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iStrategy Melbourne - Taking on Asia: the Opportunity For Australian Brands - Ashley McVey, Next Digital

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As Australian brands face increased pressure from international competitors, the growth opportunities in emerging Asian markets become significantly more appealing, and more accessible than ever before. Asia accounts for half of the global population and has the second-largest nominal GDP of all continents after Europe. With increasing digital connectivity and a maturing online market comparatively untouched by international brands, the world's eyes turn on Asia as the next big thing.

In this session, we’ll together explore a market with multiple languages, currencies and audience behavioural nuances to demystify the opportunity of, and approach to expanding operations in Asian markets. Aligned with Australian strategic expertise, we’ll spark conversation on the common challenges and brand opportunities Asia presents to your brand.

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iStrategy Melbourne - Taking on Asia: the Opportunity For Australian Brands - Ashley McVey, Next Digital

  1. 1. Taking on Asia The Opportunity for Australian BrandsAshley McVeyStrategy & Marketing Director, Next Digital
  2. 2. AgendaA brief overview of the regionWhy Asia?Trends in the RegionKey Learnings
  3. 3. First, a look at the whole region.24countries3,450,000,000 people50% of the worlds pop’n44.8% of the worlds internet usersRegionalismLanguagesCultural IdentitiesLaws and Regulations
  4. 4. 2 distinct markets to set the scene
  5. 5. Why Explore Asia 538m 40% 18m 62% 20m 90% Sept: 2012
  6. 6. Why Explore AsiaGlobal Rank Country Annual increase 6 China 9.5% 64 Malaysia 5.2% 142 Australia 1.8%Very attractive to multi-nationals due to high annual GDP growth. Source: Warc
  7. 7. Why explore the region?Asia-Pacific countries lead the world in e-commerce adoption.90% of consumers have purchased online. Src: Neilson. One size does not fit all- Asias multi-channel opportunity Countries include: Taiwan, Japan, China, S. Korea, NZ, Aust., Malaysia
  8. 8. But it is a complex Region By 2020, China is Half of Malaysians16% of Chinese tipped to have the between 20-34 people speak worlds largest consumer mobile English economy media on their smartphone Metropolitan vs. Rural audiences Malaysia is in the top 3 countries for video downloads. Source: Next Digital Regional Offices Source: Warc
  9. 9. Trends in AsiaASEAN is experiencing 3 big trends in online consumer behaviour: 1 Mobile Web 2 Video Content Consumption 3 Social Media Source: http://www.slideshare.net/BMGlobalNews/b-m-global-social-media-checkup-2012-deck-13341217
  10. 10. Trends in AsiaMobile browsing: % of all web traffic 192.5% increase since 2010 7.96% 5.13% 17.84% 14.85% 2.86% 7.55% Source: StatCounter. Pingdom.com. May 2012
  11. 11. Trends in AsiaBy 2013 the number of mobile searches is predicted to exceed desktop. Source: Roy Morgan
  12. 12. Social Penetration by Country 51% 41% 40% 20% Region Avg.Singapore Malaysia China Asia’s avg. Source. eConsultancy. Social media in Asia: Understanding the Numbers
  13. 13. Corporate use of Social Media in Asia China 80% 90% 50% 30% Malaysia 80% 100% 20% 80% Australia 90% 50% 50% Micro blogs Social Networks Corporate BlogsKey Trend across regional markets is micro-blogging. Video SharingCorporate blog usage has grown by 40% since 2010. Source: eConsultancy. Social Media in Asia
  14. 14. The Search Landscape VS
  15. 15. There is a lot of Success AlreadyFMCG Tourism Retail ManufacturingCoca Cola Tourism Victoria High end goods Phillips Pepsi Tourism Australia Sports brands SonyStarbucks Childrens Toys
  16. 16. Key Learnings
  17. 17. The Key Learnings1 Research the market2 Adapt Strategy3 Localise your Brand4 Utilise Local Expertise
  18. 18. Research the Markets2 distinct language versions Primary language is MalaySimplistic and Traditional English very widely spokenHighly detached regions 2 distinct land massesClass division Est. young middle classUnique family structure Large working demographic
  19. 19. Adapt StrategyChina is quickly approaching 20% of the worlds pop’nBy 2020, China will have 800 urban locations with a higherincome per capita than ShanghaiBy 2025, China will have 10 cities bigger than New York Source: Warc
  20. 20. Adidas “You cant treat China with a one-size-fits-all approach."Colin Currie, Managing Director of AdidasGroup China
  21. 21. AdidasHave identified Upper, Mid and Lower tier citiesUnderstand consumer behaviours are different due todifferent living costsHave a tailored strategy for each location
  22. 22. Adidas Neo
  23. 23. Localise your Brand Message Product Brand
  24. 24. Localise your Messagehttp://www.youtube.com/watch?v=W16qzZ7J5YQ
  25. 25. Localise your Messagehttp://www.tudou.com/listplay/Mlvy1XqBDUU/p7w518NftF4.html
  26. 26. Localise Your Product
  27. 27. Your Brand“I find I need to check myWestern sensibilities atthe door when planningcampaigns.” Paul Baron, Group Marketing Manager, Tourism Victoria
  28. 28. Work with Local Resource
  29. 29. Tourism Victoria in Malaysia
  30. 30. Tourism Victoria in China
  31. 31. Melbourne - Sydney - Brisbane - Shanghai - Kuala Lumpur - Singapore Next Digital Melbourne P: 8612 6888Ashley8, 15 William Street Level McVey F: 8612 6899Strategy & Marketing Director Melbourne, 3000 E: hello@nextdigital.comamcvey@nextdigital.com03 8612 6811

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