The success of c lies in the middle of a dynamic trade between the two countries. China’s retail market is on the edge of the United States following strong annual growth of 14% over the last decade. China is Australia’s largest trading partner, while Australia is in seventh place for China with two-way trade valued at more than $ 15 billion in 2015.
Australia, for the Chinese consumer, is a guarantee of quality. Australia, as a leading international market with strong commercial ties and affiliations with Mainland China, makes it a reputable country when it comes to offering products and developing marketing to China.
In this article, I want to explore the main reasons for the Chinese craze for Australian brands and how to seize this opportunity.
THE INCREASE IN THE LEVEL OF WEALTH INFLUENCES THE EVOLUTION OF EXPECTATIONS
China’s GDP is growing every year by 7%, although this represents a relative slowdown in economic growth, these figures are still envied by countries around the world. Especially when you consider the fact that the market is still developing and has never reached maturity.
As a result of this continued growth, there are approximately 350 million “middle-class” Chinese consumers and 100 million high-end consumers. The potential for Australian brands to tap into this growing target of greedy consumers is enormous.
With the increase in disposable income, behaviors in terms of expectations, standards and qualities of products change.
CHINESE CONSUMERS LOVE INTERNATIONAL PRODUCTS
“International” has become synonymous with quality in a Chinese market, usually associated with counterfeit products. Australian brands therefore represent the antithesis of Chinese products of inferior quality. They represent authenticity, quality and reflect the status of the Chinese buyer. The richest consumers are now looking for quality, internationally imported brands for which they develop strong loyalty when the brand is marketed and marketed appropriately.
AUSTRALIAN BRANDS PROVIDE STATUS TO CHINESE CONSUMERS
The concept of identity in China is limited to the status and perception of its social group. Indicators of identification and belonging are based in consumerist societies on showing and displaying brands purchased. Australia’s status is considered very high with positive effects for brands, companies and services.
SUCCESSFUL AUSTRALIAN BRANDS IN CHINA
Health-related products are generally the most profitable products of Australian brands selling online to China, according to a study by Tmall Global, Alibaba’s cross-border e-commerce platform.
The top 6 Australian brands in 2016 were Chemist Warehouse, Swisse, Blackmores, Nature’s Way, Devondale Dairy Cooperative and Woolworths Supermarket.
Dairy products, beef, vitamins and infant formula also remain very popular. Other digital brands also come with actors such as ‘Hop The Wall’ linking Australian companies to Chinese tourists via WeChat. Platforms like these will certainly help to facilitate the growth of Australian small and medium-sized companies as well as major brands.