Pricing Strategies: How to Win Over the New Chinese Consumer

In recent years, domestic upstarts have been increasingly outpacing foreign brands in the Chinese market. Industry expert Jan Yang explains how this is mainly due to the West’s misconception of the modern Chinese consumer, and reveals what pricing strategies brands can implement for success.

Why is it important to understand the New Chinese Consumer?

Foreign brands in recent years have struggled to make a mark in the Chinese market. A lot of this is down to the fact that they act on the misconception that the Chinese consumer is price-conscious and fascinated by foreign brands.

However, while Chinese consumers still love a bargain, there have been significant changes in economy, demographics, and urbanization that have led to a paradigm shift in the country’s commercial landscape.

What has changed?

Not only have urban populations increased, but it has never been easier for consumer brands to connect with customers in…