Brands need more than quality goods to go global, forum says

Chinese companies are increasingly establishing themselves as global brands, but their long-term international success will depend not only on technological innovation and competitive products, but also on their ability to engage consumers, forge emotional connections, and adapt to local markets, business leaders and experts said at a forum in London on Wednesday.

The third Brand Finance China Brand Forum, held at Mansion House in the City of London, brought together business leaders and industry experts to explore the opportunities and challenges facing Chinese brands expanding internationally.

Under the theme Sunrise in the East: Chinese Brands Going Global, speakers highlighted the growing recognition of Chinese companies across industries ranging from electric vehicles and consumer electronics to entertainment and digital platforms.

Li Liyan, minister counselor at China's Embassy in the United Kingdom, said Chinese modernization provides a solid foundation for domestic brands to expand internationally, while the country's rich cultural heritage gives them a distinctive identity.

"As Chinese brands go global, they showcase not only the achievements of Chinese manufacturing and innovation, but also the Chinese people's efforts to build better lives," he said.

Li emphasized that successful international branding also requires greater cultural understanding and exchanges between countries.

"Through dialogue, we can reduce prejudice. Through mutual learning, we can enrich our respective cultures," he said, adding that China and the UK have considerable potential to deepen cooperation in culture, business, and tourism.

David Haigh, chairman and CEO of Brand Finance, said Chinese brands had made remarkable progress in international recognition in recent years, reflecting the country's growing competitiveness in technology and manufacturing.

Recalling the forum's first edition three years ago, Haigh said many Chinese brands that were relatively unfamiliar to British consumers had since become increasingly recognizable.

"I personally feel that … interaction with Chinese brands ... is much stronger than it was a few years ago," he said, adding that the trend was accelerating.

He identified electronics, automobiles, and digital platforms as particularly promising sectors for Chinese brands, and pointed to the rapid international expansion of electric vehicle manufacturer BYD and social media platform TikTok.

However, Haigh cautioned that producing high-quality goods was only part of the challenge. Chinese companies also need people with a deeper understanding of overseas markets, including local business practices and distribution networks.

Michael Mainelli, a former lord mayor of the City of London and chairman of Z/Yen Group, emphasized that building a successful international brand required more than simply winning consumer recognition.

"The global brand challenge is not simply to be understood; it is to be understood correctly," he said.

Brands, he explained, help consumers navigate uncertainty by conveying information about quality, identity, expectations, and accountability.

For Chinese businesses expanding overseas, success therefore requires understanding local cultures and expectations while consistently delivering on their promises.

"A brand must be recognizable, relevant, and reliable," Mainelli said.

The importance of communicating technological advantages was highlighted by Bono Ge, country manager for the UK and Ireland at BYD.

Ge said Chinese automakers had developed sophisticated technologies, but consumers did not always fully understand or appreciate the features available in their vehicles.

"I think what we did right is storytelling," he said, stressing the importance of helping customers experience and understand technology rather than simply presenting technical specifications.

He added that building a premium brand requires something beyond functionality and competitive pricing.

"In order to build a brand, you must create an emotional connection with brands," he said.

For Chinese companies seeking to compete in Europe's established premium automotive market, technological innovation must therefore be accompanied by a distinctive brand identity and stronger consumer engagement.

A similar message emerged from Afiah Kofie, who oversees public relations and communications in Europe for Chinese collectible toy company Pop Mart.

Kofie said the company's international appeal was closely linked to storytelling around its intellectual properties and the artists behind them.

Through exhibitions, events, and social media, Pop Mart seeks to introduce consumers to the characters and creative worlds behind its products, while cultivating communities of enthusiastic followers.

She also highlighted artificial intelligence as an increasingly important channel through which consumers discover brands, making a compelling and accessible brand story essential.

Looking ahead, Kofie identified beauty products as another promising sector for Chinese companies seeking international growth, particularly through social media and consumer advocacy.