Here are this week’s news and highlights for China:
How ‘Made In China’ Became Cool: Why have Chinese brands all of a sudden become cool in the Middle Kingdom?
Chinese Consumers are Finally Spending Like Americans: Chinese consumers are in good shape, and this bodes well for China, say analysts. This has been driven by: 1) Healthy wage growth, which after inflation, has been growing about 10% a year for the past decade, 2) Improving social security, which has been one of the drivers behind China’s high savings rates; and 3) More Chinese are getting passports.
89% of Chinese Consumers say Loyalty Programs Increase their Spending: 72% of Chinese consumers “regard themselves as engaged members of loyalty programs,” according to a study by Collinson Group. 89% say loyalty programs increase their spending, and 27% “can’t do without” an app for their loyalty program of choice.
60% of Career Women Say No to Second Child, Report Finds: 56% of Chinese women cited cost as being the biggest deterrent to having children. The second concern was the amount of time, energy and attention involved. Other concerns included career risks, the pain of childbirth and little faith in their marriages. Over 70% said they would not consider leaving their jobs to become mothers.
It Costs Twice as Much to Export Olive Oil from Spain Using China’s “One Belt, One Road” Railway: To transport wine and olive oil from Madrid to Yiwu via the ambitious “One Belt, One Road” project, Spanish producers need to wrap bottles in thermal blankets to protect them from the cold of the Russian tundra—or else their products will freeze and explode, as the train containers aren’t currently heated or refrigerated. The €2,000 price per container is much more than sea, but takes 18 days for the 13,000km trip versus 30 days via ship.
The 5 keys behind ecommerce’s rise in China: Some lesser-known reasons why China’s ecommerce is growing more than three times faster than retail overall in China.
China Leads Asian Consumption of Technology: China has the highest percentage of self-reported early tech adopters in the Asia Pacific region, with 59% indicating they buy a new tech device as soon, or shortly after, it is available according to the Consumer Technology Association (CTA). China is also on track to account for more than half of the global retail e-commerce market by 2018, growing 133% from $1.568 trillion, up from $672 billion last year.
China’s Web Shoppers Receive Orders More Quickly and Mostly for Free: 87% of online purchases in China are shipped at no cost to consumers, according to a recent report from Alibaba and CBN Data. 16 billion parcels were delivered in 2.6 days on average in 2015, 14% faster than a year earlier. Of the more than 2 million Chinese employed in the ecommerce logistics sector, 60% are delivery workers.
After Three Weeks in China, it’s Clear Beijing is Silicon Valley’s Only True Competitor: Beijing is likely to give the Silicon Valley a run for its money within 10 years according to Valley insider Cyriac Roeding. Entrepreneurs in Beijing work faster, adoption is faster, and the domestic market is much larger than the too well-fed Silicon Valley innovators.
5 Chinese Foods That Chemicals Made More Attractive (and More Deadly): No wonder Chinese are increasingly demanding imported food, with the risk of baking powder with heavy metal, shrimp soaked in formaldehyde, opiate-laced noodles, carcinogenic tofu bleach and poisonous preservatives.
PepsiCo Promotes Nutrition and Dietary Balance: PepsiCo’s Quaker partnered with the Chinese Nutrition Society (CNS) to provide nutritional advice during last week’s second annual National Nutrition Week. The advice advocated scientific health and nutrition concepts and promoted a balanced and nutritious diet in keeping with the national health goal of “enjoying healthy life with good nutrition every day.”
China Learns to Sip: 40% of urban Chinese adults associate wine with good taste and 35% associate it with femininity. Whilst 51% of drinkers may associate wine with health, 19% also associate beer, champagne and whisky/brandy. Baijiu even gets 15%.
Chinese Tourism Experts say Fast, Free WiFi Important to Enhance Visitor Experiences: Cumbersome WiFi that isn’t free is leaving a bad impression with Chinese tourists and results in businesses missing out on advocacy from the army of Chinese tourists who are among the most socially connected in the world.
A $341-Million Fountain Pen Market Set to be Bigger: While fountain pens are becoming a thing of the past in most developed markets, Chinese consumers can’t get enough of them, with sales increasing 7% in 2015, helped by the strong gifting culture and a new interest in craftsmanship.