2021 China New Generation Consumer Trends

Why Does Luxury Brands Need China’s Presence

• Emotional responses to Covid-19 can be found in three places: the body, culture and environment. This set of priorities forms the rise of new generation of impact-conscious consumers in the Mainland.
• Young shoppers are increasingly interested in cultivating a sense of self-awareness by prioritizing wellbeing and body optimization, as well as endorsing brands that align with those values and intentions. During the pandemic, body positivity has been at an all-time high, and certain local brand have played a key role in spreading positive body messages.
• Environmental issues are on the minds of younger generations, from government policies to local start-ups.

Cultural Content Is Important For Short-Form Engagement

• Short-video apps, most notably Douyin, Kuaishou and Xigua have emerged as vibrant new spaces in China for culture content and art consuming. This trend is expected to accelerate beyond 2020.
• In China, short videos have become the most effective communication method for brands to reach new audiences and potential customers. Among all the short video platforms, Douyin has proved to be the most effective.
• The pandemic has accelerated the consumption of short videos. Almost 90% of internet users in China now use short-video platforms on a daily basis, averaging more than 100 minutes per day.
• Douyin is on the verge of saturation in the Chinese market, with over 600 million daily active users.

How Do Luxury Brands Help China’s Creative Communities?

• China has the world’s largest video game industry, which attracts brands due to the high volume of traffic. Brands like Gucci, Balenciaga and Burberry have been eager to incorporate gamification into their seasonal campaigns.Brands need to build immersive scenarios for their potential customers, whether by offline events or online events (live streaming), to reach consumers and encourage them to try the products within the immersive scenarios.
• Brands that can reflect their personalities, creative cultures and hobbies are welcomed by the young consumers in China. Hence, focus on younger consumers and their desire for belonging will be critical in the future.
• When it comes to Luxury Brand’s target audience, it is likely that fashionable young women are the first to come to mind. Luxury brands have started to concentrate on the untapped potential of younger males in recent years as gaming has rapidly established itself as the most effective platform to deliver targeted brand awareness and exposure.
• China has the world’s largest video game industry, which attracts brands due to the high volume of traffic. Brands like Gucci, Balenciaga and Burberry have been eager to incorporate gamification into their seasonal campaigns.Brands need to build immersive scenarios for their potential customers, whether by offline events or online events (live streaming), to reach consumers and encourage them to try the products within the immersive scenarios.
• By 2021, domestic brands may outperform their global counterparts in some regions, such as the culturally sensitive issues of sexual orientation and gender identity.

Hope these insights can help brands understand better about Chinese especially young consumers. Be daring and caring, let’s do more fun things together for this vast and energetic market!