Chinese Millennials and Gen Z have been stealing the KOL marketing spotlight lately. Though it is true that the vast majority of KOLs are Millennials and Gen Z, it would be a mistake to assume that KOL marketing can’t reach Chinese parents, adults, and seniors.
While millennials contribute greatly to the retail market, they are still behind older consumers on average in terms of their wealth as well as their willingness to spend. And while millennial consumers’ are likely to overtake non-millennials in spending within the next 5-10 years, the spending gap between the two won’t be as large as you think. Remember: Non-millennials’ spending will continue to rise as well.
There is a stigma that Chinese parents, adults, and seniors are extremely frugal. While this may be true now, it will change in the future. A recent McKinsey study found that today’s 45- to 54-year-olds have spending patterns similar to 34- to 45-year-olds (who allocate 34 percent of their spending to food and 14 percent to apparel). This suggests that companies will have to rethink their ideas about older Chinese consumers, who may not be as thrifty as previously thought.
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