Overseas Chinese Residents The Hidden ; Consumption Force |, oT aca eaeThe-Wntapped Marketx FABERNOVEL The strong identity of Chinese residents across the world =—— © san Francisco San Francisco's Chinatown is one ofthe oldest CChinatownsin North America Re aso fenoyimed! 282 mar tourstativaction AustraliaFABERNOVEL Countries where most overseas Chinese are located in — canada 630K 18M UK. ‘Germany 2104 usa 650K 42M Japan ‘990K Singapore 27M Australia TaN New Zealand 152k unty and estimated population of Chinese resentsFABERNOVEL Cities where most overseas Chinese are located in — 1 Proportion of overseas Chinese tesdantsin the cityFABERNOVEL Portrait of typical overseas Chinese residents — 7 f = P t 6 j ae Young Professional International Student Affluent Investor ‘small Business Ownera € 3 a ig Cy ey & Fi Ky FS ms Edward, 28 years old ornate enotaa css kag eaggreeswe ans inpusye torpig pater He Sama peo ae bacaming ese conser tecein te ey. 6 seruse my favorite Kots and 7? Would buy what they recommend. a Dil Habe ee cea iss =< se iy ee eS Joona baleaiiinad 6e0 ma [eos &° 000 — EE = bf Fs o 4 i (s) Collaborating with overseas Chinese platforms for leads & sales FARFETCH Faith AR AMUN rent Saosenmicrs, ances Fetes MORIN, A United States & sep, 2019 eanverea | Deepender lc ia Eee) Farfetch cooperated with Dealmoon to promote its mid-year sales event by generating an promo code exclusively for Dealmoon users. Dealmoon promoted the sale on its WeChat and Welbo accounts, as well as its own mobile app. Platform: @ Dealmeon (Weibo, WeChat, App) ‘Dealmoon operates a leading social shopping community for Chinese expats around the world, as well as an e-commerce advisory platform for global consumer brands seeking to reach Chinese-language shoppers. In 2011, Dealmoon was integrated with the populat Chinese social platform Weibo, thereby effectively expanding its reach to Chinese consumers worldwide. Asa result, Dealmoon now has more than 15 million active followersCollaborating with overseas Chinese platforms for content Paris, France ‘Aug, 2019 Oa ne ae eee cn ng PSS distributes products internationally, Lancéme is part of the LOréal ptr ee) Gees During the years 2017 -2018, France hosted 30.071 students from China. As. a result. Chinese students contributed, ‘a major investment in France. and thereby helped bring in over 250, million Eures in 2017 alone. Lancéme collaborated with eCentime to promote Its online sales. In addition, ‘eCentime worked on branded content in Chinese describing stories behind the brand, and marked recommendations to platform users. eCentime eCentime is a leading shopping guide in Europe primarily serving local Chinese consumers. It operates from multiple channels with 65,000 dally visitors, and a MAU index (monthly active user) of approximately 170,000. aPlanning events for local Chinese residents F =< Roma, Italy (5) 8th Feb, 2019: Chinese Spring Festival Pen e ‘early 1980s by Pletro Negra and his wife Cristina Rubin. Now PINKO re rr err a ere) stores, and around 1,500 wholesale outlets. Eres) ities Pinko launched a campaign, with visuals | | Pinko levoraged the overseas Chinse maintaining a Chinese motif, and invited | | online community (Brave italy) and ‘overseas Chinese in italy to attend the | | cross-border e-commerce platform 2019 Spring/Summer Trend Show in {Valise) to promote this event among Roma. In-Store, Chinese red packets ‘oversoas Chinese, (Hongbac’s) were prepared for quests. Qwechat Bravo italy @ @ Weibo— Valise ‘hit Bravo italy i a festyle gulde providing updates on local events tips and news for people Ming in or viding aly. Thus fa. Bravo has gathered nearly 13k followers on ts bic! Wechat accounts alone ‘Valse tsa cos border lu e-commerce platform providing product recommendations and style tips to users.. OR your brand to China through overseas Chinese residentsHosting exclusive shopping event for daigou © Chicago. us Awareness Consideration Ce) Chicago Fashion Outlet and Coach co- hosted an exclusive daigou after hours shopping event for Chinese customers from 7 to 9 pm. (©) 24th Apr 2016 rere iar! a ot a eres n piri Ieattracted more than 100 daigou ‘customers, with overseas Chinese residents comprising 99% of these ‘customers. Shoppers lined up before 6 pm. and within 2 hours, more than 10 ‘thousands products were sold Outlets and Brand CRM system aAdding daigou as distribution channel © Australia (© Stare from 2017 eo erode solls milk and dairy products, Tho company commercializes its intellectual pro Ere ten Peete aaier ieee Tena) Eee Grete 4m 3uno 2017, the Australian based A2 Milk Company generated profit of 9.6 million New Zealand dollars with an increase of '56%6 In revenue after factoring In daigou sales as one of its distribution channels, Its new product launch in China was also based on user feedback relayed by daigous, Thore aro approximately 80,000, daigou in Australia who are professional buying agents. Daigou alone generate approximately $150 billion in sales globally © Wechat - Daigou = Netease Kaola — Cross:border e-commerce platform @ 30 Global — Cross-border e-commerce platformCollaborating with Overseas Chinese KOLs Paris, France 3 duly 2019 Awateness Consideration Purck Loyalty 4 Porro c ne ere noes |B re iene eT ee Eee) Estée Lauder launched new products in the European market in mic-201 Inviting one of the most influential Chinese KOLs living in Paris to be it’s "New Product European Experience Officer” and leveraged her influence to recruit more ‘overseas Chinese residents to attend a private event they host in Lafayette. “Platforms: KOL’s Waibo & WeChat + Offline event Ey bi Fs a 4 i (s) %ya the Chinese super app, to your marketing strategyWeChat, the most favored platform by Chinese consumers living overseas Jaunched in 2011 MAU in 2018 What is China's largest social media platform 6 one fe glabal markets as wel asCase Study Opening WeChat Official Account a Q a ) Paris, France (5 Mar, 2018 Rian Seas xen Background Printemps opened a WeChat service account in 2018, Through the WeChat account. Printemps provides. in Chinese, lists of stores in France with locations, lists of brands, privilege services. and latest promotion information for Chinese (On its WoChat account, Printomps also works with Chinese KOLs living in Paris on photo shoots and content creation.Case Study Launching WeChat on-demand Service Milan, Italy RINASCENTE Pra Breas Pee re Gees ‘chinese customers are among Rinascento’s top consumers with average sponding par person reaching $286. and that figure Continued! to grow in the first half of 2018, Now Rina has added its concierge services ‘is Wechat to better serve shat growing customer demographic “Have you seen a special accessory or hot item ina magazine? dust send » Wachst ‘message and one of aur persenal shoppers ‘ll find the procluct for you in the Rinascente flagship store in Milan. Irits saallable, you ean then procaed with the purchaso and the product will bo sont sirectly to your home or wherever you prefer” as offered by the company. Rinascente launched this service in September and, as of September 21. sales had already surpassed! the monthly average vith a record high 28000 transactions. Customers’ average expenditures had also risen to a higher level with more promotions fd offers delivered to them> bi 2 a 4 s (s) Leveraging WeChat as a customer service channel 20 22s ie ihn a ress AR RNB Florence, Italy [3] 2015 Ce eC cece ke oon ee kes ol ery ee eee a enn) around 1.500 wholesale outlets Eee ‘At the Pinko boutique on Via Roma street, store management dedicated a cell phone specifically for staff to communicate with local Chinese customers, Through chats. group chats, and moments updates. customers ate able to recelve the latest information on new arrivals, deals, and other prometions in both English and Chinose. The chat also functions as a Q&A and customer service channel when local Chinese customers inquire about a new product. or request customized servicesFABERNOVEL Definitions — Overseas Chinese in this report refers to Chinese, of naturalized birth or descent who reside outside of the PRC for over 6 months out of a year, including local residents. new immigrants, work visa holders and international students. Expenses on un-necessities refers to the portion of disposable income used for purchasing leisure products and services such as fashion, beauty and luxuries, excluding any expenses for meeting basic needs like food, rent and utilities. “Daigou" describes the profile or behavior of an individual residing overseas that purchases goods and then personally transports said goods for persons residing in Mainland China, typically due to significant price differences across the border. High-net wealth family. family with annual Income of over $450,000. Middle class family: A family comprised of members that have achieved tertiary education and with professional qualifications Entertainment: Activities associated with seeking amusement and leisure. News & Information: Activities associated with receiving updates on recent and noteworthy eventsFABERNOVEL Legend — ° — pp embrceks wehin Appi operating eeu, ° Sree mate snessaging sola mec and 6 os names sn at hoo o tet, spi ecg rs am IES, tor cmacngehting and etching OFT nate an lat © Ei sto sparing mabe themed wound ‘imation orien gare > Sfre— Ot geen BF ccnecsoenincions sharing shopping and Wesyie nfomcton e@ eee reponse nconandaon © Ee eet rm nara ® © eEzranacreene © Fie spet ecommerce platom © AEE ens onine payment atom oes by ° Sra yinent lator oumad byFabernovel‘We are continually testing and implementing our Ideas, We're here to help you craft your future. 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