On March 5, the first work report of the National People's Congress put forward the main tasks for 2024, and in the task of promoting stable consumption growth, it was proposed to "cultivate and expand new consumption, implement digital consumption, green consumption, and healthy consumption promotion policies, and actively cultivate new consumption growth points such as smart homes, cultural and entertainment tourism, sports events, and domestic trendy products." ”
Cha Yu will explain to you the logic and opportunity of cultivating and expanding new consumption, which is essentially to stimulate consumption potential from the perspective of optimizing supply.
01 The logic of new consumption
As for the concept of new consumption, it is generally believed that new consumption is a collective term for a series of new consumption formats, new models, new scenarios and new services spawned by the Internet and digital technology.
The digital consumption, green consumption, and healthy consumption mentioned in the report are essentially the connotation characteristics of the three dimensions of new consumption.
The characteristics of digital consumption are based on data and digital technology, optimizing the process and experience of traditional consumption through digital means, and providing consumers with a more convenient, personalized and diversified consumption mode of goods and services. The application of digital technology can realize the characteristics of organic integration of online and offline consumption, commodity consumption and information consumption, product consumption and service consumption, material consumption and spiritual consumption, and form a new consumption form.
The trend of green consumption has three meanings: first, it advocates consumers to choose green products that are not polluted or contribute to public health when consuming; the second is to pay attention to the disposal of garbage in the process of consumption, so as not to cause environmental pollution; Third, the brand can provide consumers with a positive emotional value, while pursuing a comfortable life, pay attention to environmental protection, save resources and energy, love the land and people, and have social value of sustainable consumption.
The concept of healthy consumption refers to the fact that consumers favor products that can reduce diseases and meet the long-term needs of nutrition and health, and expect to enhance their own immunity and maintain their good condition through healthy consumption. Consumers have gradually shifted from passive and reactive medical treatment to active and normal preventive health care, and gradually formed a sense of self-management of health.
The three dimensions of digital, green and health are also important evaluation system standards for us to cultivate and expand new consumption, digital is for the value of technology application, green is for social value, and health is for the personal value of consumers.
It is best to integrate the products or services of new consumption in the three aspects of digital, green and health, so that they can completely avoid the red sea competition of the traditional consumption track.
02 Opportunities for new types of consumption
In 2023, the per capita consumption expenditure of residents nationwide will be 26,796 yuan, an increase of 9 over the previous year2%, deducting the ** factor, the real growth is 90%。Among them, the per capita service consumption expenditure was 12,114 yuan, an increase of 14 over the previous year4%, accounting for 45 percent of the per capita consumption expenditure of residents2%。
From the perspective of the structure of consumer spending, spending on transportation and communications, education, culture and entertainment, health care, and other supplies and services grew rapidly. Spending on transportation and communications increased by 143 percent, mainly due to an 18 percent increase in transportation spending4%。Affected by the boom in cultural entertainment such as tourism, performances, and exhibitions, cultural and entertainment expenditures increased by 393%, driving an increase of 17 percent in education, culture and entertainment spending6%。Health care spending grew by 160%, mainly due to the increase of 168% and 158%。Affected by the rapid growth of hotel accommodation fees driven by travel, the expenditure on other supplies and services increased by 171%。
The market interest pattern of traditional consumption is relatively difficult to break, and market competition is also focused on the stock competition level, whether it is the supply side or the demand side, it is difficult for new entrants to find development opportunities.
The report proposes to cultivate and expand new consumption, and it has played a "bright card" and told everyone a clear track direction: actively cultivating new consumption growth points such as smart homes, entertainment and tourism, sports events, and domestic trendy products.
We look at smart home, entertainment and tourism, sports events, and domestic trendy products from the three dimensions of digital, green, and health, and each new consumption track integrates the connotation characteristics of digital consumption, green consumption, and healthy consumption at the same time.
In the structure of consumer expenditure, food, tobacco and alcohol accounted for 298%, many brands in the domestic trendy product track are from this category. Residential consumption expenditure accounts for 22%, and the brand of the smart home track has a lot of room for growth in this category.
Looking at the cultural and entertainment tourism track, under the expectation of deflation in the overall economic situation, the growth momentum of cultural and entertainment tourism consumption against the trend is strong.
The convergence of culture, entertainment and tourism is becoming more and more obvious, and there are more and more opportunities for new business development and innovation, and the reason behind this is the application of digital technology, such as wearable devices, VR AR and other applications.
In 2023, the cultural service industry will achieve an operating income of 6,773.9 billion yuan, an increase of 14 percent over the previous year1%, the growth rate is significantly faster than the overall level of service enterprises above designated size in the country. Among them, the 16 industry sub-categories with obvious characteristics of new cultural formats achieved operating income of 5,239.5 billion yuan, an increase of 15 percent over the previous year3%, faster than all cultural enterprises above designated size 71 percentage point.
48. Domestic travel in 2023900 million person-times, an increase of 933%。Among them, 37 travel in the city and town600 million person-times, an increase of 949%；Rural dwelling** travel 11300 million person-times, an increase of 885%。The total travel expenditure of domestic tourists was 4,913.3 billion yuan, an increase of 1403%。There were 82.03 million inbound tourists, including 13.78 million foreigners and 68.24 million compatriots from Hong Kong, Macao and Taiwan, with a total cost of 53 billion U.S. dollars.