The 'pause and reflect' button in Chinese consumerism...
The “pause and reflect” button; changing psychological perspectives in Chinese consumerism amid the epidemic.
It is obvious and known that the #covid2019 outbreak has a devastating impact on the Chinese retail business with millions of small stores and restaurants gasping for air while some e-commerce is thriving in the environment of confinement and quarantine.
But there is more happening to the Chinese retail world during this drastic time than only the economic impact, Chinese people seem to be changing sentiments in their consumer behavior and buying decisions. Sentiments and behaviors which might last in a post virus era and might have deeper impact on retail segments and brands in the long run in the Chinese market compared to the immediate economic disaster.
The socioeconomic landscape is more complicated than with for example the SARS outbreak in 2003. China’s luxury spending quickly recovered in the year’s second quarter after SARS ended, and it has grown at a strong rate ever since. But in 2020, while already facing a slowing economy, trade war and a sense of reversed globalism, a behavior of conservatism on spending and focus on saving will likely prevail; hitting luxury segments at first.
Eco-consciousness has been thriving on Chinese social media since quite some time. The virus outbreak, believed to have originated from wild animal trading in Wuhan, has enraged many of China’s millennials, who are overwhelmingly supportive of animal rights and environment protection. The outbreak feels like a lasting turning point with social media outcries about environment, animal protection and self-reflection skyrocketing past weeks.
Consumers will increasingly place high importance to sustainability, environment and carefully reflect themselves to the products and services they buy. It is not just about the brands anymore.
With the entire country in semi-lockdown mode, people are living collectively as if during a war rather than an epidemic, and a neo-nationalist attitude is in the air. Although a made-in-China revival has been a steadily growing trend over the past few years, this behavior is rapidly intensifying; pride and renewed interest in the cultural heritage enforced with the feel of solidarity for domestic products and brands to overcome this economic disaster and lead towards the future.
Read more in following article by Jingdaily : https://jingdaily.com/consumer-sentiment-will-define-a-post-coronavirus-china/
Source : Jingdaily (picture : Forbes)