China Toy Market: Targeting „Kidults“

China Toy Market – Targeting „Kidults“A New Concept for Toys When talking about toys in the Chinese market, they no longer are exclusive targeted at infants or children, and go beyond the traditional categories such as puzzles, plush and dolls. A new concept of toy is on the rise, called trendy toy (or artistic toy). Trendy toys have become increasingly popular, especially among young Chinese consumers aged 15 to 25, the so-called generation Z or “Kidults”. According to research by the Chinese Academy of Social Science, the trendy toy industry in China had reached a sales volume of 30 billion …

China’s EV OEMs – Spotlight BYD

China’s EV OEMs – Spotlight BYDOutranking VW, Mercedes-Benz, and BMW At the beginning of April 2022, Elon Musk, founder of Tesla, became the richest man in the world with a net worth of USD 219 billion, signaling a new chapter in the New Energy Vehicle era. Valued at over USD 1 trillion, Tesla is the world’s leading automotive company, and many credited its success to Musk’s business foresight and the company’s technology. It has also been voiced that Tesla is becoming increasingly dependent on China, a massive eco-industrial hotbed providing Tesla’s much needed supply chain, manufacturing capability, and consumer market. …

IHK Cologne Event – Changing China

Changing China – Impact & Action Demand for Foreign Businesses (IHK Event)The future of business in China: where is the journey heading? This question is on the minds of more than 5,000 German companies currently operating in China. The Cologne Chamber of Industry and Commerce provided answers as part of an expert panel. As part of the event organized by the IHK Cologne on May 9th, our partners Daniela Bartscher-Herold and Uwe Haizmann shared their perspective on opportunities and challenges for German enterprises in the Chinese market. In front of >70 decision-makers, they elaborated on the recent COVID-outbreak in Shanghai, general …

China’s PCR Market – A Localization Case Study

China’s PCR Market – A Localization Case StudyThe demand for PCR equipment has surged in China in recent years, mainly including ordinary PCR (1st generation PCR) and quantitative real-time PCR (2nd generation PCR, also called qPCR). In August 2018, African swine fever emerged in China and spread rapidly across the country, thus high demand for pig testing drove demand for PCR instruments. With the outbreak of COVID-19 in 2020, China has begun to establish a large amount of PCR laboratories, and the market demand for PCR instruments has experienced a new round of explosive growth. In the whole year of …

Direct-to-Consumer (DTC) – The Next Trend for Consumer Goods

Direct-To-Consumer (DTC) – The Next Trend For Consumer GoodsDTC: A new Sales Model for Consumer Goods Brands DTC, direct-to-consumer, refers to a business model in which brands directly sell to consumers without intermediary channels. With the help of the internet, brands establish direct connections with consumers and can directly interact with them along the entire lifecycle from marketing to service. DTC brands are not simple e-commerce companies, even though e-commerce is a popular channel they choose to be closer to consumers. Brands are able to obtain real-time and efficient consumer feedback through internet platforms, so as to acquire consumer insights …

Sourcing In Southeast Asia: Diversifying Your Supply Chain To Gain More Resilience

Sourcing in Southeast Asia: Diversifying your Supply Chain to Gain More ResilienceUnexpected Circumstances Result in Supply Chain Disruptions With the daily number of confirmed Covid-19 cases continuing to reach record highs, China’s financial mega-city, Shanghai, is being imposed to observe total lock-down since the end of March, resulting in shortage of transport and port workers. By beginning of April, the number of ships waiting for loading and discharge at Shanghai port reached 300+, tripling usual volume. As the largest export hub of China, consequence of congestion at Shanghai port is expected to impact in the next few months. Looking back …

China’s Aged Population: Favorable Policies and Economic Opportunities

China’s Aged Population: Favorable Policies and Economic OpportunitiesAccelerating Demographic Shift and Start of an “Aged Society” In January 2022, Chinese elderlies aged 65 and above reached 200 million – accounting for 14.2% of the total population. According to UN standards, a country with more than 7% of the population over the age of 65 is an „ageing society“, more than 14% an „aged society“ and more than 20% an „ultra-aging society“. Thus, this marks China’s official demographic entry into an „aged society“. Meanwhile, China’s elderly service resources are not balanced geographically: especially in rural areas and in the case of …

China Trade 2022 – Mutual Dependency instead of Decoupling

China Trade 2022 – Mutual Dependency instead of DecouplingDespite fundamental changes in the relationship of China with the rest of the world, there is a very different sentiment when it comes to consumption patterns and purchase decisions. In 2021, China traded more with the rest of the world than ever before. We shed light on some key attention points.Six trillion USD in export and import value shows that China remains deeply connected with the global economy. Pushed by demand from the EU and US, the country recorded its biggest trade surplus to date. Consumers in both Europe and North America …

The Ice & Snow Economy behind the Winter Olympics

The Ice & Snow Economy behind the Winter Olympics“300 million people hit the ice & snow” When the Chinese government bid for the Olympics in 2015, it pledged to attract 300 million new winter sports participants as part of the Olympic legacy. In 2022, before the opening of Beijing Winter Olympics, China claims that the number of people who had taken part in outdoor and indoor winter sports-related leisure activities since 2015 has reached 346 million, surpassing the initial target. The “300 million” is not only a number that shows the popularization of winter sports in China, but also a …

The Chinese Consumer in 2022

The Chinese Consumer in 2022“Generation Z” Chinese consumers display fundamentally different behavior as new sales channels, rising domestic brands and an increasing desire for self-expression have changed purchasing habits. But the growing elderly population is becoming an important consumer group as well! In this article we summarize the main characteristics about consumption in China you need to know.Rising Purchasing Power in China The annual disposable income of residents in China’s urban areas has been constantly growing over the past decade: From on average around 2,500 EUR in 2010 to more than 5,500 EUR in 2020. Urban dwellers in tier-1 cities …

China’s Offline Retail Challenge

China’s Offline Retail ChallengeIn the past decades, the Chinese retail market has experienced a significant transformation from traditional to modern, and is now again being disrupted by e-commerce. Since 1992, China’s retail market developed with the country’s rising economy and changing consumption habits. New and modern shop formats have been introduced during this period, such as department stores, hyper/supermarkets, convenience stores, exclusive stores, and other forms of business, which are shaping China’s modern retail landscape until now.What threats are China’s offline retail facing? After 2003, with the establishment of Alibaba’s Taobao platform, China consumers’ consumption habits have been changed dramatically …