In this episode of the Negotiation Podcast, Todd Embley interviews David Nottingham, the EU General Manager for IPinYou, a leading Chinese martech company. David shares his journey from Southeast Asia to the ad tech world, discussing the unique challenges and opportunities within the Chinese digital ecosystem. He explains the workings of IPinYou, its proprietary technology, and how it compares to Western ad tech platforms. The conversation delves into the paid media landscape in China, the importance of audience data, and the rise of platforms like Xiao Hongxu. David also highlights the competitive nature of advertising in China and the regulatory environment that shapes the industry.

Takeaways

• David Nottingham has been with IPNU for seven years, leveraging his background in Southeast Asia.
• IPNU is a leading Chinese ad tech company with proprietary technology for media buying.
• The Chinese digital ecosystem is closed, requiring tailored ad tech solutions.
• Western companies face challenges entering the Chinese market due to regulations.
• Audience targeting in China relies heavily on device IDs rather than cookies.
• Xiao Hongxu has gained popularity as a social commerce platform in China.
• The competitive landscape in Chinese advertising requires unique data strategies.
• Walled gardens in China limit cross-platform advertising opportunities.
• The Chinese government is regulating super apps to reduce their market power.
• Understanding the nuances of the Chinese market is crucial for successful advertising.

In this episode of The Negotiation podcast, host Todd Embley is joined once again by Olivia Plotnick, a seasoned expert in China marketing and the founder of Wai Social. Today, they dive into the explosion of Xiaohongshu, or “Red Note”, in the United States because of the impending ban of TikTok.

Olivia begins with a detailed overview of the current buzz surrounding "Red Note”, explaining why TikTok users are flocking to this app amidst concerns over the potential ban in the U.S. She explains the unique features of the platform and highlights the nature of interactions between American and Chinese users on the platform. Olivia shares amusing trends emerging from these interactions and comments on their significance against the backdrop of current geopolitical tensions.

The discussion also explores the challenges Xiaohongshu faces as it navigates its newfound popularity in the U.S., including the complex decisions the platform must make to manage this surge. Olivia provides insights into how both Chinese and international brands might benefit from this trend, the scale of American user adoption, and the sustainability of this growth.

Discussion Points:

1. Overview and unique aspects of Xiaohongshu ("Red Note").
2. The explosion of Red Note in the U.S. due to the potential TikTok ban.
3. The dynamics between American and Chinese users on the platform.
4. Challenges for Xiaohongshu amid increased U.S. user activity.
5. Brand strategies in response to the platform's rising popularity.
6. Long-term implications for Xiaohongshu’s growth and user engagement.

In this episode of The Negotiation Podcast, Todd Embley interviews Cynthia Dearin, founder of Dearin and Associates, who shares her unique career journey from diplomat to management consultant. She discusses the importance of global expansion for businesses, the services offered by her company, and the consumer sectors in Australia that are poised for success overseas. Cynthia emphasizes the need for expert guidance in internationalization and identifies promising growth markets for Australian companies. Todd and Cynthia also discuss the complexities and opportunities of international business expansion, particularly in the APAC region. They explore market dynamics, consumer expectations, and the importance of thorough market research. Cynthia outlines a strategic blueprint for successful international expansion, emphasizing the need to understand local markets, cultural nuances, and regulatory requirements. The discussion also highlights common challenges brands face entering new markets and the critical role of data-driven decision-making in overcoming these obstacles.

Takeaways

• Cynthia's journey from diplomat to consultant highlights the importance of adaptability.
• Global expansion can significantly increase a company's revenue and profitability.
• Expertise in international markets is crucial for successful expansion.
• Australian products are perceived as high quality and trustworthy in overseas markets.
• Cynthia's company helps businesses create international strategies and navigate global markets.
• Understanding cultural differences is key to successful marketing abroad.
• Consumer sectors like food, fashion, and skincare have great potential for Australian exports.
• Market analysis can help businesses identify the best growth opportunities.
• The importance of storytelling in marketing Australian products overseas.
• Companies should focus on markets with overlapping opportunities, risk, and profitability. This is a big, chunky market that is perceived as difficult.
• You have to twin market size with profitability.
• Consumer expectations in China are very high.
• Same-day delivery is a recent thing in Australia.
• You can't just drift through international expansion.
• Understanding the ideal client is crucial.
• Market research should not be based on guesswork.
• Compliance with local regulations is essential.
• Pricing strategy must consider the entire value chain.
• Cultural understanding is key to successful marketing.

In this episode of The Negotiation podcast, host Todd Embley sits down with Anton Lapunov, WPIC’s Key Account Manager and Strategy Lead for Japan. Anton shares his extensive experience and insights into the unique aspects of Japan's e-commerce landscape—and offers strategic advice for brands looking to enter this lucrative market.

Anton begins by detailing his journey from China to Japan. He provides a comprehensive overview of Japan’s e-commerce ecosystem, highlighting the major platforms, market penetration rates, and consumer expectations around delivery times which differ significantly from those in the West and China.

The discussion shifts to comparing Rakuten with major Western and Chinese platforms like Amazon, Temu, Tmall, and JD.com, outlining key operational and strategic differences. Anton also draws on his experience in China to compare and contrast the e-commerce environments in China and Japan, noting cultural and logistical nuances.

Further, Anton discusses emerging product categories that WPIC focuses on within the Japanese market and explores the extent to which social commerce and live-streaming have caught on in Japan. He outlines the main digital marketing channels that effectively drive e-commerce sales and brand awareness in Japan.

To conclude, Anton lays out a strategic blueprint for foreign brands aiming to enter the Japanese market and highlights current trends and future opportunities within this diverse e-commerce landscape.

Discussion Points:

• Anton Lapunov's career transition from China to Japan and his role in shaping e-commerce strategies.
• Detailed analysis of Japan's e-commerce landscape, including key players and consumer behaviors.
• Comparison of Japanese e-commerce platforms with those in the West and China.
• The rise of social commerce and digital marketing trends in Japan.
• Strategic entry points and growth opportunities for foreign brands in the Japanese market.

In this episode of The Negotiation podcast, Todd Embley talks with Jeff Crowther, Executive Director of the Health Products Association - China (HPA-China). Jeff shares his insights into the dynamic world of dietary supplements and nutritional ingredients in China, providing a deeper understanding of the market's growth, consumer trends, and regulatory landscape.

Jeff begins by recounting his journey from the US to China, detailing how his passion for studying China and health products turned into a career that led him to his current role at HPA-China. He discusses the mission of HPA-China and its efforts to foster the growth of the health products industry within the region.

The discussion then moves to an overview of China’s natural health products market, highlighting why it is one of the fastest-growing sectors. Jeff identifies key consumer trends, such as increasing health awareness and the rising demand for natural and safe supplements, which are driving the market.

Jeff also addresses the regulatory challenges that foreign brands face when entering the Chinese market and offers valuable insights into leveraging cross-border e-commerce as an effective market entry strategy. This channel allows international brands to bypass many traditional regulatory hurdles, making it an attractive option for new entrants.

Discussion Points:

• Jeff Crowther's career trajectory and his role in bridging the gap between international health product companies and the Chinese market.
• An overview of the natural health products market in China and the factors contributing to its rapid growth.
• Consumer trends that are shaping the demand for dietary supplements in China.
• The challenges international brands face with China’s regulatory environment.
• The strategic advantage of using cross-border e-commerce to enter the Chinese market.

In this episode of The Negotiation, Todd Embley speaks with Jacob Cooke, co-founder and CEO of WPIC Marketing and Technologies, about the recent Singles Day shopping festival in China. They discuss the evolution of Singles Day, its performance in 2024, innovations in e-commerce, logistics challenges, and the competitive landscape of e-commerce platforms in China. Jacob shares insights on consumer behavior, marketing strategies, and the future of sales events in the region.

Takeaways

• Singles Day has evolved into a major shopping festival.
• 2024 saw a 16% increase in sales compared to last year.
• Collectibles and premium products gained popularity this year.
• Alibaba made significant changes to support brands.
• China's e-commerce relies heavily on direct bank payments, not credit cards.
• Logistics during Singles Day has improved with a multi-day approach.
• Alibaba and JD dominate the Singles Day market.
• Consumer behavior is shifting towards higher-quality products.
• Future sales events include 12-12 and Women's Day in March.
• The competitive landscape is adapting with innovative strategies.

In this episode of The Negotiation, Todd Embley interviews Pier Smulders, a digital and e-commerce expert with extensive experience in the Chinese market. They discuss the evolving landscape of e-commerce, particularly focusing on the opportunities for Australian and New Zealand brands in China and Southeast Asia. Pier shares insights on the importance of e-commerce as a channel, the cultural differences in consumer behavior, and the necessity of having a solid partner when entering new markets. The conversation also touches on Alibaba's diverse business model and its competitive strategies in the global market.

Takeaways

• China is the most important export market for Australia and New Zealand.
• E-commerce is essential for reaching a vast customer base in China.
• Cultural differences significantly impact e-commerce strategies.
• Partner selection is crucial for success in new markets.
• Brands must be adaptable to the fast-evolving Chinese market.
• Cross-border e-commerce offers unique opportunities for foreign brands.
• Shopping in China is often seen as a form of entertainment.
• Southeast Asia presents a viable expansion opportunity for brands familiar with China.
• Learning from competitors can provide valuable insights for market entry.
• Consumer choice is enhanced by increased competition in the e-commerce space.

Sound Bites

• "China is for both countries by far the most important export market."
• "Shopping is entertainment and entertainment is shopping in China."
• "You have to be much more nimble and change all the time."
• "Alibaba is better off empowering its retail partners."
• "Consumer choice becomes really important."
• "China evolves faster than many other markets."
• "Partner selection is so important."
• "You need a good partner to navigate the complexities."

In this episode of The Negotiation podcast, host Todd Embley interviews Ken Daley, the CEO of Joybees Footwear. Ken shares insights from his extensive career in the footwear industry, discussing his experiences with various brands and the lessons learned along the way. He emphasizes the importance of digital innovation, customer experience, and personalization in today's market, particularly when expanding into the APAC region. Ken also highlights the unique challenges the footwear industry faces, including sizing and return rates, and offers valuable advice for brands looking to grow internationally.

Takeaways

• Think global, act local is essential for international success.
• Personalization enhances customer loyalty and emotional connection.
• Digital marketing investment is crucial for brand visibility.
• Understanding cultural nuances is key when entering new markets.
• Building a reliable supply chain is a significant challenge.
• Customer experience should be prioritized to build brand loyalty.
• Automation can help deliver relevant customer experiences.
• The digital landscape in APAC is a trendsetter for global e-commerce.
• Social commerce is becoming increasingly important in the U.S.
• Patience and persistence are vital for success in APAC.