(Source: https://pltfrm.com.cn)
Introduction
Pricing a new product correctly at launch is crucial—especially in China, where digital-first shoppers are quick to judge value, compare options, and share opinions. Overseas brands entering this market must avoid both underpricing (which can damage perceived quality) and overpricing (which can stall conversions). In this article, we break down tactical approaches that leading agencies use to test price points effectively during new product launches in China.
1. Anchor Pricing Around Consumer Expectations
Set a reference point before revealing your price
Before disclosing your product’s actual price, show or mention higher-priced competitors in influencer content. This “anchor” raises perceived value, making your actual price appear more favorable.
Use feature comparisons to justify pricing
Visuals, comparison tables, and livestream demos that pit your product against others can influence willingness to pay—especially if you highlight added functionality or quality certifications.
2. Introduce Multiple Product Versions to Segment Testing
Test bundles vs. standalone products
Offer both single-item and bundled options during the initial phase. Track which version converts better and whether bundling improves overall perceived value.
Create tiered product editions
If possible, introduce a “Lite” and “Premium” version of your product to test elasticity. This gives consumers the choice while offering valuable pricing insights across segments.
3. Combine Early Access Campaigns with Price Testing
Reward early adopters with exclusive pricing
Offer “pre-order” or early access pricing via private traffic channels such as WeChat or RED DM. Compare conversion behavior from this segment against those seeing full retail prices post-launch.
Create a countdown window
Let users know that pricing will rise after a certain period—this adds urgency and helps validate if initial price tiers drive decision-making faster.
4. Let Data Guide Real-Time Adjustments
Daily dashboard monitoring
During the first week of launch, monitor data in real time across platforms: clicks, cart adds, shares, and bounce rates all reveal how users are responding to pricing.
Use SaaS-based pricing tools
Integrated analytics tools can identify drop-off points and performance trends based on regional behavior, traffic source, and audience segment. These insights allow for fast pivots in messaging or pricing tiers.
Case Study: Nordic Beverage Brand Adapts Mid-Launch Pricing on RED
A Nordic sparkling water brand launched its product at ¥12.9 per can on Xiaohongshu. While influencer engagement was high, conversion lagged. Based on social listening and click data, the brand repositioned with a two-pack bundle at ¥25 and added a time-limited offer for first buyers. The result: a 42% lift in conversion and stronger perceived value, with RED comments shifting from “expensive” to “great taste + fair price.”
Conclusion
In China’s competitive digital market, testing price isn’t optional—it’s a requirement. The brands that succeed are those who come prepared to learn, adjust, and respond to data in real time. With the right strategy, your price becomes a growth lever—not a guess.
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!
