Thankfully, the Chinese authorities have recognised this and have launched a new push to optimise payment services for use by foreign nationals. This comes as part of a raft of measures to encourage people to visit China and make life easier for them when they do (which includes waiving visa requirements for citizens of a growing number of countries).

In mid-March this year, the State Council and the People’s Bank of China released the ‘Guide to Payment Services in China’, which details a number of payment options for foreign nationals.

WeChat Pay/Alipay

As of the end of July 2023, both WeChat Pay and Alipay allow users to link an international bank card, including Mastercard, Visa, JCB, and Diners Club (read our guide on the set-up process for WeChat here). This can then be used to pay for things via online platforms or by scanning a QR code in stores and restaurants. It should be noted that foreign nationals can only use WeChat Pay and Alipay to pay companies or merchants i.e. you cannot send money to or accept money from individual users.

Following the release of the latest guidelines, the transaction limits for foreign nationals using mobile payment services have also been increased from US$1,000 (approx. RMB 7,233 or £790) to US$5,000 (approx. RMB 36,166 or £3,945) for single transactions, with the annual transaction limit increasing from $10,000 to $50,000.

Foreign users can now complete the initial activation of WeChat Pay without a Chinese SIM card and make payments up to a cumulative limit of RMB 15,000 for a certain amount of time (as yet unspecified) without verification.

e-CNY

China has been pushing the use of the e-CNY (the digital form of the Renminbi – also known as China’s Central Bank Digital Currency) for both locals and foreign visitors in recent years, with the long-term goal of fully replacing the physical CNY.

The e-CNY is accessible to foreign visitors through the e-CNY app. Users can register with a foreign phone number (no Chinese SIM card required) and then link an international card, including Visa and Mastercard. The wallet can then be topped up and used to make transactions in a similar way to WeChat Pay or Alipay.

Bank cards

Of course, many visitors would prefer to just use their bank card rather than setting up a new mobile payment service.

China says that it is encouraging merchants to accept international bank cards and that they should be accepted anywhere that displays the logo of an international card issuer. And it is certainly true that many hotels, larger restaurants and international chain stores, especially in cities like Beijing, Shanghai and Guangzhou, do accept international bank cards. However, smaller merchants or merchants in more remote areas often won’t have the facilities to accept international cards (or simply may not be willing to accept them due to high fees).

Cash

Cash may not be the preferred payment method anymore, but it remains widely accepted. In fact, the authorities have recently strengthened legislation defining the rejection of RMB cash as unlawful.

Foreign visitors can withdraw cash with a wide range of foreign bank cards at designated ATMs.

While these measures are a step in the right direction, their implementation and enforcement can be patchy. It is worth making sure you always have a range of payment options available during your travel to China – for example, cash, WeChat Pay or Alipay and a foreign bank card (as well as a Chinese contact who can pay for you if all else fails).

The post How China is making payments easier for foreign visitors appeared first on Focus - China Britain Business Council.

Most Western entities use email as their main form of communication. However, the constant evolution of technology and changing habits of users are forcing companies to resort to new ways of sharing information.

In the UK and other parts of the world, as the web was emerging into mainstream use in the late 1990s, PCs were relatively abundant. In 1999, there were 50.5 computers for every 100 people, according to the World Bank.

Most first-time internet users were working adults or college students about to join the market. Email became a primary mode of communication in the office. And as desktop PCs began to move from the office to households and schools, parents and teachers taught younger people how to use the internet.

In China, on the other hand, there were only 1.2 computers per 100 people. Outside of the major cities, most households did not own a computer, much less one connected to the internet. In crowded dormitories, there wasn’t much space for students to cram in a desktop PC. Moreover, China’s white-collar population was far smaller proportionally than that of the US.

The country was a relatively late adopter of computers, and when internet cafes opened, young people started to use social messaging programmes such as QQ (created by Tencent) to communicate with one another. Unlike standard emailing, QQ provided entertainment and more interaction with features such as instant messaging.

In the 2000s, smartphones replaced computers as the main computing device in China. Data from the state-backed think-tank China Internet Network Information Center (CNNIC) shows the rise in China’s internet penetration correlates almost perfectly with mobile phone adoption and that most connectivity originates on the phone.

When WeChat was released in 2011 (also by Tencent), it soon became an integral part of daily life. The multi-functioning instant messaging mobile app replaced the use of emails, especially in personal communication and in smaller, local companies. As a result, foreign companies operating in China had to rethink their internal communication strategies.

Some experts have argued that email is simply less compatible with Chinese culture than chat, particularly in the workplace. Thomas Luo, founder of Chinese tech blog PingWest, says that email doesn’t merge easily with China’s business culture, which tends to be informal and fast-paced. These qualities, he argues, are better suited to chat software.

In China, a lot of people use WeChat for all their messaging needs, including for business. Nevertheless, this does not mean that Chinese people do not use email. It is widely used in MNCs or companies that frequently deal with foreign entities; people just check it less frequently than their Western counterparts. There can also be issues with email due to China’s ‘Great Firewall’, which makes it difficult to use platforms like Gmail within China, and may prevent users from receiving emails from some providers.

WeChat also resonates with consumer behaviours for marketing purposes. Consumers in China do not use or check emails regularly, and this is the main reason why email marketing is less effective. They prefer that their favourite brands contact them via social media platforms.

But despite WeChat’s popularity, different marketing channels serve different purposes. If you want to send a massive and generic message to your audience, then WeChat is the best option. However, if you want to personalise your content, WeChat may not be the right platform.

Chinese consumers are extremely diversified, and no single communication channel covers them all. The best is to create an omni-channel approach and let your customers decide how they wish to receive information.

Companies can opt to do “email marketing” through WeChat and send newsletters through the app. Such newsletters can increase customer engagement and create a closer relationship between the brand and its consumers.

China’s booming digital ecosystem of social media apps provides an array of options for companies to build an effective and coherent marketing strategy. In China, social media is not an option but a vital source for companies to be successful in entering the market by leveraging platforms.

Though email is the preferred method of messaging for corporations in the West, any foreign company intending to operate successfully in China must keep in mind the communication habits of Chinese people. A company that does not understand the mindset and preferences of its consumers and employees may ultimately experience failure.

The post Why WeChat is more popular than email in China appeared first on Focus - China Britain Business Council.

Thankfully, in July 2023, WeChat announced that it would start facilitating the use of Visa, Mastercard, JCB and other international cards for payments in China via WeChat Pay (sometimes known as Weixin Pay). This follows a similar move by Alipay in May 2023. WeChat has been trialling the ability for users to add international cards since 2019, but efforts had fallen by the wayside during the pandemic.

How to add an international card on WeChat Pay

To get started adding an internationally-issued card to your WeChat Pay, you will need:

• Your identity document (for Brits, this will most likely be your passport, but the Foreign Permanent Resident ID Card, Mainland Travel Permit for Hong Kong and Macao Residents, Mainland Travel Permit for Taiwan Residents, Residence Permit for Hong Kong and Macao Residents, and Residence Permit for Taiwan Residents are also accepted)
• A mobile phone number that can receive SMS verification codes (does not have to be a Chinese number)
• Your debit or credit card (must be the same name as the name on your identity document)

Then, take the following steps (the WeChat interface is available in English, so it should be fairly self-explanatory):

1. Open WeChat and then tap “Me” in the bottom right-hand corner
2. Tap “Services” and then “Wallet”
3. If you haven’t already, you’ll be prompted to fill in your identity information for real-name authentication. Simply follow the steps on screen
4. When prompted, select “Add Bank Card”
5. Enter the card number, select the type of card, and the issuing organisation. Fill in the required card and personal information
6. Once you have filled out your information and clicked “submit”, an SMS verification code will be sent to your phone number. Enter the code to complete the verification process
7. You may also be prompted to create a 6-digit payment password

Where can you use WeChat Pay once you’ve linked your international card?

International cards can be used for everyday transactions in mainland China by scanning a QR code to pay or presenting your payment code or for in-app payments for things like e-commerce, food delivery and ride-hailing.

You won’t be able to send or accept money transfers or red packets (these can only be used if you have a mainland China bank account).

Are there any spending limits or transaction fees?

WeChat waives transaction fees for any single transaction under RMB 200 – very handy for everyday spending in small shops and restaurants. Above RMB 200, the transaction fee is 3%.

There is a limit of RMB 6,000 per transaction and a cumulative monthly spending limit of RMB 50,000.

Can you add international cards on Alipay?

Alipay also allows you to link a Visa, Mastercard or other international card, and the process is similar to linking a card to WeChat Pay. You will also need to have your identity documents to hand to complete real-name authentication.

The post How to set up an international card on WeChat Pay appeared first on Focus - China Britain Business Council.

Despite its massive influence, Tencent remains the biggest Chinese corporation that few have an in depth understanding of, with CEO and founder Pony Ma one of the most mercurial of China’s billionaire entrepreneurs.

WeChat, Fortnite and a myriad of key investments and start-ups all combine to make up Tencent’s world. You simply do not exist in China without some interaction with the company. Now, Bloomberg Asia correspondent Lulu Chen, who has covered China’s tech sector for over a decade, unravels the history and strategies of Tencent in Influence Empire: The Story of Tencent and China’s Tech Ambition (Hodder & Stoughton), examines the company’s battles with Didi, Meituan and Alibaba, and its decision-making at critical junctures and asks just what it takes to be a successful tech entrepreneur in China.

Paul French met up (naturally over Tencent’s WeChat) with Lulu Chen to discuss the book.

Can you give us a quick potted history of how Tencent came to be such a giant corporation with so many strings to its bow?

Tencent hit gold with social media in the desktop era. It became ingrained in peoples’ lives with WeChat in the mobile age. Its founder Pony Ma was prescient enough to diversify the company’s revenue stream early on, and that gave birth to its gaming business, which generated the bulk of the company’s revenue and funded many new initiatives. The company’s strategy to open up its ecosystem and invest in startups – instead of competing with everyone – helped it take stakes in businesses that became important in the mobile internet age, including ride-hailing service Didi and food delivery platform Meituan.

The company’s deep pockets and vast network of users also made it a powerful global investor. It enabled Tencent to take on a stake in Spotify, Tesla and Snapchat, and also invest in the biggest gaming companies in the world, including the maker of Fortnite.

Could you explain some of the ways Tencent and its myriad subsidiaries and brands are omnipresent in our lives here in the UK?

Tencent’s influence can be felt via the investments it has made in the makers of the world’s biggest games: the companies behind Fornite, Clash of Clans, PUBG and League of Legends. It’s a backer of Hollywood blockbusters including Wonder Woman, Venom and Men in Black: International.

The company has also invested in UK companies. It bought Sheffield-based Sumo Group at a valuation of more than £900 million last year, which is best known for titles including a racing game based on Sega’s Sonic the Hedgehog franchise and Sackboy: A Big Adventure. Tencent has also invested in London-based fintech startup Previse. Even with a regulatory crackdown at home, Tencent was the world’s second most acquisitive gaming company in 2021.

Can you give a sense of how important WeChat (known in China as ‘Weixin’) is to daily life and business in China now, and where it might go strategically in the future?

Weixin, the Chinese version of WeChat, is embedded in all facets of life in China. Originally a chatting app, the tool has grown to become a portal for services including news, social media, ride-hailing, hotel booking, e-commerce, dining, utilities payments and mutual fund sales.

An easy way to think about the app is that it merges the functions of WhatsApp, Deliveroo, Uber, Paypal, TikTok, Amazon, Yahoo News and Spotify all into one. One creation that has enabled this is a service known as Mini-Programs, which allows users to access services from other entities without having to download their apps. The function essentially makes Weixin (WeChat) a platform portal linking people with thousands of services.

Given how conversations and data on WeChat can be monitored and accessed by the Chinese government when demanded, WeChat faces limited appeal to global users who are concerned about privacy protection. Its popularity mostly remains within the Chinese diaspora outside the country.

I think whatever changes WeChat’s founder Allen Zhang makes, they will remain incremental if smartphones remain the dominant tool for communication. The larger strategy for WeChat was set in stone many years ago: it is a connector for people, information, content and real-world services.

How easily does Tencent balance its position within China as part of a highly regulated, censored surveillance-heavy internet and its international presence in a largely unfettered world interacting with Hollywood and a gazillion Western kids through Fortnite?

It’s a fine line for Tencent, part of the reason why the company and its co-founder and Chairman Pony Ma has always been so low profile. Tencent is a beneficiary of the model that’s intertwined Western capital – funding from the world’s biggest asset owners such as pensions and endowment funds – with the world’s biggest online market. For years, its strategy of acquiring overseas content met little resistance, and to an extent was seen as a good thing at home in China, because it helped boost the country’s soft power.

However, in recent years the Chinese government has implemented strict laws regarding data collection and transfer restrictions. In the US, CFIUS and reverse CFIUS laws are making cross-border transactions more challenging. Both developments are making life tough for companies that have to deal with regulators on both continents. As China and the US decouple, companies that straddle both worlds will continue to find it more difficult to navigate the path forward. The mentality of “you are either with us or against us” is growing in both countries.

Tencent’s global investments give the company’s executives a front-row seat to some of the world’s best ideas

It’s hard (but fun!) to try and work out which tech company has the most ‘reach’ globally – Amazon, Meta or Alibaba? But I guess you’d argue it’sf Tencent?

Influence comes in many forms. Tencent is the biggest gaming company in the world. To understand how big gaming has become, the industry is estimated to have generated revenue of US$176 billion in 2021, almost five times the box office of the movie industry. An estimated 2.9 billion people play games on some form of digital device, researcher Newzoo estimates. That’s nearly one in three people on the planet.

Its influence also comes from its investment prowess, even though Tencent takes a relatively hands-off approach in dealing with its investees. Backing some 800 companies globally gives the company’s executives a front-row seat to some of the world’s best ideas, the privilege to interact with the brightest minds, and the chance to unearth the most cutting-edge tech still in incubation.

Thinking of how strict and invasive the Chinese government’s control of domestic tech companies is, the worsening relations between the US, EU, UK etc and China, the growth of the “splinternet”, and greater scrutiny of Chinese corporations overseas by foreign regulators, where do you see Tencent’s fortunes heading in, say, the next 5-10 years?

It’s sad to say, but for Chinese internet companies, it’s possible that the best days are behind us. With President Xi Jinping ushering in the era of “common prosperity”, a slogan that embodies his drive to narrow the wealth gap in the country, companies that generate high-profit margins become easy targets for regulatory crackdowns. To survive as an entrepreneur in China going forward, one must navigate a world where ideological campaigns become increasingly important.

Tencent’s aspiration was once to become an infrastructure-like company, to become the equivalent of water and electricity for the internet. Fast-forward to 2021, and its founder Pony Ma made a U-turn, telling staff at an internal year-end gathering that Tencent is just a dime a dozen, a beneficiary of the vast progress the country’s made.

Tencent will continue to benefit from its role as a large internet platform in China, remaining obedient to the government. It still has a dominant presence in gaming and social media in the country, but its roaring years of expansion are also not coming back, by design and the nation’s own slowdown in growth.

Call +44 (0)20 7802 2000 or email enquiries@cbbc.org now to find out how CBBC’s market research services can help you build knowledge and understanding of the Chinese market prior to investment.

The post The rise and rise of Tencent appeared first on Focus - China Britain Business Council.

Where can businesses sell on WeChat?

Mini-programs and mobile websites are both used to host e-commerce stores within WeChat. Both can be accessed from Official Accounts, articles, users sharing to individual or group chats, or by scanning QR codes.

WeChat mini-programs for New Balance and KFC

Mini-Programs

WeChat serves as an app store for Mini-Programs, which are apps that function inside of WeChat. This often gives the best experience for users accessing your e-commerce store through WeChat.

Pros:

• Development is usually faster than with a comparative e-commerce website
• Access to Subscribe Messages to send service notifications to users
• Recent and bookmarked Mini-Programs are easily accessed
• Quick access to the user’s phone number without sending a verification code by SMS
• Can access advanced phone features such as Bluetooth, accelerometer, gyrosope, WiFi etc.
• Larger and more aesthetic appearance when shared to chats

Cons:

• Cannot be accessed outside of WeChat. This limits advertising on third-party platforms.
• Code updates must pass verification before going live, which can take 1-48 hours
• Currently cannot be shared to WeChat Moments on iOS devices (likely to change)

Mobile websites for Pinduoduo and Lululemon, usually accessed via a link from a brand’s official WeChat account

Mobile websites

Mobile websites, known as H5s in China, are accessed via WeChat’s built-in web browser and usually function almost as well as Mini-Programs.

Pros:

• Can be accessed outside of WeChat

Cons:

• Do not appear directly in search results (but Official Accounts, articles, and Moments posts can be searched)
• Less attractive when shared to chats

Store Providers

There are also several ‘no code’ platforms that allow sellers to open WeChat store websites without developing their own platforms – a kind of ‘Shopify for China’. The leading providers are WeiDian, WeiMob and YouZan.

What functions can be used to promote WeChat stores?

The official WeChat Accounts of food brand Bob’s Red Mill and Nike

WeChat Official Accounts

Official Accounts let sellers post articles about their brand and direct users to their store. Articles can be shared to individuals and group chats, as well as WeChat Moments, and users follow the account to receive notifications for new updates. Depending on the type of account, they can post daily or weekly and can appear directly in WeChat’s list of chats alongside the user’s friends and group chats.

A branded live stream with products listed for purchase

WeChat Channels

Channels allow brands to post videos and live stream. Product demonstrations, tutorials and comparisons are effective ways of engaging the audience and communicating product quality.

Compared to features offered by other short video platforms, Channels is an especially effective marketing tool because it leverages WeChat users’ contacts to push content viewed by their friends directly to their daily feed

How can businesses ensure they are legally compliant?

All websites and Mini-Programs in China require an ICP Filing to operate and depending on the scope of your products, additional licenses such as the B25 Value-added telecommunications license, EDI license and industry-specific licenses may be required. Certain products face limitations (such as baby products, milk powder, pet products, alcohol) and if you are offering products from multiple brands, you will need to qualify as an e-commerce platform. More information on the licenses required for different stores can be found here in WeChat’s support documents.

The most recent rules on personal data privacy require Chinese user data to be stored on servers within China. Since local servers are needed for the best user experience anyway, this shouldn’t be a problem for new store owners.

WeChat also has clear and effective rules to protect users from unethical business practices such as scams, spamming, and false advertising. A self-review conducted according to the WeChat Mini-Program Platform Operation Rules is recommended before submitting for approval.

How can businesses take payments through WeChat?

WeChat Pay functions smoothly within Mini-Programs and mobile websites, and can be set up with a business license, required industry licenses, a corporate bank account and real-name verification.

Companies without a legal presence in China may be restricted in business scope and cross-border payments, so it is often recommended to partner with a local company that can assist in obtaining necessary licenses.

Now that we’ve covered the tools provided by WeChat to power your e-commerce business in China, it’s a straightforward formula: Mini-Programs and mobile websites showcase your branded products like a physical store, whereas WeChat Official Accounts and Channels are where effective marketing occurs. Finally, it is beneficial to find a Chinese partner like AppInChina for streamlined compliance fulfilment, cross-border payment setup and customs clearance so that your e-commerce business with WeChat can run legally and smoothly.

Call +44 (0)20 7802 2000 or email enquiries@cbbc.org now to find out how CBBC can further help you identify the best social media platform for your brand and target market in China. 

The post How to use WeChat for e-commerce appeared first on Focus - China Britain Business Council.

I originally came to Beijing back in 2017 on a teaching fellowship through Princeton in Asia. I had been an early childhood educator for about three years at that point and felt a desire to ‘disrupt’ my life a bit. I came to China to force myself to live a different life in the hopes of discovering something new.

I accepted a position as an English lecturer at China Foreign Affairs University because it was a new challenge in my career as an educator and afforded me a schedule with substantial free time. I believed this would give me the chance I felt I needed to try and figure things out.

I spent all my free time following every interest and passion I had, and reflected, researched, and explored things I thought I wanted to do. I was searching for an activity to focus on outside of work to help me build new skills and to potentially find another career path.

I felt like I was waiting for some sort of sign that would give me a clue into what I was really meant to do. Then the moment came. I was invited to a dinner a friend of mine was hosting for black women in Beijing and I met a young woman named Maria.  Not long after our meeting I stumbled upon the idea for an events platform and needed a place to start. I reached out to Maria on WeChat and after a few meetings, I knew she was the person I should work with to build What’s Good Beijing? From that moment on, she has been my co-founder, business partner, and best friend.

As a newcomer to Beijing, I knew going to events would be a great way for me to get to know both places and people. I would go through every source I could find for event information (WeChat groups, subscription accounts, websites, blogs, word of mouth). I quickly figured out a couple of things. One, that finding these events was a heavier lift than I expected. And two, that a lot of the events I would attend were hosted by people within the local black expat community.

My lightbulb moment was the Mainland China premiere of Black Panther in February 2018. A black woman who owned a media company hosted a premiere party for the film at a local Beijing movie theatre. Tickets sold quickly and it was a fabulous red-carpet affair. The night before the event I checked the WeChat group and saw several people begging for tickets despite the event being sold out. They’d only just found out about the event. So I asked the same event group chat if they knew of one single platform that promoted all events happening in the city, and when I realised there wasn’t one I decided to launch What’s Good Beijing? (WGB)

Our desire was to create an inclusive events platform because of all the amazing events happening within the black community. As we began the building process, we quickly found that there was an overwhelming number of events from the wider Beijing community that also struggled with visibility. We made it our mission to effectively gather all the information we could find to better promote these events in a digestible and aesthetically pleasing way.

As we began the building process, we quickly found that there was an overwhelming number of events from the wider Beijing community that also struggled with visibility

Our first and main product became our weekly events magazine – What’s Good Beijing? – which consisted of only the images of event posters and their QR codes from WeChat. We believed images were the best way to quickly absorb information. We then categorised and curated the events for our audience which began with just one small WeChat group. By the end of year one, we had three functioning groups and to date we own and manage five groups on WeChat.

As our following grew, so did our business model. We would receive inquiries about venue suggestions, promotional strategies, even event logistics. We then decided to expand our business into providing event consultation support for individual event hosts all the way up to larger corporate entities such as hotels. With all the knowledge and experience we gained in event planning it seemed natural to start hosting our own events. We already had a clear understanding of what existed in the city so we could easily see what was missing. We became known for our popular event series called “Trap N’ Paint” which was a night of music, paint, and creativity. Attendees would party and paint while listening to trap hip-hop music, an underrepresented genre in Beijing’s nightlife scene.

It was a full-circle experience to bring our online followers to offline events, to connect with them and to facilitate their connections with others. Beijing is a big city and so it can take some time to adjust and find your niche. Our platform brings diverse people together because we bring diverse information together. People are able to use our magazine as a jumping-off point to find a community they can belong to. We would receive overwhelming feedback from our followers about how our platform helped them cure their boredom, connect with people, and push them out of their comfort zone. This was always our ultimate goal, which tells us that we truly are what’s good in Beijing.

I find myself especially lucky that I do not need to look much further than my family for mentors and deeply influential people. The primary person being the matriarch of my family, Ojinika Doris Ibekwe Mora. She is a proud Nigerian mother of eight children and a formidable woman with the intelligence, grace and humour to match. So much of what I am, came directly from her. She set the foundation for who I am and for what I have accomplished.

My mother showed me what a fighting spirit looks like. I watched her fight alongside my father to provide for our family as immigrants in America. I watched her fight for success in her career as a pharmacologist over several decades. I watched her fight for her integrity in the face of both gender and racial discrimination. My whole family watched as she fought for her life while battling several types of severe cancer. I was raised by the living and breathing definition of resilience. And what truly was remarkable and borderline otherworldly to me was the faith and positivity she used to light her way through any dark moment. If she could do all that well then of course I had to believe that I could do just about anything.

Humility, passion for life, unwavering faith, and a strong sense of self are just a few of the impactful qualities of my mother that I have tried to ‘copy and paste’ into my own life. In my adult life I see the real influence my mother has had on my core beliefs and principles: The first being the importance of taking pride in who you are and where you come from. I am a proud queer Nigerian American woman and have learned from my mother to bring my full self with me everywhere.

I am a proud queer Nigerian American woman and have learned from my mother to bring my full self with me everywhere.

Taking pride in who you are takes courage and bravery since you cannot always be promised a warm welcome. This is why my mother showed me how to hold on to your joy. Joy is an internal feeling that gives you the power to find positivity despite your outward circumstance. Whether things are great or terrible, a joyful person will always try and find a reason to smile. My mother taught me to be a “child of change.” This means three things: (1) always seek to be a better version of yourself (2) embrace the change that life throws at you and (3) actively bring change to any spaces that you occupy.

While I acknowledge the gross inequities that still exist for women in business, I cannot say I personally have dealt with any gender-specific challenges while in China. I am proud to say that I have had so many transformative and positive experiences throughout my entrepreneurship journey so far. During the nascent stages of WGB I was able to build meaningful and diverse partnerships with male and female entrepreneurs across different industries. I was impressed with the various support groups and networks for women in business and the spirit of collaboration in the air. I was even lucky enough to speak on a panel of other ambitious businesswomen at the US Embassy about female entrepreneurship.

I had never even experienced this many successful female entrepreneurs in one place in my life. Since WGB is a woman-owned enterprise, we consciously supported other women through event promotion, production of advertising materials (videos, photos, posters), and listening ears.

I had never even experienced this many successful female entrepreneurs in one place in my life

I also discovered a strong community of black women in business here in China. As a black woman I know we are uniquely underrepresented in this industry and believed it was important to connect with others just like me. So much so that WGB gave special focus to hosting and supporting events that honoured the contributions of black women here in Beijing. Interestingly enough, as adults, all five of my sisters including myself work in and/or own a business. This illustrates the positive impact of gender diversity in the workplace. People struggle to believe in what they cannot see.

The diversity of our backgrounds, identities, and experiences tells a story and provides each of us with unique perspectives. Nigerian feminist writer Chimamanda Ngozi Adichie in a 2009 TED talk warns of the dangers of a “single story.” I believe that this lack of contextual knowledge about diverse peoples makes you ill-equipped to understand, represent, and to serve them. A diverse business environment acknowledges that no one person knows or has done everything. This is the benefit that gender and overall diversity bring to business.

I received the best piece of business advice long before I thought about being an entrepreneur. When I was about 11, my brother said it was important to “fail better.” I thought he misspoke and meant to say, “feel better” so when I finally heard correctly, it made even less sense.

When things would go wrong in my business or in my life I would always get swept up in the negative emotions of failure. The anger, anxiety, fear, and insecurities would all bubble to the surface. It often would derail my progress and even trigger bouts of depression. By the time I was able to move past it, I would always regret the time wasted. As I thought about the concept of “failing better” I began to realise that failure was not just something you could experience, but a skill you could develop. In my process of getting better at failing, when things would go awry I would try to reframe and reimagine the failure to help get through it more effectively.

I believe keeping a sense of humour when problem-solving is as important as staying calm. My ten years in early childhood education taught me the power of a playful mind. I learned to never underestimate the ability of play to trick the brain into doing amazing things. When experiencing failure, using playful humour can often help keep the stakes from feeling too high, thus keeping you calm and effective.

The post African American female entrepreneur Chika Mora on her company What’s Good Beijing appeared first on Focus - China Britain Business Council.

1. Key Opinion Leaders will give way to Key Opinion Consumers 

Key Opinion Consumers create a better product circle

KOCs (Key Opinion Consumers) are individuals that brands have conscripted to sell and advocate on behalf of products. They help to ‘seed’ products into communities and groups they are part of – namely on WeChat – and then encourage group purchases. The goal in working with KOCs is to identify people within these groups who are already (authentically) talking about the brands products – and then, look to incentivise and support them further – to more vigorously advocate for the brand. By selecting individuals who are already advocates for the brand within small communities, the additional aim, is to have them stimulate user-get-user sales.

2. The answer to WeChat fatigue: Interest-based communities

Has WeChat’s growth peaked?

While ‘Super Apps’ (WeChat, Alipay and others) dominate and hold the largest share of Monthly Active Users (MAUs), they have become, by many accounts, too crowded, too noisy and too commercial.

Depending on the source of data, WeChat usage is either growing slightly or in decline. It might have peaked its capacity of attraction. For these reasons, there is something of a counter-movement growing, with audiences seeking more austere, clean environments where the focus is more on content and ideas, less on ads and e-commerce.

WeChat might have peaked its capacity of attraction. For these reason, there is something of a counter-movement growing

Several new platforms built around shared interests and community attracted attention in 2019. Tencent and Bytedance jumped (further) into this space in 2019, with Tencent-backed Jike, and Bytedance’s launch of Feiliao. Sina also offered up a new platform called Oasis which was designed to fit into this set of apps trying to (1) satisfy interest-based communities, and (2) create less commercial, more simple interfaces. None of these recent launches has had profound success yet, as perhaps they are not going far enough to satisfy audience needs.

3. Podcasts Turning Up The Volume

Podcasts are on the rise

Audio continues to prove that it has a strong place in the media mix. There are several trends that support an increase in audio-form (podcasts & narratives);

1. Audience burnout and overstimulation with video
2. The increasing effectiveness of audio-based AI (Alexa or Siri)
3. People are constantly on the go and too busy for appointment viewing of video

The Coronavirus might have delayed this shift from video to audio a little, as long commutes and time in the gym have been replaced by time on the sofa.

4. 5G will be the new frontier for long-form videos and AR

Augmented reality will help customisation

Bytedance has been stealing the limelight of long-form videos in recent years. The current completion rate for watching video ads on mobile is very low when compared with desktop, so the speculation is that 5G will improve the viewing experience on mobile – and viewership stats for ads. The feasibility of many Augmented Reality/Virtual Reality concepts will also be improved. So, keep an eye on these functions to make the most of the benefits of 5G:

– Mobile games and game streaming apps

– Traditional video platforms with quality, long-form content, such as iQiyi, Youku, Tencent Video.

– Live-streaming sites

– WeChat and Weibo re-launching existing features such as Vlogs

5. Gaming And e-Sports

In-game advertising in e-sports will grow

Gaming and e-sports should become priority areas for branding in the coming years.

Several brand cross-over promotions have been very successful. Youth audiences in China are shifting their time and attention further toward video games. 2019 saw some notable brand collaborations in this space – including two from luxury brands (LV and MAC).

Instead of trying to make their own video games, brands should be looking into these sorts of collaborations, where they can tap into a hyper-engaged audience of fans and add value to the experience/environment of the game with product placements, virtual goods, e-Sports sponsorships or with co-branded (physical) products (such as MAC did with Tencent’s Honor of Kings game).

If you choose the right partner brand, this boost of awareness should come with the benefit of also gaining access to a new audience.

Download the full report here or contact Chris Baker, Managing Director of Totem Media

For more information on China’s creative sector contact Chris Lethbridge 

The post Five Marketing Trends for 2020 appeared first on Focus - China Britain Business Council.

Anyone doing business with China in recent years has been aware of the importance of WeChat, a social media one-stop-shop allowing chats, promotions, shopping and payments all on a single platform. And its importance can’t be understated for most businesses in China. However, its popularity and prevalence has led some companies to forget everything else and replace a broad marketing plan with a simple WeChat plan.

According to Arnold Ma of Qumin, WeChat should be regarded as more of an operating platform than a social media channel. And when it comes to social, there’s a new kid on the block. That kid is Douyin – a short video app that was initially popularised by people lip-synching along to famous songs. Users then started showing off other talents, performing comedy sketches and entertaining more generally; Douyin was soon mostly made up of user generated entertainment content.

Over a billion videos are viewed every day by the 350 million Daily Active Users on Douyin in China – not bad for a company that was developed by a team of 8 people over 200 days. Today more than half of its users are under 25 years old, making it predominantly Millennials and Gen Z users who are active on the site.

Many of the early Western social media platforms were desktop-based sites that have since been adapted to mobile. But China – without a long history of desktop internet – leapt straight to mobile. As a result, it’s been able to develop apps that are more suited to mobile, bypassing the desktop legacy that so many western sites have been stuck with. Douyin’s format of videos being presented in full portrait mode (as opposed to the horizontal mode that is more suitable for desktop viewing) has really captured a youth audience who are used to swiping, scrolling and short form content.

Today, only 15 percent of teens now post to their WeChat moments feed says Ma. “When social media platforms go mainstream, they lose the youth,” he explains. “We can see how Facebook lost young people when they went from niche to mainstream and we now are seeing the same with WeChat.”

Douyin’s video only platform has come at the right time. This is particularly true in China, where Chinese people spend a combined 600 million hours a day watching short videos on their phone. Ma argues that Douyin is leading the way in third generation social media. First generation – the MySpaces of this world – made users dive into and out of other users’ pages or blogs. The second generation of social media platforms such as Facebook aggregate a feed that allows people to see all of their network’s content by scrolling down one page. But the third generation Douyin-style platform is content rather than network led. Artificial Intelligence algorithms present the user with content that will be most suited to them, regardless of whether they “follow” the content producer or not.

Users can then like and comment on the content. More likes and views cause the algorithms to present the content to those users who favour those categories and positions it in front of more users.

Therefore, even content from accounts with a relatively small number of followers can get seen by huge numbers of people if the content they produce is suitably interesting and has “thumb-stopping” power.

For businesses this presents an interesting opportunity. Unlike sites like WeChat or Instagram where users must already be following a business account to view their content, with Douyin, the content might be presented to them whether they follow the account or not. This enables the size of the reach of the business to be much wider. Furthermore, the more content produced and the more it is viewed, the higher up the rankings that user becomes. Therefore, Douyin starts doing the promotion on behalf of that business.

And of course, in-app shopping is available, allowing people to buy clothing worn or items featured in the content. “I was watching a video the other day of this man picking fresh chillies in rural China, chopping up meat, preparing freshly ground spices and herbs then cooking everything on a huge wok over a wood burning stove,” explains Ma. “My mouth was watering as I watched this. I said to myself, I wish I could eat this now. And then in the bottom corner a button popped up to enable the user to buy that exact chilli and beef sauce. In China, you could order that at lunch time and have it with rice in the evening! This is not an ad, it’s the perfect and seamless integration of content and commerce that the likes of Facebook have struggled to crack for years.” he says.

This is not an ad, it’s the perfect and seamless integration of content and commerce that the likes of Facebook have struggled to crack for years.

Adverts, according to Ma, are getting smarter. Companies don’t need to have followers and reach users specifically targeted by the platform’s AI. A combination of organic branded content and paid for ads (to boost reach) offer two different (and low cost) approaches, and real time insights can be garnered on products from users’ comments and reactions.

Douyin has a sister site in the West called TikTok (which is also owned by the Chinese company Bytedance) but Ma is quick to point out they are not the same. “Douyin is less silly than TikTok,” he explains. “It’s more useful and more creative and is hungry for quality content.” He argues that it will bring back the rise of the creative rather than the commentator. “Sites like Instagram brought about the rise of the social influencer who were mostly nothing more than commentators. Foodies who took pictures of their meals or fashionistas taking pictures of a handbag,” he says. “With Douyin we will see the rise of the social creator – actual chefs preparing the meal or designers making fashion items.”

For British brands looking to keep their finger on the pulse of the zeitgeist, a presence on Douyin might well be an incredibly cost-effective way to tap into China’s youth market.

The post What is Douyin? And how is it dethroning WeChat appeared first on Focus - China Britain Business Council.

In spite of the Chinese government’s continuing close control of online space, the 2019 Social Media Trends – China report from Totem Media highlights how brands are making significant investment in their digital and social marketing strategies, with digital continuing to be seen as one of the most cost-efficient channels for brand promotion.

China and the US

Whilst China’s internet penetration is significantly lower as a percentage than that of the US, 800 million of China’s 1.4 billion citizens are online, as opposed to 292 of 327 million in the US, China is vastly ahead in the use of mobile.  In the US 20% of internet users are still desktop-only, whereas in China, there is nearly an overlap between online and mobile access.

Such high levels of mobile penetration has been key in the development of ecommerce in China leaving it in a position of global market leadership.

Five key trends

In light of the significance of digital marketing in China, and the rapidly changing environment in which businesses must operate, the Report highlight five key trends that brands should pay attention to:

• 1. China marketing should be global

With Chinese tourists overseas being the world’s highest spenders, accounting for one-fifth of tourism spending worldwide, brands need to support their China-specific marketing with strategies that reach out to Chinese consumers around the globe.

• 2. Measurement of brand/digital performance is critical

When the Chinese market was less developed, it was possible for brands to make relatively easy gains. As markets mature and brands need to be more discerning however, the measurement of audience data will be key to opening up the next rounds of growth.

• 3. Quality in branding and content matter more

The use of video is being increasingly used in response to demands for livelier content to capture audience attention. Brands are finding that they need to develop marketing strategies which are; creative, unique to their brand, relevant, and repeatable after an initial success.

• 4. Social selling is a massive, emerging opportunity

“Social commerce” is significantly more developed in China than the West. There are clear opportunities for consumers to buy across every platform; on live-streaming sites, short video apps, community sites and messaging platforms.

• 5. The rules of retail are being reshaped rapidly

Physical retail spaces are being reimagined as marketing and engagement opportunities that operate in close proximity to online retail. As New Retail develops, technologies such as Augmented Reality and Virtual Reality are likely to play an interesting role in further blurring the boundaries between online and offline space.

Areas of growth

As the Chinese market matures, opportunities for growth remain for businesses of all sizes, although the biggest gains are increasingly going to larger brands. In order to maximise their gains, brands need to focus their attention on a few, high-quality efforts.

One such strategy can be seen in the way that marketers are directing their attention to lower-tier cities to connect with new consumers, in some industries, Tier 3 and Tier 4 cities offer new opportunities.

Key Apps

WeChat is still the most dominant mobile channel in China, though ByteDance is showing significant growth.

Mini-Programs, the simplified apps that operate within the WeChat system are a significant contributor to its continued success. E-commerce platform Pinduoduo, which has significant investment from WeChat developer Tencent, has been able to utilize this to advantage and grow its monthly active users accordingly.

Mini-Programs are a key element in WeChat’s continuing strategy to become the dominant ecosystem for China’s online population – an ecosystem which they hope will eventually supersede the Worldwide Web.

The post Five Digital Trends 2019 appeared first on Focus - China Britain Business Council.

From all-star players transferring to Chinese teams to President Xi’s high profile visits to Premier League clubs, the Middle Kingdom’s growing relationship with English football often makes headlines. Most recently, in February, City Football Group (CFG), the parent company of Manchester City, purchased Sichuan Jiuniu, a Chinese club based in Chengdu.  The company’s Chief Executive, Ferran Soriano, said “China is an extremely important football market, which we have been focused on for some time. We believe strongly in the future of football in China”.

Ferran and CFG are in good company. Their investment follows the lead of other top clubs, like Liverpool FC, who offer coaching and player training in Kunming through their international academy program, and Manchester United, who next year plan to open club-themed entertainment and experience centres throughout China.

Clearly China is a fast-growing market that is attractive to the big players. But it’s not just for Premier League clubs or even businesses that focus solely on football; opportunities abound throughout the sports sector. One example of a British SME that has broken into the market is the Cavendish Group.

Manchester City parent group CFG recently purchased Chinese team Sichuan Jiuniu

Cavendish has been operating in China since 2003, initially as a publisher of a bilingual magazine, and now as a host of conferences such as the International Capital Conference and Host City Asia. Ben Avison is their Editorial and Conference Director and first introduced a China-specific event in 2008 to coincide with the Olympic Games. “China’s sports and major events market is currently the fastest-growing in the world and [with] Beijing hosting the Winter Olympics in 2022, Beijing is the most important city in Asia right now”.

After initially engaging Chinese corporates by bringing them over to events hosted in the UK, Cavendish established a Chinese office to build a local team. Being a complex and rapidly developing country, they sought out experience on the ground. As Avison says, “strong personal relationships and respect for local structures are crucial and we have found our friends and colleagues in China to be extremely supportive in this regard.” This insight helped to establish Cavendish in China, which in turn has helped to raise its brand profile across the world more generally.

For British companies interested in China, there is an imperative to go but it’s not enough to simply survey the conditions on the ground. Foreign companies should recognise the need to be flexible and adapt to a very different market than at home. In many instances that means new products, in others, it’s about understanding how to market to local consumers.

You might be a big fish elsewhere, but in a pond of over 1 billion, you need to know how to differentiate yourself in the right way culturally

Future Lions is an international football academy that has been running programmes in Southern China for several years. Here in the UK, they use traditional social media channels like Instagram or Facebook to tailor messages to segmented populations but, after recognizing that the digital channels that they are familiar with have little or no reach in China, they embarked on learning about those that do. As Founder and CEO Ritchie Jeune says, “WeChat is effectively the be-all and end-all with our market space, somewhere where our existing knowledge was worthless.”

Part of localising is recognising the preeminent position of the government in China. There are benefits that come from local government support and from thinking about how to design services that can be seen as consistent with the aims of the national government in mind. In order to do that Ritchie and his team studied China’s 50-point football reform plan (published by the State Council in 2015) to better understand the state’s strategy for modernising football and how to better “build a long-term identity for Chinese football.”

For Future Lions, taking a long-term view has meant focusing on the grassroots development that is crucial to the reform plan. They have done this by hosting local events, sending coaches over to train unfamiliar PE teachers on how to teach the sport, and introducing football to students that previously may not have even kicked a ball. The goodwill and connections gained from supporting the government aims for wider engagement in football has led to a situation in which the government have been helpful to Future Lions.

This support has been crucial to entering the market commercially and ensures that Ritchie and his team are building a business that is responsive to local conditions and one that can grow and adapt as the country does. As Jeune says, “You might be a big fish elsewhere, but in a pond of over 1 billion, you need to know how to differentiate yourself in the right way culturally and believe in and understand your routes to market intensely.”

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