Looking beyond the first-tier cities - Ben Cavender

Ben Cavender

China´s consumers have changed dramatically over the past decade, retail analyst Ben Cavender told a conference on fruit, for example only looking at first-tier cities is a wrong habit from the past, reports the Fruitnet. And the hypermarkets are dead.

The Fruitnet:

“The focus shouldn’t be in first-tier cities,” Cavender told delegates, adding that the key to success is to focus on developing trust among consumers in tier-two and tier-three cities. “There’s been a lot of changes in the past five to ten years in how consumers see the world.” 

Pollution, food safety and the crackdown on corruption have all influenced consumer trends, with a move away from tangible items towards ‘experiences’ and premium, healthy food – an opportunity for the fresh produce industry to make inroads in China's emerging markets. 

As a result, branding and brand origins are increasingly important, said Cavender, adding that companies should focus on what their brands stand for and building a story behind their brand. .. 

"Ten years ago it was about the hypermarkets – they were the premium space. Now, hypermarkets are dead to the consumers – they don’t like the shopping experience,” Cavender said.

More at the Fruitnet.com

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