The trends across the 12 markets are economic E-commerce continues its march One of the most profound changes unfolding in commerce is the . November 19, 2020 McKinsey & Company released its 2021 China consumer report, explaining how COVID-19 has changed Chinese consumption and the trends now shaping the Chinese economy. Since May, our research has seen four key trends that have impacted consumers and have ultimately changed their purchasing patterns and consumption. They want. 5G will become mainstream. Reflecting on 2021 global LNG and European pipeline flows. These consumers are saving more - according to a McKinsey survey, 42% of young consumers intend to save more money as a result of the virus - and they are also spending less, and being more discerning about what they spend their money on. Key business trends revolve around tech and consumer behavior. environments. These are live commerce and community group buying. Even the luxury car category will see online sales growth. The global wellness market is priced at more than $1.5 trillion, with annual growth of 5 to 10%. Thanks to the support of nearly one billion internet users, China's e-commerce sales rose to $1.7 trillion in 2020, accounting for about 30% of the country's total retail sales. I am based in Shanghai China, with a sector focus for Retail, Consumer and Leisure, and a function . More than 80 percent say they are returning to normal routines—and. and rethink 2021 collections; enhance digital . 04 It's a kindness magic. A look forward into the technology making a huge impact at scale. Digital -- helped the client to formulate the digital strategy and develop new business model based on the latest internet /digital technologies in China. Companies can look to hold on to newly digital consumers by improving digital experiences, investing in " phygital ," 1 and putting consumer trust at the heart of all they do. Over the next decade, McKinsey forecasts continued growth of Li-ion batteries at an annual compound rate of approximately 30 percent. Article Moving digital health forward: Lessons on business building. . With this in mind, we conducted two surveys to inform each of the 2021 Global Marketing Trends chapters. Between May and July 2019, we surveyed 5,400 respondents from 44 cities, representing approximately 90 percent of China's GDP and half of its population. Two particular digital trends in China have seen significant acceleration in the country during the pandemic. The differences, such as prices, delivery time, and service, create consumers' preference on either one platform they want to use. Thanks to the support of nearly one billion internet users, China's e-commerce sales rose to $1.7 trillion in 2020, accounting for about 30% of the country's total retail sales. Consumers fundamentally shifted the way they spent money and time during the pandemic. Check back for regular updates on Chinese consumer sentiments, behaviors, income, spending, and expectations. May 24, 2021 By Chris Biggs , Dewang Shavdia , Allison Kelley, and John Watts. China is responsible for more than half (52 percent) of all e-commerce in the region, 16 and this figure is expected to rise to more than 60 percent by 2021. China's e-commerce market trends: A vast market filled with opportunity. This survey was launched in the United States, the United Kingdom, Mexico, China, South Africa, Qatar, the . McKinsey & Co.'s "Future of Wellness" survey found that 79 percent of worldwide consumers said they believe that wellness is important, and 42 percent consider it a top priority. The share of online sales nearly doubled for personal luxury goods, growing from 12% in 2019 to 22% in 2021, reaching $70.1 billion. Responding to consumer trends in the new reality 6 What are the four consumer trends? December 3, 2021 - Chinese consumers' optimism hit a new high in October. l'Oréal Chief Digital Officer Talks 2021 Digital Marketing Trends. 05 A green awakening. Younger consumers were likely to buy . A June 2021 McKinsey survey reported that 62 percent of respondents plan to return to Hainan for duty-free shopping, and 41 percent plan to spend more during their next trip. Since we launched the podcast in December 2011, we've published over 45 episodes on topics covering… According to McKinsey, the UK's real-time bank transfer network, Faster Payments, has seen an over 10% increase between Q4 2019 and March 2020. The global consumer and marketing trends to know for 2021 - GWI. China's post-90s (those born after 1990) are expected to contribute to 46% of China's luxury purchases in 2021, according to joint research by Tencent Marketing Insight (TMI) and Boston Consulting Group (BCG). What we value, how we consume and where we spend will never be the same. With this in mind, we conducted two surveys to inform each of the 2021 Global Marketing Trends chapters. During 2020, executives in the industry focused on three key trends—consumer shifts, the digital leap and industry disruptions—and those trends largely remained the focus in 2021. 1. Industries and markets have been undergoing dynamic and monumental changes even before the COVID-19 pandemic hit. By Rohan Amin, Chief Information Officer, Chase. 10 Sporting Goods 2021 McKinsey Sajal Kohli Chicago Global Leader Consumer & Retail Sajal Kohli is the Global Leader of McKinsey's Consumer & Retail practice, which encompasses the Sporting Goods industry. As consumer behavior changes from offline to digital, payment providers have been experiencing increased demand for instant transactions. China's post-90s already make up 50% of the luxury goods buyers in the country, with a fast growth rate of between 25-35 percent in the past year. According to a McKinsey survey conducted in China in October 2021, approximately 56 percent of respondents favored non-branded holiday accommodation, such . mckinsey digital economy. These trends take online social interaction to new levels and extend the reach of e-commerce to more consumers. The report states, "With many people still working from home, athleisure has gained further ground, reflecting new attitudes toward traditional workwear. But things are getting a lot tougher: Growth of online retail sales is cooling, dipping from the heady 40 and 50 percent annual rates seen in the McKinsey's consumer sentiment survey highlights how net optimism during China's economic recovery has reached 50 percent, as compared with 22 percent in the US, and stands in clear contradiction to the gloomy perspective prevailing in Europe. 2021 Digital Trends: Manufacturing in Focus 2 Foreword from Adobe 3 Executive Summary 4 Section 1: Era of disruption is behind manufacturings digital reboot 5 Digital-led shift in buyer behaviour 6 However, the majority of sales will still take place offline 7 Bridging the digital divide 8 Section 2: Manufacturers face cultural and technological hurdles 9 . The pandemic forever altered consumer behaviour. We're all living and breathing the new normal, where interacting with brands has become increasingly digital. Download. Here are three trends taking shape determining how digital shopping will continue to evolve throughout 2021 and what these trends means for retail and brand technology teams. They expect brands to understand and respond to their individual needs. January 13, 2021 - Building a successful digital health business involves several strategic steps, as illustrated through the lens of six digital . China has bred many cutting-edge . This study of digital health covers trends in four areas — innovation, evidence, regulation, and adoption — to assess how these new tools are . In a McKinsey study of 7,500 consumers in 6 countries, 79% of the respondents said wellness is important, and 42% consider it a top priority. 1. These exhibits are based on survey data collected in China from October 15 to 22, 2021. McKinsey Global Institute. Consumers and businesses in China have accelerated their use of digital technologies as a result of COVID-19. Consumer industry trends will focus on Innovative processes, like click and collect (or curbside pickup). • Certain retail categories, such as grocery and home improvement, will remain priorities. By 2030, EVs, along with energy-storage systems, e-bikes, electrification of tools, and other battery-intensive applications, could account for 4,000 to 4,500 gigawatt-hours of Li-ion . McKinsey's most recent China Consumer Report released this month highlights five trends for 2020: 1. The Global Marketing Trends Consumer Pulse Survey polled 2,447 global consumers, ages 18 and above, in April 2020. In fact, consumers in every market showed a substantial increase in the prioritization of wellness over the past two to three years. environments. good earth tea 4 flavor variety pack. Luxury players must rebalance their global footprints while increasing investment in domestic consumer bases and e-commerce. McKinsey experts discuss the latest trends and the most pressing challenges for leaders in the retail and consumer-goods industries. The survey was conducted among roughly 7,500 consumers in six countries (Brazil, China, Germany, Japan, the UK and the US), and 79% of the respondents said that wellness is now important for them, with 42% considering it a top priority. GWI. He serves clients across the industry with a focus on retail transformations, operations topics and marketing & sales. The end of non . But scale is not the whole point of the story. Image source: Getty Images. A recent survey by McKinsey provides some new evidence as to wellness's rising importance among global consumers. China had a population of 1.44 billion in January 2021.. China's population increased by 5.2 million (+0.4%) between January 2020 and January 2021.. 48.7% of China's population is female, while 51.3% of its population is male [note: the United Nations does not publish data for genders other than 'female' and 'male'].. 61.9% of China's population lives in . Updated on December 20, 2021. According to a McKinsey survey conducted in China in October 2021, the majority of respondents, around 78 percent, wanted to go to a new place during their next holiday trip not far from home. Note: Responses shown are limited to the options provided. Pre-COVID, 27% of shoppers found curbside pickup important, during the pandemic this . The Future of Luxury: 6 Trends To Stay Ahead in 2021. Innovation and disruption are the keys. December 2021 Global Consumer Insights Pulse Survey. December 20, 2020. However, for a full-year comparison, macroeconomic disruptions through the latter half of 2021 will likely temper this growth to -3 to +2% for 2021 versus 2019 sales overall. In a relatively short time, China has become one of the world's largest digital economies. 1. report lists key trends that define China's Gen Z as a unique cohort . In this piece we highlight 10 of the biggest trends that will impact the way we work, live and communicate in the coming year. With Chinese consumer behaviour changing rapidly by culture and technology, these are five trends you should know now. International tourism will not fully recover until 2023 at the earliest, causing a shift in shopping patterns, according to The State of Fashion 2022 report by The Business of Fashion and McKinsey. Our predictions for 2021. by Florine Eppe Beauloye. What will the biggest tech and digital transformation trends be for 2021? Digitalization COVID-19 has also accelerated digitization of the traditionally less digitized part of the Chinese economy, such as areas requiring physical interactions, and B2B. They say they are excited about the 2021 holidays, intend to spend as much as last year, and plan to shop in stores and online. In this podcast, consultants from McKinsey's Greater China Practice delve into the issues and trends shaping business and the economy in this dynamic region. As these digital tools begin to have a fundamental impact on patient care and influence clinical trial design, it is important to assess the innovation and evidence they contribute as well as the barriers to and facilitators of their adoption. He works closely with CMOs, CIOs and the rest of the C-suite on digital and marketing transformation initiatives to drive growth. The rapidly developed e-commerce mode in China generates internal competition within businesses. McKinsey & Company is a management consulting firm founded in 1926 by University of Chicago professor James O. McKinsey, that advises on strategic management to corporations, governments, and other organizations. The Chinese fashion market, both luxury and non-luxury segments, is already back to pre-Covid sales levels. Fast-forward to September 2021, when we conducted our most . Lost in the euphoric rise of upbeat digital growth predictions this year is a corresponding wave of people . April 9, 2021 - In a post-COVID-19 era, . Elevated essentialism. [2] In 2022, online luxury sales will continue to outpace most other channels across all industries. Base: All respondents: March 2021 survey (8,738); June 2021 survey (8,681). Biggest Digital Marketing Trends for 2021 - E167 Jason has been a digital marketing pioneer, agency leader, strategist, and recognized thought leader for over 20 years. 4. Most Chinese consumers are increasingly discerning, savvy, and frugal about their spending. ‎Welcome to the McKinsey on China podcast. According to a McKinsey survey conducted in China in October 2021, the majority of respondents, around 78 percent, wanted to go to a new place during their next holiday trip not far from home. A McKinsey survey published in October 2020 found that companies are three times likelier than they were before the crisis to conduct at least 80 percent of their customer interactions digitally. The health-conscious movement is here to stay. The global COVID-19 pandemic has pushed marketing departments around the world to pause, refocus, and reprioritize their strategies in the face of uncertainty. China's significance to the rest of the Asia Pacific region is hard to ignore. Survey Survey: Indian consumer sentiment during the coronavirus crisis December 3, 2021 - Indian consumers are optimistic about the economy and plan to spend more. Based on our research conducted in collaboration with the World Economic Forum, we see 10 big trends that will define consumption in China in the next 10 years. The non-luxury segment reached +2% over 2019 H1 sales in H1 2021. Some of these shifts are here to stay. Five Retail Trends That Will Outlast the Pandemic. Most consumers yearn for omnichannel experience, but they haven't even tried the most basic mode of picking up goods from offline . Consumers anticipate these changes to last longer than 12 months. Before COVID-19, China was already a digital leader in consumer-facing areas— accounting for 45 percent of global e-commerce transactions while mobile payments penetration was three times higher than that of the US. Emerging consumer trends redefining business in 2021. Source: PwC's June 2021 Global Consumer Insights Pulse Survey 1 2 3 June 2021 March 2021 Fast/reliable delivery 42% Fast/reliable delivery 41% In-stock availability of items I want 38% In-stock availability of . Reflecting on 2021 global LNG and European pipeline flows. As global lockdowns made digital banking a necessity, the digital banking app landscape evolved drastically to cope with a host of unprecedented challenges. We are reader-supported. Retailers and consumer brands should keep these five e-commerce trends top of mind as 2021 kicks off. 06 Coming of age. Published by Agne Blazyte , Apr 12, 2022. mckinsey digital economy. This is the subject of McKinsey's most recent China Consumer Report, which is part of a series of comprehensive reports the firm has done on urban Chinese consumer behavior since 2005. The consumer journey starts with "when do I need it?" When they need it, not where they'll buy it, is the new entry point for the consumer purchase. Here, Jing Daily breaks down the four trends that are germane to the China market, which, like the rest of the report's findings, are based on two McKinsey Fashion Scenarios: A more optimistic "Earlier Recovery" scenario predicts that global fashion sales will decline by between 0 and 5 percent in 2021 compared to 2019, and a "Later . These included the adoption of analytics, uber targeting, and omnichannel marketing communications . Achim Berg Frankfurt If brands weren't focused on digital transformation before 2020, they most certainly are now. Most of us have heard about the advantages of 5G for years now. Here are some of the crucial digital transformation trends for 2021. Let's take a look at the seven defining consumer trends of 2020, how they affected investors, and whether or not those trends will continue in 2021. 2. I am a Venture Leader for McKinsey Greater China, focusing on omni-channel transformation. 02 All work and no play. In a relatively short time, China has become one of the world's largest digital economies. Premium Content: Digital Banking App Trends 2021. How we conducted the China digital consumer trends survey In the spring of 2019, we conducted an in-depth survey of more than 4,300 digital consumers across four city tiers and rural areas in China, and covering a range of ages and income levels. China has bred many cutting-edge . 2021 Consumer Banking Technology Trends. This survey was launched in the United States, the United Kingdom, Mexico, China, South Africa, Qatar, the . Over-the-top will reach $53bn (+20%) cinema $49bn (+6%) and physical home video down to $10bn (-13% . Topics covered include strategy, technology, marketing, operations, and organization. Opportunities to retool products, services and operations to meet these needs. And Sanya, the southernmost city on Hainan Island, has reportedly become the fifth-largest luxury shopping city in Mainland China. Digital Trends 2021: Responsible Business Puts Trust, Ethics, And Sustainability First. Read on for five upcoming consumer trends. After the volatility, uncertainty, and record-low spot LNG prices caused by the COVID-19 pandemic in 2020, the LNG market moved in the opposite direction in 2021 (see sidebar "About the . Our world has shifted significantly this year and the impacts of consumer behavioral changes, including those related to banking, may be felt for years to come. 1 of 35 3. The Global Marketing Trends Consumer Pulse Survey polled 2,447 global consumers, ages 18 and above, in April 2020. This blog uses real screenshots of live banking journeys to cover the digital banking app trends of 2021, including: A new focus on UX. The survey suggests that industries across regions experienced an average of 20 percent growth in "fully digital" 2 04/02/2022; anshuman sharma jungkook China's 855 million digital consumers - among some of the most avid users of mobile phones and social media in the world - represent one of the biggest prizes for global marketers. By 2021, pay TV will generate $299bn and exhibit 3% growth, with video games up 12% to $179bn. Digital adoption To better understand their digital shopping attitudes and behavior, we asked them questions about their decision journeys across digital and physical . However, since 2020 remote work, digital collaboration, and videoconferencing became essential parts of our lives; most people required increased bandwidth and reliable connectivity. So what will the marketing and customer experience landscape look like in 2021? 5 consumption trends to watch out for in China in 2021 Home Image credit: Louis Vuitton, Haitong Zheng By Adina-Laura Achim To read the entire article, please subscribe or sign in Email this Print Reprints Share your thoughts. Hear about the immediate and longer-term moves that matter most for business success. 01 There's no place like home. After the volatility, uncertainty, and record-low spot LNG prices caused by the COVID-19 pandemic in 2020, the LNG market moved in the opposite direction in 2021 (see sidebar "About the . But scale is not the whole point of the story. Innovation and disruption are the keys. Strategies to build a resilient and adaptable business. 14 The COVID-19 crisis has created an imperative for companies to reconfigure their operations—and an opportunity to transform them. 03 More than lockdown blues. Trend 3: Micro-moments and personalization In this age of hyper individualization, people want to feel special. When we last polled consumers, reflected in our June 2021 Global Consumer Insights Pulse Survey, we found that the pandemic had spurred many respondents to become more digital, more local and more conscious of health and safety. A recent McKinsey report shows five trends of Chinese digital consumers including omnichannel shopping, context-triggered shopping, social media centered consumer interactions, increasing demand for non-standard goods and services, and data-driven personalization. 11 Current Business Trends: 2021/2022 Data, Insights & Predictions. Luxury Brands Must Take Action to Navigate the Now in China: McKinsey. . Lithium demand factors. April 6, 2022 For liquefied natural gas (LNG) markets, 2021 was another unprecedented year. McKinsey is the oldest and largest of the "Big Three" management consultancies (MBB), the world's three largest strategy consulting firms by revenue. In a recent report, McKinsey pointed out five key trends shaping China's economy, being accelerated by COVID-19 has accelerated. According to a McKinsey survey conducted in China in October 2021, an outdoor scenic trip destination was the most popular choice of a leisure travel experience among the respondents, with a 47 . At Luxe Digital, we independently research, review, and recommend products we love and that we think you will love, too. Young, free-spending consumers in lower-tier cities are today's growth engine. China's population. Before COVID-19, China was already a digital leader in consumer-facing areas . Online sales will account for 23 percent of the beauty market by 2022 and will become the most important channel by 2024. 17. April 6, 2022 For liquefied natural gas (LNG) markets, 2021 was another unprecedented year. This means less impulse buying, and more planning about what they are going to purchase. In China, where digital channels are more embedded in the consumer consciousness and integrated into heavily used social apps, we expect more than half of all sales to take place online by 2023. It's one of this year's overarching themes, and those companies that have accelerated the implementation of digital marketing tactics like social selling, ecommerce, online . Indeed, China's economy will rely on consumption to grow, and the consumers spurring that growth will be richer, older and more heterogeneous than they are today. Digital banking a necessity, the United States, the United Kingdom, Mexico, was. Digital growth predictions this year is a corresponding wave of people he closely. Become increasingly digital scale is not the whole point of the Asia Pacific region hard. China - J.P. Morgan < /a > McKinsey Global Institute interaction to new levels and the. 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