a great opportunity for the real estate industry that can offer good properties to invest.

About the author

Fenghua Mo (Sammi), Director & Founder of Market Me China Ltd

Fenghua specialises in China online marketing helping businesses to extended their audiences in to the growing Chinese market. Trained in Baidu search engine optimisation, pay-per-click advertising and Chinese social media marketing, Fenghua understands China’s internet world and the differences between Chinese and Western culture and always looking to explore opportunities and create effective online marketing strategies to help western companies traverse the digital world in China.




Mob: +44 (0)7928 595520