Saturday, May 19, 2012

Having a closer look

When two people, or groups of people, start liking the same things, there is sometimes a tendency to believe they like those things for the same reason. Yet a closer look suggests that is not always true.

This is the main idea of Mr. Tom Doctoroff Saturday Essay in this weekend's The Wall Steet Journal. Entitled "What the Chinese Want," Mr. Doctoroff's essay seeks to refute the notion that Chinese consumers are becoming "western" due to their interest in western products. Rather, a careful examination of Chinese consumer culture reveals the continuation of distinct cultural patterns that western marketers should not ignore. As Mr. Doctoroff relates:

"If I've learned anything from my 20 years working as an advertising executive in China, it is that successful Western brands craft their message here to be "global," not "foreign"—so that they can become vessels of Chinese culture."    

Accordingly, Mr. Doctoroff believes brands seeking to make their way in China should follow three basic rules. They are briefly:

1.) "...products that are consumed in public, directly or indirectly, command huge price premiums relative to goods used in private."

2.) "...the benefits of a product should be external, not internal."

3.) "...products must address the need to navigate the crosscurrents of ambition and regimentation, of standing out while fitting in."
For further details, consult the link.

I don't write about the rules because my interest in this essay isn't the specifics of marketing in China, so much as the broader idea that subtle but important differences between two cultures' perspectives can be shrouded by shared interests, particularly with shared consumer goods. In short, it's possible to like a lot of the same things, but for vastly different reasons. The examples in the essay are numerous, but my favorite is:

"[In China]...Spas and resorts do better when they promise not only relaxation but also recharged batteries. Infant formulas must promote intelligence, not happiness. Kids aren't taken to Pizza Hut so that they can enjoy pizza; they are rewarded with academic "triumph feasts." Beauty products must help a woman "move forward." Even beer must do something. In Western countries, letting the good times roll is enough; in China, pilsner must bring people together, reinforce trust and promote mutual financial gain. "

Spas, baby formula, pizza, and beer; all things with which many Americans can relate. Yet in China--and other countries perhaps--these products serve a different utility. They have their uses obviously, but they aren't the same as people from a different culture might at first assume. As such, there's a good chance of misunderstanding. From a business perspective, that may mean low sales. From a personal perspective, that may lead some to declare others as "weird" in a negative light. From a foreign policy perspective, that can mean a spike in tension, and possibly even war.

Therefore a lesson from Mr. Doctoroff's essay is the value of paying close attention to the different ways cultures use similar things. The assumption that the utility of product is the same no matter where (or by whom) it's used appears to be dubious at best. A closer look may reveal a world of difference. Something to consider anyway.

Happy Saturday, friends :)

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