The Value Beneath Haggling

Reaching a good deal when it comes to making a purchase is always preferable within every
individual; who would rather pay full price, as oppose to enjoy the benefits of having the same item
when it's 30% off? This simple concept however, whether we are aware or not, goes much further in the
minds of a Chinese consumer. Shadowed by the Chinese social-economic goals and mentalities of
chasing superiority, achieving the greatest success, and ultimately winning, there is definitely a set of
unique cultural values created.

It is rooted deeply within our intuition to beat the system - this concept is the same when
consuming. There is a lack of satisfaction until we can "beat the system," and the value cannot be
optimized until we do.

In the same way how individuals communicate their persona through various forms of art and
creative writing, Chinese consumers also have different methods of expressing this intuitive desire.

In a Chinese oriented environment, those who are aggressive will haggle ferociously with the in-
store owner for a deal that would seem to be unable to meet gross margins and unfathomable to
Westerners. Pooling together the strategic knowledge of these seemingly relentless hagglers would be
enough to publish a hefty book! On the other hand, the more passive Chinese consumer will constantly
browse online catalogues, search for sales on blogs and social media channels, and compare the prices
until they feel that they have found an exclusive and superior deal. This pattern is omnipresent from
purchasing clothing, to having their tires changed at an auto shop.

Realistically, the efforts spent only translates to savings of 5% to 10% on the lowest price a
retailer is willing to go. However, the hidden value within these transactions is a sense of
accomplishment. The accomplishment that one has successfully achieved the best deal that not many
other people could achieve and it is not enough to have a discount directly presented to the Chinese
consumer. When this occurs, there is an excitement since the consumers' intuitive desires are fulfilled
and this will create a positive impression on the serving businesses' image.

As many people know, the key to successfully reaching out to consumers is knowing their
values. However, values aren't always universal and globalization is always adding complexity to this
assessment. How are you going to adapt?