Month: October 2024

Introduction: The Allure of China’s Market

China, with its enormous consumer base and rapidly growing digital ecosystem, has long been a coveted market for foreign brands. The potential for growth in the Chinese market is substantial, and as the nation becomes a dominant global player, more international companies are eager to expand into this market. However, many brands mistakenly believe they can simply replicate the marketing automation strategies that have proven successful in their home markets and achieve similar results in China. This assumption often leads to frustration, underperformance, and missed opportunities.

The Chinese market, while lucrative, is vastly different from Western or other international markets. From its unique digital ecosystem and distinct consumer behavior to the regulatory environment and competitive landscape, marketing in China requires a tailored approach. In this article, we will explore why foreign brands can’t directly apply their automated marketing experiences from abroad to the Chinese market and what they should consider instead to achieve success.

1. Understanding the Chinese Digital Ecosystem

One of the most significant challenges that foreign brands face when entering China is navigating its unique digital landscape. Unlike most other countries, where Google, Facebook, and Instagram dominate the digital advertising and marketing space, China has its own set of platforms and ecosystems that operate under different rules and expectations.

• The “Great Firewall” and its Impact on Marketing Tools
  The Great Firewall refers to China’s strict internet regulations that block many foreign websites and services. This includes major platforms like Google, Facebook, Twitter, and even certain Western marketing automation tools. This means that the tools and platforms international marketers rely on for data analytics, content management, and automated marketing simply won’t work in China.

  In place of these, Chinese platforms like WeChat, Weibo, Baidu, Douyin (TikTok), and Alibaba dominate the digital space. Each of these platforms comes with its own advertising ecosystem, unique user interfaces, and different data tracking capabilities. These platforms do not integrate seamlessly with foreign marketing automation tools, forcing brands to rethink their technology stack.

• Unique Platforms: WeChat, Weibo, Douyin, and Beyond
  China’s social media platforms have a completely different dynamic compared to those in the West. WeChat, for instance, is not just a messaging app but a multi-functional platform where users can pay bills, shop, book appointments, and engage with brands. Brands that wish to succeed in China must adapt their content marketing and automation efforts to fit into these platforms’ specific ecosystems, which often means working with third-party Chinese service providers to navigate the intricacies of API integrations and ad targeting.
• Search Engines: Baidu, Sogou, and the Decline of Google
  With Google blocked in China, search engine marketing relies heavily on Baidu, which functions differently in terms of SEO, paid search, and display advertising. Marketing automation systems that are optimized for Google Ads or SEO practices outside of China will find Baidu’s system to have unique requirements, especially in keyword selection, ad copy restrictions, and bidding mechanisms.

2. The Cultural Factor: Consumer Behavior in China

Culture significantly influences consumer behavior, and China’s cultural landscape is distinct from that of most Western countries. This creates challenges for brands that try to replicate automated messaging, segmentation, and customer journeys based on experiences from foreign markets.

• Localized Messaging and Storytelling
  Automated marketing systems often rely on templated messaging and content that can be adapted across regions. However, what works in the U.S. or Europe may not resonate with Chinese audiences. In China, storytelling plays a huge role in building trust and engaging consumers, with narratives often emphasizing tradition, family values, and social harmony. Foreign brands need to adjust their messaging to align with these cultural values, or risk alienating their target audience.
• Luxury Perception and the Need for Exclusivity
  In China, particularly in the luxury market, exclusivity and status are important drivers of consumer decisions. Automated marketing that relies on mass targeting and generalized email campaigns might not resonate with Chinese luxury consumers, who prefer personalized and exclusive brand experiences. Brands that succeed in China’s luxury market often create bespoke, invite-only experiences and leverage influencers (known as Key Opinion Leaders or KOLs) to reach niche audiences.
• The Role of “Face” (Mianzi)
  The concept of “face” or mianzi in China involves maintaining a positive social image and reputation. This cultural factor plays a critical role in consumer decision-making and requires careful handling in marketing automation. Foreign brands using broad, automated campaigns that lack personalization may inadvertently offend Chinese consumers by failing to recognize their desire for individualized treatment and social standing.

3. Regulatory Environment: Navigating Chinese Rules and Policies

The Chinese government imposes strict regulations on data privacy, advertising content, and the overall operation of foreign businesses in China. Foreign brands that fail to comply with these rules risk fines, penalties, and even being barred from doing business in China.

• Data Privacy and the Rise of the PIPL
  In 2021, China introduced its Personal Information Protection Law (PIPL), which is comparable to the EU’s GDPR but with stricter guidelines specific to China. This law governs how companies collect, store, and process Chinese citizens’ data. Any automated marketing strategy must take these regulations into account, ensuring that consumer data is handled in compliance with local laws. Foreign brands need to reassess their data management practices, especially if their automated marketing tools rely on centralized data storage systems based outside China.
• Censorship and Content Restrictions
  The Chinese government closely monitors and censors content that it deems inappropriate or harmful. Automated marketing strategies that work in liberal markets may run afoul of China’s content restrictions, especially when it comes to politically sensitive topics or cultural nuances. Foreign brands need to build a localized content approval process that ensures all messaging aligns with government guidelines.
• Regulations Around Foreign Investment
  The Chinese market has complex regulations governing foreign investments, joint ventures, and market entry strategies. Automated marketing cannot operate in a vacuum; brands need to account for these broader strategic and legal considerations when entering China. Depending on the sector, foreign companies may need to partner with a local entity to establish a presence, and this will affect how marketing campaigns can be structured and automated.

4. Consumer Preferences for Digital Payments and E-commerce

China leads the world in mobile payments, and e-commerce is deeply integrated into Chinese consumers’ daily lives. Any marketing strategy that foreign brands implement must take into account the preferred digital payment systems, e-commerce platforms, and shopping habits in China.

• WeChat Pay and Alipay: Integrating Payment Systems
  Automated marketing systems in the West are often designed around credit card or PayPal payments. However, in China, WeChat Pay and Alipay dominate the digital payment landscape. For foreign brands, this means that any automated marketing and e-commerce platform must integrate seamlessly with these payment methods. Moreover, Chinese consumers expect frictionless payment experiences, meaning that a poorly integrated system can deter purchases and hurt conversion rates.
• E-commerce Giants: Tmall, JD.com, and Pinduoduo
  Unlike Western markets where brands often drive traffic to their own websites, China’s e-commerce landscape is dominated by platforms like Tmall, JD.com, and Pinduoduo. These platforms have built-in advertising and marketing tools that require localized strategies. Foreign brands can’t simply apply their automated marketing techniques designed for Shopify or WooCommerce and expect the same success. Instead, they must familiarize themselves with the advertising options and algorithms unique to these Chinese platforms.
• The Rise of Livestream Commerce
  Livestreaming has become a massive driver of e-commerce sales in China. Platforms like Taobao Live and Douyin Live allow brands to engage directly with consumers through live broadcasts. This phenomenon does not have a direct equivalent in most Western markets, and automated marketing systems have not traditionally accounted for the real-time, dynamic nature of livestream commerce. Brands entering China need to consider how they can blend automated systems with the highly interactive nature of livestreaming.

5. Influencer Marketing: The Power of KOLs and KOCs

Influencer marketing in China operates differently than in the West, and foreign brands must adjust their automated marketing strategies accordingly. Key Opinion Leaders (KOLs) and Key Opinion Consumers (KOCs) play a pivotal role in shaping consumer perceptions, driving brand loyalty, and boosting sales.

• KOLs vs. Western Influencers
  While Western brands are familiar with working with influencers, the scale and impact of KOLs in China are unparalleled. KOLs often have millions of followers and wield significant influence over consumer purchasing decisions. Automated marketing strategies that don’t incorporate KOLs are likely to fall flat in China, where consumers trust the recommendations of their favorite influencers more than traditional brand messaging.
• KOC Engagement for Authenticity
  Key Opinion Consumers (KOCs) are micro-influencers who focus on authenticity and personalized engagement with their smaller audiences. They are highly trusted by their followers and can provide a grassroots approach to marketing that feels more genuine. For foreign brands, automating campaigns that involve KOCs requires a different approach compared to KOLs, as KOC engagement is more focused on community-building and long-term brand loyalty.

6. Marketing Automation in China: Customization Over Replication

At its core, the mistake many foreign brands make is assuming that marketing automation can be applied in a “one-size-fits-all” manner. While automation can streamline processes, the key to success in China is customization. The unique platforms, consumer behaviors, regulatory frameworks, and cultural nuances in China require that brands rethink how they use automation tools.

• Localized Customer Journeys and Segmentation
  In China, customer journeys often differ significantly from those in Western markets. Consumers are accustomed to engaging with brands through multiple touchpoints, from social media to e-commerce platforms and offline experiences. Automated systems must be adapted to reflect thesecomplex customer journeys. Brands need to map out localized customer journeys that reflect the ways Chinese consumers interact with different touchpoints and tailor their automated systems to deliver relevant content at each stage. For example, a customer who follows a brand’s WeChat official account may require different engagement tactics than one who first interacts with a brand through a livestream on Taobao Live.

  Segmentation, too, needs to be localized. The broad audience categories that work for Western markets are often too generalized for China’s diverse consumer base. Automated marketing systems must account for factors such as regional differences, cultural preferences, and even the various spending power levels between Tier 1 and Tier 4 cities. Customizing automation workflows to these distinct segments will drive higher engagement and conversions.

  • Localization of Content Automation
    Content automation—such as scheduling social media posts or email marketing campaigns—requires significant localization in China. For instance, Western brands may rely on global holiday promotions like Christmas or Black Friday for their automated campaigns. However, Chinese consumers respond to different events, such as Singles’ Day, Chinese New Year, or the Mid-Autumn Festival. It’s essential to adapt automated content calendars to these local holidays and cultural moments to stay relevant.

  Furthermore, the tone and style of content must be adjusted. Chinese consumers often respond better to emotional, narrative-driven content that emphasizes harmony, trust, and family values, while overly direct or aggressive sales tactics can backfire. Brands should adjust automated content to reflect these local preferences, incorporating storytelling elements and emphasizing brand loyalty rather than just pushing products.

  • Adapting Email Marketing for WeChat
    While email marketing is a staple of automated marketing in Western countries, it is far less effective in China, where consumers rarely rely on email for communication. Instead, WeChat serves as the primary platform for customer engagement, from messaging to promotions and customer service. Therefore, brands should shift their automated marketing efforts toward WeChat-based communication. Setting up automated workflows in WeChat, such as drip campaigns and engagement sequences, can help brands nurture customer relationships in a way that is culturally and practically appropriate for China.

  7. Data-Driven Decision Making: Insights and Analytics in China

  Data is the cornerstone of effective marketing automation, but the type of data available in China, and how it is collected and used, differs from many Western markets. To be effective, brands need to build strategies that align with the Chinese data landscape and comply with the country’s regulations.

  • The Power of First-Party Data
    In China, leveraging first-party data is crucial due to restrictions on data sharing and the limited availability of third-party data compared to Western markets. Given the impact of the Personal Information Protection Law (PIPL), brands are under strict scrutiny regarding how they collect and use consumer data. This makes it more important than ever to build direct relationships with consumers through platforms like WeChat or through loyalty programs, gathering insights into their preferences, behaviors, and purchase history.

    Automated systems should be designed to make the most of this first-party data, personalizing interactions based on deep consumer insights. For example, an automated workflow might send personalized promotions through WeChat based on a consumer’s previous purchases or browsing behavior. However, unlike in many Western markets, where third-party data might be readily available to supplement insights, brands in China must build and nurture their own data pools, making consumer engagement efforts even more critical.

  • Data Analytics Platforms in China
    Google Analytics, a key tool for most Western marketers, is not accessible in China. Instead, brands need to use Chinese analytics platforms such as Baidu Analytics or local third-party solutions. These tools have different interfaces, metrics, and reporting capabilities. Automated systems must be adapted to pull data from these local sources and incorporate them into broader global reporting structures if necessary.

    This also means that data-driven marketing strategies, from A/B testing to customer segmentation, will need to rely on locally generated insights. Foreign brands must ensure that their marketing automation tools are compatible with these analytics platforms and adjust their KPIs and success metrics based on the available data.

  8. Omnichannel Approach: Offline and Online Integration

  China is a leader in the integration of offline and online commerce, often referred to as new retail. In this environment, automated marketing systems must be able to bridge the gap between online and offline experiences seamlessly.

  • O2O (Online-to-Offline) Marketing
    One of the key trends in China is O2O (Online-to-Offline) marketing, where consumers interact with brands across both digital and physical channels. Automated marketing strategies need to reflect this dynamic. For example, a customer may browse products online but prefer to complete the purchase in a physical store. Brands must automate personalized follow-up messages that encourage store visits, perhaps by offering time-sensitive discounts or rewards for in-store purchases.

    Technologies such as QR codes play a major role in integrating the online and offline experiences. Consumers in China are accustomed to scanning QR codes to access promotions, menus, product information, or even make payments. Automated marketing systems should leverage this behavior by linking QR codes to automated workflows, enabling seamless transitions between online interactions and offline sales experiences.

  • AI-Driven Personalization in Offline Stores
    Leading Chinese retailers are incorporating artificial intelligence to personalize the in-store shopping experience. For example, some stores use facial recognition to identify returning customers and offer tailored recommendations based on their previous purchases or browsing history. Automated marketing systems must be integrated into these AI-driven experiences, ensuring that customer data from online interactions is available to offline stores and vice versa.

  9. Building a Strong Local Team and Partnerships

  The complexity of the Chinese market means that foreign brands cannot succeed by relying solely on their global teams and existing resources. Local expertise is crucial to ensure that marketing automation systems are adapted properly.

  • Local Teams for Cultural and Technological Insight
    Hiring a local marketing team in China is essential. These professionals understand the nuances of consumer behavior, the competitive landscape, and the ever-evolving digital ecosystem. A local team can help tailor automated marketing workflows to align with local preferences, manage relationships with key platforms, and ensure compliance with Chinese regulations.

    Local teams can also provide real-time feedback on the performance of automated campaigns and recommend adjustments based on shifting consumer trends, new platform features, or emerging regulations. They serve as the bridge between the global strategy and local execution, ensuring that automation efforts are both effective and culturally appropriate.

  • Partnerships with Chinese Agencies and Service Providers
    Many foreign brands also benefit from partnering with Chinese agencies or third-party service providers who specialize in digital marketing and e-commerce in China. These partnerships can help navigate the complexities of working with platforms like Tmall, WeChat, and Douyin, ensuring that automation systems are properly integrated with local tools and platforms.

    Additionally, local service providers often have direct relationships with KOLs, media outlets, and key stakeholders, which can enhance the effectiveness of automated influencer campaigns or media buys. Partnering with local agencies can also reduce the time needed to launch campaigns and ensure that brands are always up-to-date with the latest developments in China’s fast-moving digital landscape.

  Conclusion: Customization is Key to Success in China

  The Chinese market is rich with potential for foreign brands, but it requires a fundamentally different approach to marketing, especially when it comes to automation. Brands that attempt to apply their global marketing automation strategies without adapting to China’s unique digital landscape, cultural nuances, regulatory environment, and consumer behaviors are setting themselves up for failure.

  Success in China hinges on understanding the intricacies of local platforms like WeChat and Baidu, embracing cultural differences in messaging and consumer engagement, complying with China’s data privacy and censorship laws, and building robust partnerships with local experts. Marketing automation can still play a critical role in scaling operations and personalizing customer experiences, but it must be customized to meet the demands of the Chinese market.

  For international brands looking to enter China, the most effective strategy is to treat the market as distinct—not just another extension of their global operations. With the right blend of localization, strategic adaptation, and partnerships, foreign brands can unlock the full potential of automated marketing in China, driving sustainable growth and long-term success.

Introduction

Entering the Chinese market offers unparalleled opportunities for international luxury and fashion brands. With the rapid rise of China’s affluent middle class and an insatiable appetite for luxury goods, the country is a crucial destination for global brands. China now accounts for nearly one-third of the global luxury market, and this figure is expected to rise in the coming years.

However, succeeding in China’s luxury market is not as simple as replicating marketing strategies from the West. The Chinese digital ecosystem is unique, dominated by platforms like WeChat, Tmall, and Baidu, which function in ways entirely different from Facebook, Instagram, or Google. Consequently, marketing in China requires a completely different approach. One of the most powerful tools available to luxury and fashion brands is the Demand-Side Platform (DSP)—a technology that automates ad buying to target specific audiences with precision.

In this article, we’ll discuss why DSPs are crucial for international luxury and fashion brands entering the Chinese market. We’ll explore the key differences between China’s digital advertising environment and that of the West, and highlight the strategies that will allow brands to maximize the value of DSPs. With a focus on strategic, tactical, and practical insights, this article will serve as an essential guide for decision-makers and marketing professionals looking to establish or grow their luxury brand presence in China.

Understanding the Chinese Luxury Consumer: Why Precision Matters

1. Affluent Consumers with Unique Behaviors

Luxury consumers in China are significantly younger than their Western counterparts. While the average luxury consumer in the U.S. or Europe might be in their 40s or 50s, in China, they are often in their 20s and 30s. These consumers are highly engaged with digital media, spend a large portion of their time on mobile devices, and have high expectations for personalized, premium experiences.

Chinese luxury consumers are also deeply influenced by social media and key opinion leaders (KOLs). Rather than relying solely on traditional advertising, they turn to influencers, user-generated content, and reviews from their social networks when making purchasing decisions. Brands that want to reach these consumers must be present on the platforms they use, and DSPs are the perfect tool for ensuring their messages are targeted effectively.

2. Hyper-Segmented Market

China’s luxury market is diverse, with segments that vary greatly by region, income level, and personal preferences. For example, consumers in Tier 1 cities like Beijing and Shanghai might be looking for established global brands like Chanel or Louis Vuitton, while younger consumers in Tier 2 and Tier 3 cities might be more open to newer, niche luxury brands.

This hyper-segmentation requires luxury brands to have a detailed understanding of their target audience and to create highly customized marketing campaigns. DSPs offer the ability to do just that by using data to target specific audience segments based on their demographics, location, interests, and online behaviors.

Why DSPs Are Essential for Luxury Brands in China

1. Precision Targeting and Personalization

Luxury goods are not for mass consumption, and the consumers who buy them expect a highly personalized experience. DSPs enable luxury brands to target very specific audience segments with precision. For example, a brand can target high-net-worth individuals in Shanghai who are interested in specific product categories, such as watches, handbags, or shoes. DSPs allow brands to refine their targeting parameters continuously, ensuring that their ads are shown only to the most relevant audiences.

With DSPs, brands can also create personalized ads tailored to different segments of their audience. For example, a luxury brand could run a campaign showcasing its most exclusive collection to ultra-wealthy consumers, while promoting its entry-level products to aspirational buyers.

2. Cross-Platform Reach

One of the unique challenges of the Chinese digital ecosystem is that consumers are spread across a variety of platforms, including WeChat, Tmall, Douyin, and Baidu. Unlike in the West, where Facebook or Google Ads might cover the majority of a brand’s digital advertising needs, brands in China need to engage with consumers across multiple platforms to have a comprehensive reach.

DSPs allow luxury brands to run campaigns across a wide range of platforms while centralizing the management of their ad buys. For example, a DSP can help a brand run targeted ads on WeChat’s Moments, display ads on Baidu’s search results, and video ads on Douyin, ensuring maximum exposure across China’s fragmented digital landscape.

3. Real-Time Optimization and Flexibility

The ability to make real-time adjustments to campaigns is critical for luxury brands that want to maintain a sense of exclusivity and respond quickly to trends. For instance, a brand might notice that a particular product is performing well in Beijing but not in Guangzhou. With DSPs, the brand can reallocate its budget toward Beijing, or optimize its creatives for the Guangzhou market based on performance data.

Similarly, DSPs allow luxury brands to react quickly to unexpected events or shifts in consumer behavior. If a new fashion trend emerges or a KOL mentions the brand in a post, the brand can use DSPs to instantly amplify its message and take advantage of the increased visibility.

4. Integration with E-Commerce Platforms

In China, luxury brands are not just using DSPs to drive brand awareness; they are also using them to drive e-commerce sales. Platforms like Tmall and JD.com have become major channels for luxury goods, offering a controlled environment where brands can maintain their exclusivity while reaching a large audience.

DSPs can be integrated with these e-commerce platforms, allowing luxury brands to target consumers who have shown an interest in their products and drive them to make a purchase. For example, if a consumer has browsed a luxury brand’s product page on Tmall but has not completed a purchase, the brand can retarget that consumer with a personalized ad through a DSP, reminding them of the product and offering an exclusive promotion to encourage conversion.

5. Leveraging Data for a Competitive Edge

One of the greatest advantages of using DSPs in China is the access to vast amounts of data. Luxury brands can use data from multiple sources to build detailed profiles of their target audience and tailor their messaging accordingly.

For instance, DSPs can analyze consumer behavior on social media platforms, e-commerce sites, and search engines to identify which consumers are most likely to purchase luxury products. By leveraging this data, brands can create highly targeted campaigns that speak directly to their audience’s preferences and purchasing behaviors.

Strategies for Using DSP in the Chinese Luxury Market

1. Invest in High-Quality Creative

In the luxury market, creative excellence is non-negotiable. Chinese consumers expect high-quality visuals and premium content from luxury brands. To maximize the effectiveness of DSP campaigns, brands must invest in high-quality creative assets that reflect their brand’s image and resonate with their target audience.

This could include professionally shot videos, interactive rich media ads, or personalized dynamic ads that showcase the brand’s products in a luxurious, aspirational way. Given the importance of social media and visual platforms in China, brands should also consider working with KOLs to create authentic content that enhances their DSP campaigns.

2. Combine Branding and Performance Marketing

Traditionally, luxury brands have focused more on brand-building campaigns rather than performance marketing. However, in China, there is an opportunity to combine both approaches through DSPs. Luxury brands can use DSPs to build brand awareness through top-of-funnel activities, such as running video ads on Douyin or display ads on WeChat Moments, while also using DSPs to drive e-commerce sales by retargeting consumers who have engaged with their brand.

By combining branding and performance marketing, luxury brands can create a full-funnel approach that not only enhances brand equity but also drives measurable business outcomes.

3. Utilize Geo-Targeting for Tiered City Strategies

China’s luxury market is not uniform, with different consumer behaviors and preferences across Tier 1, Tier 2, and Tier 3 cities. For example, consumers in Tier 1 cities like Beijing, Shanghai, and Shenzhen may already be familiar with global luxury brands, while those in Tier 2 and Tier 3 cities might be experiencing these brands for the first time.

Luxury brands can use DSPs to create tiered city strategies, tailoring their messaging and targeting for different regions. For example, a brand could run campaigns in Tier 1 cities that focus on exclusive, limited-edition collections, while in Tier 2 and Tier 3 cities, the focus might be on introducing the brand and promoting more accessible products.

4. Optimize for Mobile Consumers

China is a mobile-first country, with the vast majority of digital interactions happening on smartphones. Luxury brands must ensure that their DSP campaigns are optimized for mobile devices, with responsive ad formats that look stunning on small screens. Interactive ad formats, such as swipeable carousels or short-form video ads, work particularly well on platforms like WeChat and Douyin, where mobile engagement is high.

Additionally, mobile DSP campaigns can incorporate location-based targeting to reach consumers who are near luxury retail stores or premium shopping districts, driving foot traffic and in-store purchases.

5. Align Campaigns with Key Cultural Moments

In China, certain cultural moments and festivals, such as Chinese New Year, Singles’ Day, and Golden Week, are critical opportunities for luxury brands to engage with consumers. These periods often see a spike in luxury spending as consumers look to treat themselves or buy gifts for loved ones.

Luxury brands should align their DSP campaigns with these key moments, using data to anticipate consumer demand and create timely, relevant ads that resonate with their audience. For example, a luxury watch brand could run a campaign during Singles’ Day offering limited-time promotions on select items, while a high-end fashion brand could launch a Chinese New Year collection featuring ads that highlight cultural motifs.

Case Studies: Luxury Brands Successfully Using DSP in China

Case Study 1: Burberry’s Digital Transformation in China

Burberry, one of the most iconic British luxury fashion brands, has been a pioneer in leveraging DSPs and digital tools to engage Chinese consumers. Recognizing the importance of being digitally savvy in China, Burberry was one of the first luxury brands to launch a flagship store on Tmall. The brand used DSPs to target affluent Chinese consumers with personalized ads across multiple platforms, including WeChat and Douyin.

By integrating its DSP campaigns with e-commerce platforms like Tmall and JD.com, Burberry was able to create a seamless experience for consumers, from awareness to purchase. The brand also worked with KOLs to create exclusive content that was amplified through its DSP campaigns, helping Burberry strengthen its digital presence and drive e-commerce sales.

Case Study 2: Cartier’s Cross-Platform Strategy

Cartier, the French luxury jeweler, has successfully utilized DSPs to reach Chinese luxury consumers across multiple platforms. Recognizing that its target audience is active on WeChat, Douyin, and other Chinese platforms, Cartier used DSPs to run targeted campaigns that featured high-quality video content showcasing its latest collections.

By using DSPs to segment its audience and deliver personalized messages to different consumer groups, Cartier was able to build brand awareness while driving traffic to its online and offline stores. The brand’s DSP campaigns were also integrated with its Tmall flagship store, allowing consumers to easily make purchases online after engaging with Cartier’s ads.

Conclusion

For international luxury and fashion brands, DSPs are not just an option—they are a necessity for succeeding in China’s competitive and complex market. The ability to target specific audience segments with precision, optimize campaigns in real-time, and deliver personalized ads across multiple platforms makes DSPs a powerful tool for luxury brands looking to build awareness and drive sales in China.

As the Chinese luxury market continues to grow, brands that invest in sophisticated digital tools like DSPs will be best positioned to capture the attention of affluent Chinese consumers and build long-term brand loyalty. By aligning their strategies with the unique behaviors and preferences of Chinese luxury shoppers, brands can ensure their success in one of the most lucrative markets in the world.