Social Media Impacts on Chinese

Companies Performance

By
Sana Ilyas, Zobi Khan, Ala Hamood
Atiya Ali
Supervised By: Shan Li

Subject: CRM

Business School,
Sichuan University, Chengdu, PR China
 Contents
• Introduction
– Social Media
– Chinese Companies
• Huawei
• Taobao
• Huawei Market Share
• Huawei Existing Social Media Strategies
• Huawei Current Strategy
• Huawei Social Media efficient use suggestions
• Taobao (Will be discussed by next partner)

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Social Media

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 What is Social Media?
Social media is a general term used for any interactive digital
technology.
 WeChat
 Instagram
 Weibu
 Facebook
 Twitter
 YouTube
 Blogs (e.g., Tumblr, Word Press, etc.)
 Webinars
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 What Are The Real Benefits Of
Social Media?

Organization’s Strengthens & Benefits for sale

message will reach Builds and lead
a wider audience Relationships generations

Learn more about Easier and

Keep an Eyes on the
your customers competition broader transfer
of information

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Chinese Social Media

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Chinese Social Media..

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Chinese Companies

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Huawei

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Huawei..

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Huawei..

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Huawei..

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Huawei..

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Huawei Market Share

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Huawei Existing Social Media
Strategies

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Huawei Existing Social Media
Strategies

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Gender-wise Wechat Users in
China

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 Huawei Current Strategy
• From last five years, Huawei attracted towards
social media
– Huawei uses micro-blogs
• More than 250 Millions users in China
– 500 Millions of Facebook users around the globe
• All Huawei help centers are using
– Voice calls
– Emails
– Instant Messages
– Currently Social Media interaction is also included.

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 Huawei Social Media
Marketing Suggestion
• Huawei should follows below suggestions on SM
– Entertainment
– Interaction
– Trendiness
– Word of Mouth (WoM)

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SM Entertainment Strategy

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SM Interaction Strategy

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SM Trendiness Strategy

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SM WoM Strategy

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 Taobao

 Online shopping market

 Features of Taobao

 Services of Taobao

Security & warranty

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Chinese Amazon

Diagram of C2C Platform

 Peer Selling

Taobao had around 467 million visitors in June 2017. Taobao is

the third most visited website in China
Alibaba’s Fiscal Year 2017 Results

i. Number of annual active buyers increased 11 % than

2016
ii. High performance by the large number of mobile users
iii. Daily seven times a day on average Taobao opened
iv. 20 million comments every day on the app.
v. “Ask Everyone” function

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Distinguishing factors of Taobao on the Chinese internet:

o User-friendly website features

 It introduced website feature designed to best appeal local users
( Aliwanwang)
Alipay payment offers security and speed
o Diversification of marketing models:
 In 2016, Tmall market share 57.5%, followed by Jingdong (,
26.2%) and Weipinhui (, 3.6%).

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Cooperation with several Chinese
logistics companies:
Cainiao Network
 90% of contract on Taobao with Cainiao network
 Cainiao network enabled 42 million packages per day in June
2016
 Over 70% of Chinese delivery packages operate through the
Cainiao network
 Online data management services and offline
 Expand to international and Chinese markets, B2B, B2C and
C2C trade

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Powerful Promotional efforts
i. Advertisements

ii. Commercial movies and famous TV programs

iii. investment of USD 586 million in SinaWeibo

iv. Linking Sina Weibo accounts with Taobao

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Corporate cooperation with banks
 Economic cooperation with the major banks in China

 ICBC , and Bank Of China

 International Visa and MasterCard credit cards

accepted

 All international credit cards are supported

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 What is your gender? M F

How old 46- 41- 36- 31- 26- 21- 15-

<15
are you? 50 45 40 35 30 25 20

How is your
Extre
previous Very Extre
mely go Not Very
experience of goo ok bad mely
good od bad bad
Taobao online d bad
shopping?

How is your future expectation of TaoBao online shopping?

How do the options affect your buying behavior on TaoBao?

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What is your primary option for
purchasing on TaoBao

Is there any physical store in your city which can provide the same kind of Yes No
stuffs you purchase on TaoBao?

What is your primary reason of using Work Study Entertainmen Email Others
internet? t

What is your primary reason of Reasona Reasona Convience Trust Free

purchasing on Taobao? ble Price ble Return
Quality
How much you buy on Taobao <100 100-300 400-700 1000 >1000

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Do you think you save more time to buy products on TaoBao than
the normal physical stores?

Do you think it is an advantage of buying products in any time on

TaoBao?

What do you think the differences between TaoBao and physical

stores?

What are the reasons for you purchasing in physical stores and
purchasing on TaoBao respectively?

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 Results
 Consumer segments of TaoBao focus on the people who
are around 20-40 years old .

 They have positive attitudes to the online shopping.

 The consumers previous online shopping experiences

greatly influence on people’s future expectations to online
shopping.

 Chinese online consumers pay most attention to the

product price and convenience.

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 Ways to Increase the EFFECTIVENESS of Digital
Marketing

• Interesting mail title

• Establishment of customer exclusively
• Low technical requirements
• Rewards

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 Conclusion
• In general companies must exist in social media with a
consistent strategy, based on honesty.

• Corporate platforms for customer pleasure and complaints.

• Media has wide reach and more effective and more direct
approach to the people. That is why it is called the fourth Pillar
of the society.

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 Suggestions
• Companies should device their advertisements and WOM in
such a way that they should influence or impress the audience
within few minutes.
• Companies market their product which are low in price
through SNS(social networking sites).
• Online shopping Pay cash on delivery.
• For positioning the brand, the company may use very
attractive strategies to capture the youth market through SNS.

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