UPS China Consumer Survey
Third-Party Commentary

China is Open for Business to U.S. Exporters

“The UPS 2006 Chinese Consumer Survey brings today’s small- and medium-sized enterprises the fundamental information they need to do business in China and stay competitive in a fast-moving world.”
– Laurel Delaney, Founder, Global TradeSource, Ltd.

“Chinese consumers are just like American consumers – they want music, beauty products, and other consumer goods that U.S. companies produce. This is contrary to many people’s view that the Chinese market is an entity that American companies still have difficulty penetrating.”
– Erin Ennis, Vice President, U.S.-China Business Council

“The survey highlights the need for [small businesses] to be better prepared and totally focused on exactly what it is they want to accomplish by entering China. They need to set themselves apart from their competition, and from the large multi-nationals.”
– Kevin O’Connell, senior partner of the law firm O’Connell and Co.

When Marketing to Chinese Urban Consumers One Size Does Not Fit All

“China is an increasingly-sophisticated, much more complex and far less monolithic consumer market than it was perhaps previously believed to be.”
– Kevin O’Connell, senior partner of the law firm O’Connell and Co.

“Not to become familiar with a transformative country like China is just plain foolish – China [should be] an integral part of your company’s global strategy and competitive advantage.”
– Laurel Delaney, Founder, Global TradeSource, Ltd.

“Older consumers grew up during much harder times, especially the Cultural Revolution. Their life experience is analogous to the Great Depression generation in the U.S., but with a much harsher experience. Younger consumers have grown up with more money…this means they are much less inclined to ‘penny pinch,’ have more disposable income and are more informed about products and services.”
– Sam Flemming, CEO/Founder, CIC data

“Similar to the U.S. and other markets, younger consumers are willing to spend more for the newest things, including imports. Older consumers stick with that they know.”
– Erin Ennis, Vice President, U.S.-China Business Council

Credit Card Usage and Internet Shopping

“Online shopping in China is still very new and there are many kinks still to be worked out, including simplifying payment and delivery. Sites likely are in English, which may add to the complexity of placing orders online. Companies should consider China-specific Web strategies if they are interested in increasing online sales.”
– Erin Ennis, Vice President, U.S.-China Business Council

Quality and Packaging Preferences

“As China’s market matures, it is becoming more and more like every other developed market in the world. Consumers worldwide can choose products based on price, quality and service. Many Chinese consumers, especially those in urban areas, have stopped looking for the cheapest products and are now seeking the best products.”
– Erin Ennis, Vice President, U.S.-China Business Council

“Having a good Chinese name for the product is essential. If it is packaged too nicely, consumers might think the company is wasting money on packaging, making the product unnecessarily expensive.”
– Sam Flemming, CEO/Founder, CIC data

“Quality is one of the most important benchmarks in [an] assessment. It’s especially so to those expensive products which people will not buy or replace frequently, such as consumer electronic appliances and houses.”
– Wang Yao, 23, Shanghai resident and consumer

“I associate the color red with American products. For example, Coca-Cola, KFC, McDonalds and Pizza Hut all have red colors in their products.”
– Wang Na, 24, Beijing resident and consumer

“The color of packaging is of great significance to me. I will choose the product with my preferred packaging among other similar products.”
– Tang Jinqi, 34, Beijing resident and consumer