Dilemma's for brands when coming to China - Ben Cavender

Ben Cavender

Victoria Secret's high-profile problems with authorities in Shanghai were not the first when big brands try to organize events in China, nor will they be the last. Brands are simply not aware enough of politically or morally sensitive issues, different from their home market, says branding experts Ben Cavender to Reuters.

Reuters:

The issue has underscored a dilemma for global brands, sports franchises, moviemakers and performers looking to tap China’s big-spending consumers while keeping on the right side of often stringent rules about content and behaviour. 

“Brands have to be much more aware of politically or morally sensitive topics here,” said Ben Cavender, Shanghai-based principal at China Market Research Group, adding the lure of the market meant most people would nevertheless take risks. 

“It’s a very different political environment than their home markets and we’re at a time when China is on a drive to clean up behaviour and push a sort of moral code.” 

China has long kept tight control of performers it allows into the country. Justin Bieber, Lady Gaga, Bjork and Bon Jovi are all banned over perceived bad behaviour or for broaching sensitive topics like Tibet or Taiwan.

More in Reuters.

Ben Cavender is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers' request form.

Are you looking for more branding experts at the China Speakers Bureau? Do check out this list.  

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Victoria Secret can get it right in China - Ben Cavender

Ben Cavender

Victoria Secret took on China online, but has now decided to open its first offline retail flagship store in Shanghai. They move very cautiously, says retail expert Ben Cavender in AdAge, and they have a fair chance of getting it right in one of the most difficult retail markets in the world.

AdAge:

Victoria's Secret's planned Shanghai flagship is in a prime shopping space formerly occupied by a Louis Vuitton that closed, a victim of China's luxury slowdown. Signs there announce an opening for fall 2016, though it's still boarded up. The receptionist at the mall's welcome desk said it probably would not open until after Chinese New Year or Spring Festival, which starts on Jan. 27. L Brands, Victoria Secret's parent company, did not respond to Ad Age's questions about the opening date. The brand has said it is planning a flagship for Beijing as well. 

Given the brand's bad experiences with unauthorized shops in the past, "they really want to make sure they get the entry right," said Ben Cavender, director at China Market Research Group. "I think they will take extra time, they need to make sure they get the store experience right and have the right products in the store." 

If the brand offers great customer service and gets it right, it has good potential, Mr. Cavender says: "There's still a lot of room to grow and become pretty strong in the market."

More at AdAge.

Ben Cavender is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers´request form.

Are you looking for more consumption experts at the China Speakers Bureau? Do check out this list. 

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