BIGresearch China Quarterly Trends: Young Chinese Tightening Budgets

Chinese Consumers 18-34 Say Their Personal Financial Situation Is Worse Off

 | Source: BIGresearch BIGresearch

COLUMBUS, OH--(Marketwire - February 19, 2009) - 23.2% of young Chinese (ages 18-34) feel they are worse off financially compared to a year ago, according to BIGresearch's Q4 2008 China Quarterly Survey (4,328 participants) (http://www.prosperchina.com/big.htm). The percentage that feel this way steadily increased each quarter of 2008, while the percent of those who feel they are better off declined. 

Personal Financial Situation Compared to Last Year
(Chinese Consumers 18-34)

                  Q1 2008   Q2 2008   Q3 2008   Q4 2008
Better off         44.5%     41.6%     37.4%     28.0%
Worse off          13.4%     14.0%     19.2%     23.2%

For complimentary data and charts: http://www.prosperchina.com/big.htm

Further, despite China's strong economic growth in recent years, consumer confidence in the Chinese economy has declined for the 4th quarter in a row among young consumers, likely fueled by the collapse of the financial markets, decrease in exports and recession in the U.S. and Europe. 

Confidence in China Economy
(Chinese Consumers 18-34)

                  Q1 2008   Q2 2008   Q3 2008   Q4 2008
Confident/         74.3%     65.0%     60.2%     47.4%
Very Confident

With young Chinese feeling the pinch when it comes to their personal finances and uncertainty in their economy, it appears they are also pulling back on spending. The number of consumers planning to spend more in key retail categories such as Women's Clothing and Grocery also decreased each quarter while those planning on spending less increased. 

                  Q1 2008   Q2 2008   Q3 2008   Q4 2008
Women's Dress Clothing
More               33.7%     34.1%     31.9%     28.7%
Less               18.3%     17.0%     19.8%     21.3%

Groceries
More               25.8%     25.5%     22.8%     21.6%
Less               16.5%     18.1%     19.5%     19.5%

Source: BIGresearch, China Quarterly Q1-Q4 2008

About BIGresearch

BIGresearch is a consumer intelligence firm providing analysis of behavior in areas of products and services, retail, financial services, automotive, and media behaviors. The China Quarterly monitors the purchasing behavior and media consumption of more than 4,000 Chinese consumers between the ages of 18-34 years old. The China Quarterly is available through BIGresearch in report or database format.

BIGresearch conducts the biggest surveys with sample sizes from 4,000 to 15,000 and employs unique computer intensive statistical methods to give highly accurate consumer information with a margin of error of +/- 1 percent. http://www.prosperchina.com

Contact Information: Contact: Chrissy Wissinger BIGresearch 450 West Wilson Bridge Road Suite 370 Worthington, Ohio 43085 (614) 846-0146

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