Today's consumer market is moving away from past blind conformity and trend-following, showcasing characteristics of rational upgrading and demand restructuring.
On May 21, Accenture released its latest insights on Chinese consumers, indicating that amid changes in the macroeconomic and consumption environment, the mindset and behavior of Chinese consumers are undergoing significant shifts.
This transformation is particularly evident among the younger generation. While Generation Z has often been labeled as impulsive spenders, research findings now show that this group places greater emphasis on certainty in their financial and life planning:
Data reveals that a striking 82% of Gen Z respondents have started saving money or consciously reducing non-essential expenses. When making major purchasing decisions, 76% of Gen Z prioritize economic practicality as their primary consideration. Correspondingly, their life priorities have also shifted, with increased focus on health, wealth, and career by 14%, 3%, and 17%, respectively.
However, rationality does not equate to a halt in consumption. While emphasizing savings and financial management, Gen Z remains willing to pay for emotional value. Experiential consumption such as travel, leisure, and entertainment has become an important avenue for them to seek emotional replenishment.
Turning to the "new silver-haired" demographic aged 55 to 65, this group's consumption logic is undergoing an inward exploration. They are gradually shifting from a traditional family-centric focus towards greater self-attention.
One clear indicator is that the proportion of the new silver-haired group living with their children has dropped from 76% in 2021 to 38%. In terms of energy and financial allocation preferences, this group's focus on family and career has decreased by 12% and 11%, respectively, while attention to wealth and personal hobbies has increased by 10% and 12%.
Reflected in their spending, the new silver-haired group is more willing to increase expenditures on self-fulfilling experiences such as travel, leisure, entertainment, and dining. Incremental spending from this group is also appearing in categories traditionally associated with younger consumers. For example, over half of those aged 60 to 65 now purchase beauty and skincare products, a 17% increase from 2021.
A similarly cautious and rational attitude is evident among high-income groups. The research defines households with a monthly income exceeding 30,000 yuan as high-income. Although 80% of this group feel their financial situation improved over the past year and nearly half are confident about the future, their consumption decisions have not turned towards blind expansion.
Among them, 87% of high-income respondents report that the goods they purchase are frequently used, with consumption for stockpiling purposes remaining low. Even when faced with favored brands, 56% of high-income consumers still compare options before buying.
Accompanying the spread of this rational consumption mindset is the high penetration of AI tools on the consumer side. Research indicates that 77% of all respondents frequently use AI tools. Gen Z and high-income groups are core active users, with high-frequency usage of generative AI reaching 85% and 88%, respectively. Even the new silver-haired group shows considerable acceptance, with 51% consulting AI tools to obtain life information. AI has essentially become an objective tool assisting consumers across age groups in information filtering and rational decision-making.
Faced with consumers' increasingly prudent purchasing habits and the proliferation of AI tools, traditional corporate marketing models are under pressure to transform. Consumers are prone to aversion towards uniform marketing content, and the conversion efficiency of past marketing methods relying on endorsers or influencers is declining. How to recapture consumer attention is a practical challenge for brands.
The president of Accenture Greater China's Song Business Unit stated that companies navigating the current market need to avoid falling solely into homogenized competition based on supply chains and pricing. On one hand, enterprises can utilize AI technology to understand functional data, thereby optimizing product offerings and responding to consumers' genuine needs. On the other hand, brands need to establish clear emotional connections and value propositions, credibly reshaping customer experiences and consumption journeys to adapt to the new market cycle.
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