2024中国下沉市场蓝皮书

Overview of China's Lower-Tier Markets - China's lower-tier markets, defined as third-tier and below cities, account for 63.4% of the total population, with approximately 894.4 million people residing in these areas [3][4] - The lower-tier markets are further divided into urban and rural areas, with rural populations making up 59% of the total, indicating significant potential for development [6][7] - The GDP contribution of lower-tier cities is growing rapidly, with an expected CAGR of 6.1% from 2023 to 2028, the fastest among all city tiers [9] - Per capita disposable income and consumer spending in lower-tier cities are also increasing at a faster rate compared to higher-tier cities, with CAGRs of 7.0% and 7.1% respectively from 2018 to 2023 [11][13] Business Dynamics in Lower-Tier Markets - Lower-tier cities are experiencing a surge in commercial activity, with 50% of new cinemas in 2023 located in these areas, and shopping mall foot traffic growing at a faster rate than in higher-tier cities [18] - The lower-tier markets have fewer commercial districts and less per capita commercial space, leading to more concentrated store locations and higher foot traffic [29][30] - Store lifecycles in lower-tier markets are longer due to lower operating costs and the "acquaintance economy," where repeat customers and word-of-mouth referrals play a significant role [33][37] - Lower-tier markets benefit from lower labor and rental costs, which reduce the barriers to entry for new businesses and extend the lifecycle of existing ones [35] Consumer Behavior in Lower-Tier Markets - Consumers in lower-tier markets are more price-sensitive and value-driven, spending more time exploring new consumption trends and comparing prices both online and offline [27][28] - They place a high emphasis on in-store experiences and are more loyal to physical stores, often relying on recommendations from acquaintances when making purchasing decisions [27][28] - The "acquaintance economy" in lower-tier markets fosters stable social circles, where word-of-mouth and community influence are more effective than traditional advertising [37] Key Success Factors for Brands in Lower-Tier Markets - Successful brands in lower-tier markets often have a win-win business model, a robust supply chain, high brand recognition, replicable store models, and digital management capabilities [39][50] - The lower-tier markets are seeing a rapid increase in chain store penetration, with brands leveraging standardized operations and efficient supply chains to expand and improve profitability [50] - Digital tools and data analytics are increasingly being used to optimize operations, understand consumer behavior, and respond quickly to market changes [39][50] Leading Brands in Lower-Tier Markets - In the food and beverage sector, leading brands in lower-tier markets include fast food and tea chains such as Wallace, Luckin Coffee, and Sweet Lala [52][54] - In the retail sector, convenience stores, discount snack stores, and beauty brands dominate, with Meiyijia, Yijie Convenience Store, and Plant Doctor being notable examples [57] - The beauty and health sector in lower-tier markets is led by pharmacy chains, skincare centers, and hair salons, with brands like Liangka Slimming and Zhang Zhongjing Pharmacy standing out [58]