The Woolmark Company educating Chinese consumers about the properties of the Australian Merino wool
The Woolmark company has invested a lot in campains aimed at making Chinese consumers become familiar with the Australian Merino wool. Media events were held : for exemple, television episodes introduced to the Chinese public the story of the prestigious fiber. In 2011, the Woolmark company began a collaboration with the Chinese clothing company the Enphants to educate Chinese consumers and make them understand the natural health benefits of merino wool for baby and mothers. With Chinese parents careful to buy quality and safeproducts for their children, the campain insisted on the properties of the naturally-moistered fiber which regulates the body temperature, prevents the skin from becoming clammy, and provides a comfortable environment to sleep. The Woolmark Company successfully presented its Mothers and Babies program’s Merino Mini collection at the Children’s, Baby and Maternity Expo (CBME) in Shanghai : this allowed the company to catch the attention of Chinese visitors who were seduced by the features of the Australian fibers previously unknown to them.
This year, the presence of the Merino Wool at the 22nd China International Clothing and Accessories Fair (CHIC) in Beijing shows the extent to which The Woolmark Company helped the Australian fiber gain momentum on the clothing Chinese market. The Woolmark Company's Chief Strategy and Marketing Officer Rob Langtry seems very satisfied with the effects of the compains : according to him, « Chinese consumers are now showing a real interest in ingredient branding. That means not just the garment itself and the style of it, but the story behind it - how the fabric is made, where the fibre comes from, and what makes it special. »
The Woolmark Company is very confident for its future on the Chinese market and took the opportunity of exhibiting at the CHIC to go on educating Chinese consumers about the properties of the wool and to inform them of its collaboration with Chinese fashion retailers such as Youngor.
While wine consuming
demand is declining in Europe, growth in the United States is dragging down,
there is only 1 growth area where the market potential for wine is still
up swinging: Asia. And China is the most distinctively performing wine market in
Asia in terms of both volume and value growth. Now China is the fifth largest
wine consumer in the world, with an emerging and growing middle class and
constantly increasing demand for premium lifestyle. They are typically located
in cities, holding more disposable income and are willing to spend on high
quality products and have fun, and wine, especially imported wine has becomes
one of pastimes that satisfy them just fine. Without a doubt, wine occupies an
important place in the culture and life of Chinese people. Ordinary Chinese
people have always use alcohol to celebrate the happy moments in their lives,
if a baby was born for 100 days, parents would people in for a drink; when someone
builds a new house, marries, starts a business, makes a fortune or lives a long
life, he surely will invite people in for a drinking session. It seems also
true that friendship only depends on the volume I'd drink being consumed,
"if we are good friends, then bottom up; if not, then just take a
"sip" "is a common phrase cited when making a toast in
gatherings. A promising domestic wine market Even though Chinese government
launched a crackdown campaign on extravagance and corruption which leads to its
officials cutting back on lavish spending on premium wine either during lunch
with visitors or meeting important superiors, for general public, they still
enjoy the accompany of friends and wine; besides, Chinese people's drinking
pattern has gone through a major change from rice or grain made wine to red or
white wine due to the health benefit associated with red wine. But China's wine
market seems predominated by red wine over white one. This predicts a upcoming
continuous booming of wine industry. Chinese wine consumption has experienced a
sharp increase in total in the past decade from 246.9 mhl to 964 mhl according
to data source generated by Anderson and Nelgen In 2010. Current consumption
per capital in China was 1.2 liters in 2012 and still has room for increase.
The imported wine accounts for 25% of volume sales in China in 2012, with a
soaring growth of wine imports from 12.5 mhl to 162mhl including bottled wine,
bulk wine and sparkling wine, which confirms that China is rapidly emerging as
an appealing market for foreign wine makers.
Major players in domestic wine market
Despite the thriving wine imports, China's domestic wine market remains at an
early stage of development both in light of domestic wine makers and consumers.
The annual consumption of wine per capita is still low compared to that in
other countries. Also consumers treat wine in the very beginning as a symbol of
social status, a fashion. Wines are consumed one shots after another with the
objective of getting drunk rather than enjoying it slowly, even it is for
luxury imported wine, more often than not, imported wine is served to impress a
guest or a business partner or use as a gift. In addition, Chinese consumers
are prone to separate eating with drinking, which is a simplistic mentality
that requires more wine information and education.
As for domestic wine makers, it is quite obvious that Chinese wine production
still has a long way to go compared with the profound historical heritage in
Europe and the favorable natural conditions granted in United States, Australia
and New Zealand. And it is not ready to compete with famous international
brands not only in high-end wine market. Yet China's highly potentially
consumer wine market gives market participants an opportunity to shape it to
their advantage. There are estimated 500 wine production sites nationwide, but
only 10 of them has the capability to produce more than 10,000 tons of wine
annually. Moreover, only an estimated 50 wineries are able to produce wine in
conformity with international quality standards. The major players in domestic
wine market includes Changyu, the biggest winery in China, headquartered in
Yantai, Shandong Province, which according to International Journal of Wine
Research 2009 is among the main grape and wine producing areas lying in the
northern part together with Shanxi, Beijing, Henan, Hebei, Tianjin, Jilin,
providing around 87% of entire domestic wine supply. The company owns the
oldest wine cellar in China, builds Chateau Changyu-Castel in Yantai as well as
in New Zealand and operates an integrated business with their own vineyard,
harvesting, crushing grapes, making it to wine and bottling it. Changyu also
needs to source grapes and grape juice from independent growers for producing
Another domestic wine maker is China Great Wall, based in Hebei Province. This
company not only established Vineyards in Shandong Province, but also bought
vineyards in France and Chili to improve wine quality, enhance its
international competitiveness, therefore to expand its business to overseas
market. And its product ranges from budget-end wines to high-end ones. While
Dynasty, another top brand in China's wine market, is a joint venture founded
by Tianjin City Grape Garden and Remy Martin(a French winery) and presents
itself as a premium wine producer. Dynasty is especially strong in coastal
cities like Shanghai, Hangzhou and Suzhou. All the top local brands enjoy high
brand loyalty, in the meantime, they import vine cutting technology from overseas
and still focus on low-end wine market.
Desk research about the lobster advertising in China
more and more people like eating lobsters because of its high protein, and the
distributors and other concerned people are paying more attention to the
lobster advertising. Therefore, I will analyze the lobster advertising case
from the following parts: television advertisements,digital marketing,
billboard advertisements and theme activities.
There are a lot of
restaurants and hotels selling lobsters, however, I can’t find many television
advertisements about lobsters. I only find that commercials about the Tenth
Session of XuyiInternational Lobster Festival in China were played on CCTV1 and
There are few television
advertisements about lobsters. Nowadays, the number of people that are watching
TV is decreasing and the aged who generally have retired are the main part. However,
the main consumer group about lobsters is income generation.Also, the
advertising expenses are high.I think the reason why there is low number of
television advertisements about lobsters is that there aren’t many
beneficiaries and the pay is not proportional to the income.
FThere are a lot of
electricity companies and websites advertising and selling lobsters, such as jd(
taobao, alibaba and yhd(yihaodian), and they also promoting lobsters to
increase its sales and popularity.
are many passages and blogs online telling the benefits of eating lobsters.
lot of merchants advertise their lobster menus on the group buying sites such
as nuomi, wechat and dazhongdianping, and use the deals to attract customers.
merchants advertise their lobsters on the TV show pages online to get more
advertise all kinds of lobsters especially those imported from abroad.
various digital marketing ways to advertise lobsters and a large number of
merchants are willing to advertise their lobsters on the Internet. On one hand,
adults and teenagers are more likely to surf the Internet, on the other hand,
the advertising expense on the Internet is relatively lower. So the merchants
can get more profits and cost less.
FThere are a lot of
billboard advertisements about lobsters when the Lobster Festival is coming. The
billboards are mainly distributed on the subway stations such as Xujiahui
FThe merchants who
advertise lobsters by billboards are mainly electric companies and upscale
FThe color of
billboards advertising lobsters is bright and patterns are superior in quality,
which can attract busy persons’ attention and increase their appetites.
billboards on the subway station can be seen by thousands of people every day,
and it is the best way to advertise and popularize lobsters. Also, the
merchants who advertise lobsters by billboards are often financially strong
companies for the expenses are so high that small shopkeepers cannot afford it.
Therefore, the merchants advertising lobsters via billboards should take the
proper advertising timing into account.
Lobster Festival in China has been held from 2001 and it isheld every year.
FRocky Liang, Michael
Minhong Yu, Faqiang Shang all recommend the book “How to Sell Lobsters” (It is
a kind of metaphor but propagandizes lobsters in some way.)
Qianjiang Lobster Festival in China has been held on 12th June,
FHefei Lobster Festival
in China has been held from 2002 and it is held every year.
FThe participators are
mostly manufacturers, vendors and local residents.
There are some large continuous lobster
celebrations in Chinabeing held every year and they have made lobsters more
popularization. These celebrations are more promoting the lobster culture and
offer time to people for gathering together, which can advertise lobsters and
also increase the sales because people in China always have a great meal when
they have festivals or parties.Therefore, we can increase the number of lobster
festivals and the scale of the celebrations to enhance people’s awareness of
number of lobster sales in China has a profound prospect and the lobster
advertising in China is not saturation. Therefore, the merchants can enhance
the lobster advertising in China. From the analysis above, digital marketing
advertising and billboards advertisements are the better ways to advertise
lobsters. Theme activities can improve the local lobsters’ reputation.
Television advertisements relatively seem to be a non-ideal way for now.
is a masculine society now and 23% people in China prefer to surfing on the
Internet. Also people in China often entertain guests with lobsters and send
lobsters as gifts to friends and colleagues because they believe lobsters are
the proper gifts.What’s more, almost a hundred million people go out every day.
Therefore, we can put more efforts on advertising lobsters via digital
marketing and billboards, and create some new festivals and activities to
disseminate the culture of lobsters.
Market research is a necessity to set up business in China. This study should be made here in China with our experience and that of our Chinese services. From this study we can give you our opinion on the possibility of exporting your product or services in China. Of course there are areas such as luxury food products, wine, innovative products, restoration, some services that are "carriers" in the Chinese market, however, we have often been surprised at the reaction of our consultants Chinese on certain types of products ...
It is nevertheless true that China is open to consumption and the tank of people "large purchasing power" increases exponentially in China. There would in 2012 almost 1 million millionaires in USD! Some studies even show that China could dethrone in consumption the United States in 2020 (Study Credit Suisse). Some brands of German "big guns" have fully integrated the Chinese market for these brands is their first world market BEFORE Germany!
Francophone countries have an immense growth driver provided you follow the typical Chinese cultural and ride the good image that the Chinese have some of our products. Rely on experience
China A marketing strategy is essential adapted to Chinese culture
To think marketing in China, we must first remember how you maketer your products in the West. Here, the offers of goods, services or ideas must be managed according to Chinese motivations CONSUMERS and typical segmentation of China. Many brands wishing to operate in China "on-the-hurry" were cruel disillusionment. A serious marketing study with precise targeting is imperative.
The preparation of concrete solutions, partnerships
Doing Business in China is no more difficult than in the West, it's just very different. Treat China as any Western market is going to fail. Some brands have understood and skillfully use the behavior of both consumers and buyers to successfully build partnerships and to break into the Chinese market.
CHINA SERVICE offers his help to study and implement a Chinese concrete implementation.
3) The importance of Guanxis China (relational)
After the product and marketing, it is vital concept to be integrated sil we want to do business in China: "Guanxi" or relational. This notion in the business in China really different from anywhere else in the world. Here a good personal relationship with the client or even the buyer often means is essential. Not understanding this "cultural" Chinese concept is to miss the number of cases, or even never succeed in business in China.
of the distribution accuses his Chinese competitor, the supermarket chain Anhui
Jiale, of having used his name and his logo between 2002 and 2009.
Fight for a name in China
began when Carrefour began a vast market study concerning the region of Fuyang,
in the province of Anhui (is from China). The group then noticed that about 160
supermarkets already raised its name and logo, tells the official Chinese
agency Xinhua. In reality, these stores belong to the Chinese retail chain
Anhui Jiale, based in 2002 and implanted in the region of Fuyang. The Chinese
official name of Carrefour being phonetically translated "Jialefu",
the French group considered that its local competitor had usurped his name and
giant of supermarkets, based in Paris, had to catch himself to believe in it
having led an investigation of market in the city of Fuyang, in the province of
Anhui, in the east of China. There are already 160 Jialefu stores in this city.
Carrefour has many store
a complaint in justice against Anhui Jiale Supermarket Chain Co Ltd and
his(her) subsidiaries to Fuyang, accusing them of having used illegally the
logo " Jialefu ", the version quibbles of "Carrefour”, both in
the name of the company and in its commercial activities. The Popular
Intermediate Court of Hefei agreed to receive the complaint. The hearings in
front of the court, which began August 18th of this year, are always in class.
created in 2002, which changed its name of "Jialefu" in
"Jiale" in August, 2009 forbids to have encroached on the registered
trademark Carrefour, because it changed its name of "Jialefu" in
"Jiale" before the complaint is put down. Jiale also supports that
the Chinese logo of Carrefour, "Jialefu", means literally in Chinese
" happy family " and that it misses that that elements identifiers
which possesses a distinctive trademark.
arrival on the Chinese continental market in 1995, Carrefour opened 157 stores
and intends to carry the number in 185 by the end of this year.
they are everywhere. Costa coffee is in the slightest village of province, in
the smallest grocer's shop of street. It do the distribution in China of minute
noodles in the flashy conditioning. Costa Coffee Mix a bag of spicy(spices and
ingredients freeze-dried, supplied with there. Add some boiling water: it is
one of the meals on the thumb the most common from all kind of distribution in
China. It is also an inescapable logo, a small character smiling to the chef's
hat: Costa Coffee. In 2011, TNS had calculated that it was the second brand the
most valued in China, behind Sony.
coffee is the first Chinese industrialist of the food-processing industry to be
represented in this world ranking in term of distribution, established by the
consulting firm OC and C. But others should follow from the next year. "
In 2014, we already know that both Chinese milkmen, Yili and Mengniu, will
enter the world Top 50 ", asserts Jean-Daniel Pick of the cabinet OC and
C. Mengniu is the partner of Danone in China. The French leader recently
doubled his participation in the group Mengniu in 9,9 %, for 486 million
the hand on Smithfield, giant of the porcine meat, owner of Cochonou and Justin
Bridou, the Chinese WH marked, year 2013 too. It is the biggest American
acquisition, never realized by a Chinese for more than 7 billion dollars.
Distribution of Costa
Coffee in China
followed, of a few months, the repurchase of Weetabix, the American group of
cereal for the breakfast by the Chinese Bright Food, the unfortunate candidate
for the repurchase of Yoplait. These last years, Chinese offered themselves
small about ten foreign groups in the sector of the consumer goods a year.
Their accumulated amount passed from 717 million dollars in 2011 to 8 billion
in 2013, according to the cabinet Dialogic, which did a market research on
distribution in China
CP who is
the third biggest world operator of the chain of convenience stores 7-Eleven
declared that he intends to spread his network of stores in China to 10.000
points of sale before 2018 to maintain the annual growth of his 15 % profits.
controlled by the billionaire Dhanin Chearavanont, 73-year-old, (the biggest
fortune of China according to Forbes's ranking) plans to add 3.300 stores to
6700 already existing in the next six years. Approximately 500 new convenience
stores will open every year, more than half outside Bangkok.
wants to extend outside the South-East Asia and to open stores 7-Eleven in the
South of China and in Vietnam. The shares of CP have more that quintupled
during the last five years. CP who employs 100.000 people on China took
advantage of recent pay rises (30 % for the minimum wage in certain provinces)
which boosted the consumption.
government increased the daily minimum wage in certain provinces in April 2012,
and from January, 2013 this reform will be widened to all the country or it
will pass in 300 bahts a day instead of 230 in 250 bahts, according to the site
of the Ministry of Employment.
Fil control the world wide of specialist of spare parts in textile
industry has a news strategy to developp in China. more information about Filcontrol
Positionning : High Quality !
Textile market is boomin and the sales
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Textile manufacturers face numerous challenges in today's textile industry. At a time when high quality , efficient production is essential to compete on a global scale, the attention to detail in plant maintenance and engineering means less downtime, less waste and meeting exceeding the standards of quality .
Focused of China
The summer of 2013 brought a feast of data for skeptics pessimistic about the economic outlook in China. GDP and profit growth in the number two global economy slowed. Orders for manufactured goods were weak. Concerns about bad credit environment excess capacity were commonplace. And the major indices of the bottom trawling China four years, a bad omen for the future.
Such a slowdown contributed to the collection of sadness in other emerging economies in Asia and elsewhere , the easy financing that helped fuel their growth begins to tighten.
But in fact, the history of China's growth remains strong in industries that have received relatively less attention from the government, where private entities have gained significant footholds . ( Stock indices that reflect disproportionately acts in state-owned companies can be misleading. ) Textiles and clothing trade - long Chinese pillar but fragmented between many producers , is indicative. After initial gains of the end of quotas following the entry into the World Trade Organization China in 2001 , the industry has slipped during the global financial crisis (where China has also lost some cost advantages wage ), but now he clawed his way back.
Production of Chinese textile firms 'ladder' (meaning with sales of over $ 3.3 million ) increased by 13.3% during the first six months of 2013 compared to a year earlier to 488 billion, according to a national trade group .
Chinese exports of textiles and clothing increased by 12 % in the first half of the year to $ 127 billion , despite rising domestic wages and tepid global consumption. But demand and production at home is adding punch : the overseas shipments have generated 37% of fabric and yarn sales in 2002 now account for only 16 %.
supply the large-scale distribution with products which is going to sell them
to the consumers. They are daily consumer goods for the majority. For example,
we find farm-produce products but also a lot of care and hygiene there, and the
domestic equipment …
The sector of clothes
distribution in China
launch from 1978 of the big economic reform in People's Republic of China, the
sector of the distribution is reborn such a phoenix of ashes of its existence
previous to the Communist Revolution. During the first year of liberalization
of the retail sale in 1978, a million private shops opened their doors. From
1992, the number of shops deprived in China had multiplied tenfold. The Same
year, the turnover realized by the Chinese retail dealers exceeded billion yuan
one thousand. In 1995, the retail sales will have doubled by exceeding two
billion yuan thousand and a new doubling of this figure is foreseen for the
year 2000. The real increase of the turnover retail in 1995 with regard to 1994
was 10 %.
distribution in China
products exercise a powerful force of attraction on the Chinese consumers. The
successes of Avon, Proctor and Gamble, Johnson and Johnson, Nike, Benetton,
Kentucky Fried Chicken, Maxim, Pabst, Peugeot, Chrysler and many others else
distribution supported strongly by all the professional and public authorities
well plans to exploit the Chinese potential. The spring opened in June, 1995 a
five-storeyed shop in Shanghai engaging at least hundred and fifty million
francs in the only renovation of the building. 6 The opening of two other
shops, to Dalian and to Chengdu, is scheduled for 1996, the shop of Beijing
that must open in 1997.
Tesco seal his fate in China with China Resources Enterprise , a number of supermarkets in the country, a strategic movement to remain strong in the central market at a lower cost and to focus its resources on its recovery in the UK.
The Alliance of Tesco and China & Resources Enterprise
" Tesco and China Resources Enterprise ( CRE ) today announced they have signed a preliminary agreement and is in exclusive negotiations to combine their distribution in China to form the number one distributor in China multi - format," said Tesco said in a statement Friday.
The intention is to bring together both groups controlled by the CRE , CR Vanguard , a number of supermarkets in the country with 2,986 stores in China and Hong Kong chain , and 131 Tesco supermarkets in China in a joint venture owned 80 % by CRE and 20% in Tesco and weighing 10 million pounds of revenue ( € 11.6 billion ) .
Benefit from the growing Chinese market
A giant that highlights the "deep understanding of local customers," and the national network of Chinese public conglomerate, as well as "global experience" and the international network of Tesco, the world number three , behind Wal -Mart supermarket and French Carrefour.
Tesco , the main alliance advantage of being " consistent" with its strategy of "focusing on profitable routes for growth in high growth markets and less mature in a disciplined approach to the use of capital."
A question mark hangs instead on the future of the Tesco brand within this new entity.
Entered the Chinese market in 2004 , Tesco, whose stores are concentrated on the east coast , reached a turnover of £ 1,432 million in China for its 2012/2013 , which was only 2 % of its total sales.
According to Ishaq Siddiqi ETX Capital , Tesco therefore looking through this alliance to continue to weigh on China, but without having to invest large sums of money even to expand its presence there.
" This is a strategic decision full of common sense Tesco, the group clearly want to review its operations in China to have some presence , but less investment," said analyst AFP .
Welcome to the London Stock Exchange
This agreement is also " good news for shareholders of Tesco, as it shows that the group is their priority to inject more funds in the UK and its international operations, while maintaining a presence through a joint venture for it to maintain its market share among international supermarket chains , "he said , adding .
On the London Stock Exchange , also Tesco 's announcement was welcomed by investors , taking title to 1.11% 373.2 pence at 09:45 GMT , in a market up 0.29 %.