How to Sell to Big Companies in China even when you have Small Budgets and Little Brand Recognition

Presenter: CJ Ng
Reviewed by Bob Mittelsdorf 

CJ Ng taught us how to do business in China without spending a fortune. In his very engaging and interesting presentation, CJ made a number of valuable points for us to take home.

Firstly, he addressed the question “Why should we think of going to China?” CJ gave 3 compelling reasons:

1. .It’s the world’s 2^nd largest economy (after the United States of America);
2. Many multi-national organizations are re-locating their Asia-Pacific Headquarters there (particularly to Shanghai); and
3. Can you afford not to? (Consider what that market will be in 10 years’ time).

The next question that he addressed is, “Why is China a tough market to break into?”, and he identified 3 factors:

1. There are 10,000 training organisations and consultants in Shanghai alone (not counting Beijing and all the other cities);
2. There is a preference for big names from the big fish (major companies don’t want to take risks with unknown/untried brands);
3. Chinese audiences are highly demanding (they want to know “WIIFM?”, and “How will you solve my problems?”, and they want it quick).

Wow! Seems rather daunting, but CJ showed us how it can be done. Firstly, we need to understand that the customers in China don’t buy from who they like, but rather, from whom they trust. He identified the strategy that he used successfully:

Define your niche (don’t try to do everything or service everybody);

1. Become known as the “expert” in your field;
2. Be visible to your customers in China (not easy, since YouTube, Google, and many other “normal” content channels are blocked). One way is to become a “couch potato” on ToDou (China’s equivalent of YouTube).

CJ’s roadmap to success consisted of 3 key actions:

1. Leverage on strategic alliances, don’t go it alone (he tried it alone at first, and spent several painful years);
2. Refresh your ideas and content, China is not the same place it was even a few years ago (and don’t tell Singapore stories, get China ones by reading the Chinese papers and watching the Chinese television);
3. Be humble. Modern China business people are sophisticated and demanding (deal with it).

Two last nuggets of wisdom:

1. Don’t do free events; they attract all the wrong people (especially if there are refreshments). It will be viewed as free entertainment. Charge a small fee for promotional events; don’t look to make a profit (breaking even is good), rather consider them as marketing to bring in the business.
2. Chinese don’t do breakfast events, but foreigners do!