Also in this report:
– Minorities are the majority: Chance to shift from ‘undifferentiated mass marketing to multifaceted ethnic marketing’: Page 24
– Long-term presence crucial to win over sceptics: Many demonstrating commitment by hiring staff who speak the language: Page 25
– Ethnic markets lack research data: Page 26
– Warm reception for magazines’ Chinese editions: Hook-up with Ming Pao helped bridge transition period: Page 27
– Chinese New Year good entry point for marketers: Biggest festival of the year can provide access to Chinese consumers: Page 28
Research conducted by Chinese media, with the help of the Vancouver Chinese Advertising Marketing & Media Association (vcamma) shows the buying power and needs of the Chinese community in Canada exceeds the Canadian average in most consumer product and service categories.
But Chinese consumers, though desirable, can prove to be elusive – unless a marketer understands what motivates them to buy.
Chinese consumers rely on word-of-mouth and the familiarity or popularity of a brand to help them make their buying decisions.
In order for companies to establish a reputation in the Chinese community, they must advertise and market their products or services in a way that acknowledges the cultural nuances and values of Chinese consumers.
And the first step in establishing that reputation is to build a relationship with the consumer by participating in community events and fairs.
By correctly presenting the company’s image in these events on a frequent basis, a sense of trust will be built among consumers and then acceptance of the marketer’s brands will come.
Once Chinese consumers have accepted a brand, they are not likely to switch.
To ensure a successful debut at these events and fairs, marketers should have clear objectives.
These might include new product testing, consumer feedback on a service, or just corporate goodwill.
After establishing his or her goals, a marketer needs to consider the budget and human resources necessary to make the presentation a success.
Elements to consider include the following: the location, size and design of the booth; the cost to build it (the reuse value as well), and the cost to promote participation.
Numerous issues should be decided in advance.
Who will man the booth and what will staff be doing?
Can they communicate effectively with a Chinese audience?
If promoting a product during the event, is the distribution system adequately primed and extra inventory on hand?
What about Chinese packaging/ brand name? Is there a promotional kit or literature with premium giveaways appropriate to the event?
What about a consumer interaction program?
Events such as those surrounding Chinese New Year provide an excellent opportunity to demonstrate a marketer’s product or service and get a direct response.
Marketers should think about preparing a simple questionnaire for the consumer as part of the interaction procedure.
For example, they might want to pre-test a Chinese telephone hotline’s interactive voice response format and content before it is officially launched.
What about database building through entries in a lucky draw?
The sheer volume of the traffic at these events, if used effectively, can provide valuable information, which, otherwise, is difficult and costly to gather on a large scale, given the fact that research channels and facilities are limited in the Chinese community because of its relatively small size and short history in Canada.
National marketers who have participated in such events say they result in building corporate goodwill, improving the company’s understanding of the community’s needs through on-site interaction, and achieving a predisposed brand awareness among brand-loyal Chinese consumers.
These benefits cannot be achieved through the traditional method of marketing a product via one-dimensional, isolated media advertising, no matter how great the marketer’s spending is.
Because relationship building is about being in touch with the consumer on a person-to-person basis, an integrated approach to marketing is necessary.
Participation in events can be leveraged with advertising in a cross-section of Chinese media – three daily newspapers, a couple of quality magazines, two full-time Chinese radio stations and two Chinese tv services.
Marketers can get involved with Chinese consumers by using any one, or a combination of these marketing tools: sales promotions, event marketing, direct response marketing, media advertising, or public relations.
Give Chinese consumers a chance to see you, know you, talk to you, try your product and have some fun together at their big community events.
Convince them that you want to be part of their lives and they will give you their support.
In a period of shrinking markets, matured product cycles, brand loyalty erosion and reluctant consumer spending, the rewards for those who can capture this virgin market are potentially great.
There is no better place for marketers to start than by observing how the New Year is celebrated and offering their own version of Happy New Year – Gung Hay Fat Choy!