Cheng Kuo, Jenn-Jia Huang
TV shopping, advertising appeals, central route and peripheral route persuasion
Television shopping in Taiwan has gone through a downturn since its first launch in 1992. Starting 1999 the EHS(東森購物) group entered the TV shopping business with a new model in running the business, and it turns out to be a success, as indicated by its soaring annual revenues from 0.5 billion NT dollars in 2001 to 28 billion NT dollars in 2005. The annual revenue of TV shopping in Taiwan has grown to 50 billion NT dollars by the year of 2011. As a result, another three shopping channels, MOMO, ViVa and Ulife are attracted to enter this highly profitable market in 2010.
The development of TV shopping business across the strait in mainland China has undergone a rather similar experience to that of Taiwan. The revival of TV shopping business in China began with a joint adventure between a Korean enterprise and the local Cantonese government in 2003. Followed by other enterprise groups from USA, Korea, Japan and Taiwan, each of them found a local partner and start to run their TV shopping channels in Jihlin, Beijing, Hunan, and Shanghai. The annual revenue of TV shopping in China has grown to 57.8 billion RMB by the year of 2012, and it is estimated to soar to 500 billion RMB by the year of 2020, since the market is still growing strongly.
Both qualitative and quantitative methods were utilized in data collection so as to investigate and compare the various selling strategies used the TV shopping programs in four cities across the strait. Results from the analyses indicate that Taiwan’s TV shopping programs were more developed than those of the mainland China, as a result, the selling strategies and persuasive skills presented in Taiwan’s TV shopping programs were more versatile and multi-faceted.