Given the enormous structural changes and booming economy in China during the past 30 years, Chinese consumer behavior has drastically changed. This is reflective of the extraordinary gross domestic product (GDP) growth rate of the Chinese economy, resulting in a massive increase in the middle-class over the past 3 decades.
According to Zhaopin Limited, 75 percent of China’s urban consumers will earn between 60,000 to RMB 229,000 a year. Take note that the average monthly wages for white-collar workers in 2018 were only RMB 7,665. This means that under normal circumstances these middle-class consumers can accumulate a surplus of disposable income (now being an abnormal circumstance due to Covid-19 and the looming trade war with the USA).
For your brand to resonate with Chinese consumers, consider the vital factors below.
1. Instant Gratification
First, instant gratification is a crucial characteristic of Chinese consumers. Know that Chinese consumers want to experience pleasure without delay. This means that when they see a potential product that suits their needs, they want it immediately. In fact, 22 percent of the new Chinese generation said they aren’t satisfied with next-day delivery. Instant gratification has indeed become reflective of Chinese consumer behavior due to the rise of social media, even leading to an increase in impulse buying.
For this reason, make sure that your business knows how to cater to the consumers’ need for instant gratification. This simply means quick response and efficient customer service.
2. Omnichannel Shoppers
The next thing to consider is that Chinese consumers are deemed omnichannel shoppers. In fact, 95 percent of Chinese shoppers identify themselves as omnichannel shoppers. This means that they are engaged with a variety of channels to shop and obtain what they need.
For this reason, experiential marketing for your brand becomes relevant. Make way to cater to the consumers’ needs through the use of omnichannel platforms, where these consumers will linger and stay. This marketing strategy allows customers to remain interested in the brand and give in to their needs for instant gratification and constant social media validation.
3. Going Single
Another consideration is how there has been a cultural shift in dating and marriage in China. It is gradually becoming a norm for young Chinese to delay marriage as they are becoming more liberated and deviating away from the norms. In fact, it is estimated that there will be over 90 million single Chinese people.
As this shift has a ripple effect on business products and services, position your brand in a way that it caters to the single people, and lives up to their expectations.
4. Saving Face
The face is considered a vital factor in Chinese consumer behavior. Chinese have a deep inherited relationship with the notion of ‘miànzi,’ which means saving face. It is often associated with dignity, honor, and pride as a way to build one’s social status.
That said, you have to take advantage of this deeply embedded culture by offering products and services to the market. In fact, recent research found that the culture of face strongly influences the consumption values of Chinese consumers and their purchasing behavior towards global brands.
Chinese consumers have a myriad of behaviors that can significantly impact their decision making. Consider the essential factors affecting consumer behavior outlined above and strive your best to align your business decisions with these behaviors. You will want to do what it takes to put your brand in the best position to thrive and succeed.
If you’re looking for a Chinese digital marketing agency to help you market your business to the Chinese market, get in touch with Neat Interactive today! We’re happy to help.
