McKinsey recently conducted a survey of 6,000 consumers in 30 Chinese cities representing about 60% of the country's population, 90% of its GDP, and 80% of its disposable income. Though China's savings rate is high (most Chinese save to pay for health care and pensions) and most Chinese see creating a cash cushion as their #1 priority McKinsey reported a strong appetite for consumer goods. Here are some of McKinsey's findings:
- Consumers intend to buy the following big-ticket items over the next 12 months: new cars, appliances, and the latest consumer electronics.
- 43% of respondents agreed or strongly agreed that "having a private car is my biggest dream" (slightly more than 2% planned to purchase a car in the next 12 months).
- At the top of many Chinese consumers' shopping lists is a new apartment or house.
- Nearly 75% of respondents had plans to upgrade appliances and furniture upon moving into a new apartment or house.
- 8% said that their next major purchase would be a flat-screen television.
- 20% of respondents in rural county seats plan to buy mobile phones over the next year vs 10% in top-tier cities and vs 15% in second-tier cities.
- 12% of respondents in small towns said they were likely to purchase new washing machines in the next year vs 5% in top-tier cities.
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