“All Consumers are not created equal” says author Garth Hallberg - truly, it is not difficult to put together a mosaic of different personalities together and just on their different appearance, marvel at the diversity of people we have around the world. As I watch the variety show “American Idols” over Starworld, and a recent overwhelming number of talent competition variety shows here in China, I wonder if I am normal any more! Those participants are really different from me!

Any entrepreneurial marketer should only be interested in a business model that has an identifiable market with a sizeable homogenous group of commercially viable consumers as the target market. This also mean there are different types of markets with different needs and wants. A good business model if it has a large enough group of consumers that can be reached and give a profitable economic return. By focusing on using limited resources to get into the heart and mind of this group, a marketer must attempt to find out what “turns these people on” (because what turn them “on” may turn others “off”!) and what keeps them ticking. Then design a solution not only to meet their needs, but more important, their aspirations. And, it is not just for the body, but also for the mind and soul too, because marketing, branding and positioning is all about the battle in the mind.

There are 2 major challenges marketing to consumers here in China. With an immense diversity of culture and wealth distribution, it is not difficult to recognize that there are differences. The million dollars question to answer for marketer is to find a REACHABLE and SIZEABLE COMMONALITY that will make commercial sense. REACHABLE - distribution channel infrastructure is not yet well established (hey, loud business opportunity here!) so, it is very expensive to distribute goods across a nation that is almost the size of the whole Europe! Any viable business should not look at selling across the whole nation of 1.3 billion people. Can we realistically reach all of them? SIZEABLE - after acknowledging that we can only reach, say, all the channels here in Shanghai then we must answer is the group big to enough to be sustainable. COMMONALITY - it is well and good to be able to customize, but it must make business sense and more importantly, production sense. So, the next thing a marketer should focus on is how to satisfy the common needs and wants of this group.

Winston Nyo

General Manager, Village Earth Pte Ltd

Merry Christmas and Happy New Year! With all the festive mood of buying and giving, it would be hard for a marketer not to notice brand buying behavior around.

In Asia and especially here in China, branding is taking a very unique form.

I have always learned and believe that branding is about delivering the promise of the brand’s position in the minds of targeted customers. I was very naive to believe that “promise” is about quality, design and image. I used to believe that the promise of quality was most critical. I was proven wrong. The market in China is not short of examples where prestige outweighs promise. Customers are more concerned with face than with fulfillment. Often, the request for delivery is confusing and conflicting.

We have been dealing with corporate using cultural festivals to build customer relationship with gifts. An example would be the mid-autumn festival or what we call the moon cake festival back in Singapore. Customers had always requested that the gift set should be unique, ie different from others. Yet, it must carry the moon cake that is a long time brand, ie same as everyone. The definition of a “branded” moon cake that it must be acceptable by the general public. Customers had often requested for long time well known brands, which should be strong market leader. Going to the retail shops to hunt for this brand, we saw an unbelievable sight at the retail store. Checking out a long time leading moon cake brand, not only it was not individually packed like other brands, it was packed in very “cheap”looking box! But this is what customers prefer over a high quality well packed moon cakes (where the factory exports its moon cakes to Europe and the US). To boggle the mind further, after asking those who have received moon cakes in the past, 8 out of 10 Chinese do not eat or like to eat the moon cake. However, they would be upset if they do not receive the moon cake or if it is not a branded moon cake.

If I take the well developed scientific steps to evaluate a brand, or diligently carry out a conjoint analysis market research to map out the consumers’ AIO and preferences, I am not sure how it can help me develop a offensive marketing plan. Understanding Asian customers, especially here in China, it is seldom sufficient to just go through extensive market research. Customers being researched will often answer what they think or feel they are expected to answer. A totally professional but naive simplified look into the rationality of the market would not give companies the picture of the market they should see. To truly understand the customers, one have no choice but to literally live and breath with them. This will ensure successful marketing and branding.

Winston Nyo

General Manager, Village Earth Pte Ltd