Mailman X Business Weekly | May 3rd

Mailman X Business Weekly | May 3rd

Here is China’s top tourism business news that you need to know from this week:

How China is Upending Western Marketing Practices
For decades, marketing theory and practice have been defined and refined in the West, from the four Ps taught in MBA programs to the sophisticated brand management run by multinational corporations.  She says Chinese marketing campaigns are faster, cheaper, and often more effective than traditional Western ones. And Whitler believes in some ways they are better suited to today’s global marketplace. Read more here.

Mailman Take:
Understanding the difference between what works in the West vs. what works in China is going to be very important to an effective marketing strategy in China. Based on fundamental differences in the market the approach has to be different.  For China, success will build from a consumer first approach vs. a channel-focused approach. When looking at China some of the differences are cultural but more are now due to the market structure as well as the evolution of digital in China.  As opposed to West China is predominantly owned by three large organizations: Baidu, Alibaba, and Tencent (and now Bytedance). The other primary difference is China seemed to leapfrog into digital, while the West took decades to get there. In China, the market strategy needs to be 100% mobile first.  An organizations approach to the market will go hand-in-hand with the success you see from your different programs and strategies.

Also this week:

China’s Outbound Tourism Boom and AI are Drivers for Travel Technology and Tailored Trips
Chinese tourists in 2018 reached 162 million, exceeding its forecast of 154 million, a rise of more than 10 percent over 2017. As such, China sends more tourists abroad than any other country in the world – 120 million mainland Chinese now have passports, with as many as 30 million more being issued in 2019. Yet China’s outbound travel market is a complicated web of shareholdings, as players rush to cater to globe-trotting Chinese tourists. Read more here.

”996” is China’s version of hustle culture. Tech workers are sick of it.
Jack Ma, a founder of the e-commerce titan Alibaba, called long work hours “a huge blessing”. Richard Liu, who runs the Alibaba rival JD.com, said people who frittered away their days “are no brothers of mine.” Rank-and-file tech workers in China, discouraged by a weakened job market and downbeat about their odds of joining the digital aristocracy, have other ideas.   Read more here.

Tourism New Zealand joins hands with Tencent to boost Chinese tourism growth in 2019 China-New Zealand Year of Tourism
Tourism New Zealand today announced that it has signed a Memorandum of Understanding with Tencent Holdings Limited, a leading provider of Internet value-added services in China, in Shenzhen, China, to jointly support the growth of Chinese Free Independent Travellers (FIT) with fresh, unique travel experiences, and build New Zealand as a desirable, high-value international destination brand for Chinese travelers. Read more here.

Time for a Shakeup of Chinese Airlines
Management changes at the top of two of China’s largest airlines are leading some to speculate if there is some sort of shake-up due. New leaders have been appointed at both China Eastern and China Southern and one possible outcome being discussed is whether there could be a merger between these two major airlines in the coming year. Read more here.

Meitu to develop own beauty recommendation technology
beauty online sales have reached a ceiling of 30% of the global market. To him, although they have always known the Internet, Generation Z has not deserted physical stores. “The concept consisting of testing before buying is very important to them” To stimulate sales in stores, Meitu has developed a skin analysis device. It is now possible to test customers’ skins at the point of sale and recommend them specific products. Meitu sells these devices to brands or retailers and offers a licensing agreement to use the associated software. Read more here.

Tourism brings new levels of trust-jobs, too  
Tourism is propelling trade and cultural exchanges between China and countries involved in the Belt and Road Initiative, according to a report released in April by the China Economic Information Service and online travel agency Ctrip. 582 million trips were made by international travelers to destinations along Belt and Road routes in 2017, accounting for 44 percent of the international trips that year.  Read more here.

From Paper to Digital: the change in China’s Reading Habits
As a symbol of knowledge and wisdom, reading has been a well-received tradition in China for centuries. As Chinese poet Du Fu concluded in one of his well-known pieces: “One can write with godly power only when he has pored over countless books.” Though the love of books remains in China, the habits that surround reading have changed significantly. Most are preferring digital and audiobooks to paper. Read more here.

Can Ethical AI Exist in China
China seeks to become an artificial intelligence trailblazer by 2030. And tech leaders are now beginning to stress the importance of the technology’s safe development. The implications of machines working with human beings in sectors varying from security to healthcare to government could be as unpredictable as they are lucrative. Read more here.

 

Mailman X is a China digital consulting agency for the travel industry. Reach out here for more information.