Posted by Abe Sauer on January 17, 2014 12:44 PM
"The direct-selling market, which helps create jobs and diversify retailing channels, is forecast to achieve double-digit growth in China in the coming years."
That was the takeaway from an April 18, 2013, giddy and optimistic report from mainland state newspaper China Daily, titled "Nu Skin sees $1b in sales for anti-aging products." And yet, less than a year later, another state media newspaper report has sent Nu Skin stock plunging, casting the company's heretofore rosy China future in deep, deep doubt. Investors are jittery as its stock halted trading in the wake of China's investigation into its selling practices.
What's more, just as the pharmaceutical scandal that proceeded it, Nu Skin's China meltdown should serve as a warning to other direct-selling brands operating in China.Continue reading...
Posted by Dale Buss on July 22, 2013 09:27 AM
Duchess of Cambridge goes into labor as People and US Weekly gird for extensive coverage of UK royal birth.
Sears tries to go upscale—way upscale.
Apple investigates security breach on its servers and tests larger screens for iPhones and iPads.
HSN rebrands to shake dowdy status.
Boston Market harnesses Big Data for promotions.
CarMax solidifies status as unrivaled used-car leader.
Carnival Cruise uses Instagram to redistribute existing 15-second ads.
Chipotle plies ingredient and menu diversity.
Coca-Cola and other major sponsors assess pre-World Cup marketing landscape in Brazil.Continue reading...
brands under fire
Posted by Abe Sauer on July 10, 2012 10:18 AM
The old saying goes that the Chinese word for "crisis" (危机) is composed of two characters representing both "danger" and "opportunity." Though fallacious, this old trope could not better describe the manner in which cosmetics brand Urban Decay turned a self-created crisis into a public relations windfall.
About a month ago, Urban Decay announced that it would be breaking into China's cosmetics market. And why not? In 2011, China's cosmetic sales hit 110 billion yuan ($17.8 billion), a increase of nearly 19 percent over 2010. According to a 2012 report by Li & Fung Research Centre, during one month in 2011, Urban Decay's competitors Estée Lauder and Clinique saw sales increase by almost 10 percent alone.
Looking at all that money, what Urban Decay lost sight of was its core mission, amongst other things, was all about refusing to test on animals. (China, meanwhile, required animal testing to certify Urban Decay's products.) No surprise, People for the Ethical Treatment of Animals (PETA) lambasted the brand's "Decaying Principles":Continue reading...
Posted by Dale Buss on December 2, 2011 09:04 AM
American Airlines parent AMR bankruptcy could foist huge losses on key creditors.
Apple co-founder Steve Jobs honored with exhibition highlighting his patents and trademarks.
AT&T blasts federal critique of T-Mobile deal, as AT&T, Sprint and T-Mobile deal with Carrier IQ privacy concerns.
Barnes & Noble continues to struggle financially with digital transition.
Chili's drives menu changes and sales with retrofit.
Disney raises dividend to highest level in 20 years.
Fiat closes plant as European demand falls.
GM offers to buy back Volt from owners.Continue reading...
Posted by Barry Silverstein on February 24, 2011 06:30 PM
When Tony Vernon, the president of Kraft Foods North America, told analysts this week that "we must work even harder at customer and consumer delight," he was mirroring the results of the latest "Customer Loyalty Index."
According to the 2011 Customer Loyalty Index issued by the customer loyalty consultancy, Brand Keys, today's consumers are looking for the best total experience when they interact with a brand.
Robert Passikoff, Brand Keys founder, says, "Consumers want meaningful innovation that results in a higher level of experience. Satisfaction has never been more cost-of-entry; delight is the new differentiator."Continue reading...
Posted by Laura Fitch on November 19, 2009 12:06 PM
Chinese consumers just can't get enough of American brands, according to CBS News. But as a resident of China, I disagree.
Certainly many brands, especially luxury brands, are relying on China to bolster sales numbers amidst dismal international earnings. But where is there actual evidence that Chinese consumers are specifically choosing American brands over others?
There are more Benzes on Beijing streets than Buicks, more Gucci sales than Coach, and hip kids are just as likely to be wearing Japanese designer BAPE hoodies as Nike kicks. China has a thirst for brands, period.
Where the brand comes from isn't as relevant as its reputation, and in this sense, the Chinese market is a very international one. There's no denying that certain American brands are doing a very brisk business here. Cosmetics giant Mary Kay is good example of the possibilities of branding hitting the bullseye.Continue reading...