September 6, 2021 in Language Translation, Localization, Translation

What is the behaviour of a chinese consumer?

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What do you do for a living? Do you own a business or do you work as an employee? Either way, you may have come across typical consumer behaviors. Out of respect to maintain the curriculum of the business, people have to bear the good and bad attitudes of a buyer. But recently, there have been much gossips about Chinese consumer behavior.

Have you ever come across any Chinese consumer? Ever since the Chinese market allowed foreign investment, the Chinese economy has been increased a lot. But the trading dispute of China with the United States has slowly impacted its GDP. It has been noted that Chinese consumers change their behavior faster in the market than any other consumer.

To understand the complex Chinese consumer behavior, several surveys and case studies have been conducted. The results of these surveys help to determine what the 5,000 consumers in the region think about spending, brands, health, and more. This article will help you in understanding Chinese consumer behavior. So, let’s begin!

What is the Behavior of a Chinese Consumer?

If you’re serving in the Chinese market, it should be important for you to understand the preferences and expectations of your customers. The changing behavior of Chinese consumers is because of the increased exposure and integration of social media in their daily life. It is also due to the structural changes in Chinese society and economy. A market can be complex or simple but mainly it depends on the different needs and trends that different people will demand.

Key Traits of Chinese Consumers
chinese consumer attitude

Although most old ideas and stereotypes may persist on the fact that Chinese consumers are the sophisticated and spoiled ones. But there is no doubt that these same Chinese consumers help the Chinese market in achieving high income. Currently, there is a wide range of both domestic and foreign brands that are offering a vast array of products in the Chinese market.

However, with the increasing income and purchasing power, the eagerness for the will of even more quality choices is still a noticeable factor. Moreover, modern Chinese consumers prefer to look for product quality rather than quantity. They expect high-caliber personalized products and services that are reasonably priced.

Ancient History

Before the year 1960s, Chinese consumers had a tough life because they had to deal with famine and constant political unrest. Since those years to this day, around 47 million people have died due to the worst living conditions. It was the period of the Cultural Revolution that brought miseries to the life of consumers.

Because these people were living without any social service, they have given a title named ‘The Lost Generation’.  Consumers in this era were of two categories: frugal-retired and wealthy-retired, with the former being uneducated and price-sensitive with the latter being educated and placing importance on quality over cost.

In the next few years, the previous miseries have changed the lifestyle of these Chinese consumers. Since they grew up in a time of political disturbance, they became conscious in terms of saving a large portion of their income for emergencies.

The period of millennial (1985 – 1994) was the biggest driver in Chinese consumption. The habits of Chinese millennials were opposite from their parents. They are less likely to save money and spend most of it on various products and services. The most recent generation of Chinese consumers is the quickest in adopting the latest trends. Their purchasing behavior and consumption of food are very impulsive and they are largely driven by social media.

Chinese Consumer Groups

Purchasing power is affecting the whole Chinese market along with its e-commerce platforms that are responsible for the consumption of goods. But the behavior of Chinese consumers keeps changing with time. Despite the increasing growth rate and market share, different regions of China have different rates and consumer trends.

And therefore, Chinese consumer behavior also varies across different eras. In the past three decades, the behavior of Chinese consumers changed drastically in all the cities. But the cities with the highest population growth are expected to experience this change more dynamically. Now, let’s study the distinguishing characteristics of each group one by one!

  • Frugal & Wealthy Retired – This group consists of all the consumers that are born before 1960. The living conditions of these people were very poor and therefore they did not receive any systemic education as well. The difficult environment of these people made them sensitive towards the changing consumer product prices. Within the next few years, the spending habit of these consumers was paying more attention to groceries.
behaviour chinese consumer
  • Frugal & Wealthy Forties – The consumers of the era (1966-76) constitutes this group. In all cities, people work in various companies and they were more prone to savings. But the wealthy forties spent most of their money on entertainment, groceries, travel, and high-quality and healthcare products.
  • Twenties & Thirties – The consumers of this group are well-educated and they grew in an open environment with their parents. Comparing them to previous groups, these consumers spend more money on entertainment and they often shop online. The shopping habits of the ones in their twenties are conservative and they favor high quality and convenient products.
  • New Generation – The new generation of the consumer is more open to western trends. Most people in this group do not yet earn an income; they significantly influence their parents’ decisions on food, clothing, electronics, and other purchases. The items that the new generation buys include mobile devices, advanced electronics, and other premium products. They make sure that their purchase is from international brands. Online shopping has made ways far more convenient.
  • Migrant Workers & Rich – The migrant workers are the rural residents that moved to the cities for jobs starting in the 1990s. They are unlikely to match their urban peers. On the other hand, rich consumers spend money carelessly and purchase anything that they like. In the Chinese economy, there are more than 1 million Chinese with assets over $1.5 million, and the number is increasing rapidly. The rich consumers either own a company or work at high positions in a company.

6 Key Traits of Chinese Consumers

After thorough research, six key traits that you’ll most probably come across in the consumer market include:

  • Instant gratification – the study reveals that Chinese consumers wish to experience long-lasting pleasure without any delay.  The response of a survey indicates that around 22% of Chinese are satisfied with their instant deliveries.
  • The Powerful Women – there are more than 140 self-made women billionaires in China today, making up more than 75% of all self-made women billionaires worldwide. Women have a strong impact on household purchasing decisions in China.
  • Phone Obsessed – modern technology has made people more habitual to using social media. The number of people accessing the Internet via mobile devices (phones, pads, etc.) in China reached 817 million according to SCMP’s China Internet Report.
  • Omni channels Shoppers – to get rid of a boring day, Chinese consumers are constantly looking for new and interesting ways to interact with brands. Experiential marketing has become popular to cater to this need through the use of Omnichannel platforms, games, and contests.
  • Riding Solo – most of the Chinese consumers you’ll face are single due to a cultural shift in terms of dating in China. Marriage is being delayed with being single becoming the norm as young Chinese people set their expectations for dating higher and higher. They are becoming more liberated and breaking away from traditional dating habits. In 2021, over 90 million people are single Chinese.
Ancient chinese History

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