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Global Marketing

Brands are All in on WeChat

Passengers use their mobile phones in a subway train mobile phones and tablets are used for people to entertain and view information when they take public transportation.

When mobile phones were invented, users could talk to each other carefree if they were in the same country. If users wanted to contact others in the outside world it would cost a fortune. Now thanks to Instagram, Facebook, X, and WeChat users can interact with one another almost seamlessly at little to no cost. WeChat launched in 2011 with a majority of its users being in China. This social media platform is known for its mobile payment system along with its messaging features. In the first quarter of 2023, the platform saw 1.17 million worldwide app downloads including for the countries Southeast Asia (Vietnam and Indonesia) (Elad, 2023). But due to privacy concerns with the platform the app has been banned in many international countries, which can hurt international brands when developing their digital marketing strategies.

Many brands today have had to restructure the way they market their company due to increased marketing competition and high advertising costs. Many brands have seen the demand from customers in China and how much they value brand storytelling, connection, responsibility and the shopping experience (Chu, 2023). Brands have also seen how much of an impact social media has on Chinese consumers and have developed specific digital marketing strategies and marketing channels for this region of the world. Some of those strategies include building a community in which customers trust, understanding customer concerns, and asking for feedback whether it be in discussion forums or from reviews. Brands are ultimately looking to have an engaged community and being able to have an online presence that is open and honest allows brands to reach this goal. WeChat can assist in brand loyalty as brands have access to their customers 24/7 and can send out invites to certain events, feedback surveys, and much more at the click of a button.

While WeChat is banned in many international countries, in the last six months of 2023, the platform saw an uptick of users based in the U.S. and Hong Kong than ever before. On all devices the U.S. had 600,000 users using the application and in Hong Kong there were 530,000 users. This shows brands that not only are Chinese consumers using WeChat but also consumers based in the U.S. and Hong Kong which have huge markets. Despite privacy concerns, consumers outside of China seem to think the value of the application outweighs the risk of their privacy. With the U.S. government currently weighing in on the Chinese social media application, TikTok, and whether it should be banned in the U.S. is something brands need to consider when going all in on WeChat.

References

Chu, F. (2023, July 31). Community-led brands & retailers aim for success in China. SmartBrief. Retrieved March 26, 2024, from https://www.smartbrief.com/original/community-led-brands-retailers-aim-for-success-in-china

Elad, B. (2023, August 28). WeChat Statistics By Demographics and Users. Enterprise Apps Today. Retrieved March 26, 2024, from https://www.enterpriseappstoday.com/stats/wechat-statistics.html

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