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China Daily Website

Consumers' demand for luxuries growing

Updated: 2013-05-23 03:12
( Xinhua)

BEIJING - Demand for high-end products among Chinese consumers is growing from fast-moving consumer goods to other sectors, including the car market and financial products, according to a Nielsen survey.

Increased incomes of Chinese households has led to rising consumption levels, said a report by the Nielsen Company on Wednesday.

For people surveyed with a middle-level income, or a monthly wage of between 10,000 to 30,000 yuan ($1,615 to 4,845), 53 percent said they could spend 250,000 to 500,000 yuan on a car. Others said they would be willing to save money to buy a car that may cost more.

The Nielsen report also noted that in the first quarter of the year, the Chinese consumer confidence index scored 108 points, same as the figure of the previous quarter but 15 points ahead of the global average.

According to the index, a score above 100 points indicates optimism among consumers, while a reading below 100 denotes pessimism.

Moreover, the consumption willingness index in China rebounded to a nine-quarter high in the same period, the report said.

Compared to the previous quarter, Chinese consumers' perspective on the job market, individuals' economic conditions and willingness for spending is stable, and indicates that shoppers are optimistic about the country's overall economic situation, said Yan Xuan, president of Nielsen Greater China.

About 45 percent of consumers surveyed in China's big cities said they are planning to increase their spending on food and beverage, and 40 percent said they will spend more on other fast-moving consumer goods, according to the report.

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