In the post-crisis era, where will Liubian companies go?
In the world of Liubian crafts exports, Shandong is often the first name that comes to mind. Linyi, Yimeng, and Luancheng in Shandong are well-known for their export of traditional willow weaving products. However, in recent years, the industry has faced significant challenges due to global economic fluctuations and shifting market demands. How can our company, as a key player in this sector, adapt and thrive in such a competitive environment?
One major challenge is the slow recovery of foreign markets. Despite a gradual global economic rebound, high unemployment rates in Europe and the U.S. continue to suppress consumer demand. For example, the U.S. unemployment rate was expected to remain between 9.3% and 9.7% in 2010, only gradually decreasing to around 8% by 2012—still significantly above the typical range of 5% to 6%. This weak consumer spending remains a long-term issue, making it difficult for exporters to see immediate improvements.
Another issue is the rising cost of production. In 2010, many Liubian companies faced labor shortages, which led to increased wages and pressure from potential currency appreciation. At the same time, the cost of raw materials continued to climb, pushing some manufacturers to relocate to countries like Vietnam and India, where labor costs are lower. These shifts have weakened the price competitiveness of Chinese Liubian products in the global market.
Additionally, most of the export products are still based on OEM (Original Equipment Manufacturing) models, with limited brand recognition and an incomplete supply chain. China is a major producer of willow weaving, but it lacks large-scale manufacturers, skilled talent, and strong branding—this is the biggest obstacle to sustainable growth.
To overcome these challenges, leveraging e-commerce has become a crucial strategy for Liubian companies seeking overseas orders. Building a strong online presence can help establish credibility and reach international customers more effectively.
One way to enhance brand visibility is through digital marketing techniques such as search engine optimization (SEO), paid advertising on platforms like Google AdWords, and affiliate marketing. SEO helps position your website higher in search results, making it easier for potential buyers to find your products. Google AdWords targets users who are actively searching for products, increasing the likelihood of conversion. Affiliate marketing, on the other hand, allows you to expand your sales channels by partnering with influencers or websites that promote your products in exchange for a commission.
To build trust in overseas markets, companies should adopt localized strategies. This includes registering local domain names, designing websites that align with regional browsing habits, and engaging directly with customers via email. A localized domain improves site speed and user trust, while a well-designed website enhances customer experience and ensures security.
Email marketing is also a powerful tool, especially in Western markets. It’s one of the most effective and traditional methods in e-commerce, with proven ROI. Well-crafted emails can drive traffic to your site, track user behavior, and measure key metrics like open rates, click-through rates, and conversion rates.
Finally, building a strong brand requires more than just online visibility—it involves creating emotional connections with consumers. Social media platforms like Facebook, Twitter, and YouTube play a significant role in shaping consumer behavior. By using these platforms for marketing and combining them with traditional media, companies can reinforce their brand image and build lasting recognition globally.
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