DANCING WITH THE DRAGON: SCALE YOUR BUSINESS WITH DIGITAL MARKETING IN CHINA

Live streaming has taken over the world, but China in particular, spawning a wealth of applications for this new marketing channel, from ecommerce to branding. Let’s go through the main applications and what you stand to gain.

Know your audience

The first question that you’ll have to ask, as with all new marketing channels, is if your target audience fits the regular demographic for live streams. Streaming channels have a particular pull on people in their 20s and 30s, which means that if your usual audience is way above that age, you’ll have to do a lot of work to get them to interact with you on this platform.

One of those ways could be by enlisting a very specific KOL. The authority that such a personality brings, could very well have the convincing power to get your audience to venture to this for them still very much uncharted territory. The devil is always in the details when setting up your channel strategy, and for live streaming this is more true than ever.

The various pros of streaming platforms

Now let’s go through some reason that live streaming might be the perfect addition to your marketing channel strategy.

• Huge potential reach: Opposed to more traditional marketing channels like TV, live streaming has a way bigger, multi-device audience that is very much willing to tune in from any and all locations, be it on the subway or at home from the comfort of their couch. As of 2020, a whopping 560 people engage with live streams every year, a number that is very much projected to skyrocket even further.
• KOLs as social proof: The Chinese audience is way more likely to engage with your product or company when they trust you. We really can’t emphasize the importance of building trust enough. And what is the oldest trust-building trick in every marketer’s playbook? Yes! Social proof. Que China’s upcoming KOL-marketing scene. Back in 2021, more than 50% of Chinese consumers were already using KOLs as their main source of information when researching products or services.
• eCommerce integrations: live streams have become one of the primary channels for social commerce. With KOLs and KOCs running selling-streams and spotlighting products on a timeslot basis. Platforms like Taobao Live are raking in billions of dollars every year through these selling streams. One of the main reasons for this is, again, social proof! Quality assurance is just as important as branding when it comes to live streaming.

China’s evolving digital landscape is continuously giving birth to new growth niches, providing unique opportunities for marketers. The green or eco-friendly industry stands as one such promising area. With the country’s middle class becoming more environmentally conscious, demand for sustainable and eco-friendly products and services is on the rise. Brands that position themselves in alignment with these values can access this growing and lucrative market segment.

Another sector experiencing a significant surge is health and wellness. Factors like increased health awareness, an aging population, and a governmental push towards a healthier nation are driving this trend. Products and services that cater to fitness, healthy eating, mental well-being, and preventive healthcare are witnessing a spike in demand. Concurrently, the “Silver Economy,” catering to China’s rapidly growing elderly population, is becoming an essential sector. With the over-60 demographic expected to reach nearly 500 million by 2050, brands that offer tailored products and services, ranging from healthcare to technology and leisure, have a unique opportunity to tap into this burgeoning market.

Lastly, let’s dive into the self-owned eCommerce market. This refers exactly to what you’d think: a business owning their own eCommerce platform, opposed to only selling their products on huge marketplaces like JD.com or Taobao. This gives a brand a few huge wins, like more control over their brand image, full ownership of the data they collect during the purchase process that their clients go through, and an opportunity to maintain way better profit margins on their products. There are some caveats though, like logistics and the ability to actually get people to your shop. Which means that self-owned eCommerce requires a whole different kind of marketing strategy.

These burgeoning niches, in conjunction with China’s dynamic digital landscape and flourishing e-commerce sector, offer immense potential for brands that understand and cater to these emerging markets. At Seoone, we’re here to assist you in navigating these growth niches and maximize the potential of your digital marketing initiatives in China.