According to the latest report of the internationally renowned consulting firm Boston Consulting (BCG) and Alibaba (BABA.N)'s Ali Research Institute, the Chinese consumer market will grow at an average annual rate of 10%, and the market size is expected to reach 6.1 trillion by 2021. The US dollar, an increase of about 1.8 trillion US dollars in the next five years, is equivalent to the size of the UK consumer market in 2021.
The report pointed out that the strong growth of China's consumer market has benefited from three drivers: the rise of middle-class and affluent consumers, the new consumption habits of younger generations, and the popularity of online and offline omnichannels.
With the continuous optimization and upgrading of the economic structure, the tertiary industry has begun to exert its strength, the urban-rural gap has gradually narrowed, and the income of residents has increased. The Chinese economy will shift from investment-led to consumption-led. According to estimates, even though China's real gross domestic product (GDP) annual growth rate has further slowed to 5.5%, China is still one of the fastest growing consumer goods markets in the world.
With the changes in people's consumption needs, lifestyles and behavioral attitudes, more and more new consumer segments will be spawned in Chinese society. For example, social changes in the era of universal consumption have spawned urban trends and active people. Silver age; the rise of the single trend makes the new group of “urban single aristocrats” present unique needs that are completely different from other consumers; the emphasis on experience and feelings and the trend of fashion have created “experience supremacy” and “craving Become a master."
The report suggests that if consumer goods companies want to profit from the expansion of China's consumer market, they will not only need to recognize the consumption trend, but also need to understand the changes in the customer base. As the Chinese economy continues to mature, consumers are increasingly diversified. Compared with large-scale, homogenous customers, companies should understand the characteristics of new customers and their preferences and requirements.