Customers are shopping at Haiyu Sun Moon Plaza Duty Free Shop in Hainan Province. Hainan’s duty-free sales in the first quarter of the year increased rapidly. Xinhua News Agency reporter Guo Chengshe
In the national economy, consumption is the pillar of growth and the engine of power. In 2018, the contribution rate of final consumption expenditure to economic growth reached 76.2%; in the first quarter of this year, the total retail sales of consumer goods reached 977.90 billion yuan, an increase of 8.3%.
In the Chinese market, which has a population of nearly 1.4 billion people, in urban and rural areas, in the different groups of men, women and children, consumption constitutes a magnificent landscape with its meticulousness, diversity and change. From a small bag of mustard to a car, the story behind it is meaningful, and it is closely watched by suppliers around the world. It is also popular for all people at home and abroad who care about China’s economic growth.
Describe the consumption in this big market in the sea is not easy. However, if we want to find some commonalities from the daily consumption behavior of nearly 1.4 billion individuals today, then it is not a “consumption upgrade”.
The newspaper launched a series of reports today, trying to cut through some sections to see how the story of China’s consumption upgrades is concretely and slightly presented in everyone’s daily life, and the unprecedented trend has pushed the tide of consumption to continue to move forward.
322.5 billion yuan – not long ago, the “May 1” holiday was only traded through the UnionPay network, and the Chinese spent an average of so much on a daily basis. The Chinese consumer market is showing unprecedented vitality, and many changes such as quality upgrades and structural adjustments occur in this specific consumption. Therefore, to observe Chinese consumption, we first start from the family and experience the details of Chinese consumption through a family account book.
There are three family stories here. They have many differences. The protagonists are in different cities and are distributed in different age groups. The consumption habits and expenditures are different. But they also have many of the same – all constitute the Chinese consumption upgrade. The most motivated middle-income group enjoys the benefits of upgrading their consumption to their families, and they are more and more willing to pay for happiness.
Smart experience of young people
——Intelligent, convenient and enjoyable, many families transform their lives with a pen-like consumption, with more convenient and free time
“Hello, your order is here.” The doorbell rang, and the fruit and meat dishes that Xiao Yang of Beijing had placed on the mobile phone one hour ago had been delivered to the door.
The convenient “fingertip” service makes this new mother with a half-year-old baby a lot easier. She purchases fresh foods almost every week through the daily e-commerce platform, Jingdong home and other e-commerce platforms, eliminating the trouble of taking the baby out. After returning to China for more than a year, she and her husband are still immersed in the surprises brought by the convenience of domestic shopping. “The consumption experience is so much better! You don’t have to go out every week to shop as a porter, and you don’t even have to bring a wallet when you go out, which is unimaginable abroad.” Xiao Yang said.
Xiao Yang and her husband are both in their early 30s. This young family spends 80% of their monthly income on consumption. It is very important to have a good consumer experience. Xiao Yang gave a simple account, before spending in foreign countries, online consumption accounted for more than 1% of the family’s consumption, and now it has reached 70%. Buying is convenient, naturally buying more, many consumers are like them – in 2018, the national online retail sales of physical goods increased by 25.4%, the growth rate was 16.4 percentage points higher than the total retail sales of consumer goods.
Just ushered in a newborn baby, this small family consumption change is not small. Parenting expenditure has become a “dark horse” in the consumption item, and this article has also surprised Xiao Yang most of the changes in consumption today. “Before raising a baby is a self-help, now you can buy and buy more hardware facilities!” Xiao Yang gave a simple example. The baby’s diet used to be done manually, with zero cost. Now you need to buy a special food supplement machine. Also have a full set of cutlery, a lot of money down, but the children’s things, parents are willing to pay.
“Intelligence” is also a new trend in this small family consumption.
What makes Xiao Yang proud is a sweeping robot that has just purchased more than 1,800 yuan. “When you go out, you will be clean when you come home, and you will find a place to charge yourself, at least save me half an hour every day.” In addition, the home has also added smart desk lights that can be controlled by mobile phones; Hourly observe the baby’s camera; the convection oven integrated with the oven and the microwave oven… These increasingly intelligent products let Xiao Yang feel the happiness of the details. From a national perspective, the sales of consumer upgraded goods such as sweeping robots, smart watches, and smart audio and video products are also growing faster than other commodities. In the future, they will also consider replacing the smart homes in the whole house, and they are looking forward to better and better products on the market. Consumers only earn money to buy.
“Intelligence, convenience, enjoyment”, this is the summary of the housewife Xiao Yang’s own consumption. Many families, like them, are transforming their lives with a pen-like consumption, with more convenience and more discretionary time.
Quality life of middle-aged couples
——Large to the small car to the racket, everything is upgraded, willing to pay for high performance, high quality products and services
When it comes to the changes in consumption at home, Ms. Zhou from Nanjing, Jiangsu has a lot of feelings. At the moment, the two new energy vehicles in the home are just changed last year.
In the past ten years, Ms. Zhou’s car has been changed three times, one higher than the other. The first time I bought a car was around 2000. The economic capacity was limited. The models on the market were far less abundant than today. At that time, I spent 60-70 million yuan to buy a car. The picture is a step; the second time is 2008. , began to consider the performance, safety, brand of the car, the price also rose to 200,000 yuan; this time, the comparison of word of mouth, performance extended to the world’s good brands, and finally look at the future trend to buy a new energy car, two The car spent more than 600,000 yuan.
Ms. Zhou and her husband are nearly 50 years old, and their car buying experience echoes the development of the Chinese market. As of last year, the number of private cars in the country reached 189 million, an average annual increase of nearly 20 million in the past five years, of which the number of new energy vehicles increased by 70% over the previous year.
Big items like cars are being upgraded, and daily household appliances for laundry and cooking have not fallen. The washing machine has been upgraded from a single cleaning function in the past to a model that can remove bacteria and deodorize and professionally wash different fabrics. The price of one washing machine is more than 3,000 yuan. Did not go abroad “Hao Tao” rice cooker, but also replaced with a built-in smart menu, voice navigation “high match” version, the price of over a thousand dollars, the quality is very satisfied. “Home equipment is being upgraded, we will pay more attention to performance and effect now, and the price is not the most important factor we consider.” Ms. Zhou said. Indeed, in addition to meeting basic needs, “high-end”, “energy-saving”, “quality” and “professionalization” are the key words for consumers to purchase home appliances. Functional upgraded home appliances are the main driving force for sales growth of home appliances in 2018.
Ms. Zhou’s couples have just entered college, and the family’s monthly consumption accounts for about 30% of the income. They don’t catch up with the trend, but they have rigid demand for quality. Ms. Zhou also gave many examples –
The couple started playing badminton from the time of their students. At that time, they didn’t pay attention to it. They had a pair of beats and balls, and they started to move when they found an empty space. Now it is the goal hall, buy golf equipment, equipment has long been “bird guns for guns”, the racket with all carbon, the ball is pure goose feathers, the ball shoes are not easy to buy, to buy a special, a set of thousands of yuan. Buying clothes is not fashionable, but it must be good fabrics, good quality and exquisite workmanship. In my spare time, I will choose a movie with good reputation. The whole family will watch it together. I heard that the theater now offers exclusive small rooms suitable for families and friends. They also want to experience… sports and fitness, cultural consumption, these are also current consumption. New hotspots.
When it comes to consumption upgrades, Ms. Zhou said that from the perspective of home life, she really feels deeply. With the advancement of science and technology, more and more consumer-centric products and services have entered life, and quality life is more secure.
Diversified consumption of retired people
——Eat eggs, use smart phones, travel abroad, don’t say old people don’t like spending money
After taking a walk in the morning, go to the nearby vegetable market to pick and buy. This is the fixed schedule of Sun Lao and his wife in Chifeng City, Inner Mongolia. Speaking of buying food, the old man is the leader, whether it is fresh and pollution-free, whether it is a quality inspection, you must pay close attention. “Generally, I buy a stupid egg from a farmer’s family, and the ‘food pig’ that eats the grain is good, and the family like it.” Sun Lao said.
The 70-year-old Sun and old couples have already lived a retirement life. In recent years, the two old people spent a lot more on food, and the price is not as sensitive as it used to be. A box of 12 earth eggs is 5 or 6 yuan higher than the same number of ordinary eggs, which can be eaten for almost a week. Such a price difference is not a thing in the old age, it is worth it. “Buying products that are safe and taste good are more important than anything else.”
With the development of society, many people’s consumption concepts have changed, and they are increasingly willing to spend money on themselves. What makes Sun Lao feel the deepest is that “the field of consumption in life is wider, and consumer spending is even greater.”
In 2012, Sun Lao had his first smartphone, priced at more than 3,000 yuan. He has experienced many well-known brands of smart phones, and he is considered to be an older “mobile phone enthusiast.” The photos are clear and the communication is convenient. The distance between the Sun and the children is close to the smartphones. The group chat and the circle of friends are active everywhere. The small videos and expression packs are also in the air. “Can’t compare you young people, but I am not bad at playing.” Sun Lao looked proud. He said that when the 5G mobile phone comes out, if the price is within the acceptable range of 5 or 6 thousand yuan, he will also replace it.
Tourism is another major event in the old age of Sun and his wife. It has also become the biggest one in daily consumption, with an average of 10,000 to 30,000 yuan per year. Since the beginning of a deep European tour 10 years ago, Sun and the two have traveled all over the world. “Foreign countries have visited Southeast Asia. Europe has visited Germany, France, Italy, Belgium, Austria, the Netherlands, Finland, Luxembourg and other countries. The main places in the country have passed. There are still Xinjiang and Tibet, and there are opportunities. Go and see!”
In the age of material scarcity, Sun Lao has a deep understanding of the earth-shaking changes in the past and present. “There is no such thing as a tourist when you are young.” Sun Lao recalled his first trip to Beijing. He was a hard-seat train. He lived for a few yuan a night. The food was the same noodles in the restaurant. Where can I catch up with today? Pick-up trains, hotels, B&Bs and restaurants are available.
“Social progress has been made, science and technology have developed, and living standards have improved; income has increased, there has been a capacity to pay, and the consumption field has become wider. We feel very happy and satisfied,” Sun said. Recently, Sun Lao and his wife are planning the next trip, leaving more scenery in their hearts. More and more silver-haired people, like them, use moderate consumption to add color to their later years.
Number of consumption upgrades
Consumption pattern: physical consumption → service consumption
Catering revenue growth is higher than commodity retail
In 2018, the market size of catering revenue exceeded 4 trillion yuan for the first time, an increase of 9.5% over the previous year, and the growth rate was 0.6 percentage points higher than that of commodity retail.
Tourism, culture, information and other services consumption grew rapidly
Tourism – In 2018, the number of domestic tourists in China exceeded 5.5 billion, and the total tourism revenue exceeded 5 trillion yuan, up 10.8% and 12.3% respectively.
Culture – In 2018, the mainland’s box office exceeded 60 billion yuan, an increase of about 9% over the previous year; the number of people watching cinemas in the mainland cities exceeded 1.7 billion.
Information – Information consumption increased by 11% in 2018 compared with the previous year, and information service consumption exceeded the consumption of information products for the first time.
Consumption structure: basic survival type → development enjoyment type
Sales of upgraded goods are growing faster than other products
In 2018, the cosmetics, communication equipment and household appliances of the above-scale units increased by 9.6%, 7.1% and 8.9% respectively over the previous year. The average growth rate of retail sales of units above designated size was 5.7%.
Increased sales of sports and new energy vehicles representing automotive upgrades in automotive products
In 2018, the sales growth rate of sporty multi-purpose passenger vehicles (SUVs) was 0.2 percentage points higher than that of basic passenger cars (sedans), and SUVs accounted for 42.2% of all passenger car sales, an increase of 0.7% over the previous year. Percentage point;
In 2018, the sales volume of new energy passenger vehicles exceeded one million mark, an increase of more than 80% over the previous year.
Consumption: Online retail growth, online and offline accelerated integration
Online retail growth
In 2018, the online retail sales of physical goods in the country increased by 25.4%, which was 16.4 percentage points higher than the total retail sales of consumer goods.
Online and offline integration development
In 2018, the retail sales of goods by units above designated size accounted for 10.2% of the retail sales of consumer goods above the designated size.