The 2017 RTG Consulting Brand Relevance Report Reveals Significant Gains For Chinese Brands

Chanel, Estee Lauder, adidas still hold top spots, but for how long against growing Chinese brands?

SHANGHAI, July 20, 2017 /PRNewswire/ -- RTG Consulting Group recently released their "2017 RTG Brand Relevance Report", the result of a survey of 5,000 consumers in Shanghai, Beijing, Guangzhou and Chengdu, as well as qualitative interviews with 45 China industry experts and select consumers.

The RTG Brand Relevance Report covers 9 industries and utilizes a proprietary algorithm from aggregated data from quantitative consumer surveys, brand metrics, and qualitative feedback from both industry experts and consumers. 

The report sorts brand relevance by age, and highlights generational (Generations X, Y and Z) difference in responses. As an entire generation of digital natives moves into adulthood, age has become paramount amongst traditional demographics.

Most Relevant Brands by Industry:

1. Fashion I ADIDAS
2. Food & Beverage I YILI
3. Beauty I ESTEE LAUDER
4. Personal Care I REJOICE
5. Mobile App I WECHAT
6. Hospitality I FOUR SEASONS
7. Automobile I VOLKSWAGEN
8. Electronics & Tech I HUAWEI
9. Luxury I CHANEL

"This is an interesting time for brands," says Marc-Oliver Arnold, Chief Strategy Officer at RTG Consulting Group. "Brands are expanding and targeting up-and-coming niche trend markets, capitalizing on emerging trends to quickly head that sector - brands like adidas, WeChat and Huawei are key examples of the effectiveness of this strategy. To succeed, brands need to move at the speed of modern China's cultures and subcultures."

"At RTG our mission is to ensure our clients' brands remain relevant to today's consumers, so it's critical to hear from Chinese consumers what brands are most relevant to them. What I find most interesting about this year's report is this trend toward 'Easternisation' with the increasing resonance of many Chinese brands across several industries. The rising influence and relevance these brands have on Chinese consumers cannot be overlooked. This may have a significant impact on the overall brand market landscape in the near future," says Angelito Tan Jr., CEO of RTG Consulting Group.

Select Highlights

• In the Fashion sector, global sportswear brands maintained their dominance, with adidas and Nike winning the top spot for Generations Z and Y, respectively. adidas performed especially well among brands of all categories and respondents of all generations, earning top marks in key metrics like passion, leadership and consistency. The brand has accomplished this by setting up large-scale distribution in lower tier cities while pursuing inventive marketing strategies that endear it to different subcultures, especially amongst Chinese millennials (Gen-Z).
• While international fashion brands enjoyed strong growth, up-and-coming local brand HLA saw a meteoric rise to number four in the overall fashion rankings, topping the rankings for most relevant fashion brand among China's Generation X.
• In the Mobile App sector, WeChat continues to dominate. Remarkably, only one international mobile app, Amazon, made it in to the top 20. The biggest surprise, however, comes from the fall of Apple in the Electronics & Tech sector. After scoring most relevant in Electronics & Tech in 2016, the brand fell to the 6th spot for 2017 while local brand Huawei tops the ranking thanks to strong momentum with Chinese millennials (Generations Y and Z).
• In the Food & Beverage sector, the biggest winner is local brand YiLi, who scored very high in regards to authenticity, passion, dynamism, trustworthiness, leadership and social responsibility. YiLi is making an increasingly significant impact both domestically and overseas, which is especially impressive given the melamine scandal of 2008. They've managed to overcome this momentous setback, regain their reputation and proceed with business growth.
• The only sector where local brands did not experience significant growth is Luxury. Of the top 20 most relevant brands, none are local Chinese. Chanel ranked highest for China's Generations X and Y, and second for Generation Z, who ranked Dior as their favorite for Luxury.

For the full report, visit http://www.rtgconsulting.com/brandrelevance/

About the 2017 RTG Brand Relevance Report

The 2017 RTG Brand Relevance Report is an annual study that assesses relevance of 300 leading brands through the lens of Chinese consumers. It also sheds light on how brand relevance differs between Gen-X, Gen-Y, and Gen-Z. 5,000 consumers were surveyed for quantitative results (180 of which provided additional qualitative results) between the ages of 15-45 across 4 major metropolises (Shanghai, Beijing, Guangzhou, and Chengdu). 45 industry experts also weighed in with their qualitative insights. The report covers 9 industries, including Hospitality, Luxury, Fashion, Beauty, Personal Care, Food & Beverage, Electronics & Tech, Mobile App, and Automobile.

About RTG Consulting Group

With offices in Shanghai and Beijing, RTG Consulting Group is a team of over 60 international and local Chinese brand consultants focused on the Mainland China market. As consumer and industry models constantly evolve, our mission is to ensure businesses stay relevant.

For more information about the complete 2017 RTG Brand Relevance Report, please contact [email protected]. For all press inquiries, please contact [email protected].

SOURCE RTG Consulting