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    JWT China

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    Nikhil Sharma
    JWT China is an advertising agency with offices in Shanghai, Beijing, Guangzhou, and Chongqing that is seeking to grow its business in China. The document discusses JWT's plans to use a "Team JWT Solar System" approach to faster growth. It outlines some of the key issues and challenges JWT faces in China, including regional differences in consumer spending, tight state control of media, and developing loyalty among local clients. The analysis section notes additional challenges such as a lack of Chinese individuals in top management roles, price-sensitive state-owned enterprise clients, an absence of a creativity-oriented education system, and regulatory guidelines that can be vague.

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    JWT China

    Uploaded by

    Nikhil Sharma
    108 views7 pages
    JWT China is an advertising agency with offices in Shanghai, Beijing, Guangzhou, and Chongqing that is seeking to grow its business in China. The document discusses JWT's plans to use a "Team JWT Solar System" approach to faster growth. It outlines some of the key issues and challenges JWT faces in China, including regional differences in consumer spending, tight state control of media, and developing loyalty among local clients. The analysis section notes additional challenges such as a lack of Chinese individuals in top management roles, price-sensitive state-owned enterprise clients, an absence of a creativity-oriented education system, and regulatory guidelines that can be vague.

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    JWT

    Original Title

    JWT-China

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    JWT China is an advertising agency with offices in Shanghai, Beijing, Guangzhou, and Chongqing that is seeking to grow its business in China. The document discusses JWT's plans to use a "Team JWT Solar System" approach to faster growth. It outlines some of the key issues and challenges JWT faces in China, including regional differences in consumer spending, tight state control of media, and developing loyalty among local clients. The analysis section notes additional challenges such as a lack of Chinese individuals in top management roles, price-sensitive state-owned enterprise clients, an absence of a creativity-oriented education system, and regulatory guidelines that can be vague.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    108 views7 pages

    JWT China

    Uploaded by

    Nikhil Sharma
    JWT China is an advertising agency with offices in Shanghai, Beijing, Guangzhou, and Chongqing that is seeking to grow its business in China. The document discusses JWT's plans to use a "Team JWT Solar System" approach to faster growth. It outlines some of the key issues and challenges JWT faces in China, including regional differences in consumer spending, tight state control of media, and developing loyalty among local clients. The analysis section notes additional challenges such as a lack of Chinese individuals in top management roles, price-sensitive state-owned enterprise clients, an absence of a creativity-oriented education system, and regulatory guidelines that can be vague.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 7

    JWT China: Advertising for the

    new Chinese consumer


    By
    Group
    Arjun K
    Ketav Patel
    Nikhil Sharma
    Nitin Saraf
    Priya Talmale

    Summary

    JWT (J. Walter Thompson)


    Headquarter : New York

    Offices in China: Shanghai, Beijing, Guangzhou and Chongqing.

    Plans : Faster growth through the Team JWTSolar System.

    Advertising

    Regional disparities

    Consumer Culture

    Media Landscape

    Role of Olympics

    Key Issues

    To decide upon their


    expansion strategy
    Gaining specific
    insights on local
    Chinese consumer in
    terms of social,
    economic and
    cultural
    development.
    ( Brand positioning)

    To work on its
    turnover rate which
    was much less then
    that of the industry
    turnover of 50%.
    Hiring and retaining
    talented junior
    people.

    Local clients were


    primarily sales
    driven, which made
    it difficult to
    convince them to
    implement
    advertising strategy.
    Difficult to develop
    loyalty of local
    customers than
    their western
    counterparts.

    Discrepancy in
    consumer spending
    and consumer
    behavior required
    different advertising
    strategy to be
    developed for each
    targeted segment.
    Tight state control
    on various
    advertising media.

    Q.1

    Cons:
    Chinese Culture: Sensitive
    Laws
    Local Market
    Belief in Old Media
    Language

    Pros:
    Huge untapped market

    ANALYSIS FOR JWT


    CHALLENGES
    Chinese hangover from socialist era, exercising too much control
    Political
    Less number of Chinese in top management positions in JWT
    Mandarin unknown to most foreigners. Mandarin was the ad language and also first language of many employees.
    Price-sensitive clients(only mid and large level companies
    opted
    JWT)
    Mainlyfor
    sales
    driven, short term focussed clients.

    Economic 80% Chinese ad market controlled by local low cost players but JWT charges
    is growing very fast, what if growth bubble bursts and CAGR goes down, economic downturn sets
    a premium.
    & Leadership China
    in,building
    How JWT
    willcreating
    manage
    Brand
    and
    sustainable brand

    Absence of creativity oriented Chinese education system so talent pool becomes


    difficult to categorise
    Outspokenness was not a quality in Chinese which was essential in
    advertising
    field
    Marketing was
    not conceptualised as integral to business because of

    Social

    socialist
    Low
    levelmindset
    of loyalty among Chinese clients as compared to the
    West
    Divide of haves and have-nots, Income disparity(Gini coefficient increase) which made it difficult to target
    market
    with of
    uniform
    ads from socialism to individualism(difference between high social class consumers
    Erratic Shift
    consumers
    versus middle class ones)

    Technological

    Legal

    Traditional ad methods preferred by state owned enterprises which limited scope


    of advertising
    Online and mobile phone ads had potential but dependent on Infrastructure development for
    increased penetration

    Synergy among Team JWT(issues of nomenclature, sharing of


    financials).
    Advertising towards reinforcing public and political sentiments(teenager ads,Nike LeBron James
    ad)"instinct for boundaries
    Regulatory guidelines, sometimes vague guidelines like "social public order", "good
    social customs"

    Our Advice to Mr Tom Doctoroff

    Properly understand Chinese Culture

    Chinese are very society oriented

    Very patriotic and nationalistic

    Despite becoming Modern and experiencing an increase in income, Chinese still discard the individualistic
    behavior

    Chinese people are very status conscious , so instead of portraying products as having value , portray them
    as being luxury items and give them a sense of exclusivity

    Products which are family oriented and display societal and family values are more likely to succeed in
    Chinese Market

    Status is the ultimate wealth for Chinese consumers , so portray your product as a means of enhancing their
    social image

    Thank You

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