No one really knows how many television stations there are in China.
Best estimates put the number at 5,000. Yet, just over ten years ago
there were no more than 40. The number of newspapers has increased from
around 200 to more than 2,500, radio stations have blossomed from a 100
to 1,200 and TV and radio penetration is now over 85 percent.
In
just, 10 years, the media in has exploded. But it is still heavily
regulated and owned and controlled by the state run Communist Party.
Most local media is pro-China in its content and style and is used as a
tool for control and influence over the country's huge population.
There
are also limits on foreign journalists - where they can travel and to
whom they can speak. Overseas media regularly have their offices
screened and their activities are closely monitored.
Taiwan, Tibet and human rights issues are strictly off the editorial agenda.
Despite
this, consumerism has well and truly arrived in China. There's now an
increased sophistication in the market - and marketing communications,
brand management and reputation building have become big business.
There
is no such thing as privately owned media in China - and foreign
companies are restricted. Consumerism is driving up advertising revenue.
The dominant Chinese television network, CCTV is said to earn a total
of 1 billion yuan or A$200 million a year.
So in this environment
how can Australian companies effectively get their message across and
plan marketing communications strategies in China?
The first thing
to understand is how companies will have to work in a very complex and
constantly changing regulatory environment.
"China is very
conscious of reforming its media and has some relatively progressive
thinking internally about where to take it," said Gary Davey CEO of Star
TV in Hong Kong. "But it's going to take a very long time because they
are equally sensitive about the importance of control."
An older
generation of bureaucrats still sees the media, and television in
particular, as a propaganda device and any attempt to reform it into a
commercially driven business raises great suspicion amongst the Chinese
leadership.
In the past the News Corporation owned STAR TV has
upset Chinese authorities and Davey is quick to point out the
sensitivities of the Chinese marketplace, especially when it comes to
cultural differences.
"You might be able to run a successful
State-run security operation by trying to force your own cultural values
down someone else's throat, but you certainly can't run a business
doing that."
STAR TV has had to develop strategies that fit these
realities. "We've created new companies with Chinese partners to play a
part in the evolution of the policy," Davey said.
The days of
handing out long red envelopes filled with cash to journalists at press
conferences in China could also well be over. The industry is trying to
clean up its act and has recently released a new code of practice for
both public relations professionals and journalists.
The local
media is still very pro-China in its content and style but the practice
of accepting cash and gifts in return for running positive stories is
now being phased out.
Tony Turner has worked in corporate
communications in China for over 25 years and is the Hong Kong based
Chairman of the Rowland Company.
He says in the past there has
been a degree of cronyism, corruption and lack of transparency in the
media but that is changing as Western-based multinationals entered the
market with a new set of communication standards.
"What we've got today in Hong Kong is a highly professional, highly inquisitive and free media," he said.
Turner believes many multinationals don't want their name tarnished by being caught for paying journalists.
"The opportunity for PR and professional PR is as great as it ever could be," Turner said.
This
view is reflected in Beijing where Gua Hu-ming heads up the China
International Public Relations Association. He says PR as a profession,
started in China 15 years ago and first appeared in joint venture
hotels.
In the past it has been standard practice for reporters to
accept cash and gifts in return for running positive stories or even
working in conjunction with investors to ramp up the stock market.
But this is changing Mr Gua believes the Chinese media and journalists are becoming more professional.
But what impact is the Internet having on traditional news sources and PR campaigns?
Dr Xueli Huang is an expert on Internet marketing based at Edith Cowan University in Perth.
He says Internet usage is growing in China with 60 million users but news content is still heavily controlled.
Most
users are young and cannot afford a computer. Instead they use Internet
cafes to send emails and their main news sources are limited to
international news sites such as the BBC World Service and CNN.
"I
don't think the Chinese Government will ban all the news sites, but
Government will certainly want to control political sites."
Bandwidth
is also a problem in China. Huang believes newspapers, radio and TV
will still provide local news because of the time in downloading
information from the Internet and the lack of infrastructure.
So if you are doing business in China here are 12 success tips for implementing a successful marketing communications plan:
1.
Understand cultural differences. Be sensitive to local communities and
understand the complex and varied structures of the Chinese media. They
are not uniform and often controlled at a local, provincial and national
level. I will never forget the cultural shock of seeing an armed
red-guard standing on a pillbox outside a TV studio in Guangzhou asking
for my official ID. Improve your cultural literacy by understanding the
culture and history of those you're doing business with. Respect these
differences and don't impose your own values & perceptions on how
the local media should treat you.
2. Use a local spokesperson.
Depending on the news value of the story, you will have a better chance
of gaining media coverage the more Chinese you make your message. Using a
local spokesperson will give you greater credibility. For example in PR
campaigns for Nokia and IBM in China, they use local Chairmen who are
Chinese because they are well respected and have deep Chinese roots.
3.
Know your point of difference - what you do in your own backyard you
also have to do in new markets. Find out what makes you or your service
or product unique in the marketplace? How will it stand out from the
competition. In the past cultural differences have been used as an
excuse for dubious practices not acceptable back home. This has changed.
4.
Clarify your communication objectives? What do you want to achieve? To
inform or entertain? To provide information? To build a profile? To
influence public opinion? Personal marketing? Marketing or launching a
new product or service? How will cultural diversity and differing news
values influence this? News values differ in China. Often issues will be
reported one or two days later and not with the urgency or timeliness
of the Western media.
5. Define your target audience? Who is your
target audience? General public? Customers? Competitors? Suppliers? What
age are they, what level of education, what beliefs and values,
geographical location, how do they use the local Chinese media? How
credible is the media your target audience uses? Does it still have
credibility even though it is controlled? The media is evolving and
becoming more respected.
6. Identify the best channels of
communication. What is the best way to reach your target audience? TV,
Radio, Internet, newspapers - local or national? Do your homework on how
news is structured and gathered. Investigate who is reporting on what.
Find out the nuances. TV has the highest penetration, while the Internet
is growing amongst younger Chinese.
7. What is your key message?
The media is becoming more competitive and market driven. They need
readers and viewers to stay viable in the new economy. How can you make
your message appealing and newsworthy? Distill what you want to say into
three key points. Always check translations of media releases. Have
them retranslated back into English to check for accuracy.
8.
Build your case? When building your case look for the China angle. What
are the features, advantages and benefits of your message for your
Chinese targets? What evidence and proof do you have that is seen as
credible and independent within their cultural belief system?
9.
What is the China hook? What will make your message or news release
stand out from the rest and appeal to the values of Chinese journalists.
You are not successful in China until the local market tells you.
Giving money to Chinese journalists is no longer acceptable. Use more
legal and ethical incentives such as providing transport, lunch or a
gift or souvenir item.
10. Develop long-term relationships with
the media. Visit and meet journalists face to face. Network, get to know
them and involve them in the story. There is now a focus on the
interactive brand experience. For example in a recent mobile phone
campaign local journalists were involved in trailing the product prior
to launch. They were asked for their feedback and engaged proactively in
its development providing them with ownership of the product and
subsequent story. Relationships and personal connections, or guanxi are
very important in China and especially so in cultivating good media
contacts.
11. If you have to face the media yourself ... Use the
Three Golden Rules to Perform at your Best = Know Your Topic, Be
Prepared, Relax.
12. Seek Professional Help. For maximum impact,
effectiveness and value seek the advice of a media and communications
professional that can help your company see the media as an opportunity
not a threat.
