ADG China Selected by IIBA to Expand Chinese Presence

ADG China Selected by IIBA to Expand Chinese Presence

To satisfy the growing business analysis demand in China, ADG China and IIBA will focus on delivering resources, certifications, and networking opportunities to achieve better enterprise outcomes.

ADG China has been selected by the International Institute of Business Analysis (IIBA), a global association leading the business analysis community and professional standards, to better serve the growing analysis market in China.

“We’re excited to work with ADG China to help us refine and expand our strategies for serving the business analysis community in China. Business growth and workforce development in China is generating substantial need that can benefit from IIBA’s internationally recognized Guide to the Business Analysis Body of Knowledge (BABOK® Guide) and other industry standards, membership benefits, networking opportunities, and our comprehensive certification offering,” said Delvin Fletcher, President and CEO, IIBA.

With almost 30,000 members and a growing presence in countries around the world, offering IIBA’s programs inside of China will provide a valuable resource for Chinese professionals and companies. ADG China will help IIBA to find innovative paths to reach business analysis professionals and their employers in the world’s second largest economy.

IIBA members receive access to exclusive resources and standards, relevant webinars, in-person events, and career supporting certification opportunities supporting core business analysis principles and other related fields, including Agile, product management, data analytics, and cybersecurity analysis. IIBA also works with organizations around the word to provide the resources they need to build business analysis capabilities and drive professional development.

“ADG has extensive experience driving adoption of business analysis software across a variety of industries in China, so we know the value of making IIBA’s world-class services available to the rapidly growing professional field of business analysis in China,” said Chris DeAngelis, GM of ADG China.

About IIBA

International Institute of Business Analysis™ (IIBA®) is a professional association dedicated to supporting business analysis professionals to deliver better business outcomes. IIBA connects almost 30,000 Members, over 120 Chapters, and more than 500 training, academic, and enterprise partners around the world. As the global voice of the business analysis community, IIBA supports recognition of the profession, networking and community engagement, standards and resource development, and comprehensive certification programs.

oneNav selects ADG China to drive growth in China

oneNav selects ADG China to drive growth in China

ADG China will help bring oneNav’s Pure L5 Mobile GNSS solution to the world’s largest mobile ecosystem

ADG China announced today that it is partnering with oneNav, developer of the world’s first pure L5 mobile GNSS receiver, to support oneNav’s efforts to develop commercial partnerships with China’s mobile OEMs, SOC providers and connected device manufacturers.

“China’s mobile-first economy has a strong need for location services that are as accurate as possible, and we’re excited to bring Pure L5 into the world’s second largest economy to meet that need,” said Bret Sewell, VP of Marketing and Business Development at oneNav. “ADG’s deep experience with China OEMs and IoT manufacturers, and its 20 years of experience working with companies like ours, will supplement our effort and timetable for real business in China,” continued Sewell.

oneNav recently announced US$21 million in new funding, led by GV. The company’s Pure L5 solution leverages modernized L5 signals from the GPS, Galileo, Beidou and QZSS navigation satellite constellations. oneNav Pure L5 is ideal for highly space- and power-constrained devices such as smartphones, wearables and IOT tracking modules.

“Mobile OEMs and other connected device manufacturers in China care about location accuracy, lower power consumption and reducing the hardware footprint in their devices. oneNav meets these needs, giving them a way to differentiate themselves in a crowded market,” said ADG China GM Chris DeAngelis.

About oneNav

oneNav is powering high performance positioning for location dependent mobile services. Based in Silicon Valley, oneNav is developing a next generation, pure L5 mobile GNSS receiver for smartphones, wearables and IoT devices. To learn more, please visit www.onenav.ai.

China marketing – How a global software company turned users away from piracy

China marketing – How a global software company turned users away from piracy

In our recently released report, “How a Western Software Company Overcame Piracy to Thrive in China,” we discuss how a US software company used China marketing to turn Chinese users away from pirated versions of its software.

China omni-channel marketing

Globally, the company’s products are well known, with the vast majority of customers outside of China buying directly from its global website. At first, the company thought its globally-leading position meant that Chinese enterprise customers could be attracted through basic inbound China marketing. However, piracy was so out of control that it was a real challenge for any potential buyer to understand if they were buying authorized products or not. ADG worked with the company to develop a proactive China marketing approach to communicate its value, the risks of hacked software, and how and where customers could buy the legitimate and supported products.

The company focused on demonstrating its commitment to the local market through activities including creating a local “.cn” website, building a local digital community for users and partners, translating SEO-optimized tutorials, user guides and videos, and making small investments in paid search.

Getting these massive, 700,000 word HTML-based user guides translated and SEO-optimized for Baidu was a large undertaking but drove nearly 50% of user views to the .cn website. As an added benefit, having this work outsourced in China was faster and saved the client around US$70,000 compared to quotes in the United States.

Finally, to develop its community in China, the company focused on where its partners and end users congregate online, including WeChat, Zhihu (China’s Quora) and local industry focused BBSs. By late 2020, the company’s users and resellers increasingly recognized and began interacting with the legitimate brand.

Download the full report to learn more about how this company is succeeding in China!

How one global software company adjusted its China order processing and pricing to drive local orders

How one global software company adjusted its China order processing and pricing to drive local orders

In our new whitepaper entitled, “How a Western Software Company Overcame Piracy to Thrive in China,” we detail how a US software company had been doing China order processing from its global website for years, with most of those purchases being inbound sales from resellers, individuals or enterprise employees that had access to international credit cards. However, for many larger enterprise prospects, prior to mid-2020 the company’s lack of a local Chinese website or local China order processing support limited the type and size of customers that could purchase directly from its global website.

To make its China order processing easier, ADG helped the company to setup a local bank account under the ADG legal entity and began accepting local transactions. In mid-2020, ADG acquired a “.cn” domain under its legal entity and worked with the company to build and launch a basic online e-commerce website. This allowed the company to accept local payment methods, pay local taxes and issue official tax receipts to customers and resellers. On the backend, ADG managed cross-border payments and processed VAT to import the products into the China market.

China is not always a place you need to discount your product

One of the most interesting learnings was around overall pricing levels. Most companies believe that, in order to compete in China, they need to offer lower pricing. “In the early stages, we were debating at ADG and with the client on the appropriate strategy to address a pair of issues,” said ADG’s Chris DeAngelis. “First, we wanted to find additional margin to incentivize the resellers who already were losing margin on cross-border costs and were only receiving relatively small discounts. Second, the China platform run by ADG was technically and legally separate from the global website and required manual processing of orders,” continued DeAngelis.

In response, ADG proposed an unusual solution: to raise the list price in China higher than its global price in order to offset some of the cross-border expenses. The thinking behind this was:

  1. This would drive price-sensitive users to the global website, thereby reducing the amount of processing done in China
  2. Provide a higher list price inside China to provide local resellers extra room to gain margin

It worked beyond expectations by accomplishing both initial goals of attracting new resellers, while also increasing direct sales on the global website. An additional – and unexpected – bonus was that direct sales in China dramatically increased, and by early 2021 China direct sales processed at the .cn website in China outpaced and overtook the .com global website!

Click here to read the full whitepaper!

China SaaS B2B market in 2021: MNCs and SMEs will continue to lead the way

China SaaS B2B market in 2021: MNCs and SMEs will continue to lead the way

While there were many drivers to China’s SaaS B2B market in 2020 – including remote work – adoption of SaaS still hasn’t reached its full potential. Even though the B2B China SaaS market has been growing roughly 30% annually according to CAICT, large Chinese enterprises especially in sensitive industries are in the early stages of leveraging public cloud SaaS, still preferring private clouds. However, small-medium enterprises (SMEs) have been more open to looking at public cloud SaaS when there is a robust product offering. In this article, we’ll take a look at current market dynamics, and what we expect this year.

MNCs in China: A great target for global SaaS providers

While many large Chinese enterprises are still emerging targets for most public cloud SaaS platforms in 2021, we anticipate that MNCs operating in China will continue to accelerate their adoption of SaaS. This will especially be true of SaaS that is tied to a larger global ecosystem such as Salesforce or Microsoft Azure. These companies not only want to bring their China operations into alignment with their global procedures, they also are looking to streamline efficiency as labor costs continue to rise in China.

For global SaaS providers that are weighing whether to enter the China market, an existing client base (in other markets) of MNCs operating in China can be the tipping point to making a market entry investment. As it is basically impossible to provide public cloud SaaS in China without being in the country (for a variety of reasons), Western SaaS providers generally have to make a larger initial investment compared to on-premise or desktop solutions. Having a ready customer base of MNCs can certainly help when justifying that investment.

SMEs are adopting SaaS solutions

The real growth for SaaS adoption in China continues to come from the roughly 32 million SMEs in the country. Over 40% of those SMEs were using SaaS by the end of 2019. CRMs, marketing solutions and finance are among the leading categories of China SaaS adoption by SMEs. Unlike large enterprises, SMEs generally do not have the capability to create and manage their own private clouds, making SaaS a more reasonable option. However, pricing for SMEs can be difficult as many are very price-sensitive in the face of lower-cost (and/or pirated) solutions from local providers. Similarly to large enterprises, they also prefer to make a perpetual transaction.

We should also note that often one of the key requirements for SME SaaS solutions in China is to be either mobile first or highly tied into mobile-based applications and platforms. Many business functions are processed on smartphones in China, and while there are certainly areas where desktop applications are still accepted (data analytics for example) productivity, finance, sales and other SaaS areas are more likely to succeed if they are useful on the small screen.

Large enterprises continue prefer private cloud SaaS

As it sits today, the SaaS model can be challenging for many large Chinese enterprises that have largely adopted private clouds – but that is changing. Until SaaS is more fully embraced by these large Chinese companies, SaaS providers are working around this limitation by installing their solutions in their private clouds. Other China SaaS providers offer desktop versions of their solutions, which can be more attractive to enterprises.

There are two main reasons why private clouds are preferred: enterprises often have their own complex processes and requirements that they are unwilling to bend; and regulatory, security and trust considerations make private clouds a much safer bet for Chinese enterprises. SaaS providers – local or foreign – that want to go after certain large Chinese enterprises are going to have to be comfortable going after custom deployments inside of private clouds.

The pricing model of China SaaS solutions is also a heavy sticking point for many enterprises in China – both large and SMEs. The majority of Chinese companies will demand a perpetual license model, e.g. paying for software once for a lifetime license. Additionally, companies often prefer a company-wide deal and do not want to buy on a per-seat basis. Again, a perpetual license is hard to line up with the subscription pricing model that Western companies and their investors prefer. So even if an enterprise buys a true, public cloud SaaS solution in China, they are unlikely to be “true” SaaS customers as they will not be paying monthly, annually or even bi-annually.

Let’s take a brief look at one high-growth sector in China – healthcare – to see what types of SaaS will be hot in 2021. Healthcare is a good example of different sized customers adopting different types of SaaS. While larger, public healthcare networks in tier-1 cites have implemented healthcare information management SaaS solutions, private healthcare providers are more interested in solutions on the business side of healthcare, including marketing. Moving forward, robotic process automation (RPA) and artificial intelligence applications are likely to gain traction in 2021.

In all, SaaS adoption in many sectors in China is on the rise, and Western providers that are looking for a high growth market in 2021 and beyond should start taking at least their first steps into China soon.