UK advertisers to help Chinese brands go global

Called the "International Brand Incubator", the new R&D service draws on the expertise of UK-based planners and creatives within IPA member agencies to provide Chinese companies with the opportunity to test the consumer appeal of their brands outside Asia.

Once the process has been completed, the Chinese brand owner will be given a report with analysis of the competitive environment, key consumer considerations, an overall rating of brand potential, as well as guidance on brand differentiation strategy.

Nicola Mendelsohn, IPA president, claimed the UK was "the most advanced nation in the world for cultural and creative insight, brand understanding and communications strategy", and thus made a good springboard for Chinese brand owners.

Janet Hull, IPA's director of marketing said this was the "perfect time" for the internationalisation plans of Chinese companies, via the UK. 

"The relative strength of the Chinese economy makes brand investment highly efficient, especially during an economic downturn," Hull added. 

UK agencies, including Addiction Worldwide, Bray Leino, The Brooklyn Brothers, Karmarama, MBA and RKCR/Y&R, are currently in Shenyang until 27 September for the China International Advertising Festival. This event is designed to promote the UK as a creative and innovation hub to the world. 

Over 60 IPA member agencies have offices or affiliates in China, while 400 mainland Chinese companies are already in the UK.

The number of Chinese brands in the BrandZ Top 100 Most Valuable Global Brands rankings (developed by Millward Brown Optimor) in the UK, rose from eight in 2010 to 12 in 2011.

China Mobile, China Construction Bank, Baidu, China Life, Bank of China, Agricultural Bank of China, Tencent, PetroChina, Pingan, China Telecom, and China Merchant's Bank have made it to the list this year.

However, Millward Brown Optimor analysed that most of these brands are still B2B and most rely on the growth of the Chinese market for their own growth.

The IPA believes that in the next three to five years, at least 20 Chinese consumer brands will have the potential to go global.

Established in 1917, the IPA is the trade association for the top 250 advertising and brand communications agencies in the United Kingdom.