Here are this week’s news and highlights for China:
China Reducing Massive Influence of Social Media Celebrities: China’s top-10 online celebs have 67-90 million online fans, dwarfing celebs like Oprah Winfrey. China is trying to contain the influence of these social media celebrities.
China Trademarking that Resonates: Important considerations when registering Chinese trademarks.
Alibaba Looks to Push the Business World into the “She Era”: “Just think about it carefully, what do women do better than men other than giving birth?” With sentiment like this Beijing investor’s present in China’s business world, much needs to change. Alibaba held the second She Era Conference last week – China Skinny was there and reflects on women’s role as businesspeople, mothers and consumers.
Time for Chinese Convenience Stores to Form Distinct Identities: Chinese convenience store chains need to look at ways to differentiate their stores from those of their competitors in a sector that saw average annual growth of 13.6% between 2011-2016 – ahead of supermarkets and hypermarkets. Over half of urban Chinese convenience store shoppers cite product quality as their main concern when deciding a store, followed by proximity and in-shop services according to Mintel.
China June Trade Data Buoyed by Robust Demand at Home and Abroad: First-half imports rose 25.7% from the same period in 2016 to ¥5.93 trillion ($870 billion) and exports grew 15% to ¥7.21 trillion ($1.1 trillion).
Alibaba Launches Platform To Link US Businesses With 500 Million Chinese Consumers: Alibaba is launching Taobao Global U.S. Merchants Network to link small- and medium-sized businesses with Taobao merchants, making it more efficient for merchants to identify and work with US businesses.
Flagging Chinese Smartphone Maker Xiaomi Rebounds with Record Second Quarter Shipments: Xiaomi shipped 23.2 million smartphones in the second quarter of 2017, up 70% on the first quarter of this year. The company credited the turnaround to increasing investment in research and development (the company was granted 2,895 patents in 2016), a comeback after supply issues last year, and moving from an ecommerce-dominated strategy to opening 123 physical stores.
JD bringing Japan closer to China: JD.com is making it easier for consumers in China to purchase products from Japan, with a new logistics partnership and flagship online stores on the way. The goal is to launch a delivery service later this year that will get fresh fruit, vegetables and other produce from Japan into the hands of Chinese consumers within 24 hours.
‘Buy Buy Buy’ is No Longer the Mantra of the Chinese Tourist: In 2016, the average Chinese tourist spent about ¥6,705 ($988) on shopping when travelling (33% of travel expenditure), down from ¥8,050 ($1,186) in 2015 (41% of expenditure). Overall holiday spending – including on hotels and sightseeing – rose 3.5% to ¥20,317 ($2993) from ¥19,635 ($2,893) according to a survey of 2,000 Chinese travellers. Easier access to foreign products in China is believed to contribute. Chinese travellers remain the biggest spenders in the world, shelling out $261 billion in 2016, up from $249.8 billion in 2015.
5 Reasons Why Wanda Made the Surprise Move to Sell Its Chinese Theme Parks: Wanda has sold 13 Wanda Cultural Tourism City parks and 76 hotels for around $9 billion to Sunac China, likely to be a result of mounting debt and investigations from financial regulators.
Porsche Reports Record Sales as Chinese Demand Soars: 28% of Porsches sold this year have been marked for Chinese consumers, making China Porsche’s largest market. The average Chinese owner of the Panamera model tends to be about 15 years younger than owners in the US and UK.
Global Automakers Call on China to Ease “Impossible” Electric Car Rules: Keen to combat air pollution, China is planning to set goals for electric and plug-in hybrid cars to make up at least a fifth of Chinese auto sales by 2025, with a staggered system of quotas beginning in 2018. The strict new rules plus planned harsh penalties for non-compliance, such as the cancellation of licenses to sell non- electric cars in China have automakers world-round hoping to see some compromise from Beijing.
China’s Super Rich Set to Splurge $58 Billion on Gifts: By 2020, China’s super rich are expected to spend $58 billion on gifts – 30% more than this year. An emerging trend is the growing popularity of paying for unique experiences as gifts over physical goods, as these experiences are novel and stand out to impress more.
Burberry Boosts Sales, Thanks in Part to Chinese Social Media Drive: Burberry’s online sales in China have more than doubled since last year, with Burberry crediting a social media drive that more than tripled the number of consumers who encountered its marketing material on WeChat.
UK ‘Now Less Appealing’ to Rich Chinese: Britain slips to 3rd in preferred migration destinations, trailing the US and being overtaken by Canada, where Montreal has trumped Vancouver for Chinese real estate investors. Around half of millionaires surveyed are considering a move with pollution, education and the devalued yuan the main reason for going according to Hurun.