>>>Market Research Firm in China
Market Research Firm in China2017-04-10T03:41:31+00:00

Market Research Firm in China

Market Research Firm in China

You may be thinking about doing business in China.  But you don’t know the language, possess a limited understanding of the culture, economy and politics, have minimal knowledge of potential competitors or partners, and have little idea whether your product or service is even wanted.

If any of these situations apply, how can you get the information you need to succeed in that market?

Secondary sources about markets and companies, or government census data are more difficult for foreigners to access in China.  And even if found, much data may not be reliable nor properly collected.

It should be clear that to obtain more accurate and up to date information, it is quite important to find a market research firm in China that has a physical presence there (preferably in regions of interest to you).  Such a company should have several years of experience, a multilingual and multicultural staff, knowledge about your industry, good references and reasonable pricing.

Because of its enormous size, the best way to obtain representative quantitative data in China is probably via phone surveys.  After that, such qualitative techniques as personal interviews and focus groups can be used to complement the survey and probe for deeper insights into attitudes, perceptions, usage and other behaviors.

  • One major challenge is identifying a list or source to be used to contact respondents.

  • Working with a single entity should provide consistent quality and control over any market research project. It also reduces the number of instances when communications and language barriers can jeopardize a project.

Marketing, advertising, and market research are still relatively new to China.

In the past 25 years or so China has grown significantly as a global economy and market. Products are not just made there to be sold abroad, but increasing numbers are being imported. This has propelled the need for market research not only about consumers but B2B buyers and decision makers as well. Because of its relative newness, respondents may be uncomfortable with, or unsure about how to answer surveys and interviews. If someone says “yes” or “no” it might not mean either; a nod might mean “I agree” but equally could indicate “I understand what you are saying”!

Entering a new market is hard enough, but entering a new country with a very old history and culture can be daunting.

Here are a few hints that may help you to successfully enter the Chinese market.

  • The meaning of many product features may be quite different, and even offensive in China. It is important to understand that an awkward translation of a brand name or advertising slogan can result in rejection or lost sales. Likewise, the improper use of colors, images, and even numbers associated with a product can spell success or failure.

  • Concepts of family, respect for the elderly, trust, dependability and other aspects of a relationship have an impact on how business is conducted and how goods and services may be perceived.

  • Legal constraints may impact the sale and use of some products, both for consumers as well as in the B2B market.

  • There are also rules and regulations that impact logistics and distribution into, out of, and within China. Having a local presence and networking with the proper officials is a necessity to conduct business there.

  • Most significantly, Eastern and Western views may be radically different and create unforeseen problems if not identified early with the use of a market research or consulting firm familiar with all of these issues.
  • If not already evident, it makes good sense to hire an interpreter that is fluent in the local dialect. The last thing you want to do is draw an incorrect conclusion based on a miscommunication of words or gestures.

Today’s China Market

China is the world’s 2nd largest economy with an emerging middle class, booming luxury goods and e-commerce sector and large manufacturing base.  Below are some of the trends happening now in the market.

  • Businesses face opportunities and challenges as they increasingly face local competitors, rising labor costs

  • Yuan opening to the world

  • Region becoming innovation hub

  • New emphasis on consumption

  • Chinese spending on property, companies and tourism

  • Opportunities in tier 2-5 cities

Luxury Market Trends

One of the largest luxury markets in the world, Chinese consumers are looking for the following:

  • China is the world’s top consumer of Luxury Goods
  • Luxury consumers tend to be younger
  • Considered a reward
  • Luxury market expected to grow rapidly
  • Champagne sales have grown significantly each year for past 3 years
  • Growth despite high import fees and markups
  • Chinese traveling abroad
  • Conspicuous consumption

Technology & eCommerce in China

Did you know about China?

  • World’s biggest smartphone market, overtaking U.S.
  • China currently building world’s largest 4G LTE network
  • Plans to increase the country’s online population to 800 million by 2015
  • Cloud computing, ecommerce & mobile payments on the rise

Many organizations see China as sources of competitive advantage.

  • As an innovation center
  • Serving low-income consumers in the developing world
  • Cost advantages

Choose SIS

Asia is increasingly becoming the focus and priority of global economic activity, presenting opportunities and Challenges. Given China’s diversity, different approaches for data gathering and insight are needed.  SIS, a Market Research Firm in China, provides advantages with extensive experience and skill sets.