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Second- and third-tier cities far exceed the north, Shanghai, Guangzhou, and Shenzhen, why is the "national tide" so popular? | Xinjing Think Tank

In recent years, small-town youth have received more and more attention from society.

According to relevant reports, young people in small towns pointed out young people who are in counties, towns and towns on the third or fourth line and below, living and working in their hometowns, or going to big cities and cities around provincial capitals to work hard.

On the one hand, they firmly believe that "first-tier cities do not believe in tears" and seek stability in cities below the second and third tiers. On the other hand, many of them are "rich and idle" in the eyes of others, and they are representatives of new consumer forces.

It is worth mentioning that the group of young people in small towns accounts for 17%, becoming a new force that cannot be ignored.

On March 19, Pinduoduo released the "2022 Duoduo New National Tide Consumption Report". The report shows that while pursuing cost-effectiveness, small-town youth are also paying more and more attention to the quality and experience of domestic products, and for high-quality domestic products, small-town youth are more willing to "wild consumption", which also leads to their consumption expenditure not losing to urban white-collar workers at all.

The "wild consumption" of small-town youth

Many people are wondering what small-town youth do every day.

In fact, rather than "doing something" every day, small-town youth love to "buy what", which is more worthy of attention.

According to the report released by Pinduoduo, in the new domestic consumption, the top 5 domestic products that small town youth like to buy are mobile phones, makeup, skin care products, Bluetooth headsets, and sweeping robots.

At the same time, the younger population and fragmented demand have also become the main characteristics.

The report shows that among the consumer groups, the "post-90s" group is the largest, accounting for more than 31%, the proportion of the "post-00s" group has increased to 16%, the proportion of the "post-80s" group has reached 22%, and the proportion of the "post-70s" group has reached 17%.

In addition, in the pursuit of cost-effective at the same time, small town youth are also paying more and more attention to the quality and experience of domestic goods, for high-quality domestic products, small town youth are more willing to "wild consumption", which also leads to their consumption expenditure is not lost to urban white-collar workers at all.

Among them, the increase in the number of domestic goods purchased by the "post-90s" is also the most significant, the per capita number of domestic goods has increased from 4 to 7, and 3C, home appliances, beauty, clothing and mother and baby have become the five most popular categories of national goods for the "post-90s".

It is not difficult to see that while growing into the backbone of society, the "post-90s" are also taking over the baton of the "post-80s" becoming the main force of new consumption.

Second- and third-tier cities far exceed the north, Shanghai, Guangzhou, and Shenzhen, why is the "national tide" so popular? | Xinjing Think Tank

▲In the user group of new domestic products, the proportion of post-90s reached 31%, becoming the main force.

Not only that, among the small-town youth groups, the rise of the "Z generation" consumer group has made new changes in the consumption concept of small-town youth.

Compared with other groups, the consumption preferences of the "Generation Z" group are more jumpy, both keen to try out the cutting-edge national trend and a loyal fan of national brands.

It is understood that in the beauty, clothing and other fast fashion products, the "Z generation" loves to spell a single cultural and creative co-brand, especially the "post-95" female group changes a new lipstick on average every week.

Among the national brands such as Li Ning, ANTA, Hongxing Erke, Huili, Liushen, Zhang Xiaoquan, etc., the "Z generation" group accounts for more than 25%, which has become the source of power for the transformation of domestic old brands.

The new national tide swept through second- and third-tier cities

Last year, a "What can young people do when they return to small cities?" The topic has aroused widespread discussion on the Internet.

With the development of the pan-Internet industry, the regional information gap has weakened, and the consumption upgrade and the penetration of high-quality brand channels have continuously narrowed the consumption gap between urban and rural areas.

Among the consumption areas of new domestic goods, the growth rate of new first-tier and second- and third-tier cities is the most significant, and the order scale accounts for more than 50% of the country.

The report shows that the domestic order volume of first-tier cities accounted for 11%, the proportion of new first-tier cities exceeded 16%, the proportion of second- and third-tier cities reached 39%, the proportion of fourth- and fifth-tier cities reached 19%, and the majority of county and rural areas accounted for more than 15%.

Second- and third-tier cities far exceed the north, Shanghai, Guangzhou, and Shenzhen, why is the "national tide" so popular? | Xinjing Think Tank

▲In the new domestic product consumption area, second- and third-tier cities have surpassed the north, Shanghai and Guangzhou to become new momentum.

Among them, in the second and third-tier cities represented by Jinan, Ningbo, Dongguan, Nanchang, Xiamen, Shenyang, Changsha, Wuxi, etc., domestic orders have nearly doubled in the past year, and the order scale is 3.5 times that of the north, Shanghai, Guangzhou, and Shenzhen, and 2.4 times that of the new first-tier cities, which has become a new momentum for the rise of domestic goods.

In the vast number of counties and rural areas, the growth of domestic orders is still stable, and the order amount has increased by 130%. On the one hand, it benefits from the national policy support of "industrial products going to the countryside", on the other hand, it is because of the continuous high demand for domestic products by young people in the county.

Among the cities and provinces where domestic goods are consumed, Shanghai, Guangzhou, Beijing, Chongqing and Shenzhen have become the TOP 5 of new consumption cities; Guangdong, Henan, Shandong, Jiangsu and Zhejiang have become the top five provinces for new consumption.

Among them, Chongqing, as the representative of the new first-tier cities, has been shortlisted for the TOP 5 for the first time. Guangdong Province's domestic order scale and order amount ranked first, becoming a veritable new consumption TOP 1 province.

In order to continue to help new domestic products directly connect to new consumption, promote the sinking of consumption. Pinduoduo launched a new model of full-link cooperation this year to comprehensively promote the digital upgrading of domestic brands at the production, technology, data and management levels.

"Duoduo New National Tide" is a new engine for the integration of numbers

As a new e-commerce platform growing up in the era of mobile Internet, Pinduoduo has become a new highland for the rise of new national tides and new domestic brands.

As mentioned above, in order to further promote the new national tide directly connected to new consumption, Pinduoduo previously officially launched the "2022 Duoduo New National Tide" action, set up a special team, invested in the "tens of billions" of resource packages, from the product structure, design and development, manufacturing, brand building and other fields, to provide full-link digital services for traditional brands, to help China's real economy.

At present, the "Duoduo New National Tide" action has successively united with domestic brands such as Midea, Galanz, Libai, Junlebao, Baijiling, Shanghai Jahwa, Mark Huafei, Tan Carpenter, Ai Lai, Xtep, RIO, Jiuyang, Feiyue, etc., and has successively entered many manufacturing fields such as home appliances, clothing, sports, beauty, daily chemicals, milk powder, and home furnishing to explore a new model of digital and real integration.

Second- and third-tier cities far exceed the north, Shanghai, Guangzhou, and Shenzhen, why is the "national tide" so popular? | Xinjing Think Tank

▲On February 23, Chen Zebin, president of Libai Group, was a guest of Xinguochao live broadcast room, recommending Libai new domestic products for 2.1 million netizens. (Photo by Li Geng)

The most direct embodiment is that in the past year, the number of domestic brands and the number of goods entering the Pinduoduo platform have increased significantly.

The report shows that the "new national tide" and "new domestic goods" brands have also significantly accelerated the pace of uplink new e-commerce, and the number of brands settled on the platform has increased by more than 270% year-on-year, and 327 brands of more than 100 million have emerged, including more than 50 long-established brands of more than 100 million and more than 30 new national brands of over 100 million.

At the same time, the number of domestic goods settled on the platform increased far more than the number of brands year-on-year, reaching 530%.

At the recently concluded "Duoduo New National Tide" seminar, economist He Fan believed that intelligent manufacturing does not have to start digital from the production end, but also can gain insight into the real needs of users through the Internet, and then reverse the production process. Now it seems that the integration of the real economy and the digital economy is undoubtedly a new engine for the further transformation and upgrading of China's manufacturing industry.

While continuously meeting the diversified needs of platform users, the new domestic brand has further broadened its product structure and innovated its product system.

Text | Zha Zhiyuan

Edit | Currie

Proofreading | Chen Diyan

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