What: P&G leverages China's fastest-growing shopping app Douyin to rebuild market share, restructuring its influencer network and brand messaging to appeal to value-conscious consumers.

Why it is important: The move highlights the increasing importance of platform-specific strategies in China, as traditional retail channels give way to social commerce and livestreaming platforms for consumer engagement.

Procter & Gamble is revitalising its presence in China through a comprehensive marketing overhaul on Douyin, focusing on enhanced influencer partnerships and strategic brand messaging. Following a 15% revenue decline in the quarter ending September 30, P&G has been actively revamping its marketing approach and influencer roster, with particular success for its Pantene brand in the haircare category. The company is expanding its presence across multiple e-commerce platforms, building dedicated brand houses on Douyin, and strategically employing influencers like Ni Bi Yi and Chou Dan to promote products. This digital transformation extends beyond Pantene to other brands like Olay, which offers significant discounts through livestream shopping events. The strategy reflects P&G's adaptation to changing Chinese consumer behaviour, where traditional brick-and-mortar retail is increasingly giving way to social commerce platforms that offer both entertainment and competitive pricing.

IADS Notes: P&G's strategic pivot to Douyin reflects broader shifts in Chinese retail observed throughout 2024. As noted in February 2024, social media has become crucial in transforming China's retail landscape, with interest-based e-commerce increasingly driving consumer engagement. This aligns with findings from October 2024 showing how brands are successfully leveraging social commerce platforms for customer acquisition. The company's focus on influencer partnerships and livestreaming corresponds with January 2024 research identifying user retention on e-commerce platforms as a key trend. P&G's approach particularly resonates with evolving Chinese consumer preferences, as April 2024 data showed increasing prioritization of entertainment in retail experiences. This digital transformation comes at a critical time when Chinese consumers are becoming more value-conscious and selective in their brand choices, making P&G's enhanced digital strategy on Douyin crucial for rebuilding market share.

Procter & Gamble turns to TikTok to reverse China sales slump