(Source: https://pltfrm.com.cn)
Chinese consumers, much like consumers worldwide, are discerning when it comes to pricing and value propositions. However, there are unique cultural, social, and economic factors that influence their perceptions on TikTok, a platform that seamlessly blends entertainment and commerce. Here’s an insight into their perceptions:
1. Digital Savviness and Comparison: Due to the proliferation of e-commerce and digital platforms, Chinese consumers are adept at quickly comparing prices across platforms. If they find a product on TikTok, many will take a moment to check its price on other platforms like Tmall, JD.com, or Pinduoduo.
2. Seeking Authenticity: With the rise of counterfeit goods, Chinese consumers often associate too-low prices with potential inauthenticity. Thus, while competitive pricing is essential, it’s crucial not to undervalue products, as it might raise suspicions about their authenticity.
3. Value for Money: Price is not the only consideration; value proposition plays a pivotal role. Brands that can effectively communicate the quality, uniqueness, or other USPs of their product can command a higher price.
4. Influence of KOLs (Key Opinion Leaders): If a product is endorsed or used by a popular influencer or KOL on TikTok, it can command a higher perceived value, and consumers might be willing to pay a premium.
5. Flash Sales and Discounts: Limited-time offers and flash sales are popular and can drive impulse purchases. However, these should be used judiciously, as constant discounts might dilute the brand’s perceived value.
6. Emphasis on Experiences: Modern Chinese consumers, especially the younger generation, place a high value on unique experiences. Products or services that offer a novel experience or have a story behind them tend to be more appealing.
7. Social Proof and Testimonials: Positive reviews, testimonials, and user-generated content significantly impact the perceived value of a product. Products with strong positive feedback can often command higher prices due to increased trust.
8. Packaging and Presentation: Especially for luxury or imported goods, the packaging, branding, and presentation play a substantial role in influencing perceived value. Premium packaging can justify a higher price point for many consumers.
9. Regional Preferences: Due to China’s vast size and diverse culture, pricing strategies and value perceptions might vary across regions. For example, consumers in first-tier cities like Beijing or Shanghai might have different price sensitivities than those in smaller cities.
10. Trends and Virality: Products that are trending or go viral on TikTok can often fetch higher prices due to increased demand and buzz.
To successfully navigate the pricing landscape on TikTok, brands should stay informed about market trends, be transparent, and ensure they provide genuine value to the consumer. Regular feedback and engagement with the audience can also offer insights into their changing preferences and perceptions.
PLTFRM is an international brand consulting agency that works with companies such as Red, Tiktok, Tmall, Baidu, and other well-known Chinese internet e-commerce platforms. We have been working with Chile Cherries for many years, reaching Chinese consumers in depth through different platforms and realizing that Chile Cherries exports in China account for 97% of the total exports in Asia. Contact us and we will help you find the best China e-commerce platform for you. Search pltfrm for a free consultation!
