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US Brand Cowboy Marketing Strategy To Capture Chinese Market

2010/9/24 17:26:00 140

China has not only 1 billion 300 million potential customers, but also the fastest growing middle class in the world, and the Chinese government is trying to encourage them to increase their spending.

Levis

The decision to launch a cheap jeans brand for consumers in emerging markets in China shows that this powerful American jeans brand is gratied with Asian consumers.

American jeans were once a powerful symbol for capitalism and not for communism.

TerenceTsang, the head of Denizen, a new global brand, said Levi's was the first to launch a new global brand outside the US.

Tannin (Denizen) will face 18-29 year old consumers in China, Singapore, South Korea and India.

For these consumers, Levi's is currently in China.

Sale

Jeans are too expensive.

The price of tannin town (Denizen) will be lower than that of other Levi's brands, but it is 10% to 15% more expensive than local brands.

TerenceTsang said that customers will be "rich".

Jeans wear

The trousers produced by the company traditionally pay premium.

But new jeans don't just cater to Chinese consumers on price.

TerenceTsang said that tannin town (Denizen) will also compete on the print version - a problem that Chinese people often encounter when buying American jeans.

Lei Xiaoshan, ShaunRein of ChinaMarketResearchGroup, said: "Chinese consumers complain that, compared to ordinary Americans, their crotch is narrower, their buttocks are smaller and their legs are shorter."

Tannin town (Denizen) may reflect the trend beyond jeans: multinational consumer goods companies are increasingly required to enter the low-end market.

These companies have been selling high end brands to Chinese consumers who are obsessed with brand names to get huge profits.

Adidas (Adidas) recently said it would launch cheaper products for China's "rich poor" and expand in small cities in China.

Chinese and foreign consumer company executives like to quote a creative report from McKinsey, which predicts that by 2025, the number of Chinese urban residents will reach 1 billion.

Pay attention to the needs of these people - it may decide what consumers in other parts of the world want to buy.