For many British brands, China presents both an enormous opportunity and a unique set of challenges. With a growing middle class, an appetite for niche and premium products, and a digital landscape that moves at lightning speed, success in China requires more than just exporting a product. It demands cultural awareness, channel-specific strategies, and a long-term vision.

Brewing success and bottling heritage

Both companies emphasise that entering China is not about a quick win but a long-term journey. Taylors of Harrogate, makers of the beloved Yorkshire Tea, first began exporting to China in 2005 via a distributor. The company has since faced the complexities of evolving retail and digital channels. “Over the last 20 years we’ve seen distributors come and go for various reasons,” says Sarah Henderson, International Business Manager for Asia, Central & South America. “We’ve always believed in building long-term relationships rather than going for a quick win.”

Similarly, Jeremy Taylor, Group Commercial Director at Boadicea the Victorious, stresses the importance of patience. “It’s not about making a quick buck this year,” he says. “It’s about building something lasting over five or ten years.”

Both brands have learned the hard way that applying Western market assumptions to China can backfire. Taylors experienced this in 2014 when an online sales agreement – not fully understood internally – disrupted pricing and undercut its own distributors. Boadicea, too, saw its early China efforts face a number of distribution challenges. Both pulled back and regrouped, now approaching the market with far more intent and clarity.

Digital First, Always

One of the biggest lessons both brands share is the critical importance of digital-first strategies.

“In the West, you start with bricks-and-mortar, then go online,” says Henderson. “In China, it’s the opposite. You build your presence digitally first – then the rest follows.”

Taylors is now launching its own Tmall store via e-commerce partner WPIC, having previously experimented with a Little Red Book (Xiaohongshu) page. Boadicea, meanwhile, is leveraging UK-based Chinese influencers and building brand awareness online before entering physical retail. “You need people to understand the brand first,” says Taylor. “If it’s not for you, then it’s not for you. But if it is, we want them to fall in love with it.”

This approach is as much about protecting brand integrity as it is about visibility. Both brands have had to deal with unauthorised listings, price inconsistencies, and confusion caused by legacy distribution models. Establishing official digital channels gives them control over how the brand is presented and sold.

KOLs, KOCs and Content

For both Taylors and Boadicea, influencer engagement – through key opinion leaders (KOLs) and key opinion consumers (KOCs) – is central to their strategy.

“Chinese consumers want more than just a product – they want the story,” says Henderson. “What really appeals is the Britishness of our tea. The idea of English breakfast tea and the culture around how it’s consumed in the UK really resonates.”

Boadicea shares this emphasis on storytelling. With handmade pewter bottles created by a 200-year-old Birmingham firm that also worked on Game of Thrones and Harry Potter, the brand leans into its dramatic heritage. “If you want a fragrance that helps you disappear into the background, then don’t wear ours,” Taylor says.

The CBBC has played a vital role in guiding both brands, helping with influencer partnerships and introductions to local platforms and networks. “Working with CBBC made sense,” says Taylor. “You’ve got to make the right connections and understand the rules.”

Targeting the Right Audience

A major insight for both brands has been the importance of targeting Tier 2, 3 and even Tier 4 cities – rather than focusing solely on saturated Tier 1 urban centres like Shanghai or Beijing.

“Traditionally we’ve focused on the eastern seaboard,” says Henderson. “But online allows us to reach beyond that. Tier 3 and Tier 4 cities are still massive – that’s where you can learn your trade and grow your following.”

Boadicea sees similar potential in China’s emerging cities. “Luxury is being democratised,” says Taylor. “People are more adventurous – not just in Tier 1 cities but across the board. Even a small sliver of that middle class is a huge market.”

Doing It the Right Way

Both Taylors and Boadicea underline the importance of compliance, planning and market understanding.

Boadicea is midway through the complex product registration process in China, a vital step for any cosmetics or fragrance brand. “The creativity of our perfumers is not always aligned with compliance across all international markets,” Taylor jokes. “But you have to follow the rules if you want to do business there.”

Taylors, too, has had to learn how to manage distributors, pricing structures and unauthorised resellers. “Everything is interconnected in China,” Henderson notes. “You need a clear structure – who takes what, at what price – otherwise it causes issues.”

Brand First, Sales Second

Both brands are taking the long view: build the brand first, then scale the sales.

For Taylors, that means leveraging digital platforms to test what appeals to Chinese consumers. “We did some research to see if we even deserved a place in China,” Henderson admits. “But we found strong resonance with 25- to 40-year-old women. It confirmed we’re not a cheap tea – we appeal to the middle class, and there’s a growing audience for what we offer.”

For Boadicea, it’s about seeding the brand before making the leap into luxury department stores like SKP or Lane Crawford. “We want the right kind of awareness,” says Taylor. “The experience needs to be consistent – online or offline.”

A Cautious Confidence

In their own ways, Taylors of Harrogate and Boadicea the Victorious are showing that British brands can succeed in China – by respecting the market, understanding its nuances, and putting in the groundwork.

“You’ve got to find the right partners,” Taylor advises. “And sometimes that means waiting. But if the brand is strong and you do it properly, the results will come.”

Join CBBC’s China Consumer 2025 to learn more about China’s consumer sector.

The post How Two British Brands Are Engaging Chinese Consumers appeared first on Focus - China Britain Business Council.

China’s social commerce space revolves not around ambient influencer posts, but an intricate ecosystem where content, commerce and credibility converge. British brands stepping into this arena must unlearn much of what they assume about sponsorship in the UK and embrace the layered roles of KOLs (Key Opinion Leaders), KOCs (Key Opinion Consumers) and KOSs (Key Opinion Sellers).

“China is a global leader in influencer marketing, with the market for key opinion leaders (KOLs) reaching billions of pounds worth of sales, a scale unmatched in the West,” says CBBC’s Director, Consumer Economy Antoaneta Becker. KOLs like Li Jiaqi the ‘lipstick king‘, regularly drive hyper‑growth via marathon livestreams. Becker reminds us that “big isn’t always better” — sometimes niche, mid-sized creators outperform giants on return on investment. KOCs —micro‑influencers with smaller but highly engaged followings — often play the most effective role in initial trust building. They provide authenticity, especially among Chinese consumers who tend to trust peer reviews more than polished celebrity endorsements.

Platform dynamics differ sharply, too. In the UK, an influencer post may raise awareness; purchases generally happen later, off‑platform. In China, platforms like Douyin (short video plus Mini Shops), Xiaohongshu (content-led discovery), Taobao Live (livestream‑driven sales) and WeChat mini‑programs link community, content and commerce in real time. A single livestream can sell out stock in minutes if logistical readiness, message alignment and platform strategy are in place.

The contrast is striking: whereas UK shoppers are comfortable with keyword search and independent product research, Chinese consumers rely on multiple touchpoints — sometimes eight or more — before buying, placing influencer-driven livestreams or lifestyle content at the centre of the journey.

This difference produces very real errors. UK brands can fall into the traps of misallocating budgets, chasing marquee KOLs without matching audiences or not ensuring inventory readiness. Some refused to adapt messaging or packaging after KOC-led feedback, and ultimately saw partnerships cancelled or campaign efficacy drop dramatically.

By contrast, successful brands use KOCs early to validate messaging and packaging through Influencer Focus Group or similar sessions. Once the story resonates, they scale via KOL livestream collaborations — yet always with careful alignment of inventory, platform mechanics and sales fulfilment. In a recent CBBC panel, Ntola Obazee of Emma Bridgewater explained that “live streaming in China now accounts for 10% of Emma Bridgewater’s sales, with live streamers often creating videos of the unboxing experience and doing live reviews of products” — demonstrating the power of co-created content paired with real-time conversion via influencer formats.

The benefits are compelling: livestream-led campaigns can produce dramatic sales spikes, micro‑influencers seed grassroots trust, and private‑domain marketing via WeChat mini‑programs or group chats fosters loyalty and repeat purchase. WeChat groups in China can be very effective if key opinion communities are pushing products through and mobilising with great content and brand support.

However, the influencer economy brings real risk. Fake followers and inflated engagement are widespread; studies suggest up to 45% of influencer metrics may be fabricated, often through Multi-Channel Network (MNC)-driven embellishment. High-profile scandals — such as livestreamer Viya’s abrupt ban for regulatory infractions — can trigger blackout-like disruptions and literary vanish entire campaign plans overnight.

Cost structures also diverge. In the UK, flat‑fee sponsorship is common; in China, KOL deals often involve commission-based remuneration (typically 10–30 %) or MCN-managed bundles. Brands must account not only for talent cost but stock readiness, logistics and contingency planning — missing stock at the moment of conversion can immediately undermine credibility.

To compete effectively, UK brands must recalibrate their strategy. They should engage micro‑influencers early, adapt assets and packaging via focus testing, co-design livestream programmes, plan inventory and logistics robustly, and use KOLs and KOCs in tandem to seed trust and scale. They must prepare to build community in WeChat private domains rather than assume platform checkout alone will convert UK-style posts into sales.

China’s influencer ecosystem demands theatre and trust anchored in real-time commerce. Brands that replicate a UK influencer playbook — isolated macro-influencer mentions or studio shoots — are unlikely to make an impact. Those that design a multi-tiered influencer strategy — seed with KOCs, amplify with KOL livestreams, convert on Douyin or Taobao, and retain via WeChat — stand to perform at a level far beyond UK norms.

UK brands engaging in China’s social commerce must treat influencer marketing less as sponsorship and more as an integrated sales channel, rooted in live content, platform-native formats, tight logistics and trust-led storytelling. Those that get the ecosystem right unlock not just sales spikes, but scalable, sustainable consumer journeys.

Join CBBC’s China Consumer 2025 to learn more about the social selling sector in China

The post How is China’s influencer economy different from the UK’s? appeared first on Focus - China Britain Business Council.

China’s decision to reduce or remove some retaliatory tariffs has encouraged a cautious optimism among British businesses. Yet while the trade climate appears to be improving, brands entering or re-entering the Chinese market are faced with the more complex challenge of navigating a complex consumer ecosystem shaped by policy shifts, cultural expectations and rising nationalism.

The reality is that while some trade barriers have lowered, others, especially those linked to regulation, culture and politics, remain significant.

Regulatory headwinds

China’s business environment has become more tightly governed in recent years. Foreign firms must now comply with a range of new requirements, from data privacy and security laws to investment restrictions and evolving digital content regulations.

Entire industries have undergone sweeping regulatory changes. From livestream ecommerce to education, the rules are continually being rewritten—often at short notice and with opaque enforcement. Understanding these changes is critical for British brands seeking market entry or expansion.

“In an unstable environment, I believe in a ‘Ready, fire, aim’ approach. Move quickly, test early, then refine your strategy. Those who wait for certainty may miss the window,” says Yang Ding, Founder and Director of New Silk Route Digital.

New Silk Route supports British brands across sectors such as sport, education and culture. Their work involves localising campaigns for Chinese audiences through livestreaming, influencer partnerships and culturally attuned storytelling. “It’s not just about exporting products,” Yang adds. “It’s about exporting values, and doing so in a way that resonates locally.”

Cultural literacy and soft power

British culture retains a powerful pull for many Chinese consumers. From the Premier League to Harry Potter, the UK continues to enjoy strong cultural cachet. But audiences today demand more than surface-level branding. They want relevance, authenticity and an understanding of what truly matters to them.

This was evident in the years leading up to the pandemic, when tourism was a central pillar of UK–China engagement. Public-private collaboration enabled large-scale, coordinated efforts to attract Chinese visitors to Britain’s regions.

“Before the pandemic, when China was a key visitor market and the UK government was investing heavily to keep Britain competitive, we had the opportunity to work with some of Britain’s most popular tourism destinations,” says Meimei Zhao, Founder of Variety Plus. “One standout project was in collaboration with London & Partners, where we supported the development and launch of tourism products designed specifically for the Chinese market — connecting London and Manchester with surrounding regions.”

Variety Plus helps UK and European brands expand into China, and Chinese brands go global. Zhao credits the success of these campaigns to the Discover England Fund — a £40 million government initiative that united airlines, hotels, attractions, and metro mayors around a shared vision. “It was a strong example of what’s possible when public and private sectors align,” she says. “Sadly, in the absence of sustained, large-scale funding for multi-year programmes, initiatives of this scale have become much harder to deliver.”

Despite this, British institutions and brands continue to foster cultural links through partnerships, creative collaborations and targeted campaigns — especially in education, design, heritage and lifestyle.

Shifting consumer dynamics

Today’s Chinese consumers are more value-driven, digitally fluent and locally proud. While international brands are still welcomed, especially in sectors like skincare, nutrition and premium fashion, they face stiff competition from high-quality domestic players.

British brands must bring more than heritage. They need relevance and adaptability, especially online. Digital ecosystems such as WeChat, Xiaohongshu and Douyin dominate daily life. Brands that localise their presence within these platforms are best placed to build lasting engagement.

Live commerce and influencer-led marketing are no longer optional, they’re central to the brand discovery journey. But execution matters. Chinese consumers are sensitive to tone, aesthetics and messaging. A misstep can be costly, while a well-executed campaign can deliver exponential returns. “Influencers in China are not just marketers,” says Yang Ding. “They’re cultural translators. The right partnership can open doors that advertising alone never will.”

Some of the most successful British brands in China today are those that combine product excellence with credible storytelling. This often involves deeper collaborations with local communities, creators and cultural tastemakers.

Political context and risk

While trade relations may be warming in some areas, wider UK–China relations remain complex. Issues such as technology, national security and academic exchange continue to shape the bilateral relationship. And for brands, politics cannot be ignored.

Chinese consumers are increasingly attuned to perceived slights, whether real or manufactured. Misjudged campaigns, poorly timed statements or partnerships with controversial figures can quickly spark backlash. State media and social platforms can amplify reputational risk within hours.

As a result, many brands are treading carefully. Some are pivoting to lower-risk sectors, such as health and wellbeing, education technology or sustainability. Others are investing more in market intelligence and crisis planning.

Still, there are windows of opportunity. Regional governments in China remain enthusiastic about foreign investment, particularly when it brings innovation, jobs or exports. British firms with a clear offer and flexible delivery models can still gain traction—if they act decisively. “We are in an era where agility beats certainty,” says Yang Ding. “It’s no longer about finding the ‘perfect’ strategy. It’s about learning fast, acting local, and building real human connections. That’s how you build brand equity in China today.”

Join CBBC’s China Consumer 2025 to learn more about the consumer and retail sector in China

The post Navigating the Chinese consumer market in a post-tariff world appeared first on Focus - China Britain Business Council.

Once a rarefied pursuit of the few, luxury in China is undergoing a subtle but profound transformation. Over the past two decades, global luxury brands from Burberry to Bottega Veneta have raced to establish themselves in the world’s second-largest economy. The assumption was simple: as China’s middle class expanded, so too would demand for high-end goods. But this narrative is shifting.

Today, luxury in China is no longer defined by price tags or foreign logos alone. It is increasingly shaped by access, values, and evolving consumer identities. British brands hoping to capture or retain market share must understand not only the changing economic landscape but also how Chinese consumers are redefining what luxury means.

Luxury beyond the logo

The early 2010s saw luxury sales in China surge, fuelled by a growing cohort of affluent urban consumers. This gave rise to what was sometimes caricatured as logo-driven consumption: high-profile purchases of recognisable Western labels, often as status symbols. Yet over time, Chinese consumers have become more discerning. They are better travelled, more digitally connected, and more brand-savvy. This, says Meimei Zhao, Founder of intercultural branding agency Variety Plus, reflects a natural evolution.

“The very definition of luxury means it will never become a mass-market product simply because of the rise of a particular consumer class in any one market,” Zhao explains. “About a decade ago, China was indeed seen as a fiercely contested market for luxury brands. But I believe that was more a reflection of a particular stage in China’s economic development, rather than a sign of permanent mass adoption.”

Today’s Chinese consumers increasingly reject the notion of luxury as ostentation. Instead, they seek authenticity, craftsmanship and cultural meaning. That doesn’t mean the appetite for premium products is waning. Rather, it is being expressed differently, with a focus on quality, story, and personalised experience.

This shift has prompted commentators to describe China as “democratising luxury” not in the sense of making it cheap or ubiquitous, but by expanding who luxury is for, and how it is understood. It also reflects a generational change. Younger consumers, especially Gen Z and post-95s, are less interested in traditional luxury status symbols and more drawn to lifestyle values, sustainability and self-expression.

The rise of “accessible luxury”

Global consultancy Bain & Company has tracked this evolution. According to its 2023 China Luxury Report, while luxury spending in China is set to recover after the pandemic, it will be driven less by conspicuous consumption and more by niche, lifestyle-led preferences. Domestic and lesser-known brands have started gaining traction, and international labels must now compete not only on prestige but on values.

This has led to the rise of “accessible luxury”, products that maintain high standards of quality and design but are not priced out of reach for upper-middle-class consumers. Examples include the success of brands like Coach and Longchamp, or the recent popularity of niche fragrance brands such as Le Labo and Jo Malone.

The trend also plays out online. Social commerce platforms like Xiaohongshu and livestreaming on Taobao have enabled more consumers to engage with luxury in a personal and interactive way. Rather than gatekeeping the luxury experience, these channels offer consumers the tools to explore, compare and curate their own tastes—further democratising the sector.

Opportunity meets complexity

But for foreign brands, this democratisation brings both opportunity and challenge. Yang Ding, Founder of New Silk Route Digital, which promotes British brands in China, warns that the playing field is more competitive than ever.

“This trend creates a vast new customer base, but also fierce competition,” he says. “British brands must lean into their core strengths — heritage, quality, and brand narrative — rather than joining a race to the bottom on pricing. They should not only think about the current opportunity, but build their relevance for China’s future generations.”

This relevance may lie in a brand’s backstory. British luxury is often defined by legacy and craftsmanship — values that resonate strongly with Chinese consumers when told well. For instance, Fortnum & Mason’s tea traditions or Barbour’s waxed jackets carry cultural weight that extends beyond the product itself. When communicated through the right channels — via influencers, livestreams, and curated experiences — such stories can offer a unique appeal in a crowded market.

Zhao agrees. “As Chinese consumers become more experienced and sophisticated in their approach to luxury, they’re also becoming more rational and better able to appreciate truly great products,” she says. “In this context, many British heritage brands with long histories — some over a hundred years — continue to thrive and are still highly valued by Chinese consumers.”

Post-pandemic shifts

The COVID-19 pandemic further accelerated this shift in consumer mindset. With outbound tourism largely halted between 2020 and 2023, domestic consumption became more important than ever. Luxury brands responded by investing heavily in their China presence: launching local boutiques, hiring Mandarin-speaking staff, and developing country-specific campaigns.

But even as international travel resumes, Chinese consumers are not simply reverting to pre-pandemic behaviours. There’s greater expectation for localisation, tailored storytelling, and omnichannel experiences. From store design to digital presence, brands are expected to understand local tastes, engage in culturally relevant ways, and demonstrate a long-term commitment to the market.

At the same time, macroeconomic headwinds are tempering spending. According to the IMF, China’s GDP growth is expected to moderate to around 4.6% in 2025, reflecting property sector woes and subdued global demand. Consumers, especially younger ones, are more cautious with their money, making value for money — and emotional connection — more critical than ever.

What British brands should do next?

So, how should British luxury brands respond? First, don’t assume old rules apply. Price alone does not define luxury in China. Nor does mere foreignness guarantee desirability. Instead, invest in cultural literacy. Understand the values that matter to today’s Chinese consumers: identity, well-being and individuality.

Second, tell your story well. Whether it’s a 19th-century craftsman’s technique or a Queen’s warrant, heritage must be made emotionally resonant. Chinese consumers respond to authenticity but it must be made relevant, not just historical.

Third, go digital but do it smartly. Partnering with the right influencers (KOLs) or livestreamers can amplify your message, but the choice must align with your brand’s tone and values. Be ready to localise not just the language, but the messaging.

Finally, think long term. As Yang Ding puts it, the key is to “build your relevance for China’s future generations.” That means resisting the urge to over-expand or chase short-term returns. Instead, focus on brand consistency, community building, and cross-generational engagement.

A shifting but enduring allure

China may be democratising luxury but it is not diluting it. If anything, the market is becoming more discerning. The opportunity for British brands lies not in mass appeal, but in meaningful connection. Those who adapt with integrity, by staying true to their heritage while embracing local innovation, can thrive in this complex, fast-moving landscape.

In doing so, they may find that their definition of luxury evolves too, not just as a product, but as an experience, a feeling, and a relationship that grows across borders and generations.

Join CBBC’s China Consumer 2025 to learn more about the luxury and retail sector in China

The post China is democratising luxury – what does this mean for your brand? appeared first on Focus - China Britain Business Council.

In the bustling marketplaces of Shanghai and Beijing, where modernity intertwines with tradition, UK brands have carved a unique niche among Chinese consumers. From the tartan elegance of Burberry to the refined engineering of Jaguar Land Rover, British products are often synonymous with luxury, craftsmanship, and a storied heritage. Yet, as China’s consumer landscape evolves, driven by rising affluence, digital innovation, and cultural pride, the perception of UK brands is not static. It is a complex interplay of admiration for British legacy and demand for relevance in a market that increasingly celebrates its own identity.

The allure of British brands in China is deeply rooted in their association with quality and authenticity. For decades, Chinese consumers have viewed products labelled “Made in Britain” as hallmarks of sophistication and reliability. The UK is associated with qualities like ‘trustworthy’ and ‘reliable’. This perception stems from Britain’s long history of craftsmanship, from Savile Row tailoring to Wedgwood ceramics, which resonates with affluent Chinese consumers seeking status and prestige. The concept of “keeping face,” where social image is paramount, further amplifies the appeal of British luxury goods. Owning a Rolls-Royce or a Burberry trench coat signals not just wealth but discernment, aligning with the aspirations of China’s growing middle and upper classes.

However, this admiration is not unconditional. Chinese consumers, particularly the younger, tech-savvy generation, are increasingly sophisticated and discerning. Young Chinese consumers value foreign cultures and products, but their attitudes toward Western brands can be tempered by slightly negative perceptions of corporate social responsibility (CSR) initiatives. This suggests that while UK brands benefit from their heritage, they must actively engage with local values to maintain relevance. For instance, Burberry’s attempt to blend British heritage with Chinese elements, such as incorporating Chinese characters into its iconic check scarves, met with resistance from some consumers who found it incongruent. This highlights a critical challenge: UK brands must navigate the fine line between preserving their British identity and adapting to Chinese cultural nuances.

The rise of the “guochao” phenomenon — those choosing to buy domestic goods due to nationalism — further complicates this dynamic. Guochao reflects a surge in pride for Chinese heritage and domestic brands, driven by political and socio-economic undercurrents. Chinese consumers no longer universally lionise foreign brands, as evidenced by the backlash against H&M over its stance on Xinjiang cotton. This shift does not spell doom for UK brands but demands a strategic pivot. Successful brands have leaned into localisation, embedding themselves in Chinese culture while retaining their British essence. For example, Diageo, the parent company of Johnny Walker, has seen double-digit growth in China by creating limited-edition whiskies, such as the Forbidden City Blue Label, tailored for Chinese festivals like Lunar New Year. Such initiatives resonate with consumers who value cultural relevance alongside quality.

Social media and key opinion leaders (KOLs) play a pivotal role in shaping perceptions. China’s digital landscape, dominated by platforms like WeChat, Douyin, and Xiaohongshu, is a battleground for brand visibility. UK brands like Jo Malone have capitalised on this by partnering with popular KOLs and creating immersive campaigns, such as the Paddington Bear-inspired Orange Marmalade fragrance promotion, which combined social media engagement with offline installations like a Shanghai subway takeover. These efforts bridge the gap between heritage and modernity, appealing to younger consumers who are both socially savvy and culturally conscious.

Economic challenges add another layer of complexity. Recent reports indicate a slowdown in China’s luxury market, with companies like LVMH and Burberry reporting sales declines in 2024. Amid economic uncertainty, Chinese consumers are reining in spending, making it imperative for UK brands to differentiate themselves. Heritage alone is not enough; brands must tell compelling stories that resonate emotionally. Jaguar Land Rover, for instance, has transformed its image in China by creating culturally immersive experiences, such as the Range Rover House in Chengdu, which blends shopping with traditional tea culture. This approach not only showcases British craftsmanship but also aligns with local values, fostering a deeper connection with consumers.

Compliance and market entry strategies also influence perceptions. Kristina Koehler-Coluccia of Woodburn Accountants and Advisors emphasises that issues like intellectual property protection and contract enforcement remain critical for UK brands entering China. Partnering with local distributors who understand the market is essential to avoid price wars and ensure brand consistency. Waitrose, for example, has navigated regulatory challenges to offer products like shortbread and whisky, which align with Chinese consumers’ interest in British goods. By maintaining its heritage while adapting to local tastes, such as promoting afternoon tea experiences, Waitrose reinforces its premium image.

The demographic diversity of Chinese consumers further shapes perceptions. Younger consumers, particularly those in first- and second-tier cities, are more willing to pay premiums for high-quality imported products, associating them with a leisurely lifestyle. In contrast, older consumers may prioritise price over quality, though this is shifting as affluence grows. Ethnic minorities, as noted in a 2025 study, show less enthusiasm for China-Chic products compared to Han Chinese, suggesting that UK brands may need tailored strategies for different consumer segments. This diversity underscores the need for UK brands to view China not as a monolith but as a multifaceted market requiring nuanced approaches.

Looking ahead, UK brands must balance heritage with innovation. The success of companies like Wedgwood, which has opened 29 stores in China by leveraging its British craftsmanship through live-streaming campaigns, demonstrates the power of speed and cultural sensitivity. Similarly, Fortnum & Mason has connected with Chinese consumers by emphasising lifestyle experiences and sustainability, aligning with shifting consumer values. These examples illustrate that while the “Made in Britain” label remains a powerful asset, it must be paired with storytelling that resonates with China’s dynamic consumer base.

The post How do Chinese consumers perceive UK brands? appeared first on Focus - China Britain Business Council.

The decision to remain childfree in China is a relatively new phenomenon, rooted in a blend of economic, social and cultural factors. Historically, large families were a cornerstone of Chinese society, supported by Confucian values that emphasised familial duty and lineage. However, rapid urbanisation, rising living costs and changing attitudes among younger generations have challenged these traditions. According to a 2024 report by the China Population and Development Research Centre, the fertility rate in China dropped to 1.1 children per woman, one of the lowest globally, reflecting a growing preference for childfree lifestyles among urban millennials and Gen Z. This shift is particularly pronounced in tier-one cities like Shanghai and Beijing, where economic pressures and career demands often take precedence over starting a family.

One of the most significant trends within the childfree parent sector is the prioritisation of personal freedom and self-fulfilment. Young Chinese professionals, particularly those born in the 1980s and 1990s, are increasingly valuing experiences over traditional milestones like parenthood. A 2025 survey by Totem, published in partnership with Campaign Asia, found that 62% of Chinese consumers aged 25-35 cited financial independence and personal growth as their top life goals, with only 18% prioritising parenthood. This focus on self-fulfilment has fuelled demand for premium experiences, such as travel, dining and wellness, as childfree individuals redirect disposable income towards personal enrichment. For British brands, this presents an opportunity to market luxury goods and services that align with these aspirations, from high-end travel packages to artisanal food and beverage offerings.

Economic pragmatism is another driving force behind the childfree movement. The soaring cost of raising a child in China, estimated at £60,000 per child until the age of 18, according to a 2024 report by the South China Morning Post, has deterred many from parenthood. Coupled with stagnating wages and a competitive job market, many young Chinese see childfree living as a way to maintain financial stability. This economic reality has given rise to the “DINK” (Double Income, No Kids) lifestyle, where couples leverage their dual incomes to invest in high-quality products and experiences. Luxury brands, in particular, are capitalising on this trend. Chinese consumers are holding onto their cash but are willing to spend on luxury when confidence returns, with the spring/summer 2025 season expected to see new product launches at more accessible price points. British heritage brands like Burberry or Jaguar Land Rover, which combine prestige with emotional storytelling, are well-positioned to appeal to this demographic by emphasising quality and exclusivity.

The childfree parent sector is also driving innovation in China’s health and wellness industry, a market projected to reach £50 billion by 2025. Childfree individuals, particularly Gen Z and millennials, are increasingly investing in self-care, from fitness subscriptions to mental health services. Holland & Barrett’s 2025 China Chat event highlighted how young Chinese consumers are leading global trends in wellness, with a focus on premium supplements and organic products. This aligns with a broader cultural shift towards preventative health, as childfree consumers have the time and resources to prioritise their physical and mental well-being. British brands with a heritage in health and wellness, such as The Body Shop, can tap into this demand by offering products that resonate with the values of sustainability and self-care that these consumers hold dear.

Technology is another arena where the childfree parent sector is making its mark. With fewer familial obligations, these consumers are early adopters of digital innovations, from smart home devices to AI-driven fitness apps. China’s pet industry, often a proxy for the childfree sector, is expected to reach £113.9 billion by 2025, driven by young, tech-savvy consumers investing in pet tech like smart feeders and cameras. This tech enthusiasm extends to other areas, such as virtual influencers and the metaverse, which are gaining traction as childfree consumers seek novel digital experiences. British tech firms, particularly those specialising in software-as-a-service (SaaS) solutions, could find a receptive market by offering tailored digital tools that enhance lifestyle convenience.

Social media plays a pivotal role in shaping the childfree parent sector’s identity and consumption habits. Platforms like Douyin and RED are not just marketing channels but cultural hubs where childfree consumers connect and share their lifestyles. A 2025 CBBC report on China’s consumer market emphasised the rise of “swarms”, spontaneous gatherings driven by online buzz, where childfree individuals seek community and excitement through pop-up events and brand activations. British brands can leverage this trend by creating immersive, shareable experiences, such as pop-up tea ceremonies or fashion showcases that blend British heritage with local relevance. “Success in China requires staying true to brand heritage while adapting to local consumer behaviours,” said Kristina Koehler-Coluccia, Head of Business Advisory at Woodburn Accountants and Advisors.

Despite the opportunities, entering the childfree parent sector comes with challenges. Intellectual property protection and regulatory compliance remain critical, particularly in sectors like food and beverage or wellness, where stringent standards apply. CBBC’s Ran Guo advises brands to partner with exclusive distributors to avoid price wars and build long-term trust. Moreover, understanding China’s regional diversity is essential; treating China as a continent, not a country, allows brands to tailor strategies to specific consumer subcultures. For British brands, this means balancing their heritage with local emotional resonance, whether through storytelling that highlights craftsmanship or collaborations with Chinese influencers who amplify brand authenticity.

The post Why is the childfree parent sector in China booming? appeared first on Focus - China Britain Business Council.

In China’s digital landscape, Douyin and WeChat dominate as leading platforms, each offering unique pathways to over a billion users. Their approaches to engagement, commerce and storytelling differ significantly, making them essential for brands aiming to tap into China’s lucrative market. With Douyin’s short-video focus and WeChat’s mini-programs, these platforms redefine how global businesses connect with Chinese consumers.

Douyin, launched in 2016 by ByteDance, serves as China’s counterpart to TikTok, a short-video platform with over 750 million monthly active users. It thrives on creative, 15-to-60-second clips, including dance challenges, comedy skits, and beauty tutorials, captivating a young, urban demographic, primarily aged 16 to 30. Its algorithm excels at delivering addictive content, keeping users engaged for over two hours daily. For brands, Douyin’s strength lies in its viral potential and integrated social commerce. L’Oréal Paris, for example, leveraged Douyin’s livestreaming to generate millions in sales through KOL-led beauty tutorials. Douyin is a prime channel for fashion, beauty, and lifestyle brands aiming to ignite trends and drive sales.

WeChat, developed by Tencent in 2011, operates as a super-app with over 1.3 billion monthly active users. It functions as a digital ecosystem, integrating messaging, payments, and mini-programs, lightweight apps embedded within the platform. Unlike Douyin’s high-energy videos, WeChat emphasises deeper engagement through long-form articles, private group chats, and official accounts. Luxury brand Bottega Veneta utilised WeChat to launch a Lunar New Year short film, forging emotional connections with affluent users. WeChat’s mini-programs transform brand engagement, offering gamified shopping experiences that enhance retention. This versatility makes WeChat ideal for brands prioritising loyalty over rapid virality.

The British luxury brands excelling in their China marketingThe platforms’ audiences diverge notably. Douyin attracts a youthful, trend-driven crowd, with a 55% female majority concentrated in Tier 1 and 2 cities like Shanghai and Beijing. These affluent, educated users eagerly embrace trendy products. Burberry, a British luxury brand, could harness Douyin’s platform by showcasing its tartan scarves or trench coats in short, visually striking videos tailored to this fashion-forward audience. Although specific Burberry campaigns on Douyin remain undocumented, its success on Tmall suggests strong potential. WeChat, conversely, spans diverse age groups and regions, including urban millennials and rural seniors. Its loyal users engage deeply through group chats or mini-programs. Jaguar Land Rover, a British automotive leader, could leverage WeChat’s mini-programs to offer virtual test drives or exclusive content, appealing to China’s high-net-worth car buyers. While specific Jaguar campaigns on WeChat lack documentation, its focus on China’s luxury market aligns seamlessly.

Douyin’s advantages include high engagement, viral reach, and a commerce engine that converts viewers into buyers. However, creating consistent, high-quality videos demands significant resources, and success depends on mastering Douyin’s algorithm, which favours established accounts. Its young audience also limits appeal for brands targeting older demographics, and China’s strict content regulations require careful compliance. WeChat, by contrast, offers unmatched flexibility, supporting diverse content through official accounts. Louis Vuitton’s “Mah Jump” mini-program game exemplified blending fun with brand storytelling. Yet, WeChat’s slower virality and complex setup, particularly for mini-programs, pose challenges. Its mature audience may also feel less trendy compared to Douyin’s Gen Z energy.

For brand alignment, Douyin vs WeChat depends on objectives. Douyin excels in awareness and sales, as seen with Dior’s short videos promoting entry-level luxury to millennials. British brands entering China could adopt similar strategies, using Douyin’s livestreaming to showcase products in real time. WeChat, however, shines for retention and niche engagement. Educational or travel brands can utilise mini-programs for bookings or guides, while luxury brands like Bottega Veneta foster communities through rich content. WeChat’s closed-loop ecosystem drives 30% higher customer retention than standalone apps. British brands must prioritise localisation, including Mandarin content and cultural sensitivity, to thrive on either platform.

Navigating Douyin vs WeChat requires embracing their distinct dynamics. Douyin’s energetic pace suits brands ready to engage with trends and invest in video content. WeChat’s depth benefits those prioritising relationships and innovation. Whether a British brand like Burberry amplifies its presence on Douyin’s viral platform or Jaguar Land Rover builds a loyalty hub on WeChat, success hinges on aligning with each platform’s audience and mastering China’s digital regulations.

The post Douyin vs WeChat: China’s Social Media Giants Compared appeared first on Focus - China Britain Business Council.

China’s vast consumer market, in particular its e-commerce channels, which accounted for approximately £1.1 trillion of purchases from nearly one billion internet users in 2024, are an attractive proposition for many global consumer brands, including those from the UK. The UK’s e-commerce sales totalled £97 million in 2024, making China’s total market ten times larger, although spend per capita is only around half of that in the UK.

Many of both the marketing channels and points of sale – from TV advertising and subway billboards, through to retail stores and online platforms – look similar, but are sufficiently different to derail strategies which have not been sufficiently localised. Whether online or offline, understanding the variance in routes to market, consumer behaviours, and consumer preferences of China versus the UK is vital for any retailer looking to achieve breakthrough success.

Digital Journey: Marketplace vs DTC

Online sales represent just over 30% of total retail sales in the UK, versus a slightly higher 37% in China. However, the digital shopping habits of these two nations’ consumers are shaped quite differently.

Many UK brands launch to market through a direct-to-consumer (DTC) strategy, creating an optimised, highly converting website, and driving traffic through social media campaigns and search engine marketing, email marketing, and affiliate activity. This offers trackable ROI, reduced overheads, and a direct relationship with customers – all attractive qualities in a go-to-market strategy for brands.

China, meanwhile, has a separate digital ecosystem, which has created a different user journey for customers. Rather than on a search engine, consumer search typically starts on either a marketplace, such as Alibaba’s Taobao or JD.com, or on social media platforms such as Xiaohongshu (Little Red Book) or Douyin (Tiktok). Many of these platforms operate in silos – making effective tracking of marketing investment more challenging. Chinese consumers are also accustomed to the convenience of shopping on marketplace apps or indeed natively on social media apps, with almost no sales occurring through brand-operated standalone websites.

Consumer Behaviour: Trust in Recommendations vs Trust in Brand

Chinese shopping behaviour has been shaped by a cultural preference for receiving personal recommendations from trusted sources – whether family and friends, celebrities, or in the digital age, Key Opinion Leaders (‘KOLs’). Gen Z and millennial shoppers, who comprise 65% of China’s online consumers, rely on KOL recommendations and peer reviews on platforms like Little Red Book. Trust in brands is built through social proof, with 80% of Chinese shoppers citing user-generated content as a key purchase driver. This has also driven the inexorable rise of livestream shopping, with livestreamer talent vouching for quality and providing real-time replies to customer queries during their streams.

In the UK, trust is more commonly built through relying on online review sites like TrustPilot – used by 75% of online shoppers – or in physical retail settings through brand partnerships with trusted retailers such as John Lewis. Heritage retailers such as Fortnum and Mason can rely on centuries-old reputations for quality. Influencers play a different role – often brand discovery among younger consumers – but consumers are often wary of content that is seen as too commercial from online stars they follow.

Cultural Nuances

In both the UK and China, aligning your brand with consumers’ daily lives and cultural habits can be a powerful way of building loyalty. Differences in the cultural calendar – Christmas vs Lunar New Year, or the different timings of Valentine’s Day for example – are the basic building blocks of a localised marketing calendar.

Centring Chinese faces and voices as part of any campaign is vital to creating a deep connection. Chinese beauty consumers, for example, seek reassurance that the products are adapted for their skin tone and specific skincare needs, and fashion aficionados want to be sure that garment sizing has been properly adapted.

Cases of marketing messaging which has fallen foul of cultural values – from campaign fails from brands like Dolce & Gabbana, through to backlash for global positions taken by brands like H&M on Xinjiang cotton, demonstrate the need for careful localisation and planning for any player entering the Chinese market.

Functional Retail vs Retailtainment

Many shopping districts in the UK – from retail parks to high streets – prioritise the functional, and above all, sales. Brands rarely venture outside of their niche or dedicate expensive retail floorspace to non-commercial goals, although more integrated O2O solutions, such as click-and-collect, a preference of 60% of shoppers, is starting to bring the digital revolution to British high streets.

Chinese stores are increasingly experiential, and many major brands view them as a marketing channel first and sales opportunity second. From the explosion of pop-ups offering immersive brand experiences, through to stores converted into brand-focused exhibitions, which centre storytelling around brand history and values, and the incorporation of cafes into luxury boutiques, China’s retail environment is at the cutting edge of store design and function.

Malls, meanwhile, are competing for footfall with increasingly entertainment-focused offerings – from trendy restaurants, through to more unusual offerings such as equestrianism experiences. These offers supplement the shopping options and increase time spent in-store, improving both customer experience and sales performance.

Marketing Investment Strategies

In China, marketing investment is heavily skewed towards digital advertising, with social and KOL work taking up approximately 60% of total budgets, versus around 40% in the UK. China’s fast-paced digital environment means users expect quicker reactions to trends, and rapid new product development and launch.

Livestreaming is a perfect example of China’s need-for-speed. This sales channel, which has become the main growth driver of e-commerce sales in China in the past five years, offers merchants an opportunity to generate huge sales in a matter of minutes. However, opportunities to partner with high-profile livestreamers emerge and disappear quickly, with only brands with sufficient light-footed adaptability able to take advantage.

The golden 60:40 rule for allocation of brand marketing versus performance marketing in the UK has shifted towards a preference for performance marketing in recent years – with the ratio now close to 50:50. In China, brands have over-invested in performance marketing – with the ratio closer to 25:75, during the boom years of online e-commerce. In a lower-growth environment, we’re seeing brands shift their focus to longer-term brand building, favouring customer loyalty over continually acquiring new audiences at scale.

Key Takeaways

Brands looking to succeed in China’s competitive consumer marketing landscape in 2025 must ensure they understand their customer journeys, localise their messaging and marketing materials, and work with market experts to navigate a nuanced and sophisticated market. Building long-term success relies on aligning your brand with consumer needs, and a long-term commitment to nurturing customer relationships.

Jack Porteous is the Commercial Director at TONG Global (www.tong.global), a marketing and strategy helping bands to connect with their Chinese customers. Follow him on LinkedIn (https://www.linkedin.com/in/jackporteous/) for more insights on China’s consumer economy, digital ecosystem, and marketing ecosystem.

The post What Are the Key Differences Between Marketing to the Chinese and UK Markets? appeared first on Focus - China Britain Business Council.

Here are ten essential takeaways from the CBI that offer fresh insights for anyone interested in the future of branding, consumption, and e-commerce in China.

1. China’s E-commerce Consumers are Now Choosing Quality Over Price

The CBI shows a nationwide move away from discount-driven consumption to one centred on brand strength, innovation, and consumer satisfaction. Between Q1 2023 and Q1 2025, the CBI rose from 59.42 to 63.38, equivalent to around half of consumers upgrading to one of the top 500 brands. This shift is visible across every major category and reflects growing consumer expectations for quality.

2. The Top 500 Brands (CBI500) are Measured by Behaviour, Not Buzz

The CBI500, a ranking of the top 500 online consumer brands, uses real purchasing behaviour, not surveys or ad spend, to assess brand performance. Metrics include search volume, pricing, reviews, loyalty and innovation, providing a robust picture of brand health. Over 20% of top-performing brands were founded between 2011 and 2019, showing that fresh, agile players are increasingly outpacing legacy giants.

3. Young Consumers are Driving Demand for Novelty and Innovation

Gen Z consumers (aged 18–24) are leading the charge for newness and participation. The report highlights rapid growth in purchasing among this age group, who are particularly responsive to limited editions, social engagement and brand storytelling. Brands hoping to resonate with China’s digital natives must be nimble, innovative and deeply interactive.

4. Regional Cities Lead in Brand Quality, Not Just Big Spend

While first-tier cities like Beijing and Shanghai have the highest purchasing power (as seen in the Brand Purchase Index or BPI), they don’t top the CBI due to their large migrant populations. Instead, cities like Hefei, Zhengzhou and Huai’an score higher in brand quality, suggesting a strong appetite for premium and niche products beyond China’s megacities.

5. 3C Digital and Home Appliance Brands Dominate the Rankings

The highest-performing sectors by CBI score are 3C digital products (communications, computers, and consumer electronics) and home appliances, with scores between 75 and 85. This indicates strong consumer trust, loyalty and a high degree of brand consolidation. Beauty and personal care also show high scores, while fashion and pet care are growth categories with notable movement.

6. Niche and Emerging Categories Offer Entry Points for New Brands

Lower-scoring sectors like fashion (particularly women’s apparel), home furnishings, pet care and food show room for new entrants. These categories, with CBI scores between 39 and 60, are more fragmented, offering opportunities for emerging brands to establish themselves. Strong storytelling, digital innovation and consumer focus will be key to success.

7. Data-Driven Brand Ratings Replace Traditional Measures

CBI is built on big data, covering almost a billion active users across major e-commerce platforms. It tracks quality, not just quantity, integrating search behaviour, purchase records, customer reviews and loyalty data. Traditional methods like financial performance or consumer surveys are no longer sufficient in China’s fast-paced online retail market.

8. Migrant Worker Populations Skew Consumption Patterns

Regions with large migrant populations tend to show higher BPI (total spending) but lower CBI (average brand quality), as price remains a key factor for many lower-income consumers. This helps explain why first-tier cities underperform in CBI despite their economic strength, and why smaller cities may offer better returns for premium brand strategies.

9. Innovation is a Key Success Factor for Fast-Growing Brands

The CBI finds that 80 of the 100 fastest-growing brands in China are domestic, and many serve niche needs through innovative products and formats. These brands thrive not on scale, but on agility, responding quickly to changing tastes, launching new products, and embracing formats like livestreaming and short video.

10. A Shift from Price Wars to a ‘Race to the Top’

The broader message of the CBI report is clear: China’s e-commerce environment is maturing. Platforms, policymakers and consumers alike are encouraging a transition to value-driven competition. That means global and local brands must focus on authenticity, innovation, and perceived value, rather than racing to the bottom on pricing.

As the world’s largest online retail market, China now offers one of the most sophisticated data environments for understanding consumer preferences. For foreign brands, success increasingly depends on quality storytelling, tech-driven marketing, and a deep understanding of local dynamics, not just name recognition. The CBI shows that China’s online retail future will be shaped by quality, not quantity.

The post 10 Takeaways from China’s Consumer Brand Index: What Brands Need to Know appeared first on Focus - China Britain Business Council.

This article summarises the key themes from the report, highlighting how British brands can adapt to a more cautious yet still opportunity-rich environment.

China’s economic slowdown: What it means for marketers

After decades of near-uninterrupted expansion, China’s consumer economy has slowed significantly. A growing middle class once fuelled seemingly boundless growth; now, many consumers are becoming more selective, cautious, and value-conscious. According to Totem, 2024’s consumption growth was described as “glacial”, with e-commerce sales growing modestly (12-15%) and physical retail suffering widespread closures.

British brands that are used to betting on China’s lower-tier cities for rapid growth must now adapt. Strategies in 2025 are shifting towards performance-driven marketing, precision targeting by generation and income tier, and a renewed focus on return on investment. Expansion for its own sake is being replaced with prioritised spending and cautious optimism.

Digital marketing in China: Where to invest in 2025

Despite broader economic pressures, China remains a global frontrunner in digital commerce and marketing innovation. Social commerce in particular, spanning livestreaming, influencers (KOLs), and beyond, is proving resilient. In fact, over half of surveyed brands plan to increase their social media budgets in 2025, even as overall budgets shrink.

This presents an opening for UK companies with digital expertise. Brands that understand the local tech landscape and can tailor their approach to Chinese consumer behaviours across platforms like RED, Douyin, and WeChat will be best placed to succeed. Notably, the focus has shifted from generating hype to fostering confidence and trust, underscoring the importance of credible content and community engagement.

Sentiment and spend: A reality check

The brand sentiment going into 2025 is cautious. Totem’s survey found that only 17% of marketing leaders were optimistic about the year ahead, while nearly half expected to cut their marketing budgets. Most brands are narrowing their focus to proven channels and core customer segments. Spending is being redirected away from traditional media and toward performance-driven digital and social commerce tools.

For British brands, this shift calls for prudence and agility. Success in 2025 will mean doing more with less – delivering measurable returns and tightening the link between marketing activity and sales performance.

Gen Z in China: A key demographic for British brands

One of the most significant strategic pivots in 2025 is the move from city-tier segmentation to generational targeting. While Gen X and Y still drive purchasing power, it is Gen Z that increasingly shapes trends and brand perceptions.

Despite youth unemployment and rising disillusionment, China’s Gen Z remains curious, digitally fluent, and trend-driven, often supported by family safety nets. They seek novelty, relevance, and authenticity in their brand engagements. British brands can win here by aligning with Gen Z values such as sustainability, creativity, and personal expression.

The report recommends that brands without a clear demographic focus consider making Gen Z their “anchor audience” – not just for the short-term gains but to build long-term brand equity.

Emotional branding: Standing out in a price-sensitive market

As discounting becomes widespread, foreign brands, which are often at a cost disadvantage, must lean into emotional resonance to justify their price points. Totem identifies three emotional levers that particularly resonate with Chinese consumers: humour, nostalgia, and escapism.

Gen Z, in particular, is seeking moments of escape – from Covid-era constraints, economic pressures, and digital fatigue. Meanwhile, older consumers find comfort in nostalgia and familiar quality. British brands are well-placed to tap into these emotional triggers through rich storytelling, cultural references, and brand heritage.

In 2025, it’s not about being louder – it’s about being more meaningful. Emotional relevance will be a key differentiator.

China retail trends: From malls to pop-ups

A fascinating new trend is the rise of “swarms” – crowds that converge on specific retail activations or pop-ups driven by online buzz, especially via platforms like RED. These gatherings offer excitement, community, and value, an antidote to social isolation and screen fatigue.

For British brands, this creates a compelling opportunity to rethink their physical presence in China. Instead of long-term leases in traditional malls, think short-term, high-impact brand activations that create sharable, offline-to-online experiences – tea ceremonies, fashion events, or VR demos rooted in British culture could work especially well.

UK-China trade and market entry in 2025

The global context in 2025 is fraught with uncertainty. The return of Donald Trump to the US presidency has reignited trade tensions, with China likely to retaliate against American brands. Some experts foresee closer economic ties between China and non-US markets, including Europe and Canada.

For post-Brexit Britain, this presents both risk and opportunity. UK brands that position themselves as independent and constructive partners to China may find a window to strengthen bilateral trade relationships, particularly as Chinese authorities look for trustworthy foreign partners.

The long-term view: Strategic optimism

Despite the short-term headwinds, Totem’s report ends on a cautiously optimistic note. There are signs that China may emerge from the downturn ahead of other major markets, especially if government stimulus and private-sector confidence gain traction. The return of tech figure Jack Ma in late 2024 has also been read as a symbolic gesture of renewed support for innovation.

For British brands, the message is clear: don’t retreat from China, but refine your approach. Targeted, digitally savvy, emotionally intelligent strategies will serve brands well in this next chapter.

The post China Marketing Trends 2025: Strategy Insights for British Brands appeared first on Focus - China Britain Business Council.