Better Localization

Complaints, negative TV reports, or even lawsuit… these happened simply because the companies didn't provide translations in Chinese while the consumers thought they should.

A bit of background

To understand what I will talk about herein and what are happening in China, you may need to know two "local stuffs" at first.

1) CCTV. This is the abbreviation of China Central TV station. CCTV is the most powerful media in China. I cannot give an example of its peers in North America or Europe to illustrate how powerful it is, because I believe that it has no rival in this sense. Just imagine that it has about one billion regular audiences, and people usually think it represents the nation.

2) 3-15, or 3.15, March 15. (No, not a national holiday.) It is Consumer Right & Interest Protection Day in China. From the early of March to the week of March 15, China government agencies take strong actions in campaigns against the businesses that haven’t followed the Consumer Right & Interest Protection Law. During that time, all media, from newspaper to TV, buzz about the cases of how bad businesses make bad money, by damaging the right and interest of customers, and how the government and people are fighting with them.

CCTV Channel 2 (CCTV2)’s 3-15 serial programs, which ends with a grand 3-15 evening on March 15, has been one of the most influential TV shows in China for many years. In case a large business is unfortunately reported by CCTV’s 3-15 program, it must lose million dollars or simply go out of business right away.

The story

Based on the above "local specific" knowledge, you will understand what it means when CCTV2 mentioned the following in its 3-15 program on this March 8.

A Mr. Qiang Chen sued KLM Royal Dutch Airlines because KLM provided him with only tickets in English, without Chinese translation included, on April 25 2005. He stated that,
- if the airlines prints these rules in Chinese (instead of only English on the ticket), he would know the compensation rules regarding lost checked luggage.

- if he knew the compensation standard for lost luggage (US$20 per kilogram), he would not check his luggage which including a laptop computer.

- if he didn’t check the luggage, he would not lose so much.

In addition to giving compensation to cover his loss, he appealed that the airlines shall include Chinese for all content on the ticket, to protect his right and other Chinese passengers’ right to know the full story.

The airlines agreed to give compensation but they refused to add Chinese to their tickets, because who designed and printed the tickets is International Air Transport Associate (IATA). Virtually all tickets for international fights are printed in this format, in English only.

Mr. Chen insisted the laws entitle consumers the right to know the terms and conditions before they purchase anything. KLM shall follow the laws of China when they sell their services in China.

More...

Before telling the audience the outcome of this suit, the TV host called audience attention to the fact that KLM is not the only one who doesn’t provide information in Chinese, with the follow recorded scenarios.

a) People complained IKEA printed bill in English, and they cannot read it easily. A lady said she learnt English, but she still had difficulty in reading the bill, because all texts are in capital letters.

When CCTV reporter asked why IKEA doesn’t provide the bill in Chinese, an IKEA manager proudly replied: we are an international company. Our information system are designed for global operation and all data are in English… The bills are in English for any place.

b) People complained they can not understand the small prints on the back of consignment bill of TNT Express because all text are in English. A TNT courier said with smile: I don’t know what it says but I know how to fill these blanks…

When CCTV reporter asked whether TNT might provide the Chinese translation for the terms and conditions of consignment, a TNT manager answered firmly: no, we cannot provide it. We don’t have any Chinese translations… yes, all of our consignment bills are in English, for any country.

The outcome

Based on the above cases, the 3-15 program host gave her comments in a serious tone. The comments are long somehow but the points are simple: the consumers have the right to know. To ensure the right to know, they have the right to receive product or service information in their mother language: Chinese. International business of global operation cannot be the excuse for not providing the consumers with information in Chinese, in their local operation in China.

Don’t misread these comments as an anti-globalization statement of CCTV. In fact they demonstrated incredible friendliness to these global companies in the remained part of the program. I said it’s incredible because CCTV reporters seldom give the companies interviewed for 3-15 program chance to gracefully face the lens at the end.

With a pause after the above comments, the host smiled and said things are going better and better, because more and more companies are getting aware of the problems and are taking actions to address the issue.

- Mr Chen withdrew the suit again KLM Royal Dutch Airlines when the airlines, together with IATA, promised to provide all passengers with an option to print e-ticket in Chinese (or other language they prefer) by the end of 2007, when the traditional printed/paper tickets will be obsolete totally.

- The head of IKEA APAC flied to Beijing for making a promise to CCTV audience that they will provide the bill in Chinese when their new Beijing shop opens in this April.

- The TNT manager changed her mind totally and got very happy in speaking to the audience that they are re-designing and re-printing the consignment bill and the new bi-lingual copy will be put into use very soon.

What are happening ?

It is a pity the program didn’t disclose how CCTV reporter helped the TNT manager change her mind quickly, with a localization client education course, or something else? Despite this, I want to say this program is the best client education material that I have ever found regarding the importance and necessity of localization, not only for China but also any other market.

In 1980s when China just opened its door to the world, a Chinese would be proud for getting any good item with English or any other foreign languages printed. S/he will be even more proud if she could read that text. The foreign companies were seldom, if not never, provide label or manual in Chinese during that time.

Then the government got aware that there are too many problems in importing some certain goods, without documentations translated. Ministry of Health published regulation No. 40771079018 Management of Imported Medicines in 1990. This regulation requires that all imported medicines for sale must provide Chinese documentation.

In the No. 5 regulation of the Ministry of Information Industry that was published in 2001, it states that all commercial software products shall include complete user’s manual in Chinese. In another regulation published in the same year, Ministry of Information Industry requires all telecom products that are connected to the national network shall include Chinese documentation.

Finally the Consumer Right & Interest Protection Law took effect from January 1st 1994. The law particularly states the consumers may demand Chinese label and manual for any goods or services they purchase, in the Item 8 about right to know.

That means a company can be sued if it sells a consumption product without proper Chinese documentation on the market. In fact KLM Royal Dutch Airlines is not the only business that was sued for this reason. Same in 2005, a user sued Shanghai Online, a subsidiary of China Telecom, because (among some other reasons) his service was terminated unexpectedly when he ignored the notice emails from Shanghai Online, which is in English.

If these lawsuits are not enough, CCTV2’s 3-15 program on March 8 is a clear signal that Chinese consumers have changed significantly comparing to 1980s or 1990s: They are getting aware that they have the right to read in Chinese, when they buy in China as consumers. More and more people know the right to read in Chinese is part of the right to know, and it is backed by law. They will be more intending to take strong actions including lawsuit to protect their rights, when they see necessary.

It is time to change

If you have an impression that Chinese people are not like Japanese customers, who may refuse to buy the product because it doesn’t include a translated manual, or not like some of the US consumers, who may sue the business for a product flaw and demand a huge sum of compensation, it is time to change the mind. China is changing quickly and so do the market and Chinese consumers.

You don’t have to worry about missing CCTV2’s 3-15 program on March 8. Based on the feedback from some readers, I plan to write a little more about China, Japan and other Asian markets. After all, very few globalization directors or localization managers could watch CCTV2’s 3-15 program but they can check out my blog regularly.

Posted by Vic at 17:12:47. Filed under: Vic Dickson