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The Chinese don’t want to be pushed into sales, unlike the Japanese. Brands do not yet play the all-critical role they do for western and other Asian consumers |
CHINA. Cadbury Schweppes International Travel Retail is leaning heavily on consumer insight research to help it successfully target one of the great opportunities of 21st-century travel retail – the Chinese.
The parent company has poured heavy investment into domestic market research, particularly in major cities such as Beijing and Shanghai. The travel retail division has, in turn, applied those findings to its own research into the needs and aspirations of Chinese travellers.
“We have been asking what they are looking for in an airport environment,” explains Steve Brock. “It really opens your eyes to the differences from when they are buying in a supermarket compared with, say, buying at Sunrise Duty Free, China Duty Free Group or World Duty Free.”
The research has been carefully segmented, for as Brock explains, “You could spend your whole life trying to understand any nationality, particularly with one as big and complex as the Chinese.
“We decided we would try to understand the A-Class frequently-travelling Chinese and what they want from gifting and confectionery. That is something you can actually achieve – and we have. As a result we think we can go and create appropriate ranges for Chinese travellers.”
The Chinese research – a mix of domestic and airport-related findings – provoked some surprising conclusions. Putting Mandarin script on the packaging was not an advantage, for example. “A key insight from the research was that being manufactured in Europe means a lot,” says Brock. “If it says made in China it can actually be a turn-off.”
Another important finding was that Chinese don’t want to be pushed into sales, unlike the Japanese. And brands do not yet play the all-critical role they do for western and other Asian consumers. Chinese travellers still tend to buy something that looks good rather than simply opting for an established western brand name, Brock points out.
The internet is an important tool in reaching out to the Chinese – and one the travel retail trade has yet to exploit, Brock argues. “You have to look at how the Chinese use the internet,” he says.
“It’s not just about price and price checking, the internet is actually one of their biggest sources of international information. There’s a desire and thirst for knowledge and information. How can we respond to that and turn it into something you can deliver to those consumers?”
MORE STORIES ON CADBURY-SCHWEPPES INTERNATIONAL TRAVEL RETAIL
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World Duty Free flies high with Cadbury promotion – 23/05/06
