China’s Consumer Trend Index (CTI) amounted to 115 points in the first quarter this year, growing by two points from the previous quarter and nearly reclaimed the previous peak, according to Nielsen's latest study.
81% of Chinese consumers believe that their financial situation is better than five years ago. At the same time, 84% consumers think their financial situation is comfortable and they are able to spend freely.
Similarly, the key attributes that Chinese consumers say they are seeking in premium products are organic/all natural ingredients (56%), superior function or performance (54%), exclusive products (47%), Contains environmentally friendly/sustainable materials (49%) and delivers on social responsibility claims (37%).
Nielsen recently released its latest "Liquor Shopping Trend Report" at the 100th China Food and Drinks Fair. According to the report, 92% of consumers' actual spending on liquor in 2018 maintained or exceeded that of the previous year. At the same time, the liquor market is showing a rational consumption trend. Consumers are no longer blindly pursuing high-end liquor, and are now turning to products that better meet their individual taste and deliver high quality for good value.
According to the latest data released by the National Bureau of Statistics, the total number of Chinese born in 2018 was 15.23 million. This is 2 million fewer births when compared with the baby boom in 2017 due to the recent two-child policy. The increase in population due to the policy will undoubtedly bring about an increase in the demand for maternal and infant products, thus stimulating the development of the market. However, due to the improvement of living standards, young couples tend to consider the cost of childcare when they plan for the next generation. Nielsen's latest report titled the "2018 China Shopper Trend: Mother and Infant Market" shows that the mother and child market still has great growth potential, but also faces many challenges, while the population growth keeps growing but the growth rate slows down.
Throughout 2018, China's Consumer Trend Index stabilized at a high level. As of the third quarter of 2018, China's average consumption trend index stood at 113 points, the same as last year and still far above the global average of 105. With the continuous development of China's economic structure, consumption has become an important driving force for the market.
Nielsen's latest research shows that consumers have great enthusiasm for the 11.11 shopping festival, with 94% of online consumers in China having participated in online shopping sprees. 18-35 year old consumers were the main purchasing force, and the most likely to make impulse purchase decisions, with 56% of online consumers born in the 1980s and 58% born in the 1990s saying they have "made unplanned purchases.”
According to the leading global information & measurement company Nielsen, 82% car owners are interested in self-driving vehicles, 86% of them have considered buying one, and 94% of those driving a car worth over one million yuan have an intention to purchase a self-driving car, proving that self-driving car has high recognition in Chinese market.
China’s Consumer Confidence Index (CCI), released by Nielsen, a global measurement and data analytics company, remained high in the second quarter of this year – the figure shrank to 113 points, a decrease of two points from the previous quarter.
Following China’s continued focus on the Belt and Road Initiative (B&R), key high-growth markets are showing significant opportunity for Chinese brands looking to expand their operations overseas. More specifically, Indonesia, The Philippines, Egypt and Turkey, are showing favorable conditions for investment. With Indonesia’s fast-moving consumer goods (FMCG) consumption growing 11% between 2016 and 2017, and Turkey’s GDP surging 7.4% in 2017, these markets have enormous potential.
In a forum in Beijing, more than 400 business and government officials from around the world have discussed the opportunities and challenges Chinese companies face as they seek to go global. The forum, held under the theme “Chinese brand global strategic development”, was organized by Nielsen, a leading global performance management company, with the support from the China International Council for the Promotion of Multinational Corporations (CICPMC).
The new energy market is entering a new era. Instead of being driven by favorable policies such as subsidies or license plates, its development model is shifting from policy orientation to market orientation with dramatic changes in its market structure and demands. In the future, competitiveness of products will be the key to capturing market share.
Job prospects surged to 77 points in the first quarter, three points higher from the last quarter; willingness to spend and personal finance maintained steady growth, and both figures increased one point quarter-on-quarter to 62 and 71, respectively.
China’s e-commerce market continues to see high double-digit growth year on year. The Double 11 event on 11 November 2017 – also known as Singles’ Day, when single people in China celebrate, and which has become a popular shopping holiday – was a clear example of how China’s consumption-led economy is evolving digitally. Online marketplace Alibaba saw sales growth of 39% in comparison with the event in 2016, suggesting that Chinese consumers are confident in their spending and that consumption will continue to rise.
China’s Consumer Confidence Index reached 110 points in the first quarter of 2017, the highest score since 2015. The current figure suggests that along with the stable growth of individual income, Chinese consumer confidence continues to rise.
China, with its huge population and increasing affluence, is a very lucrative market for companies and brands in the Pacific. The Demand Institute, projects that consumers in China will spend $56 trillion over the next decade, with a largely young, affluent, connected consumer base with disposable incomes leading the charge.
Understanding customers, their needs and their path to purchase is essential from a brand and retail engagement perspective in the luxury segment. In a tighter retail environment, these considerations become even more critical.
Already brimming with its own dense population, Hong Kong is also a rich travel destination for many people from around the world. But despite its global appeal, almost 80% of the territory’s visitors come from mainland China—and those travelers are significant contributors to Hong Kong’s economy.
56% of Chinese say they buy premium products in order to feel successful or show their success to others. 48% of consumers say they’re willing to pay a premium for electronics, followed by clothing (38%) and cosmetics (38%)
Multinationals should not turn their backs on emerging market consumers. Some rebalancing toward developed markets makes sense in the near term as their relative strength improves, but it must not come entirely at the expense of investment in emerging markets.
The Demand Institute projects that consumers in China will spend $56 trillion over the next decade. But China is a sprawling region and spending patterns will vary greatly. So which consumers should companies focus on?
Capturing a part of the $56 trillion in consumer spending that The Demand Institute projects will take place in China over the next decade will depend on deep insight into the country’s highly varied urban landscape.
For multinationals and other companies looking for opportunity in China, look no further than to connected spenders, a young, affluent and connected group eager to engage with brands and their conversations.
In 1990, 57% of Southeast Asia was in poverty and access to daily necessities one could afford was not to be taken for granted. Today, so much has changed that a new niche at the high end of the affordability spectrum has emerged to fan the aspirations of consumers – premiumization.
The growth of China's e-commerce sales has outpaced that of the U.S.—growing at a rate of 52% year-over-year in 2014 versus 17% for the U.S. With rapid growth increasing the competitors in this space, however, how can retailers win?
The slowing pace of China’s investment- and export-led growth underscores an opportunity for the country’s 1.4 billion consumers to play a bigger role in the economy going forward. Louise Keely, President, The Demand Institute offers insight into recent research on the topic and the four roles businesses can play as China transitions to consumer-led growth.
In China, more than 46% of consumers are actively making purchases via the web, well above the global average of 25%. But China isn’t just the largest market for e-commerce. It’s also one of the most evolved, and so are its consumers.
The slowing pace of Chinese economic growth underscores the country’s need to transition from an investment- and export-led growth model to one powered by consumption. But how long will that transition take? The answer is crucial to companies looking to ride what will eventually be the next extraordinary surge in consumer spending in China.
At Nielsen’s annual Consumer 360 Conference, Nielsen CEO Mitch Barns and Daniel Zhang, CEO of China-based Alibaba, sat down to discuss how global companies are leveraging digital and big data for commercial gains amid growing fragmentation, technological developments and evolving consumer demand.
Despite research showing that two thirds of all new products fail, Nielsen delivers a roadmap for innovative products to stand out from the crowd and succeed in the highly-competitive Greater China market.
Chinese consumer confidence measured at 111 points in the second quarter of 2014. This marks the third consecutive quarter for this level of consumer confidence, according to latest findings from Nielsen Consumer Confidence Index Report.
A new report from Nielsen in partnership with the China Association of Automobile Manufacturers (CAAM), identifies four key innovative strategies to help automobile companies better meet the evolving needs of today’s changing Chinese consumers:
The mass-growth era, which featured year after year of double-digit GDP growth, is no longer a key theme of Chinese economic growth, Instead, what we see now is a more stable and healthy growth as an outcome of government adjustment.
As China’s investment-driven economy continues to transform into one driven by personal consumption, the country could see a boost in household consumption from today’s 35 percent of GDP to between 45 and 50 percent by 2020.
Mobile matters. Already a powerful presence, it continues to grow. But it is a new medium, and many of the measures brand marketers have come to rely on to guide their investments in other media are not present or not mature in mobile. Marketers must, however, resist the temptation to measure what is easy to measure, and stick with their core principles: focus on measurement they can compare across media and tie to performance, seek agency and media partners with similar philosophies, and rely on proven metrics for determining results.