ABC INDEX REPORT 2019 Australian Brands in China
The ABC Index 2019 CONTENTS FOREWORD 01 FOREWORD 2 03 EXECUTIVE SUMMARY 05 CHAPTER ONE 07 11 Overall Index CHAPTER TWO ABC Index by Industry CHAPTER THREE 21 ABC Index by Brand Attributes CHAPTER FOUR 27 Chinese Consumer Insights
Contents CHAPTER FIVE 35 Trends and Observations CHAPTER SIX 41 Conclusion APPENDIX ONE: 43 Research Methodology APPENDIX TWO: 47 Top Brands by Attributes in each industry REFERENCES 49 CREDITS 51 ABOUT DIGITAL CREW 52
1 The ABC Index 2019 FOREWORD The Australian Brands in China Index (ABC Index) is one ȅƏȸǸƺɎًƏȇƳǔȒȸƫȸƏȇƳɀƏǼȸƺƏƳɵƺɀɎƏƫǼǣɀǝƺƳًƏƬǝƏȇƬƺɎȒ ȒǔɎǝƺˡȸɀɎƏȇƳȒȇǼɵƬȒȅȵȸƺǝƺȇɀǣɮƺɀɎɖƳǣƺɀȒǔǣɎɀǸǣȇƳِ ƳƺǔƺȇƳɎǝƺǣȸȅƏȸǸƺɎɀǝƏȸƺِ
ɖȸXȇƳƺɴɀǝȒɯɀɎǝƏɎ We produced the ABC Index to bridge perception gaps ƫȸƏȇƳɀɎǝƏɎȅƏȸǸƺɎɎǝƺȅɀƺǼɮƺɀǣȇɯƏɵɀɎǝƏɎ!ǝǣȇƺɀƺ between Australian brands in China and Chinese ƬȒȇɀɖȅƺȸɀƏȸƺƏƬƬɖɀɎȒȅƺƳًƏȇƳɎǝƏɎɀɎȸǣǸƺɎǝƺȸǣǕǝɎ ƬȒȇɀɖȅƺȸɀِÁǝǣɀȸƺȵȒȸɎǣƳƺȇɎǣˡƺɀɎǝƺǣȇǝƺȸƺȇɎ balance with Chinese consumers’ preferred brand attributes of Australian brands and analyses their brand attributes, have a greater chance of successfully ȒǔǔƺȸǣȇǕǔȸȒȅɎǝƺȵƺȸɀȵƺƬɎǣɮƺȒǔ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀِXɎ ȵƺȇƺɎȸƏɎǣȇǕɎǝƺ!ǝǣȇƺɀƺȅƏȸǸƺɎƏȇƳǝȒǼƳǣȇǕɎǝƺǣȸ presents a pathway for brands to deliver a highly ȅƏȸǸƺɎɀǝƏȸƺِ ƺǔǔƺƬɎǣɮƺƫȸƏȇƳȸƺȵȸƺɀƺȇɎƏɎǣȒȇɎȒƬȒȇɀɖȅƺȸɀِÁǝƺXȇƳƺɴ As China moves into its next phase of development, its provides an overview of the brands that have succeed- demand will shift from raw materials to elaborately ed and failed in China and how that maps to consumer transformed manufactured goods, services, and ȵƺȸƬƺȵɎǣȒȇِ ƺɴȵƺȸɎǣɀƺِɖɀɎȸƏǼǣƏǣɀɯƺǼǼɀǣɎɖƏɎƺƳɎȒȅƺƺɎɎǝƺɀɖȵȵǼɵ ȒǔɎǝƺɀƺƳƺȅƏȇƳɀِ!ǝǣȇƏǣɀƏǼȸƺƏƳɵɎǝƺƫǣǕǕƺɀɎȅƏȸǸƺɎ ³ȒȅƺȒǔɎǝƺˡȇƳǣȇǕɀǣȇɎǝƺ !XȇƳƺɴחאȸƺɮƺƏǼƏ for Australian education services, while Australia's wide disconnect between the way brands are ˡȇƏȇƬǣƏǼɀƺƬɎȒȸǣɀɯƺǼǼٮȸƺǕƏȸƳƺƳǣȇɎƺȸȇƏɎǣȒȇƏǼǼɵǔȒȸǣɎɀ perceived in Australia and the way they are perceived in ƺǔˡƬǣƺȇƬɵƏȇƳƺǔǔƺƬɎǣɮƺȇƺɀɀƏȇƳǣɎɀƫƏȇǸɀƏȸƺƏȅȒȇǕ China due to differences in population, culture, income the most sound and stable in the world—one of the ǼƺɮƺǼɀًƬǼǣȅƏɎƺƏȇƳȒɎǝƺȸǔƏƬɎȒȸɀِ«ƺǕƏȸƳǼƺɀɀًɎǝƺ ȅƏǣȇȸƺƏɀȒȇɀɯƺƏƳƳƺƳƫƏȇǸɀɎȒɎǝƺǼǣɀɎȒǔƫȸƏȇƳ opportunities for Australian brands to succeed in China ƬƏɎƺǕȒȸǣƺɀǣȇɎǝǣɀɵƺƏȸټɀȸƺȵȒȸɎِ ǸƺƺȵǣȇƬȸƺƏɀǣȇǕِ As the Australia-China trade relationship continues to Funded by Digital Crew, Monash Business School ȅƏɎɖȸƺًǣɎǣɀǣȅȵƺȸƏɎǣɮƺɎǝƏɎɖɀɎȸƏǼǣƏȇƫȸƏȇƳɀɀɎȸǣǸƺɎǝƺ ɀɖȸɮƺɵƺƳƏȇƳȸƺȵȒȸɎƺƳȒȇȅȒȸƺɎǝƏȇ!ًחǝǣȇƺɀƺ right balance with their brand attributes and enter the men and women in two phases, recording responses !ǝǣȇƺɀƺȅƏȸǸƺɎɯǣɎǝɎǝƺȸǣǕǝɎȵƏȸɎȇƺȸɀًƺǔǔƺƬɎǣɮƺ ƏƫȒɖɎƫȸƏȇƳƏɎɎȸǣƫɖɎƺɀƏȇƳɎǝƺȵƺȸƬƺȵɎǣȒȇȒǔא ȅƏȸǸƺɎǣȇǕƬǝƏȇȇƺǼɀًƏȇƳɀɎȸƏɎƺǕǣƬȸƺǼƏɎǣȒȇɀǝǣȵɀِɀɎǝƺ Australian brands across eight industries in which only report that monitors the brand ‘health’ of Austra- Australian brands are most active, outside mining and ǼǣƏȇƬȒȅȵƏȇǣƺɀǣȇ!ǝǣȇƏًɎǝƺ !XȇƳƺɴחאǣɀƏȇ ƬȒȅȅȒƳǣɎǣƺɀِ ƺɀɀƺȇɎǣƏǼȸƺƏƳǔȒȸƏȇɵȒȇƺɯǣɀǝǣȇǕɎȒƺɴȵƏȇƳǣȇɎȒ!ǝǣȇƏِ China is Australia’s leading trade partner, with Austra- Ophenia Liang Eugene Chan ǼǣƏټɀƺɴȵȒȸɎɀɎȒ!ǝǣȇƏɮƏǼɖƺƳƏɎِڟڟƫǣǼǼǣȒȇǣȇהא٫ًו ƏȇƳואِבאڟƫǣǼǼǣȒȇǣȇוא٫
ِזɖȸXȇƳƺɴȸƺˢƺƬɎɀɎǝƺ importance and success of the two-way trade relation- ɀǝǣȵƫƺɎɯƺƺȇ!ǝǣȇƏƏȇƳɖɀɎȸƏǼǣƏِ As the country with the world’s highest popula- ɎǣȒȇ٪זגِƫǣǼǼǣȒȇ٪!ǝǣȇƏټɀǣȇƬȸƺƏɀǣȇǕȇƺƺƳɀǔȒȸȷɖƏǼǣɎɵ products that offer value provide Australian brands an ȒȵȵȒȸɎɖȇǣɎɵɎȒƫȸƺƏǸǣȇɎȒɎǝǣɀȵȒɎƺȇɎǣƏǼǼɵǼɖƬȸƏɎǣɮƺ
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3 The ABC Index 2019 FOREWORD 2 ÁǝƺȒǼƳƫɖɀǣȇƺɀɀƏƳƏǕƺٻǸȇȒɯɵȒɖȸƬɖɀɎȒȅƺȸټǝƏɀȇƺɮƺȸ ƏƬƬȒȸƳǣȇǕǼɵِáƺɀǝȒɖǼƳȸƺȅƺȅƫƺȸɎǝƏɎًƏɀɎǝǣɀɀɖȸɮƺɵ ƫƺƺȇɎȸɖƺȸɎǝƏȇɯǝƺȇǣɎƬȒȅƺɀɎȒ!ǝǣȇƏِÁɯȒٮɯƏɵɎȸƏƳƺ shows, Chinese preferences are often not the same as ƫƺɎɯƺƺȇɖɀɎȸƏǼǣƏƏȇƳ!ǝǣȇƏȇȒɯɎȒȵɀבזڟƫǣǼǼǣȒȇȵƺȸ ɖɀɎȸƏǼǣƏȇȵȸƺǔƺȸƺȇƬƺɀِȇƳƫɖɀǣȇƺɀɀƺɀɀǝȒɖǼƳɖȇƳƺȸ- annum and, as the Chinese middle class continues to stand the role of digital platforms and social media grow, new opportunities arise for Australian businesses ɯǝƺȇǣɎƬȒȅƺɀɎȒƺȇǕƏǕǣȇǕɯǣɎǝ!ǝǣȇƏِ ȸƏȇƳɀɯǣɎǝƏ ƺɮƺȸɵƳƏɵِ clear social media presence performed strongly in this ɵƺƏȸټɀXȇƳƺɴِ ɖɎǣǔɖɀɎȸƏǼǣƏټɀɀɖȵȵǼɵȒǔǝǣǕǝٮȷɖƏǼǣɎɵًƬǼƺƏȇƏȇƳǕȸƺƺȇ products and services is to meet the ever-growing XɯƏȇɎɎȒɎǝƏȇǸ(ǣǕǣɎƏǼ!ȸƺɯƏȇƳɎǝƺxȒȇƏɀǝ ɖɀǣȇƺɀɀ Chinese demand, Chinese customers must be able to ³ƬǝȒȒǼǔȒȸȵȸȒƳɖƬǣȇǕƏȇȒɎǝƺȸǣȅȵȒȸɎƏȇɎȸƺȵȒȸɎِXǼȒȒǸ ƺƏɀǣǼɵȸƺƬȒǕȇǣɀƺƏȇƳƬǝȒȒɀƺɖɀɎȸƏǼǣƏȇƫȸƏȇƳɀِ forward to seeing how Chinese perceptions of Austra- ǼǣƏȇƫȸƏȇƳɀƬȒȇɎǣȇɖƺɎȒƺɮȒǼɮƺǣȇɎǝƺɵƺƏȸɀɎȒƬȒȅƺِ ÁǝƏɎټɀɯǝɵɎǝƺ !XȇƳƺɴ«ƺȵȒȸɎחאǣɀɀȒǣȅȵȒȸɎƏȇɎِ Áǝƺ !XȇƳƺɴɀɖȸɮƺɵƺƳȅȒȸƺɎǝƏȇ!חǝǣȇƺɀƺ ƬȒȇɀɖȅƺȸɀًǔȸȒȅˡȸɀɎƏȇƳɀƺƬȒȇƳٮɎǣƺȸƬǣɎǣƺɀِÁǝǣɀɵƺƏȸًǣɎ ƬȒɮƺȸɀאƫȸƏȇƳɀًƏȇƳǝƏɀƺɴȵƏȇƳƺƳɎȒǣȇƬǼɖƳƺɎǝƺ ƫƏȇǸǣȇǕɀƺƬɎȒȸِÁǝƺXȇƳƺɴɎƺɀɎɀƬȒȇɀɖȅƺȸȵƺȸƬƺȵɎǣȒȇɀ of Australian brands across nine ‘brand ƏɎɎȸǣƫɖɎƺɀټ٪ǔȸȒȅɎȸɖɀɎɯȒȸɎǝǣȇƺɀɀɎȒɮƏǼɖƺǔȒȸȅȒȇƺɵِ The result is an important insight into the contempo- rary Chinese consumer’s perception of what Australia ǝƏɀɎȒȒǔǔƺȸِ ÁǝƺȅƺɀɀƏǕƺيɎǝƺȸƺǣɀȸȒȒȅǔȒȸƺɴǣɀɎǣȇǕȅƏȸǸƺɎȵǼƏɵƺȸɀ The Hon. John Brumby AO ɎȒǕȸȒɯًƏȇƳǔȒȸȇƺɯȒȇƺɀɎȒƺȇɎƺȸِ ȸƏȇƳɀɀǝȒɖǼƳ National President, understand the attributes that Chinese consumers Australia China Business Council ɮƏǼɖƺًƏȇƳɎƏǣǼȒȸɎǝƺǣȸȒǔǔƺȸǣȇǕɎȒɎǝƺ!ǝǣȇƺɀƺȅƏȸǸƺɎ
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5 The ABC Index 2019 EXECUTIVE SUMMARY The fast growth of the Chinese brands across eight industries and the ƳȒȅǣȇƏɎƺɎȒȵǼǣɀɎǔȒȸȅƺȇًɯǝǣǼƺ economy and the rise of the middle following nine brand attributes: tourism brands dominate the top class has made China a lucrative ȷɖƏǼǣɎɵًƬȒȇɮƺȇǣƺȇƬƺًǣȇȇȒɮƏɎǣɮƺȇƺɀɀً ǼǣɀɎǔȒȸɯȒȅƺȇِɖɀɎȸƏǼǣƏȇ á³ ɎƏȸǕƺɎǔȒȸɖɀɎȸƏǼǣƏȇƫȸƏȇƳɀِÁǝƺ professionalism, practicality, social brands should continue to capital- !XȇƳƺɴɀƺƺǸɀɎȒƫȸǣƳǕƺɎǝƺǕƏȵ responsibility, trustworthiness, and ǣɀƺȒȇȅƏȸǸƺɎǣȇǕɎȒɎǝǣɀɀƺǕȅƺȇɎȒǔ between what Australian brands ƬȒɀɎٮƺǔǔƺƬɎǣɮƺȇƺɀɀِ ɎǝƺȅƏȸǸƺɎɯǝǣǼƺɎȒɖȸǣɀȅƫȸƏȇƳɀ ɎǝǣȇǸɎǝƺɵǸȇȒɯƏƫȒɖɎǝȒɯ!ǝǣȇƺɀƺ ɀǝȒɖǼƳɎƏȸǕƺɎɯȒȅƺȇِ consumers perceive their brand and kƺɵˡȇƳǣȇǕɀǣȇחאƏȸƺي ÁǣƺȸƬǣɎǣƺɀًɯǝƺȸƺ!ǝǣȇƺɀƺ what Chinese consumers are ƬȒȇɀɖȅƺȸɀƏȸƺȅȒȸƺƏǔˢɖƺȇɎًȸƏȇǸ ǼȒȒǸǣȇǕǔȒȸɯǝƺȇƬȒȇɀǣƳƺȸǣȇǕƏȇ The overall top Australian and tourism tourism and BWS brands in their ɖɀɎȸƏǼǣƏȇƫȸƏȇƳِ ƫȸƏȇƳǣɀƳǣȇƏȵƏȸɎȅƺȇɎRȒɎƺǼɀِ ɎȒȵǼǣɀɎًȒǔǔƺȸǣȇǕȒȵȵȒȸɎɖȇǣɎǣƺɀǔȒȸ Chinese consumers favour this brand Australian brands to appeal to the Áǝƺ !XȇƳƺɴƺɴȵƏȇƳƺƳǔȸȒȅוɎȒ ǔȒȸɎǝƺǣȸɮƏǼɖƺٮǔȒȸٮȅȒȇƺɵƏȇƳȷɖƏǼǣɎɵ demand for luxury products and אƫȸƏȇƳɀɎǝǣɀɵƺƏȸǣȇȸƺƬȒǕȇǣɎǣȒȇ ƏƬƬȒȅȅȒƳƏɎǣȒȇِ ƺɴȵƺȸǣƺȇƬƺɀِIȒȸ!ǝǣȇƺɀƺƬȒȇɀɖȅ- ɎǝƏɎ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀټǸȇȒɯǼ- IǣɮƺɎȒɖȸǣɀȅƫȸƏȇƳɀƏȇƳˡɮƺƏǼƬȒǝȒǼ ƺȸɀǼǣɮǣȇǕǣȇÁǣƺȸאȸƺǕǣȒȇɀًƫƏȇǸƏȇƳ edge of brands from the land Down ƫȸƏȇƳɀȅƏǸƺɎǝƺȒɮƺȸƏǼǼɎȒȵǼǣɀɎً fast-moving consumer goods ÈȇƳƺȸƏȸƺǣȇƬȸƺƏɀǣȇǕِ indicating that Australia’s appeal ٢Ix!J٣ƫȸƏȇƳɀɎȒȵɎǝƺǼǣɀɎِ!ǝǣȇƺɀƺ overall is largely its tourism industry, consumers in these cities spend While there is consistency for with vineyards and distilleries an ƏȇƳɀƏɮƺɯǣɀƺǼɵِÁǝƺXȇƳƺɴɀǝȒɯɀ several brands and industries important component of the Austra- that Australian brands need to between last year and this year, ǼǣƏȇƺɴȵƺȸǣƺȇƬƺِÁǝƺXȇƳƺɴɀǝȒɯɀɎǝƏɎ ɎƏǣǼȒȸɎǝƺǣȸȅƏȸǸƺɎǣȇǕɎȒƏƬƬȒȅȅȒ- there were some noticeable brands, even those outside of the date the wide geography and changes, signalling that Chinese tourism and alcohol industries, that ƏǔˢɖƺȇƬƺȒǔɎǝƺ!ǝǣȇƺɀƺȅƏȸǸƺɎِ consumers’ perceptions of Austra- capture the culture and attributes of Cosmetic and FMCG brands lian brands are still malleable and Australia are well-positioned to ƳȒȅǣȇƏɎƺƳɎǝƺXȇƳƺɴǣȇזאƫɖɎ there is potential for new and capture the wallets of Chinese have fallen from favour this year, emerging Australian brands to ƬȒȇɀɖȅƺȸɀِ indicating just how dynamic the capture a share of the world’s Tourism and wine brands also !ǝǣȇƺɀƺȅƏȸǸƺɎǣɀِ ǼƏȸǕƺɀɎȅƏȸǸƺɎِ dominate the list for all demographic Chinese consumers are no longer groups including gender, region, valuing trendiness as a brand To improve the Index, we added income, education and whether the ƏɎɎȸǣƫɖɎƺǣȇɎǝƺIx!JǣȇƳɖɀɎȸɵِ ƫƏȇǸɀƏɀƏȇƺɯǣȇƳɖɀɎȸɵƏȇƳɀȵǼǣɎ person has visited Australia before, Instead, Chinese consumers are tourism brands from destination though there are some interesting ǔƏɮȒɖȸǣȇǕȷɖƏǼǣɎɵƏȇƳȵȸȒǔƺɀɀǣȒȇƏǼ ƫȸƏȇƳɀِáƺɀɖȸɮƺɵƺƳ!ǝǣȇƺɀƺ ƳǣǔǔƺȸƺȇƬƺɀǣȇǕƺȇƳƺȸȵȸƺǔƺȸƺȇƬƺِ consumers’ perceptions of Australian Beer, wine and spirit (BWS) brands
Executive summary 6 ǣɀȅِáƺƺɎ ٮǣɴǣɀȇȒǼȒȇǕƺȸǣȇɎǝƺ Australian education brands With more Australian brands ɎȒȵǼǣɀɎǔȒȸɎǝǣɀǣȇƳɖɀɎȸɵِ³ƏȇǣɎƏȸǣ- among the Chinese who value ƺȇɎƺȸǣȇǕɎǝƺȅƏȸǸƺɎ¹ it’s um’s rebranding of the product ȷɖƏǼǣɎɵƏȇƳɎȸɖɀɎɯǝƺȇɀƺƏȸƬǝǣȇǕ important for existing brands with from Weet-Bix to Nutri-Brex for an Australian university, a presence in China to maintain reduced the overall appeal of the attributes that ANU and the and defend their share of the ȵȸȒƳɖƬɎِ University of Melbourne both ȅƏȸǸƺɎًɯǝǣǼƺȇƺɯƫȸƏȇƳɀȅɖɀɎ !ƏȸɖɀȒټɀzƏɎɖȸƏǼRƺƏǼɎǝȸƏȇǸƺƳǼƏɀɎ ƺɴɖƳƺِ also be able to connect with ǣȇזאƫɖɎǴɖȅȵɀɎȒɎǝƺُאɀȵȒɎǣȇ Tasmania is the top tourism potential consumers in the world’s ɎǝƺǝƺƏǼɎǝǣȇƳɖɀɎȸɵɎǝǣɀɵƺƏȸِXɎǝƏɀ destination for Chinese consum- ȅȒɀɎȵȒȵɖǼȒɖɀƬȒɖȇɎȸɵِ ɎǝƺǝǣǕǝƺɀɎȸƏɎǣȇǕǔȒȸȷɖƏǼǣɎɵً ƺȸɀِnƏɀɎɵƺƏȸټɀɎȒȵٮȸƏȇǸƺƳƳƺɀɎǣȇƏ- value-for-money and practicali- ɎǣȒȇًɎǝƺJȒǼƳ!ȒƏɀɎًƳȸȒȵɀɎȒُِו (ǣǕǣɎƏǼȅƺƳǣƏǣɀƬƺȸɎƏǣȇɎȒɎƏǸƺȒȇ ty—all attributes that Chinese We are seeing Chinese consumers a greater role in developing consumers consider when search- switch from beach destinations to ƬɖɀɎȒȅƺȸٮƫȸƏȇƳȸƺǼƏɎǣȒȇɀǝǣȵɀِ ǣȇǕǔȒȸƏȇɖɀɎȸƏǼǣƏȇǝƺƏǼɎǝƫȸƏȇƳِ ȅȒȸƺȒǔǔٮƫƺƏɎƏƳɮƺȇɎɖȸƺɀًɎǝƺǸǣȇƳ Many existing brands with a XȇɎƺȸƺɀɎǣȇǕǼɵً³ɯǣɀɀƺƳǣƳȇټɎȅƏǸƺ ɎǝƏɎÁƏɀȅƏȇǣƏȒǔǔƺȸɀِ localised social media presence ɎǝƺɎȒȵǼǣɀɎȒǔǝƺƏǼɎǝƫȸƏȇƳɀƏȇƳ zñǣɀɎǝƺɎȒȵٮȸƏȇǸƺƳƫƏȇǸƫȸƏȇƳً ƏȇƳǣȇȇȒɮƏɎǣɮƺƳǣǕǣɎƏǼȅƏȸǸƺɎǣȇǕ its low position on the overall Index ǼǣǸƺǼɵƳȸǣɮƺȇƫɵǣɎɀƬȒȇɮƺȇǣƺȇɎ ȸƏȇǸǝǣǕǝǼɵȒȇȒɖȸXȇƳƺɴِÁǝǣɀ ǣȇƳǣƬƏɎƺɀǣɎɀȅƏȸǸƺɎǣȇǕƺǔǔȒȸɎɀǣȇ locations in several major Chinese suggests that brands can convey China might not be reaching cities including Shanghai, its attributes that Chinese consumers !ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀِ ǝǣǕǝٮȷɖƏǼǣɎɵˡȇƏȇƬǣƏǼɀƺȸɮǣƬƺ care about within the digital Australian National University offerings, and professionalism of sphere, helping Australian brands (ANU) and the University of ǣɎɀɀɎƏǔǔِ appeal directly to the digitally xƺǼƫȒɖȸȇƺƏȸƺɎǝƺɎȒȵٮȸƏȇǸƺƳ ƬȒȇȇƺƬɎƺƳ!ǝǣȇƺɀƺȅƏȸǸƺɎِ
7 The ABC Index 2019 CHAPTER ONE OVERALL INDEX
Chapter One: Overall Index 8
9 The ABC Index 2019 ABC INDEX TOP 10 BRANDS Rank2019 Brands Industry 1 Adina Apartment Hotels Tourism 2 Qantas Airways Tourism 3 Mantra Hotels Tourism 4 XXXX Beer, wine and spirits 5 Virgin Australia Airlines Tourism 6 Lindeman’s Wines Beer, wine and spirits 7 Medina Hotels Tourism 8 Bundaberg Rum Beer, wine and spirits 9 Hardys Wines Beer, wine and spirits 10 Burch Family Wines Beer, wine and spirits Brands that score highest in each industry sector share Australian brand. Airline and hotel brands have the attributes Chinese consumer favour when consid- ƺȸǣȇǕƫȸƏȇƳɀɯǣɎǝǣȇɎǝƏɎǣȇƳɖɀɎȸɵِÁǝƺXȇƳƺɴǝǣǕǝǼǣǕǝɎɀ ȵƺȸǔȒȸȅƺƳɯƺǼǼȒɮƺȸƏǼǼًɎƏǸǣȇǕˡɮƺȒɖɎȒǔɎǝƺɎȒȵ where Chinese consumers are connecting with a ɀȵȒɎɀِ brand’s messaging and where brands are failing to Adina Apartment Hotels, XXXX, Medina Hotels, Bund- ȅƺƺɎƺɴȵƺƬɎƏɎǣȒȇɀِ aberg Rum, and Hardy’s Wines are new additions to the חאXȇƳƺɴƫɖɎǝƏɮƺȵƺȸǔȒȸȅƺƳɀɎȸȒȇǕǼɵɎȒƬƺȅƺȇɎ Tourism and alcohol brands dominate ɎǝƺǣȸȵǼƏƬƺɀǣȇɎǝƺɎȒȵȒɮƺȸƏǼǼǼǣɀɎِ 2019’s ABC Index of the overall top brands. Australian wines were noticeably absent from last year’s ȒɮƺȸƏǼǼɎȒȵǼǣɀɎƫɖɎǝƏɮƺɀɖȸǕƺƳɀɎȸȒȇǕǼɵǣȇِחא Only those industries that show Australia’s appeal as a tourist destination or Chinese consumers’ appreciation Cosmetics, FMCG, and property brands for Australian vineyards, breweries and distilleries are dominated the list in 2018, proving that ȸƺȵȸƺɀƺȇɎƺƳǣȇɎǝǣɀɵƺƏȸټɀȒɮƺȸƏǼǼɎȒȵǼǣɀɎِ the market is malleable and can accom- modate new brands. It also shows how This year, Chinese consumers have ranked quickly brand perception can change. Adina Apartment Hotels as the overall #1
Chapter One: Overall Index 10 Australian beer, wine, and spirit brands This indicates that Chinese consumers favour break through. value-for-money in an FMCG brand over brand ɎȸƺȇƳǣȇƺɀɀِ Beer, wine, and spirit (BWS) brands also dominate the ɎȒȵǼǣɀɎًɀƺƬɖȸǣȇǕˡɮƺȒɖɎȒǔɎǝƺȒɮƺȸƏǼǼɎȒȵɀȵȒɎɀِ ÁǝƺɀƺƳɵȇƏȅǣƬɀǝǣǔɎɀǣȇȸƏȇǸǣȇǕɀǔȸȒȅǼƏɀɎɵƺƏȸɎȒɎǝǣɀ ÁǝǣɀɵƺƏȸًɎǝƺXȇƳƺɴɯƏɀƺɴɎƺȇƳƺƳɎȒǣȇƬǼɖƳƺȅȒȸƺ ɵƺƏȸȅǣǕǝɎȸƺˢƺƬɎƏɀǼȒɯƳȒɯȇǣȇɎǝƺ!ǝǣȇƺɀƺƺƬȒȇȒ- ɖɀɎȸƏǼǣƏȇ á³ƫȸƏȇƳɀِ myذɯǣɎǝȅƏȇɵ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀȇȒɯɀȵƺȇƳǣȇǕ ټחאɀɎȒȵǼǣɀɎɀǝȒɯɀɎǝƏɎ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀɮƏǼɖƺ more on domestic rather than Australian and other what Australian breweries and distilleriesتȒǔǔƺȸِ ǣȇɎƺȸȇƏɎǣȒȇƏǼƫȸƏȇƳɀِ ÁǝƺȅƏȸǸƺɎǔȒȸɖɀɎȸƏǼǣƏȇƫƺƺȸًɯǣȇƺƏȇƳɀȵǣȸǣɎɀث,جǣȇ !ǝǣȇƏƬȒȇɎǣȇɖƺɀɎȒǕȸȒɯِ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀƏȸƺȅȒȸƺ Australian brands need to establish their aware of Australia’s vineyards and traditions in dominance and prevalence over other ɯǣȇƺٮȅƏǸǣȇǕِÁǝƺɵƏȸƺƳƺɮƺǼȒȵǣȇǕƏɎƏɀɎƺǔȒȸɯǣȇƺ foreign brands in the world’s largest produced outside the traditional winegrowing regions economy. One thing is becoming clear; to Ȓǔ0ɖȸȒȵƺƏȇƳɎǝƺxǣƳƳǼƺ0ƏɀɎِ«ƺƳɖƬƺƳɎƏȸǣǔǔɀȒȇ be successful in China, Australian brands Australian wine is playing a role in increasing Chinese need a long-term strategy. demand when compared to the higher tariffs of other ɯǣȇƺٮȅƏǸǣȇǕƬȒɖȇɎȸǣƺɀɀɖƬǝƏɀIȸƏȇƬƺِح The rise of the importance of social media and technology for brands in China. New in 2019: Banks. The growing use of social media and technology, such as ƏȇǸɀɯƺȸƺƏƳƳƺƳɎȒɎǝƺXȇƳƺɴǣȇחאǔȒȸɎǝƺˡȸɀɎɎǣȅƺِ WeChat and Alipay, in China will be important to many zȒɖɀɎȸƏǼǣƏȇƫƏȇǸƫȸƏȇƳɀȅƏǸƺɎǝƺȒɮƺȸƏǼǼɎȒȵǼǣɀɎِ ɖɀɎȸƏǼǣƏȇƫȸƏȇƳɀِ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀɀƺƺǸǣȇȇȒɮƏɎǣȒȇِ zñǣɀɎǝƺǝǣǕǝƺɀɎȸȸƏȇǸƺƳƫƏȇǸƫȸƏȇƳًȸƏȇǸǣȇǕǣȇ They want brands that offer new products, create new ȵȒɀǣɎǣȒȇُِבו ƬƏɎƺǕȒȸǣƺɀȒȸǣȇƳɖɀɎȸǣƺɀًƏȇƳȸƺɮȒǼɖɎǣȒȇɀȒǔɎǝƺǣȸȒɯȇِ International brands need to use the power of social media Awareness of Australian airlines increas- ǣȇƏɯƏɵɎǝƏɎ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀƏȸƺƏƬƬɖɀɎȒȅƺƳɎȒِ ing. Innovative brands in China: ªƏȇɎƏɀǣȸɯƏɵɀȅƏǣȇɎƏǣȇɀǣɎɀُאȸƏȇǸǣȇǕِÁǝǣɀǣɀȇȒɎ • offer new payment methods on mobile phones surprisingly given it’s still considered one of the world’s • connect Chinese consumers to their brand online best airlinesِخ XɎɀȸǣɮƏǼًàǣȸǕǣȇɖɀɎȸƏǼǣƏǣȸǼǣȇƺɀًȸƏȇǸƺƳُגǼƏɀɎɵƺƏȸƫɖɎ in new ways, such as AR, VR experiences ǴɖȅȵɀɎȒُדɎǝǣɀɵƺƏȸًƫȸƺƏǸǣȇǕǣȇɎȒɎǝƺɎȒȵǼǣɀɎǔȒȸ ɎǝƺˡȸɀɎɎǣȅƺِ(ƺɀȵǣɎƺàǣȸǕǣȇɖɀɎȸƏǼǣƏǣȸǼǣȇƺɀټˡȇƏȇƬǣƏǼ • expand their online presence beyond e-commerce concerns domestically, its partnership with the Chinese conglomerate HNA Group ًدand the introduction of ȵǼƏɎǔȒȸȅɀًɎȒƳƺƺȵƺȸɮƺȸɎǣƬƏǼȅƺƳǣƏِ services to Hong Kong have attracted the attention of This is especially important for industries that historical- !ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀȵǼƏȇȇǣȇǕƏɮǣɀǣɎ(ȒɯȇÈȇƳƺȸِ ǼɵǝƏɮƺȇȒɎȇƺƺƳƺƳɎȒƬƏȵǣɎƏǼǣɀƺȒȇɎƺƬǝȇȒǼȒǕɵِ ³ǣǕȇǣˡƬƏȇɎƬǝƏȇǕƺɀƫƺɎɯƺƺȇɎǝƺזאƏȇƳ Reaching out to Chinese consumers in the 2019 Index. digital sphere can win over the hearts and wallets of consumers in the world’s most ÁǝƺȸƺƏȸƺȇȒɎƏƫǼƺƬǝƏȇǕƺɀƫƺɎɯƺƺȇټזאɀƏȇƳټחאɀ populous nation. ȸƏȇǸǣȇǕɀِ ÁǝƺȸƺƏȸƺȇȒIx!JƫȸƏȇƳɀǣȇɎǝƺɎȒȵǼǣɀɎɎǝǣɀɵƺƏȸِ nƏɀɎɵƺƏȸًɎǝƺIx!JǣȇƳɖɀɎȸɵƏȇƳɎǝƺƫȸƏȇƳɀáƺƺɎ ٮǣɴً EMU, Coles and Chemist Warehouse dominated the ȒɮƺȸƏǼǼɎȒȵِ !ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀƏȸƺȇȒǼȒȇǕƺȸɯǣǼǼǣȇǕɎȒȵƏɵÈדڟ ǔȒȸƏƫȒɴȒǔáƺƺɎ ٮǣɴًɯǝǣƬǝɎǝƺɵɯƺȸƺǣȇזאƏǔɎƺȸ áƺƺɎ ٮǣɴȸȒɀƺɎȒǔƏȅƺȒȇƏ!ǝǣȇƺɀƺȸƺƏǼǣɎɵÁàɀǝȒɯِ
11 The ABC Index 2019 CHAPTER TWO ABC INDEX BY INDUSTRY This year’s ABC Index expanded from 70 to 102 brands, with banks added as ƏȇǣȇƳɖɀɎȸɵǔȒȸɎǝƺˡȸɀɎɎǣȅƺِ!ƏȸɖɀȒټɀɎȒȵɀɎǝƺǝƺƏǼɎǝɀƺƬɎȒȸًƳǣȇƏȵƏȸɎ- ment hotels dominates the tourism sector, XXXX, Bundaberg, and Coopers top the beer, wine and spirit brand category while Australian Creams and Weet-Bix in the cosmetics and FMCG brand sector drop their rank.
Chapter Two: ABC Index by Industry 12
13 The ABC Index 2019 Chapter two: ABC Index by Industry 18 ABC INDEX ABC INDEX ABC INDEX TOP TOURISM TOP DESTINATION ABC INDEX: TOP TOURISM & BRANDS BRANDS ِ DESTINATION ATTRIBUTES 1. ADINA APARTMENT HOTELS 1. TASMANIA 1. QUALITY 2. QANTAS AIRWAYS 2. VICTORIA 2. PROFESSIONALISM 3. MANTRA HOTELS 3. QUEENSLAND 3. TRUSTWORTHINESS 4. VIRGIN AUSTRALIA AIRLINES 4. NEW SOUTH WALES 5. MEDINA HOTELS 6. TIGERAIR AUSTRALIA 5. AUSTRALIA 7. JETSTAR AIRWAYS 6. NORTHERN TERRITORY 7. GOLD COAST 8. CANBERRA 9. SOUTH AUSTRALIA 10. WESTERN AUSTRALIA nƏȸǕƺȇɖȅƫƺȸɀȒǔ!ǝǣȇƺɀƺɎȒɖȸǣɀɎɀ wonderland, ranking high its appeal to Chinese tourists who are visiting AustraliaِبةرÁȒ on quality, while present- are starting to conserve money by capitalise on this growth, Austra- ing a worthwhile Austra- ɀƺƺǸǣȇǕȒɖɎƏǔǔȒȸƳƏƫǼƺƫɖɎ lian tourism brands need to lian experience. However, the ǝǣǕǝٮȷɖƏǼǣɎɵƏƬƬȒȅȅȒƳƏɎǣȒȇِ ɖȇƳƺȸɀɎƏȇƳɯǝƏɎƏɎɎȸƏƬɎɀɎǝƺȅِ Chinese investor selling an Adina big cities are right after, with property in SydneyثةƏȇƳ!ǝǣȇƺɀƺ Chinese tourists are Melbourne, Brisbane and Sydney Ƭǝƺǔ(ȒȇȇƏ!ǝƏȇǕجةȒȵƺȇǣȇǕƏ starting to look for quality still capturing a slice of Chinese hotel restaurant might have also destinations away from ɎȒɖȸǣɀɎɀټǝƺƏȸɎɀ٪ƏȇƳɯƏǼǼƺɎɀِJȒǼƳ contributed to the credibility CBDs, ȒɮƺȸǼȒȒǸǣȇǕƫǣǕƬǣɎǣƺɀǼǣǸƺ !ȒƏɀɎɯƏɀًُוɯǝǣƬǝȅƏɵɀɖǕǕƺɀɎ ƏȵȵƺƏǼȒǔƳǣȇƏȵƏȸɎȅƺȇɎRȒɎƺǼɀِ that more common Australian Sydney and Melbourne in favour destinations are starting to wane Adina is joined by Mantra Hotels of the Hunter and Wolgan ƏȅȒȇǕ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀِ ٢ُב٣ًɯǝǣƬǝɀƬȒȸƺɀɎǝƺǝǣǕǝƺɀɎȒȇ Valleys¹¹ that also appeal to ɎȸɖɀɎɯȒȸɎǝǣȇƺɀɀِªƏȇɎƏɀǣȸɯƏɵɀ !ǝǣȇƺɀƺɯǣȇƺƬȒȇȇȒǣɀɀƺɖȸɀِ Adina Apartment Hotels is the ٢ُא٣ǣɀɎǝƺɎȒȵٮȸƏȇǸƺƳƏǣȸǼǣȇƺً ُٮȸƏȇǸƺƳƫȸƏȇƳǣȇɎǝƺɎȒɖȸǣɀȅ maintaining its dominance over ÁƏɀȅƏȇǣƏټɀُȸƏȇǸǣȇǕȒȇɎǝƺ ٢ȇȒȇٮƳƺɀɎǣȇƏɎǣȒȇɀ٣XȇƳƺɴِXɎ àǣȸǕǣȇɖɀɎȸƏǼǣƏǣȸǼǣȇƺɀ٢ُג٣ِ ɖɎً ƳƺɀɎǣȇƏɎǣȒȇɀǼǣɀɎǣɀȸƺˢƺƬɎƺƳǣȇɎǝƺ receives the highest scores for Virgin Australia Airlines’ low-cost growth of Chinese tourists to the social responsibility, practicality, carrier Tigerair receives a higher value, and is the second highest ȸƏȇǸǣȇǕɎǝƏȇªƏȇɎƏɀǣȸɯƏɵɀټ state¹²ِ The Chinese view ȒȇȵƺȸƬƺǣɮƺƳȷɖƏǼǣɎɵِÁǝǣɀƺɴȵǼƏǣȇɀ hƺɎɀɎƏȸِ Tasmania as a destination that offers a natural -
Chapter tTwwoo::AABBCCIInnddeexxbbyyIInndduussttrryy 148 ABC INDEX ABC INDEX TOP BEER, WINE TOP BEER, WINE AND SPIRIT BRANDS AND SPIRIT ATTRIBUTES 1. XXXX 1. QUALITY 2. LINDEMAN’S WINES 2. PROFESSIONALISM 3. BUNDABERG RUM 3. PRACTICALITY 4. HARDYS WINES 5. BURCH FAMILY WINES 6. JACOB’S CREEK 7. COOPERS BREWERY 8. YELLOW TAIL WINES 9. MCGUIGAN WINES 10. PENFOLDS Australian wines are well-regard- Chinese consumers least innovative brand in the favour XXXX because of ed and sought-after in mainland its mild alcoholic content ǣȇƳɖɀɎȸɵِ they can enjoy while !ǝǣȇƏِIǣɮƺ á³ƫȸƏȇƳɀȅƏƳƺǣɎ staying soberِدة خة Australian BWS brands need to offer quality ɎȒȒɖȸȒɮƺȸƏǼǼɎȒȵǼǣɀɎِThe nǣȇƳƺȅƏȇټɀáǣȇƺɀɀƬȒȸƺƳɎǝƺ products in the Chinese scope for Australian highest on professionalism out of market with premium wineries, breweries and the Australian wine brands, experiences. They need to be distilleries in the Chinese explaining its second place on market is wide. There is ȒɖȸǼǣɀɎِÁǝǣɀƫȸƏȇƳًɎȒǕƺɎǝƺȸɯǣɎǝ ɀƺƺȇƏɀǸȇȒɯǼƺƳǕƺƏƫǼƺǣȇɎǝƺǣȸ increasing demand for Hardys Wines and Burch Family ȸƺɀȵƺƬɎǣɮƺǣȇƳɖɀɎȸɵًƏɀȸƺˢƺƬɎƺƳ Australian beers and Wines, are also seen as the ǣȇɎǝƺȸƏȇǸǣȇǕȒǔɎǝƺȵȸȒǔƺɀɀǣȒȇƏǼ- wines despite some trendiest brands that offer the ǣɀȅƏɎɎȸǣƫɖɎƺƏɀُאȒȇȒɖȸǼǣɀɎِ Australian wine brands most value-for-money in this Trendiness and innovation are creating a perception ǣȇƳɖɀɎȸɵِÁǝǣɀƺɴȵǼƏǣȇɀɎǝƺǣȸ ǼȒɯƺȸٮȸƏȇǸƺƳƏɎɎȸǣƫɖɎƺɀِɖɀɎȸƏ- that the market is satu- ȵȸƺɀƺȇƬƺȒȇȒɖȸȒɮƺȸƏǼǼɎȒȵǼǣɀɎِ lian BWS brands need to focus on ratedِحةBoth XXXX and Treasury Wine Estates score the their core product, offering a lowest in the industry—it was ƳȸǣȇǸǣȇǕƺɴȵƺȸǣƺȇƬƺɎǝƏɎƺɀɀƺȇ- Coopers are rated highest on seen as the least professional and tially captures the natural wonders of Australia and the ȷɖƏǼǣɎɵƏȇƳɀȒƬǣƏǼȸƺɀȵȒȇɀǣƫǣǼǣɎɵً ƬɖǼɎɖȸƺȒǔɎǝƺƬȒɖȇɎȸɵِ while XXXX is also seen as the most practical brand, all of which are attributes that Chinese consumers care about when considering an Australian BWS ƫȸƏȇƳِ
15 The ABC Index 2019 Chapter two: ABC Index by Industry 18 ABC INDEX ABC INDEX TOP FAST-MOVING TOP FMCG CONSUMER GOODS (FMCG) AND AND RETAIL BRANDS RETAIL ATTRIBUTES 1. DAIRY FARMERS 1. TRUSTWORTHINESS 2. CAPILANO HONEY 2. PROFESSIONALISM 3. COLES 3. QUALITY 4. CHEMIST WAREHOUSE 5. T2 TEAS 6. DEVONDALE 7. EMU AUSTRALIA 8. PAUL’S MILK 9. DAVID JONES 10. JULIUS MARLOW FMCG products are consumed Weet-Bix drops from the top spot !ƏȵǣǼƏȇȒRȒȇƺɵȒȇȒɖȸXȇƳƺɴِ ǣȇɎǝƺǣȇƳɖɀɎȸɵǼǣɀɎǼƏɀɎɵƺƏȸɎȒُז They understand that Australia daily, so Chinese consumers ٢ȒɖɎȒǔא٣ɎǝǣɀɵƺƏȸِǼɎǝȒɖǕǝǣɎ has some of the best and most need to trust a brand. They ȸƏȇǸɀƏɀɎǝƺɀƺƬȒȇƳȅȒɀɎɎȸƺȇƳɵ abundant natural resources on brand in the industry, Chinese the planet and as Australian expect brands to offer the highest ƬȒȇɀɖȅƺȸɀƏȸƺȇȒɎǼȒȒǸǣȇǕǔȒȸ ƫȸƏȇƳɀƬȒȇɎǣȇɖƺɎȒȅƏǸƺɎǝƺǣȸ ȷɖƏǼǣɎɵƏȇƳƫƺɎǝƺȅȒɀɎȵȸȒǔƺɀ- ‘fads’ in this category, a possible way into China, they need to sional—suitable for the emerging explanation for the sudden drop ǝǣǕǝǼǣǕǝɎɯǝƏɎȅƏǸƺɀɎǝƺȅɎǝƺ and changing lifestyles of Chinese ǣȇáƺƺɎ ٮǣɴټɀȸƺȵɖɎƏɎǣȒȇِáƺƺɎ ٮǣɴ ƫƺɀɎǣȇȷɖƏǼǣɎɵِ ƬȒȇɀɖȅƺȸɀƏȇƳɎǝƺǣȸǔƏȅǣǼǣƺɀِ also scores the lowest on profes- ɀǣȒȇƏǼǣɀȅًǼȒɯƺɀɎȒȇȷɖƏǼǣɎɵƏȇƳ Trustworthiness tops the Trendiness is ranked as third lowest on value-for-money, attribute list for Chinese the least important attri- ǕǣɮƺȇƏɎȒȇƺɎǣȅƺǣɎƬȒɀɎڟÈדǔȒȸ consumers looking for an bute, which suggests that ƏƫȒɴǣȇ!ǝǣȇƏِ³ƏȇǣɎƏȸǣɖȅ Australian FMCG and rebranded Weet-Bix to Nutri-Brex Retail brand, with profession- Australian brands should reduce in ChinaذةɯǣɎǝǼȒɯƺȸƺƳƬȒɀɎɀً their focus on ‘trends’ or ‘fads’ and diluting the overall appeal of the ƏǼǣɀȅƏȇƳȷɖƏǼǣɎɵȸȒɖȇƳǣȇǕȒɖɎ ƬƏȵǣɎƏǼǣɀƺȒȇȷɖƏǼǣɎɵƏȇƳǝƺƏǼɎǝ original Australian brand ǔƏƬɎȒȸɀِ ɖɵǣȇǕɎǝƺٻǝȒɎɎƺɀɎټɎȸƺȇƳ áƺƺɎ ٮǣɴِ ɎǝƺɎȒȵɎǝȸƺƺِRȒɯƺɮƺȸً brands no longer appeals to Chinese in this industry should not Chinese consumers also continue focus on chasing the latest consumers searching for an to recognise Australia for what it fads, as trendiness is the least Australian FMCG brand. does best, which explains the ƳȒȅǣȇƏȇƬƺȒǔȅǣǼǸƫȸƏȇƳɀƏȇƳ ǣȅȵȒȸɎƏȇɎƏɎɎȸǣƫɖɎƺِ¨ȒȵɖǼƏȸ (ƏǣȸɵIƏȸȅƺȸɀȸƏȇǸǝǣǕǝƺɀɎȒȇƏǼǼ brands in the industry cater to these attributes—explaining its everyday needs and this is what ȸƏȇǸǣȇǕǣȇɎǝƺُȵȒɀǣɎǣȒȇȒȇȒɖȸ factors into the Chinese consum- ǼǣɀɎِ!ƏȵǣǼƏȇȒRȒȇƺɵȸƏȇǸɀƺƬȒȇƳ ƺȸټɀƳƺƬǣɀǣȒȇٮȅƏǸǣȇǕȵȸȒƬƺɀɀِ ǣȇɎǝƺIx!JǣȇƳɖɀɎȸɵًɎǝƏȇǸɀɎȒǣɎɀ ɎȒȵȸƏȇǸǣȇǕǔȒȸȷɖƏǼǣɎɵًȵȸȒǔƺɀɀǣȒȇ- - ƏǼǣɀȅًƏȇƳɎȸƏƳǣɎǣȒȇƏǼǣɎɵِ
Chapter tTwwoo::AABBCCIInnddeexxbbyyIInndduussttrryy 168 ABC INDEX ABC INDEX TOP HEALTH BRANDS TOP HEALTH ATTRIBUTES 1. BIO ISLAND 1. QUALITY 2. CARUSO’S NATURAL HEALTH 2. VALUE-FOR-MONEY 3. BLACKMORES 3. PRACTICALITY 4. FATBLASTER 5. NATURE’S WAY 6. FREEDOM FOODS 7. HEALTHY CARE 8. NATURE’S CARE 9. VITAMORE 10. LIFE-SPACE Chinese consumers continue to The Chinese place less ǼȒȒǸǔȒȸƫȸƏȇƳɀǣȇɎǝǣɀǣȇƳɖɀɎȸɵ emphasis on innovative- ɎǝƏɎƏȸƺǝǣǕǝƺɀɎǣȇȷɖƏǼǣɎɵƏȇƳ ness or ‘trendiness’ in the most practical, but the brands health sector. They want what ȅɖɀɎƏǼɀȒȒǔǔƺȸɮƏǼɖƺٮǔȒȸٮȅȒȇƺɵِ ɯȒȸǸɀƏȇƳɯǝƏɎǣɀƺɀɎƏƫǼǣɀǝƺƳِ The most noticeable shift this year zƺɯƺȇɎȸƏȇɎɀɎȒɎǝƺȅƏȸǸƺɎƳȒ ǣɀ!ƏȸɖɀȒټɀًɯǝǣƬǝȸƏȇǸƺƳǼƏɀɎǣȇ not need to have the trendiest the industry last year, jumping to ȵȸȒƳɖƬɎɀِzƺɯƺȇɎȸƏȇɎɀƬƏȇƫȸƺƏǸ ُאthis year—propelled by its into a country that is increasing its ɎȒȵٮɎǝȸƺƺȸƏȇǸǣȇǕɀǣȇȷɖƏǼǣɎɵً demands for health products by value-for-money and practicali- ƺȅȵǝƏɀǣɀǣȇǕȷɖƏǼǣɎɵƏȇƳ ty—the top three attributes that ɮƏǼɖƺٮǔȒȸٮȅȒȇƺɵبتɮǣƏƳǣǕǣɎƏǼ !ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀǼȒȒǸǔȒȸǣȇƏȇ ȅƺƳǣƏِ ɖɀɎȸƏǼǣƏȇǝƺƏǼɎǝƫȸƏȇƳِBio Island, a new brand this year, occupies the top spot. It is the most trusted, trendiest and the highest in ȷɖƏǼǣɎɵƏȇƳɮƏǼɖƺًǼǣǸƺǼɵƺɴȵǼƏǣȇǣȇǕ its position as one of the ɎȒȵٮ brands sold during Singles Day by ǼǣƫƏƫƏِرة
17 The ABC Index 2019 Chapter two: ABC Index by Industry 18 ABC INDEX ABC INDEX TOP COSMETICS BRANDS TOP COSMETICS ATTRIBUTES 1. AESOP 1. INNOVATIVENESS 2. NATIO 2. QUALITY 3. NUDE BY NATURE 3. SOCIAL RESPONSIBILITY 4. JURLIQUE 5. LUCAS PAPAW 6. SUKIN 7. KORA 8. OLIVE OIL 9. THURSDAY PLANTATION 10. AUSTRALIAN CREAMS Aesop is the top cosmetic Lucas Papaw is viewed as Secondly, only ד% of Chinese brand this year. It scores the most trusted brand, women are loyal to a cosmetic the highest on innovative- while Sukin is the most ƫȸƏȇƳجتƏȇƳɎǝǣɀǣɀƺɮǣƳƺȇɎǣȇɎǝƺǣȸ ness and quality—the two professional. ȸƏȇǸǣȇǕȒǔɎȸɖɀɎɯȒȸɎǝǣȇƺɀɀƏɀɎǝƺ most sought-after attri- ǼƺƏɀɎǣȅȵȒȸɎƏȇɎƏɎɎȸǣƫɖɎƺِÁǝǣȸƳǼɵً butes that Chinese ɖɀɎȸƏǼǣƏȇ!ȸƺƏȅɀȸƏȇǸƺƳƏɎُȒȇ Chinese consumers learn about consumers seek in an our index last year, but it falls to foreign cosmetic brands on social Australian cosmetic brand. ُɎǝǣɀɵƺƏȸِÁǝɖȸɀƳƏɵȵǼƏȇɎation media and Australian cosmetic ǝƏɀɀƺƺȇƏɀǣȅǣǼƏȸƳȸȒȵِÁǝƺ brands need to communicate on Aesop is innovative with its retail ȒɮƺȸƏǼǼȸƏȇǸǣȇǕȒǔɖɀɎȸƏǼǣƏȇ Chinese social media platforms to store designs²¹ with every Aesop cosmetics brands is the least ǣȇˢɖƺȇƬƺɎǝƺƳƺƬǣɀǣȒȇٮȅƏǸǣȇǕ ɀɎȒȸƺȸƺˢƺƬɎǣȇǕɎǝƺǼȒƬƏǼƬȒȅȅɖ- consistent across all the industries ȵȸȒƬƺɀɀًƬȸƺƏɎƺƏȷɖƏǼǣɎɵˡȸɀɎ ȇǣɎɵِƺɀȒȵƳȒƺɀȇȒɎɎƺɀɎɎǝƺǣȸ we surveyed this year when impression, and maintain the ȵȸȒƳɖƬɎɀȒȇƏȇǣȅƏǼɀِتت³ȒƬǣƏǼ ƬȒȅȵƏȸǣȇǕȸƺɀɖǼɎɀǔȸȒȅǼƏɀɎɵƺƏȸِ customer-brand relationship post responsibility is the third most ȵɖȸƬǝƏɀƺِ important attribute in the There are reasons behind the drop ƬȒɀȅƺɎǣƬɀǣȇƳɖɀɎȸɵِ ǣȇȸƏȇǸǣȇǕɀȒǔɖɀɎȸƏǼǣƏȇ!ȸƺƏȅɀ XȇȇȒɮƏɎǣɮƺȇƺɀɀًȷɖƏǼǣɎɵƏȇƳɀȒƬǣƏǼ responsibility are the three most Similarly, Nude by Nature٢ُדǼƏɀɎ ƏȇƳÁǝɖȸɀƳƏɵ¨ǼƏȇɎƏɎǣȒȇِFirstly, important attributes in this ɵƺƏȸ٣ًnɖƬƏɀ¨ƏȵƏɯ٢ُוǼƏɀɎɵƺƏȸ٣ Chinese consumers prefer industry and social media can ƏȇƳ³ɖǸǣȇ٢ُזǼƏɀɎɵƺƏȸ٣each premium cosmetic brands help convey the right message for but their desire for quality ɖɀɎȸƏǼǣƏȇƬȒɀȅƺɎǣƬƫȸƏȇƳɀِ ȅȒɮƺɖȵɎɯȒɀȵȒɎɀِNude by cosmetics does not mean Nature is ranked the most guarantee brand loyalty²³. - value-for-money brand,
Chapter tTwwoo::AABBCCIInnddeexxbbyyIInndduussttrryy 18 ABC INDEX ABC INDEX TOP EDUCATION BRANDS TOP EDUCATION ATTRIBUTES 1. AUSTRALIAN NATIONAL UNIVERSITY 1. TRUSTWORTHINESS 2. UNIVERSITY OF NEW SOUTH WALES 2. PROFESSIONALISM 3. UNIVERSITY OF MELBOURNE 3. QUALITY 4. UNIVERSITY OF ADELAIDE 5. UNIVERSITY OF SOUTH AUSTRALIA 6. UNIVERSITY OF CANBERRA 7. UNIVERSITY OF SYDNEY 8. MONASH UNIVERSITY 9. UNIVERSITY OF QUEENSLAND 10. VICTORIA UNIVERSITY A university education involves ƏȇɖɀɎȸƏǼǣƏȇɖȇǣɮƺȸɀǣɎɵِ close, personal contact between Melbourne University drops from faculty and students, so trustwor- ُɎȒُב, but scores the highest on thiness is an important part of this value-for-money and social ǣȇɎƺȸȵƺȸɀȒȇƏǼȸƺǼƏɎǣȒȇɀǝǣȵِ responsibility, and second on Chinese students also demand ɎȸƺȇƳǣȇƺɀɀِ ȵȸȒǔƺɀɀǣȒȇƏǼǣɀȅًǝǣǕǝٮȷɖƏǼǣɎɵ ƺƳɖƬƏɎǣȒȇƏȇƳƏƳƺȷɖƏɎƺȵȸƺȵƏȸƏ- The innovativeness of tion for graduates for the job university education and ȅƏȸǸƺɎِÁǝƺɀƺƳƺɀǣȸƺɀɮƏǼǣƳƏɎƺɎǝƺ Australian university’s value-for-money are reasons Chinese consumers unimportant to Chinese seek Australian education students. The former is to upskill and kickstart their careers, a demand ȵƺȸǝƏȵɀȸƺˢƺƬɎƺƳǣȇɎǝƺǔƏƬɎɎǝƏɎ that Australian universities universities are, at their core, ȇƺƺƳɎȒǔɖǼˡǼِ institutions of higher learning and they do not chase temporary fads The Australian National University ǣȇƺƳɖƬƏɎǣȒȇِÁǝǣɀƏǼɀȒɀɖǕǕƺɀɎɀ ȅȒɮƺɀǔȸȒȅɎǝƺˡǔɎǝɀȵȒɎǼƏɀɎɵƺƏȸ that Australian university’s ɎȒɎǝƺɎȒȵɀȵȒɎِXɎȸƏȇǸɀǝǣǕǝƺɀɎȒȇ ǕȸȒɯǣȇǕɎȸƺȇƳȒǔɖɀǣȇǕٻˢǣȵȵƺƳټ ȵȸȒǔƺɀɀǣȒȇƏǼǣɀȅƏȇƳȷɖƏǼǣɎɵȒǔ learning may not appeal to the education—two of the most largest cohort of international important attributes that Chinese students that enrol is Australian students consider when selecting ɖȇǣɮƺȸɀǣɎǣƺɀِ
19 The ABC Index 2019 Chapter two: ABC Index by Industry 18 ABC INDEX ABC INDEX TOP BANK BRANDS TOP BANK ATTRIBUTES 1. AUSTRALIA AND NEW 1. QUALITY ZEALAND BANKING GROUP 2. CONVENIENCE 3. INNOVATIVENESS 2. COMMONWEALTH BANK OF AUSTRALIA 3. NATIONAL AUSTRALIA BANK 4. WESTPAC BANKING CORPORATION zñǣɀɎǝƺُȸƏȇǸƺƳƫƏȇǸƫȸƏȇƳ zñȸƏȇǸɀɎǝƺǝǣǕǝƺɀɎȒȇ ǼǣȵƏɵȅƏǸƺǣɎƬȒȇɮƺȇǣƺȇɎǔȒȸ ȵƺȸƬƺǣɮƺƳȷɖƏǼǣɎɵƏȇƳ users to pay via messaging ȒȇɎǝǣɀǼǣɀɎِáǣɎǝǣɎɀȅƏǣȇȒǔˡƬƺǣȇ value-for-money, explaining its platforms on their phones, but the presence at the ُɀȵȒɎȒȇɎǝƺǼǣɀɎِ !ǝǣȇƺɀƺƏǼɀȒɀƺƏȸƬǝǔȒȸƫƏȇǸɀɎǝƏɎ ShanghaiحتƏȇƳȅɖǼɎǣȵǼƺȒǔˡƬƺɀ offer value-for-money by helping Commonwealth Bank ɎǝƺȅɀƏɮƺɎǝƺǣȸȅȒȇƺɵِɀ!ǝǣȇƏ across mainland China, it provides ranks as the most innova- continues to open its doors to tive brand, ȸƺˢƺƬɎǣȇǕɎǝƺ ǔȒȸƺǣǕȇƫƏȇǸًدتɖɀɎȸƏǼǣƏȇƺȇɎȸƏȇɎɀ a level of convenience for the ȇƺƺƳɎȒȅƏǸƺɀɖȸƺɎǝƺɵȸƺˢƺƬɎ ɀɖƬƬƺɀɀȒǔǣɎɀXȇȇȒɮƏɎǣȒȇnƏƫǣȇ what the modern Chinese wants !ǝǣȇƺɀƺɎȒɖɀƺɎǝǣɀƫƏȇǸټɀɀƺȸɮǣƬƺɀ connecting with small-to-medi- ǣȇƏƫƏȇǸِ um enterprises and corporate ȒɮƺȸȒɎǝƺȸƫƏȇǸɀȒȇɎǝǣɀ ǼƺƏƳƺȸɀǣȇ!ǝǣȇƏِختÁǝǣɀȸƺˢƺƬɎɀ ȅȒƳƺȸȇƫƏȇǸǣȇǕȇƺƺƳɀƏȇƳ ǼǣɀɎِWhen searching for an Ƴƺɀǣȸƺɀǣȇ!ǝǣȇƏِáƺ!ǝƏɎ¨ƏɵƏȇƳ Australian bank, Chinese consumers consider quality, convenience, and innovativeness as the three most important attributes. The Chinese also search for value when choosing a ƫƏȇǸِ -
Chapter tTwwoo::AABBCCIInnddeexxbbyyIInndduussttrryy 2180 ABC INDEX ABC INDEX TOP PROPERTY BRANDS TOP PROPERTY ATTRIBUTES 1. CBRE 1. INNOVATIVENESS 2. CROWN GROUP 2. QUALITY 3. FRASERS PROPERTY 3. PROFESSIONALISM 4. IRONFISH 5. MERITON 6. LENDLEASE 7. RAY WHITE 8. METRICON 9. MIRVAC 10. STOCKLAND Chinese consumers seek XɎȸƏȇǸɀǝǣǕǝƺɀɎȒȇɎǝƺɀȒƬǣƏǼ year, as it scores the highest on innovativeness in Austra- responsibility scale and second ǣȇȇȒɮƏɎǣɮƺȇƺɀɀًȷɖƏǼǣɎɵƏȇƳ lian property brands. To be ǝǣǕǝƺɀɎȒȇɎȸƺȇƳǣȇƺɀɀِxǣȸɮƏƬً ȵȸȒǔƺɀɀǣȒȇƏǼǣɀȅِÁǝƺ! «0 ɎǝȒɖǕǝًǔƏǼǼɀǔȸȒȅُאǼƏɀɎɵƺƏȸɎȒ Institute, for example, continues innovative, real estate agents and ُחɎǝǣɀɵƺƏȸِXɎȸƺƬƺǣɮƺɀǼȒɯƺɀɎ to integrate emerging technolo- ƫȸȒǸƺȸɀȇƺƺƳɎȒȸƺȵȸƺɀƺȇɎ ȅƏȸǸɀǔȒȸɎȸƺȇƳǣȇƺɀɀƏȇƳ gies into its commercial and themselves and not the agency ɮƏǼɖƺٮǔȒȸٮȅȒȇƺɵِ ȸƺɀǣƳƺȇɎǣƏǼȵȸȒȵƺȸɎǣƺɀًذتɯǝǣƬǝ ɎǝƺɵɯȒȸǸǔȒȸِ¨ȸȒȵƺȸɎɵƫȸƏȇƳɀ explains its highest score on need to be on social media and The Chinese look for innovativeness and highest scores must invest in new and innovative brands with quality and overall among Australian property channels to reach and engage professional agents doing ƫȸƏȇƳɀِ !ǝǣȇƺɀƺȵȸȒȵƺȸɎɵƫɖɵƺȸɀِ their duties well. This explains !ȸȒɯȇJȸȒɖȵًُǼƏɀɎɵƺƏȸًǔƏǼǼɀɎȒ ɯǝɵ! «0ًɯǝǣƬǝȸƏȇǸƺƳُהlast ُאɎǝǣɀɵƺƏȸǣȇɎǝǣɀǣȇƳɖɀɎȸɵِ year, moves to the top spot this
21 The ABC Index 2019 CHAPTER THREE ABC INDEX BY BRAND ATTRIBUTES
ȇƺȒǔɎǝƺǸƺɵˡȇƳǣȇǕɀȒǔɎǝǣɀȸƺȵȒȸɎǣɀɎǝƏɎ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀǼȒȒǸǔȒȸ different attributes when considering brands in different industries. Know- ing which attributes Chinese consumers assign the greatest priority can help brands work out how to position themselves. Tourism brands on the list stand for trustworthiness, quality, social respon- sibility, value-for-money and innovativeness while wines are viewed as the most professional. Cancer Council Australia is the trendiest brand, overtak- ing Weet-Bix from last year.
ABC Index by Brand Attributes 22
23 The ABC Index 2019 ABC INDEX xɖƬǝȒǔxƏȇɎȸƏRȒɎƺǼɀټȵȸȒˡɎǕȸȒɯɎǝƬȒȅƺɀǔȸȒȅ!ǝǣȇƺɀƺɎȒɖȸǣɀɎɀرتƏȇƳ MOST TRUSTED BRANDS ɎǝƺXȇƳƺɴǣȇƳǣƬƏɎƺɀɎǝƏɎɎǝƺ!ǝǣȇƺɀƺɎȸɖɀɎxƏȇɎȸƏRȒɎƺǼɀِRȒɯƺɮƺȸً nɖƬƏɀ¨ƏȵƏɯƬȒȇɎǣȇɖƺɀǣɎɀƳȒȅǣȇƏȇƬƺȒȇɎǝǣɀǣȇƳƺɴًȸƺˢƺƬɎǣȇǕƬȒȇɎǣȇ- 1. MANTRA HOTELS ɖƺƳɀɎȸȒȇǕƳƺȅƏȇƳǔȒȸɎǝƺȒǣȇɎȅƺȇɎِبثIȸƏɀƺȸɀټƺɴȵƏȇɀǣȒȇǣȇɎȒ!ǝǣȇƏ 2. LUCAS PAPAW with new property developments is also gaining Chinese trust in the 3. FRASERS PROPERTY ƫȸƏȇƳِ ABC INDEX áǝǣǼƺȇȒɎɎǝƺƫȸƏȇƳɵȒɖɯȒɖǼƳɎǝǣȇǸɯȒɖǼƳɎȒȵɎǝƺǼǣɀɎȒǔȅȒɀɎɎȸƺȇƳɵ MOST TRENDY BRANDS ƫȸƏȇƳًɎǝƺ!ƏȇƬƺȸ!ȒɖȇƬǣǼɖɀɎȸƏǼǣƏټɀȸƺƏƬǝǣȇɎȒɎǝƺ!ǝǣȇƺɀƺȅƏȸǸƺɎǣȇ ɖɀɎȸƏǼǣƏɮǣƏɀȒƬǣƏǼȅƺƳǣƏǣɀǣȇƬȸƺƏɀǣȇǕǣɎɀȸƺȵɖɎƏɎǣȒȇǣȇȅƏǣȇǼƏȇƳ!ǝǣȇƏِ 1. CANCER COUNCIL AUSTRALIA Chinese consumers also view Dairy Farmers and Weet-Bix as trendy 2. DAIRY FARMERS brands they purchase and this explains their strong foothold among 3. WEET-BIX Chineseِةث ABC INDEX ¨ȸȒǔƺɀɀǣȒȇƏǼƫȸƏȇƳɀǸȇȒɯɎǝƺǣȸǣȇƳɖɀɎȸɵɯƺǼǼƏȇƳǸȇȒɯɯǝƏɎɎǝƺɵټȸƺ MOST PROFESSIONAL BRANDS ƳȒǣȇǕِa2 Milk is seen as the most professional Australian brand. The next two are cosmetics brands that Chinese consumers 1. A2 MILK 2. NUDE BY NATURE ɮǣƺɯƏɀǸȇȒɯǼƺƳǕƺƏƫǼƺǣȇɎǝƺƫƺƏɖɎɵƏȇƳȅƏǸƺٮɖȵɀƺƬɎȒȸِ 3. SUKIN
Chapter Three: ABC Index by Brand Attributes 24 ABC INDEX Tigerair Australia, dominates the sector by proving HIGHEST QUALITY BRANDS product excellence in terms of quality and expecta- tions٪ÁǣǕƺȸƏǣȸɖɀɎȸƏǼǣƏǣɀƬƺȸɎƏǣȇǼɵƺɴƬƺƺƳǣȇǕɎǝȒɀƺƺɴȵƺƬɎƏɎǣȒȇɀِXɎɀ 1. TIGERAIR AUSTRALIA/ VIRGIN AUSTRALIA AIRLINES ȵƏȸƺȇɎƬȒȅȵƏȇɵًàǣȸǕǣȇɖɀɎȸƏǼǣƏǣȸǼǣȇƺɀًǴȒǣȇɎǼɵɎȒȵɀɎǝƺǼǣɀɎًȸƺˢƺƬɎǣȇǕ 2. “ ǣɎɀȵɖɀǝǣȇɎȒɎǝƺ!ǝǣȇƺɀƺȅƏȸǸƺɎƏȇƳǣɎɀȒɮƺȸƏǼǼƏƫǣǼǣɎɵɎȒƬȒȅȵƺɎƺƏɀƏ 3. XXXX ȵȸƺȅǣɖȅƏǣȸǼǣȇƺِ ABC INDEX Mantra Hotels aims to be socially responsible in the following four MOST SOCIALLY ƬȒȸȇƺȸɀɎȒȇƺɀȒǔɀȒƬǣƏǼȸƺɀȵȒȇɀǣƫǣǼǣɎɵيƬȒȅȅɖȇǣɎɵًƺȇɮǣȸȒȇȅƺȇɎًȅƏȸǸƺɎ- RESPONSIBLE BRANDS ȵǼƏƬƺƏȇƳɯȒȸǸȵǼƏƬƺِÁǝǣɀǣɀɯȒȸǸǣȇǕǔȒȸMantra Hotels because it 1. MANTRA HOTELS ranks as the top socially responsible brand in Australia. 2. ADINA APARTMENT HOTELS 3. QANTAS AIRWAYS XɎɀȸǣɮƏǼًƳǣȇƏȵƏȸɎȅƺȇɎRȒɎƺǼɀًƏǼɀȒȅƏǸƺɀɎǝƺǼǣɀɎًɯǣɎǝªƏȇɎƏɀ ǣȸɯƏɵɀǣȇɎǝƺȇɖȅƫƺȸٮɎǝȸƺƺɀȵȒɎِXȇǔƏƬɎًɎǝƺɎȒȵɎǝȸƺƺƫȸƏȇƳɀɎǝƏɎ ABC INDEX have been recognised for their social responsibility are all tourism MOSTTRADITIONALBRANDS brands, which highlights the recognition of social responsibility overall ǣȇɖɀɎȸƏǼǣƏِ 1. BUNDABERG RUM 2. WOLF BLASS ÁȸƺȇƳɀƏȇƳǔƏƳɀƏȸƺɎƺȅȵȒȸƏȸɵɯǝǣǼƺɎȸƏƳǣɎǣȒȇɀȸƺȅƏǣȇƬȒȇɀɎƏȇɎِThe 3. XXXX top three brands that Chinese perceive as the most traditional are all in the BWS industry. ÁǝǣɀȸƺˢƺƬɎɀ!ǝǣȇƺɀƺ consumers’ perceptions of the three brands as providing the most ƏɖɎǝƺȇɎǣƬƏȇƳƬǼƏɀɀǣƬƺɴȵƺȸǣƺȇƬƺɯǝƺȇǣɎƬȒȅƺɀɎȒƏǼƬȒǝȒǼǣƬƫƺɮƺȸƏǕƺɀِ
25 The ABC Index 2019 ABC INDEX ÁǝƺȵȸȒƳɖƬɎɀƏȇƳɀƺȸɮǣƬƺɀɎǝƏɎƫȸƏȇƳɀȒǔǔƺȸȇƺƺƳɎȒٻɯȒȸǸټƏȇƳƳƺǼǣɮƺȸ MOST PRACTICAL BRANDS ȒȇɎǝƺǣȸȵȸȒȅǣɀƺِƳǣȇƏȵƏȸɎȅƺȇɎRȒɎƺǼɀɎȒȵɀɎǝǣɀǼǣɀɎًɯǣɎǝ!ǝǣȇƺɀƺ ɎȒɖȸǣɀɎɀȸƺƬȒǕȇǣɀǣȇǕǣɎƏɀȵȸȒɮǣƳǣȇǕȷɖƏǼǣɎɵƏƬƬȒȅȅȒƳƏɎǣȒȇɎǝƏɎˡɎɀ 1. ADINA APARTMENT HOTELS ɎǝƺǣȸɎȸƏɮƺǼǼǣǔƺɀɎɵǼƺɀِææææƏȇƳhƏƬȒƫټɀ!ȸƺƺǸȸȒɖȇƳȒɖɎɎǝƺɎȒȵٮɎǝȸƺƺِ 2. XXXX Queensland beer brand XXXX is seen as the top Australian beer that is 3. JACOB’S CREEK ƺȇǴȒɵƺƳȒȇƏȇƺɮƺȸɵƳƏɵƫƏɀǣɀًɯǝǣǼƺhƏƬȒƫټɀ!ȸƺƺǸǣɀȸƺƬȒǕȇǣɀƺƳƏɀƏ ɯǣȇƺƫȸƏȇƳƏȵȵȸȒȵȸǣƏɎƺǔȒȸƬƺǼƺƫȸƏɎȒȸɵȒƬƬƏɀǣȒȇɀِ ABC INDEX Chinese consumers look for brands that deliver value for MOST VALUE-FOR- their money³². ƳǣȇƏȵƏȸɎȅƺȇɎRȒɎƺǼɀɎȒȵɀɎǝǣɀǼǣɀɎɯǣɎǝǣɎɀȷɖƏǼǣɎɵ MONEY BRANDS ƏƬƬȒȅȅȒƳƏɎǣȒȇɀƏɎǼȒɯȵȸǣƬƺɀِáǣȇƺƫȸƏȇƳɀnǣȇƳƺȅƏȇټɀáǣȇƺɀƏȇƳ 1. ADINA APARTMENT HOTELS RƏȸƳɵɀáǣȇƺɀƏǼɀȒȅƏǸƺɎǝǣɀǼǣɀɎِ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀɮǣƺɯɎǝƺɀƺƫȸƏȇƳɀ 2. LINDEMAN’S WINES ƏɀȒǔǔƺȸǣȇǕƏȷɖƏǼǣɎɵɯǣȇƺƺɴȵƺȸǣƺȇƬƺƏɎƏȸƺƏɀȒȇƏƫǼƺȵȸǣƬƺِ 3. HARDYS WINES ABC INDEX Hotel brands Mantra Hotels and Medina Hotels are seen as the top two MOSTINNOVATIVEBRANDS ȅȒɀɎǣȇȇȒɮƏɎǣɮƺƫȸƏȇƳɀِxƏȇɎȸƏRȒɎƺǼɀǝƏɀƏȵȵɀɎǝƏɎƏǼǼȒɯɖɀƺȸɀɎȒ 1. MANTRA HOTELS 2. MEDINA HOTELS ȒȸƳƺȸƳȸǣȇǸɀƫɵɎǝƺȵȒȒǼɀǣƳƺƏȇƳ!ǝǣȇƺɀƺɎȒɖȸǣɀɎɀȸƺƬȒǕȇǣɀƺɎǝƺǣȇȇȒɮƏ- 3. SUKIN ɎǣɮƺƳƺɀǣǕȇɀƏɎxƺƳǣȇƏRȒɎƺǼɀِMeanwhile, Sukin continues to develop innovative facial and skincare products that are well-received by Chinese consumers.
Chapter Three: ABC Index by Brand Attributes 26
27 The ABC Index 2019 CHAPTER FOUR CHINESE CONSUMER INSIGHTS The demand for BWS brands among men demonstrates the appeal of ɖɀɎȸƏǼǣƏȇƳǣɀɎǣǼǼƺȸǣƺɀƏȇƳɯǣȇƺɀǣȇɎǝǣɀƳƺȅȒǕȸƏȵǝǣƬِǔˢɖƺȇɎ!ǝǣȇƺɀƺ consumers from Tier 1 cities rank Tigerair Australia as the highest among Australian brands for its value-for-money attribute. Chemist Warehouse in the FMCG industry is listed among the top 10 for both male and female Chinese.
Chapter Four Chinese Consumer Insights 28
29 The ABC Index 2019 GENDER ³ƺɮƺȇȒǔɎǝƺɎȒȵƫȸƏȇƳɀǔȒȸȅƺȇƏȸƺɖɀɎȸƏǼǣƏȇ ǣȸɯƏɵɀًƏȇƳƳǣȇƏȵƏȸɎȅƺȇɎRȒɎƺǼɀ٪ȅƏǸƺǣɎɎȒ beers, wines and spirits, indicating the appeal of Australia’s wineries, distilleries and breweries to ɎǝƺɎȒȵٮǼǣɀɎًǣȇٮǼǣȇƺɯǣɎǝǝȒɯȅȒȸƺ!ǝǣȇƺɀƺ !ǝǣȇƺɀƺȅƺȇِÁǝǣɀǣɀȇȒɎȇƺƬƺɀɀƏȸǣǼɵɀɖȸȵȸǣɀǣȇǕǕǣɮƺȇ ɎǝƏɎɯǣȇƺƏȵȵƺƏǼɀɎȒɎǝƺƏǔˢɖƺȇɎًƏȇƳۏוȒǔɎǝƺ women prefer travelling than menحث,ِخثThere is ɀǣǕȇǣˡƬƏȇɎȵȒɎƺȇɎǣƏǼǔȒȸɖɀɎȸƏǼǣƏȇ á³ ƏǔˢɖƺȇɎ!ǝǣȇƺɀƺƏȸƺȅƺȇِثثAustralian wines brands to make a ‘splash’ among appeal to more Chinese men than Chinese men, but Australian tourism womenجث. In contrast, only three BWS brands brands could direct their marketing efforts to Chinese women for better ȅƏƳƺǣɎɎȒɎǝƺɎȒȵǼǣɀɎǔȒȸɯȒȅƺȇِ results because they spend the most money while Among women, four travel brands— Tigerair ɎȸƏɮƺǼǼǣȇǕƏƫȸȒƏƳȒȇɀǝȒȵȵǣȇǕƏȇƳȒɎǝƺȸǼɖɴɖȸǣƺɀِدث Australia, Virgin Australia Airlines, Qantas ABC INDEX TOP BRANDS BY GENDER Rank MEN WOMEN nǣɎɎǼƺ!ȸƺƏɎɖȸƺɀ ÁǣǕƺȸƏǣȸɖɀɎȸƏǼǣƏٖnǣȇƳƺȅƏȇټɀ א Victoria Bitter Wines/Virgin Australia Airlines ב Yellow Tail Wine “ ג Capilano Honey “ ד McGuigan Wines Qantas Airways ה Hardys Wines ¨ƺɎƺȸnƺǝȅƏȇȇ ו Bundaberg Rum Victoria Bitter ז Chemist Warehouse Adina Apartment Hotels ח Coopers Brewery Hardys Wines Aesop Chemist Warehouse Coopers Brewery
Chapter Four: Chinese Consumer Insights 30 REGION For Chinese consumers living in Tier 2 regions, bank and FMCG brands top the ÁǣƺȸƬǣɎǣƺɀƏȸƺȅȒȸƺƏǔˢɖƺȇɎƏȇƳɎǝƺɵ list. This is broadly consistent with the rise of love travelling.ÁǣǕƺȸƏǣȸƏȇƳhƺɎɀɎƏȸȅƏǸƺǣɎɎȒ China’s middle class, who while increasing in ɎǝƺɎǣƺȸɎȒȵǼǣɀɎًɯǣɎǝ á³ƫȸƏȇƳɀƬȒȅȵǼƺɎǣȇǕ ɎǝƺǼǣɀɎِÁǝƺȒɮƺȸƏǼǼƏȵȵƺƏǼȒǔɎȸƏɮƺǼǼǣȇǕƏȅȒȇǕ ƏǔˢɖƺȇƬƺȅɖɀɎƏǼɀȒɀȵƺȇƳƏȇƳɀƏɮƺɯǣɀƺǼɵƏȇƳ ƏǔˢɖƺȇɎ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀȒǔǔƺȸɀȵȒɎƺȇɎǣƏǼƏȇƳ poses opportunities for the Australian tourism ǔȸɖǕƏǼǼɵِÁǝƺXȇƳƺɴǝǣǕǝǼǣǕǝɎɀǝȒɯ!ǝǣȇƏƬƏȇȇȒɎƫƺ industry, which must appeal to the growing preference for luxury experiences in this segmentًذث ɮǣƺɯƺƳƏɀƏɀǣȇǕǼƺȅƏȸǸƺɎِAustralian brands ǔˢɖƺȇɎ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀǔȸȒȅɎǣƺȸ cities prefer need to segregate the differences ȇȒȇٮǝɖȸȸǣƺƳɎȒɖȸɀًƫɖɵǣȇǕɎȒɖȸȵƏƬǸƏǕƺɀȒȇǼǣȇƺƏȇƳ between Chinese consumers living in ƏɖɎǝƺȇɎǣƬƺɴȵƺȸǣƺȇƬƺɀِرث Tier 1 and Tier 2 regions in China to appeal to the wallets of the vast geogra- ȵǝɵƏȇƳƏǔˢɖƺȇƬƺȒǔ!ǝǣȇƏبج. ABC INDEX TOP BRANDS BY REGION Rank TIER 1 CITIES TIER 2 CITIES Tigerair Australia Chemist Warehouse א Virgin Australia Airlines Aesop ב Tigerair Australia Commonwealth ג Qantas Airways zƏɎǣȒȇƏǼɖɀɎȸƏǼǣƏ ƏȇǸ ד Treasury Wines Devondale ה Capilano Honey Westpac ו Victoria Bitter KORA ז Hardys Wines Julius Marlow ח nǣȇƳƺȅƏȇټɀáǣȇƺɀ Dunlop Volley Shoes Yellow Tail Wines Frasers Property Group
31 The ABC Index 2019 INCOME Tigerair and Chemist Warehouse as there is a distinct difference between standalone brands ranked highly for income groups in what Chinese consum- top-income earners, indicating the wise ers are looking for while shopping and travellingِةجnȒɯƺȸǣȇƬȒȅƺǕȸȒɖȵɀǔƏɮȒɖȸIx!J ɀȵƺȇƳǣȇǕǝƏƫǣɎɀȒǔɎǝƺ!ǝǣȇƺɀƺƳƺɀȵǣɎƺɎǝƺǣȸƏǔˢɖƺȇɎ ɀɎƏɎɖɀِÁǝƺǣȸɎȸƏɮƺǼǝƏƫǣɎɀƏȸƺȸƺˢƺƬɎƺƳɎǝȸȒɖǕǝɎǝƺǣȸ and cosmetic brands while middle-income earners ȸƏȇǸǣȇǕȒǔÁǣǕƺȸƏǣȸًàǣȸǕǣȇɖɀɎȸƏǼǣƏًƏȇƳªƏȇɎƏɀ ǝƏɮƺƏƳƳƺƳ á³ƏȇƳƫƏȇǸƫȸƏȇƳɀǣȇɎȒɎǝƺȅǣɴِ ǣȸɯƏɵɀِ!ǝƺȅǣɀɎáƏȸƺǝȒɖɀƺƏȵȵƺƏǼɀɎȒƺɮƺȸɵ nȒȒǸǣȇǕƏɎɎǝƺɯǣȇƺǣȇƳɖɀɎȸɵًƏǼɎǝȒɖǕǝ ɖȸƬǝ income group in China, indicating its brand IƏȅǣǼɵáǣȇƺɀƏȇƳhƏƬȒƫټɀ!ȸƺƺǸɯƺȸƺɎɯȒȸƺȵɖɎƏƫǼƺ ȸƺǼƺɮƏȇƬƺȸƺǕƏȸƳǼƺɀɀȒǔǣȇƬȒȅƺِ wines among low-income consumers last year, no Many everyday brands such as Capilano á³ƫȸƏȇƳȅƏǸƺɎǝƺɎȒȵǼǣɀɎɎǝǣɀɵƺƏȸǔȒȸ Honey and Aesop as well as banks ǼȒɯٮǣȇƬȒȅƺƺƏȸȇƺȸɀِÁǝǣɀȒǔǔƺȸɀɀǣǕȇǣˡƬƏȇɎȒȵȵȒȸɎɖ- appeal to the middle-class. They have an nities for Australian wines, which must be affordable and offer value-for-money to win-over the lower-in- ƺȷɖƏǼƏȵȵȸƺƬǣƏɎǣȒȇǔȒȸȵȸƺȅǣɖȅɯǣȇƺƫȸƏȇƳɀɀɖƬǝ ƬȒȅƺƬǼƏɀɀƺɀȒǔ!ǝǣȇƺɀƺɯǣȇƺƳȸǣȇǸƺȸɀًɯǝȒƳƺɀǣȸƺƏ as McGuigan Wines while simultaneously saving taste of luxury but cannot afford the typically high money on health and beauty products by shopping prices of the experienceِتج ƏɎ!ǝƺȅǣɀɎáƏȸƺǝȒɖɀƺِ(ƺɀȵǣɎƺɎǝƺȵȸƺǔƺȸƺȇƬƺɀȒǔ ÁǣƺȸאƬǣɎǣƺɀɎǝƏɎƏȸƺƳȒȅǣȇƏɎƺƳƫɵɎǝƺȸǣɀǣȇǕǼȒɯƏȇƳ middle-classes, ABC INDEX TOP BRANDS BY INCOME Rank Top Income Earners Middle Income Earners Lower Income Earners Tigerair Airways Capilano Honey Capilano Honey אVirgin Australia Airlines בVictoria Bitter McGuigan Wines Aesop גQantas Airways דChemist Warehouse Chemist Warehouse Chemist Warehouse הnǣȇƳƺȅƏȇټɀáǣȇƺɀ וTreasure Wine Estates Aesop David Jones זHardys Wines ¨ חƺɎƺȸnƺǝȅƏȇȇ David Jones Coles Bundaberg Rum Commonwealth Dairy Farmers Coles Devondale Westpac EMU Australia zƏɎǣȒȇƏǼɖɀɎȸƏǼǣƏ ƏȇǸ Julius Marlow Dairy Farmers Dunlop Volley Shoe
Chapter Four: Chinese Consumer Insights 32 INDUSTRY PROPORTIONS IN TOP 10 FMCG 10% TOURISM 30% TOP INCOME BWS 60% COSMETICS 10% MIDDLE INCOME BANKS 30% 50% FMCG LOWER INCOME 10% BWS COSMETICS 10% FMCG 90%
33 The ABC Index 2019 EDUCATION BACKGROUND The number of university-educated Chinese for healthy eating and healthy lifestyles that they consumers—be it in China, Australia, or can now afford following the growth of the Chinese elsewhere—is increasing, fuelling the growth of the !ǝǣȇƺɀƺƺƬȒȇȒȅɵِÁǝƺɵƏȸƺƫɖɵǣȇǕɖɀɎȸƏǼǣƏȇƫƺƺȸɀ economyثج,ِجج ƏȇƳɯǣȇƺɀًɯǣɎǝƺǣǕǝɎȒɖɎȒǔɎǝƺɎȒȵƫȸƏȇƳɀǔȒȸ university-educated Chinese consumers being beer ÁǝƺˡȇƳǣȇǕɀǔȒȸɎǝƺƺƳɖƬƏɎǣȒȇɀƺǕȅƺȇɎƏȸƺɀǣȅǣǼƏȸ ȒȸɯǣȇƺƫȸƏȇƳɀِÁǝƺȇȒȇٮɖȇǣɮƺȸɀǣɎɵٮƺƳɖƬƏɎƺƳ !ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀȵȸǣȒȸǣɎǣɀƺƳƫƏȇǸɀȒɮƺȸȒɎǝƺȸ ɎȒɎǝȒɀƺǔȒȸɎǝƺǣȇƬȒȅƺɀƺǕȅƺȇɎِThe highly brands, which shows their inclination towards educated Chinese consumers with high ɀƏɮǣȇǕǝƏƫǣɎɀƫɵɎȸƏȇɀƏƬɎǣȇǕɯǣɎǝɖɀɎȸƏǼǣƏȇƫƏȇǸɀِ income levels ranked Australian tourism along with BWS brands favourably, Other brands on the list for non-universi- ɀɖǕǕƺɀɎǣȇǕɎȸƏɮƺǼƏȇƳɎǝƺٻˡȇƺȸټɎǝǣȇǕɀ ty-educated Chinese consumers consist in life appeals to them. ÁǝƺˡȇƳǣȇǕɀƏǼɀȒ of health brands ǣȇƬǼɖƳǣȇǕ ǼƏƬǸȅȒȸƺɀً ȸƺˢƺƬɎɎȸƺȇƳɀǣȇɎǝƺǣȇƳɖɀɎȸɵًɯǣɎǝƏǔˢɖƺȇɎƏȇƳ IȸƺƺƳȒȅIȒȒƳɀًzƏɎɖȸƺټɀ!ƏȸƺƏȇƳnǣǔƺٮ³ȵƏƬƺً educated young Chinese consumers appreciating highlighting the importance of health for this ɎǝƺˡȇƺȸɎǝǣȇǕɀǣȇǼǣǔƺɀɖƬǝƏɀɯǣȇƺٮƏȵȵȸƺƬǣƏɎǣȒȇ ɀƺǕȅƺȇɎȒǔɎǝƺȅƏȸǸƺɎِÁǝǣɀǔȒǼǼȒɯɀɎǝƺȸǣɀƺǣȇɎǝƺ courses that may cost up to «ًדx ِحجÁǝǣɀ demand for health products among the lower social group of individuals are typically university-educat- classes in China, who are starting to develop a taste ƺƳƏȇƳȒȵƺȇɎȒáƺɀɎƺȸȇƬɖǼɎɖȸƺɀƏȇƳɎȸƏƳǣɎǣȒȇɀِ ABC INDEX TOP BRANDS BY EDUCATION BACKGROUND Rank University-Educated Consumers Non-University-Educated Consumers Tigerair (Australia) Airways Chemist Warehouse א ב Virgin Australia Airlines Aesop ג ד Victoria Bitter zƏɎǣȒȇƏǼɖɀɎȸƏǼǣƏ ƏȇǸ ה ו Capilano Honey Commonwealth ז ח nǣȇƳƺȅƏȇټɀáǣȇƺɀ Westpac ¨ƺɎƺȸnƺǝȅƏȇ ǼƏƬǸȅȒȸƺټɀ Hardys Wines XȸȒȇˡɀǝ McGuigan Wines Freedom Foods Treasure Wine Estates Nature’s Care Coopers Brewery nǣǔƺٮ³ȵƏƬƺ
Chapter Four: Chinese Consumer Insights 34 AUSTRALIAN ENCOUNTER The awareness of Chemist Warehouse’s ȅȒȇƺɵ٪ɯǝǣƬǝƬƏȇƫƺɯȒȸɎǝזאڟɎȸǣǼǼǣȒȇخج٪ǣȇƏ physical presence and dominance in Australia is high among Chinese ˡȇƏȇƬǣƏǼɀɵɀɎƺȅɎǝƏɎɎǝƺɵƬƏȇɎȸɖɀɎِ consumers who have visited Australia. For those who have not visited Australia, ɮǣɀǣɎɎȒ³ɵƳȇƺɵټɀ¨ǣɎɎ³ɎȸƺƺɎȒȸxƺǼƫȒɖȸȇƺټɀ ȒɖȸǸƺ all four Australian airlines dominate the list, indicating Australia’s appeal to these Street shows the prevalence of chemists and health consumers and their intentions to make their journey Down Under. BWS brands food stores, explaining the dominance of health dominate the rest of the list, indicating the recogni- ƫȸƏȇƳɀȒȇɎǝƺǼǣɀɎɀɖƬǝƏɀ!ƏȸɖɀȒټɀً ǼƏƬǸȅȒȸƺɀً tion of Australian breweries, wineries and distilleries nǣǔƺٮ³ȵƏƬƺًIȸƺƺƳȒȅIȒȒƳɀƏȇƳRƺƏǼɎǝɵ!Əȸƺِ ƏȅȒȇǕɎǝǣɀȅƏȸǸƺɎِXɎƏǼɀȒȸƺȅǣȇƳɀAustralian !ǝǣȇƺɀƺɎȒɖȸǣɀɎɀƏǼɀȒɀƺƺɖɀɎȸƏǼǣƏȇƫƏȇǸɀًɯǣɎǝ brands that they need to improve the way they communicate their product zƏɎǣȒȇƏǼɖɀɎȸƏǼǣƏ ƏȇǸًáƺɀɎȵƏƬƏȇƳ!ȒȅȅȒȇ- and value proposition in innovative ways via social media and digital platforms. ɯƺƏǼɎǝȅƏǸǣȇǕɎǝƺɎȒȵǼǣɀɎِáǝǣǼƺɎǝǣɀǣȇƳǣƬƏɎƺɀ ɎǝƺȵȒɀǣɎǣɮƺȵƺȸƬƺȵɎǣȒȇȒǔɖɀɎȸƏǼǣƏȇƫƏȇǸɀًǣɎƏǼɀȒ offers important implications in motivating Chinese consumers to save their hard-earned ABC INDEX TOP BRANDS BY AUSTRALIAN ENCOUNTER Rank Consumers who have Consumers who have been to Australia NOT been to Australia א Chemist Warehouse Tigerair Australia ב Aesop Virgin Australia Airlines ג zƏɎǣȒȇƏǼɖɀɎȸƏǼǣƏ ƏȇǸ Jetstar Airways ד Westpac Victoria Bitter ה !ȒȅȅȒȇɯƺƏǼɎǝ ƏȇǸ Qantas Airways ו Caruso’s Natural Health Capilano Honey ז Hardys Wines ח ǼƏƬǸȅȒȸƺټɀ nǣȇƳƺȅƏȇټɀáǣȇƺɀ nǣǔƺٮ³ȵƏƬƺ Yellow Tail Wines Freedom Foods Treasure Wine Estates Healthy Care
35 The ABC Index 2019 CHAPTER FIVE TRENDS AND OBSERVATIONS áǣɎǝǣȇɎǝƺƬȒɀȅƺɎǣƬɀًȵȸȒȵƺȸɎɵƏȇƳ á³ǣȇƳɖɀɎȸɵًɎǝƺXȇƳƺɴɀƏɯɀǣǕȇǣˡƬƏȇɎ changes from 2018 to 2019. The cosmetic industry has experienced an entirely different result this year, with top brands last year among the bottom, and bottom brands now among the top. Other industries like health, tourism and retail have been consistent in rankings. Banking brands are a new addition to the Index.
Chapter Five Chinese Consumer Insights 36
37 The ABC Index 2019 COSMETICS competitors adoptدج. Innovation and social XȇɎǝƺƬȒɀȅƺɎǣƬɀǣȇƳɖɀɎȸɵًɖɀɎȸƏǼǣƏȇ!ȸƺƏȅɀȸƏȇǸƺƳُ esponsibility are two of the three most important ǼƏɀɎɵƺƏȸًÁǝɖȸɀƳƏɵ¨ǼƏȇɎƏɎǣȒȇȸƏȇǸƺƳُאƏȇƳJȒƏɎ ƏɎɎȸǣƫɖɎƺɀɎǝƏɎ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀǼȒȒǸǔȒȸǣȇɎǝǣɀ ³ǸǣȇƬƏȸƺȸƏȇǸƺƳُِבÁǝǣɀɵƺƏȸًɎǝƺɵǝƏɮƺƫƺƺȇȸƺȵǼƏƬƺƳ ǣȇƳɖɀɎȸɵِnɖƬƏɀ¨ƏȵƏɯټɀȸǣɀƺǣɀƳȸǣɮƺȇƫɵǣɎɀɎȸɖɀɎɯȒȸɎǝǣ- ƫɵƺɀȒȵƏɎɎǝƺُɀȵȒɎ٢ُגǼƏɀɎɵƺƏȸ٣ƏȇƳzɖƳƺƫɵ ȇƺɀɀƏȅȒȇǕɎǝƺ!ǝǣȇƺɀƺًȸƏȇǸǣȇǕُȒȇɎǝǣɀƏɎɎȸǣƫɖɎƺ zƏɎɖȸƺƏɎɎǝƺُאɀȵȒɎ٢ȇȒɎɀɖȸɮƺɵƺƳǼƏɀɎɵƺƏȸ٣ِ³ɖǸǣȇǣɀ because the Chinese consumers trust itِذجXɎƏǼɀȒ ُהɎǝǣɀɵƺƏȸ٢ُזǼƏɀɎɵƺƏȸ٣ƏȇƳnɖƬƏɀ¨ƏȵƏɯُדɎǝǣɀɵƺƏȸ ǣȇƳǣƬƏɎƺɀɎǝƺɀɖƬƬƺɀɀȒǔ³ɖǸǣȇټɀǼȒȇǕٮǕƏȅƺɀɎȸƏɎƺǕɵǣȇ ٢ُוǼƏɀɎɵƺƏȸ٣ِ Ɏǝƺ!ǝǣȇƺɀƺȅƏȸǸƺɎِرجxƺƏȇɯǝǣǼƺًɖɀɎȸƏǼǣƏȇ!ȸƺƏȅɀټ ǔƏǼǼǝƏɀȇȒɎƫƺƺȇƳȸǣɮƺȇƫɵƏȇɵȵƏȸɎǣƬɖǼƏȸƏɎɎȸǣƫɖɎƺِ Sukin has driven its ranking by adopting «ƏɎǝƺȸًǣɎɀƬȒȸƺɀǣȇɎǝƺȅǣƳƳǼƺȒǔɎǝƺȵƏƬǸƏȅȒȇǕƏǼǼ product innovation and promoting social ɖɀɎȸƏǼǣƏȇƬȒɀȅƺɎǣƬɀƫȸƏȇƳɀِ responsibility to highlight its use of natu- ral products instead of synthetics that RANK 2018 BRAND RANK IN 2019 Australian Creams גח א Qantas Airways א ב Crown Group דז ג Mirvac א ד Weet-Bix וו ה EMU Australia וד ו Coles ג ז Chemist Warehouse דג ח Myer גה Destination Gold Coast
Chapter Five Chinese Consumer Insights 38 FAST MOVING CONSUMER GOODS ɀɎǣǼǼȸƏȇǸǣȇɎǝƺƫȒɎɎȒȅǝƏǼǔȒǔɎǝƺǼǣɀɎًɀǣȅǣǼƏȸɎȒɎǝƺǣȸ ȸƏȇǸǣȇǕɀǼƏɀɎɵƺƏȸِÁǝƺȸƺǣɀƏǼɀȒƫƏƳȇƺɯɀǔȒȸáƺƺɎ ٮǣɴِ XȇIx!JƏȇƳ«ƺɎƏǣǼًǼƏɀɎɵƺƏȸ0xÈȸƏȇǸƺƳُאƏȇƳ!ȒǼƺɀ XɎɀȵȒɀǣɎǣȒȇǼƏɀɎɵƺƏȸƏɎُǝƏɀƳȸȒȵȵƺƳɎȒًُזȸƺˢƺƬɎǣȇǕ ȸƏȇǸƺƳُِבÁǝǣɀɵƺƏȸً¨ȸǣƬƺǼǣȇƺɎƏǸƺɀɎǝƺُבɀȵȒɎًƏȸǣɀƺ ƏƳǣȵǣȇȵȒȵɖǼƏȸǣɎɵƏȇƳƳƺȅƏȇƳǔȒȸɎǝƺƫȸƺƏǸǔƏɀɎ ǔȸȒȅɎǝƺُחɀȵȒɎǣɎȒƬƬɖȵǣƺƳǼƏɀɎɵƺƏȸِXɎٔɀɀƺƺȇƏɀȒȇƺȒǔ ƬƺȸƺƏǼِةحXɎɀƬȒȸƺɀɎǝƺǼȒɯƺɀɎȒȇȵȸȒǔƺɀɀǣȒȇƏǼǣɀȅƏȅȒȇǕ ɎǝƺȅȒɀɎǣȇȇȒɮƏɎǣɮƺIx!JƫȸƏȇƳɀًȸƺˢƺƬɎǣȇǕǣɎɀ Ix!JƫȸƏȇƳɀًȸƺˢƺƬɎǣȇǕ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀټƳƺȅƏȇƳ integration of digital selling into its physical retail ǔȒȸIx!JƫȸƏȇƳɀɎǝƏɎƳƺȅȒȇɀɎȸƏɎƺɎǝǣɀȷɖƏǼǣɎɵƏȇƳ platformِبح ǣȇȇȒɮƏɎǣɮƺȇƺɀɀǣȇɎǝƺǣȸȒǔǔƺȸǣȇǕɀِ We expanded the industry to אbrands this year, yet WoȒǼɯȒȸɎǝɀ٢ُא٣ً(ƏɮǣƳhȒȇƺɀ٢ُד٣ƏȇƳáƺɀɎˡƺǼƳ٢ُו٣ HEALTH handover to Chinese health supplements By-Health ثحand scoring second last on In the health sector, several top performers from last perceived quality among all Australian year are again at the top of this year’s list, including health brands. ǼƏƬǸȅȒȸƺɀ٢ُבǼƏɀɎɵƺƏȸًُבɎǝǣɀɵƺƏȸ٣ƏȇƳIƏɎ ǼƏɀɎƺȸ zƏɎɖȸƺټɀ!ƏȸƺȅȒɮƺɀɖȵǔȸȒȅɎǝƺُɀȵȒɎǼƏɀɎɵƺƏȸɎȒ ٢ُאǼƏɀɎɵƺƏȸًُגɎǝǣɀɵƺƏȸ٣ِzɖٮnƏɴȸƏȇǸƺƳُחǼƏɀɎɵƺƏȸ ُזɀȵȒɎ٢ȒɖɎȒǔאƫȸƏȇƳɀ٣ɎǝǣɀɵƺƏȸًƳȸǣɮƺȇƫɵɎǝƺ ƏȇƳǣɀǣȇɎǝƺƫȒɎɎȒȅɀȵȒɎƏɎُאɎǝǣɀɵƺƏȸِ ɖɎzƏɎɖȸƺټɀ ȵƺȸƬƺȵɎǣȒȇɎǝƏɎǣɎټɀɎǝƺגth most innovative brand in the áƏɵًɯǝǣƬǝȸƏȇǸƺƳُזǼƏɀɎɵƺƏȸǴɖȅȵɀɎȒُדɎǝǣɀɵƺƏȸً ǣȇƳɖɀɎȸɵًƫɖɎǼȒɀɎȸƏȇǸȒȇɀȒƬǣƏǼȸƺɀȵȒȇɀǣƫǣǼǣɎɵ٪ƏɎُא ȸƺˢƺƬɎǣȇǕǣɎɀǕȸȒɯǣȇǕƫȸƏȇƳƺٮƬȒȅȅƺȸƬƺȵȸƺɀƺȇƬƺǣȇ ٢ȒɖɎȒǔאƫȸƏȇƳɀ٣ِ Chinaِتح It’s a different outcome for Life-Space, which ƳȸȒȵɀǔȸȒȅُגɎȒًُȸƺˢƺƬɎǣȇǕǣɎɀ PROPERTY and most innovative—and these are the top three ƏɎɎȸǣƫɖɎƺɀɎǝƏɎ!ǝǣȇƺɀƺǼȒȒǸǔȒȸǣȇƏȇɖɀɎȸƏǼǣƏȇ In the property industry, no consistency between years ȵȸȒȵƺȸɎɵƫȸƏȇƳِxǣȸɮƏƬټɀǔƏǼǼǣɀȸƺǼƏɎƺƳɎȒɎǝƺ!ǝǣȇƺɀƺ ɯƏɀȒƫɀƺȸɮƺƳِ!ȸȒɯȇJȸȒɖȵًɎǝƺƬȒȅȵƏȇɵɎǝƏɎȸƏȇǸƺƳ ȅƏȸǸƺɎټɀȵƺȸƬƺȵɎǣȒȇɎǝƏɎǣɎټɀǼƺɀɀǣȇȇȒɮƏɎǣɮƺِ³ɎȒƬǸǼƏȇƳ ُǼƏɀɎɵƺƏȸًȸƺȅƏǣȇɀȇƺƏȸɎǝƺɎȒȵɎǝǣɀɵƺƏȸƏɎًُאƫɖɎǣɎ ɯƏɀƏƳƳƺƳɎȒɎǝƺǼǣɀɎɎǝǣɀɵƺƏȸƫɖɎǣɀƏɎُ٢ȒɖɎȒǔ٣ِXɎ ǝƏɀƫƺƺȇȒɮƺȸɎƏǸƺȇƫɵ! «0ًɯǝǣƬǝȅȒɮƺƳǔȸȒȅُהɎȒ has received the lowest scores on professionalism, ُِ³ǣȅǣǼƏȸǼɵًIȸƏɀƺȸɀȅȒɮƺƳǔȸȒȅُוɎȒُِב ȷɖƏǼǣɎɵًɎȸƏƳǣɎǣȒȇƏǼǣɀȅًɮƏǼɖƺٮǔȒȸٮȅȒȇƺɵƏȇƳǣȇȇȒɮƏɎǣɮƺ- ȇƺɀɀِ XȇƬȒȇɎȸƏɀɎًxǣȸɮƏƬǝƏɀƳȸȒȵȵƺƳǔȸȒȅُאɎȒُ« !ِח0 ȸƏȇǸɀƏɀɎǝƺȅȒɀɎȵȸȒǔƺɀɀǣȒȇƏǼƫȸƏȇƳًǝǣǕǝƺɀɎǣȇȷɖƏǼǣɎɵ
39 The ABC Index 2019 TOURISM ȅȒȇǕƫȸƏȇƳɀًªƏȇɎƏɀǣȸɯƏɵɀًɯǝǣƬǝȸƏȇǸƺƳُǼƏɀɎ ɵƺƏȸًǣɀɎǝƺُאȒɮƺȸƏǼǼƫȸƏȇƳɎǝǣɀɵƺƏȸِªƏȇɎƏɀǣȸɯƏɵɀ In the tourism sector, and despite the addition of more ɀɎȸǣǸƺɀƏˡȇƺƫƏǼƏȇƬƺƫƺɎɯƺƺȇȒǔǔƺȸǣȇǕȇƺɯɀƺȸɮǣƬƺɀ ɎȒɖȸǣɀɎƳƺɀɎǣȇƏɎǣȒȇɀɎǝǣɀɵƺƏȸًɎǝƺȸƏȇǸǣȇǕɀƳǣƳȇټɎɀǝǣǔɎ and features while retaining its ‘Australian’ identity as ǔȸȒȅǼƏɀɎɵƺƏȸɎȒɎǝǣɀɵƺƏȸِȅȒȇǕƳƺɀɎǣȇƏɎǣȒȇɀً ɎǝƺƬȒȸƺȒǔǣɎɀɖɀɎȸƏǼǣƏȇƏǣȸǼǣȇƺɀƺȸɮǣƬƺɀِÈȇɀɖȸȵȸǣɀǣȇǕǼɵً Tasmania is perceived as the most sought-after both Tigerair and Jetstar score the lowest points in the destination in Australia, consistent with its growing ɎȒɖȸǣɀȅǣȇƳɖɀɎȸɵِ ȒɎǝǼȒɯٮƬȒɀɎƬƏȸȸǣƺȸɀɯƺȸƺȸƏȇǸƺƳ popularity among Chinese touristsجحǔȒȸǣɎɀȒǔǔٮƫƺƏɎ lowest on trustworthiness, despite the perception that ɎȸƏƬǸƏƳɮƺȇɎɖȸƺɀȵȒɎɀِ ƫȒɎǝƏǣȸǼǣȇƺɀƏȸƺɎȸƺȇƳǣƺȸɎǝƏȇàǣȸǕǣȇɖɀɎȸƏǼǣƏǣȸǼǣȇƺɀِ The Gold Coast is losing its appeal, however, as it drops to ُוthis year frȒȅُאǼƏɀɎɵƺƏȸًȸƺˢƺƬɎǣȇǕȅƏȸǸƺɎ ɎȸƺȇƳɀǣȇɎǝƺɎȒɖȸǣɀȅǣȇƳɖɀɎȸɵححɯǝƺȸƺɎǝƺJȒǼƳ!ȒƏɀɎǣɀ ɀƺƺȇƏɀǼƺɀɀٻɖɀɎȸƏǼǣƏȇټƏȇƳȅȒȸƺȒǔƏɎȒɖȸǣɀɎɎȸƏȵِ EDUCATION ȸƺɀȵȒȇɀǣƫǣǼǣɎɵȸƏȇǸɀُהȒɖɎȒǔחƏɎɎȸǣƫɖɎƺɀɎǝƏɎɎǝƺ !ǝǣȇƺɀƺǼȒȒǸǔȒȸǣȇƏȇƺƳɖƬƏɎǣȒȇȵȸȒɮǣƳƺȸِ Which Australian university continues to dominate the list? Although the University of Melbourne has dropped The University of Western Australia remains at the ɀǼǣǕǝɎǼɵǔȸȒȅǼƏɀɎɵƺƏȸټɀُȸƏȇǸǣȇǕًǣɎɀɎǣǼǼǝȒǼƳɀɎǝƺُב bottomɀȵȒɎًǔȸȒȅُז٢ȒɖɎȒǔז٣ǼƏɀɎɵƺƏȸًɎȒُא٢ȒɖɎȒǔ ɀȵȒɎɎǝǣɀɵƺƏȸِɖɀɎȸƏǼǣƏȇzƏɎǣȒȇƏǼÈȇǣɮƺȸɀǣɎɵ٢zÈ٣ǝƏɀ א٣ɎǝǣɀɵƺƏȸِXɎټɀȒȇƺȒǔɎǝƺȅȒɀɎɎȸɖɀɎƺƳɖȇǣɮƺȸɀǣɎǣƺɀǣȇ ȒɮƺȸɎƏǸƺȇɎǝƺÈȇǣɮƺȸɀǣɎɵȒǔxƺǼƫȒɖȸȇƺًȅȒɮǣȇǕɖȵǔȸȒȅ Australia, but it’s also perceived as the least professional ُדǼƏɀɎɵƺƏȸɎȒُɎǝǣɀɵƺƏȸِǼɎǝȒɖǕǝɎǝƺÈȇǣɮƺȸɀǣɎɵȒǔ and as a university that produces the least job-ready Melbourne is more trusted than ANU, ANU is perceived ǕȸƏƳɖƏɎƺɀƏȇƳǣɀɎǝƺǼƺƏɀɎǣȇȇȒɮƏɎǣɮƺɖȇǣɮƺȸɀǣɎɵِ ƏɀɎǝƺɖȇǣɮƺȸɀǣɎɵȒǔǔƺȸǣȇǕƫƺɎɎƺȸȷɖƏǼǣɎɵɎƺȸɎǣƏȸɵƺƳɖƬƏ- ɎǣȒȇِÁǝƺÈȇǣɮƺȸɀǣɎɵȒǔxƺǼƫȒɖȸȇƺǣɀƏǼɀȒȵƺȸƬƺǣɮƺƳƏɀ more socially-responsible than ANU, but social WINE ɎǝƺɯǣȇƺǣȇƳɖɀɎȸɵƏȇƳǣɎɀɮƏǼɖƺٮǔȒȸٮȅȒȇƺɵȒǔǔƺȸǣȇǕِ ¨ƺȇǔȒǼƳɀǣɀɀɎƏȸɎǣȇǕɎȒǼȒɀƺǣɎɀǼɖɀɎȸƺًȸƏȇǸǣȇǕُאɎǝǣɀ áǣȇƺƫȸƏȇƳɀǝƏɮƺƫƺƺȇƺɴȵƏȇƳƺƳǔȸȒȅדɎȒהɎǝǣɀɵƺƏȸِ year on trendiness—the worst of all wine brands—re- nƏɀɎɵƺƏȸًhƏƬȒƫټɀ!ȸƺƺǸ٢ُ٣ً¨ƺȇǔȒǼƳɀ٢ُא٣ƏȇƳçƺǼǼȒɯ ˢƺƬɎǣȇǕǣɎɀǣȇƏƫǣǼǣɎɵɎȒƬƏȵǣɎƏǼǣɀƺȒȇǣɎɀȵȒȵɖǼƏȸǣɎɵǣȇ ÁƏǣǼáǣȇƺɀ٢ُב٣ȸƺǣǕȇƺƳِÁǝƺɵƏȸƺȇȒɯȒɮƺȸɎƏǸƺȇƫɵǼƏɀɎ Australia and import this attribute into the Chinese ɵƺƏȸټɀǼƺƏɀɎٮȸƺȵɖɎƺƳƫȸƏȇƳɀِnǣȇƳƺȅƏȇټɀáǣȇƺɀȅȒɮƺɀ ȅƏȸǸƺɎِ ǔȸȒȅُגɎȒًُאɯǝǣǼƺ ɖȸƬǝȅȒɮƺɀǔȸȒȅɎǝƺƫȒɎɎȒȅȒǔ ɎǝƺǼǣɀɎɎȒُדɎǝǣɀɵƺƏȸِnǣȇƳƺȅƏȇټɀáǣȇƺɀټɀɎȸȒȇǕ performance is driven in part by its ability to innovate in
Chapter Five Chinese Consumer Insights 40
41 The ABC Index 2019 06
Conclusion 42 CHAPTER SIX CONCLUSION Digital Crew’s second Australian Brands in China Index premium brands—sometimes even within deepens its understanding of what Chinese consumers the same industry—to co-exist. ǼȒȒǸǔȒȸɯǝƺȇɎǝƺɵƏȸƺƬȒȇɀǣƳƺȸǣȇǕƏȇɖɀɎȸƏǼǣƏȇ brand—and Australian brands that come out on top ‘Innovativeness’ was added as a new brand attribute ǝƏɮƺƬȒȇɀǣƳƺȸƺƳɎǝƺɯȒȸǼƳټɀǼƏȸǕƺɀɎȅƏȸǸƺɎټɀȵȸƺǔƺȸƺȇƬ- this year and it’s already the top consideration in many ƺɀƏȇƳƬȸǣɎƺȸǣƏِ¨ƺȸǝƏȵɀȇȒɎɀɖȸȵȸǣɀǣȇǕǼɵً!ǝǣȇƺɀƺ ǣȇƳɖɀɎȸǣƺɀɀɖƬǝƏɀƬȒɀȅƺɎǣƬɀƏȇƳȵȸȒȵƺȸɎɵِ³ǝƏǸǣȇǕɖȵ ƬȒȇɀɖȅƺȸɀǼȒȒǸǔȒȸƫȸƏȇƳɀɎǝƏɎƏȸƺǝǣǕǝǣȇȷɖƏǼǣɎɵًɯǣɎǝ ɎǝƺȅƏȸǸƺɎɯǣɎǝȇƺɯȵȸȒƳɖƬɎɀƏȇƳɀƺȸɮǣƬƺɀǣɀƏǼɯƏɵɀƏɎ ٻȷɖƏǼǣɎɵټȸƏȇǸƺƳƏɀɎǝƺȅȒɀɎǣȅȵȒȸɎƏȇɎƏɎɎȸǣƫɖɎƺǣȇǔȒɖȸ ƏȸǣɀǸ٪ƫɖɎɎǝƺˡȇƳǣȇǕɀȒǔɎǝƺ !XȇƳƺɴɀɖǕǕƺɀɎɎǝƺȸƺ ǣȇƳɖɀɎȸǣƺɀƏȇƳɀƺƬȒȇƳȅȒɀɎǣȅȵȒȸɎƏȇɎǣȇɎɯȒȒɎǝƺȸɀِ ȅƏɵƫƺƏƫƺȇƺˡɎًȵȒɀɀǣƫǼɵƏǼǼȒɯǣȇǕȇƺɯƺȇɎȸƏȇɎɀɎȒ Major differences in industries have been observed as ƬƏȵɎɖȸƺƏɀǼǣƬƺȒǔɎǝƺ!ǝǣȇƺɀƺȅƏȸǸƺɎِ ɯƺǼǼِÁȸɖɀɎǣɀɎǝƺȅȒɀɎǣȅȵȒȸɎƏȇɎǔƏƬɎȒȸǣȇƺƳɖƬƏɎǣȒȇً but property brands need to be more innovative than ÁǝƺƫȸƏȇƳɀɎǝƏɎȸƏȇǸƺƳǝǣǕǝȒȇǣȇȇȒɮƏɎǣɮƺȇƺɀɀ ɎȸɖɀɎɯȒȸɎǝɵِ typically incorporate digital strategies into their ȅƏȸǸƺɎǣȇǕƏȇƳǝƏɮƺƏȵȸƺɀƺȇƬƺȒȇɀȒƬǣƏǼȅƺƳǣƏ The ABC Index provides valuable insights platforms in China, such as Bio Island on WeChat and for Australian brands to develop their áƺǣƫȒًƏȇƳɖɀɎȸƏǼǣƏȇƫƏȇǸƫȸƏȇƳɀɎǝƏɎȒǔǔƺȸȵƏɵȅƺȇɎ ƫȸƏȇƳȵȸȒˡǼƺɀƏȇƳȸƺȵɖɎƏɎǣȒȇɀǣȇɎǝƺ ɀƺȸɮǣƬƺɀȒȇǼǣȵƏɵƏȇƳáƺ!ǝƏɎ¨Əɵِ world’s largest and fastest-growing market. As the world continues to become more digital, and as China’s reliance on and preference for technology However, upward and downward shifts in some brands grows, Australian brands must also adapt and increase indicates the Chinese consumers’ understanding and their presence on social media and other digital ȸƺȵɖɎƏɎǣȒȇȒǔɖɀɎȸƏǼǣƏȇƫȸƏȇƳɀƬƏȇɀɎǣǼǼƫƺǣȇˢɖƺȇƬƺƳِ ȵǼƏɎǔȒȸȅɀɎȒȸƺƏƬǝ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀƳǣȸƺƬɎǼɵِ Many brands that were on the top are still at the top—and many brands that were near-bottom on our Despite the results, the ABC Index missed one brand — Index last year remain in the same position this ɎǝǣɀɵƺƏȸƏȇƳǼƏɀɎɵƺƏȸ٪ ٻȸƏȇƳɖɀɎȸƏǼǣƏِټXɎǣɀƬǼƺƏȸǔȸȒȅ year—but there is room for new Australian brands to our indices that there is demand among Chinese ƺȇɎƺȸɎǝƺȅƏȸǸƺɎِ ƺƺȸɀًǔȒȸƺɴƏȅȵǼƺًƏȸƺǝǣǕǝǼɵ consumers for brands, products and services that ƏȵȵƺƏǼǣȇǕɎȒ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀًƏȅƏȸǸƺɎǣȇɯǝǣƬǝ represent Australian culture, values and traditions, and ɖɀɎȸƏǼǣƏȇɯǣȇƺɀǝƏɮƺɎɵȵǣƬƏǼǼɵǔȒƬɖɀƺƳɖȵȒȇِ are ‘Australian’ at their core ِخحThis explains the domi- nance of Australian airlines, wines and spirits in the Our Index also reveals potential growth for Australian ɎȒȵٮǼǣɀɎɀȒɮƺȸƏǼǼƏȇƳƏȅȒȇǕɮƏȸǣȒɖɀ!ǝǣȇƺɀƺƳƺȅȒ- ƫȸƏȇƳɀِxƏȇɵǼȒɯٮƬȒɀɎًƏǔǔȒȸƳƏƫǼƺƏȇƳɮƏǼɖƺٮǔȒȸٮȅȒȇƺɵ ǕȸƏȵǝǣƬɀƺǕȅƺȇɎɀِÁǝƺɀƺƏȸƺǣȇƳɖɀɎȸǣƺɀǣȇɯǝǣƬǝ travel brands, such as Tigerair Australia and Adina ɖɀɎȸƏǼǣƏȇƫȸƏȇƳɀƺɴƬƺǼِxȒɮǣȇǕǔȒȸɯƏȸƳًɖɀɎȸƏǼǣƏȇ ȵƏȸɎȅƺȇɎRȒɎƺǼɀًƏȵȵƺƏǼɎȒɎǝƺȅƏȸǸƺɎًƳƺɀȵǣɎƺ brands need to capitalise on the continuing appeal of Chinese consumers’ appeal for luxury in other indus- ‘Brand Australia’ without losing sight of the attributes tries, and the popularity of established premium brands that Chinese consumers care about when they are ɀɖƬǝƏɀªƏȇɎƏɀǣȸɯƏɵɀƏȇƳàǣȸǕǣȇɖɀɎȸƏǼǣƏǣȸǼǣȇƺɀِ considering incorporating an Australian brand into ɎǝƺǣȸǼǣǔƺɀɎɵǼƺِ There is potential for both low-cost and
43 The ABC Index 2019 APPENDIX ONE RESEARCH METHODOLOGY RESPONDENTS respondents for their perception of Australian brands ƏƬȸȒɀɀɎǝƺƺǣǕǝɎǣȇƳɖɀɎȸǣƺɀِƬȸȒɀɀƫȒɎǝȵǝƏɀƺɀًȒɖȸ ÁǝƺȸƺɯƺȸƺɎɯȒȵǝƏɀƺɀȒǔȒɖȸȒȇǼǣȇƺɀɖȸɮƺɵɎǝǣɀɵƺƏȸِXȇ ȸƺɀȵȒȇƳƺȇɎȵȸȒˡǼƺǣɀƏɀǔȒǼǼȒɯɀي ¨ǝƏɀƺًɯƺɀɖȸɮƺɵƺƳ!זًדǝǣȇƺɀƺȸƺɀȵȒȇƳƺȇɎɀً ǣȇȷɖǣȸǣȇǕƏƫȒɖɎɎǝƺƏɎɎȸǣƫɖɎƺɀɎǝƺɵˡȇƳȅȒɀɎǣȅȵȒȸɎƏȇɎ • «ƺǕǣȒȇۏהِחוيÁǣƺȸƬǣɎǣƺɀٕۏגِאÁǣƺȸאƬǣɎǣƺɀدح when considering an Australian brand in one of eight • IncomeۏזِגגيذحÁȒȵ٢ڷًדɵɖƏȇȵƺȸɵƺƏȸ٣ٕבِוב ǣȇƳɖɀɎȸǣƺɀِXȇ¨ǝƏɀƺًאɯƺɀɖȸɮƺɵƺƳ!גוًגǝǣȇƺɀƺ ۏxǣƳƳǼƺ٢ًהɎȒًדɵɖƏȇȵƺȸɵƺƏȸ٣ٕۏחِו • JƺȇƳƺȸۏהِאגيȅƺȇ٢xƺƏȇƏǕƺבِגבڻɵƺƏȸɀȒǼƳ٣ً nȒɯƺȸ٢ǼƺɀɀɎǝƏȇًהɵɖƏȇȵƺȸɵƺƏȸ٣ ۏגِודɯȒȅƺȇ٢xƺƏȇƏǕƺבאِגבڻɵƺƏȸɀȒǼƳ٣ • ǕƺيȅƺƏȇȒǔאِגבɵƺƏȸɀȒǼƳًȅƺƳǣƏȇȒǔגבɵƺƏȸɀ ȒǼƳًȅȒƳƺȒǔבɵƺƏȸɀȒǼƳًȸƏȇǕƺǔȸȒȅגאɎȒוהɵƺƏȸɀ old SURVEY DESIGN, PROCEDURE AND DATA ANALYSIS Using academically proven practices, a methodical and ǼƺɮƺǼƏȇƳɮǣɀǣɎƫƺǔȒȸƺِÁǝƺƬȒȇɀƺȷɖƺȇɎƳƏɎƏǔȒȸƺƏƬǝ ȵȸƏƬɎǣƬƏǼƏȵȵȸȒƏƬǝɯƏɀɎƏǸƺȇɎȒȒƫɎƏǣȇɎǝƺȸƺɀɖǼɎɀǔȒȸ ɖɀɎȸƏǼǣƏȇƫȸƏȇƳƬȒǼǼƺƬɎƺƳǣȇ¨ǝƏɀƺאɯƏɀɎǝƺȇ ɎǝƺXȇƳƺɴِÁǝƺȅƺɎǝȒƳȒǼȒǕɵǣȇƬǼɖƳƺƳƫȒɎǝƬȒȇɎȸȒǼƏȇƳ analysed and weighted to compile the overall Index ƬȒȅȵƏȸǣɀȒȇǕȸȒɖȵɀɯǣɎǝƺƏƬǝȸƺɀȵȒȇƳƺȇɎȸƏȇǸǣȇǕ and its individual categories based on the responses in brand considerations on a three-point scale and most important attribute considerations surveyed in ȵȸȒˡǼǣȇǕɎǝƺǣȸǕƺȇƳƺȸًƏǕƺًȸƺǕǣȒȇًǣȇƬȒȅƺًƺƳɖƬƏɎǣȒȇ ¨ǝƏɀƺِ LIST OF AUSTRALIAN BRANDS áƺƳƺˡȇƺƏƫȸƏȇƳƏɀٻɖɀɎȸƏǼǣƏȇټɀȒǼȒȇǕƏɀǣɎǔɖǼˡǼǼƺƳƏɎ least one of three criteria: áƺǣȇƬǼɖƳƺƳƏɎȒɎƏǼȒǔאɖɀɎȸƏǼǣƏȇƫȸƏȇƳɀǣȇɎǝƺחא ABC Index in a total of eight industries: ِXɎǝƏɀǣɎɀȒȸǣǕǣȇɀǣȇɖɀɎȸƏǼǣƏ ِאXɎټɀƬɖȸȸƺȇɎǼɵƫƏɀƺƳǣȇɖɀɎȸƏǼǣƏ ِƏȇǸɀ ِבXɎټɀȵƺȸƬƺǣɮƺƳɎȒƫƺɖɀɎȸƏǼǣƏȇ !ِאȒɀȅƺɎǣƬɀ ِבIx!JƏȇƳ«ƺɎƏǣǼ ِגRƺƏǼɎǝ ¨ِדȸȒȵƺȸɎɵ ِהÁȒɖȸǣɀȅ ِוÈȇǣɮƺȸɀǣɎǣƺɀ ِזá³ IȒȸƺɴƏȅȵǼƺًªƏȇɎƏɀǣȸɯƏɵɀƏȇƳ(ƏɮǣƳhȒȇƺɀȅƺƺɎƏǼǼɎǝȸƺƺًɯǝǣǼƺ0xÈɖɀɎȸƏǼǣƏȅƺƺɎɀُבȒȇǼɵ٪ɵƺɎƏǼǼɎǝȸƺƺƫȸƏȇƳɀ ƏȸƺǼǣɀɎƺƳǣȇɎǝƺXȇƳƺɴِÁǝƺɎȒɖȸǣɀȅǣȇƳɖɀɎȸɵɯƏɀǔɖȸɎǝƺȸƫȸȒǸƺȇƳȒɯȇǣȇɎȒוƫȸƏȇƳɀƏȇƳחƳƺɀɎǣȇƏɎǣȒȇɀِ
Appendix One: Research Methodology 44 HEALTH BEER, BEAUTY PROPERTY AIRLINES FMCG UNIVERSITIES BANK WINE, & & & & (GROUP OF EIGHT) SPIRITS COSMETICS REAL ESTATE TOURISM RETAIL Caruso’s Natural Penfolds Jurlique Meriton Qantas EMU University National Health Airways Australia of Melbourne Australia Bank Blackmores Yellow Tail Aesop Crown Group Jetstar Chemist University of New Commonwealth Swisse Wines Airways Bank Bio Island Warehouse South Wales Virgin Australia Australia and New Lindeman’s Sukin Frasers Property Airlines Woolworths University of Zealand Banking Wines Western Australia Group Tigerair Jacob’s Creek Australian Metricon Australia Weet-Bix University of Westpac Banking Creams (G&M) Adelaide Corporation Healthy Care Burch Family Lucas’ Papaw Mirvac Mantra Hotels Coles University of Wines Remedies Queensland Nature’s Way Peter Lehmann A’kin Lend Lease Tourism Australia Myer Monash University Wines Life-Space McGuigan Thursday XȸȒȇˡɀǝ Destination David University of Nu-Lax Wines Plantation CBRE Gold Coast Jones Sydney Hardys The Goat Tourism áƺɀɎˡƺǼƳ Australian National Wines Skincare Victoria University FatBlaster Treasury Wine QV QV Destination Priceline University of Estates Skincare Skincare NSW Technology Sydney Dunlop Nature’s Care Little Cancer Council Ray White South Australia Volley Victoria (Vitamore) Creatures Australia Tourism Shoes University Commission Freedom Foods Coopers Nude by ȸȒȒǸˡƺǼƳ Julius Brewery Nature Visit Marlow Canberra Capilano Honey Victoria Natio Stockland Tourism WA Seafolly Bitter XXXX KORA Organics Tourism NT T2 Teas (by Miranda Kerr) Bundaberg Olive Oil Tourism a2 Milk Rum Skin Care Co. Tasmania Bellamy’s Devondale G&M Cosmetics Adina Paul’s Milk (Australian Cream) Apartment Bubs Hotels Medina Hotels Tourism and Events Queensland Dairy Farmers Milk
45 The ABC Index 2019 LIST OF BRAND ATTRIBUTES These brand considerations were chosen based on a thorough review of the academic literature and We derived a total of nine brand attributes that Chinese ȅƏȸǸƺɎǣȇǕȵȸƺɀɀȒȇ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀټƫȸƏȇƳ ƬȒȇɀɖȅƺȸɀǼȒȒǸǔȒȸǣȇɖɀɎȸƏǼǣƏȇƫȸƏȇƳɀِÁǝƺǼǣɀɎȒǔ preferences: brand considerations is as follows: • ƏǸƺȸًhِnِ٢וחח٣ِ(ǣȅƺȇɀǣȒȇɀȒǔƫȸƏȇƳȵƺȸɀȒȇƏǼǣɎɵِ ِÁȸɖɀɎɯȒȸɎǝǣȇƺɀɀ٫(ȒƬȒȇɀɖȅƺȸɀɎȸɖɀɎɎǝƺƫȸƏȇƳّ hȒɖȸȇƏǼȒǔxƏȸǸƺɎǣȇǕ«ƺɀƺƏȸƬǝًגב٢ב٣ًِהדבٮוגב ِאÁȸƺȇƳǣȇƺɀɀ٫(ȒƺɀɎǝƺƫȸƏȇƳǔȒǼǼȒɯɎǝƺȅȒɀɎ recent trends? • RƏǼǼًhِ٢ًאאzȒɮƺȅƫƺȸא٣ِçȒɖȇƺƺƳƏȵȸȒǔƺɀɀǣȒȇ- ¨ ِבȸȒǔƺɀɀǣȒȇƏǼǣɀȅ٫(ȒƺɀɎǝƺƫȸƏȇƳȵȸƺɀƺȇɎǣɎɀƺǼǔƏɀ ƏǼƫȸƏȇƳًȇȒȅƏɎɎƺȸɯǝƏɎɵȒɖȸǣȇƳɖɀɎȸɵǣɀِIȒȸƫƺɀِ ǸȇȒɯǼƺƳǕƺƏƫǼƺƏȇƳƬȒȅȵƺɎƺȇɎǣȇǣɎɀȸƺɀȵƺƬɎǣɮƺ ɮƏǣǼƏƫǼƺƏɎǝɎɎȵɀٖٖيɯɯɯِǔȒȸƫƺɀِƬȒȅٖɀǣɎƺɀٖǴȒǝȇ- product industry? ǝƏǼǼٖٖאٖٖאאɵȒɖٮȇƺƺƳٮƏٮȵȸȒǔƺɀɀǣȒȇƏǼٮƫȸƏȇƳٮȇȒٮ ȅƏɎɎƺȸٮɵȒɖȸٮǣȇƳɖɀɎȸɵُٖזƏזגƬוהƏהǔה ِגªɖƏǼǣɎɵ٫XɀɎǝƺƫȸƏȇƳǝǣǕǝȒȇȷɖƏǼǣɎɵƏȇƳɖɀƺ ǝǣǕǝٮȷɖƏǼǣɎɵȵȸȒƳɖƬɎɀّ • Rǣɖًِ³ِçًِ³ǣɖًzِçِxًِáƏȇǕً!ِ!ِnًِۭ!ǝƏȇǕًnِ ِד³ȒƬǣƏǼ«ƺɀȵȒȇɀǣƫǣǼǣɎɵ٫(ȒƺɀɎǝƺƫȸƏȇƳɎȸɵɎȒƫƺ xِkِ٢א٣ِȇǣȇɮƺɀɎǣǕƏɎǣȒȇȒǔƳƺƬǣɀǣȒȇٮȅƏǸǣȇǕ socially responsible? ɀɎɵǼƺɀȒǔƬȒȇɀɖȅƺȸɀǣȇ!ǝǣȇƏِhȒɖȸȇƏǼȒǔ!Ȓȇɀɖȅƺȸ ǔǔƏǣȸɀًדב٢א٣ًِדגבٮהאב ِהÁȸƏƳǣɎǣȒȇƏǼǣɀȅ٫(ȒƺɀɎǝƺƫȸƏȇƳǔȒǼǼȒɯɎȸƏƳǣɎǣȒȇƏǼ values? • kǣȅًhًِِ
ٮIȒȸɀɵɎǝƺً³ًِJɖًªًِۭxȒȒȇً³ِhِ٢אא٣ِ ¨ ِוȸƏƬɎǣƬƏǼǣɎɵن٫XɀɎǝƺƫȸƏȇƳټɀȵȸȒƳɖƬɎȒǔǔƺȸǣȇǕ Cross-cultural consumer values, needs and functional or useful? ȵɖȸƬǝƏɀƺƫƺǝƏɮǣȒȸِhȒɖȸȇƏǼȒǔ!ȒȇɀɖȅƺȸxƏȸǸƺɎ- ǣȇǕًח٢ה٣ًِאדٮזג ِזàƏǼɖƺٮǔȒȸٮȅȒȇƺɵ٫(ȒƺɀɎǝƺƫȸƏȇƳȒǔǔƺȸƏǝǣǕǝ value-for-money proposition? • nǣɖًñًِRɖƏȇǕً³ِ³ًِRƏǼǼƏǸً«ًِۭnǣƏȇǕًxِ٢הא٣ِ ِחXȇȇȒɮƏɎǣɮƺȇƺɀɀ٫XɀɎǝƺƫȸƏȇƳǣȇȇȒɮƏɎǣɮƺّ Chinese consumers' brand personality perceptions نIȒȸƫƏȇǸɀًȸƺȵǼƏƬƺƳɯǣɎǝ!ȒȇɮƺȇǣƺȇƬƺ٢XɀɎǝƺƫƏȇǸ ȒǔɎȒɖȸǣɀȅȸƺƏǼƺɀɎƏɎƺˡȸȅɀِÁȒɖȸǣɀȅxƏȇƏǕƺȅƺȇɎً ƬȒȇɮƺȇǣƺȇɎّ٣ِIȒȸɎȒɖȸǣɀȅƳƺɀɎǣȇƏɎǣȒȇɀًȸƺȵǼƏƬƺƳ ِהאבٮבًאד ɯǣɎǝȵȵƺƏǼ٢XɀɎǝƺƳƺɀɎǣȇƏɎǣȒȇƏȵȵƺƏǼǣȇǕّ٣ِIȒȸ airlines, replaced with Safety (How safe is this • ñǝƏȇǕًçِ٢החח٣ِ!ǝǣȇƺɀƺƬȒȇɀɖȅƺȸɀټƺɮƏǼɖƏɎǣȒȇȒǔ ƏǣȸǼǣȇƺّ٣ِIȒȸǝȒɎƺǼɀًȸƺȵǼƏƬƺƳɯǣɎǝ
ɮƺȸƏǼǼ0ɴȵƺȸǣ- ƺȇƬƺ٢RȒɯǣɀɎǝƺȒɮƺȸƏǼǼƺɴȵƺȸǣƺȇƬƺƏɎɎǝƺǝȒɎƺǼّ٣ِ ǔȒȸƺǣǕȇȵȸȒƳɖƬɎɀيɎǝƺǣȇˢɖƺȇƬƺȒǔƬɖǼɎɖȸƺًȵȸȒƳɖƬɎ For universities, replaced with Job readiness (Are ɎɵȵƺɀƏȇƳȵȸȒƳɖƬɎȵȸƺɀƺȇɎƏɎǣȒȇǔȒȸȅƏɎِ0ɖȸȒȵƺƏȇ ɎǝƺǕȸƏƳɖƏɎƺɀǔȸȒȅɎǝƺɖȇǣɮƺȸɀǣɎɵǴȒƫٮȸƺƏƳɵّ٣ِ hȒɖȸȇƏǼȒǔxƏȸǸƺɎǣȇǕًב٢א٣ًِזהٮד RESEARCH LIMITATIONS • Only respondents who indicated they were familiar ɯǣɎǝƏȇɖɀɎȸƏǼǣƏȇƫȸƏȇƳƏȇɀɯƺȸƺƳȷɖƺɀɎǣȒȇɀ • We measured Chinese consumers’ perceived ƏƫȒɖɎǣɎِÁǝƺ !XȇƳƺɴǣȇƬǼɖƳƺɀȸƺɀȵȒȇɀƺɀǔȒȸ ǣȅȵȒȸɎƏȇƬƺȒǔƺƏƬǝƏɎɎȸǣƫɖɎƺɀȵƺƬǣˡƬɎȒƺƏƬǝ brands that are less familiar, and this is not one of industry this year, versus across all industries last the criteria for inclusion or considerations into year and so trends in perceived importance of the ǣȇƳƺɴɯƺǣǕǝɎǣȇǕِ ȇǣȇƺƏɎɎȸǣƫɖɎƺɀƏȸƺȇȒɎƏɮƏǣǼƏƫǼƺِ • We focused on younger consumers this year, the ȅƏǴȒȸǣɎɵȒǔɯǝȒȅɯƺȸƺƏǕƺƳƫƺɎɯƺƺȇחאɎȒג ɵƺƏȸɀȒǼƳِÁǝǣɀƏǼɀȒǼǣȅǣɎƺƳɎǝƺƳǣɮƺȸɀǣɎɵȒǔǣȇƬȒȅƺ ranges and our focus was on the middle- and ɖȵȵƺȸٮƬǼƏɀɀƺɀِ
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