Analysis of Chinese Clothing Consumptionin Market in 2007 and 2008

Following 30 years of economic reforms, ChinaIn order to touch the most active clothing
has achieved remarkable success in economicconsumers, a questionnaire was designed for
development. Now few economists andrespondents aged 15 to 45. Questionnaire survey
marketers doubt that China will evolve into awas carried out in six cities of China, including
nation of spenders. Along with the rising of incomeBeijing, Shanghai, Guangzhou, Chengdu, Harbin and
level, the purchasing power of Chinese consumersXi'an. These are among the largest cities in China,
has been increasing rapidly. Clothing expendituresand are relatively evenly distributed geographically:
have also been growing fast. The retail sales ofBeijing in the North, Shanghai in the East, Xi'an in
China market in 2007 reached US $ 2970 billionthe Northwest, Chengdu in the Southwest,
with clothing's contribution of US $ 150 billion,Guangzhou in the South, and Harbin in the
according to official figures by National StatisticsNortheast. They are the most important cities in
Bureau. Kurt Salmon Associates forecast that byeach of the regions respectively in terms of
2020 total clothing consumption of China will beeconomic and societal life, and are regarded as
about 120% of that of Japan, from current aboutfashion centers of die region. These cities are
10% of Japan. It is this market perspective thatconsidered to be very influential in patterns of
has attracted many overseas investors. Manyconsumption for other cities in China, thus an
international clothing manufacturers and retailersinvestigation of clothing consumption may give a
are increasingly viewing China as a huge potentialgood indication not only of the current situation,
marker.but also future trend for the entire nation.
However, the apparel market is very competitiveFrom the analysis, we can conclude that the
and challenging both in manufacturing and inclothing expenditures of Chinese urban consumers
retailing. To conduct effective marketing, it isare increasing rapidly along with the development
necessary to understand the consumptionof China's economy. And, how much money the
patterns of the people, and important to haveChinese consumers are able to and willing to
appropriate market segmentation. Some researchspend on clothing tends to be influenced by
has been reported in the literature. Forseveral factors that originate in social, culture and
example,Gallup conducted a geographic analysiseconomic forces. The geographic differences in
and suggested that in China the urban marketclothing expenditures are found significant.
was much more important than the rural one.Significant demographic and socioeconomic
Urban residents have higher income and henceinfluential variables include age, gender, marital
higher purchasing power, and are morestatus, education level, occupation and household
sophisticated than the rural people. Cities trendincome. Furthermore, the interactive effects of
setters and testing grounds for future marketinggeographic location with age, gender and
strategies. On the other hand, demographicoccupation have significant influence on clothing
analysis indicated that the most promisingexpenditures. It is believed that the era of "one
consumer segment in China was the youngstyle fit all" has been history and the Chinese
people. It was also found that the youngerconsumers are never largely homogeneous.For
consumers (aged 15-35) had more experienceexample some young people like bape
with western products, compared with the olderhoodies,bape shoes,lrg hoodies,10 deep hoodies,ed
ones (aged over 35). Regarding the influence ofhardy hoodies etc. It is important that apparel
gender, it was reported that young women weremanufacturers and retailers investigate the
least concerned about price.And they love theeffects of the determining factors on clothing
clothing such as bape hoodies,bape shoes,lrgexpenditures and make effective segmentation
hoodies,10 deep hoodies,ed hardy hoodies etc.marketing strategies.