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- Report
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The next (fron)tier: reaching rural China
- 04/01/2011
A scene in Chengdu, a major tier 2 city destined for growth
Creative Commons, Sanfamedia.com (2009) ©Scope
China is the world’s largest market for automobiles. It is also the world’s second largest market for diamonds and other luxury goods. What many don’t realise is that these purchases are being made by the minority of Chinese consumers who have historically resided in the coastal provinces of the east.
However, the rapid pace of urbanisation has caused both western multinational and domestic companies to come up with innovative strategies to reach the next tier of Chinese consumers. As middle class and affluent incomes spread far beyond the tier 1 cities of Beijing and Shanghai, the current trend is to look inland for the next wave of consumer growth. -
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