Nike, Adidas, Puma, Sony, IBM -- all these grand brands
represent modern fashion in the mind's eye of today's youth.
Hip-hop, Linkin Park, street dance -- these popular icons hold a
deep allure for teenagers. Internet, computers, cameras -- these
cutting-edge digital products attract young consumers.
Recent research undertaken by the McKinsey Company has revealed
the staggering amount of consumption the younger generation is
responsible for. Direct annual consumption for young people has
reached 290 billion yuan (US$36.25 billion) with indirect
consumption soaring to 225 billion yuan (US$28.13 billion). Around
90 percent of parents stated that they often gave in to
"reasonable" demands from children, thus increasing their
offspring's expenditure.
Like their peers in developed countries, many young people in
China also crave fashionable and famous brands. The difference
separating Chinese youth is their firm grasp on traditional values
and beliefs. Combining the traditional and modern spirits together,
this young avant-garde shows more confidence in itself than earlier
generations.
In the survey, 88 percent of young people preferred domestic
brands while 65 percent also liked foreign ones.
As for how they spend their leisure time, young people in China
resemble their Western counterparts. Watching TV takes up one third
of their free time and reading books, newspapers and magazines
occupies 22 percent.
According to the research, youth in China can be divided into
four groups: fashion-oriented, from low-income families, the
leisure-centered and the economical and rational consumers.
The fashion-oriented group, dominant in large cities and
possessing a buying power of 74 billion yuan (US$9.25 billion) in
value, are becoming important mass media and advertising targets.
The economical and rational consumers who dislike unhealthy food,
such as fast food and soft drinks, are often located in small or
medium cities. Healthy food in restaurants and groceries are their
favorite choices. Since the fashion-oriented and leisure-centered
groups will look for relevant information on the Internet before
spending, websites have become a major battleground for advertising
and sales.
(China.org.cn by Wang Ke, August 30, 2006)
