May 12, 2021|

JD Data: Rising Popularity of Chinese Brands


by Ella Kidron

Chinese consumers’ embrace of products from domestic Chinese brands is increasing, according to a report by the JD Big Data Research Institute released on May 10.

Compared with international brands, the transaction volume growth of Chinese brands is 6% higher, while growth in consumers is over 18% higher, YOY. The highest ratio of consumption of domestic products is in sixth tier markets, but the appeal of Chinese brands to consumers in first to fifth tier cities is also rapidly increasing, among which the second tier cities are seeing the fastest growth.

Growth rate of domestic brand shoppers is 18% higher then taht of International brands “2020 is the year of the rise of domestic products,” explained Fei Dong of the JD Big Data Research Institute.

“2020 is the year of the rise of domestic products,” explained Fei Dong of the JD Big Data Research Institute. “Chinese brands have given consumers a new “five senses” shopping experience.” Domestic products as a proportion of consumption has increased in small towns and big cities, underscoring a sense of identity. Furthermore, Chinese brands’ customization of products and services expressly for Chinese consumers has appealed to consumers’ quest for a sense of belonging.

Five Senses in the rise in popularty of Chinese brands

The fact that post-’95 consumers and seniors are the driving force for consumption of domestic products is an indication of full recognition of the sense of value of Chinese products, while continued innovation and research, from design, packaging and experience, provides a sense of ceremony and ritual. Finally, the move from consumption of domestic products focused on livelihood to health, especially medical products, is emblematic of a sense of safety. Judging from category of sales growth rate of Top 100 brands, the medical and health sector performed particularly well, with an increase of 88% in the types of goods and 136% in the number of goods sold over the same period last year.

“All of this has contributed to the rapid raise of Chinese brands,” said Dong.