Zina Lu - Dyson

Better Dyson in China

Zian Lu

This report is trying to express the enthusiasm to work for Dyson from my personal level, and to help create a better Dyson in the world.

Due to time constraints, the message of this report is mainly derived from the Internet and accumulation of my knowledge. If there has any omissions, please understand.

Introduction As the world's most impressive emerging markets, more and more foreign brands have entered China, the purchasing power of Chinese consumers did not let foreign brands down*.

For Dyson, despite a large number of cottage products in Chinese market, more and more consumers have the ability and willingness to buy genuine products, they certainly can not be ignored, just like Prada‘s cottage products in China can be seen everywhere, but Prada in China is still very profitable**.

*A McKinsey report last year projected that Chinese luxury consumption would grow 18 per cent a year and account for 20 per cent of the global market by 2015. (FT.com) **China is Prada’s largest market, also strongest growth market, where like-for-like revenues rose 40 per cent over the course of last year.(FT.com)

Introduction New media provides a better platform to reach the target audience , it even more overwhelming in Chinese market. Upon the recent new media influence made by Weibo, more and more marketing and branding section have become digital and social. * I believe that Dyson has been aware that, and Dyson is doing so in UK. However, why don’t do that in China?

*PR, communications, marketing, media and business in China has become online and social.

Dyson in China What we can find about Dyson in Chinese new media?

What do Chinese think of Dyson?

I select following online media to study what do Chinese think of Dyson:

Dyson in China Dyson in Baidu To have a better idea of search results, I choose Beko to compare with Dyson.

The following charts are the key dates in first 100 search results:

Relevant search results:

Dyson 64

100

Results in Chinese account for top 100 search results: 33

100

Chinese official website ranked in the search results: 81st

Relevant search results:

Beko 75

100

Results in Chinese account for top 100 search results: 70

100

Chinese official website ranked in the search results: 1st

Baidu, the chinese search giant. Baidu controls 80% of the search engine market share in China

Dyson in China Dyson in Baidu News News results: 3470 Relevance: ★★☆☆☆

Main Content 1. latest products and technology of Dyson 2. reports on experience of Dyson products

Site Type 1. mainstream electronic products sites 2. fashion/lifestyle sites

Source mostly copied from Taiwan/Hongkong’s website

Key Word expensive

Baidu news, the biggest news search engine in China

high-tech

design

Dyson in China Dyson in Baidu Encyclopedia (wikipedia)

Dyson in Baidu Encyclopedia has three entries, the third one is Dyson brand.

Main Content(translated)

Dyson A well-known appliance maker, specializing in vacuum cleaners, its design is very strange, independent R & D, high price.

No have too much market in China, most people should know the Air Multiplier, it should be a well-known product.

Baidu Encyclopedia, chinese wiki.

Dyson in China Dyson in Baidu Zhidao(Baidu Answers) Search Result: 5990 Relevance: ★★★★☆

Top 5 most asked questions in the search results related Dyson

1 2 3 4 5

Are Dyson vacuums/fans good?

Where I can buy a Dyson vacuums/fans? How much?

What is the best brand of air multiplier fan?

What is the working principle of air multiplier fan?

Who invented the air multiplier fan? Who owns patent rights?

Baidu Zhidao(Baidu Answer), it takes more than 80% online Q&A market in China.

Dyson in China Dyson in Weibo Search Result: 26514 Relevance: ★☆☆☆☆

Main Content: 1. New Dyson consumers show their new tools, comments are very positive.

2. About Dyson’s technology and product.

3. About Dyson’s cottage products.

4. Sale Information in North America.

Main Author: Weibo users who live abroad or who often travel to abroad

Weibo is a Chinese microblogging website. Akin to a hybrid of Twitter and Facebook, it is one of the most popular sites in China, in use by well over 30% of Internet users.

Dyson in China Dyson in Youku Search Result: 92 Relevance: ★★★★☆ Most viewed video: How Dyson Air Multiplier works?

ideo v d we t vie hits s o M 1 8,22

Most commentes video: a television news clips: a Chinese company designed an air multiplier fan. Most comments criticized that their products are copy Dyson’s idea.

Main Points: Dyson’s technologies and products Language: Most videos in English Video Source： Downloaded from Youtube

Youku is the biggest video website in China with more than 30% market share.

nted e m t commments s o M 7 co

vi d e

o

Dyson in China Limited Information From Baidu and weibo to Youku, you can find very little information about Dyson.

At the same time, Chinese official website ranked 81st in Baidu due to lack of SEO. In this place, don’t have a effective way to learn more about Dyson.

The first thing for Dyson is optimize Chinese website, then Dyson should create more channel to communicate with Chinese consumers.

Good brand reputation in China Despite there are limited information about Dyson in China, but most medias and consumers give Dyson very positive comments. They always praised the superior design and leading technology of Dyson products.

They want to know more Baidu Answer’s search results show that Chinese consumers want to know more about Dyson. So why Dyson doesn’t talk to them?

Dyson should know Before talk about how to marketing in China, we need to have the insights of the market.

Digital media Revolution in China

Dyson should know

Digital Media Revolution in China Almost 500 million Chinese citizens are online and a quarter of all social network users in the world are Chinese. However, because government policies in the country blacked many western social networking sites such as Facebook, Twitter and Youtube, a vibrant domestic ecosystem of similar online platforms has emerged.

1

Why social media sites are important to Dyson?

A Burgeoning Internet Generation

Currently, China has almost 500 million Internet users.

30%

log onto a social network at least once a day.

Internet users in the nation spend an average of 2.7 hours per day online - behind only Japan.

2.9

2.7

2.3 1.7

more than one social 50% have network profile.

0.5 China

India

0.9

Brazil

Russia

US

Japan

Dyson should know

Digital Media Revolution in China

2

Why social media sites are important to Dyson?

The Commercialisation of Social Networks

95%

61%

Of surveyed Chinese citizens believe brands that have microblog account are at least somewhat more trustworthy.

Of Chinese social network users made a purchase because of a digital marketing campaign.

The Internet is a lot more influential in China in comparison to the United States and other countries. Social media is an important channel.

Chinese consumers trust a brand more if it is microbloged.

Jens Thraehart, President of Dragon Trail

81%

Of Chinese youth check online comments before making a purchase decision

Dyson should know

Digital Media Revolution in China China is a huge country, the behavior of consumers in different cities are quite different. Understand the geographic differences for a foreign brand is very important, it’s closely related to consumer behavior, purchasing power and the choice of social media platform.

3

How to choose the right social media platform?

Understand the differences of tier 1, 2 and 3 cites

Throughout much of the West, Facebook holds sway as the default social network, gathering all demographics. The same does not hold true in China, where a handful of social networks attract segmented audiences.

Weibo is most popular SNS now. Its users are mostly higher income groups, and most of them live in tier 1 cities.

QZone is China's earliest and largest social network, its main users are from tier 2 and 3 cities.

Dyson should know

Digital Media Revolution in China

4

Social networks in China: Similar, but different Weibo VS. Twitter

1) For Twitter, the replies and comments appear independently in the feed. On a Weibo, they are listed under the entry, like a traditional blog.

Therefore, an entire discussion around a specific entry can be seen in one place.

2) Weibo offers a more elegant solution when sharing pictures and videos. The visual attachments can easily be viewed without leaving the weibo page, something that has proved very valuable for marketers.

3) In general, there is more interaction on a weibo compared to a Twitter account. In China, weibo users regularly comment on brand and celebrity accounts.

4) Weibo has more commercial features than twitter. In weibo, a brand or company can use special version to meet their marketing needs.

Dyson should know

Digital Media Revolution in China

5

E-Commerce in China Rapidly growth

Online shoppers in China 173,000,000 Value of Chinese E-commerce in 2011 US$ 23billion

Taobao is the biggest online shopping site in China. Tmall, formerly Taobao Mall, is a platform for local chinese and foreign brands to sell quality, brand name goods to consumers in China.

Chinese netizens spend average time shopping online per week 5 Hours Online shoppers in China spend average money per person per year US$ 600

Many brands launch their official online store on Tmall, this is a very effective way to reach the consumers in different tier cites.

Dyson marketing in China So, what things Dyson must-dos in China?

Dyson marketing in China So, what things Dyson must do in China?

Localized Communication

Dyson should have more content in Chinese.

Communicate with Chinese consumers directly, listen and involve.

Visualize Dyson’s technology for Chinese consumer.

Dyson marketing in China Things should do in future 1. Official online store on Tmall.com 2. More online/offline campaigns in China ...................

Better Dyson in China

Zian Lu