DAN study points to "new normal" in the Chinese market

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One of the feelings of the Brazilian market at this moment is to understand how China and its advertising sector are reacting after Coronavirus hit the heart of the country, causing deaths and impacts on its economy. As the Covid-19 cycle and lockdowns begin to occur in Brazil, it is interesting to know how consumers, the media and the advertising market are reacting there.

Dentsu Aegis Network (DAN) promoted an exclusive study to understand what it calls "new normal" in the face of an unprecedented global pandemic scenario. The survey was conducted with 155 senior communication and marketing executives, from February 28 to March 3, specifically in China, the epicenter of the emergency - but which is already showing clearer signs of recovery. 

"Brazil is approaching the apex of the epidemic and has much to learn from the Chinese experience," says Eduardo Bicudo, president of Dentsu Aegis Network in Brazil.

The big conclusion seems to be that, yes, there is a tomorrow.  The country began lockdowns on Jan. 23 in Wuhan and the cities of Hubei province, so the study conducted at the turn of February to March captures the country's spirit about a month after the quarantines began.


One aspect of the study showed how marketing professionals are acting at the moment, preferring to adapt messages to cut advertising. DAN says it sees a change in message and segmentation, as geographic regions and creative aspects are being reviewed by 22% of respondents, with only 7% wanting to stop investments altogether. 

In addition, 77% of advertisers have already started making proactive recovery plans. 

Marketers have also been looking at the intelligent use of technology to recover online traffic and connect with consumers in new and innovative ways. And another 33% of marketers wanted to increase investment in E-commerce and Social Commerce. The other 33% intended to increase investment in social platforms, opinion makers, and streaming broadcasts to engage with their target audiences.


In addition to outlining possible scenarios of economic impact, the research points to changes in consumer behavior, and how brands are adapting at the moment, reflexes in the most affected markets and prospects for recovery. 

Among the main conclusions, the survey pointed out that 47% of the marketing professionals and service executives surveyed stated that sales were significantly or severely impacted by the pandemic. The Travel sector continues to be one of the most affected categories, while Retail, Luxury and Consumer Durable Goods have adopted digital channels for engagement and delivery services, as consumers have remained collected. 

By now, it is clear to DAN that delivery services will gain even more prominence, as will remote work and a whole range of services provided in the cloud. "Brands should fit into this context, thus helping to minimize the impacts on consumers and their businesses. I believe that this space in Brazil is even greater, given that the Brazilian market is not yet so mature in these areas," says Bicudo. 


In the Chinese media, one of the observations of the study was the increase of the audience in local vehicles such as CCTV News, People&Daily and News Network (journalistic vehicles), because users are looking more for reliable sources. The time spent in front of screens also increased, and in the second and third weeks of February, the audience spent 7.3 hours a day on TV and Online TV platforms on average.

Article originally published in: https://propmark.com.br/mercado/estudo-da-dan-aponta-novo-normal-no-mercado-chines/