Global Brands Market to China

Nissan Micra

The consumer market in China, which has seen its buying power grow year after year, continues to be the focus of many multinational brands' marketing efforts.

The Japanese automaker Nissan recently announced that it expects China will be the brand's top market within four years. Detroit-based Ford has actively marketed to Chinese consumers for years and, after a reset in 2018 to introduce new products, it sees China as a key market. "In China, you get a big uptick with a new product. And if you don’t have new product, you pay a little bit of a price for that," explains a senior Ford official.

California-based streetwear brand Vans is emphasizing social and digital media in targeting Chinese consumers, using the highly popular WeChat social network in particular. Well-known global fashion brands like YSL, Chanel and Dior are extending their names to makeup products and attracting fans in China, competing with established cosmetics brands popular there, such as Estee Lauder and Shiseido.

Brands can pursue omnichannel marketing to offer consumers in China multiple ways of making a purchase. The ecommerce giant Alibaba, for instance, serves as a valuable distribution channel for global brands like Burberry.

Meanwhile, Chinese brands are targeting US consumers. As just one example, China-based automaker GAC will begin marketing its electric cars and SUVs in America next year. Watch for more Chinese brands to enter Western markets year after year, even as US brands continue entering China.

Marketing Electric Cars to Green Buyers

Tesla has had considerable success targeting green car buyers as it markets its initial two models of luxury all-electric cars, priced about $70k and up.

Now its biggest challenge is to meet the expected tsunami of demand for the popularly-priced all-electric Tesla 3. Starting at about $35,000, this stylish sedan is priced at half of what the other Teslas cost, yet it also carries the cachet of the Tesla brand, no small consideration. So Tesla has been active in the bond market to raise funds for the steep production increase needed to keep up with Tesla 3 demand.

Meanwhile, Tesla is booking way more than 1,000 reservations for the Tesla 3 every day. Delivery won't be for at least a year. This gives competitors like the Nissan Leaf time to appeal to buyers who want to drive green cars. Nissan is leaking bits and pieces of its new 2018 Leaf design to build anticipation and interest.

California is doing its part to encourage green buyers--it's looking at big rebates for all-electic and plug-in hybrids. This would bring the price of electric vehicles down to a level where mainstream buyers would do the math and see the financial benefit as well as the environmental benefit. 

Marketing Electric Cars: All Charged Up

According to a Consumer Electronics Association survey, 40% of US adults want to test-drive an electric car. No wonder Nissan has set the marketing objective of delivering 50,000 test-drives for its new electric Leaf (above) over the next year.

Competition in electric cars is all charged up, with various marketing partnerships laying the foundation for future sales. The state of Oregon, for example, has teamed up with Nissan and Portland General Electric to promote electric cars for green reasons.

The Chevy Volt has been in the news lately, with much speculation about how its $41,000 price tag will be received by the target market. Demand might initially outstrip supply, and one report says dealers appear to be getting a premium for their Volts.

The most upscale and elegant of the electric cars are made by Tesla, which has attracted investment from both Daimler and Toyota. Enthusiasts can join the conversation on the brand's forum or on the Tesla Twitter community.