Chinese Imported Consumer Goods Market: First ever report provides essential insight for foreign brands

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02:24

Online sales continue to drive China's economy, with its youngest consumers spending the most. Many foreign and imported brands are big sellers, thanks to their knowledge of the latest consumer trends. So, what will it take for foreign brands to keep their presence strong, and how can other international brands break through in China? CGTN's Wu Lei finds out.

China's young may also be restless in terms of spending. New consumer data shows those born in the mid 90's and later make up the largest segment of those who buy imported goods. Their combined online spending accounted for 45.2% of the total in 2017.

ZHANG TIANBING, LEADER DELOITTE ASIA PACIFIC CONSUMER PRODUCTS & RETAIL INDUSTRY "They have a different preference in purchasing, they are purchasing at a higher price and the brands are not universally big brands, but they want those small brands, that get more individualized and more reflecting their own choices."

And consumers' desire for better lives focuses on three main categories: beauty products, health products and digital home appliances.

WU LEI SHANGHAI "This report also analyses the pathways for foreign brands entering the Chinese market. In contrast to general trade, cross-border e-commerce provides easier access to imported goods, and offers consumers products directly from overseas."

China's online retail market—the world's largest—reached 7.2 trillion RMB in 2017, an increase of nearly 32.2% from a year earlier. This huge potential is in large part due to the rapid growth of the digital economy.

GAO HONGBING, VICE PRESIDENT ALIBABA GROUP "Foreign brands can use this online market as a testing ground to further upgrade their branding power, category expansion, and marketing strategies. That's all thanks to China becoming the world's largest consumption market, accounting for one fourth of the world's total consumption."

But experts also suggest these global brands apply advanced technologies and approaches to connect and interact with consumers and satisfy their demands accurately and efficiently. WL, CGTN, SH.