1、December 2022A Time of ResilienceGreater China Consumer&Retail Practice2023 McKinsey China Consumer ReportDaniel ZipserDaniel HuiJia ZhouCherie ZhangFollowing years of heady economic growth and rising consumer spending,recent macroeconomic pressures have sapped Chinese consumer sentiment.Stock marke

2、t sell-offs,declining property transactions,and mobility restrictions designed to slow the spread of COVID-19 clouded consumers outlook.Chinas consumer confidence index,a closely-watched number calculated by Chinas National Bureau of Statistics(NBS),dropped below 90 in in April,a record low(Exhibit

3、1).Historically high savers,Chinese consumers in 2022 doubled-down on their intent to put their money in the bank rather than spend it.According to McKinseys latest nationwide survey of Chinese consumers,58 percent of urban households indicated their desire to“put money away for a rainy day,”the hig

4、hest level since 2014,and 9 percentage points higher than in our previous survey conducted in 2019.Chinese consumers increased propensity to save their money rather than spend it has been evident in the rapid growth in savings deposits,which swelled by RMB 14 trillion during the first 9 months of 20

5、22(Exhibit 2).Despite these economic headwinds,and the decline in consumer confidence,Chinas economy continues to exhibit a certain level of resilience.Nominal disposable income per capita rose by 5.3 percent in the first nine months of 2022,according to NBS statistics.Urban unemployment held steady

6、 at 5.5 percent in September,comparable to pre-pandemic levels,and consumer price inflation rose by just 2.0 percent on average in the first nine months of 2022.A Time of Resilience2023 McKinsey China Consumer Report12023 McKinsey China Consumer Report:A Time of Resiliencepercent of urban households

7、 indicated their desire to“put money away for a rainy day581.Refers to household savings;the net increase is calculated as the total deposits in each month minus the deposits in the same month in the previous year2.3mma=3-month-moving-averageSource:NBS;Peoples Bank of China;Ministry of CommerceNet i

8、ncrease in savings deposits1Monthly;trillion RMB;year-on-year;3mma2622191720Sep-22Inbound foreign direct investmentUS dollars,2021Inflation(CPI)Q1-Q3 2022,period average,percent$181 billionSurveyed urban unemployment rate September 2022,percent5.5%2.0%(similar to 5.2 percent in

9、 2019)(a record high)Exhibit 211.Classification of COVID-19 risk areas is based on 关于印发新型冠状病毒肺炎防控方案（第九版）的通知.Data are as of November 11,2022,after which classification of risk areas is simplified to high and low risk,from high,medium and low“risk.80900920222114Oct-221

10、2China consumer confidence index,2010-Oct 2022Source:NBS;National Health Commission of China;Literature searchNumber of medium and high COVID-19 risk areas in China16,00002,0004,0008,000Mar-22NovAprJunSepJulAugOctMayExhibit 122023 McKinsey China Consumer Report:A Time of ResilienceAnd despite media

11、reports of the impending downsizing or even withdrawal of multinational companies in China,inbound foreign direct investment(FDI)in China has been running at historical highs,having hit a record$181 billion in 2021,a 21 percent surge compared with the previous year,according to the Ministry of Comme

12、rce.Despite downward pressure on economic growth,FDI again expanded rapidly in the first six months of 2022,rising 24 percent year-on-year.Consumer companies in China are consequently scrutinizing their strategies.Will the economyand consumer sentimentget worse?Or will they improve?If,and when,consu

13、mers bounce back,they will certainly have a lot of money to spend.To help shed light on these critical questions,we recently conducted an extensive analysis of the state of play of the Chinese consumer.In this report,we highlight five trends that are shaping consumer behavior(See,Five trends reshapi

14、ng Chinas consumer market).Our analysis draws on an extensive nationwide survey of over 6,700 Chinese consumers conducted in July 2022,a separate“Pulse”survey of consumer attitudes in China and several other markets,online transaction data for more than 1,000 product categories across most1 major Ch

15、inese ecommerce platforms,and economic modeling conducted by the McKinsey Global Institute(MGI).If,and when,consumers bounce back,they will certainly have a lot of money to spend.32023 McKinsey China Consumer Report:A Time of Resilience1 Includes Tmall,Taobao,Douyin,and JD.5 trends reshaping Chinas

16、consumer market1The middle class continues to riseDouble-digit growth of upper-middle and high-income households is powering robust consumption growth2Premiumization maintains momentumAffluent consumers prefer premium over mass-market brands 3Smarter choices,but not trading downConsumers are switchi

17、ng to cheaper channels and more aggressively seeking discounts and promotions4Its all about the productConsumers are savvy and know how to educate themselves about the technical specifications of their favorite products on social media5Local companies are winningConsumers are choosing local brands f

18、or their quality and innovation and not just for cheaper prices,or out of a sense of national pride1)The middle-class continues to rise.There is still no other country that adds as many households to the middle-class each year as China does.And increasingly,these households are joining the ranks of

19、the upper-middle and high-income bracket,with annual incomes above RMB160,000.Over the next three years,China is expected to add another 71 million upper-middle and high-income households.2)Premiumization maintains momentum.Even during challenging times,premium brands still outperform mass brands.De

20、spite rising anxiety over the economy and their personal incomes,when they do spend,consumers still trade up to more premium brands when theyre looking to reward themselves.And with the introduction of trendy and innovative local brands,many foreign brands that once enjoyed a leading position in the

21、 mass or mainstream segment are feeling the pressure,and have seen steep declines in sales.3)Smarter choices,but not trading down.Consumers are not trading down,but they are getting much smarter about what they buy and where.They are very creative at finding the cheapest way to buy the brand they wa

22、nt,whether its through WeChat groups,parallel imports on Taobao,or the latest livestreaming deal.Without compromising on the brand and product they desire,they are making more rigorous trade-off decisions and more actively seeking discounts and promotions.Some are even managing to consume more while

23、 spending less.4)Its all about the product.Consumers are savvy and know how to educate themselves about the technical specifications of their favorite products on social media.They know the precise ingredients that go into their skincare routine,for example,or can compare and contrast the thermal ef

24、ficacy and down content of their jackets.5)Local companies are winning.There once was a time when consumers paid a premium for foreign brands;those days are over.Chinese companies today offer excellent products that are competitive or sometimes even superior to their foreign peers.So,while its not a

25、 new phenomenon,the preference for local brands has accelerated in the past few years.And,contrary to what many think,national pride is not the only driving factor.Today,domestic companies are reacting faster to trends,are closer to the consumer,and are making bolder investments.These five trends ha

26、ve important implications for consumer companies,which we describe in this report.In our conclusion,we suggest four steps executives can take to ensure their consumer brands endure and prosper amid the volatility.52023 McKinsey China Consumer Report:A Time of ResilienceTrend 1:The middle class conti

27、nues to rise67Title of literature Annual household disposable income in China2020 real RMBSource:MGI Insights China macro model%of upper-middle&high-income54%12%(160,000)(85,000)(85,000-160,000)289 38620152025E39%3552021Lower-middle&lower incomeMiddle incomeUpper-middle&high-income1463Num

28、ber of urban households by income group,million34138209Exhibit 3Annual household disposable income in China82023 McKinsey China Consumer Report:A Time of ResilienceOne key reason for optimism is that Chinas base of upper-middle and high-income consumers,who accounted for 55 percent of urban househol

29、d consumption last year,continue to grow at a rapid clip(Exhibit 3).MGI data show that the number of urban households earning incomes of more than RMB 160,000($21,800)expanded at a compound annual growth rate(CAGR)of 18 percent between 2019 and 2021,rising from 99 million to 138 million.By 2025,anot

30、her 71 million households could enter this high-income bracket,underscoring the vibrant potential of Chinas consumer market.Findings from our recent survey of Chinese consumers support this macroeconomic projection.Fifty-four percent of respondents still believe their household income will significa

31、ntly increase over the next five years,a slight decrease from the 59 percent of consumers who shared the same response in our 2019 survey.A worldwide consumer survey recently conducted by McKinsey buttresses the overall optimism expressed by consumers in our China survey.In that survey,conducted in

32、August 2022,49 percent of respondents in China agreed that“the economy will rebound within 2-3 months and grow just as strongly or stronger than before COVID-19”,compared with 11-26 percent of consumers in mature markets (Exhibit 4).These findings should provide a degree of reassurance to companies

33、that are concerned about the decline in consumer confidence this year.percent of respondents believe their household income will significantly increase over the next five years.5433284680732626%of respondents1.Q:What is your overall confidence level surrou

34、nding economic conditions after the coronavirus(COVID-19)crisis subsides(i.e.once there is herd immunity)?Rated from 1“veryoptimistic”to 6“very pessimistic.”Bars may not sum to 100%due to rounding.Optimistic(rates 5 to 6)=The economy will rebound within 23 months and grow just as strongly as or stro

35、nger than before COVID-19;Mixed(rates 3 to 4)=The economy will be impacted for 612 months or longer and will stagnate or show slow growth thereafter;and Pessimistic(rates 1 to 2)=COVID-19 will have lasting impact on the economy,which will regress or fall into lengthy recession.MixedPessimisticOptimi

36、sticSource:McKinsey COVID-19 Consumer Pulse Survey,N=1,200 in China market for each wave and N=800 to 1,000 in other markets for each wave.China samples are weighted to match Chinas population 1865 yearsKorea8/2430Australia8/269/2China8/1829US6/710Japan8/2328India8/1926Indonesia8/23306/812GermanyFra

37、nce6/812UK6/812Exhibit 4Consumer confidence in their countrys economic recovery after COVID-19192023 McKinsey China Consumer Report:A Time of ResilienceTrend 2:Premiumization maintains momentum102023 McKinsey China Consumer Report:A Time of Resilience1,2Source:2019 and 2022 McKinsey China Consumer S

38、urvey1.Question:Thinking of your/your familys consumption behavior in 2022,do you notice any changes in spending in the categories listed below when compared with 2021?What is the level of change per below?2.Income is grouped into the same cut-off points as the MGI Insights China macro model.Higher

39、income=Annual household income above RMB 345K,Upper-middle-income=Annual household income between RMB 160K to RMB 345K,Middle income=Annual household income between RMB 85 to RMB 160K,and Lower-middle and lower income=Annual household income below RMB 85K.All the above RMB is in 2020 real terms.In t

40、he survey,we converted the annual income in 2020 real terms into monthly base and in nominal terms to fit the respondents usual habit%of respondents,N=6,715(2022)/5,400(2019)2022202126Upper-middle incomeMiddle incomeHigh incomeLower-middle and lower incomeDecreased by 5%or more

41、Increased by 5%or moreNo change(-55%)2624733313436High incomeUpper-middle incomeMiddle incomeLower-middle and lower incomeExhibit 5Change in actual spending by income group in China1,2122023 McKinsey China Consumer Report:A Time of ResilienceThe strong growth of upper-middle and high-inco

42、me households and the spending power they bring to bear has proved a boon for high-quality and premium brands.For example,sales on Tmall of premium2 skincare brands enjoyed compound annual growth of 52 percent between 2019 and 2021.This implies it more than doubled,compared with just 16 percent for

43、mass-market brands.3Indeed,high-income consumers intend to spend their cash:twenty-six percent of such respondents told us they spent more in 2022 compared with the previous year,though this was fewer than the 36 percent who said the same three years ago.Only 14 percent said they had cut their spend

44、ing,compared with 18 percent who did so in 2019.While there was little differentiation in spending between the two groups in 2019,patterns have begun to diverge in 2022,as consumers earning lower incomes decreased their spending(Exhibit 5).2 Premium skincare refers to the top 400 brands on Tmall tha

45、t have an average selling price exceeding 500 RMB3 Source:BigOne132023 McKinsey China Consumer Report:A Time of ResilienceHigh-income consumers are spending more,rather than less,across almost all fast-moving-consumer goods(FMCG)categories.Thirty-seven percent are prepared to increase their spending

46、 on international spirits,compared with 35 percent for sports drinks,and 32 percent for juice,for example.High-income respondents indicated that they are trading up to buy more expensive brands and products in categories that make them look good,such as skincare,as well as feel good,such as low-alco

47、hol flavored beverages.Trend 3:Smarter choices,but not trading down142023 McKinsey China Consumer Report:A Time of ResilienceConsumers are switching to cheaper channels and more aggressively seeking discounts and promotionsSource:2019 and 2022 McKinsey China Consumer Survey1.Question:Thinking of you

48、r/your familys consumption behavior in 2022,do you notice any change of spending in categories listed below when compared with 2021?What is the level of change per below?Higher tier=Tier 1&2 cities,Lower tier=Tier 3&4 cities 20222019%of respondents,N=6,715(2022)/5,400(2019)2226216171413Hi

49、gher tierOverallRuralLower tier222222474746323132Lower tierHigher tierOverallDecreased by 5%or moreIncreased by 5%or moreNo change(-55%)Exhibit 6Change in actual spending in China1 by city tiers162023 McKinsey China Consumer Report:A Time of ResilienceIn general,our research indicates that consumers

50、 are spending more conservatively,though they are doing so while making adjustments that allow them to maintain their quality of life(Exhibit 6).In 2022,the proportion of respondents who said they or their family increased spending by 5 percent or more versus the previous year halved to 16 percent c

51、ompared with 2019,while 22 percent said they had decreased their spending.Yet a shift in market dynamics is allowing consumers to maintain their quality of life by making more rigorous trade-offs;some are even managing to buy more while spending less.High-income consumers are reducing their purchase

52、 frequency,or changing their preferences in certain categories,rather than switching to cheaper brands or products.This is facilitated by brands,particularly domestic ones,upping their game and offering more widely differentiated products.Lower-income consumers are adjusting by switching to cheaper

53、channels,such as community or group-buying ecommerce platforms4 for groceries or by choosing cheaper product lines within the same brand.In all but a handful of categories,consumers are now omnichannel shoppers in terms of how they search for and purchase products.Other consumers said they delay pur

54、chasing until products are on promotion.Discounted goods are now more frequently available,and at lower price points,than ever before.4 For more information,please see McKinsey and CCFA:2022 China Retail Digitalization Whitepaper.On average,Chinese consumers spend nearly 2 hours per day watching sho

55、rt-video platforms.172023 McKinsey China Consumer Report:A Time of ResilienceIn skincare,some luxury brands offer near-half-price discounts for entry-level products on livestream channels,comprising both direct price reductions and buy-one-get-one-free promotions.Indeed,McKinseys global survey of co

56、nsumers in August showed that 60 percent of Chinese consumers interact at least once a day with over-the-top(OTT)audio and video streaming platforms,spending an average of nearly two hours per day watching short-video platforms.The sheer number of monthly active users on platforms such as Douyin whi

57、ch reached 671 million in 20215 is driving massive growth in Douyin not only as a social media platform,but also as a shopping channel.GMV on Douyin jumped by 80 percent from 2020 to 2021 to reach RMB 830 billion.Growth in many categories such as skincare or apparel exceeds 200 percent.6 Douyin is g

58、aining in popularity among Chinese consumers as it relies less on promotions and more on providing content-based product information that helps consumers make smarter decisions.Douyin also provides a more highly interactive user experience,and is therefore better suited for new product launches and

59、tests.And while the era of the celebrity Key Opinion Leader(KOL)has not yet passed,KOLs are losing some of their appeal as Chinese consumers seek out more detailed information about the features and functionality of the products they are buying.“Vertical KOLs”specializing in delivering this sort of

60、information are becoming more popular.5 Source:QuestMobile6 Source:BigOneTrend 4:Its all about the product182023 McKinsey China Consumer Report:A Time of ResilienceQuality and functionality are increasingly critical purchasing drivers,relative to emotional considerations1Source:2022 McKinsey China C

61、onsumer SurveyPercent of respondents,N=6,7151.Question:Please select the top 10 factors when you considered buying below products;2.Non-food includes personal care and household care,baby care,apparel;3.Food includes dairy,food,soft drinks,alcoholNon-Food2Food3Product quality/functionalityPriceEmoti

62、onal connectionBrandTop 3 reasons39403051117301233Attractive packagingWell-known brandSafe/natural ingredientsQuality is better than competitorsBrand specializing in this productRequired efficacy/flavors/design Latest product in the marketLower priceOffers higher value for money than othe

63、r productsAttractive promotionsSuitable for my whole familyMakes it easier for me to be involved with peers/colleaguesIt is the brand for me/Makes me feel that my familys life is getting betterReliable brand45532091418281119Exhibit 7Key buying factors in China by category1202023 McKinsey

64、China Consumer Report:A Time of ResilienceChinese consumers are becoming much savvier about what they buy.In 2022,functionality extended its lead as the most important factor influencing Chinese consumers of fast-moving consumer goods,having regained ground lost to emotional factors between 2015 and

65、 2019.Chinese consumers are deeply knowledgeable about the features and specifications of the products they buy,from the ingredients that go into their facial cream,to the type and quality of down feathers that make up their favorite jacket(Exhibit 7).In skincare,companies are listening to a rising

66、cohort of Chinese“skintellectuals”buyers interested in understanding the source and efficacy of ingredients and doubling-down on marketing products that appeal to them.In some cases,sales of such products have doubled in the past two years,while suppliers of skincare ingredients have doubled their r

67、esearch budgets since 2020.212023 McKinsey China Consumer Report:A Time of ResilienceIn apparel,the functional trend is being realized in the form of new lines of specialized or occasion-based clothing.Brands selling so-called effortless bras,or shirts that provide protection from ultraviolet rays,a

68、re enjoying strong sales growth.Agile brands,meanwhile,are combining high-quality design and functionality by releasing niche outdoor lines,including glamorous camping(glamping)or skiing products.While consumer confidence and spending may continue to fluctuate along with the evolving macroeconomic e

69、nvironment,Chinese consumers focus on researching and buying products that meet their increasingly exacting requirements is one trend that is here to stay.Trend 5:Local companies are winning222023 McKinsey China Consumer Report:A Time of ResilienceChinese consumers are choosing local brands for thei

70、r quality and innovation,and not just because of low prices or from a sense of national pride.Our survey indicates that 49 percent of Chinese consumers think domestic brands are of“better quality”than foreign brands versus 23 percent who believe the converse is true.This finding held true in roughly

71、 the same proportion across 12 different product attributes we asked about in our survey.In another survey,“good quality”was the third most important reason consumers chose Chinese brands,behind affordability/value and supporting local companies,while innovation was fifth on the list.7In short,Chine

72、se consumers care less about the origin of a brand and more about the benefits and features it can deliver.This tendency has translated into consumers increasing their purchases of local brands over the past several years(Exhibit 8).For example,while foreign brands lead the market for internal combu

73、stion engine(ICE)cars,Chinese brands are leading the electric vehicle(EV)market in terms of volume sales,demonstrating their capacity to compete not just on price,but on technological innovation.Value share of top 20 brands,by brand typeSource:Euromonitor(infant milk formula,QSR,apparel),IDC(mobile

74、phones)Infant milk formulaMobile phoneQuick service restaurantApparel1.Including foreign brands acquired by local players and brands with China entity operated/listed independently.4664543620226738202440202525235201320210Local owned/operated foreign brands1Local bran

75、dsForeign brandsPercentExhibit 8Value share of top 20 brands,by brand type242023 McKinsey China Consumer Report:A Time of Resilience7 Chinese Academy of Social Sciences,Douyin,and Ocean Engine reportMcKinsey auto consumer research also suggests that domestic brands top foreign alternatives in terms

76、of brand awareness;they are first to come to mind when young consumers consider buying an EV.Electrical home appliances is another category where Chinese brands are performing well,thanks to perceived product benefits.Chinese brands account for more than 80 percent of domestic market share,backed by

77、 sustained investment in innovation.8 One leading player increased spending on R&D by 15 percent per year over the last five years,enabling the launch of climate-friendly products in global markets that has driven significant growth in revenues.1.Includes BEV,PHEV,REEV,FCEV 2.Includes local brands o

78、f traditional OEMs and EV disruptors Source:China New Car Registration DatabaseUnit share,percent755920254180TotalTotalBattery-electric vehicles20122022 Jan-SepLocal brands2Foreign brandsExhibit 9Sales of passenger vehicles by country of origin1252023 McKinsey China Consumer Report:A Time of Resilie

79、nce8 Source:Euromonitor.Chinese consumers also increased their share of purchases of domestic mobile phone brands from 46 percent of the sales value of the top twenty mobile phone brands in 2013 to 64 percent in 2021.And Chinese consumers increased their purchases of local infant milk formula from 4

80、8 percent of the sales value of the top twenty brands in 2013 to 52 percent in 2021.We expect these trends,which reflect Chinese brands ability to produce high quality products with a differentiated value proposition that appeals to Chinese consumers,to represent an enduring shift.262023 McKinsey Ch

81、ina Consumer Report:A Time of Resilience272023 McKinsey China Consumer Report:A Time of ResilienceHow brands can stay ahead of the changeFor executives of consumer-facing companies in China,understanding how the five trends described above will impact their business will help them craft better strat

82、egies and make more well-informed decisions.And while the solutions they ultimately create will be unique to each company,there are at least four actions that all executives can think about pursuing as they navigate Chinas changing consumer landscape:1.Add rolling reviews to stay nimble and prepared

83、 to tackle an increasingly volatile business climate.The volatility and uncertainty of the past two years is likely to become the new normal in China.The long-observed tradition of holding annual and quarterly business reviews will not be enough for managers who need to keep pace with a rapidly chan

84、ging environment.Instead,rolling reviews coupled with the will and capacity to make swifter and bolder changes to business plans will be needed if companies expect to respond more quickly and effectively to abrupt changes in consumer demand,fresh macroeconomic shocks,or new policy pronouncements.Man

85、agers will also need to take a much more agile approach to people deployment,rapidly realigning and reskilling human resources to tackle the companys biggest priorities.2.Establish a consistent presence and voice throughout the customer decision journey to inspire,influence,and convert affluent cons

86、umers.The swelling cohort of upper-middle and high-income consumers and their continued desire to spendeven in the face of rising economic uncertaintymeans millions of new consumers are looking for opportunities to spend their cash on premium brands and entirely new categories of products.Consumers

87、are looking for information and guidance as they make choices about products theyve never purchased before.This creates a unique opportunity for brands to shape how consumers think about entire product categories,even before they make their first purchase.For example,helping consumers to understand

88、why they need to add more steps to their morning skincare routine,which in turn requires purchasing a broader range of skincare and cosmetics products,requires getting in front of them at a much earlier stage of their decision journey.And brands need to establish a presence across the different off-

89、line and online touchpoints where consumers gather the information that influences their purchasing decisions.From short and snappy videos and livestreams on Douyin,to physical store 282023 McKinsey China Consumer Report:A Time of Resiliencecounters at department stores,to old-fashioned word-of-mout

90、h,Chinese consumers absorb information from a variety of sources before deciding to dole out their hard-earned cash on a new product.3.Convert consumers into brand ambassadors.Chinese consumers have become much savvier and more skeptical in recent years about the marketing gimmicks brands use to woo

91、 them.Some brands have addressed consumer concerns around product safety and reliability through creative ways,for example,by inviting them to their factories to see how products are made,creating open kitchens that show exactly how food is prepared,and adding bar codes on packaging that enable them

92、 to track a products origin and journey along the supply chain.Winning the hearts and minds of Chinese consumers is increasingly requiring a different approach.Brands that can build a deeper understanding of consumer needs and expectations,and which provide information that helps them make better de

93、cisions,will be better positioned to capture their attentionand a bigger share of their wallets.4.Build a robust supply chain which not only predicts,but also rapidly reacts to uncertainties and shocks to the system.Until recently,supply chain management was all about predicting demand in the next q

94、uarter or two,and configuring the supply chain to efficiently fulfill that demand.While prediction will continue to play a critical role,learning how to react quickly and nimbly has become increasingly important in an environment where sudden surges ofand equally sudden drops indemand can send shock

95、waves through the supply chain.An apparel brands top-seller on the annual Singles Day could move 1,000 times more volume than the average seller,and yet,its nearly impossible to predict who that seller will be.One leading cosmetics brand used the month in the run-up to Singles Day to adjust their ma

96、nufacturing facilities,inventory allocation,pricing strategies,and marketing plans to be prepared for the unpredictable.In a time of heightened uncertainty and volatility,never getting it exactly right when it comes to supply chain management is becoming the norm.292023 McKinsey China Consumer Repor

97、t:A Time of ResilienceConclusion Chinas increasingly affluent consumers are proving to be resilient.As economic pressures drive them to be more discerning,they are increasingly choosing products for quality and functionality.In a landmark change,domestic brands are now preferred over foreign ones on

98、 both criteria.Companies that respond quickly when these conditions change will outperform their competitors as Chinas consumer market continues to expand.302023 McKinsey China Consumer Report:A Time of ResilienceAbout the 2023 McKinsey China Consumer ReportOur study was based on a comprehensive sur

99、vey of Chinese consumers,ethnographic research,and observations from our work advising companies in China.The survey was conducted in July 2022 and is part of a series of comprehensive surveys of Chinese consumer behavior conducted by McKinsey since 2005.The survey sample included over 6,700 respond

100、ents from 44 cities and nearby rural areas,representing approximately 90 percent of Chinas GDP and more than half of its population.We conducted interviews with respondents through digital devices,covering consumers general attitudes and purchasing behavior,key trends regarding their consumption pat

101、terns and leisure habits,and attitudes toward life,success,money,and health.The survey included a deep dive into apparel,cosmetics,and FMCG categories,including food,personal care,and household products.Our work was supplemented by additional research that McKinsey is conducting on consumer sentimen

102、t in more than 40 countries.To download a free PDF of this report,visit: McKinsey China Consumer Report:A Time of ResilienceReferencesMcKinsey COVID-19 Consumer Pulse Survey:Since the outbreak of COVID-19 in 2020,McKinseys COVID-19 Consumer Pulse surveys have developed a longitudinal understanding o

103、f consumer behavior as regards their spending patterns,and evolving channel preferences.We have launched surveys in 40-plus countries globally,including China,the US,the UK,India,and Japan.To-date,we have accumulated more than 50,000 samples across 15 waves of research.The latest wave was conducted

104、from August to September 2022.MGI Insights China:MGI Insights China is a proprietary econometric model containing over 30,000 equations simulating Chinas demographics,economy,income levels,and consumer demand to 2040 at both the national and city level.The model also performs customized segmentation

105、 analyses on regions and clusters,and combines economic measures with Chinese consumer survey data,tracking their behavior and preferences.BigOne Lab:Founded in 2016,BigOne Lab is a data company headquartered in China.They focus on analyzing data to drive business insights.Their data products and so

106、lutions currently cover more than 200,000 companies in over 10 industries.322023 McKinsey China Consumer Report:A Time of ResilienceThe authors would like to acknowledge the contributions of the following colleagues to the research and writing of this report:Alex Sawaya,Asina de Branche,Lambert Bu,M

107、ichael Chi Chen,Johnny Ho,Ariel Hsieh,Chloe Fang,Glenn Leibowitz,Erik Rong,Jeongmin Seong,Michael Straub,Jacob Wang,Kevin Wei Wang,Sophia Wang,Dina Xiao,Hai Ye,Ellen Zhang and Emily Zhao.AuthorsAcknowledgementsCherie Zhang Knowledge Expert ShanghaiDaniel Zipser Senior Partner Leader,Asia Consumer&Retail Practice ShenzhenJia Zhou Partner BeijingDaniel Hui Partner Hong Kong2023 McKinsey China Consumer Report:A Time of Resilience December 2022 Copyright McKinsey&Company Designed by GCO NewM