Market insights from my staying in rural China: Analyzing local life after COVID from an advertising-oriented perspective (summary)

I visited China for the first time in three and a half years and spent about a month there.

This is a report on what I saw during my stay.

For a detailed report in Japanese, please visit ”note”first. https://note.com/threeplussix/n/n451130916382

For sharing the full report in English, please reach out to me directly

[email protected]

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Staying in China at the time of a career change

I lived in my wife's hometown in rural China.?

I chose a career that prioritized time with my family, and this stay allowed me to experience the growth of those children. It was a meaningful month.?

By staying with my family, I was able to have a more 'down-to-earth' experience of life.

The rural experience was rich in content

The rural villages in Hunan where we stayed are rich in rural landscapes.?

There is abundant nature close by, and we played in the river and picked fruit.

In the mornings, tofu peddlers would come to the village and the scenery was somewhat reminiscent of what we used to see in Japan.

It was a very valuable experience, including family trips from the rural villages to neighboring towns and inland provincial cities to visit relatives.

However, the sights I saw were different from what I saw during my expatriate experience from 2009 to 2017.

Where are the business opportunities in the post-COVID era?

Discovering post-COVID market insights was one of the objectives during my stay.

We tried to look at the market as a whole, especially from the perspective of getting a good sense of the changes in the local cities.

Determining the position of Japanese companies in the changing market and what is expected of advertising agencies locally, and linking this to business opportunities, was also my intention during my stay.

The shift to an 'experience value economy' is underway

There is a shift away from the value of ownership, which is defined as the act of buying and consuming a product, to the value of the experience of the product or service. Expectations are shifting from the purpose of buying to the experience that begins after the purchase.

Confidence in domestic products and services

Many Chinese-made products and services have been accepted in the global market. This track record gives Chinese consumers, especially the younger generation, confidence. They have not only become less resistant about the products, but also positioned them as an active purchase target.

Below are the changes I see in their lives in my opinion.

User interface: contactless and touch screens

Facial recognition, voice recognition and QR code payments have become the most commonplace interfaces.

Touch panels are increasingly used in communication with machines.

In the trend towards standardization of EVs, Tesla is the benchmark.

The presence of Japanese cars is diminishing.

Online video learning systems

Online learning and training is becoming popular among a wide range of people, although the Corona is having an impact.

People enjoy various types of training, not only physical training such as dance and yoga, using online video.

Living in two locations, one in a rural city and the other in a rural area

Young families living in rural areas work in the city during the week.

On weekends, they drive to the rural areas where they come from to enjoy gatherings with family and friends.

The 'quiet' hustle and bustle of electric bikes

Electric bikes are widespread in many towns. Bicycle rental was famous until a few years ago, but now it is the rental bike. Electric bikes have created a new 'soundscape' in the city.

Health-consciousness in food

Traditionally, 'safety' was very important when it came to food. China as a whole is becoming increasingly health-conscious. Even in the local cities, the taste has become 'lighter'.

Are we really in a recession?

Many news organizations are reporting a slowdown in the Chinese market.

I rarely heard about a 'concrete recession' from the people I met who live in rural areas. Is it really a recession?

Marketing & Advertising

I interviewed people involved in the marketing world to find out what is happening.

In the area of marketing, where advertising agencies contribute, there is increasing pressure to 'sell more'.

In the background, there seems to be a sense of alarm that the 'load is not moving'.

Expectations of super-fast ad agency services

Advertising agencies are expected to deliver at a speed faster than ever before.

We heard from leaders who are approaching the process with a new creativity, avoiding 'productionization' in the rush to speed up the planning, proposal and delivery process.

TikTok, an experiential platform, is the main communication channel.

A non-traditional Creative Approach is needed. The importance of planners to capture local insights is key.

These are our views on what is happening in the market and the transformation of the advertising agency business.

It is important for Japanese companies to speedily implement how marketing activities and brand creation should be carried out in the context of these changes. Consumer businesses from Japan are at a major crossroads.

We can help with report sharing meetings, consultations and workshops to improve local marketing and advertising agency services.

Please feel free to contact us for more information.