Communication in China: Targeting Chinese Companies
What are the most effective ways of communicating with Chinese companies from a seller’s point of view? The answer to this question depends on the type of product or service you’re selling and the stage of the sales process you’re at. Establishing an initial contact, making contact with a repeat customer or maintaining a relationship require slightly different approaches, one of which is participation in trade fairs/exhibitions and conferences.
The following conclusions are based primarily on research by Matthew Harrison and Mark Hedley of B2B International.
Top 7 Most Effective Ways for Communication in China
#1 Communication in China
Exhibitions and conferences
Exhibitions and conferences are one of the most effective ways of establishing initial contact and helping to maintain brand awareness in the market. Trade shows enjoy great popularity in China, and their number increases every year.
Obviously, organizing a trade show is one of the most expensive marketing promotion events, but it is essential at the introductory stage and helps to establish the first contact. The cost can also be reduced if you decide to partner with another company, your agent or distributor. You don’t need to have a grandiose stand with lots of square meters to make an impression, but an attractive and memorable design is very important.
Spending time and money on your trade show presence will also help convince potential buyers that you’re committed to the local market and that you’re here to stay.
Well-designed posters, strategically-placed video monitors and friendly giveaways for your visitors can help draw people to your stand, which is ultimately what you want at a trade show.
As Matthew Harrison and Mark Hedley of B2B International noted in their white paper:
“Chinese visitors would feel much more comfortable dealing with a company they’ve seen at the show, even if it’s only a first meeting. The fact that you spend time and money on your presence at a trade show would also help convince potential buyers that you’re committed to the local market and that you’re here to stay.
It’s also worth remembering that exhibitions are an indirect form of marketing and rarely lead to immediate sales leads in the short term. The benefits of participating in these exhibitions can seem frustratingly intangible to Western companies, as there’s no way of assessing their true impact on sales. It may be that Chinese businesspeople are culturally disposed to exaggerate the importance of fairs and exhibitions, but it’s also true that companies that don’t participate in key exhibitions can create a negative impression with customers simply by their absence.”
The vast majority of trade shows are held in first-tier cities: Shanghai, Beijing, Shenzhen and Guangzhou, but recently more and more shows are also being held in second- and third-tier cities.
If you’re planning your first trade show in China, here’s what I suggest you consider in advance:
- Always choose the largest and busiest trade show in the region where your customers are located;
- Book as early as possible, as good places go fast. Some organizers sell places by tender, in which you or a member of your staff must participate;
- Visit the show a year earlier to get a feel for it. Look for the most interesting stands, and find out about the contractor who built them and whom you will contact later. The quality of stand construction can be a major issue, so look for a reputable contractor in advance and monitor their progress during construction by being on-site at all times;
- Make sure you have enough souvenirs for your visitors – some less expensive, like pens, and some more expensive for selected customers who take the time to ask you questions and seem genuinely interested. There’s nothing more frustrating than running out of goodies and documents before the end of the show. On the other hand, if you have a surplus, you can always use it next year or at another show;
- Prepare your marketing material (brochures, data sheets, etc.) in Chinese, with smaller quantities in English for international visitors;
- Choose a “star product” and build the whole theme around it. Concentrate on a single message you want to get across, and avoid confusing your visitors (especially those who don’t know you yet) by being all over the place;
#2 Communication in China
E-mail communication is one of the preferred ways to communicate with your customers in China. It’s also the most convenient way to keep in touch with your existing customers. While many Chinese may be embarrassed by their low level of oral communication skills in English, they feel quite comfortable discussing the same issues in written communication.
In fact, most business people in China today have a very decent level of written English, making this method preferable to direct telephone calls. E-mail is an excellent way of following up meetings and providing further details after initial contact. Make sure your e-mails are written in simple language and avoid long sentences to make them more readable.
#3 Communication in China
Websites
Having a localized website is essential for promoting your business in China, a country with around 400 million e-mail users. Localizing your website requires a well-planned effort, the most important aspect of which – translation – was covered in our previous article.
92% of Chinese Internet users use a social media platform, so it’s essential to maintain your presence there.
Having a professional, modern website can also set you apart from most China-based competitors, who tend to have messy, cluttered sites. Don’t forget that your website is probably the first place an interested customer will look after meeting you for the first time.
#4 Communication in China
Social Medias
Sina Weibo, the Chinese microblogging platform, and WeChat the mobile network, are by far the most popular of these services. The great thing about Weibo and WeChat is the ability to broadcast your message instantly and directly to your followers’ mobile devices.
Once you’ve set up your Weibo account, make sure you put its URL and QR code on your print and digital marketing materials and encourage your customers to log in (WeChat is different from Weibo in this way).
LinkedIn is not currently as popular in China as alternative professional networks, so we’ll review these services in later posts.
#5 Communication in China
Face-to-Face Meeting
Personal relationships are still the rule in Chinese business. Taking the time to personally visit your customers is one of the best investments you can make.
Insist on accompanying your salespeople, agent or distributor on their visits, even if you don’t speak Chinese. If you’re giving a presentation, make sure someone from your company who knows the subject translates it.
#6 Communication in China
Phone Calls
Phone calls may be of limited use if your customers have difficulty understanding your English (or your accent) – they can still be an effective way of keeping in touch with those who speak it well enough. However, with the proliferation of instant messaging, where you can control your availability, calling someone’s cell phone directly can seem less thoughtful.
Excellent mobile instant messaging services, such as WeChat, could be a great way not only to communicate, but also to spread your marketing message.
#7 Communication in China
Relations and Networking
Chinese guanxi remains important in the Chinese business environment, although the concept as a whole may be alien to many foreigners. Guanxi refers to a person’s network of personal relationships in a business context. The concept of guanxi also implies that business relationships can often turn into personal friendships, and indeed many Chinese businessmen consciously devote a great deal of time and energy to nurturing such relationships. This may take the form of banquets, parties or gifts – activities that may seem expensive and unnecessary to many Westerners.
As Matthew Harrison and Mark Hedley of B2B International write in their white paper:
“While this type of networking and relationship-building is clearly important to the sales process in China, some commentators tend to overemphasize its importance when trying to penetrate the Chinese market.
As in any market, building strong relationships is extremely important to market success, although guanxi is no substitute for a solid product offering or a trustworthy supplier. What Western companies sometimes find hard to accept is how this trust is earned, and how long it often takes to convince the customer that your product or service meets their needs. The overriding advice to Western companies would be to understand the importance of building relationships when targeting Chinese companies, and to be prepared to exercise the patience necessary to do so.”
HI-COM is a multilingual communications agency dedicated to providing China-specific social media communications and e-commerce marketing services to companies worldwide. Working with over 100 brands, HI-COM is the go-to partner for companies looking to break into the Chinese market!