COLUMBUS, OH--(Marketwire - August 4, 2010) - Chinese consumer confidence is down in Q2, which could be a reflection of the slight slowdown in economic growth that China is currently experiencing, according to the July 2010 "Prosper in China" Webinar (includes insights from 18,000+ consumers 18-54 collected in the Q2 2010 BIGresearch® China Quarterly). At 56.5%, confidence is down seven percentage points over last quarter (63.8%) and nearly three points over last year (59.1%).
Just as confidence in the economy has slipped, the employment outlook in China appears a little more uncertain. In Q2 2010, 32.2% of Chinese consumers say they are anticipating more layoffs over the next six months, versus 25.4% who were expecting more layoffs in Q1. 54.8% of Chinese consumers expect current layoff levels to remain steady and 13% expect fewer layoffs.
Further, two in five (41.4%) Chinese consumers say that in the last six months they have focused more on needs over wants and 32.6% have become more budget conscious. 58.6% have become more practical in their purchases.
It appears that decreased consumer confidence and a majority who are more practical in their purchases are having an effect on future purchase intentions. According to the BIGresearch® diffusion index (percentage of consumers planning to spend more over the next 90 days minus the percentage planning to spend less), quarter-over-quarter, the spending outlook for all eighteen categories is down. (To see table, click here: http://www.brighttalk.com/webcast/22344)
However, the automotive market seems poised to continuing growing; 24.3% plan to buy/lease a vehicle in the next six months (up from 22.8% Q2 last year). And when it comes to influencing Chinese consumers to buy a car, TV tops the list.
| Top Five Media Influences on Automobile Purchases | |
| (Chinese Consumers 18-54) | |
| TV Broadcast | 31.9% |
| Read Article on Product | 24.8% |
| Cable | 21.3% |
| Outdoor Billboards | 21.1% |
| Word of Mouth | 20.8% |
Source: BIGresearch® China Quarterly Survey, Q2 2010
Find out more about Chinese consumer attitudes, consumption and future spending plans in the complimentary "Prosper in China - July 2010" webinar available now on-demand in both English and Chinese versions. The webinar also includes topics such as mobile, media usage and influence and sample consumer-centric media allocation models for Chinese consumers.
For English: http://www.brighttalk.com/webcast/22344
For Chinese: http://www.brighttalk.com/webcast/22251
Registration is required for first time users through BrightTALK™ which hosts thousands of on-demand webcasts for business professionals. With over 250 different channels and topics ranging from media to marketing to social media, sales and more, they have devoted themselves to making online events the ultimate business tool for transferring knowledge.
The Q2 2010 China Quarterly Report now available. To purchase or for more information: http://www.formsite.com/prosper/cqinquiry/
About ProsperChina.com
ProsperChina.com is an information bank & online forum for firms marketing products & services to Chinese consumers. ProsperChina.com partners with leading marketing resource companies to provide marketers unique insights on Chinese consumers as well as share innovative ways to improve marketing effectiveness. Visit http://www.prosperchina.com.
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