A strong economy and a freer flow of information have caused the
Chinese consumer psyche to become far more complex and sophisticated
compared with recent years.
According to a major study by ACNielsen Media International - Target
Audience Grouping System (TAGS) - seven distinct traits have been
identified: the venerables, security seekers, disaffected, materialists,
comfortable middle class, assured achievers and the next generation.
However, the 18-month survey of 44,000 people in 30 of China's largest
cities found that it was the next generation which was shaping up to be
the most progressive group in the country's recent history.
But while the nine to 14 year olds made up the smallest group identified
in TAGS - 8.4 per cent - this group believed that men should help with
the housework and their top concern for the future was protecting the
environment.
They also believed that keeping up with technological developments was
the key to their success although they also felt it important to
preserve their culture and heritage.
Philip Rich, ACNielsen Media International China and Hong Kong executive
director, said, "China's youth appear to be the most optimistic and
confident segment of the population in China today.
"Around 70 per cent believe they will reach their goals and have a
bright future, and their attitude towards the environment and technology
are comparable to their counterparts in the West."
The new generation was born into Deng Xiaoping's 'open door' policy and
has benefited from the fast growing economy of China since birth.
More than 80 per cent surveyed in this group said that understanding
technology was key to their success in the future with 78 per cent
agreeing that China's culture and heritage should be protected at the
same time that the country is embracing modern changes.
This is the first time that such a comprehensive study has been
conducted in China.
The other six consumer groups identified by TAGS consist of:
- The venerables (21 per cent) make up the largest proportion of the
population. Nearly half are aged 50 or over and 45 per cent are
retired.
This group is the least concerned with financial matters.
- The security seekers (19.2 per cent) are the next largest group of
consumers. They are not defined by age, but 60 per cent are female. They
are high school educated in regular white or blue collar
occupations.
They are attracted by sales and foreign goods and respond to all types
of advertising.
- The disaffected (16.6 per cent) tend to be in mainly blue collar jobs
or unemployed. They are the least comfortable with the economic changes
occurring around them. They reject television advertising.
- The comfortable middle class generation (13.4 per cent) is the newly
emerging class, made up of professionals and entrepreneurs.
- The materialists (11.8 per cent) are better educated. Two-thirds are
male and most are between the ages of 30 and 49 years old. They value
financial measures of success and they choose more familiar brands.
- The assured achievers (9.7 per cent) are mostly aged between 20 and 39
years old. They are well educated and most are in professional/white
collar occupations. They are less financially driven and their shopping
behaviour is more experimental.
TAGS adds a new dimension and deeper insight into the motivations and
priorities of emerging consumer sectors in China's fast-moving
economy.
Said Mr Rich: "Taking into account the tremendous economic and social
changes that have swept China in recent years, we cannot generalise any
longer about the Chinese consumer.
"The market has been constantly evolving over the past 10 years and
today there are distinct groups and consumer sub-cultures that
international marketers should be aware of."
