Core Insights - China's service consumption growth has outpaced that of goods consumption, indicating a significant shift in economic structure towards a service-oriented economy [1][4] - The average annual growth rate of service consumption expenditure from 2020 to 2024 is projected to be 9.6%, with 46% of consumer spending now allocated to services [2][4] Economic Structure Impact - The increasing importance of the service sector in the national economy is highlighted by the average service industry value-added ratio of 54.6% over the past decade, which is expected to rise further due to rapid service consumption growth [4] - This shift reflects a change in consumer attitudes from material goods to higher-quality life experiences, driving demand in sectors like tourism, culture, and health services, thus stimulating related industries and promoting economic resilience [4] Global Trends in Service Consumption - Global service consumption is trending towards digitalization, sustainability, personalization, and experience-oriented services, with China leading in areas such as mobile payments and shared economy models [5][6] - The rise of digital services is supported by advancements in AI, 5G, and other technologies, which have accelerated demand for remote services like online education and digital healthcare [5][6] Emerging "Dark Horse" Sectors - Future growth in China's service consumption is expected in sectors such as the silver economy, sports consumption, and AI-integrated services, driven by demographic changes and technological innovation [8][9] - The silver economy will see increased demand for elder care, health management, and community services as the population ages [8] - Sports consumption is poised for growth through innovations in venues and events, while AI will create new service models in health, education, and legal sectors [8][9] Opportunities for Multinational Companies - The rising demand for high-end medical, financial, and digital entertainment services in China presents new opportunities for multinational companies to leverage their expertise and technology [11] - Companies in pharmaceuticals and medical devices can engage in precision medicine and anti-aging treatments, while financial institutions can focus on wealth management and green finance [11] Service Trade Cooperation - The recent service trade fair attracted nearly 2,000 exhibitors, providing a platform for countries to showcase their capabilities in digital, green, and professional services [12] - The fair aims to facilitate deep integration of industrial, innovation, and service chains, promoting a sustainable global service trade landscape [12]

Core Insights - The future five years will see the emergence of "dark horses" in China's service consumption market driven by demographic changes, technological innovations, and precise policy guidance [1] - From 2020 to 2024, China's service consumption expenditure is expected to grow at an average annual rate of 9.6%, with a 5.2% year-on-year increase in service retail sales from January to July this year [1] - The service sector's contribution to the national economy has been increasing, with an average value-added share of 54.6% over the past decade, indicating a shift towards a service-oriented economy [1] Industry Analysis - The shift in consumer behavior reflects a transition from material goods to higher-quality life experiences, with surging demand in tourism, culture, and health services [1] - Multinational companies have significant opportunities in China's market, particularly in high-end medical, financial services, and digital entertainment sectors [1][2] - The service consumption landscape is evolving, with growth in smart health, community services, and AI-integrated services expected to drive further industry upgrades [3] Market Opportunities - The pet economy is transitioning from product consumption to service upgrades, with the market expected to exceed 100 billion RMB by 2025 [3] - The ongoing China International Service Trade Fair serves as a platform for global companies to share opportunities, attracting nearly 2,000 exhibitors, including around 500 Fortune 500 companies [3] - The fair promotes deep integration of industrial chains, innovation chains, and service chains, aiming to expand international market space and enhance global service trade certainty [3]