[Brad] Welcome to another week of the China Weekly Wrap with Jie, our CEO and co-founder.
Got a few more questions for you this week. So let’s get started.
In the past selling and advertising in China would cost a fortune for foreign organizations. What’s changed now. And how much more affordable is it now?
[Jie] I think there are in general, two major trends that happened in China that made going into Chinese is market much more affordable and also, much less risky.
One is of course e-commerce, of course this is more relevant to the retail brands. But then in general e-commerce is very popular and also very well penetrated in China as well. If you look at the magnitude of, of e-commerce as an industry, China is occupying almost half of the world sales volume.
Also the percentage is extremely high. I mean far ahead of the rest of the world. Another thing would be the digitalization of the promotion that is of course enabled by the penetration of mobile internet in China. The percentage of mobile internet in China is again, extremely high.
We’re talking about actually 95% of the let’s say internet users in China are mobile. So that creates a lot of opportunities for companies to enter into Chinese market. So by combining these two factors, I think in many of the companies out there, many of them are our customers as well, have managed to enter into Chinese market in a digital way.
And also managed to make their brands famous and also trendy, in the, rather I would say, short period of time with quite low, initial investment and risk compared to before. So that is something I would encourage everyone who is currently going to Chinese market to seriously consider.
And when it comes to running these ads and advertising in China, can companies just translate their Western ad campaigns into Chinese and run those.
[Jie] Yes. in a way yes, but of course, when you go into Chinese market or when you go into any foreign markets, you should look into the market fit of your product and also the market fit off your messages as well.
And then given that I think the initial starting point of, your marketing material or your product, be your existing ones only with a twist in the language. And if you can afford a little bit on the cultural side as well.
But then, in general, we, really, encourage the practice of try and then iterate.
And that is finally enabled by our platform at AdChina.io to be able to, let’s say, launch a small campaign and then see what is working on what is not. And some of our customers are even using our platform for market survey purpose, because that is a much more real survey tool compared to a, let’s say traditional market surveys.
[Brad] Yeah, for sure. Cause you get real feedback from the market that way. Well, thanks so much for those insightful and thoughtful answers as always. We’ll be back next week for another Q and a session. Bye for now!