We love forecasts!
Are you wondering what direction the Chinese market is taking in the unpredictable pandemic climate that disrupts the whole world markets? It’s not easy to know what’s going to happen, but some things are clearer than others.
(Are you too lazy to read the whole article?)
Here is a small overview of the contents:
If it is clear to everyone that covid19 has given an epochal push to digitalization in the world, it is perhaps not clear that consumers are absolutely not willing to give up the experience in the name of an aseptic iteration.
The challenge for companies in the coming years will be precisely to develop their own content taking into account experience, entertainment, and personalization for their target customers.
In fact, it is now clear to everyone that digital interaction does not fully meet our emotional needs, whether it is training, entertainment or shopping.
Even in the most digitized country in the world, where online shopping has been rooted in consumers’ shopping habits for years, it is the companies that value customer empathy processes that are most successful.
What else is very important to Chinese consumers? The protection of customer Data Security and Privacy. That’s right, despite the fact that the Chinese government firewall is known to have accessed all data of connected users, no one likes the idea of their data being sold for commercial purposes to other companies.
But let’s see in detail 10 trends that will characterize the Chinese market in the next 5 years:
1. Digital and digital again.
As physical interaction has become complicated and largely unappreciated by consumers, by 2021, 70% of organizations will decide to go digital through automated operations and contactless experiences.
By 2025, companies with excellent performance in terms of empathy and security on a large scale perform 40% better than those without the same capabilities.
What does it mean to be “empathetic”? Listen to what customers and staff are saying, try to put yourself in their shoes, and then make changes based on feedbacks.
Are you shocked by the great success of TikTok? (I remind you that it is called DouYin in China). The world’s most popular micro-video app has focused on a very simple concept to hit Gen-Z: entertainment. By 2022, 45% of China’s 500 B2C brands will ask executives to increase their use of “consumer entertainment” applications to achieve the best results.
4. User generated contents
User-generated content is fast becoming one of the most credible and effective content marketing strategies. In fact, 84% of millennials say user-generated content influences their purchasing decisions. Since videos account for 84% of Internet traffic, it’s only natural for brands to combine the appeal of video content with the credibility of user-generated content. Thus, by 2025, companies that have invested in consumer-generated videos will reap their rewards.
Starting in 2021, Chinese customers will prefer to work with companies whose digital transformation can be quickly and easily with recent changes. Nobody wants to be left behind in this digital race.
In choosing which digital platforms to use, Chinese consumers will tend to prefer mature and stable ones known to adapt to changing customer needs through faster innovation.
Due to the high level of digitalization, Chinese consumers expect fast and flawless customer service. Immediate answers to questions within hours and same response times on weekdays as on weekends. Everything happens in real time, which is why companies should strive to improve and standardize processes as much as possible in order to offer immediacy, personalization and accessibility to their customers.
8. Social responsibility
In 3 years the issue of social responsibility for companies will become crucial. Consumers are developing a growing interest in issues such as business ethics, respect for the environment, sustainability, respect for human rights. Companies that want to work with China also take this fact into account.
9. Personalized experience
By the end of 2021, 65% of new mobile applications will focus on providing a personalized digital experience for consumers, making consumers identify more with the new digital ecosystem.
10. Privacy and data value
Within 5 years, consumers become fully aware of the value of data. The theme of Privacy and data sharing, highly debated and decidedly controversial at the moment, will be resolved by “paying” customers with loyalty services and personalization of the experience in exchange for the data granted.