Ever since the 1980s, China has developed a broader and deeper relationship with food than the rest of the world, as a result, Chinese culture was able to benefit from other countries’ rich cuisine and unique cooking recipes. China is a nation with an ancestral history of food culture, and as such food has become an essential part of Chinese culture.

Over the last 20 years, Chinese citizens have deeply changed their eating habits, and food in China has undergone many transformations. The experience of great famines during the communist era, made them pay attention to what they eat.

Privatization of agriculture resulted in a skyrocketing of field productivity and since the 1990’s Chinese consumers are no longer starved with an average of over 3000 kcal per day and per capita. Free trade allowed China to recover its 3500 years old culinary tradition.

Chinese people like to eat

The food is holly in China. Knowing how to cook is still very important for a woman. To illustrate this commitment to food, I’ll give you some examples of everyday life :

• The first thing a chinese person will ask to a foreigners is : “Do you like Chinese food ?”
• The second one will be : “Are you accustomed yet to chinese food ?”
• The third one is : “Do you know how to cook chinese food ? (Be careful never to say yes, otherwise you will have to invite them!)

Besides, the first thing you must ask when you are going to visit a family in China is  « chi fan le ma »? which translates to “Have you eaten already ?”

Restaurants in China

As already explained in a previous article about restoration in China, Chinese people like to go to restaurants quite often with colleagues, childhood friends, family, and business partners. Restaurants in China are affordable and you can eat there every day. Chinese citizens like to say that the food at home is always tastier than in the restaurant (if it’s well made). This is not necessarily wrong, nor bragging as the food they can buy by themselves should be better than the one used in most restaurants.

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Chinese like to do shopping at the market or supermarket because the quality is better. Mostly fresh foods. Thus, it is impressive to see that even at 6 am you can see seniors doing their shopping there just in order to benefit from the best products.

Chinese have confidence in foreign supermarkets such as Carrefour for the quality and also the fact that the Cold Chain is never broken. They are quite curious about foreign food but rather chauvinistic so according to the foreign food will never compare with the Chinese one.

No doubt that the fastest growing exotic food is the so-called “American junk food”.  For instance, Mac Donald and KFC are very well established in China and attract more and more young people.

Wasting food in China: a “tradition” the Country wants to Stop

Surprisingly Chinese love both abundance and wasting stuff. For them, there must always have food on the table, so do not try to finish everything or more will soon come on the table. If you invite make sure that the meals are in abundance if you do not want to lose your face (especially for business). The dishes are ordered in even numbers, it brings you luck.

The tradition wants the food to be plenty and various on the dining table with meat, fish, vegetables, but also different cooking styles ( steam, fried, or in sauce). It is important to always have a spicy dish on the table, with alcohol flowing. Chinese people prefer large tables for many people, fifteen is good, but sixteen or more is better. The louder you talk the better fun you have. That’s the reason why in China one often hears quite unpleasant noise in a restaurant one is not accustomed to it yet. The better if you invite is to book a private room for your guests to ensure freedom of speech.

Rules of etiquette when eating in China

The person invites (and pay), chooses the dishes, which means that the dishes are not individuals, but for all the guests. One has to pick in all the dishes, without embarrassment. Having cooked something sophisticated is a sign of politeness. At first, the Chinese will always insist to pay and will get angry if you want to share or pay for them. The right attitude is to invite them for another time later to keep a good relationship with good guanxi

One surprising thing you should do is to force your guests to taste, eat, or drink. It is always very friendly to fill the glass of your host. For example, as far as a Ganbei is finished, the glass should be filled in 3 seconds. And in China, we also use toast and drink ing “bottoms up” as a way to show virility. Before drinking, you must tapper the glass against the table if others are too far. Usually, after 10 Ganbei, there is a warm atmosphere, and you can make fun of the Chinese becoming reddish. more details alcohols China

The Chinese Diet

Historically, famines were a great threat but today it is rather an obesity. McDonald’s and Coca are accused, but also the candies’ market that is skyrocketing.

The diversity of meals.

The Chinese are well known for using everything as a cooking ingredient. They have a saying: « everything that has 4 legs eat except chairs ». Thus, one can find all sorts of dishes, focused on some body parts. The Chinese, who are fairly superstitious believe that eating a part of an animal provides resources for this part. So, if you have vision problems, it is good to eat fish eyes. If our heart is fragile, chicken hearts are an excellent remedy. If you have impotence problems … I guess.

Calcium deficiency

One striking figure in China is the fact that unlike us, they suffer from a lack of milk products in their alimentation. No cow’s milk, but often tofu (soybean)’s milk. No cheese or very little. Chineses do not cook with butter or cream and consume little or no yogurt. They do not like dairy products, but it has probably provoked calcium deficiencies and may explain their smaller size and less weight due to lower bone density.

Food in China: Traditions and customs

The Chinese eat with chopsticks … it’s not a scoop. But eating with chopsticks requires pre-cut all the food before serving. This gives a very fine food. They use a rotating round table where each guest can pick up the desired quantity. The Chinese take three meals a day. One early in the morning (6 am), one at 11 am and the last one after work (6 pm). Breakfast is often still traditional: things not eaten the day before, prepared rice, Chinese egg hundred years (marinated in vinegar) tofu milk with a sort of churros.

1. Diversity of Cuisine

China’s cuisine is incredibly diverse, with each region offering unique flavors and dishes. The major regional cuisines include Sichuan, Cantonese, Shandong, Jiangsu, Fujian, Hunan, Anhui, and Zhejiang, each known for specific ingredients, cooking techniques, and flavors.

2. Importance of Freshness

Fresh ingredients are paramount in Chinese cooking. Markets with fresh vegetables, seafood, and meats are common, and meals are often prepared with ingredients bought that day. see this franchise good restaurant

3. Balanced Flavors

Chinese cuisine emphasizes a balance of flavors—sweet, sour, bitter, spicy, and salty. This balance can vary significantly between regions. For example, Sichuan cuisine is known for its bold and spicy flavors, while Cantonese cuisine tends to be milder and slightly sweet.

4. Rice and Noodles

Staple foods vary by region. In southern China, rice is a staple, while in the north, noodles, dumplings, and bread-like dishes made from wheat are more common.

5. Tea Culture

Tea is an integral part of Chinese culture, with various types such as green, black, white, oolong, and pu-erh. Tea ceremonies and the art of tea making are important cultural practices. concept of restaurant here

6. Dining Etiquette

Chinese dining etiquette includes using chopsticks, sharing dishes family-style, and showing respect to elders by serving them first. It’s also customary to tap the table with fingers as a sign of thanks when someone pours you tea.

7. Healthy Food

Chinese cuisine often incorporates the principles of traditional Chinese medicine. Ingredients are chosen not just for flavor but also for their health benefits. Ingredients like ginger, goji berries, and ginseng are common for their believed health-promoting properties.

8. Street Food (always so good)

Street food is an essential part of Chinese culinary culture. Local snacks and dishes like jianbing (savory crepes), baozi (steamed buns), and chuan’r (skewers) offer a taste of authentic Chinese flavors.

9. Festive Foods like Dumplings

Certain foods are traditionally eaten during festivals. For example, mooncakes are eaten during the Mid-Autumn Festival, dumplings during the Spring Festival, and rice dumplings (zongzi) during the Dragon Boat Festival.

10. social media and Food in China

Understanding these aspects of Chinese food culture can enhance your appreciation and enjoyment of the cuisine while also helping you navigate the social and culinary norms in China.

Social media has had a profound influence on food culture in China, transforming how people discover, share, and experience culinary delights. One platform that stands out in this landscape is Little Red Book (Xiaohongshu or RED). Here’s an exploration of its impact and the broader influence of social media on food in China:

Little Red Book (Xiaohongshu or RED)

**1. **Platform Overview xiaohongshu is a social media platform combining user-generated content with e-commerce. It allows users to share reviews, recommendations, and experiences about products, including food and dining. the social networks for lifestyle in China

**2. Food Discovery Users share posts about their dining experiences, recipes, and food recommendations. This content helps others discover new restaurants, cafes, and street food spots, often highlighting lesser-known or trendy places.

**3. Influencer Impact Food influencers and bloggers on Little Red Book have significant sway. Their posts can drive traffic to specific restaurants or create viral food trends. Their recommendations are trusted by their followers, influencing dining choices and food purchases.

**4. Visual Appeal The platform’s focus on high-quality visuals makes food content particularly engaging. Beautifully presented dishes and aesthetically pleasing food photos attract attention and drive user engagement.

**5. Recipe Sharing Home cooks and chefs share detailed recipes and cooking tips. This exchange of culinary knowledge encourages users to try new dishes and cooking techniques at home.

**6. Reviews and Ratings Users can post detailed reviews and ratings of restaurants and food products. This community-driven feedback system helps users make informed dining and purchasing decisions.

Read more

https://www.linkedin.com/pulse/chinese-food-beverage-market-2024-healthy-indisposed-dax6e

Broader Influence of Social Media on Food in China

**1. Trend Creation Social media platforms like WeChat, Weibo, and Douyin (TikTok) are instrumental in creating food trends. Viral challenges, unique dishes, and food hacks often originate and spread rapidly through these platforms.

**2. Marketing and Branding Restaurants and food brands use social media for marketing and branding. Engaging with customers through posts, stories, and live streams helps build brand loyalty and attract new patrons.

**3. Online Ordering and Delivery Social media integration with food delivery apps like Meituan and Ele.me has streamlined online ordering. Users can order food directly through links on social media posts, making the process convenient and efficient.

**4. Virtual Communities Social media has fostered virtual food communities where enthusiasts share experiences, tips, and recommendations. These communities often focus on specific cuisines, dietary preferences, or cooking methods.

**5. Cultural Exchange Social media facilitates cultural exchange, introducing users to global cuisines and culinary practices. Exposure to international food trends influences local tastes and encourages culinary innovation.

**6. Real-time Feedback Restaurants receive real-time feedback from customers through social media. This immediate interaction allows businesses to address issues promptly and improve their services.

**7. Health and Wellness Trends Social media has amplified the focus on health and wellness in food choices. Trends like clean eating, plant-based diets, and functional foods gain traction through influencer advocacy and user discussions.

In summary, social media, particularly platforms like Little Red Book, has significantly influenced food culture in China by driving food discovery, creating trends, and fostering a vibrant community of food enthusiasts. This digital shift has transformed how people interact with food, from cooking and dining to reviewing and sharing experiences.

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China’s Regional Food differences.

Each region of China has its specialties and its habits. Coastal regions have the habit of eating a lot of fish and seafood, while mainland areas eat more meat and cereals. Traditionally, the north is generally characterized by warm dishes. Shanghai’s Kitchen is marked by sweet dishes. Southern cooking is pretty sweet plus all local peculiarities, snake, monkey, and rat … In the west, Sichuan, Hunan it is very spicy.

As for minorities, they have their own traditions. One can find cheese and yogurt among the Mongols (which would explain their superhuman strengths). Tibetans mix barley flour with tea and yak butter. And we must not forget the famous barbecues of the Uyghurs. I could go on like this as there are hundreds of specialties.

China’s Diet fast evolution

In China, everything evolves very quickly. And food habits are no exception. Rice and grains have lost their importance, and the Chinese are increasingly consuming meat (300% of the growth of meat consumption between 1978 and 1994).

 The Chinese did not usually eat sweets but consumption trends changed in China, and candies ‘ products are skyrocketing, like cereal bars, cakes, chocolates, and chewing gum. Sweet drinks (Coke, fruit squash, and lemonade) are gradually replacing tea, the official Chinese drink. We also note the increase of consumption of oil (for frying), sweets, and alcoholic beverages, see the alcoholic beverage market in China.

Chinese Households food budget..

It is estimated at 36% of the budget, according to a study by the ICC. Chinese urban spend on average 36% of their total budget on food (13.4% in France). The variation depends on the income. The 10% poorest urban devote 47.4% on food. The 10% of the richest devote 28% to food and they consume fewer grains and more fruits and milk. Currently, the budget share devoted to food is losing its importance in favor of housing, health, and education.

Except for cereals and vegetables, all other food products are increasing their share of the global food consumption reflecting changing lifestyles. For instance, the number of dairy products consumed per year increased from 4.6 kg/capita in 1995 to 18 kg/capita in 2007, while that of cereals fell from 130kg/ capita in 1995 to 75.9 kg/ capita in 2007. Consumption of pork remained stable (18.4 kg to 20 kg), the poultry consumption increased (3.4 kg to 8.3 kg) and that of seafood (7.7 kg to 10 9kg) less significantly.

Etiquette for conducting business in China

Meals and banquets are an important aspect to take into account when doing business in China, indeed meals and banquets are often used as a setting to form business deals, build relationships and even more importantly, show respect to your future business partners. Some of the practices associated with dining in China may vary depending on the city however, there are several standard elements of dining etiquette that will be practiced all over China.

Seating arrangements: As for the seating arrangements for conducting business meetings in China, the most main guest sits on the side of the table, the furthest away from the door, and positioned in the middle place of the table, the second most important person seated next to them and so on, this process should be repeated in descending order of importance.

Table Manners: Dining etiquette in China can be a bit more organized than in many western countries and the protocol can also vary according to the level of formality used between the participants. Most Chinese business meals are in the form of banquets, often with a huge number of dishes available. It is considered good manners to serve others before serving yourself, also in order to be seen in a good light, try eating everything you are served, of course without showing displeasure.

Toasting and drinking: The meal’s host will usually make a toast at the start of a meal and if you are the honored/main guest it may be a good idea to reciprocate the toast soon after, or at the end of the meal. It is commonplace to toast the health of the host and all the people present and to the prosperity of the business that brought all of you together. Keep in mind that when drinking, never refill your own glass yourself, instead refill your neighbors and they will, in turn, fill yours.

Last but not least, the bill!

The bill: It is standard practice in China that whoever has invited you to take part in the meal to pay the bill, bear in mind that you should not offer to leave a tip, indeed this is not common practice in China and is technically illegal…

Food Trends in China

• Modern chinese food is the latest culinary trend taking over China, and Shanghai is leading the way ! Modern chinese food is essentially consists of combining creatively  local flavours with traditional ingredients in order to create unique and attractive menu items.
• According to Meituan’s database (one of China’s delivery service alongside Dianping) , Sichuan cuisine made up the highest percentage of eateries for 2017 and 2018, representing 4% (2017) to 5% (2018). Meituan also reported that young chinese millennials (indivuals born in the ‘90s) are the driving force behind this trend, which represents around 51% of all dining out options.

• The popularity of coffee has encouraged all kinds of food innovations. Nowadays, chinese consumers can not only drink coffee, but also eat it ! The forms and coffee varieties have become even more diversified than it was before. From the simple basic coffee to coffee and tea, coffee and alcoholic drinks, the consumption form has also expanded from drinks to coffee snacks.

Impact on the chinese food market

Luosifen, a very odorant noodle dish from the southwest of Guangxi province has experienced an unexpected increase in popularity in China during the COVID-19 pandemic.

A humble noodle dish originating in southwest China’s Guangxi Province became a national hit and something of a limited commodity during the pandemic. As a result, Chinese consumers can’t get enough of it. Luósīfěn (螺蛳粉), or river snail rice noodles, originated from the city of Liuzhou, where it has been served in street-side stalls as an affordable snack since the 1970s. The unique dish, known for its pungent aroma, is made from simmering snails, pork bones, and several spices for many hours, resulting in a spicy broth that is served with rice noodles, fermented bamboo, dried beancurd, peanuts, and vegetables.

Read more

In 2024, understanding the evolving preferences and behaviors of Chinese female consumers is crucial for brands aiming to succeed in the market. Here are ten trends to consider for this demographic, along with five critical questions brands should ask to tailor their strategies effectively.

10 Trends Among Chinese Female Consumers in 2024:

1. Eco-conscious Choices: A growing preference for sustainable and environmentally friendly products, from cosmetics to fashion and beyond.
2. Premiumization: Willingness to pay more for high-quality, premium products that offer enhanced experiences or superior results.
3. Digital Savvy Shopping: Greater reliance on digital platforms for shopping, influenced by integrated AR and VR technologies that enhance online shopping experiences.
4. Personalization: Demand for personalized products and services, from skincare items tailored to specific skin types to customized dietary supplements.
5. Beauty and Skincare Innovation: Continual interest in the latest beauty trends, including microbiome health, natural ingredients, and scientifically-backed products.
6. Local Brands Surge: Rising patriotism influencing purchasing decisions, with a marked preference for local over foreign brands, provided they meet quality and luxury standards.
7. Fitness and Active Lifestyles: Increased participation in fitness and wellness activities, leading to growth in activewear and related health products.
8. Solo Economic Impact: More single women are making significant economic decisions independently, focusing on their personal and professional growth.
9. Tech-Integrated Life: Enhanced adoption of technology not just in daily routines but also in managing personal health and financial decisions.
10. Health and Wellness Focus: Increased interest in products that promote health, well-being, and longevity, such as organic supplements and stress-relief solutions.

5 Questions Brands Should Ask:

1. Who is our target customer within the Chinese female demographic?
   • Understanding specific segments such as age, income level, and lifestyle can help tailor marketing messages and product offerings.
2. What are the primary values that influence their purchasing decisions?
   • Are they driven more by sustainability, quality, brand origin, or innovation?
3. How do they prefer to receive information about products?
   • Determining whether Chinese social media, influencers, traditional media, or other digital platforms are most effective can optimize marketing strategies.
4. What role does technology play in their shopping experience?
   • Assessing the importance of mobile apps, augmented reality, and online reviews in their purchase process.
5. How can we create a Specific community around our brand?
   • Considering strategies for building brand loyalty, such as engaging with Chinese female customers on social media, offering memberships or loyalty programs, and providing value through educational content.

By analyzing these trends and considering these questions, brands can develop more effective strategies to connect with and engage Chinese female consumers, ensuring relevance and boosting market performance in 2024.

Analyse of Philip CEO of GMA

Chinese women control the finance in the family

In China, 51.6% of the women control the finance in a family, 44.5% of them negotiate with other members and only 3.9% don’t. In Shanghai which is famous for its henpecked husbands, wives dominate 27% of families and husbands only take up 14%!

It’s been discovered that their consumption focus now is shifting to online consumption. In big cities, 44% of women are getting used to online purchases and the percentage in small cities and towns is 23%.

.1. Online Shopping

Now online shopping has become very popular among Chinese girls and ladies. Among the career ladies, 87.7% surf online frequently. And from the Internet, they can find the same goods as those in shopping malls, but usually half the price. So girls can get what they want and save money at the same time.
And the survey shows that most female online consumers in China like online shopping malls, search engines, and videos.

.2. They like video, make research before buying

According to the DCCI data, video website has become the third source for Chinese female to get information, after searching engine and online shopping mall. With the increasing concern about the video, the value of video marketing also increases.
Chinese, especially females, would like to make the decision after they see the products. As a result, they tend to trust what’s in the video because it not only allows them to see the products but also to hear them.

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3. Care about Packaging More

It seems very difficult for Chinese girls to be rational in front of something well-packed. Sometimes they can be so crazy that they will neglect the usefulness or price of the product, even including expensive goods like home appliances and clothing. That’s also why Chinese people say “women’s money is easy money”.

Concept of these famous panda shops for example

4. Special sense of beauty

Chinese girls have a quite special sense of beauty. For Chinese girls, white and smooth skin is the symbol of beauty. But now, with the spreading over-weight problems, body shape is becoming more and more important for Chinese girls.
As a result, their bags are full of cosmetics that help them become slender and white not like western girls with sunscreen all over their bodies.

5. Impulse buyers

Young girls in China, especially those born after the 1990s, seem to have difficulty holding their consumption. Most of them were spoiled when they were young. So they get used to spending money “generously”.
In another way, they suffer great pressure from the company as well as their parents because everybody pins their hopes on their only kid in the family. And shopping can help them to release the great pressure.
These two reasons both make girls shop less rationally. Many can be their reasons to buy something things such as discounts and star endorsements.

6. Self-centered

Different from the older generation women, today’s Chinese girls are very independent mentally and highly self-centered. It’s also revealed in their consumption, among ladies from 20-30 years old, 56% of them will spend their money first on clothing, perfume, and cosmetics. Only 6% of them will consider family.
This trend has also been reflected in their choice of goods. You will discover that fewer and fewer girls are good at picking gifts for others. On the other hand, more and more of them choose gifts according to their own taste. Maybe it only happens to me and all my friends.

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7. Brand followers

For most female Chinese, luxury brand means quality + taste + history. There are 62.1％ of Chinese females believe that brand products are expensive for their quality and duration.
And Chinese females are also addicted to comparing with others. So they have one more strong reason to buy big luxury brands because it can give them a big plus in comparison.

Little Red Book (Xiaohongshu or RED) is a unique social media and e-commerce platform in China, particularly popular among women. This platform merges lifestyle sharing with product discovery and shopping, making it a dynamic space for female users to explore and buy products based on user-generated content. Here’s a deeper look into Little Red Book:

Little Red Book To target Chinese Ladies

Launched in 2013, Little Red Book quickly became one of China’s fastest-growing social media platforms, with a heavy emphasis on lifestyle, beauty, fashion, and travel. Its core demographic consists predominantly of urban women aged between 18 and 35, who are keen on exploring and purchasing luxury goods, beauty products, and health items.

Unique Features:

• User-Generated Content: Users create posts and share reviews about their daily lives and various products they use, influencing the buying decisions of their peers.
• E-commerce Integration: It seamlessly combines social media features with e-commerce capabilities, allowing users to buy products directly through the app.
• Community Engagement: The platform fosters a strong community feel, with users often looking to the app for recommendations on just about anything—from makeup to meal recipes.
• Authenticity and Trust: Little Red Book has strict regulations to ensure reviews are genuine, fostering an environment of trust and reliability.
• International Products: The platform is known for its strong focus on international brands, which attracts users interested in overseas products that may be harder to source locally.

Importance for Brands:

For brands targeting Chinese women, Little Red Book offers a valuable space to build brand presence and loyalty. The platform’s review and recommendation system allows for high levels of user engagement and organic brand promotion through word-of-mouth. Here’s why brands, particularly those in fashion, beauty, and health sectors, find Little Red Book indispensable:

1. Targeted Marketing: Brands can target their campaigns very precisely thanks to the platform’s rich user data and analytics.
2. Brand Storytelling: The emphasis on narratives allows brands to tell their stories, connect emotionally with users, and enhance brand identity.
3. Influencer Collaborations: Collaborating with popular users on the platform can significantly boost brand visibility and credibility.
4. Direct Feedback: Brands receive immediate and actionable feedback from their target audience, allowing for quick adjustments to products or strategies.
5. Product Launches: New products can be introduced effectively using tailored marketing strategies based on extensive user behavior data.

Strategy Tips:

• Engage Authentically: Brands should focus on creating genuine and engaging content that adds value to the community.
• Monitor Trends: Staying up-to-date with trending topics on the platform can help brands align their products with current user interests.
• Utilize Visual Content: High-quality images and videos are crucial on Little Red Book, as they increase engagement and appeal more effectively to the audience.

Little Red Book represents a vibrant, trend-sensitive community perfect for brands looking to expand their reach within China, particularly those aiming at the affluent, modern Chinese woman.

8. Easily Influenced

Chinese females are becoming more and more self-centered but not independent. They can be easily influenced by their shopping mates and friends because when they buy something, they will ask the advice from another one. So advice from “another one” is very important for them.
And with popularization, the role of a net friend is also important because female Chinese can be greatly influenced by and trust them, especially those Key Opinion Leaders (KOL) online.

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Philip (Linkedin add me)

Marketing China

With almost 1.4 billion Chinese inhabitants and a growing middle class, it is a wonderful opportunity for brands to conquer and retain a wide audience. The China Chocolate Market size is expected to grow from USD 3.83 billion in 2023 to USD 4.85 billion by 2028, at a CAGR of 4.81% during the forecast period (2023-2028). Therefore, the Chinese chocolate market is an attractive choice for foreign manufacturers trying to introduce chocolate and cocoa products in China.

Chinese Chocolate Market Overview

Being one of the most consumed and appreciated food products, chocolate is the most popular sweet dessert in the world, with a global industry predicted to reach 160.9 billion dollars by 2027.

Even though China is way behind the U.S. and Switzerland in terms of chocolate consumption, it has witnessed a growing demand in the past few years, becoming a very promising industry in China, especially for foreign chocolate companies.

The Chocolate Industry in China

Chocolate was introduced in 1705 to the Chinese emperor Kangxi as a gift, but the chocolate market in China has boomed since the 1990s. Considered for a long time as a premium product for special occasions, it progressively became a kitchen cupboard essential for many Chinese. It is important to know that Chinese consumers are not used to eating chocolate, and it was thanks to foreign brands expanding their activities in China that chocolate consumption was democratized.

Chinese people are not used to eating chocolate and desserts, as Chinese culture was never about sweets. Chinese food usually consists of 5 tastes; salty, spicy, sweet, sour, and bitter. But the sweet taste is added to main sour dishes and is not treated as something separate, reserved for dessert as we do it in the West.

Although international chocolate makers like Mars Group, Nestlé, or Ferrero are already storming the chocolate market in China, this market is still considered untapped, leaving opportunities for new brands to have a piece of this (chocolate) cake.

China’s Chocolate Consumption

What is important to mention is the fact that most of the chocolate in China is not consumed as such, because Chinese people are still in the process of getting used to consuming chocolate. They prefer to add it to other chocolate products, like cakes with a fragrant milky taste enriched by milk chocolate, soft candy with chocolate chips, biscuits, and sweet drinks.

China’s chocolate market is dominated by cocoa and dark chocolate, as Chinese people are more conscious about their health and are aiming for a more balanced diet with saccharine desserts instead of real sugar. According to Market Watch research, cocoa beans reached 64,127.70 tons in 2022 with a CAGR of 6.60% in terms of volume.

What are the Biggest Chocolate Companies in the Chinese Market?

Many international chocolate brands were able to enter the Chinese chocolate industry, allowing Chinese consumers to purchase chocolate easily. The following brands are dominating the mass distribution chocolate market in China;

• Mars: 40% of the market share

Mars is the biggest player on the chocolate market in China, with a lot of products being widely popular among Chinese netizens in recent decades. Here are the main brands of Mars Group company;

• Ferrero: 28% of the market share

• Cadbury

• Hershey’s

• Nestlé

It is important to know that foreign chocolate brands are taking up to 70% of the Chinese chocolate market. China chocolate market presents an enormous potential for international companies, as Western sweets and other products are increasingly popular among Chinese people, especially in cities like Shanghai, Hong Kong or Beijing.

The other 30% of China’s chocolate market share is from local brands such as the Chinese chocolate brand Leconte (that has been sold to Hollygee in 2016). However, it is also important to know that in China, the maximum amount of cocoa authorized is about 25%, whereas it is around 35% minimum worldwide. Thus, it is difficult for Chinese brands, for example, to export their chocolate overseas, which gives foreign brands a competitive advantage in the market.

How to Sell Your Chocolate in China?

What is important to understand about China chocolate market is that Chinese netizens are new to chocolates and sweets, as it’s something that they didn’t have in their culture before. The capita consumption in China is still very small in comparison to other countries like US or even Japan, where every person eats 1.2kg a year. In China, it’s only 0.1kg.

Although there are a lot of business opportunities for foreign brands on China chocolate market, chocolates are gaining popularity rather in big cities like Shanghai, where people are used to Western products and international standards. Therefore, while crafting a marketing strategy for your brand, you need to think of appropriate distribution channels so that your chocolates gain the audience you are looking for.

Supermarkets and grocery stores have the biggest sales of chocolates in China, but when it comes to other distribution channels that cater to chinese standards, the most profitable will be;

Chocolate Stores

If you want to expand your activities in China and sell chocolates, you are probably wondering if you should open your store. Even though the majority of Chinese consumers are buying chocolate directly in supermarkets or on e-commerce platforms, the younger generation now wants higher-quality and creative products with high prices, because they consider them more luxurious.

Opening a flagship store of your brand in one of luxury malls or shopping streets in first tier city in the country will make your brand stand out. However, don’t forget that you might also need to use e-commerce platforms to increase your sales and build brand awareness.

Chinese E-commerce Platforms and Online Marketplaces

Following China’s rapid digitalization over the past decade, several e-commerce platforms were able to stand out in the Chinese market, grabbing over 900 million users in 2023, and enabling this enormous spurt in China’s e-commerce sector. Thus, all kinds of chocolate brands need to sell their chocolate online, using e-commerce platforms.

If you want to target a wide audience of consumers, you need to have the best tool to do so. E-commerce platforms allow you to control directly your sales, enabling at the same time consumers all across China to purchase your chocolate and receive it within the day. Let’s check the most popular ones;

How to promote your chocolate in China?

With China being one of the most competitive markets in the world, it is difficult to attract consumers without an effective marketing strategy. In a country where everything is digitalized at a faster pace, targeting tech-savvy consumers using digital tools has become essential for both Chinese and foreign brands.

The Importance of Branding for Imported Chocolate in China

In China, more than everywhere else in the world, a brand’s image is an important key factor in its success among Chinese consumers. People are willing to buy a branded product ten times more than a non-branded one.

This is partly because China suffered for a long time from a bad-quality reputation following various scandals and counterfeited goods. And since the competition in the market is huge, consumers prefer to rely on brands that they already know or someone recommended to them.

Imported Chocolate Brands Need an Online presence in China

In one of the most digitalized countries in the world, brands need to have an online presence. By this, you’ll be able to target this tech-savvy population as well as increase your brand awareness. There are several aspects to consider;

Having a Chinese Website

For most of the chocolate brands selling their products in China, it is essential for them to create a website in Mandarin Chinese. In general, the first thing consumers will be looking at is your website. Indeed, they will enter your brand’s name on Baidu and check what appears there first. You need to make sure that it will be your website, that will be well optimized for SEO in China.

Don’t forget that you must adapt your website for smartphones, as the majority of the population uses their smartphone to do online research, on their way to work, or during lunch break.

As the most popular search engine in China by far, Baidu is a step you can’t skip in China. However, increasing your website’s ranking on Baidu requires a slightly different way of thinking about Search Engine Optimization (SEO) compared to what you might be used to with Google. Considered the “Chinese Google”, Baidu is the most popular Chinese Search Engine and stands as the 5th most consulted website in the world. As of 2022, it represents 71.9% of the Chinese market share.

Baidu is an opening window to enter the Chinese chocolate market as consumers will do their research on it to discover your brand. If you are not visible through the first pages, you won’t probably get much traffic. That’s why working on Baidu’s SEO is as important as setting up your e-commerce online shop.

To do it successfully without wasting too much time, you can contact specialized experts such as GMA. We have helped many companies increase successfully their rank on Baidu, gaining much traffic, and thus, much more clients.

Chinese Social media

With more than 1.02 billion internet users in China, it has become essential for brands to be on social media. However, due to the Great Firewall, social apps such as Facebook, Instagram, Facebook, Twitter, and Snapchat are unavailable. This means that you will need to comply with Chinese social media if you want to target new Chinese consumers.

As you understand, the Chinese population is among the most connected in the world, and with a tech-savvy population, it is considered mandatory to have an official account and be at the core of trending topics. When looking for chocolate brands, Chinese internet users will research your brand online. When hesitating between your brand and another, they will look at reviews, forums, pictures, etc.

WeChat

Created by the Chinese company Tencent and released in 2011, WeChat, also known as Weixin (微信) in China, is the most used social media in China with 1.26 billion users as of 2023, far beyond Weibo, and is expected to grow even more.

WeChat is one of the leading social networks worldwide, ranking sixth in terms of active user number, and becoming a lucrative marketing platform with its plethora of different functionalities. Its success relies on the fact that Wechat was able to integrate almost all the features that made the success of the world’s most popular networks.

One of the powerful and useful ways to take advantage of WeChat is to create an H5 brochure that you’ll be able to share with your followers, and directly on your social media accounts. It is cost-effective and works like a website within the WeChat platform.

Weibo

Launched in 2009 by the Chinese technology company Sina Corporation (新浪), Weibo (微博) is one of the biggest social media platforms in China. As its name indicates (“micro-blog”), Weibo provides micro-blogging services and is often compared to Twitter. However, it has evolved into a microblogging hybrid with Instagram, Pinterest, Reddit, and YouTube over the years.

As of 2021, Weibo has 56.8% of the Chinese microblogging market in terms of active users, and 86.6% in terms of browsing time over Chinese competitors such as Tencent and Baidu. It has more than 511 monthly active users and millions of posts per day, making it the largest Chinese-language mobile portal. Almost all Chinese millennials are using this social app to follow celebrities, KOLs, brands, read news, etc.

With the majority of foreign brands having an official account on Weibo, you will probably have to consider creating an official account on Weibo. To do so, you can contact us and our team will take care of it.

Little Red Book

Little Red Book is one of the most famous social media and e-commerce platforms in China. Also known as Xiaohongshu (Chinese name) or simply RED, this platform has 300 million registered users with the majority being women. They look for shopping recommendations and opinions about products they want to purchase, look for travel, fashion or beauty tips and many more. The app is compared to a mix between Instagram and Pinterest, with its e-commerce platform.

There are many more platforms worth exploring in China and every brand might be suitable for different ones, depending on your target audience. If you’d like to understand the social media landscape in China, please check more here.

Online and Offline Promotion During Chinese Holidays

Traditional holidays and events in China are extremely important in terms of sales. This is when people gather together to eat, weather it’s home-made food or restaurant treats. They also look for some luxury products to buy as gifts.

For example, during the Mid-Autumn festival that takes place every year in October, it is part of the tradition to offer and eat moon cakes. These moon cakes are pastries usually filled with red beans, egg yolk, or meat and they are round, which represents the full moon. You can see how they look below;

Although a lot of Chinese netizens will still prefer to eat the traditional version of those cakes, many foreign and Chinese chocolate manufacturers like Godiva (Belgian chocolate brand) have created their chocolate moon cakes variations, attracting curious consumers, especially the younger generation that is already used to all kinds of chocolates and other Western sweets.

But the Mid-Autumn festival is not the holiday to generate the biggest sales on the chocolate market. The most lucrative day for chocolate sales is Valentine’s Day when people in first-tier cities tend to gift each other with chocolate boxes in addition to flowers. And what is important to mention is that there are a few days in the year that are celebrated as our Valentine’s Day in China, so there are even more occasions to eat chocolate!

Chocolate Brand Case Study: Ferrero Rocher

Ferrero Rocher started to sell its first products in China in 1994. It first positioned itself as a luxury brand but later changed to something more affordable, which was a move that brought the company great success in the Chinese chocolate market.

Ferrero Rocher is extremely popular in China thanks to its gold packaging. In fact, Ferrero’s golden packaging symbolizes fortune in China. And while hard candy and jellied fruits were distributed during weddings, young newly-weds tend to include chocolate as well in their candy packages. Hence, more than 15% of Ferrero Rochers’ sales in China come from wedding gifts.

Today Ferrero Rocher and other products from Ferrero company are becoming a daily necessity for many Chinese from big cities like Shanghai or Guangzhou and it’s fair to say that it has established a strong, undeniable reputation on the market.

Contact us to Sell Your Chocolate in China

With China being one of the most promising markets for chocolate brands, many of them are trying to enter the Chinese market in order to conquer a wide audience. The chocolate market is indeed still considered untapped and has a lot of opportunities for brands that are willing to invest themselves in order to adapt to the Chinese market and to Chinese consumers.

Collaborating with an agency specialized in the Chinese market is the best way to achieve your goal and increase your Return On Investment. As all companies are different, the marketing and advertising strategy must be tailored according to their needs and within their financial means.

Proud of the success of the companies we have helped over the years, we know exactly the needs of each company and the strategies that must be tailored to them in order to get the best of the Chinese market.

You can also look at our case studies here

And of course, if you have questions about selling, advertising, exporting, etc. your chocolate in China, contact us directly, and we will reply to you within 24 hours.

Times are changing and young people around the globe decide to have pets instead of having children (or at least before that). The market grew especially during the covid-19 pandemic, and China’s pet industry is no different, as many people were looking for a companion during heavy lockdowns. China’s pet market is expected to grow up to 66.1 billion dollars by 2023. In this blog post, we will take a look at the market trends and see how foreign brands can tackle China’s pet industry.

China’s Pet Industry Overview

According to the 2021 White Paper on China’s Pet Consumption Trends, China’s pet industry will reach 445.6 billion RMB (66.1 billion dollars) by 2023, which is ten times more than in 2013. Chinese pet owners’ behavior changed. Before they were keeping dogs only as guards and they were keeping animals mostly for their practical function. In the past five years, the number of pets in Chinese cities grew by nearly 50%.

But pet ownership in China is still relatively low in comparison to other countries. On average, only around 6% of Chinese people own at least one pet, so the market presents great opportunities, as it’s going to grow even faster. In comparison, 67% of US netizens own a pet. According to Statista, there are more than 200 million pets in China (as of 2021).

Dog owners vs. Cat owners

Dog lovers might get surprised here, but there are more cat owners than dog owners in China. At the end of 2021, there were around 58 million cats and 54 million dogs in China. According to China Briefing, the popularity of cats is growing faster than that of dogs, growing almost 20% year-on-year, while it grew only 4% when it comes to dogs.

When it comes to the distribution of pet owners, cat lovers account for 59.5%, while dog lovers take 51.7%. Apart from enthusiasts of furry friends, Chinese people are also fond of aquatic animals (8.3%). One of the reasons for the preference for cats might be also the cost, as pet dogs cost more (average annual spend per dog was 390.62 dollars) than pet cats (average annual spend per cat was 270.79 dollars).

Who are Chinese pet owners?

Research shows that Chinese pet owners are from younger generations, with around 50% being people born after 1980, and 20% being people born after 1990. This means, that the biggest consumer groups for pet supplies, such as pet food, pet services, and various pet products are Chinese Millennials and Gen Z.

This group of consumers presents the greatest potential, as many urban citizens in their 20s and 30s’ have a high income, are well-educated, and are not into having kids. It’s said that ‘pets are new kids and it’s true for many young adults, that are choosing pet ownership instead of having a child. More and more people consider a pet as a family member, especially young adults that are single. In fact, 41% of Chinese pet owners are single. 

Most pet owners come from big cities and are well-educated, with more than 80% having a university degree. 88.45 of pet owners are women, that live in big cities and are often single, with much disposable income to spend. They are looking for a life companion and are often finding it in a pet.

Why the Pet market is growing?

The pet industry is growing everywhere in the world and China is no different. Millennials and Gen Z are the main drivers of the trend, fueled by increased affluence and a declining birth rate. Many of them work long hours, don’t have a partner yet and they are often looking for a companion, that can be easily found in a pet. They are not ready to have kids yet, and many of them still being single, so they often decide to get a cat or a dog instead.

Most of those people were growing up without any siblings, so they use pets as an opportunity to satisfy their emotional needs. The trend speeds up, especially during the Covid-19 pandemic. As many people were locked at home, many of them alone, a lot decided to buy or adopt a pet to keep them company.

As China becomes more cosmopolitan, with many young people being influenced by trends from abroad, they started changing their views towards pets in the past few years. Chinese consumers are joining the pet craze, purchasing or adopting not only traditional pets like cats and dogs but also exotic pets, helping the pet economy thrive.

China’s pet market is still unregulated

Chinese pet market started growing mainly thanks to social media platforms, where people and pet influencers started posting photos and funny videos of their cute pupils, making the pets increasingly popular among younger generations. Such fast growth in the market comes with a prize, especially since China doesn’t have many laws and rules regarding animal welfare. 

According to Statistics and data found on Statista, 19% of cats and 13% of dogs were purchased online in 2021. This situation leads to a growing number of unauthorized merchants that want to earn money, by selling pets, without proper care. In May 2021, more than 160 puppies and kittens were found in couriers’ vehicles, dying or distressed. There were sold as ‘blind boxes‘, a type of package authorized by e-commerce platforms in China. 

Additionally, a lack of legal protection for ordinary animals and the growth of the pet economy also leads to an increasing number of stray animals. And as the trend to adopt rather than buy animals is slowly growing in the West, Chinese people prefer to pay for pedigree dogs and cats, following the belief that those are more trendy and cool. 

How to promote and sell pet products in China?

As most of your customers in China will be Millennials and Gen Z, you need to be aware of the fact that your pet products and pet brand need to be available online, as this is where young people get the information from and shop. Pet owners treat online platforms as the primary source to buy pet food, especially when it comes to China’s urban pet market. According to data, 74.5% of pet owners buy pet food online and 80% buy other pet supplies online. 

Therefore, there are some steps you need to take to sell pet-related products in China.

Branding is the Key in China

All the companies from different sectors in China need to take care of their branding in order to succeed in the market. If you want to sell on China’s pet food market, you need to be aware that no one will buy your products if they never heard of you. Building an online presence will give you credibility, allow internet users to talk about your brand on social media, check your website, and eventually recommend you further. 

Moreover, e-commerce platforms in China don’t usually accept brands without a presence in China, as they know it won’t be profitable. 

Build your presence in the Baidu search engine

Baidu is the most popular search engine in China and this is where Chinese people check the information they need, just like we do Google. If you want to join China’s pet economy, you need to be able to be found in Baidu. Therefore, it’s advisable to have your own Chinese website hosted in Mainland China, so that Baidu will rank it in search engine results. 

Baidu is a whole ecosystem, which means you can use many different platforms for branding and gaining good e-reputation, additionally increasing your score in search results. You can be active on forums like Baidu Tieba and Baidu Zhidao, create communities around your brand, collect consumer feedback and market insights, and so on. 

Position yourself as a luxury brand

Chinese people often consider foreign brands more luxurious than domestic ones and are willing to pay more, believing that the cost is also associated with high-quality products. Young pet owners from big cities are willing to pay more for food products if they are assured about their quality and health benefits. 

As many pet owners treat their pupils as family members, they are ok with extra spending in pet stores on toys and food. They will also take its pupil to pet hospitals with the best care if needed, no matter the cost. 

Build your e-reputation on Chinese social media platforms

Although having a Chinese website will help you gain credibility, all the marketing strategies and ways of communicating with potential and current customers should be centered around Chinese social media platforms, as those are the places where Chinese people get recommendations and inspiration from.

WeChat

The most important platform to be on is definitely WeChat, as it’s the main app used in China, with over 1.26 billion monthly users. WeChat allows brands to create official accounts, where they can communicate with their audience in form of articles (similar to our newsletters). You can later link your account to a pet store created in WeChat mini-program function. This option allows you to sell your products within WeChat and it’s a great and cheap way to test your brand in China. 

Other social media platforms: Weibo, RED, Douyin

Although WeChat is essential to be seen on the Chinese Internet, it’s not good for reaching out to a new audience. Therefore, it’s good to have brand accounts on social media platforms like Weibo, Little Red Book, or Douyin. There you can create different content formats, collaborate with Chinese influencers to get a bigger reach, organize live-streaming sessions and even sell your products, as both RED and Douyin have their own marketplaces. 

Attract customers with advanced tech solutions

Chinese people are one of the most tech-savvy nations in the world, especially Millennials and Gen Z, that are always keen on the newest iPhones, laptops, and other gadgets that sometimes are not even known in the West yet. Therefore, all the technologically advanced pet products in China have a huge potential and the market for such products is experiencing constant growth.

From automatic food and water dispensers, electronic collars, and home camera setups, to pet trays that automatically clean themselves – all of these products have many enthusiasts in China and the number of pet owners purchasing gadgets for their pupils is growing. 

Enter Chinese cross-border e-commerce platforms for the best visibility

After building a presence for your brand online, you can think of entering bigger e-commerce platforms for foreign companies, like Tmall Global, JD Worldwide, or VIPshop. Although all the steps mentioned above are necessary to build a presence and good reputation in China, most Chinese shoppers buy products directly on online marketplaces.

Those marketplaces will give you the best visibility and the highest chance for sales growth, but they are all rather expensive. Pet lovers want the absolute best for their pets therefore they would invest in proper nutrition, bath products, and health care for their pets. They will gladly buy those products on online marketplaces like Tmall or JD, so it’s definitely something to consider, after a successful branding strategy. 

Looking to enter China’s pet market? Contact us!

The pet market in China is booming and it will continue to grow, as more and more young people in China are interested in pet ownership. It’s a very lucrative and untapped market with many great opportunities for domestic and foreign brands in the pet industry. Expected to grow up to 44.5 billion yuan in the next year, the pet economy in China is thriving.

If you are interested in entering the pet market in China, don’t hesitate to seek professional help from a China marketing agency. We have more than 10 years of experience in the market and more than 70 Chinese and foreign professionals that can help you exceed your goals in China.

We worked with more than 600 brands, offering unique approaches to each and every one of them, which contributed to their success in China’s competitive landscape. We offer many services, from market research, web design, branding, and public relations, to social media marketing strategy, influencer marketing, and many more. 

Here are some of our case studies

Don’t hesitate to leave us a comment or contact us to discuss your future in China. We offer a free discovery consultation when one of our experts will get to know your brand and present opportunities on the market.

Quick Recap on Baidu

As the most popular search in China Baidu takes over 70% of the search engine market share and over 80% of users. In comparison, only 4% of internet researches are done through google in China. It makes Baidu the 5th position on the list of websites with the most traffic in the world.

What are some of the most Consulted sub-sites of the Baidu ecosytem?

Baidu offers a wide range of services on top of its well-known search engines. This includes everything from Maps, Videos app, online encyclopedia to cloud storage or forums communities such as Baidu Tieba… All these apps or sub-site work together in what we call the Baidu eco-system and form a super app. While Baidu brings the majority of the traffic to its sub-sites, they allow users to get more tailored services without having to install an actual app on their phone (although they have the option to do so).

Learn more on the Baidu ecosystem

In order to close the gap with its competitor ecosystem, Baidu has been working hard to create a more seamless users experience thanks to AI. This is good news for both users and marketers, as they can both win from this improvement. While a nicer experience is nice for users, better integrated Baidu apps, also serve marketers than can now fully take advantage of these networks of apps.

Baidu ecosystem has a total of 57 subsites (2021:

1. Baidu baike,
2. Baidu Wenku,
3. Baidu Zhidao,
4. Baidu Tieba
5. Baidu BaiJiahao
6. Baidu Jingyan
7. Baidu Kongjian.
8. Baidu Yuedu
9. baidu map
10. Baidu Video
11. Baidu Hao123 and so on (full list here)

Here is a quick intro to some of our favorite Baidu Sub-site to boost your SEO while working on your Reputation in China

1. Baidu Baike 百科

Baidu Baike is an online encyclopedia that covers all areas of knowledge. It serves the Chinese user base. It basically is the Chinese version of Wikipedia since the latter is not available in the country. The Chinese internet giant, Baidu Baike was started in 2006.

As of October 2020, it had 21 million entries and more than 7.17 million editors. Almost 60% of traffic generated on Baike, is referrals traffic coming directly from Baidu and its subsites. Baidu Baike is also one of the most visited Websites in China.

Why should businesses have a page on Baidu Baike?

Credibility and Ranking. Having a company page on Baidu Baike is not necessary but it sure is a nice addition to your online reputation strategy in China. Baike page tends to rank high on Baidu, so it would secure your position on your brand keywords on Baidu even if your website does not rank yet. On top of that, your Baike page would have a link to your website, which would greatly help with your website authority on Baidu, thus your ranking.

Not only does having a Baike page helps with SEO and organic traffic, but it also helps with your online reputation. A Baike page with your company name shows Chinese netizens that your company is real and legitimate.

Bonus: Baidu Baike, contrary to Wikipedia can display paid advertising.

2. Baidu Wenku 文库

Baidu’s sub-site, Baidu Wenku is an online library where people can upload and download books, documents, and articles in all types of format. It hosts both free content as well as paid items allowing writers to monetize their work and users to access premium content but also marketers to have access to more promotion tools.

Baidu Wenku used to be a free document-sharing platform. Although, many restrictions existed such as not allowing URLs in content or QR codes and contact info, Baidu’s indexing and ranking on the 1st page of search results made it easy for marketers. As a consequence, about 80% of all documents listed on Baidu Wenku actually were undercover ads.

Wenku use for businesses?

As of today, Baidu Wenku has a commercial offer to promote content and display it on top of Baidu’s SERP. However, contrary to paid ads, these results will appear as organic results.

When using the business version of Baidu Wenku, you can include your logo, a link to your website, your contact information, and so on. Content from Baidu Wenku commercial account usually ranks right under Baidu paid ads and has high authority. Wenku pages are usually indexed by Baidu relatively quickly and are a good option to integrate into your backlinks strategy and help with boosting your website ranking.

3. Baidu Zhidao 知道

Baidu Zhidao is a Q&A platform, like Yahoo Answer. Chinese netizens usually use Baidu’s question-and-answer section to find answers to their questions about anything. Baidu Zhidao, also known as Baidu Knows was launch in November 2005, and with almost 700millions monthly visits, it is one of the biggest Q&A in China with its competitor Zhihu.

Baidu Zhidao for Businesses

Baidu Zhidao is a great tool for brands in China. It allows companies to build their online reputation “undercover” through UGC (user-generated content). Just like marketers use Quora to promote their products/services subtly (or not), brands can use Baidu Zhidao to do the same. Just like Baidu Wenku content, Baidu Zhidao Q&A ranks quite high on Baidu’s SERP.

Why do we use the term undercover? Well, there are two ways to content linking to you on Baidu Zhidao.

1. Real users that create content organically
2. Companies that can create content acting as normal user as well as official branded content.

Indeed, there are two types of accounts on Baidu Zhidao, the classic personal users account that allows one to ask and answer questions and the brand account that offers more promotion tools.

We suggest your Baidu Zhidao strategy combines both approaches. Have a network of writers using personal accounts creating content that refers to your brands, as well as a brand account to take full advantage of the promotion tools but also engage with users and prompt them to actively take part in the conversation.

4. Baidu Tieba 贴吧

Baidu Tieba is a forum-like platform where people talk about what they like. The Chinese social media site launched in 2003 and is one of the most popular platforms for online communication in China. Baidu Tieba’s success is a testament to its community of active and engaged users. By 2015, Baidu Tieba had accumulated over 300 million monthly active users with 1.5 billion total registered accounts on the platform. As of June 2021, there were more than 23 million communities on the app.

There are thousands of topics discussed on the platform; everyone can find what they want. Users can post text, pictures, or videos on this site. If you still struggle to picture, think of a Chinese Reddit. Although the two apps’ UX is different, the forum’s functionality is similar. For instance, what users call a sub on Reddit is called a bar on Tieba.

Baidu Tieba for businesses?

Just like Baidu Zhidao, using Baidu Tieba in your SEO and reputation strategy in China is a smart move. Indeed, most of the traffic on Tieba comes directly from Baidu Search accounting for almost 40% of the total traffic, while direct traffic comes only second with 24% of traffic (Q4 2021). This means that a bar (sub) or Tieba post that ranks well on Baidu can get a lot of organic traffic.

Not only a brand can get a lot of visibility from Tieba but also improve its reputation. Just like, there are many subreddit from products reviews and recommendations, there are tones of bars serving these same purposes on Baidu Tieba. This type of content usually gets more trust from consumers and allows them to get answers to their questions from peers.

5. Baidu Baijiahao 百家号

The Baidu sub-site, Baijiahao is a news aggregator-style platform with over 4.2 million (2021) publishers and creates an “ecosystem” for people who want to consume media in new ways. It was launched in 2016 and has since been monetized.

Baijiahao for Businesses?

Baijiahao offers different types of business accounts that all have different promotions tools.

• Media
• Business
• Government
• Others

With an official verified account, publishers will get better visibility not only on the app but also on Baidu. Learn more on our Baijiaohao Introduction post.

Why should you take advantage of the Baidu ecosystem?

The article mentioned it several times, but using Baidu’s subsites can really help boost your SEO with backlink and reputation in China through third parties mentioned of the company (you could call this undercover marketing or organic PR).

Optimize your Baidu Ranking

On the SEO topic, while Baidu won’t admit it, it has a bias for its own mini-sites, SERP results often show otherwise. In fact, Baidu does tend to index its own products higher and faster than its competitor and you can always find Baidu sub-sites pages among the top results. There are two ways to explain that:

1. The subsites of Baidu are SEO – According to the official announcement from Baidu, Baidu’s subsites rank well because of their well-optimized structure, frequent update, and excellent linking structure. They also get a lot of organic traffic and have a low bouncing rate because they appeal to netizens.

2. Baidu’s subsites are “endowed” with extra favor from Baidu’s. Because Baidu’s algorithm trusts and favors its subsites.

It’s probably a mix of both, and in recent years with have seen more diverse results on SERP pages, notably with the rise of Q&A platform Zhihu. In any case, they never beat Baidu Ads on top of results pages.

No matters the reasons, being present and linking your website on Baidu’s subsites (when possible) is an excellent way to give your website more authority and help it rank higher on some important keywords at a low cost.

Lire aussi: Baidu SEO Guide

Invest in the Baidu eco-system and improve your Online Reputation

While the Baidu sub-site can help you with SEO and consequently brand awareness, a good content strategy on these social platforms will greatly help with your company’s reputation in China. Indeed, the recurrence of (positive) posts mentioning you will instill trust into your target audience’s minds as it shows you are a real company that is talked about a lot. You can see creating content on these apps as nurturing.

The other point of content on these platforms is the importance of peer reviews and word of mouth in China. First, you instill interest and curiosity in people’s minds after they hear about your products on all their favorite platforms, then when they are looking into purchasing from you, they can actually find reviews from other (real or not) users. I invite you to read this post about Reviews in China

Getting started on this platform will take some time, your marketing team will be in charge of creating interesting content, but after a while, as you grow in visibility the content will create itself naturally and your job will then be to manage this content and avoid bad publicity.

Conclusion on our introduction to Baidu’s Eco-system

Baidu is the largest search engine in China and has a lot of power over what people see. As such, it’s important to understand how you can take advantage of this position when marketing online in China. Baidu’s ecosystem of app’s first function is to offers users a seamless experience and keep them in the loop. The longer users stay inside Baidu’s ecosystem, the more money Baidu makes from advertising. However, while this ecosystem was designed to keep users in, marketers can absolutely take advantage of it to promote brands and improve their website ranking.

Want to start using Baidu’s apps for your marketing in China?

If you are looking for a marketing agency that specializes in Chinese digital marketing or web design contact us today!

Where can you Sell your Olive Oil in China?

• In supermarkets

The majority of the Chinese population is buying olive oil directly in supermarkets. They will have access to a wide variety of olive oil, and that’s why it can be difficult for a new brand to directly attract Chinese consumers in supermarkets.

• On e-commerce platforms

Then, as China is one of the most digitalized countries in the world, you should also consider selling your olive oil on e-commerce platforms such as Tmall, JD.com, Taobao, Pinduoduo, etc.

You can also read our full Guide for E-Commerce in China

How to Promote your Olive Oil in China?

As said earlier, China’s digitalization has conducted to the rising use of smartphones connected to the internet. Thus, advertising strategies have changed as well, and brands now have to be active on social media.

Read our Strategic Guide to Export Food Brands in China

Branding: The Key to Success in China

Do you want to attract Chinese consumers? You need to show them you’re reputable and they’ll buy your product. A popular way is using digital solutions, like a Chinese website and social media profile that help both the consumer find what he/she’s looking for AND generate interest in your company as well!

A Chinese Website Ranking on Baidu: The Door to Enter the Chinese Market

When creating a website for Chinese consumers, it is important to use their language and host the site in China. This will allow you to be found by more potential customers through search engines such as Baidu (the most popular).

Baidu, the leading search engine in China with over 700 million monthly active users (MAUs). Your website must follow Chinese UX standards and be optimized to “please” Baidu’s algorithm for it to rank. Obviously, Baidu prefers mandarin content. Your content should be original and frequent.

To increase your website authority as well as brand reputation, we suggest you combine your content marketing strategy with a PR strategy. Indeed, having trusted third parties talking about your products add a lot to your value as a brand.

Social Media: The Best Way to Increase your Community

Social media in China are even more important in China compared to western countries. In fact, if you want to succeed, you will have to generate “traffic”. In China, we know how to start with, how to help you and develop topics among Chinese citizens on platforms such as:

• Wechat

• Weibo

• Tieba

• Tianya

• Douban

Chinese Celebrities and KOLs to Promote your Olive Oil Brand

In order to stand out and gain an edge in the market, it is important for brands to encourage their consumers with positive word-of-mouth. With celebrities being so prevalent among Chinese consumers nowadays, they have a lot of potential when trying to influence them as well. However, collaborating with these high-profile figures isn’t something that can be done just by contacting KOLs as many would think at first glance.

The Key Opinion Leaders (KOL) are social media users who are extremely famous on social media and have the power to make or break brands thanks to their wide community. Chinese consumers “idolize” KOLs, and trust them more than brands in most cases. You could use KOLs as intermediaries to reach out and influence the masses. They might have millions of followers, but they can also be really good at influencing people who are into olive oil or living a healthy lifestyle! Through them, you will be able to increase considerably your sales as well as increase your brand awareness and e-reputation. In other words, intermediaries can be a great asset in selling your imported olive oil to Chinese consumers.

To go further: Olive Oil Market

Following globalization, consumers’ taste, in general, has changed over the years, with a variety of products and culinary dishes that are now available everywhere in the world. For centuries, olive oil was considered an exquisite product. Used for cooking, frying food, or in a salad, we can easily find olive oil in every supermarket around the world. Its popularity led to the trend of putting olive oil in everything, from cosmetics and pharmaceutical products to soaps.

According to the European Commission, the production of oil was mainly coming from the EU. Then, if we look at the leading non-EU countries producing the most olive oil, Turkey is leading, followed by Morocco (registering a 17% increase compared to 2019) and the Syrian Arab Republic.

EU: The Leading Olive Oil Market

Now if we look at the leading producers of olive oil worldwide, Europe is leading the market, with Spain which is far ahead, as it accounts for more than half the global olive oil production, followed by Italy, Portugal, and Greece.

In terms of per capita consumption, the leading markets are Greece (over 24 liters per person per year), Italy, and Spain (14 liters per person per year).

Overview of the Olive Oil Market in China

China’s consumers are becoming more cautious than ever before. Knowing this, it is important that foreign brands entering the Chinese market know how to deal with them or else they risk losing a huge chunk of its population due to mistrust and fear.

Foreign food companies looking for success in China need only look at scandals from domestic brands like Shanghai Husi Food Co Ltd., which was found selling expired meat products, as well as contaminating soy sauce. These incidents have shaped people into being ultra-sensitive about what goes into their mouths; an unfortunate consequence when you’re trying to sell your product on someone’s stomach!

Olive oil brands from Spain and Italy are highly recognized by Chinese consumers, who prefer them over China-made products. In 2016 the government of China lowered tariffs on imported Italian olive oils to make it easier for more companies to enter the market. As a result, many olive oil producers were able to attract even more Chinese customers.

Despite the fact that olive oil consumption is still recent in China, imports are in constant growth. The growing trade figure had also pushed Chinese companies to seek takeover targets overseas that could help meet the demand for olive oil back home. If we think in the long-term, rising per capita income, an increase in the number of middle-class people, and increasing demand for more sophisticated food, this trend will last in the future as Chinese consumers are highly dependent on foreign olive oil.

Why are Chinese Consumers (and Distributors) buying olive oil?

As a matter of fact, soybean oil and rapeseed oil were used by the majority of the Chinese population. But because of the shift in consumption of the Chinese middle class, people tend to buy foreign olive oil. So, as an imported food product, we can wonder why is olive oil becoming more popular now.

Olive oil: A Trendy Lifestyle Product

A few years ago, ‘Di Gou You 地沟油 ‘ (gutter oil), an illicit cooking oil that has been recycled from waste oil collected from sources such as restaurant fryers, drains, grease traps, and slaughterhouse waste raised health awareness among the Chinese population. The rise of scandals, exposed by local media, regarding gutter oil has led them to seek alternatives to domestic cooking oil, which is an important ingredient for almost every dish.

One of the main reasons for olive oil’s popularity among Chinese consumers is its health and virtue benefits. As a matter of fact, olive oil is rich in vitamin E and does not contain preservatives as they are made from natural ingredients. Moreover, it is also used to lower the risk of coronary disease, prevent cancer, reduce inflammations, as well as preventing cardiovascular diseases and cholesterol.

Therefore, foreign brands benefit from both a high-quality reputation, as well as selling healthy products.

Olive Oil as a Gift in China?

High-quality imported food products are really common presents in China, such as wine and spirits, cosmetics, but also olive oil. Even if it might seem weird, some high-quality and renowned brands of olive oil are popular gifts in China. According to Daxue Consulting, more than 60% of the total olive oil sales in China are intended for gift purposes.

In a country where ‘Mianzi‘ (面子) takes precedence over everything and it is always well-seen to give a rare or expensive present. Literally translated as ‘Face’, ‘Mianzi’ idiomatically means dignity/prestige or ‘to save the face’. It is a subculture in China strongly rooted in people’s minds and that is deeply influencing Chinese consumer’s daily life. A quality gift is a must, a show of respect to the other person.

Healthy imported oil like olive oil is usually better packed at a relatively high price which makes it a perfect choice as a gift. During festivals, olive oil sales are increasing compared to other kinds of oil.

Olive Oil is More Affordable than Before in China

Even if foreign olive oil is more expensive than usual oil, for example, the fact that the price was a big obstacle is no longer true in the Chinese market. Conscious of the benefits it has, they are willing to spend a few yuans more in order to purchase quality products instead of buying cheaper domestic oil.

Reliable Olive Oil Brands

Having a well-known and reliable brand is key to success in China’s olive oil market. Gradually, the competition in this market was made according to branding strategies. Good branding instills consumers’ confidence. Needless to say that without proper branding, your product will be like any other olive oil product, and Chinese consumers will not even pay attention to it.

Moreover, because of the various scandals of fake olive oil being sold along with real oil, it has become essential to adopt a different packaging from competitors and fake sellers and promote it effectively.

• Guide to Chinese Ecommerce Platforms
• How to lure Chinese Millennial consumers?

Contact GMA to Get Started in the Chinese Olive Oil Market

Lead Generation Professionals

Lead generation is an important part of any business, but sometimes it can be difficult to know where you should focus your efforts. You need a good e-reputation first and then invest in online advertising as well as quality content. The key is being able to measure the results so that way you are improving continuously! For those looking for lead generation experts who have experience with this process successfully, they will want our agency because we get an average of 350 leads per month by applying these methods for the agency’s marketing.

An International and Chinese Team

We are a French/Russian/British/Korean and Chinese team here to help you grow your business in China. We understand the needs of both foreign brands who want to enter the country as well as those native consumers who make up so much of its population.

Send us an email or visit our offices, so we can discuss how to promote effectively your business in China.

You can also contact us to receive our F&B Case studies, we already helped more than 80 Brands in the F&B industry in China.

Promoting your Hotel to Chinese Travelers

Having a Chinese Website

As you probably already know, having a Chinese website is essential for your business in China. In China, the majority of the population is not fluent in English so if you don’t have a Chinese website, it will be impossible to attract Chinese tourists. On your website, you will be able to display your services and present your company, but also to promote some hotels by giving a discount for example.

Promote you Hotel in China on Baidu SEO

Considered the “Chinese Google”, Baidu is the most popular Chinese Search Engine and stands as the 5th most consulted website in the world. As of 2021, it represents 71.9% of the Chinese market share. In comparison, only 4% of internet research is done with Google in China. So, to put it simply, Baidu is a step you can’t skip in China if you want to promote your hotel or online booking website.

• Traffic Acquisition SEO & SEM

If you want to use Baidu, the best solution is to have your website hosted in China, for faster loading. It is crucial to have visitors on your website to arouse their interest, and it must attract visitors by SEM (pay-per-click, banners …) or SEO, talking about your website on forums.

Chinese Social Media are Best to Promote & Advertise your Hotel Online

With the rising use of social media in China, it is undeniable that you will have to use these platforms if you want to boost your reputation. However, if you’re not familiar with these apps, you can contact us for more information and tips.

• Weibo

Launched by Sina Corporation in August 2009, Weibo is one of the biggest social media platforms in China. This platform has been a huge financial success, with surging stocks, lucrative advertising sales, and high revenue and total earnings per quarter. Boasting over 600 million users with 224 million daily users, it would be considered as offensive to merely label Weibo as the ‘Twitter of China’ (although the name literally means Micro Blog). In fact, this innovative platform is tailoring itself to E-Commerce marketing options more effectively than the bulk of its competitors. By using Weibo, you will be able to advertise your company and give and share content with your consumers.

• Wechat

As the first Social Media in China, Wechat allows you to open an official account and publish news, like a Blog or newsletters. As experts in this field, we can help you to create an official Wechat account and explain how to manage it.

In order to do business in China and promote your brand, you will need to have an official account and a WeChat H5 brochure. Then you should create content on Wechat and share it in groups.

The best tools on Wechat

• You will be able to create a brochure presenting your company
• Spread marketing content
• Send vouchers/discounts to your followers
• Work on your Community Management
• Use Wechat mini-programs

• Douyin

As one of the most popular short-video apps in China, Douyin is expected to reach 555 million daily active users in 2023. Both Douyin and TikTok are owned by Bytedance, a Chinese tech company. Douyin literally means “vibrant music” and we can say that its name perfectly matches the short-form videos (less than the 60s) allowing users to combine it with dynamic background music and creative filters. This short-video content format immediately distinguishes Douyin from traditional Chinese social media platforms like WeChat and Weibo, in which the content still focuses on text, images, and longer videos. Douyin can be a strong way of advertising, especially if you hire a KOL (Key Opinion Leader) to do the promotion of your company.

Make Good Use of Online Travel Forums

Chinese travel platforms are really useful as they can give you a lot of information, on what to do, where to go, where to do shopping, what you should see, where to sleep…

• Lvmama.com（驴妈妈)

Lvmama.com is a very popular website for those who want to travel alone. If you don’t want to travel with a travel agency on a group tour, you can go on this website. There are tons of travel tips for self-drive travel all around China. You can also book some of the most famous attractions’ entrance tickets through this website at a reasonable price.

• Mafengwo.com (马蜂窝)

Mafengwo is also a website that provides professional travel advice. If you want to find local tips and advice, this website will suit you. There are millions of travel tips for most of China’s tourist destinations. You can find destination brochures, attractions tips, and many more useful guides on this website.

• Baidu travel（百度旅游)

Baidu Travel is one of the best travel guides online and you will be able to find all the Chinese travel destinations brochures.

• Lvping（驴评网)

Lvping is a travel forum in which most Chinese tourists are posting their reviews and feedback on flights and hotels. It can be compared to the Tripadivsor.com website.

• Daodao（到到网) 

Daodao is the Chinese website of Tripadvisor.com. Since its launch into the Chinese market, Daodao has made a great contribution to correcting comments and advice on China’s hotels and destinations. You will find real advice and comments on this website. Some of their advice is useful when traveling to someplace that you are not familiar with. They don’t provide direct hotel booking services, but their comments on hotels are valuable for you to book a good hotel in your destinations.

5. e-PR (Press Relations)

Doing PR in China is very important. It allows you to promote your service to a wide variety of Chinese citizens. This communication is primarily based on appealing visuals, but also on feedback and testimonials from tourists.

You have to remember that online public relations in China and particularly in the travel industry, are increasing at a rapid pace.

Register your Hotel on Chinese (& other) Online booking companies

A few online booking companies have emerged in China, distinguishing themselves among thousands of websites. Their success was possible because of Chinese society’s digitalization. Chinese are using their phone for everything, and they have access to millions of hotels on the internet, which is cheaper and more convenient for them. 

In the second half of 2019, more than 50% of online hotel bookings were made through Meituan in China. Following Meituan, the Chinese online travel agency Trip.com held more than 1/4 of the online hotel booking market based on the number of bookings.

Chinese Online Booking Companies

The competition is fierce between online booking companies as more and more companies adopt the platform model, where users are able to access a wide range of services and products on just one site or app. Meituan, for example, offers everything from food delivery to group-buying deals and movie tickets, on top of its hotel-booking platform – all of which can be accessed via its mobile app or on its mini-app in Tencent’s WeChat.

• Meituan (美团)

Meituan is not only famous for its food delivery, but it is also the most popular online hotel booking platform in China. However, Meituan is different from Ctrip as it is more popular among smaller cities, and offers cheaper hotel rooms, whereas Ctrip tends to attract more affluent consumers from big cities like Beijing and Shanghai with its inventory of high-end hotels around the country and internationally. 

• Ctrip (携程)

One of the most popular online bookings for hotels in China is Ctrip. Ctrip is a comprehensive travel website providing hotels and flight booking in China. You can also find some tour packages booking and more travel services for China. It has been a large company since its establishment in 1999. You can book most hotels in Chinese cities on this website. Its strategy is to focus entirely on travel. The company already provides an array of services required for a holiday – from transport, such as flight and high-speed train tickets, to hotel bookings, package tours, and attraction tickets. Users can also book car rentals or an airport transfer service on the site.

• eLong.com (艺龙)

Elong is a professional website for booking hotels and flights in China. You can find thousands of hotels on this website from the most luxurious hotels to the cheapest budget hotels. Elong has become one of the biggest hotel booking providers in China. There are many discounts on hotels on this website. They also have some hotels abroad for Chinese people who want to go abroad.

• Qunar (去哪儿)

Qunar can be considered as the most popular travel website for those who want to book flights and hotels with a discount price. This website provides the lowest price hotels compared to other websites.

Foreign Online Booking Companies

• Trip.com

Trip.com is in fact the international booking site of Ctrip (see previous part). Compared to the other analyzed hotel booking websites, Trip.com seems to clearly have the most hotels in their Chinese portfolio which is not really surprising since China is the homeland of Trip.com. You have to take into account that Trip.com includes the hotel reviews of Ctrip. Therefore it’s obvious that Trip.com outranks the other booking websites when comparing the number of reviews.

• Agoda

Since acquired by Booking Holdings more than 10 years ago, Agoda, one of Asia’s best online travel platforms, has been pursuing a stronger position in the Asia Pacific and China. It already has strong brand awareness in Asia Pacific markets like Singapore and Thailand, but the company’s presence in China, the world’s biggest outbound tourism source market, remains relatively small. Agoda is in fact an online travel agency and metasearch engine for hotels, vacation rentals, flights, and airport transfer. While Trip.com Group stays close with Booking.com as a distribution partner, Agoda works with Meituan and Fliggy.

• Booking.com

Headquartered in Amsterdam, Booking.com is a Dutch online travel agency for lodging reservations and a subsidiary of Booking Holdings.

• Expedia

Expedia is an online travel agency owned by Expedia Group, an American online travel shopping company based in Seattle. The website and mobile app can be used to book airline tickets, hotel reservations, car rentals, cruise ships, and vacation packages.

Further Reading: The Hotel Industry in China

In recent years, online booking for hotels has become a very lucrative business in China. Many companies saw the potential of this industry and were able to seize this opportunity in order to attract not only the younger generation but also the older ones. Booking a hotel in China is not only easy but it is also more convenient and faster than before. 

Online Hotel Booking: A Very Lucrative Market

The hotel industry in China has developed rapidly from 2004 to 2019, driven by greater numbers of domestic and international tourists, increasing living standards, and per capita spending for tourism. Higher room prices, greater demand for services and quality, and industry deregulation have also supported revenue growth over the period. The 2008 Beijing Olympics and the 2010 Shanghai World Expo boosted the industry’s development by spurring significant investment in fixed assets and network expansion. Then, the use of the internet and smartphones have greatly contributed to online hotel booking websites.

In 2019, the transaction value of China’s online hotel booking market reached 195.25 billion yuan, up from around 176.5 billion yuan in the previous year. About 939 million hotel room nights were estimated to be booked online that year.

The Chinese Rating System for Hotels

From small, simple hotels (1-star) to giant luxurious hotels (5-star), the size, quality, and brands of hotels in China are as variable as the customer’s demand. With such a variety of hotels, star ratings give us an idea of what to expect. In fact, what often gets by as a five-star hotel in China would rarely rate as a four-star anywhere else in the world.

However, standards cannot be judged precisely from star ratings, as the approach and manner of rating in China and that in the West might not be the same. All around the world hotels are rated from one to five stars by official national and international bodies, but there are various systems, like the HOTREC star system in Europe. In China, hotels are officially rated by the Chinese National Tourism Association (CNTA). You can see the  CNTA star ratings on some websites like hotels.com for example.

Lastly, even if a hotel in China would usually not have the same facilities, services, or specifications as an identically rated hotel in the US, with tourism being one of the fastest-growing industries in China, hotels are fast improving their facilities to Western standards, especially in the major cities.

The Hotel Industry During the Covid-19 Pandemic

The hotel industry has been one of the most strongly affected industries as a result of the COVID-19 pandemic. Many small hotels have been struggling to remain viable during this period of economic uncertainty. However, during the Covid-19 lockdown, Chinese people were able to save money.  After the lockdown, people started to go back to a “normal” life again and wanted to travel after these long months of restrictions. Indeed, as they were only able to travel inside China, it allowed the Chinese hotel industry to gain more Chinese tourists instead of foreign tourists. And, as you probably already know, people in China are using their smartphones for everything, from delivering food to booking a hotel. So, online booking websites have seen a rising demand during these last few months.

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Alibaba has a vast business landscape and a complex business structure, including core business, cloud computing, digital media and entertainment, innovative business, and the other four parts. Among them, domestic retail in the core business is the cornerstone of the entire Ali business empire.

JD.com was once a rival of Alibaba. It wanted to defeat Alibaba with its self-operated quality assurance and the high efficiency of self-built logistics, but it failed. There are other types of existence that cannot be ignored, including the video-sharing social networking service providers like Kuaishou and Douyin who are also engaged now in live e-commerce, and the giant social platform WeChat is boosting its e-commerce.

Analysis of the development of the battle Alibaba VS Pinduoduo in 2020

If the top listed Internet companies in China can be divided into consumer companies and content companies, then the market value of consumer companies such as Alibaba, JD, and Pinduoduo has increased significantly. While the market value of content companies such as Tencent, Baidu, NetEase, and Weibo has only increased slightly or even decreased.

Why? Because e-commerce platform companies have gained a lot in the past years and reinforced after the Covid-19 pandemic. This article will analyze the development trend of Alibaba and Pinduoduo in 2020, and provide references for everyone.

Alibaba: whether Juhuasuan can help Alibaba reach its peak again

Alibaba is already China’s largest Internet company in terms of revenue, profit, and market capitalization. Alibaba is the mother company of Taobao and Tmall (Kaola) and has built an e-commerce empire in China.

Before 2019, Pinduoduo had already attracted Alibaba’s attention, but Alibaba believed that Pinduoduo was helping it expand into the rural market and did not place the competitor in a highly strategic position.

In 2019, Alibaba had added only 39 new projects, the lowest since 2014. The e-commerce platforms represented by Juhuasuan have become the signature products of Alibaba group again. By 2020, Juhuasuan will become the number one product for Alibaba to crush its competitors.

Pinduoduo – Alibaba’s most important e-commerce competitor

Pinduoduo is now Alibaba’s most important competitor, and while competitive pressures are rising, they are not extreme, to be honest.

Pinduoduo also went through its IPO in July raising $1.63 billion. Here are some highlights:

• Pinduoduo went above 100 billion RMB per year of merchandise sold on the platform 2 years after its launch
• Monthly Active Users (MAUs) reached 195 million in June 2018
• Pinduoduo users are predominantly female, living in Tier 3+ cities
• The average order on Pinduoduo is 6 USD, against 30 USD on Taobao/Tmall and 60 USD on JD.com

In 2020, there are 643 million monthly active users (MAU) on the platform. So, Pinduoduo is a serious rival of Alibaba and JD.com. Last month, Pinduoduo reported that second-quarter revenue had more than doubled from a year earlier. Its $40 billion market value places it among China’s five most valuable e-commerce companies.

But in the middle and later stages of the competition, Alibaba will need to think about how to occupy market share and contribute profits to the group.

Pinduoduo: how to maintain sustainable growth

Currently, Pinduoduo has a big controversy on the e-commerce platform. This e-commerce platform with the original accumulation of WeChat has brought too many surprises and uncertainties to the market and consumers.

In the long run, “Ten billion subsidies” is a quick way to attract consumers in the early stage of the platform, but not a sustainable business model. After Pinduoduo users become scale, the scope and role of subsidies will be reduced accordingly. Despite the subsidies, some consumers remain loyal to specific brands, not channels like Pinduoduo.

Logistics is a weakness of Pinduoduo versus Alibaba

What is the main logistics issue there? Alibaba already has a large stake in almost every logistics company in China. Although Pinduoduo has established its own system to prevent data from being controlled by Alibaba, once Alibaba raises the price of logistics, the profit margin of Pinduoduo merchants will be further compressed.

For Pinduoduo, how to solve the problem of logistics, better convert consumers into loyal customers, and achieve stable long-term development is the next problem they need to solve.

Annual active buyers are almost the same for the two Chinese e-commerce giants

Pinduoduo may be the first to tie Alibaba in terms of the number of annual active buyers. As of 2020, Pinduoduo’s annual active buyers reached 643 million, and Taobao and Tmall’s is 755 million, a difference of 100 million.

In the first quarter of 2020, Pinduoduo’s annual active buyers increased by 42 million, while Taobao Tmall only increased by 15 million. There is fierce competition among the two giants to dominate the e-commerce market. Obviously, Tmall and Taobao benefit from the strike force of Alibaba. But Pinduoduo is reaching the fastest user growth among younger Chinese generations, and especially the Chinese Gen Z.

Key Challenges for the Chinese e-commerce giants: Alibaba and Pinduoduo

There is no doubt that in terms of the number of brands and long-tail products, Pinduoduo cannot be compared with Alibaba in a short time.

At the same time, it should also be noted that Pinduoduo’s rapid growth is at the cost of a huge deficit. The company lost 7 billion yuan last year and 4.1 billion in the first quarter of this year.

Pinduoduo has a total of 42.6 billion cash and short-term investments in its account, and 7.5 billion long-term and short-term borrowings. It looks like it can only last two years if it continues to lose money.

In general, no opponent has been able to shake Alibaba’s position in the past two years. What is the future? It may depend on which company does not make mistakes in strategy and execution, or it may depend on where the trend is going and who is luckier.

How to Know if You Should Choose Pinduoduo or Alibaba?

The Chinese e-commerce market is very different from the West. All the e-commerce platforms are tremendous in China and could generate tons of sales. What is your industry? What is your target? How much are you willing to invest in China? You need to answer all these questions with a reliable agency in China to make the right decision.

If you are interested in our analysis and want to know more about the Chinese e-commerce market, we can send you our material. Discovers our eCommerce solutions for China &feel free to contact us, we will be very happy to share our experience and knowledge with you depending on your project in China.

The Gentlemen Marketing Agency is a professional team of 70+ Chinese marketing experts. Get to know us!

Read more about selling in China:

• PINDUODUO E-COMMERCE: AN OPPORTUNITY FOR SMALL BRANDS IN CHINA
• THE BATTLE PINDUODUO VS JUHUASUAN (ALIBABA)
• China ecommerce guide
  

Moon cake is a Chinese bakery product traditionally eaten during the Mid-Autumn Festival. The festival is for lunar worship and moon watching when moon cakes are regarded as an indispensable delicacy.

Traditionally, moon cakes are offered between friends or at family gatherings while celebrating the festival. The Mid-Autumn Festival is one of the four most important Chinese festivals.

Moon cake: face consumption and social weapon in China

In today’s China, the meaning of moon cake has changed fundamentally. It means much more than a kind of bakery product. It’s more like a kind of face consumption goods and social tool.

And many people have to pay for their extra meaning. In 2019, China’s moon cake output was about 364,000 tons, a year-on-year increase of 1.4%; sales were about 19.67 billion yuan, a year-on-year increase of 7.9%. China’s moon cake sales in 2019 reached 1.38 billion pieces, which is equivalent to eating one piece of moon cake for every Chinese.

However, these moon cakes are not all bought by themselves. Nowadays, under the marketing, moon cakes are not only an essential food for a family reunion and mutual gifts between close relatives but also a weapon in social courtesy.

In 2019, Chinese consumers who are willing to buy moon cakes up to 60.4%, of which 20.6% intend to buy them as gifts, accounting for more than 1/3. Part of the 39.6% of consumers who do not plan to buy, because their company will give them moon cakes as gifts instead of buying it themselves.

Moon Cakes for everyday peoples

For common people, Mid-Autumn not only means a festival for the family to get together but also means the time for sending gifts. However, to prepare gifts is not an easy thing. Most people choose moon cakes as gifts for friends and colleagues. However, it has lasted for decades and you can hardly find some moon cakes special that can keep it in the receiver’s mind.

Gift Moon Cake Segment for Companies and government employees

Most companies in China have made budgets for gifts. And Mid-autumn is time to use the budget. And again, most people choose moon cake as their gift for their customers, officials, and partners.

On the one hand, companies make a pretty big budget for that; on the other hand, you have to choose the right type of moon cakes and send them to the right people.

Moon cakes are also subjected to trends in China

As a result, cheap traditional moon cakes that the Chinese have eaten for decades have lost their market. It has become a kind of high-class food. At the same time, most local companies focus on making gift moon cakes. Some companies have even made real gold and silver moon cakes to attract gift buyers.

Foreign companies also discover that moon cakes can help them make money and make new types of moon cakes such as ice cream, coffee, green tea moon cakes to attract young Chinese buyers.

Although gift moon cakes take the most market, most people do not like those expansive gift moon cakes as the following posts online:

网友“陈国琴”：一盒月饼达到数千元甚至上万元，显然“醉翁之意不在饼”。而这些“天价月饼”很有可能会沦为腐败道具，成为把官员们“拉下水”的“糖衣炮弹”。

“those mooncakes cost over ￥10,000 do not belong to food, but tools to corrupt officials.”

网友“姚明胜”：如果说“天价粽子”、“天价月饼”还带点传统味和人情味的话，那么目前市场上出现的“金银月饼”，透露的是一股“腐败味”、“铜臭味”。

“If zongzi and moon cakes at a sky-high price still smell like food, those real gold and silver moon cakes simply smell the stink of corruption and money”

The Middle Autumn festival boosts other products sales

The Mid Autumn festival together with China’s Golden Week holiday has boosted consumption in many sectors, including snakes and beverages. This is the largest festival since the Covid-19 was brought under control. Here we list several bestsellers on China’s e-commerce platforms:

• Guangdong-style moon cakes
• Fruit baskets
• Dairy products
• Assorted nuts
• Women’s winter wear
• Liquor
• Cosmetics

Besides our star product for this day – the moon cake, there are other products preferred by Chinese as gifts. Fruits baskets, dairy products, assorted nuts are very popular in China when the Chinese want to give gifts. This can be seen through the above list.

New players in the market to share the big “cake”

Although moon cakes are traditional foods, in order to satisfy the savvy taste buds of the Chinese, there is no lack of innovation in the market. Today, from nuts moon cakes to snowy moon cakes, moon cake brands have been committed to taste innovation and beautifying packaging to attract consumers.

In recent years, in the face of the booming moon cake market, many new players have tried to break in with new products to get a share of the “cake”.

Starbucks is one of them. Brands such as Starbucks, Heytea, and Naixue have obvious cross-border advantages. They rely on the coffee and milk tea market position, which can turn moon cakes into afternoon tea snacks and handy gifts. Starbucks is now a player of weight in the market.

Starbucks’s moon cakes are not only expensive but also very popular. At the time when Daoxiang Village – one of China’s most famous traditional pastry shop, sells the moon cake at around 12 yuan each, Starbucks had sold each moon cake for about 60 yuan and customers line up for buying their cakes! Why? Let’s see together what are their main strategies to make such a cross-border success.

Packages catering to Chinese attract traffic

During the Mid-Autumn Festival, Starbucks has launched an exclusive limited gift card and moon cake packages, which are quite a Chinese style: Lanterns, full moon, lotus leaves, laurels, lakes are all beautiful Chinese festival elements! Those aesthetic Chinese style design has attracted a lot of attention.

It is very important to know what Chinese people like to see and like to buy on this special day. Based on a deep understanding of Chinese consumers’ preference, Starbucks has worked out a successful plan to boost their sales, with the help of the Chinese Middle Autumn Festival.

Exhausting all efforts to market on Chinese social media

If you think that Starbucks’ propaganda is just about cards and displays, you are wrong.
In this year’s moon cake sales, Starbucks has done full-scale promotion in multi-social media channels such as official accounts, mini-programs, and Weibo.

Long before the day of the festival, Starbucks has launched marketing campaigns to gain as much attention as possible. Those activities have brought Starbucks numerous traffic, thus sales. Social media marketing plays an essential and efficient role in the Chinese market because social media is very important in Chinese modern life and Chinese people are easy to be influenced by KOLs on Chinese social platforms.

WeChat has more than 1.2 billion registered users and is no doubt the largest social media in China. Through the WeChat official account, brands can interact with their audience and publish posts about their products or services. WeChat has launched the mini-program function, through which viewers can directly purchase on this platform without downloading any apps. It is integrated into the WeChat.

With more than 550 million users, Weibo is the largest open social media in China. As it is free and open to everyone, it is thus a good place for mass marketing and KOL marketing, just like what Starbucks has done. Content of good quality and associated with Chinese social hot subjects can generate huge traffic.

O2O selling mode works great with moon cakes (but not only)

In the offline area, it can be said that Starbucks has achieved the ultimate in experience marketing.

After the start of the pre-sale period, the store conducted pastry tasting activities during peak hours in the morning, midnight, and evening. The moon cakes were cut into small pieces for customers in the store to taste for free, and coffees suitable for matching will be recommended.

Moreover, Starbucks encourages all stores to use their imagination to create and pose with moon cakes. Beautiful “works” undoubtedly attracted a lot of customers to take pictures, then buy products. Self-portraits of coffee and shared on social media can be exchanged for moon cakes.

Starbucks’s success shows that a deep understanding of Chinese culture and marketing tools along with appropriate marketing strategies can result in big business achievement.

If you are interested in the Chinese market, contact GMA, a professional Chinese digital marketing agency based in Shanghai. With our excellent and passionate team, we are capable to help your explorer the Chinese market.

Read more about branding in China:

• Is Weibo still a relevant social media to promote your brand in China?
• 5 strategies to sell more on WeChat for small & a medium company
• The 10 most original mooncakes

What exactly are Wechat Mini Program?

WeChat mini-programs are “sub-applications” within the WeChat ecosystem. They can provide advanced features to users such as e-commerce, task management, coupons, etc.  It is now the most popular e-commerce and task-processing platform in China and does not need to download. The followings are the development trend and advantages of the WeChat mini-program in 2020.

Liu Chiping, Tencent’s executive director: Wechat Mini-programs are becoming the infrastructure of retail market.

According to People.cn, Tencent achieved revenue of 108.05 billion yuan in the first quarter of 2020, a year-on-year increase of 26%. The monthly users of WeChat exceeded the 1.2 billion mark for the first time, an increase of 3.2% from the previous quarter. Thanks to the need for daily necessities purchases and livelihood services, the daily active accounts of mini-programs have exceeded 450 million.

Why every company in China should have a WeChat Mini Program?

1. The sales of the WeChat mini program are increasing exponentially.
2. Per capita visits, utilization, and retention rate are surging.
3. More businesses benefit from the WeChat mini program.
4. The facility of mini-program and huge user database attract more platforms in China.
5. WeChat is engaged in the construction of powerful commercial infrastructures.

1. The sales of the WeChat mini program are increasing exponentially

By July 2018, the number of WeChat mini programs has exceeded 1 million. In 2019, the number of daily active users of mini-programs exceeded 300 million, and more than 800 billion transactions have been created, a year-on-year increase of 160%.

On March 8th, 2020, the WeChat mini program live streams helped BBK Better Buy to exceed 240,000 online orders, and the sales exceeded 20 million yuan in just one single day! This success is not unique.

Mengjie Home Textiles’ single live-streaming sales exceeded 25 million yuan on March 14, 2020.  For another brand, Purcotton (纯棉时代), with the help of WeChat’s public account, group advertisement, coupons, and mini-program dedicated to boosting the traffic and brand exposure, the number of interactions in the live stream organized by Purcotton reached 500,000, and the live-streaming sales increased by 500% compared with the latest period.

2. Per capita visits, utilization, and retention rate are surging

Life services, education, catering, tools, and other categories are the main active accounts of WeChat mini-programs. Compared to last year, the WeChat mini program has a 45% increase in visits per capita, a 98% increase in usage per capita, and a 14% increase in retention.

We can find online shopping platforms, features like hailing taxis (through Didi Chuxing), video games, social media, etc. run entirely within WeChat. In short, WeChat’s range of services gives it the functionality of a whole suite of apps for its huge user base.

Indeed, thanks to its complete coverage in China, it is even used to facilitate communication between the government and citizens. Its user base grew alongside functionality, and the functionality serves its giant user base.

3. More benefices generated by WeChat for business.

The percentage of revenue generated by WeChat’s official advertising increased from 56% to 76% for the long-tail mini-program.

According to the Tencent annual report, in 2019, the total transaction volume generated by the WeChat Mini program is 800 billion yuan.

More than financial advantages, the WeChat mini-program is very user-friendly for not only personal account users but also for service providers who can benefit from the mini-program platform.

4. Facility of mini-program and huge user database attract more users in China.

The aim of the mini-program is to create a friendly, efficient, and consistent user experience within the WeChat ecosystem. Every effort has been made to cater to a range of needs. There’s no need to download or install a mini-program in order to use it. It can be used anywhere, at any time, without any special requirements.

Although all the success of the mini-program, the Chinese tech behemoth Tencent Holdings is not satisfied, WeChat is trying to let the mini-program get more exposure and will make the mini-program more commercial through open-screen ads, video ads, and incentive ads.

With its huge database (more than 800 million users), the WeChat mini-program has already attracted the largest social open platform in China – Weibo. In 2019, Weibo’s mini-program was launched. This database is still snowballing.

5. WeChat is engaged in the construction of powerful commercial infrastructures.

In China, Alipay and WeChat pay are two of the most popular mobile payment methods. They have already gained Chinese customers’ confidence and changed their habits of payment. Most people pay on those platforms using barcodes, known as QR codes, on their phones.

WeChat has established a transaction guarantee system and brand certification system to ensure the commercialization of the WeChat mini-program.

Not only WeChat payment, but WeChat will also optimize the logistics tools of the mini-program. In 2019, Tencent officially issued a document announcing that WeChat officially launched the logistics assistant interface function.

The WeChat logistics assistant can not only facilitate online shopping users to receive logistics information through WeChat for the first time but also allow small and medium-sized e-commerce and mini-program merchants with limited development capabilities to quickly and efficiently dock multiple logistics companies.

Want to get your own WeChat mini-program?

Nowadays, If you want to start a business in China, creating the WeChat mini-program is an important part that cannot be ignored. If you want to know more about how this WeChat-based program can help you expand your business, please contact us, a professional marketing agency in China.

Check our Wechat solutions and contact us to discuss your goals in China with one of our experts

Introduction to Wechat Live-Streaming Mini-Program

After the outbreak of the coronavirus, many businesses started conducting interactive marketing with consumers through their WeChat official account, WeChat group, and WeChat live streaming. After WeChat launched the mini-program live streaming function, more brands have also joined in.

According to WeChat, “Perfect Diary” is the first beauty brand to participate in WeChat live streaming. In February, the number of viewers increased by 10 times and the purchase conversion rate was three times higher than other platforms. Retail and clothing brands also got good Numbers in the WeChat live streaming.

The advantages of WeChat Live streaming

WeChat officials say that live streaming is an operating tool provided by WeChat to businesses. Businesses can achieve efficient interaction with users through WeChat mini-programs. It has the following great advantages:

1. Traffic belongs to merchants

Since all visits, interactions, and transactions are all happened in WeChat, there is no need to jump to other platforms, which is more conducive to the long-term operation for merchants.

2. Low entry requirements and simple operation procedures

Businesses can apply for the live streaming function in mini-programs and can be completed audit within one day at the soonest. Businesses can promote their products through live streaming and interact with users through functions such as “likes” and “comments”.

3. High conversion rate

WeChat live streaming can maximize the social and content integration of WeChat. WeChat live-streaming support user subscription which is convenient for users to revisit. Consumers can also share the live link on the WeChat moments, and businesses can bring traffic to live-streaming through the WeChat official account, greatly increasing the conversion rate.

At the same time, WeChat also announced the requirements for merchants to enter. From the perspective of the industry, there are 18 categories including food, clothing, beauty makeup, and furniture. On this basis, WeChat also has certain requirements on the fan base and advertising quality of the live streaming account, so as to ensure the quality of the live streaming and the rights and interests of consumers.

Wechat Live-Streaming: Conclusion

WeChat’s launch of live streaming shows Tencent’s determination to compete for the live streaming market. Live streaming e-commerce will also continue to become a new e-commerce trend in China. While the major platforms have launched active strategies to attract businesses and consumers, businesses in various industries should also layout as soon as possible to seize the dividends of live streaming e-commerce.

Choose a cloud-based CRM solution.

Cloud-based CRM systems can run on any networked device with a browser. They are easy to implement even without IT support because they do not need to install software on hundreds or thousands of desktop computers and mobile devices, as native CRM does. Organizations around the world are discovering the benefits of moving data, software, and services to secure online environments.

All major CRM software vendors are cloud-based now, including Salesforce, which is the world’s premier CRM software vendor. This software-as-a-service (SaaS) model means that the enterprise no longer has to deal with the internal needs of CRM, which can achieve:

• Faster deployment
• Automatic software update
• Reduce costs while expanding rapidly
• Work anywhere, on any device
• Enhance collaboration

Integrate with appropriate applications

One of the major challenges that many organizations often face when providing services or evaluating performance to customers is how to connect various kinds of data stored in different locations. You may need to integrate social applications with the CRM system. These applications allow your company to track people, groups, and information, also capture data in real-time.

Support for the mobile office

Make it possible for your employees to work on the road- such as checking correspondence and managing contacts and accounts. This kind of mobile office allows you to easily access and pass information, so as to increase productivity without any increase in workload. Key information (such as sales, important historical records of service, and technical support) should achieve one-click access and need to cooperate with the back-office system, social networks, and web conferencing.

An excellent sales automation and mobile CRM system can provide you with the following basic functions:

• You can use filters to get what you need quickly in your contacts list.
• Capture key points and update easily
• Make phone calls, send messages or e-mail directly from CRM software.
• Emphasize the key problems affecting customers
• Your opportunity list and sales pipeline
• Your calendar
• Your list of priorities for the day
• Add a task management tool to collaborate with the rest of the team

Conclusion

Any successful business should be based on good customer relationships. Companies, salesmen, and customers who need your product or service need to be connected. These connections will become more complex as the company expands. The CRM system is such a system that can help enterprises improve efficiency, productivity, and ROI.

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