Where Do Chinese Millennials Spend Their Money These Days?
Editor’s note: This is the second installment of a 2-part blog series about China market and the role of language solutions and internet services. Here’s a Closer Look at This Unique Market Segment: Chinese Millennials
The wallets of Chinese millennials should be your next target because they are the drivers of growth for the next couple of years in critical industries. According to the Futurologist Rocky Scopelliti, “Chinese millennials wallet size has surged to exceed that held by the average Chinese adult population by 16 percent.”
As a global company, you may want to consider the buying habits of this particular segment to help you create a systematic internet marketing strategy and language solutions that are worth your time and efforts. This market segment is unique as they aren’t just located in one place anymore like in the Mainland but also live overseas, either traveling, working, or studying abroad.
They are well-educated and digitally-savvy that staying connected to the internet is a part of their lifestyle.
Here’s how they spend their money.
#1 Loans and paying in installments
Tech-savvy Chinese millennials join the bandwagon, “buy now, pay later,” a new trend that allows consumers to borrow money or get into micro-loans, whether it’s a new car or even a breakfast.
Unlike the older generations who pay in cash and save money, the millennials and Generation Z, those born after the 1990s, choose to live by loans instead of cash.
These days, instead of saving money and pay in cash, they may opt to buy a new smartphone, speakers and electronic devices at once by micro-loans. Shopping makes it easier for them and loans are backed by big data analysis and credit history before they get credit ranging from 500 RMB ($100USD to 50,000 RMB ($10,000).
#2 Home decoration
Chinese millennials are thinking about home improvements and spending their money on personal space and color. The millennials in China are about 400 million, and despite the slow property market, companies like Akzo Nobel are targeting this market.
In China, the Dulux architectural paint by Akzo Nobel and Nippon Paint are two of the best-selling foreign brands for home renovation in China. The change of colors and personalize space spark individualism among young homeowners.
#3 Travel overseas
Aside from spending on luxury goods, this affluent segment also loves to spend their money on traveling. They are not just young, single adults who travel, but are also parents with young children.
If you ask them where they would like to travel with their family, they prefer Australia and New Zealand. France is also another favorite, and with France and Australia, these places exude sophistication and heritage, and of course, wine.
Other places they would like to visit are Japan, South Korea, Thailand, Singapore, the United States, and the United Kingdom.
Aside from traveling, the parents also send their children to school overseas for better education, especially learning English and other comprehensive courses to fast track their learning abilities.
Let us know how this post has been an eye-opener to you as a global company or a digital marketer.
If you need help in creating digital marketing and language solutions for your Chinese customers, click the image below and lets work together.