Eddie Zhao

International Business Development Manager at the Victorian Chamber of Commerce and Industry

After hundreds of infants suffered from kidney stones due to contaminated baby formula, questions about safety in Chinese-made baby products are rife. Chinese consumers are increasingly wary of home grown products. Instead, they are demanding quality from overseas as a guarantee of safe and healthy products – which is good news for the Australian export industry.

Conservative consumers on product components

According to marketingtochina.com, in five years, the baby products market has grown by more than 250 per cent, with sales of more than $75 billion. They state how the emergence of the Chinese middle class has enabled couples and parents to have high purchasing power and to offer their children a better quality of life through the purchase of healthy products. “This awareness for hygiene allows the development of new product segments such as skin care, hair products and baby wipes,” reports marketingtochina.com. “However, the quality of local products varies enormously and does not fill its potential purchasers with trust.

“As a result, parents’ consumption behaviour has changed, and foreign brands have gained popularity in the country. Mothers are looking for products made from natural products that meet international health and safety standards. Foreign brands benefit from a trust and a secure image on the part of these individuals who are willing to pay more for quality and healthier products for their babies.”

Aromababy: a Victorian success story

Catherine Cervasio is the founder of Aromababy Natural Skincare, an Australian made skincare brand for mother and child, launched in 1994. She is a pioneer in the natural and organic personal care space and became involved in the China market over a decade ago.

Aromababy is the world’s first mother and baby skincare brand to focus on the use of natural and organic ingredients combined with neonatal research. Innovative formulations were developed, free from chemicals and fragrances thought to be linked to eczema, skin irritations, sensitivities or that have potential health concerns.

“As many as one in four babies suffer from eczema or skin allergies across parts of Asia, just like in Australia,” says Cervasio. For me, China was a natural next step for my product. We had been exporting to other parts of Asia including Hong Kong and Singapore for more tan a decade when we were first contacted by a Chinese distributor. I remember my first trip to Shanghai for an expo back in 2008. I cannot explain the feeling when you actually see your products being displayed in a new country for the first time.

In China, despite the obvious size of the opportunity – with a population of more than 1.4 billion, it’s generally challenging to get noticed. Brands from all over the world want to export to China, but here it is critical to have a strong point of difference fused with a long-term business strategy. Being successful in China rarely happens overnight; instead, patience and persistence are needed. When we launched in China two decades ago, there was no e-commerce, no ‘influencers’ – it was all about building brand awareness through retail engagement. These days whilst it is an entirely different ball game, it is still vital to get on the ground and understand both consumer needs and buying habits.

I travelled to China every month last year. I have missed flights, lost luggage, been stuck in traffic for two hours and cried many times. But at the end of the day, I feel so passionate and excited about working in the China market. I love the people, the culture and the food. I also love the challenge, which encourages personal growth by forcing me out of my comfort zone. Fast forward ten years and Aromababy’s focus has switched from retail to online. Despite the many changes, consumer engagement and connection to our customer is still at the heart of what we do. At the end of the day, it is all about making a difference. Through Aromababy I can offer solutions for sensitive skin, teach baby massage and encourage self-care for mothers in China, all whilst creating an income. I couldn’t think of a better way to work.”