Many businesses in China are doing very well today, therefore there are many opportunities for other brands and in this case shampoo brands to enter this market. It can sound a bit intimidating due to factors such as; e-commerce, WeChat and intermediaries. However, if these factors are sufficiently used, you will be a strong competitor in the Chinese shampoo market. And maybe your foreign shampoo brand could be the new hype.
As mentioned earlier, this article will give you more information about how to sell shampoo to Chinese consumers. What are the first steps in your business strategy and which marketing tools will be necessary to carry out to be successful.
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Define your target audience
First, define your market as accurately as possible. Everybody isn’t a target audience, you should be more specific. You must have a deeper understanding of exactly who you’re selling to.
For example, instead of all women in the whole country of China, it may be better to target only the women with above-average incomes and have kids. Instead of all men, it may be divorced men in their 40s with six-figure salaries. The more specific you get, the more accurately you’ll be able to target your sales and marketing efforts, choosing the sales channels most receptive to your product.
Let the Chinese consumers meet your brand
Next, you will need to learn how to bring your shampoo to the Chinese market. You can begin by selling directly to end-users. Why? This will give you a perspective of the demand of your product. It will also create referenceable customers that you can contact for product and packaging feedback before you hit the bigger leagues. So where can you reach your end-users? The web is one highly effective channel, and you can reach your market through your own website and webshop.
Another advantage is that you could get feedback of your shampoo brand. Once you received this you will probably refine your packaging and price point, thus finishing touches.
After this you can start with small, independently owned, local stores. It’s a good idea to start with them before hitting larger chain stores because it’s easier to get in touch with the direct decision-maker, and they’re more inclined to take on new, unique or hard-to-find items to differentiate themselves from larger stores. To sell to these retailers, be prepared and bring a product sell sheet, photos, product samples (if possible) and a succinct introductory letter to explain what’s in it for them, highlighting your product’s profit margin, features and benefits, and proven sales record.
Collaborating with retailers
Once you’ve established sales strength with independent retailers and are ready to support new markets, it’s time to sell to the big guns. Of course, exactly who those big guns are will depend on your shampoo brand. Some entrepreneurs will choose for mass retailers, as Taobao, known as the Amazon of China. While others will opt more specialized but equally powerful retailers, as Sephora.
Note that when dealing with these major accounts, the sale is just the beginning of the deal. Handling fulfillment, returns, rollbacks, slotting fees, advertising and more will require strengthening your business’s infrastructure and resources.
Need help to set up your business in China? Gentlemen Marketing Agency is the specialist in marketing to China. Feel free to contact us.