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28 February 2025

NavigATING Chinese Consumer Trends: Strategies For Global Brands

A recent seminar sheds light on effective marketing approaches and regulatory challenges for brands targeting Chinese markets.

The modern business world is continuously shaping itself around changing consumer preferences and regulatory landscapes. Recently, AnyMind Group hosted a seminar aimed at equipping brands and agencies from Japan, Thailand, Singapore, and Malaysia with the knowledge needed to market to Chinese consumers effectively through the social media platform Xiaohongshu. This event, held in February 2025 and led by Ben Chien, Managing Director of Greater China at AnyMind Group, featured insights from Xiaohongshu representatives, emphasizing the importance of adapting to consumer shifts.

Centered around the theme ‘Xiaohongshu Expansion Playbook: Trend, Strategy, and Navigated Compliance,’ the seminar encompassed several significant topics. The first segment discussed current Chinese outbound tourism trends and consumer behaviors, highlighting how destination choices are influenced by cultural and social factors. Research presented revealed Japan, Thailand, South Korea, and Malaysia are among the top five travel destinations for Chinese tourists.

Understanding the subtleties involved, seminar presenters elaborated on how Chinese consumers engage with digital platforms differently than their counterparts elsewhere. One pivotal takeaway was the dominance of WeChat for communication, Douyin for short video content, and Xiaohongshu as the preferred platform for search engine discovery. Consequently, this delineated Xiaohongshu’s role as indispensable for brands aiming to penetrate the Chinese market.

Through insights shared by Xiaohongshu representatives, attendees learned about the recent evolutions within user behaviors on the platform and how brands can strategically navigate these changes. The platform is increasingly recognized as not just a social network but as a significant e-commerce hub where users can seamlessly purchase products directly, thereby bolstering conversion rates for active brands.

Particularly poignant were discussions illustrating how content creators on Xiaohongshu contribute to brands’ successes through engaging storytelling, influencer collaborations, and strategic marketing campaigns targeting specific consumer demographics. The session also highlighted successful case studies, showcasing how brands had effectively leveraged Xiaohongshu to fuel their growth and align with the digital habits prevalent among Chinese consumers.

Simultaneously, as global businesses adapt to these consumer trends, regulatory landscapes are proving just as challenging. A recent comment from the Australian Competition and Consumer Commission (ACCC) suggested, "Prepare for tomorrow’s regulatory change today," reflecting the constant evolution of market conditions and compliance challenges businesses face. The ACCC's insights underline the importance of anticipating changes, especially within the broader regulatory environment concerning antitrust measures coinciding with global market fluctuations.

The seminar also touched on broader implications for industries outside direct consumer engagement, emphasizing the significance of regulatory observance. Businesses must remain vigilant, as market conditions fluctuate under pressures from both domestic policymakers and international standards. Issues of antitrust enforcement, particularly, are prominent, with enforcement authorities ramping up their scrutiny on global transactions and market consolidations.

Formal education bodies are also feeling the pressures brought on by changing global dynamics. Ann Ellis, co-founder and CEO of Mauve Group, noted, "Universities are incredibly adaptable, even when global supply chains were disrupted," indicating the role academic institutions play within the larger economic framework. Universities have been increasingly establishing offshore campuses as alternatives for international students trapped by bureaucratic hurdles within their home countries, particularly the UK. These initiatives not only provide access to quality education but also allow institutions to maintain their global presence.

Notably, these offshore operations face dilemmas of their own. Emma Prodromou of Mauve Group pointed out, "If the government wants to attract more international students, they should also make it easier for those students to stay after graduation," advocating for reforms to immigration policies to facilitate post-graduation work opportunities. Such changes could significantly uplift the UK’s standing as a leading destination for top international talent across various industries.

With the rise of disruptive technologies and their impact on the economy—particularly within fields like artificial intelligence—members of the tech and education sectors are calling for adequate pathways for skilled international graduates. Particularly, restrictive visa policies have raised concerns over the potential loss of competitive advantage as countries like the US and Canada adopt more flexible immigration systems for tech talent.

Through these discussions, it’s clear the intertwining of market trends and regulatory frameworks presents both opportunities and obstacles for global brands. By fostering strong consumer engagement strategies and maintaining compliance with regulatory expectations, businesses can not only survive but thrive within the ever-evolving marketplace. The recent seminar underscored the need for agile, informed approaches as brands look to grow and adapt to the changing demands and expectations of the global consumer base.