Marketing differences between China and Europe
When venturing into distinct markets like China and Europe, it is important to understand the cultural, technological, and regulatory aspects to maximize the impact of your marketing campaigns.
This article explores in detail the major differences and offers practical advice to adapt to each region.
Marketing differences in the various digital ecosystems
China and Europe have distinct digital ecosystems, shaped by specific platforms and unique usage habits.
In China: A closed and autonomous digital ecosystem
China has developed a unique digital ecosystem dominated by local giants such as WeChat, Douyin (Chinese version of TikTok), and Tmall.
These platforms, often referred to as “super apps” offer a multitude of integrated services. They allow users to communicate, make purchases, pay bills, and interact with marketing campaigns without leaving the application.
- WeChat: In 2024, WeChat has over 1.67 billion monthly active users, with a 27% increase since 2022. Every day, 45 billion messages, 205 million videos, and 6.1 billion voice messages are exchanged.
Here are the different services available on WeChat.
- Douyin: Douyin, the Chinese version of TikTok, reached 746.5 million monthly active users in 2023, making it the second most popular app in China after WeChat.
- Tmall: Tmall, an e-commerce platform, attracted 877 million monthly active users in 2023, with a majority of consumers seeking international cosmetic and fashion products.
In Europe: A fragmented and globalized digital ecosystem
In contrast, Europe relies on global platforms such as Google, Instagram, and Amazon. Users navigate between different applications for various activities.
- Instagram: In 2024, Instagram has 1.38 billion monthly users worldwide, with a significant presence in Europe. For example, the UK, Russia, and Turkey are among the countries with the largest number of Instagram users.
- Amazon: Amazon dominates the European e-commerce market, serving as the main platform for online shopping in many European countries.
In China, payments are made directly within entertainment platforms, a practice called Social Commerce.
Implications for businesses
To penetrate the Chinese market, companies must adopt an integrated strategy focused on these local applications.
For example, developing mini-programs on WeChat allows for a smooth and immersive user experience. It encompasses communication, purchasing, and customer service within a single application.
In Europe, it is essential to master natural referencing (SEO) on Google to ensure optimal visibility. It allows engagement to be fostered on social media like Instagram. It also guarantees a consistent user experience between desktop and mobile platforms.
Smartphones: A marketing standard in China, a transition in Europe
In China, the smartphone is omnipresent in daily life, serving as the main tool for payments and online shopping.
In 2022, the country had approximately 904 million mobile payment users, representing over 80% of Chinese internet users. This massive adoption is facilitated by apps like WeChat Pay and Alipay, which allow for fast and secure transactions.
Platforms such as Douyin (the Chinese version of TikTok) and Xiaohongshu (Little Red Book) have integrated live streaming features. Direct commerce is present, offering interactive and engaging experiences.
In May 2024, 90.1% of Douyin users in China watched live content.
This trend encourages companies to adopt a “mobile-first” strategy. It also drives them to invest in mini-programs on WeChat to effectively reach their audience. Check out these statistics for more details.
In Europe, although mobile usage is growing, computer use remains predominant, especially for high-value purchases. Mobile payments are gaining popularity, but their adoption varies by country.
For example, in 2021, only 10% of French consumers used mobile payment services in stores, compared to 52% in Denmark.
This situation requires brands to offer an omnichannel experience, where mobile and computer complement each other. However, they also need to optimize their mobile friendly platforms, especially with the rise of social media advertising.
In conclusion, while China has fully embraced mobile as the primary channel for transactions, but also customer engagement, Europe is still in a transition phase.
Businesses must adapt their strategies based on these differences to meet the specific expectations of each market.
Culture and values: Adapting to local marketing expectations
Effective marketing strategies in China and Europe require a deep understanding of cultural traditions. Societal values are unique to each region.
In China: Integrating cultural traditions into marketing
Marketing campaigns in China strongly rely on traditional festivals, such as Chinese New Year and the Mid-Autumn Festival. These are periods of high consumption.
For example, during Chinese New Year in 2023, retail sales increased by more than 12% compared to the previous year.
International brands adapt their offers by launching special collections or festive red packaging. This color symbolizes luck and prosperity in China. This approach demonstrates an understanding and respect for local traditions, reinforcing the authenticity perceived by Chinese consumers.
In Europe: Focus on ethics and sustainability
European consumers place increasing importance on ethics, sustainability, and corporate transparency.
According to a study by the Institute for Business Value, nearly 80% of respondents consider sustainability an important factor in their purchasing decisions.
Marketing campaigns that highlight eco-friendly practices, fair trade, and social responsibility resonate positively with the European audience.
For example, companies like Patagonia and LEGO have integrated sustainability at the heart of their strategy. This has strengthened their brand image and relationship with consumers.
Adapting to European cultural diversity
Europe is a collection of diverse markets, each with its own cultural and linguistic sensitivities.
It is therefore essential for brands to adapt their messages and marketing strategies to each country, especially if they want to ensure effective communication that respects local specifics.
Regulations and compliance: Different constraints
Navigating Chinese and European markets requires a deep understanding of local regulations. These directly influence companies’ marketing strategies.
In China: Strict regulations and content monitoring
China imposes strict controls on online content. This aims to maintain political and social stability. The Cyberspace Administration of China (CAC) supervises internet regulation, defining prohibited content categories and monitoring online activities.
For example, a 2000 regulation identifies nine prohibited content categories. It includes those that compromise national security or spread rumors.
Moreover, China has strengthened personal data protection with the Personal Information Protection Law (PIPL) in 2021. It imposes strict obligations on companies regarding data collection and use.
In Europe: Data protection and user consent
In Europe, the General Data Protection Regulation (GDPR), in effect since May 2018. It establishes a strict framework for the collection and processing of personal data.
Companies must obtain explicit user consent before collecting their data. This significantly impacts digital marketing strategies, particularly by limiting targeted advertising options.
This regulation aims to protect individuals’ privacy, but it also requires companies to rethink their data collection and marketing practices. For example, email campaigns must now ensure that recipients have given prior consent. Websites must clearly inform users about the use of cookies and other trackers.
Adaptation strategies for companies
The marketing differences between Europe and China are numerous.
To operate effectively in China, it is often advantageous to collaborate with local partners who understand regulatory and cultural nuances. This will facilitate navigation in this complex environment. In Europe, companies must adopt total transparency in their data collection practices. They must ensure compliance with the GDPR to maintain consumer trust.
Opportunities despite constraints
Although these regulations pose challenges, they also offer opportunities. In China, compliance with local standards can strengthen credibility with consumers and authorities.
While in Europe, a transparent and privacy-conscious approach can positively differentiate a brand, meeting consumers’ growing expectations for data protection.
To conclude, understanding and adapting to local regulations in China and Europe is essential to developing effective and compliant marketing strategies while building consumer trust.