Key things to know about Chinese millennials

If you’re responsible for delivering Chinese digital marketing strategies for your Western brand, you’ll already be aware that the millennial demographic in China is huge.

In fact, there are over 400 million millennials in China – currently aged between 28-43, representing a huge opportunity for Western brands!

However, although Chinese millennials share the same age band as their Western counterparts, their marketing demographics can differ. In this article, we’ll cover some of the key things you should know.

Characteristics of Chinese Millennials

Of course, it’s almost impossible to categorise any audience of more than 400 million people! But these characteristics are key:

  • Chinese millennials have very different socio-economic backgrounds, but they are invariably tech-savvy and highly educated.
  • This generation has transformed consumerism in China by demanding personal expression and customisation.
  • They are highly connected, notably diverse and invested in self-expression and personal experiences.
  • Chinese millennials are also very concerned about sustainability, environmentalism and social responsibility.
  • Their consumer preferences are diverse, as are their regional differences.
  • Although this generation loves unique self-expression, Chinese millennials still value traditional cultural values including respect and the importance of family.

The Economic Power of Chinese Millennials

Chinese millennials are a huge consumer base and they have real spending power. They are prepared to be loyal to brands that meet their needs and pay more for high-quality products and services.

It’s interesting to note that Chinese millennials will often show great loyalty to high-end (particularly luxury sector) brands, once they have established a connection with them.

Chinese Millennials and Technology

This generation helped to make social e-commerce successful in China. The famous Alibaba Singles Day annual event has been driven by millennials, who have helped the platform achieve successively record-breaking sales figures each year.

This generation loves their smartphones, far more than Gen X customers. Millennials need to feel constantly connected and informed, with information at their fingertips in just a few clicks.

Having grown up with technology on tap, they use it to do everything, from shopping and life administration to socialising, dating and ordering food, cabs and services.

Chinese Millennials and Self-expression

This generation was the first in China to prioritise self-expression and personal experiences when it comes to shopping. They are less interested in traditional advertising and look for highly targeted, unique and exciting experiences that are meaningful to them. For brands that can get this right, millennials will spend more.

Another key value for this generation is ‘authenticity’ and they choose brands that support their beliefs and values. They choose brands with strong corporate values; particularly of sustainability, environmentalism and social responsibility.

This generation votes with its spending, and millennials expect brands to hold themselves to a high standard. It’s useful to know, for example, that Nielsen found that 75% of young consumers in China rank corporate sustainability strategies above brand names when it comes to loyalty.

Chinese Millennials and Exclusivity

These younger consumers crave exclusivity, which means they prefer brands that offer customised or limited-edition products and services. They also love luxury goods and services and will pay more for them.

Luxury travel is a great example here. Chinese millennials love international travel and want experiences that are very niche. If they can share these beautifully on social media, all the better!

Chinese Millennials and Wellness

This generation is also the first to prioritise a balanced lifestyle; mirroring a global trend amongst younger workers. They invest in self-care and wellbeing practices such as mindfulness and yoga and look for personal growth opportunities in courses, workshops and therapy.

This extends into mindful consumption, and the desire to buy products that align with their values, such as vegan or organic food, and sustainable beauty with recyclable packaging.

What this Means for Western Marketers

1. Deeply understand your audience

Understand that millennials seek to be seen, heard and deeply understood. They expect an emotional connection with the brands they choose to shop with. Market research and user persona development are well worth the investment for your brand.

2. Show your values

Demonstrate your corporate values, focusing on sustainability practices and social responsibility. You must demonstrate that your business is ethical, because – unlike the Boomer generation – Millennials will not be loyal to a brand simply out of habit.

3. Personalise your Chinese digital marketing

Successful digital marketing in China will rely on personalised storytelling, localised content, nuanced marketing and unique campaigns. Take care to regionalise your marketing and advertising too, as this level of detail will show respect, understanding and sophistication; something that this group values.

4. Consider limited editions

Consider limited edition product releases, targeted ‘special’ products and options for personalisation. Experiences are also key.

For example, some traditional jewellery brands now run bespoke jewellery-making workshops to engage with this audience. Burberry also collaborated with WeChat to let customers personalise its range of luxury trench coats with monograms and emojis.

5. Understand where differences exist

Although Chinese Millennials share broad characteristics and preferences, it’s important to understand where there are differences. For example, customers in Beijing, Shanghai and other first-tier cities love high-status luxury fashion, but in second and third-tier cities they may place a higher value on affordability and practicality.

This doesn’t mean luxury goods brands should only market in first-tier cities, but they might offer instalment payments, for example.

6. Focus on digital marketing channels

90% of young Chinese customers are active on social media daily. But it’s insufficient to simply have a brand presence; brands must also engage with followers, create relevant and valuable content, and be active in delivering those meaningful experiences. KOL relationships can greatly help with this.

7. Invest in research

Chinese millennials are evolving, like all generations, and they love new trends. For example, sneaker culture is now a big trend in China, driven by Douyin and other Chinese social media sites. Brands that stay ahead of the research curve are always better prepared to meet this generation’s needs!

8. Work with a Chinese digital marketing agency

Working with a Chinese digital marketing agency can help you to navigate some of the complexities of successfully marketing to the millennial audience in China. Market Me China offers flexible and expert support when you need it most.

Our team of highly skilled and native-speaking digital marketing professionals works with Western brands across all industries, helping them to achieve measurable results in the China market. To find out more, and for a chat about your needs, please contact us!