International branches of Hylink give online advertising the Chinese touch

From his 25th-floor office in The Shard, London's tallest skyscraper, James Hebbert, UK managing director of Hylink Digital Solutions, has a bird's eye view of the UK capital. But his vision extends far beyond London and the UK itself, to cover the whole of continental Europe.

As the first independent Chinese digital advertising agency to go West, Hylink helps international and domestic brands navigate the "intricate spectrum" of digital advertising across tech, beauty, travel, and FMCG (or fast-moving consumer goods) sectors.

In doing so, Hylink has been imparting momentum to the larger Chinese digital advertising sector and winning the trust of global clients, particularly those in London, New York and Los Angeles.

Hylink started off first in Beijing in 1994. Now, it is a multibillion-yuan Shanghai Stock Exchange-listed company.

From 2014, the company began expanding by setting up overseas offices, which offer customized marketing plans for South Korean, European and US companies entering China, and Chinese enterprises foraying into those markets.

Hebbert thinks now is the right time for Chinese advertising firms to expand abroad and start to build their reputation globally.

"It has been a very interesting journey so far. In the previous years, the trend was that many Western (marketing) companies were moving to the East. Now times are changing and confident Chinese companies are going global and moving (to the) West," he said.

He cited the June-July soccer World Cup in Russia as an example. "It was the first time for the world to see more Chinese brands at a World Cup. In the future, we'll see even more Chinese brands. It's the beginning."

He predicted demand for overseas marketing strategies will soar in China as more Chinese companies are selling abroad.

"Some people in the West are still unaware of the China tech giants that are driving innovation. With Tencent, Baidu and Sina as Hylink shareholders, we have strong relationships with Chinese media platforms," Hebbert said.

"But our mission is very simple. We are a two-way culture bridge helping the UK and (continental) Europe to have more access to the China market.

"I believe the UK needs to look at the bigger picture, especially with the uncertainty around Brexit next March. We need to recognize and embrace new opportunities especially as China goes global with ambitious plans such as the Belt and Road Initiative."

Two Chinese employees discuss business strategy at the Hylink London office. [Photo provided to China Daily]

The UK needs more possibilities outside of Europe. And China is opening its arms to global partners. Against this backdrop, there is a profound market potential for Hylink, he said.

"Lots of European brands are eyeing the China market, but they are not fully equipped to serve or attract Chinese consumers. So, there's a huge opportunity for Hylink. Also, we see the new confidence in Chinese companies, especially in the digital space. It's an interesting challenge to make them influential."

Hebbert brings to his Hylink job the experience he gathered in senior roles at bigname agencies such as Mountainview Learning, Seatton and as chief of staff to the global CEO of Ogilvy & Mather based in New York. One of the reasons he joined Hylink was that compared to Western advertising agencies going to China, it was far more visionary and exciting to do the opposite, he said.

"I was first attracted to China because it's the only market that's growing and it has always been an exciting place. Joining Hylink was a no-brainer for me."

More so because Hylink places high value on openness, something that has helped bring success, he said. "There are about 500 Chinese companies in London, and I believe I'm the first British managing director of a Chinese corporation in the UK," he said. "The company's founder Su Tong is very open-minded about growing organically and values the importance of hiring locally."

Since the end of 2017, Hylink's Hebbert-led London office has focused on culture, travel, luxury, fashion and retail sectors. Its big-name clients include the British Museum, the London Symphony Orchestra, luxury goods store Harvey Nichols and other boutique brands.

Hylink is also helping Chinese cosmetics, technology and automobile enterprises with branding activities in the UK. It is also looking to set up branches in Berlin and Paris next year.

Being a relative novice in Western markets, Hylink has been dealing with multiple challenges like the Chinese stereotypes that exist among prospective London clients.

"The UK clients are more skeptical, especially when the stereotype of made-in-China was still there," he said. "I'm proud to change the stereotype to show that as a Chinese company we are professional, innovative and creative. Market education is very key here."

That sustained effort has paid off. In 2017, the company notched up 8.2 billion yuan ($118.5 million) in sales revenue, up almost 24 percent year-on-year.

Xiao Mingchao, CEO of Trendsbigger, a digital marketing consultancy, said the Belt and Road Initiative packs in huge potential for the growth of the Chinese advertising industry.

"Our research found that most of the companies have been keeping a close eye on the progress of the BRI projects. Some 86 percent of the surveyed companies have a deep understanding of the initiative, and about 70 percent of them are sure they would increase investment in the BRI economies," he said.

"It is an inevitable trend. Chinese companies will seek to serve the economies involved in the initiative. However, at present, most of them are engaged in trading goods, technology, research and development projects. There is a void in advertising and creativity-related culture industries. This means, there's a great potential for growth."