This week we talk about the things that stirred China’s Internet lately. Many of them prove Chinese people are surely entitled to have some trust issues. And that’s actually what Tait talks about in his latest blog post. He asked on LinkedIn whether Chinese consumers are trusting of new brands. Well, they are not - as we heard from the marketers with a China-based experience, which did not surprise us.
Tait’s idea is to use a 'brand trust profile' as a way to figure out how to win over Chinese consumers' trust (read it here).
What’s your experience? Share it with us, we always look forward to learning more! Join in the discussion.
PG One, China’s most popular rapper, became a top-searched keyword last week. He was already in the limelight because of his affair with a much older and married actress. Then one of the netizens complained the rapper in the lyrics of his songs encouraged teenagers to take drugs and insult women. The Communist Youth League said the rapper had failed as a role model for many young people following him on social media.
- Read more (Chinese)
Also, after PG One published apologies on his Weibo account, some suggested that his followers and likes might be fake. He usually gets reposted more 1 million times, but his apology post, which attracted more attention and discussion than ever, didn’t even get 10% of the usual reposts. - Read more (Chinese)
Well, it’s certainly the fastest way to lose trust as a KOL.
China’s Social Credit System (SCS) has been a hot topic lately as it’s supposed to become reality by 2020. Emily Rauhala tweeted a few days ago that “the automated announcement on the train had warned that breaking train rules would hurt the personal credit scores”.
Yet another news broke lately. Zhejiang citizens’ credit score will be soon affected if they fail to recycle their rubbish. Obviously China’s had serious environmental issues and has a desperate need to solve it, but SCS still sounds scary, at least to me. - Read more (English)
Earlier, when we discussed SCS, some people (me included) expressed concern that Chinese people do not care too much about their personal data if the convenience is on the table. Turns out it might not be entirely true. A week ago Alipay allowed its users to check their personal 2017 spending report. It looked great and was highly sharable on social media. The problem is that to access the report, many users unknowingly agreed to let Alipay access their credit scores generated by Zhima Credit. Answering to the complaints, the company apologized on its own Weibo account, but users now feel they lost control over their personal data and demand a legal penalty for the company. - Read more (English)
At the same time the second big player, Tencent, had to face allegations that they spy on WeChat users’ messages. The company claims they don’t, but not too many people choose to believe them. - Read more (English)
The Chinese Millennials are becoming the strongest spending force in China. 31% of them expect a significant increase in their income in the next 5 years. Also, 68% of the surveyed Millennials say they intend to spend more on high-end clothing, shoes, jewellery, cosmetics, perfume, bags and accessories in the next year. They’re focused on affordable luxuries, having stressed the luxuries. They shop both offline and online, where their favourite platform is Tmall. What they look for offline is rather fun. For those companies that are able to provide personalized and customer-oriented experience, it's a great way to built loyalty and trust in their brand. - Read the report here (English)
Live-streaming has been a hot thing for a while now, but it seems to never stop evolving. A new stunner is "Who Wants to Be a Millionaire" type of a live quiz game. It’s available on many platforms. Every game has 12 questions of various categories. After the host asks the question, a dialogue box appears on the viewers’ screen and enables them to answer. If they answer all the questions correct, they may win a prize. - Read more (Chinese)
It’s a great example of how fast technology develops in China and how new marketing channels are being adapted and used all the time.
Mobile payment service is “no longer a nice-to-have option, but a necessity” as China’s become a cashless society. Anyone who hesitated is out of business already. Chinese sellers are open to a change. They’ll adapt to any further digitalization. - Read more (English)
Need a proof? Last week I was walking down the street in Nanjing and there he was - a self-proclaimed musician with QR codes in front of him. You can no longer get away with saying you have no coins.
So, just in case you needed a guide on payments in China, check here.
There were some regulations published this week regarding the mobile payments. The payment barcodes will be categorized into four classes (A-D), depending on vendors credibility, in order to protect people from different kind of digital viruses. Class D means high risk and the daily limit is set to 500 Yuan a day while class A codes have no daily limit. - Read more (Chinese)
Following the development of WeChat ID, Tencent just made three major updates to its most recognisable app. One of them is an electronic social security card. It will save people from lining up in the hospital. Also, insurance payments and cost reimbursements of medical expenses will go through user’s WeChat Wallet. - Read more (Chinese)
The Chinese Consumer Association issued a report on the major consumer rights and public opinion hot spots in 2017. Things that moved Chinese people most were: frauds taking advantage of elderly people’s trust, shared bicycle company unable to refund deposits and hotel service and food safety issues. - Read more (Chinese)
Tencent looks forward to transforming TenPay into a comprehensive financial services platform as the company has been granted a licence to sell mutual funds. So far they could only act as a third-party platform. It secures Tencent’s position on the market and assures its stable growth. - Read more (English)
Shanghai updated its policy regarding business set up by foreigners. It will be easier to start it in the city’s Free Trade Zone. If you’re a “top foreign talent” with a resident card, you’ll be able to establish a technology company or limited liability partnership, which was not possible before. Also, new rules “brings foreigners a status equal to Chinese citizens in areas such as market entry, financing and company listing in stocks”. - Read more (English)
See you next week!