China chic products prove a hit with young Chinese consumers

Chinese consumers, especially younger ones, are showing a strong preference for Guochao - a term that translates as “China chic” - when they shop online.

Experts believe that the trend is bringing new opportunities for the upgrading of traditional industries, as consumer products based on fine traditional Chinese culture continue to emerge thanks to the Guochao trend.

A visitor takes photos of a homemade gold headwear item at the second China International Consumer Products Expo held in Haikou city, south China's Hainan Province. (Xinhua/Yang Guanyu)

Fosun Watch Group launched new wristwatches online at the first China (Macao) High-Quality Consumption Exhibition held in the Macao Special Administrative Region in December 2022. The new editions designed for young people integrate cultural elements such as the tiger, the third sign in the Chinese zodiac cycle, and the classic Chinese animated film The Monkey King: Uproar in Heaven, incorporating ingenious designs that attract widespread attention from netizens.

One of the new editions released by the group is a wristwatch from the time-honored watch brand Seagull. The dial features a jade rabbit inspired by Chinese folklore.

"The jade rabbit on the dial looks stylish," said one young man surnamed Luo, who was born after 1995 and works in an internet company. He bought a jade rabbit themed watch online soon after its launch.

According to Luo, he and his colleagues have a passion for Guochao products and pay particular attention to the traditional Chinese elements that are featured in them. "Some popular Guochao sneakers are harder to get. Many online stores sold out of these sneakers soon after their launch," he said.

Young people take notice of new consumption trends, and Guochao is currently a growing fashion force in China, according to a foreign media report. The report noted that Guochao products can compete with any similar foreign brand when it comes to quality and innovation. Observers say that Guochao is here to stay because it represents a true and profound change in the minds of Chinese consumers on the importance and growing influence of their culture, identity and market for the business world, said the report.

Xu Chuangyue, CEO of Fosun Watch Group, said an increasing number of young Chinese people are beginning to appreciate traditional culture and domestic brands again. The cultural confidence reflected in the trend of Guochao online brings great opportunities to the market.

China's Gen Z, or people born from 1995 to 2009, particularly favor Guochao products, and have become an emerging consumer force.

Industry insiders say China's Gen Z consumers have grown up in an era with decent material conditions and rapid development of the internet and new media. They have also developed a stronger sense of national pride and cultural confidence, and have greater recognition of "made in China" products that guarantee both design and quality. With their greater consuming power and savvy, they have become the driving force of the online Guochao market.

To meet customer demand, several traditional companies have begun rolling out new chic products. For example, Xtep, a Chinese sportswear company, has launched sportswear featuring traditional Chinese Shaolin martial arts.

Meanwhile, many young Chinese consumers are sharing their experiences of Guochao consumption on social media to make like-minded friends and gain a sense of belonging.

Experts believe that consumers' emotional identification with the Guochao trend means that Guochao products are more likely to play a role in their social lives.

Guochao brands need to sharpen their core competitiveness by focusing on the quality and design of their products so as to offer more surprises to consumers, industry insiders suggested.