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Consumers' emotional ties a growing factor in purchases, research shows
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EMOTIONAL connections will have bigger impact on consumers' purchasing decisions in China, and companies need to tap into that in order to prosper, a new marketing research report says.
Consumers of personal care products, luxury goods and home appliances are looking to enhance their confidence, according to a research report released by media investment firm GroupM today.
"A large number of brands have set up their retail channels across China and their next challenge will be establishing emotional connections with consumers to boost their brand value," said Mark Patterson, chief executive officer of GroupM Asia Pacific and chairman of GroupM China.
The survey studied shopping behaviors and brand preferences among 19,400 respondents in 279 domestic cities across different tiers.
For example, for skin care products, shoppers in first tier cities identified reasons such as "making me more confident" or "giving me more charm" as the top factors for them in what they bought.
It also reported a sharp rise of online expenditures among third and fourth tier cities' residents as their average e-commerce spending added 31.8 percent from a year ago to 3,768 yuan (US$620.51) per capita.
The average amount of expenditure for first and second tier cities' residents was 4,378 yuan in 2013.
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