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Companies learn to innovate
By Xu Wenwen |
August 26, 2010, Thursday
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Print Edition
Print Edition
SOME of Hangzhou's best known companies have realized that they can't rest solely on a solid reputation and good quality products anymore as increasingly sophisticated customers want more. This means innovation, reports Xu Wenwen.
Love her, buy her a beauty set" - the slogan advertised around Chinese Valentine's Day was not for cosmetics, but for a beauty kit made by Hangzhou Zhang Xiaoquan Scissors, one of the largest scissors manufacturers in China.
Zhang Xiaoquan Scissors, founded in 1633 and reputed for its long history of making high-quality scissors and knives, is selling more types of ironwork - the beauty set that includes a nail clipper and eyebrow tweezer is just one kind.
The company has recently started selling cookware, tableware, office supplies and army knives, expecting to enliven the old brand and generate more profit by expanding its product line.
Zhang Xiaoquan is not alone. Many Hangzhou manufacturers are seeking to transform and upgrade due to fierce competition. While some concentrate on product innovation, some alter focus from pure manufacturing and selling to developing experimental tourism.
Wangxingji Fan Company is an export-oriented enterprise and one of China's time-honored brands that produces top-notch fans. Though doing fairly well, the manufacturer is exploring new ways to boost business.
Since it was designated to produce souvenirs for the 2008 Beijing Olympics, Wangxingji created a series of fans featuring Chinese-style patterns, like dragons, Peking Opera facial masks and the Olympic mascots, Fuwa.
The company started making fans with images of Haibao and the Oriental Pearl TV Tower after gaining authorization from the organizer of World Expo Shanghai.
"By using different images it has helped widen the market," says Wang Jianhua, vice general manager of Wangxingji Fan Company. The company's fans were once adorned with landscapes of West Lake.
This year, the company held a creative fan competition, and the content included fan leaf art, fan shape and styles, along with innovative functions.
"We want our fans to be keepsakes for Hangzhou's tourists," Wang says.
Earlier this month, the company set up a fan culture park in its new mall. It offers people the chance to appreciate fan culture, see the whole process of making a fan, and make their own fan.
These companies and others are looking for new ways to boost business due to fierce competition. By attaching more cultural meaning to products, the company elevates their value.
"The key to break the bottleneck is to innovate," says Cao Zengjie, secretary general of Hangzhou City Brand Promotion Community. "These old brands have great cultural and artistic value and this means they have great potential to develop."
Wensli Group, which manufactures silk, textiles and garments, boosted the artistic value of silk by endowing it with more cultural meaning, shown by its hit product - the blue-and-white-porcelain dress worn by female medal presenters at the 2008 Olympics. As one of the few domestic silk manufacturers featuring a gift company, Wensli has tailor-made ties and scarves for big brands like Alibaba, Huawei and Geely. Its latest plan is to cooperate with China National Philatelic Corporation and print valuable stamps on silk items to improve their collectibility.
High Fashion (China) Company, another local silk textiles and garment manufacturer, is developing experimental tourism as well.
The High Fashion (China) Silk Park, set up two years ago, has received over 10,000 tourists each year since opening. Tourists can learn how silk is made - from a silkworm's spinning to the end product. Meanwhile, the park boasts China's biggest silk mall - Silk World.
Covering 20,000 square meters, Silk World sells products from ties to pajamas.
"Keeping up with the times refreshes buyers," Cao says. "The key to showing the uniqueness of a product is the appearance of innovation.
"Some old manufacturers have ignored package design and some still sell the same old stuff, which is not correct," Cao adds. "Market segmentation can make these products go further."
The Hangzhou government pays attention to these innovative enterprises. Last year, the municipal government awarded "Hangzhou Old Brand" to 78 time-honored local businesses, of which 13 are in the artistic industry.
Meanwhile, the annual Hangzhou Tourist Souvenirs Election Competition offers companies a platform to exhibit their creations. The Industrial Arts Protection Foundation encourages old firms to innovate.
Moreover, all the expositions held in the city, such as the annual West Lake International Expo, are a great platform to show local artworks to the world.
Love her, buy her a beauty set" - the slogan advertised around Chinese Valentine's Day was not for cosmetics, but for a beauty kit made by Hangzhou Zhang Xiaoquan Scissors, one of the largest scissors manufacturers in China.
Zhang Xiaoquan Scissors, founded in 1633 and reputed for its long history of making high-quality scissors and knives, is selling more types of ironwork - the beauty set that includes a nail clipper and eyebrow tweezer is just one kind.
The company has recently started selling cookware, tableware, office supplies and army knives, expecting to enliven the old brand and generate more profit by expanding its product line.
Zhang Xiaoquan is not alone. Many Hangzhou manufacturers are seeking to transform and upgrade due to fierce competition. While some concentrate on product innovation, some alter focus from pure manufacturing and selling to developing experimental tourism.
Wangxingji Fan Company is an export-oriented enterprise and one of China's time-honored brands that produces top-notch fans. Though doing fairly well, the manufacturer is exploring new ways to boost business.
Since it was designated to produce souvenirs for the 2008 Beijing Olympics, Wangxingji created a series of fans featuring Chinese-style patterns, like dragons, Peking Opera facial masks and the Olympic mascots, Fuwa.
The company started making fans with images of Haibao and the Oriental Pearl TV Tower after gaining authorization from the organizer of World Expo Shanghai.
"By using different images it has helped widen the market," says Wang Jianhua, vice general manager of Wangxingji Fan Company. The company's fans were once adorned with landscapes of West Lake.
This year, the company held a creative fan competition, and the content included fan leaf art, fan shape and styles, along with innovative functions.
"We want our fans to be keepsakes for Hangzhou's tourists," Wang says.
Earlier this month, the company set up a fan culture park in its new mall. It offers people the chance to appreciate fan culture, see the whole process of making a fan, and make their own fan.
These companies and others are looking for new ways to boost business due to fierce competition. By attaching more cultural meaning to products, the company elevates their value.
"The key to break the bottleneck is to innovate," says Cao Zengjie, secretary general of Hangzhou City Brand Promotion Community. "These old brands have great cultural and artistic value and this means they have great potential to develop."
Wensli Group, which manufactures silk, textiles and garments, boosted the artistic value of silk by endowing it with more cultural meaning, shown by its hit product - the blue-and-white-porcelain dress worn by female medal presenters at the 2008 Olympics. As one of the few domestic silk manufacturers featuring a gift company, Wensli has tailor-made ties and scarves for big brands like Alibaba, Huawei and Geely. Its latest plan is to cooperate with China National Philatelic Corporation and print valuable stamps on silk items to improve their collectibility.
High Fashion (China) Company, another local silk textiles and garment manufacturer, is developing experimental tourism as well.
The High Fashion (China) Silk Park, set up two years ago, has received over 10,000 tourists each year since opening. Tourists can learn how silk is made - from a silkworm's spinning to the end product. Meanwhile, the park boasts China's biggest silk mall - Silk World.
Covering 20,000 square meters, Silk World sells products from ties to pajamas.
"Keeping up with the times refreshes buyers," Cao says. "The key to showing the uniqueness of a product is the appearance of innovation.
"Some old manufacturers have ignored package design and some still sell the same old stuff, which is not correct," Cao adds. "Market segmentation can make these products go further."
The Hangzhou government pays attention to these innovative enterprises. Last year, the municipal government awarded "Hangzhou Old Brand" to 78 time-honored local businesses, of which 13 are in the artistic industry.
Meanwhile, the annual Hangzhou Tourist Souvenirs Election Competition offers companies a platform to exhibit their creations. The Industrial Arts Protection Foundation encourages old firms to innovate.
Moreover, all the expositions held in the city, such as the annual West Lake International Expo, are a great platform to show local artworks to the world.
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