This similarity in behaviour reveals opportunities for marketers to expand their marketing model and tap into lower tier markets as a growth frontier.
Some of the findings from the research include:
- The generations born in the 1980s and 1990s have been immersed in the market economy, and have enjoyed material resources. They prefer famous brands, are willing to pay extra money for high-quality goods, and are proud to show their unique styles.
- Those born in the 1990s living in tier one markets spent 40 per cent more time online than last year, while those in tier five are spending 43 per cent more time with digital. The post 90s generation digital youths living in rural areas are spending 51 per cent more time in this medium.
- Eighty-two per cent of consumers surveyed in tier one cities indicated family is more important than career, very close to the 81 per cent saying this in tier five markets. Three in four consumers living in tier one cities (77 per cent) stated they usually think about the needs of their family members when buying things, whilst up to 80 per cent would do the same in tier five cities.The average annual spending on apparel by Chinese consumers living in tier five cities is RMB 3,600 (US$529), compared to RMB 3,900 (US$573) by consumers in tier three cities, RMB 3,300 (US$485) in tier one markets.
- Annual spending on health and fitness is also similar between top and lower tier markets. On average, consumers in tier five cities spend RMB 2,700 (US$397) per year on this, compared to consumers in tier one cities who are spending just RMB 300 (US$44) more.
- The majority of Chinese consumers prefer to enjoy leisure time at home. 74 percent in tier one and two markets enjoy passive entertainment such as watching television and listening to radio at home, similar to 76 per cent of those in tier five.
“With the spread of wealth in China, we can see the trend that lower tier cities and rural
areas are catching up to larger cities, even striving toward a metropolitan lifestyle," commented Darryly Andrew, CEO of Synovate China.
"Companies looking to reap the immense opportunities presented in China need to be flexible and proactive in devising their media and marketing strategy to target this massive and intricate market ecosystem," he added.
