Fast Moving Consumer Goods (FMCG)
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Chinese consumer behavior is constantly being shaped and modified by geographical, generational, and psychological complexities as well as the surge of different new trends and technology. Trends are constantly evolving.
This year, China will take a step in its digital transformation that once may have seemed almost unthinkable. The industry forecasts that 52.1% of the country’s overall retail sales will come from eCommerce in 2021, up from 44.8% a year prior. That means that for the first time anywhere, a majority of retail sales for an entire country will transact online.
Among the online retail sales of physical goods, food, clothing, and others, commodity goods increased by 23.5%, 24.1%, and 16.7% respectively, with an average growth of 30.9%, 9.8 %, and 17.0% in the two years.
Consequently, online retail sales of physical goods were 9.759.0 billion yuan, up to 14.8%, accounting for 24.9% of the total retail sales of consumer goods, or 4.2 percentage points higher than that of last year.
As Chinese consumers fall into the habit of shopping online, they become increasingly reliant on eCommerce; such a change in consumer shopping behaviour is likely to persist beyond the pandemic.
The fan economy. This term refers to the consumption driven by fans and followers of celebrities and influencers. The market size of the fan economy in 2019 was over 3.5 trillion RMB and is expected to surpass 6 trillion RMB by 2023
