Survey: Chinese consumer sentiment during the coronavirus crisis

| Survey
Optimism in China has decreased to below 50 and fewer consumers are engaging in ‘normal’ out-of-home activities.

Due to the sporadic COVID-19 cases and serious lockdown situations in major China cities, optimism has decreased to below 50 since March 2022, though it remains more sanguine than those in most other major economies. Around one-third of Chinese reported a decrease in household income and savings in the past two weeks before survey fieldwork. And, due to the uncertain cases this year, fewer consumers engaged in ‘normal’ out-of-home activities and over 80 percent mentioned to have reduced or changed the way they used to engage a variety of out-of-home activities.

These exhibits are based on survey data collected in China from August 18-29, 2022. Check back for regular updates on China consumer sentiments, behaviors, income, spending, and expectations.

0—33
Consumers care about sustainability and health--but do they pay?
Five emerging consumer themes in August 2022
Optimism, though lower than in March, remains higher in China than in other countries surveyed, except India and Indonesia
As overall optimism has decreased in the past 10 months, an increase of pessimism has been observed
Decrease in optimism is driven by middle-aged and elderly, medium-to-high income, and vaccinated consumers
Chinese consumers are experiencing decreased income and savings but are maintaining their spending
Consumers of all generations, except high-income baby boomers, have maintained the intent to ‘splurge’ in coming months
Fashion and out-of-home activities are the top categories that consumers would like to splurge on
Consumers reported negative intent to spend in most categories
Spend increase is mainly driven by price increase, while decrease is driven by less volume due to price rise and product trade-down
Net intent to spend is recovering for some categories but has not rebounded above zero
Consumers are less likely to say they are engaging in ‘normal’ out-of-home activities in 2022, with higher ratio among high-income groups
Depending on the category of activities, about 80 to 90 percent of consumers report modifying their behavior when out of home
In the context of several outbreaks of omicron BA variants, eight in ten consumers have changed how they do out-of-home activities
Relevance of social media and omnichannel continues in purchase behavior
Omnichannel shopping is taking place in most categories and dominating many of them
Social media are influential during purchase, especially in apparel, personal care, food and beverages and consumer electronics, and among Gen Z
Most consumers use social media more than daily, and WeChat has the highest stickiness, followed by other platforms
Nearly 60 percent of consumers use entertainment platforms at least daily; Tencent, Youku, and Aiqiyi compete closely
Alternatives to in-store shopping see double-digit growth; over half of the consumers intend to continue their usage--except for DIY
Digital and remote services see double-digit growth, and over half of consumers intend to continue using most types of services
Food delivery has the highest penetration; over half of consumers expect to continue using most alternatives to in-store shopping
Consumers have acquired at-home alternatives to out-of-home activities, and over half expect to continue most of them
Brand switching continues with value as top 1 reason among APAC countries
Shopping behavior change is more extensive among higher-income consumers; live e-commerce is popular among Gen Z
Sixty percent of consumers encounter stockouts, most commonly for personal care, household supplies, groceries, and vitamins and supplements
Many consumers substitute brand or retailer rather than wait for products to become available; 20 percent give up on buying
Value was a primary reason for brand switch, followed by purpose-driven considerations
Value was a primary reason for retailer switch among all but especially for younger consumers
Nearly two-thirds of Chinese consumers observed a general rise in prices--a lower rate than in other peer countries in Asia–Pacific
Over half of consumers substituted retailers or brands in reaction to price increases; only one-fifth paid a premium to maintain the status quo
The most common response to higher prices is to switch retailers or brands
Consumers make cost-effective decisions when they switch retailers and brands
Consumers care about sustainability and health--but do they pay?
Five emerging consumer themes in August 2022
Global surveys of consumer sentiment during the coronavirus crisis

Global surveys of consumer sentiment during the coronavirus crisis

Read the collection
Explore a career with us
Search Openings
Related Articles
COVID-19: Implications for business
Executive Briefing
COVID-19: Implications for business
Leadership in a crisis: Responding to the coronavirus outbreak and future challenges
Article
Leadership in a crisis: Responding to the coronavirus outbreak and future challenges