I had a gathering with an old client and talked about business. My friend is a gemstone businessman, his major business is jewelry design and material supply. He has been in the industry for more than 3 decades, witnessed the open policy of China and global economic change. Gemstone supply is a steadily periodic industry showing the economic cycle. However, market changes and increasing costs rephrase the business fundamentally. Jewelry retailers often lower the bidding price while they multiple the retail price, thus he can foresee that material supply and product processing cannot go long. Time to change, it is the beginning of a brand.
Branding, Upgrading and Marketing
My friend has established factories in China for long time and has a good business network. The Chinese become wealthier and wealthier and there must be demand of luxury goods. Moreover, retail cost is cheaper in China and Chinese online marketing is fast moving. All factors are positive and he decided to start the brand in coastal provinces of China. This business plan is satisfactory with the BUD Fund to transform a manufacturing and material supply business to a self-owned brand and expand in mainland market.
The primary goal of the BUD Fund is to help Hong Kong companies (most were manufacturers) to build their brand and boost domestic sales. Not only my client, but also many manufacturers in China had a lot of challenges. For example, the increasing cost of manpower and land, strict regulation of environment protection and labouring, as well as the US-China conflict. Changes force these businesses to transform. The majority of BizMagnet BUD consultant‘s client go on with this business model.
Multi-channel sales of new digital era
The HKTDC Research interviewed with a China online marketing expert and I shared the report to my friend. We must know social media big data to implement China online marketing nowadays. The new era marketing integrates branding and sales with customized content. My friend started with the BUD Mainland Programme to promote on the Weixin platform, and interested in this latest way in 2020. Stay calm first, the Research also analyzed the consumer behavior in Kuala Lumpur of Malaysia. The e-Commerce in ASEAN member countries are under rapid growth, and someone says the ASEAN members are very similar to China in the 90s, which the pace today is much faster.
Besides BUD application, BizMagnet consultancy also assists Hong Kong companies to apply other government fund such as the TVP, the EMF and the ReTAAS.
Further reading: BUD Success: Metal Die Casting