The AdvantageWestern
in Chinese Branding
Chinese consumers see western
brands as products of quality
Most Chinese people
continue to associate
Western brands with
...
The media message is that only
western Luxury brands make PINK
money in China
Organic Food
Education
Medical Technology
Wine
Home Furnishing
Tourism
In reality, the world’s biggest market is
hungry fo...
Organic Food
“Organic regulation of
Chinese foods is a joke.” 

- Dr. Axe, 07/13
The Chinese Organic Food Certification Ce...
Northwest brand cherries from Washington, Oregon, Idaho, Montana and
Utah sold 155 tonson Tmall before they were picked.
!...
China represents an endless source of students for private high school for
college and university admission departments. A...
Home 

Furnishing
“China's furniture consumers
prefer international brands
due to their excellent design
and superior qual...
"Ikea's China stores saw 43
million visits - driving up sales
by 17 percent." 

- CCTV, 11/08/13
Medical
Technology
China’s health industry is taking off with the
economy, a nation-wide dearth of quality
clinics and hea...
Wine
After a long age of Socialist austerity, the Chinese
are turning to the finer things in life with a
vengeance. Wine i...
Tourism
China will be the world’s largest outbound tourist market by the end
of 2015. The age of packaged tours is over, a...
Focused social portals such as Mafengwo are a great way
to promote travel offerings for free, as well as advertise.
!
• Western organic, specialty food, home furnishing, travel, medical
technology, and education organizations have a natur...
Have Feedback or Questions?
Add us on WeChat!
Click here to learn How To
Follow Us on WeChat
• Get the latest from CDR
• S...
The Western Advantage in Chinese Branding
The Western Advantage in Chinese Branding
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The Western Advantage in Chinese Branding

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A western brand has a natural advantage in the Chinese market, as long as it is competing on quality and authenticity. Here are some industries where western brands in particular enjoy a large advantage over domestic competitors

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The Western Advantage in Chinese Branding

  1. 1. The AdvantageWestern in Chinese Branding
  2. 2. Chinese consumers see western brands as products of quality Most Chinese people continue to associate Western brands with quality, and this confers immediate advantages in t e r m s o f b r a n d perceptions, regardless of how accurate they are.
  3. 3. The media message is that only western Luxury brands make PINK money in China
  4. 4. Organic Food Education Medical Technology Wine Home Furnishing Tourism In reality, the world’s biggest market is hungry for all manner of western goods and services. Here are some of the most popular:
  5. 5. Organic Food “Organic regulation of Chinese foods is a joke.” 
 - Dr. Axe, 07/13 The Chinese Organic Food Certification Center (COFCC) is supposedly in charge but only certifies about 30% of organic products. The rest are certified through third parties, private firms, individual inspectors and international firms. They report that food safety issues in China make organics a profitable market. Consumers are willing to pay 300% more for organic asparagus, 10 timesmore for organic beef, and generally, 5-10 timesmore for all organic vegetables. This explains why the Chinese organic market was worth 13.5 billion dollars in 2012, and is growing at 40% per year.
  6. 6. Northwest brand cherries from Washington, Oregon, Idaho, Montana and Utah sold 155 tonson Tmall before they were picked. ! Chinese consumers want the largest, sweetest cherries and they are willing to pay for them. ! “They (cost) three times more per pound in China than they do in the U.S.”
  7. 7. China represents an endless source of students for private high school for college and university admission departments. According to the Chinese Ministry of Education, the number of students from China studying abroad was 450,000 in 2013, representing 15% growth over 2012, easily the largest international student population in the world. ! A combination of increasing wealth, as the nation rapidly transitions to a knowledge-based economy, and the prestige of an overseas education, has convinced a reported 90%of affluent Chinese parents that sending their kids to an English-speaking country is worth the investment. Education
  8. 8. Home 
 Furnishing “China's furniture consumers prefer international brands due to their excellent design and superior quality.”! - Sina News, 02/09/13 "China's furniture market is growing at over 25% average." 
 - HKTDC Research
  9. 9. "Ikea's China stores saw 43 million visits - driving up sales by 17 percent." 
 - CCTV, 11/08/13
  10. 10. Medical Technology China’s health industry is taking off with the economy, a nation-wide dearth of quality clinics and health centers being addressed with a boom in everything from plastic surgery to veterinary care. Of course, only the best will do.   Smart global players like Thermo-Fisher and Hitachi spend copiously for advertising on massive focused portals instrument.com.cn, shown below, to drive significant revenue growth for product lines such as confocal microscopes and diagnostic testing kits.
  11. 11. Wine After a long age of Socialist austerity, the Chinese are turning to the finer things in life with a vengeance. Wine is an upscale purchase that the growing middle class can afford.   27 percent of wine sales in China last year were made over the Internet. By contrast, online sales accounted for only 8 to 10 percent of wines purchased in Europe and just 2 percent in the United States.   China is the largest red wine market in the world.   Tmall stores specializing in foreign wines are proliferating.
  12. 12. Tourism China will be the world’s largest outbound tourist market by the end of 2015. The age of packaged tours is over, as savvy Chinese consumers seek specialized, self-directed experiences in virtually every niche.   Tripadvisor has a viral Chinese version, Daodao.com
  13. 13. Focused social portals such as Mafengwo are a great way to promote travel offerings for free, as well as advertise.
  14. 14. ! • Western organic, specialty food, home furnishing, travel, medical technology, and education organizations have a natural advantage with Chinese consumers. ! • Whatever your industry, you can build a profitable niche by competing on quality & authenticity. ! • The rapidly evolving Chinese Internet is making promotion of your organization more scalable and cost-effective than ever thought 
 possible. Takeaways:
  15. 15. Have Feedback or Questions? Add us on WeChat! Click here to learn How To Follow Us on WeChat • Get the latest from CDR • Send messages & get quick answers, anonymously. • Be on the inside of China’s biggest social trend.

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