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Key Factors to Succeed in the Chinese Market - Puzzle Asia

The Key To Success in China: Data-Driven Marketing

Make data-driven decisions and Drive customer engagement. 

Data-driven marketing is the key to success in China. When trying to approach Chinese consumers, it is imperative that you adopt a data-driven approach to marketing. This kind of approach will provide you with speed and accuracy, two things that will help you stand out in the vast Chinese market. 

Some of the most prevalent social marketing techniques in China include WeChat, Weibo, and KOL. For all these techniques, you need to spend a significant amount of time and investment, in order to bring awareness to your brand.

However, are your efforts showing in your ROI?

If your answer is YES, you are on the right way!

If your answer is NO, remember that it’s never too late to make improvements.

What you need to do, is to enhance your new or existing marketing campaigns with Chinese consumer data packs.

Consumers’ expectations have risen when it comes to marketing relevancy

An important reason why you need to adopt a data-driven approach is the importance of bringing your marketing messages to the right Chinese audience. Nowadays, Chinese consumers are used to receiving campaigns that are relevant to them and their interests. Irrelevant campaigns might lead to ad blocking, a fact that will only waste your money and efforts.

Before taking any action, you have to ask these questions:

  • Do you know your market share in China?
  • Do you know the unique traits of each Chinese social media platform?
  • Do you know who your target audience in China is?
  • Do you know how your competitors are doing in China market?
  • Are you targeting the right audience?

I’m getting a lot of clicks, but it doesn’t reflect on the sales figure.

In this case, you must utilise a big data set to develop your own target custom segment who:

  • Has interest in your brand
  • Has interest in your competitor’s brand
  • Has purchased your competitor’s brand

 

Build CRM for your Business!

If you already have some Chinese consumers, you must build a CRM system. The data from your existing customers will give you insight into your consumers’ interests, including their online consumer behaviour. There are many Chinese consumers out there who would have an interest in your brand. Use your database to find out all those potential consumers in China.

For example, you run an online shopping mall, specializing in selling beauty products. In the past months, 100 consumers from China placed orders through your WeChat store, Tmall or website. How can you utilize your CRM to build a unique audience for your brand?

  1. Online consumer behaviour: find out what influenced or encouraged consumers to buy your product?
  2. Audience profiling: Is your audience mainly from Tier 1 cities in China? Shanghai or Beijing? Which city in particular?
  3. Evaluate Sales Channel & Platform: which sales channel did consumers use?
  4. Reviews: find reviews on Chinese social media about your products.
  5. Use your CRM as a sample audience. Identify the potential audience for your brand and business based on the sample audience.

 

Challenges of adopting data-driven marketing in China

At the moment, there is no regulation in China that necessitates third-party tracking for marketing campaigns, e-commerce and other online activities. For this reason, many data remain either non-transparent or held as proprietary by local publishers and e-commerce platforms. This creates serious obstacles for brands, looking further into the detailed profiles on users who took an interest in their products on WeChat, or Tmall.

It is widely recognized that employing an effective data management platform (DMP) – through a pricey and resource-intensive investment – will ultimately pay dividends. This platform allows you to collect, store and manage data for further deployment in analytics, segmentation or decision-making.

Yet, in China, marketers find it hard to gather and consolidate data under a single DMP compared to other markets. This happens because many brands tend to engage multiple data partners in China. This leads to incomplete or unreliable data that cannot be used for further deployment. And even when it is possible to collate data from different sources, it is rather expensive to clean and verify the data before they can be of valuable use.

What You Can Do

1. Have a good grasp of your own first-party online and offline data

  • Track closely from the moment the customer lands on your web pages and starts to navigate around. This will provide you with important data about the purchase decision process for each customer. This can be complemented by data collected via your physical or offline stores in China.
  • Study metrics of each of your marketing campaigns run in China, such as the CTR, VTR, or lead generation rate for future marketing effort adjustments.
  • Monitor user interactions on your Chinese social media channels like WeChat, Weibo, RED (Xiaohongshu) and Douyin (Tiktok). This also checks your target audiences’ sentiments towards your brand.

2. Employ a capable DMP and analytics team to interpret your first-party data

  • The quality of data is paramount. By employing a capable DMP and analytics team, you will ensure the validity of your activities and sense-check the decisions made based on the analysis of the data.

3. Find the right partner who truly delivers.

  • With your quality first-party data ready for deployment, it is time to pick the right partner who can run data-driven targeted campaigns, specifically for China. Only through this can you ensure that your marketing message will be delivered effectively to the right group of people, in a brand-safe context.
  • The right partner should possess robust capabilities in data and technologies with strong local market expertise and connections to ensure that your message will be delivered to the right people on premium and high-quality media.

About Us

At Puzzle Asia, we aim to deliver data-driven marketing in China, which can be used by agencies, marketers, and DSPs alike. Supported by context-rich audience profiles of Chinese Internet users, the solution helps marketers reach their target audiences in China based on attributes that range from demographics, geographics, online patterns and behaviours, interest, purchase intent, lifestyle and more.

Understanding marketers’ concern in metrics accuracy, we partner with independent third-party data firms to provide you with high transparency into their campaign’s viewability and ad metrics.

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