For several years Chinese consumer sentiment has been shifting in favour of local brands and this has been accelerated by the coronavirus.
- The combined value of China’s 500 top brands has doubled to around $3.8 trillion over the past four years, according to World Brand Lab.
- Marketing and product development is more closely aligned with Chinese consumers’ needs and tastes.
- Marketing-leading infant formula brand Feihe, for example, claims to be “More suitable for Chinese babies”.
- Local brands typically offer lower prices and better online distribution, important considerations for consumers during the pandemic.
- A new wave of insurgent Chinese brands is more likely to be online from day one.
“Chinese shoppers are showing stronger confidence in local brands,” Helen Wong of Qiming Venture Partners tells Bloomberg. “The coronavirus is accelerating the trend as people stay home, watch livestreaming, and shop.”
Sourced from WARC