Chinese Consumers and Sustainability

MFAT (Ministry of Foreign Affairs and Trade) produce interesting, easy-to-read reports on a wide range of topics of interest to New Zealand exporters. One that got my attention recently focused on Chinese consumer perceptions about sustainability. China’s economy is looking a bit wobbly of late, and with our economy also looking a bit fragile, everyone is hoping that our exporters and tourism will pull us through these challenging times. Written by the New Zealand Consulate-General in Shanghai, it contains up-to-date information on the importance of sustainability for a Chinese consumer.

Here are some highlights of the report:

• Chinese consumers prioritise personal health benefits over environmental concerns when making purchasing decisions.

• Sustainability messaging can help brands command a higher premium, especially when linked to better health outcomes.

• New Zealand has a natural advantage in promoting sustainability, but other countries also effectively emphasise their green credentials.

• China's emphasis on healthy lifestyles presents opportunities for New Zealand, particularly in promoting ecotourism and durable products.

• China's top-down approach to environmental challenges can quickly change companies' behaviour and drive sustainable practices.

• Chinese consumers, especially the younger generation, increasingly care more about sustainability, particularly health and welfare.

• Government and industry-certified labelling can strengthen consumer trust in sustainability messaging.

• Wealthier Chinese consumers are pursuing healthier lifestyles, creating opportunities for New Zealand in eco-tourism and durable goods.

• Chinese government policies are accelerating decarbonization and driving changes in industries like renewable energy and electric vehicles.

• Businesses in China are responding to international sustainability benchmarks, particularly EU regulations, to stay competitive in global markets.

• Chinese consumers are becoming more discerning and are seeking products with sustainable and environmentally friendly credentials.

• New Zealand businesses can leverage the country's environmental credentials to add value and appeal to Chinese consumers, especially by linking sustainability with health benefits.

Time for a Post COVID 19 Makeover

China Skinny has noted that Chinese consumers went straight to their hairdressers and beauty as soon as lockdown restrictions were relaxed. They wanted to make themselves look good again, and feel some degree of normality. With make-up, lipstick sales have dropped, but the spend on mascara, eyeliners and eye shadows have increased due to women wearing face masks in public. Chinese consumers are also much more relaxed about the use of big data and AI as they have seen how it used to help contain COVID 19. Beauty brands are now moving into the 'beauty tech' space to exploit this and market more strategically.