Gain insight into the changing mindset of the new generation of Chinese consumers
作者｜Linzy Lam 编辑｜吴文卓
Image courtesy of Clear Life
Inadvertently, we are about to enter the second half of 2024. In the past first half of the year, the consumer market has shown diversification and profound changes. According to the first quarter report of China's economy in 2024, China's GDP increased by 5.3% year-on-year in the first quarter, and the national economy started steadily. Among them, the total retail sales of consumer goods 120327 billion yuan, a year-on-year increase of 4.7%, and the contribution rate of consumption to GDP growth reached 73.7%, which played an important supporting role in economic growth.
In the consumption boom, people's lifestyles and consumption trends are also constantly changing. The rapid rise of the metaphysical economy has made the occult a new way for young people to find spiritual solace. In addition, in the fast-paced urban life, the concept of slow living is widely admired, and more and more people are beginning to pursue inner peace and quality of life. At the same time, the trend of reverse consumption is gradually forming, and consumers are more inclined to look for high-quality and inexpensive consumer experiences.
These three trends not only reflect the changes in the psychological needs of the new generation of consumers, but also indicate new opportunities and challenges in the market. In this article, Jing Daily takes a closer look at the drivers behind these consumer trends and explores their far-reaching implications for the future market.
The rise of the metaphysical economy
In the past year, metaphysics has almost become a spiritual medicine for a new generation of young Chinese. In fact, this trend began to emerge last year when the "temple tour" and "knocking on the electronic wooden fish" rose. Since the beginning of this year, the "metaphysical economy" such as horoscopes, fortune telling, tarot cards, transfer bracelets and energy stones has gradually emerged, bringing spiritual comfort and courage to anxious young people and helping them regain their inner peace.
According to the data of NetEase Digital Reading, more than seventy percent of young people have ever told fortunes online, while less than three percent have never told fortunes. On Xiaohongshu, metaphysics-related topics have been viewed 1.85 billion times. At the same time, a number of metaphysical bloggers are sought after by social media users, such as Xiaohongshu metaphysics blogger @我最爱吃手枪腿 who has amassed more than 100,000 followers in a short period of time by posting lucky color outfits every day.
On Xiaohongshu, metaphysics-related topics have been viewed 1.85 billion times.
Image source: Screenshot of Xiaohongshu
Metaphysics is a culture that has existed since ancient times, and it is closely related to supernatural powers and the occult. Why is it that in this modern society with highly developed technology and civilization, the mystical metaphysical society is so loved by young people? In fact, it is this rapid change and high degree of uncertainty that has led people to begin to place their spirits in the supernatural world.
On the one hand, metaphysics provides an emotional solace and psychological support, allowing people to gain a sense of psychological control and comfort in the face of life's challenges. On the other hand, in the era of social media, metaphysics enthusiasts share their experiences and feelings with each other online, and gradually develop into a unique community culture, and this collective identity and sense of belonging enhances people's emotional connection and meets the social needs of the younger generation.
The rise of the metaphysical economy has brought huge development opportunities to the consumer market. The first to catch up with this trend is obviously the jewelry track, such as Vivienne Westwood's Saturn necklace, Van Cleef & Arpels' four-leaf clover bracelet and Tiffany's jewelry have all been given different "effects" by netizens, and further driving the sales of these brands. "Consumers no longer buy jewelry based solely on the attributes of good looks, investment to please themselves and gift-giving, but more to consider spiritual value factors such as the 'energy' that matches them and the 'meaning' they expect." Jane, a veteran jewelry e-commerce practitioner, told Jing Daily.
Van Cleef & Arpels 等珠宝品牌的作品被赋予了"玄学"元素。
图片来源:Van Cleef & Arpels
"This has led to innovative changes in product descriptions, style design, marketing strategies and other aspects of the jewelry industry to adapt to the needs of this wave of emerging markets." Jane said: "For example, rhodochrosite has been changed from the traditional 'pork belly' product nickname to 'lace red' and 'strawberry boo', and it is more popular among young people. In terms of style and marketing, the industry has also further innovated and catered to the aesthetics of young people, paying more attention to the description of the role of 'metaphysics'. ”
In addition, feng shui, fortune telling, meditation and healing and other related industries have also ushered in more attention driven by the metaphysical boom.
Slow down
Enjoy life
Slow living has become the philosophy of the new generation of Chinese young people. This trend can be traced back to the rise of slower-paced buzzwords like "relaxation" and "citywalk" last year. Since the beginning of this year, the concept of slow life has become more and more deeply rooted in the hearts of the people, from rural life to physical and mental health management, slow life consumption has gradually risen, providing a new way of life for busy urban people to help them return to the balance of life.
This year, there has been a lot of attention to the "20-Minute Park Effect", which believes that spending 20 minutes a day in a natural outdoor environment can heal the body and mind. At the same time, slow-paced lifestyles such as walking, wellness, museums and wet markets continue to break the circle on social media. On the eve of the Dragon Boat Festival, Xiaohongshu officially launched the "Slow People's Day" IP in Dali, Yunnan, which is known for its "slow life", according to Qiangua data, the number of views of the topic has exceeded 100 million in the 30 days since the release of the #小红书慢人节, and from April 2023 to April 2024, the number of "slow life" related grass notes has increased by 180% year-on-year, involving almost all popular industries.
Dali, Yunnan, which is known for its "slow life", has become a gathering place for "slow people".
图片来源：Shutterstock
The popularity of slow life reflects the changes in modern people's needs for lifestyle and consumption. In the past two years, the slow live broadcast led by Dong Yuhui, Dong Jie and Zhang Xiaohui has not only reflected people's reflection on the form of "shouting" goods, but also reflected consumers' reflection on the consumer-dominated life in the past. In addition, slow life emphasizes attention to quality and detail, and more and more people are eager to slow down, understand the background of the development of things, and pursue a more peaceful and fulfilling quality of life.
Under the concept of slow life, the consumer market has ushered in a new growth point. In terms of cultural tourism, niche cities and other characteristic tourist destinations have become the main positions for people to explore the culture of slow life. In the past year, third- and fourth-tier cities such as Quanzhou in Fujian, Zibo in Shandong and Xinyang in Henan Province have seen an explosive increase in the number of tourists during the holidays, bringing tourists a richer and more diverse cultural and travel experience.
In the past year, the number of tourists in third- and fourth-tier cities such as Quanzhou in Fujian Province and Xinyang in Henan Province has ushered in explosive growth during the holidays.
Image source: CGTN
Yang Yike, Chief Brand Officer of Brandin Brand Consulting, said in an interview with Jing Daily: "'Slow' is just a symptom, and brands should start from the emotional source of consumers, find the contrast between the 'fast' state of society and the 'slow' yearning in their hearts, and truly understand and help consumers find slow scenes and content, rather than 'slow' for the sake of making them 'slow'." Every brand should be meaningful to consumers, not blindly follow the trend of marketing. Through products, scenes, and content to form resonance with consumers, and jointly find the outlet of thoughts and emotions. ”
Reverse consumption
During last year's Double 11, the topic of "reverse consumption" has sparked heated discussions among a large number of netizens, and it was also ranked first on Weibo in October. The description of the hot search entry reads: "Reverse consumption refers to the fact that young people no longer simply think that expensive is good, but pursue both quality and cost-effectiveness." ”
This shift in consumer psychology means that consumers are no longer blindly paying for brand premiums when making purchase decisions, but pay more attention to consumer experience and cost performance. They began to question the traditional concept of "price equals quality", and instead looked for products and services that could meet the needs of quality and provide a reasonable price.
In January this year, Zhimeng Consulting listed "prudence and savvy" as one of the important trends in its "Top 10 Consumer Trends in 2024" report, which is especially obvious among young consumers. From "9 pieces of 9 coffee" to "10 yuan for a meal", these "extremely affordable" and "high-quality and affordable" products have been widely welcomed by consumers.
At the same time, a series of new consumer behaviors have emerged on social media, such as realizing "freedom to eat" in community canteens, joining the "Sunset Red Tour" to start a special forces tour, and "everything can be replaced". These behaviors reflect a re-examination of traditional consumption patterns.
In addition, affordable brands such as Decathlon, Cudi and Manner are also popular for their value for money. Xiao Chen, who has been working in Shanghai for many years, said: "In addition to being cost-effective, these brands have relatively high product quality or professionalism, which can meet the actual needs of life. In addition, they keep up with the trends and launch new products, which is very appealing to me. Even luxury outlets are booming because of the preferential prices they offer, and they are gradually becoming the "new favorite" of young people.
Some affordable brands such as Decathlon are also popular because of their high cost performance.
Image credit: Decathlon
Although on the surface it seems that consumption has been "downgraded", in fact it is an advanced version of "consumption upgrade". The so-called "reverse consumption" is not a simple consumption downgrade, but a better life at the lowest cost through a more savvy consumption method without giving up the pursuit of quality.
As a generation that has grown up with the economy and the Internet, the younger generation of consumers is gradually putting aside the symbolic illusions created by consumerism, and instead focusing on the realization of self-worth and the consumption experience itself. With the continuous change of the consumption environment, these changes not only reflect their consumption wisdom and personalized diversified needs, but also indicate the important direction of future consumption trends.
author
Jing Daily 中国区资深编辑
Linzy Lam
Linzy is a veteran fashion industry journalist who previously worked for yehyehyeh Innovation, a sustainable innovation consultancy. She has extensive reporting and forum planning experience, with a focus on emerging consumer trends and sustainability in China.