dragon trail-top 8 tips to market to chinese consumers_sept2011

Relationships with:

REACH & CONNECTWITH AFFLUENTCHINESE CONSUMERS BY LEVERAGING DIGITALMARKETING, TECHNOLOGY AND SOCIAL MEDIA TO INCREASE BRAND AWARENESS AND GENERATE DEMAND

DRAGONTRAIL.COM - CHINATRAVELTRENDS.COM

TOP 8 TIPS FOR MARKETING TO AFFLUENT CHINESE CONSUMERS

1. Spot the China Travel Trends2. Understand the Chinese Consumer3. Develop a Multi-Channel Plan4. Leverage the Internet as a Medium5. Develop a Relevant Chinese Website6. Be Social to Connect7. Tell your Story8. Build Relationships via Campaigns

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TOP 8 TIPS FOR MARKETING TO AFFLUENT CHINESE CONSUMERS

Spot the China Travel TrendsUnderstand the Chinese Consumer

Channel PlanLeverage the Internet as a MediumDevelop a Relevant Chinese Website

Build Relationships via Campaigns

CHINATRAVELTRENDS.COM

1. SPOT THE CHINA TRAVEL TRENDS• China Travel Market is growing• Internet is used to “Plan & Tell”

• Growing demand for more individual experiences

SPOT THE CHINA TRAVEL TRENDSChina Travel Market is growingInternet is used to “Plan & Tell”

Growing demand for more individual experiences

Chinese Travel Change3 Trends are shaping The New Chinese Tourist

1.China Outbound Tourism and Domestic Tourism is growing2.Chinese Internet and Social Media channels influence planning and research3.Chinese consumers are moving towards an experienced based choice model from a price based choice model

The New Chinese Tourists are demanding higher quality services, and moving from Traditional Tour

Groups to more individual travel experiences

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China Outbound Tourism and Domestic Tourism

Chinese Internet and Social Media channels influence

Chinese consumers are moving towards an experienced based choice model from a price based




Chinese outbound Travellersexpected to exceed 100 million by 2020.

31 34

2029

41

2003 2004 2005 2006 2007

Unit: Million person times

Source: China National Tourism Administration (CNTA)

China Outbound Traveler Number

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Chinese outbound Travellersexpected to exceed 100 million by 2020.

4757

100

46

2008 2009 2010 2020

China Outbound Traveler Number

(Expected by UNWTO)

+






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China Outbound Tourism and Domestic Tourism is

Chinese Internet and Social Media channels influence planning and research





Online Travel Research in China

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Online Travel Research in China

Source: Nielsen, 2009


Sharing trip experience in online is getting more and more popular, especially for young generations.

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Sharing trip experience in online is getting more and more popular, especially for young generations.






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China Outbound Tourism and Domestic Tourism is

Chinese Internet and Social Media channels influence





Demand for Individual Travel Experiences

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BCG points out in its Marchin China report that 95surveyed were dissatisfiedofferings, both domestic and



March 2011 Travel and Tourism95% of travel consumers

dissatisfied with current marketand international.

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2. UNDERSTAND THE CHINESE CONSUMER• Offer Chinese

• Affluent Consumer are Younger

UNDERSTAND THE CHINESE CONSUMEROffer Chinese-ready Services

Affluent Consumer are Younger

Major consumer in Outbound Travelers are young professional with high income.

22 30

9204

25

10

4

7

3

3

416

11 365

GeneralPopulation

OutboundTravelers

18

2731

2825

29 26

16

GeneralPopulation

OutboundTravelers

45-59

35-44

25-34

18-24

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Major consumer in Outbound Travelers are young professional with high income.

Business person

Government officer

Blue-collar worker

Teacher

Student

Freelancer

Seniormanagement/executives

Professionals

Clerk/white-collar worker2

10

19

29

6

25

5

34

39

32

GeneralPopulation

OutboundTravelers

USD3,660 orabove

USD2,197-3,559

USD1,174-2,196

USD566-1,173

USD565 andbelow

Source: Nielsen Outbound Travel Monitor 2011


http://www.youtube.com/user/P1ChinaLuxuryReport#p/a/u/0/v6BaIqZ8X9k

VIDEO: China's new young affluent luxury consumers

http://www.youtube.com/user/P1ChinaLuxuryReport#p/a/u/0/v6BaIqZ8X9k

VIDEO: China's new young affluent luxury consumers

3. DEVELOP A MULTI• Digital media is critical

• PR is still evolving

DEVELOP A MULTI-CHANNEL PLANDigital media is critical

PR is still evolving

4. LEVERAGE THE INTERNET• Media Influence

• Geographic Reach

4. LEVERAGE THE INTERNETMedia Influence

Geographic Reach

485 million Internet users in June2011, representing 34% of the Chinese population

Most engaged country online: 92 % contributed to social media

85% of Chinese online users approve Internet Censorship

More bloggers in China than in Europe and USA combined

Source: CNNIC; Trendspotting; Forester; iResearch

CHINA INTERNET USERS HAVE GROWN BY 1500% SINCE 2000

The Internet is their most important information source for 84.3% of netizens

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485 million Internet users in June2011, representing 34% of the Chinese population

Most engaged country online: 92 % contributed to social media

85% of Chinese online users approve Internet Censorship

More bloggers in China than in Europe and USA combined

Source: CNNIC; Trendspotting; Forester; iResearch

CHINA INTERNET USERS HAVE GROWN BY 1500% SINCE 2000

The Internet is their most important information source for 84.3% of netizens


Source: Digital Influence Index 2010

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Source: Digital Influence Index 2010 – Fleichman Hillard & Harris Interactive


Internet Penetration:USA: 80%

Opportunity for Growth in China:By 2015 – expected to be750-900 Million Online Users


http://youtu.be/XxZi6wlNC1Y

VIDEO: China Luxury Boom Moves Inland

http://youtu.be/XxZi6wlNC1Y

VIDEO: China Luxury Boom Moves Inland

5. DEVELOP RELEVANT CHINESE WEBSITES- No Straight

- Avoid Content Gaps

5. DEVELOP RELEVANT CHINESE WEBSITESNo Straight Translation

Avoid Content Gaps

Collectivism: Emphasizing values important in collectivist cultures. For example, emphasizing family theme.

Research studies indicate that attitude towards websites, the site’s interactivity and usability, as well as purchase

intentions of users are enhanced when sites are congruent with the target customers’ cultural predispositions.

(“The Culturally Customized Website”, Elsevier, 2005.)

Power Distance: Adding elements that emphasize power distance. For example, displaying awards or honors that a company or brand has received.

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Research studies indicate that attitude towards websites, the site’s interactivity and usability, as well as purchase

intentions of users are enhanced when sites are congruent with the target customers’ cultural predispositions.

(“The Culturally Customized Website”, Elsevier, 2005.)


ENGLISH WEBSITE

DRAGONTRAIL.COM - CDRAGONTRAIL.COM - CHINATRAVELTRENDS.COMCHINATRAVELTRENDS.COM

China Market Relevance:- Content is re-written, notstraight translation (addingimportant content areas, not part of the English website, i.e. location map, Chinese Restaurants, etc.)

- Content is optimized forChinese Search Engines- Website is designed forChinese consumers- Chinese website has morerelevant branding (CanadianRockies.cn)- Chinese site is hosted in China- Doesn’t link to English sites oftravel suppliers in Banff, but incorporates suppliers

EXAMPLE: BANFF

1. Straight content translation from the English website to Chinese leads to the following: Content is not written for Chinese search engines Content is not written in a way that is relevant to the market Content is missing important sections that are important for Chinese consumer’s decision

making process. That content (i.e. information about Chinese visa application process, availability of Chinese restaurants, relevant destination information, etc.) is mostly missing on the non-Chinese website. A straight translation would not include that content.

Ensuring Relevance – Avoiding Content Gaps

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We define “content/context gaps” as:> Content Gaps are pieces of information that have not been localized, or simply translated into Chinese. Content Gaps (on external websites) are pieces of information that are linked from the Chinese version website, ie the website of a partner that does not have a (fully) translated Chinese website. pieces of information that are not relevant to the Chinese audience. This could include maps that do not relate to the distance/location of China, Google maps in English, Western social media logos/links (ie. Facebook/Twitter/Youtube instead of Renren/Weibo/Youku).

“Chinese consumers associate irrelevant websites with bad offline experiences.”

Straight content translation from the English website to Chinese leads to the

Content is not written for Chinese search enginesContent is not written in a way that is relevant to the marketContent is missing important sections that are important for Chinese consumer’s decision making process. That content (i.e. information about Chinese visa application process, availability of Chinese restaurants, relevant destination information, etc.) is mostly

Chinese website. A straight translation would not include that content.

Avoiding Content Gaps


are pieces of information that have not been localized, or simply translated into Chinese. Content Gaps (on external websites) are pieces of information that are linked from the Chinese version website, ie the website of a partner that does not have a (fully) translated Chinese website. Context Gaps are pieces of information that are not relevant to the Chinese audience. This could include maps that do not relate to the distance/location of China, Google maps in English, Western social media logos/links (ie. Facebook/Twitter/Youtube instead of

“Chinese consumers associate irrelevant websites with bad offline experiences.” Source: ChinaTravelTrends.com

VisitBritain’s new Website – great use of Web 2.0great use of Web 2.0

…and VisitBritain.com in Chinese

Is it really Relevant???

…and VisitBritain.com in Chinese

Is it really Relevant???

6. BE SOCIAL TO CONNECT• Censorship vs. Local Sites

• Brand Engagement = Education

6. BE SOCIAL TO CONNECTCensorship vs. Local Sites

Brand Engagement = Education

Source: 2009/01/23

Source: New 2008 Social Technographics data reveals rapid growth in adoption, 2008/10/20

CHINA SOCIAL MEDIA DOMINATES THE US: Chinese netizens are more engaged

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Source: Chinese Social Technographics Revealed, 2009/01/23

CHINA SOCIAL MEDIA DOMINATES THE US: engaged in creating/sharing content


China’s digital media landscape is dominated by

Government censorship

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China’s digital media landscape is dominated by local players.

Local players appeal to domestic users


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March 2011


35 countries and regions have weibo.com accounts

Total Followers

1

2

3

4

5

UK: 63478

Singapore: 43751

Czech Republic: 42004

Canada: 40115

Australia: 35830

Weibo Weibo = Twitter + Facebook + YouTube + News= Twitter + Facebook + YouTube + News

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Czech Republic: 42004

Australia: 35830

= Twitter + Facebook + YouTube + News= Twitter + Facebook + YouTube + News


Source: Digital Influence Index 2010

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Source: Digital Influence Index 2010 – Fleichman Hillard & Harris Interactive


P1 | SNS for the Affluent Class

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P1 | SNS for the Affluent Class


7. Tell Your Story• Leverage KOLs (Key Opinion Leaders)

• Encourage Sharing of Travel Experiences Online

7. Tell Your StoryLeverage KOLs (Key Opinion Leaders)

Encourage Sharing of Travel Experiences Online

VIDEO: Tourism New Zealand KOL Campaign

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VIDEO: Tourism New Zealand KOL Campaign


8. BUILD RELATIONSHIPS VIA CAMPAIGNS• Combine Viral Spread with Engagement

• Capture Customer Data

8. BUILD RELATIONSHIPS VIA CAMPAIGNSCombine Viral Spread with Engagement

Capture Customer Data

DRAGONTRAIL.COM - C

Virtual Trip Campaign


Virtual Trip CampaignThree virtual itineraries around Canada were designed. Participant who complete one route will have a chance to win a free trip to Canada. In totoal three free trips, 50 iPads and 1000 U-disks as prizes.

RESULTS:3.3 Million Visitors250 K Registrations39,000 Followers (SW)


Awards 2011

DRAGON TRAIL SERVICESDRAGON TRAIL SERVICES

Satellite Sites

Campaign Pages

Web Analytics

Web Analytics

Digital Marketing

Consumer Internet

Tuantuanle.com

Slow.travel

Tripshow.com

Your Digital SiteWeb / Mobile

External Efforts

Marketing Database

Chinese Web Site

Email Marketing

SEO/SEM …

Dragon Trail Services

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Satellite Sites

Campaign Pages

Web Analytics

Web Analytics

Travel Technology

Itinerary Engine

Trip Pages

Social Media MarketingManagement

Campaign

Strategy

Your Digital SiteWeb / Mobile

External Efforts

Marketing Database

Booking/Search


58

GOAL: Increase Brand Awareness & Direct Sales

– Guide Strategy Execution– Build a foundation for brand engagement

(Social Media ready and Search Engine optimized Website for the Chinese Market)

– Create online touch-points– Develop relevant content– Maintain, monitor, engage, and evaluate– Gain insights from data and social media– Combine and offline and online tactics– Drive campaigns that convert– Increase revenues

Dragon Trail Digital Strategy Approach

DRAGONTRAIL.COM -58

GOAL: Increase Brand Awareness & Direct Sales

Build a foundation for brand engagement(Social Media ready and Search Engine optimized Website for the Chinese Market)

Maintain, monitor, engage, and evaluateGain insights from data and social mediaCombine and offline and online tactics

Dragon Trail Digital Strategy Approach


3. Set-up profiles on targeted ChineseSocial Media profiles, seed relevant content, engage with the audience, andmonitor for brand reputation.

4. Execute an innovative social media campaign that drives traffic and captures consumer data, leveraged for future initiatives.

5. Interact with influential bloggers and manage Dragon Trail’s Familiarization Trip 2.0 Program, designed to create buzz about the brand.

Dragon Trail Program Execution

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1. Determine the best possible market strategy to build brand awareness and reach the target audience

2. Develop a culturally-relevant Chinese Website, consistent with the brand message, optimized for Chinese search engines, designed for the Chinese target market, with engaging content, and hosted in China with state of the art technology.

Dragon Trail Program Execution


Dragon Trail Digital Strategy Planning

Integrated Digital Marketing & Social Media Campaigns

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Dragon Trail Digital Strategy Planning

Integrated Digital Marketing & Social Media Campaigns


1. Website hosting in China is critical in order to ensure organic local search engine optimization, and optimal accessibility.

2. Constant optimization of the social media critical in order to ensure content seeding, consumer engagement, and brand reputation.

3. A solid technology partner is vital, especially when running campaigns, to ensure data quality and protect the database from hackers.

4. Local representation, especially with intimate knowledge and relationships in the travel and internet space in Chinacritical in order to ensure successful strategy execution.

…in short: YOU NEED A TRUSTED LOCAL ADVISOR IN CHINA.

A couple important points…

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is critical in order to ensure organic local search engine optimization, and optimal accessibility.

optimization of the social media landscape is critical in order to ensure content seeding, consumer engagement, and brand reputation.

is vital, especially when running campaigns, to ensure data quality and protect the database

Local representation, especially with intimate knowledge and travel and internet space in China

critical in order to ensure successful strategy execution.

TRUSTED LOCAL ADVISOR

A couple important points…


WANT TO KNOW MORE ABOUT THE CHINESE TRAVEL MARKET?

www.ChinaTravelTrends.com (Twitter: @CnTravelTrends)

Access the latest trends on and join the online community

WANT TO KNOW MORE ABOUT THE CHINESE TRAVEL MARKET?

www.ChinaTravelTrends.com (Twitter: @CnTravelTrends) - Published by Dragon Trail & COTRI

Access the latest trends on ChinaTravelTrends.comonline community for free.

Essential China Travel Trends BookWith forewords from UNWTO, WTTC, and PATA

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Essential China Travel Trends BookWith forewords from UNWTO, WTTC, and PATA

“… Already the world’s fourth mostvisited destination today, by 2020,China is expected to become theleading international tourismdestination and the fourth largestoutbound travel market. Thiscomprehensive study of travel trends inChina provides invaluable insights intoone of the fastest growing travel andtourism markets in the world."

Taleb Rifai - Secretary General,World Tourism Organization (UNWTO)


China Travel Social Media Seminars(DT also organizes company-specific seminars upon request,

and is available for speaking engagements world

Select Speaking Engagements:

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China Travel Social Media Seminarsspecific seminars upon request,

and is available for speaking engagements world-wide.)“ This was a very important andinsightful seminar, organized byDragon Trail. Social Media in Chinalooks very complex and like a wholelot of work, but then again, peopleare talking with or without us - so weare definitely better off if we take partand try to influence it."

Oliver Sedlinger - China Director,German National Tourist Board (DZT)


The Chinese Outbound Tourists will continue to travel all over the world. Are you ready for them?

TRAINING & COACHING CERTIFICATION

The Chinese Outbound Tourists will continue to travel all over the world. Are you ready for them?

PLEASE CONTACT COTRI (CHINA OUTBOUND TOURISM RESEARCH INSTITUTE) FOR MORE INFORMATION:

WWW.CHINA-OUTBOUND.COM

RESEARCH

“We treat clients as partners”

-Based in Beijing, Shanghai, Xian (Tech Ctr.)- Unique combination of unmatched expertise

- Best in class capabilities & award- Innovative cost model & strategic approach

- Growing list of clientele of leading travel brands

“We treat clients as partners”

Based in Beijing, Shanghai, Xian (Tech Ctr.)Unique combination of unmatched expertise

Best in class capabilities & award-winning solutionsInnovative cost model & strategic approach

Growing list of clientele of leading travel brands

JENS THRAENHART

Relationships with:

Awards 2011

Get insights & trends:

www.DragonTrail.comwww.ChinaTravelTrends.com

Twitter: @CnTravelTrendsJoin our Community:

www.Community.ChinaTravelTrends.com

Contact me:

LinkedIn: ThraenhartTwitter: @JensThraenhartFacebook: JensThraenhart

E-Mail: [email protected]

dragon trail-top 8 tips to market to chinese consumers_sept2011

Business

chinese internet

chinese population

chinese consumer3

chinese travel change3

new chinese tourist1

chinese online users

affluent chinese consumers1

relevant chinese websites