Since the growth rate of GDP in China fell below 8% in 2012, it has flattened out at around 7%. The Chinese central government launched an economic development initiative called the "new normal" in 2014, to maintain the stable economic growth rate in the mid 6% to 7% range in the near future. At the same time, the policies push toward shifting the industrial structure by improving added value, transitioning to a higher emphasis on quality and efficiency, and shifting toward a consumption- based economic growth structure.
While the macro-economy is showing decelerated growth, the consumer market has maintained doubledigit growth in recent years. The 10.7% growth rate of China's consumer market in 2015 indicates a tendency toward deceleration from the 12% rate in 2014. However, the consumer market had a higher rate of contribution to GDP, increasing from 48.2% in 2013 to 51.2% in 2014, and jumping to 66.4% in 2015. In the "new normal", the consumer market is expected to play a pivotal role in economic growth. Rather than the "three public expenditures" (which means public spending on travel abroad, entertaining, and the purchase and use of public vehicles), the increase in public goods among normal consumers has become the driving force behind the growth of the consumer market in 2015.
Yet another characteristic of recent years is that the growth rate of per-capita income, which was 8.2% in 2015, has outstripped the growth rate of GDP which was 6.9% during the same year. Incomes are expected to keep rising, as China's 13th five year plan calls for percapita income in 2020 that is double what it was in 2010. Double-digit growth of the consumer market is also forecasted to continue in 2016, stimulated by developments such as the advancement of goods and services industries and the change in the government's old "onechild policy".
- Consumer markets in china, which have maintained doubledigit growth
- The Physical Retail Distribution Industry Grapples for Innovation
- The rapidly changing and restructuring online market in China
- Outlook for the distribution market in China – Forming the Chinese Omnichannel Economies that transcend retail industry
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Nov. 20, 2020