Keywords: Live Channels, Chinese Social Media, China Market, Double-11
As of China has been recovering from the pandemic since months ago, a lot of businesses are still struggling to survive especially the export and trade businesses while the Chinese domestic market is still considered stable.
The other day I was having a coffee with my friends sharing different views on the hardship and future of doing businesses with foreign countries. He argued that the factories are full of orders. His company can’t even have their products ready for shipment – which means the international business atmosphere is still very good and there is a great future for his company.
China Domestic Market on Live Channels & Social Media Platforms
I, then, showed him some figures to study together.
- Oct 2020, the rank no.1 influencer has sold ~8.01 billion RMB through her live streaming channels as well as her online stores. The 2nd created the sales of ~5.88 billion.
- Just counting the Douyin (China Tiktok) platform sales volume in Oct 2020, ~310 million RMB was recorded from the platform no.1 influencer following by 140 million in the 2nd place.
[Refer to 2020 (Updated) Chinese Social Media: Live Channels if you are interested to understand more about the MAU and DAU of the channels.]
Let’s say each person spent around 500 RMB on average, which resulted in 16 million pieces of products sold, only and only for this very influencer. Put yourself into the factory’s shoes, on one side you are clearing all their stocks, and on the other side, new orders are coming every day for different sales event domestically. Do you care whether the export orders are with your factory or not?
Continuous breakthrough on Social Media and E-commerce Platforms
What we are discussing here is the huge spending in the domestic market in China via online store, live streaming channels, social media platforms and so on. If the consuming persists, the China domestic market can really support the market stability itself in China.
Look at TMall, they resulted in having 372.3 billion RMB transaction in the “Double 11” event on 11 Nov 2020. The total transaction in that single day reached to 774.7 billion RMB counting all the platforms.
It seems a very good sign and the number can really calm a lot of people down. However, I can tell you the truth that not every product or company coming into China can be successful.
Barriers for newcomers
It is never easy to join and make a profit out of a well-built system. Live streaming channels and video Apps are now using whatever possible ways to attract more followers to download, view and follow. Meanwhile, platforms and Apps are giving out money to the users who viewed videos and try to engage them to stay on the App more time.
In order to get your victories in the war, a foreign company need to be very clear out how many battlefields are there. How many battlefields can you lose to win a war? Social media accounts are your troops, contents are your armors. You have to manage and update them every single or second day. Thus, the accounts cannot be idle and got to be very attractive to your target audience. In addition, relying on KOLs to sell is one way to conduct sales, however, the KOLs are taking most of your profit if you have no clue how to operate the campaigns.
Expectedly, a lot of companies are having other thoughts of not entering the China market as they can see a lot of barriers and walls. I have come across quite a number of companies saying they need to take solid steps, slowly. I totally agree with that plan. However, with the fast-moving paces, you need to consider how slow you can be.
Enter the China Market via Social Media and Live Channels
- Plan with you budget for purely promotion.
- Outskirt the edges of your products.
- Create a story to make your products worth-buying.
- Carefully select the marketing agency and KOLs
- Start your own account in Douyin or Kuaishou, etc.
How to Make solid steps in Social Media & Live Channels in China Market
- Build your presence in China with WeChat, Weibo and Douyin.
- Create profile and articles, videos to tell your stories
- Collaborate with KOLs / Influencers to gain followers
- Start selling with the most popular channels, Douyin, Kuaishou, etc.
- Update your channels from time to time.
[For more details about Social Media in China, you can refer to A quick guide- content marketing in Chinese Social Media Platforms]
How to Secure your Investment in the China Market
- Make your stories worth telling
- Identify your target audience
- Conduct an in-depth market segmentation
- Promote to precise communities and groups
- Hire / Collaborate with the right KOLs (expensive doesn’t mean effective)
[Take a look at the blind spots you may come across in China, you can refer to 3 BLIND SPOTS – MARKETING IN CHINA]
DOs and DON’TS in Chinese Social Media
- Study the market yourself before approaching any marketing agencies.
- Conduct a research on your potential competitors first or ask your marketing agency to conduct for you.
- Tell your agency to show every materials of work to you and check them again and again and be aware of those screenshots.
- Just hire an agency working for big brands – it is always easy to conduct successful campaigns for big brands.
- Promote only relying on one or two platforms.
- Blindly believe KOLs marketing can solve all your problems.
About MirrorBell Consulting
Mirrorbell Consulting is a group of marketers and experienced brand building professionals who believe in creating positive values. We offer best possible solutions for SMEs, start-ups and companies who are sharing positive values to the consumers.
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