The Negotiation

This episode of The Negotiation features part one of a two-part series with Morgan Keldsen, renowned international business development, and retail expert. With a career spanning over two decades, Morgan has worked with some of the biggest names in the industry, including Nike, Converse, and Vans. Today, he offers his expertise to organizations in the athletic and fashion lifestyle space, helping them navigate the complex business landscape of the Asia-Pacific region.In this episode, we learn about Morgan's background, how he got into China and began working with Nike, and what makes the brand so iconic around the world. Morgan also shares his insights on the challenges he faced while working with the Jordan brand and how he navigated them. Additionally, we dive into the importance of localization in product design, marketing, and merchandising, and how it differs between different consumer markets in Asia. Whether you are a seasoned business professional or just starting out, you can’t afford to miss this enlightening conversation with Morgan Keldsen. So, sit back, relax, and get ready for part 1 of The Negotiation with Morgan Keldsen. Enjoy!Topics Discussed and Key Points:What makes Nike an iconic brand Morgan's work and achievements with the Nike brand in AsiaConsumer market nuances in AsiaWhy it's important to find ways to appeal to local consumersThe different ways to find business success in the athletic and fashion industryLocalization of product design, marketing, and merchandising Consumer offline shopping in Japan versus that of  Vietnam and SingaporeThe effects of DTC on the merchandising of productsThe challenges of launching the Converse brand in AsiaNotable Quotes“As I was getting ready to go to college, Mom said, " you know, French is nice, but you're gonna have to get a job. You should think about the future, and Asia is the future.”“My whole goal was to see if there was a way to work for a big American company to help crack the China market. And as you all know, looking back at China in 1991, it was a very different landscape than where we are now.”“The thing that I'll always say about Nike, that I'll always have the utmost respect for the brand is the focus on innovation in all regards. So obviously the product - but when you look at the marketing and retail and digital, they really are world-class.”“Being in Asia in the late nineties, early 2000s, those were the earliest days of Nike sportswear really coming to birth and we were allowed and took advantage of making a lot of great collaborations with Japanese streetwear artists, creatives. We did all the initial Chinese New Year products for China as we were first coming out.”“The time I was managing the Jordan brand, I was also managing Nike basketball. So, I was in a bit of a hybrid role at that time. The Jordan brand was still a relatively small part of the business globally, unlike today.”“We were blessed with so many resources, but at the same time, there's a lot of attention and pressure. So, it's a challenge in that way, but it's more managing the opportunity than scratching out and trying to create something from nothing.”“I think when you look at North Asia, if you look at Japan, China, Korea, there's a real synergy between the markets as far as influence goes, whether it's music or art that does influence, this space for products.”

This episode of The Negotiation features part 2 of our conversation with Igor Duc. Igor is the Founder & CEO of Native Union, a consumer electronics accessories company that combines the finest hand-picked materials, thoughtful design, and considerate details to create products with personality, empowering the modern lifestyle.Today's episode continues our conversation with Igor, as we talk more about omnichannel retail and marketplaces, premium branding and pricing, and the future of retail and commerce. We finish the chat by discussing environmental sustainability.Topics Discussed and Key Points:Omni-channel and marketplaces Why Hong Kong's retail industry is still relevant todayPremium branding and pricing Insights and nuances of the consumer electronics accessory spaceThe future of retail and commerce around the world The purpose of retail today Why modern retail must be thoughtful and design-orientedEnvironmental sustainability Notable Quotes“It's much more difficult to sell a premium product and experience when your product is not well displayed.”“We are not very good and we absolutely have to adapt our game online. But I believe, that we could do it, we could completely sell the craftsmanship, the attention to detail online.”“It's probably more difficult to be selling premium than a luxury in Asia and to be selling premium than [mass market].”“People say, oh, I created a brand. I don't think you create a brand. I think you create products and you become a brand”“If the right people see you in the right places, that will make you a cool brand. So you must be careful not to be in the wrong places and be good enough to interest the right places”“If your consumers care for brands that do high-quality crafted products, I think these consumers could be all over the world..”

This episode of The Negotiation features part 1 of our conversation with Igor Duc. Igor is the Founder & CEO of Native Union, a consumer electronics accessories company that combines the finest hand-picked materials, thoughtful design, and considerate details to create products with personality, empowering the modern lifestyle. In today’s episode, we caught up with Igor to learn more about why he chose to base his business in Hong Kong, the impetus behind Native Union, and his goal to enhance the way we live with technology. We also explore the consciousness of consumers today, how it has developed over the years, brand legitimacy, and other engaging topics. Enjoy! Topics Discussed and Key Points:●       Why Igor created a brand in Hong Kong●      The story of Native Union's conception●      Dealing with counterfeit products●      Why Native Union almost died ●      How to deal with trademark and copyright infringement issues for new brands entering Asia and the APAC region ●      The consciousness of consumers today Notable Quotes“I could qualify myself as a creative person but without creative talent. And fortunately, since I started my professional career, I've always tried to surround myself with talented, creative people."“Hong Kong can offer probably even more vibrant outdoor experiences than the very interesting city centre. I loved Hong Kong so much that I decided to craft a life project around relocating here.”“It's very unconventional to create a brand in Hong Kong. I don't think you can name any brand that you know that was born in Hong Kong."“At CES< there is a world of technology, but it is a world of utilitarian technology, kind of boring technology. We came up with something fun, and colourful, and it had never been seen before. .”“I think people should think about and spend on what they use intensively every day. That's the smart thing to do.”“It's much better to buy a premium cable. It is maybe 30%, 40% more expensive than the cheap mass one. But that's going to last you five years,  instead of buying five cables every year.”

In this episode of The Negotiation, we feature Part 3 of our conversation with legendary APAC marketer and thought leader Dave McCaughan. Dave has spent the last three decades in the Asia Pacific, in senior management roles with McCann, one of the world’s biggest advertising agencies. He joined McCann in 1986 in his native Sydney, where he built the Strategic Planning function, and since 1995 has been based in Bangkok, Hong Kong, and Tokyo, leading regional strategy and communications campaign development for clients like Coca-Cola, MasterCard, Nestle, Cathay Pacific, Sunstar, Hitachi, Johnson & Johnson, and many others. In 2015 Dave launched BIBLIOSEXUAL, which works with brands to bring together his long-term passion for understanding the relationship between form and content. In this episode, we conclude our extensive discussion by talking about Dave's time at Coca-Cola, how he got ads approved in the Chinese market, and, specifically, the first-ever romantic kiss seen on Chinese television. We also talk about how brands should approach countries in Southeast Asia (which are all different from one another and see significant nuances inside each country).  We finish our conversation by diving deep into AI technology -- is it going to disrupt the marketing world? Discover more by tuning in. Enjoy! Topics Discussed and Key Points:●      China's first-ever kiss ad●      Understanding local nuances - as evidenced by the controversy around Lionel Messi and the Emir of Qatar during the FIFA World Cup final ●      China's shifting demographics●      The cultural debates that go on in North America versus the rest of the world ●      Nestle’s Kit-Kat treats, and how they’ve managed to be so successful in Japan●      Is the world really homogenizing?●      How should businesses expand to Southeast Asia?●      Comedy as an underlying theme in marketing●      How shopping malls are magnets for what is happening around the world●      Cultural soft power, as evidenced by Japan and Korea●      Major  shopping events in Asia and why they resonate●      The expected impact of AI on marketing

This episode of The Negotiation features part 2 of our conversation with  Dave McCaughan. Dave McCaughan is a Marketing Thought Leader and Storyteller. He has spent the last three decades in Asia Pacific leading strategy planning and in senior management roles with McCann, one of the world’s most successful advertising agencies. He joined McCann in 1986 in his native Sydney, where he built the Strategic Planning function, and since 1995 has been based in Bangkok, Hong Kong, and Tokyo leading regional strategy and communications campaign development for clients like Coca-Cola, MasterCard, Nestle, Cathay Pacific, Sunstar, Hitachi, Johnson & Johnson, and many others. In 2015 Dave launched BIBLIOSEXUAL, which works with brands to bring together his long-term passion for understanding the relationship between form and content. In this episode, we continue the discussion by talking about Japanese consumer trends, youth marketing, and how it has changed over the years, product placement and decision fatigue. Dave then shares his thoughts on how brands should pay attention to older consumers in Japan (a category with growing influence and purchasing power). Finally, we do a deep-dive into the topic of toilets, and how Dave got involved with them.  Enjoy! Topics Discussed and Key Points:●      Japan’s changing population demographics●      Manga mongers ●      Youth Marketing●      Mobile gaming as an impactful medium●      The K-Pop revolution in Asia●      The attention economy●      The silver population and how consumer brands need to engage them●      Cost of customer acquisition versus the lifetime value●      Why the future globally is all about aging populations Notable Quotes“If you watched Western movies made in the eighties, American Hollywood movies, there was a big thing that Japan was about to overtake the world. Right? It was going to buy out everything.”"The more people got used to Korea as a cool place, the more they're going to feel good about buying Korean brands.”“Statistics say that for people under 30, the number one medium that they engage in every day is mobile games - as in the amount of time they put into it. And it's usually somewhere between 3 to 4 hours a day.”“Sometimes we think of gaming as entertainment. We don't think of it as media. In the same way that we might think of television as media, right? But mobile gaming is a medium.”“The truth is that if you want to get people's attention, young, young people, particularly in Asia, the thing they're paying attention to is this the screen on their mobile phone.”“When you look at the numbers and you find out in nearly every category - yes, it might be an advantage to have a repertoire of, you know, five or six flavors. But the truth is that two flavors will always sell 80, 85, 90% of all your product.”“We're finding out that people seem to be fatigued because they're bored. Right? It's not necessarily that they are really fed up with something or that they don't like [it] - they want something else.”“The single most powerful medium in the world to get your brand success is word of mouth. It is people who like your product or your service, talking to other people about why they like it and getting them to try it.”“Very soon we're going to get to the point where 25% of the world's population is over 60.”“Other institutions have sort of shown that people in their sixties are as adaptable and probably have adapted to more new technologies [over their lives] than people under 30. Because for people under 30, there has been no major new technology for 25 years.”

Topics Discussed and Key Points:●      The Coke vs. Pepsi challenge ●      How great brands figure out what matters to people and play to that●      Why storytelling is fundamental when you are in business●      The reason Dave chose the name BIBLIOSEXUAL for his company●      Why it is important for a marketer to understand the mediums that matter to consumers ●      The potential future homogenization of the Asia Pacific region●      Japanese advertising and what flawed perceptions exist among international companies ●      Why cultural context is so important for Japanese consumers●      Cultural stereotyping and country stereotypingTimestamps [03:09] Introduction to  Dave and what he does, as well as where he is located[04:43] Dave’s background[13:59] Why “BIBLIOSEXUAL”[22:52] Dave's description of the Japanese consumer[24:48] The reason behind Japan's usage of celebrities in advertising[25:53] The misconception behind Japanese consumers' transference of identity[29:32] Do we have to present a brand as technologically advanced when we go to Japan?  Notable Quotes“My one belief is that a marketer's main role is to understand what matters to people. It's not about understanding how they use your product. It's what matters to those people.”“The term BIBLIOSEXUAL is something I've been playing around with for 20 years using in different presentations.”“When you're in business in general, when you're in the marketing business, you know, storytelling is fundamental. And so, you want to have a chance to tell a story.”“There are different mediums. Everybody has particular mediums that - for reasons we just can't figure out -  we are totally biased towards, we fall in love with, or we think ‘that's much, much better’. Right? And if you're a marketer, it's really important to understand which mediums really matter irrationally in many ways to people.”“When I lived in Japan, we did projects where we did very successful campaigns and the only thing we changed was a single line on the back of the pack.”“Japanese ads are more likely to use celebrities in ads than anywhere else in the world. It's the number one [celebrity] market in the world. And so, typically, you're twice as likely to use a celebrity ad in Japan as you are in the United States.”“[Visual] context in Japanese culture is most important. So, if you can't see the background, you can't understand the person, you can't understand why they're saying it or how they're saying something.”

This episode is our Year In Review: 2022 Greatest Hits Part 2! We've put together some of our favourite clips and moments for you to enjoy over the holidays, and look forward to seeing you again in 2023 for some of our best guests to date!The 2022 guests featured in this episode are:#1 - Louis Houdart, E150 & E151, October 5th & 12th 2022Episodes 150 and 151, released on October 5th and 12th, brought us Louis Houdart, Founder of Creative Capital. Louis is an entrepreneur, a business and investment coach, a board member and an advisor to many start-up companies. The Creative Capital China team has worked with European companies in China and helped launch little-known brands into major Western markets. By establishing pre-eminent international brand awareness and strong brand relationships, Creative Capital is one of the only firms in China focusing on widening awareness of Chinese companies beyond their home market. In this clip from episode 2, I ask Louis if he would agree or disagree, and why, with the statement that Chinese brands have met some headwinds in their attempts to be successful in Western markets, and here’s what he had to say.#2 - Jacob Cooke, E155, November 9th 2022On November 9th we brought back Jacob Cooke for our 155th episode. Jake is the Co-Founder & CEO of WPIC Marketing + Technologies, a leading e-commerce and technology consultancy that drives growth for global brands in China, Japan, and Southeast Asia. Having lived in Beijing since 2003, Jacob is a regular contributor to international media on e-commerce, retail, and technology trends in China. He’s a member of the MIT Sloan School of Management and holds an Advanced Certificate in Engineering from MIT’s Computer Science & Artificial Intelligence Laboratory. Although we brought him in to discuss the impending Singles Day shopping bonanza at the time, I was really intrigued to discuss what Douyin is doing in the market lately so that’s the clip I’ve chosen and here’s what he had to say.#3 - Karen Raghavan, E129, February 8th 2022On February 8th of 2022, we released episode 129 with Karen Raghavan, a Brand and Business Development Consultant and Growth Advisor to both heritage beauty brands and startups. She is also the Vice President of Brand Development at the natural ingredient company Purissima. Karen is a member of Chief, a private network built to drive more women into positions of power and keep them there. I asked Karen for some tactics she’s seeing used that are driving growth in China in the beauty space that Western brands should take notice of.#4 - Jeff Daggett, E142 & E143, July 27th / August 3rd 2022Released on July 27th and August 3rd, were episodes 142 and 143 with Jeff Daggett, Founder and CEO of Aisonne, a brand and retail development & management company offering brand, retail, hospitality, and licensing management services and representation in Japan and the United States. Since 2002, Aisonne has assisted a number of big-name retail brands such as Apple, Columbia Sportswear, Nordstrom, Shinjuku Takano, and NBC Universal. Jeff’s background includes over three decades of experience at leading global companies in the Asia-Pacific, specifically in investment banking, real estate, retail operations, merchandising, marketing, and general management. He also spent 6 years at Disney as VP of Consumer Products, which is why I just had to ask him, given the massive catalogue of IP and products, how difficult it was to manage the trademark and brand IP, or was that a naive question and it didn’t require managing at all?#5 - Akio Tanaka, E148 & E149, September 21st and 28th 2022On September 21st and 28th, we released episodes 148 and 149 with Akio Tanaka, Co-Founder and Partner at Headline VC. Headline VC is a technology-focused venture capital firm that sees the world’s future through the lens of exponential technologies. The aim of Headline is to identify, fund, and partner with companies who are building these new products and services—and to make them more accessible to mainstream consumers. Akio Tanaka is one of the most influential investors in Japan and has been known to be passionately committed to the local ecosystem. With that in mind, we asked him for his opinion of the entrepreneurial ecosystem in Japan, and to compare it to those of its neighbouring countries. #6 - Bill Tung, E137 & E138, June 22/29 2022Our last clip celebrating an amazing 2022 for the podcast, comes from episode 137 released on June 22nd, featuring Bill Tung, Managing Partner at Peaks Consulting, a global brand, retail, and management consultancy. Since its founding in 2015, Peaks Consulting has built an internationally recognized consultancy based on trust and relationships before business. Peaks currently serve consumers in 20 countries and counting. Bill has also served as the VP of Europe and Asia-Pacific at Rockport, VP of International Sales a Columbia Sportswear, Executive VP of International Sales at New Balance, Managing Director of Fanatics Inc, and Asia-Pacific General Manager at Clarks. This final clip is when I asked Bill, given his 13 years at Columbia Sportswear, how the outdoor equipment and apparel market has changed and evolved in APAC.We hope you enjoyed Part 2 of our 2022 Year In Review, and we look forward to seeing you all again next year. Again, from all of us here at The Negotiation and WPIC Marketing + Technologies, we wish all of you a Merry Christmas, and a Happy New Year. 

This episode is our Year In Review: 2022 Greatest Hits Part 1! We've put together some of our favourite clips and moments for you to enjoy over the holidays, and look forward to seeing you again in 2023 for some of our best guests to date! The 2022 guests featured in this episode are:#1 Patrick Deloy, E146 & E147, September 7th & 14th, 2022Our first feature comes from episodes 146 and 147 on September 7th and 14th with Patrick Deloy, Managing Director at Merkle, an award-winning e-commerce solutions provider which supports medium to large B2C and B2B companies with the planning, development, localization and long-term support of multi-country e-commerce website deployments in the APAC region. I had asked Patrick ‘what is the omni-channel retail ecosystem and environment today in the APAC region?#2Liam Mather, E134, March 15, 2022Our second clip features Liam Mather, Head of Public Affairs and Communications at WPIC Marketing + Technologies. Reporting to the Chief Marketing Officer, Liam helps guide WPIC's public and government affairs, strategic communications, media engagement, corporate branding, and sales enablement. Liam previously worked in BCW's Corporate and Public Affairs practice in Beijing, where he helped clients manage reputations, respond to crises, and navigate policy issues. This was from episode 134 released on March 15th, and for those who didn’t get to hear the full episode, it’s quite unique as we had the opportunity to talk to Liam about his time covering the Winter Olympics from within the Olympic bubble. Specifically, Liam was able to cover the hockey event, so we asked him about the state of hockey in China, specifically women’s hockey, and here’s what he had to say.#3William Bao Bean, E152 & E153, October 19th & 26th, 2022Up next is a clip from episode 152 on October 19th, the first of two episodes with an old friend of mine and an old friend of the podcast, William Bao Bean. William is a General Partner at SOSV and Managing Director of Orbit Startups. Orbit Startups helps companies scale breakthrough technologies across emerging and frontier markets to the regions with the most aggressive growth. William is a senior advisor at SOSV who has been a pioneer in the tech and telecommunications space in Asia. During his time with SoftBank China & India Holdings, he led investments in companies such as Yodo1, DemystData, Lekan, and Massive Impact. He was also an equity research analyst at Deutsche Bank covering the Internet and Telecom Equipment sector in Asia for 11 years before joining Innov8 Ventures as Managing Director where he is focused on supporting China investments. He is definitely one of the foremost experts on early-stage startups and investing in Asia Pacific, and in this particular clip I asked him ‘what are the strengths and differences of the teams you invest in and work with within Asia versus outside Asia?’#4Zarina Kanji, E133, March 7th, 2022On March 7th we released episode 133 with Zarina Kanji. Based in London, Zarina is the Head of Business Development for Health & Wellness and Food & Beverage Brands at Alibaba. She previously served as VP of Global Fashion Brand Partnerships at Lazada in Singapore. Zarina spoke with us about Tmall’s upcoming International Women’s Day—a key event tied to the company’s Super Brand Day—on March 8, 2022. It has proven in previous years to be the third-largest shopping festival in the nation, behind 11.11 and 6.18, and is a unique opportunity for brands to engage with women across China. So, for this clip, we chose her response to my question ‘Can you tell us a little bit about what the Gen Z female consumers really care about in China right now, and how does that differ from their elder counterparts?’#5Alvin Wang Graylin, E125, January 12th, 2022On January 12th we were blessed to be able to interview Alvin Wang Graylin, China President at HTC. For anyone unfamiliar, HTC is an award-winning developer of smart mobile, connected technology, and virtual reality products. Alvin is also the Vice President of the Industry of Virtual Reality Alliance (IVRA) and the President of the Virtual Reality Venture Capital Alliance. He has almost three decades of business management experience in the tech industry, including 20 years in Greater China beginning with a Senior Management position at Intel in 1993. Prior to HTC, Alvin was a serial entrepreneur, having founded four venture-backed startups in the mobile and internet spaces, covering mobile social, "ad tech", search, AI, big data and digital media. I asked Alvin to tell us about some of the coolest & most innovative examples of VR that are heading our way in 2022 and beyond.#6Charles Lavoie, E154 & E156, November 2nd & 16th, 2022Our last clip for Part 1 of our Year in Review is from our conversation with Charles Lavoie on November 16th, episode number 156. Charles is the VP of Creative & Head of Creative Labs at WPIC Marketing & Technologies. A creative strategy & data analytics leader, Charles has incredibly strong cross-cultural backgrounds in international growth, go-to-market strategy, growth marketing, data analytics, creative planning, storytelling, sales, e-commerce, design and retail in the APAC region with projects focused in China, Hong Kong, Japan & Singapore. I asked Charles a very nuanced question at one point, probably one of the most granular questions I’ve asked anyone about brand entry into the APAC region, specifically “if a brand wants to take a multi-market strategy, how do you advise them, especially if they are also trying to stay ahead of an aggressive market competitor who might be going after the same regions for expansion themselves and may not have time to take a step by step approach?’

This episode of The Negotiation features part 2 of our conversation with Arnault Castel. Arnault is the founder of Kapok, a retail experience that focuses on designers and brands whose work provides quality craftsmanship and creativity in design. Arnault has developed an extensive knowledge and understanding of the Asian consumer goods and retail environment since 1996 when he moved to Hong Kong from France. In 2001, he joined the team in charge of the development of the Lomography brand in Asia as the head of Southeast Asian operations. Arnault was also the co-owner and director of Working Unit Limited founded in 2005, the exclusive distributor for the Moleskine brand in Southeast Asia.In part two of our conversation, Arnault discusses how Kapok works with brands in his store, which brands are doing well resonating with consumers in Asia, whether or not it’s important to have a brick-and-mortar presence in today’s D2C environment, and more. He also discusses some of the risks he’s taken that have paid off (and the ones that haven’t), his experience as the managing director of Lomography Asia-Pacific, and what business principles he learnt while there. We close out the conversation by diving deep into the future of commerce and retail in Asia. Enjoy! Topics Discussed and Key Points:Creative control in a retail environment Market localization and why it is importantWhy the Japanese market is so special and distinct from the rest of the worldWhy Kapok failed in Singapore and Taiwan, and the lessons learnedWhat makes  Hong Kong so special for KapokWhat Arnault did while at Lomography Asia-Pacific Why certain geographies and markets do not work for Kapok The future of commerce and retail in AsiaChanges he is seeing at the intersection of commerce and creativity in Asia Timestamps [00:57] How Arnault works with brands in their stores, how he promotes their brands,, and what creative control he has[06:44] Arnault's market risks, which didn’t always work[13:00] Arnault's experience as the MD of Lomography Asia-Pacific and the business principles he learned[26:05] Fashion and lifestyle brands that are doing well in Asia today[29:25] Are customers shifting from brick-and-mortar to digital?[34:00] How will the intersection of commerce and creativity change in the coming years?Notable Quotes[00:01:32] “When a brand is inside Kapok, we have to respect the brand. But they are also in our environment, you know.”[00:02:18] “We need to localize because people need to feel that a particular model is someone that is like me, that looks like me, that has the same job as me, and the same height as me.” [00:03:38] “Japan is special. Japan is not like the rest of the world. And that can be limiting because what might work in the rest of the world doesn’t work in Japan.” [00:07:14] “When I tried to bring Kapok outside of Hong Kong, you know, in Singapore or In Taiwan, it didn't work out, you know, because multi-brand retail is very, very detail oriented, you know? You receive new products, so you need training on the products and the brand.”[00:09:51] “Sometimes you like something, and you realize you like something only when you don't have it anymore. So, when we closed in Singapore, people said:, ``Oh, we're so sad, Kapok closed. I loved the shop.”[00:15:48] “I was not this natural born entrepreneur, but you arrive here and everyone is doing it.”[00:16:14]” I would never have opened up and done all this entrepreneurialism if it's not in Hong Kong, because this is a place where people take a lot of risks.”[00:21:22] “In order to succeed, I need to do things in a different, different way. If 50 people tell me ‘you have to do it this way, then I have to find the 51st way.” [00:35:27] “Over time, the marketing set of skills is going to be distributed to everyone, and you cannot defend yourself anymore by how well you play the digital marketing game. So, it's going to go back to how good your product is, how happy it makes your customer, and how strong is your brand story.”

This episode of The Negotiation features part 1 of our conversation with Arnault Castel. Arnault is the founder of Kapok, a retail experience that focuses on designers and brands whose work provides quality craftsmanship and creativity in design. Arnault has developed an extensive knowledge and understanding of the Asian consumer goods and retail environment since 1996 when he moved to Hong Kong from France. In 2001, he joined the team in charge of the development of the Lomography brand in Asia as the head of Southeast Asian operations. Arnault was also the co-owner and director of Working Unit Limited founded in 2005, the exclusive distributor for the Moleskine brand in Southeast Asia.In today’s episode, Arnault tells us what brought him to Hong Kong, what made him start Kapok, his curated ecosystem and why customers keep coming back. We also talk about price positioning in the market, how distribution and merchandising happen and the importance of having an entertaining shopping experience for customers. Tune in for more! Topics Discussed and Key Points:What brought Arnault to Hong Kong The Kapok identity and customer baseWhy do customers return to Kapok?Arnault’s curated ecosystemPrice positioningGeography and culture's impact on Kapok's identityWhy the shopping experience for customers has to be entertainingWhy it's necessary to have both online and offline stores as a brandOnline shopping's introduction in 2006 and its effects on Arnault's businessesCharacteristics of successful brands in Asia Timestamps [00:07] Who is Arnault Castel?[01:22] How Arnault ended up in Hong Kong[04:09] A little bit about Kapok and what it does[04:44] What makes someone a Kapok customer?[06:10] The reasons behind repeat purchases of Kapok’s products[10:03] What criteria does Arnault use to select the products and brands for his carefully curated ecosystem?[12:49] What does it mean to Arnault to “not be Kapok”?[19:41] How have geography and culture shaped Kapok's identity?[22:53] Kapok’s customer loyalty in the APAC region[29:05] What is the origin of the name Kapok?[33:01] Major evolutions in the APAC region's retail market since 2006[41:07] What are some of the characteristics that cause a brand to succeed in Asia?