Mark Tanner
Mark Tanner
12 December 2018 0 Comments

Over the past few years, one of the fastest growing trends in China has been sports and fitness. This has led to the growth of sporting products and services, as well as consequential purchases spanning categories as diverse as vitamins and tourism. The trend is being driven by both the Government who realises the health, social, economic and patriotic benefits of sports participation, and consumers who appreciate the upside in health, and are often seeking more from life.

China’s tech giants have been flirting with the craze for some time, but of late, more are utilising their pools of cash and the ever-increasing capabilities of their apps and algorithms to take things up a notch.

Last week Ctrip announced that they would be subsidising skiing-related activities by ¥100 million ($14.5 million). This follows Beijing’s push leading up to the 2022 Winter Olympics and undoubtedly user data is pointing to a spike in skiing-relating traveller activity.

In late-November the current cool kid on China’s tech block, ByteDance, announced a partnership with the NBA. This will see the league take advantage of China’s short video craze by offering bite-sized content on its Douyin, Toutiao and Xigua platforms. Unlike previous content deals between Chinese tech giants and the NBA, the content will be much more personalised to users’ needs, served directly to them using ByteDance’s clever AI algorithms.

The most interesting recent initiative in China’s sports world was last week’s announcement that Alibaba is offering a ‘Money Ball’ approach to individual sports. Just as professional teams use reams of data to maximise performance, Alibaba is hoping to use analytics to help individuals improve their performance, change the way sports events are managed and – obviously – influencing the related goods and services they buy.

There is unlikely to be another company globally who is better placed to serve and profit from athletes than Alibaba. Alibaba will be able to leverage its far-reaching data sources and customer connection across many of its platforms. These include Tmall and Taobao to sell sporting accessories and nutrition, Fliggy for sports event travel, AliHealth for aching joints and everything else that can go wrong in training, Focus Media for targeted sports-related advertising to users, its New Retail stores and partners such as Intersport, Ele.me for delivery of sports-related stuff for training and events, Youku for paid sports-related content and tipping, the list goes on…

One of the key takeouts from each of the tech giant’s initiatives is the extra user data that they’ll glean, allowing them to better personalise to individual’s needs and behaviours. A survey this month by China Skinny found sport and fitness is the category consumers most seek personalisation – with 44.8% of respondents finding it appealing. Brands should take note of the rise of sports and related categories, and how fans and athletes are participating in the digitally-integrated China. These realities should be integrated into many China marketing strategies – something China Skinny can assist with. Go to Page 2 to see this week’s China news and highlights.

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