New business forms facilitate China's nighttime economy

Thanks to the gradual recovery of consumption across China, nighttime consumption has evolved from consumption of food and shopping to that of sightseeing and entertainment, and new business forms and scenarios have emerged, facilitating the nighttime economy.

A stall owner (1st R) sells goods at a street market featuring traditional custom in Haikou, south China's Hainan Province, Feb. 19, 2023. (Xinhua/Guo Cheng)

Data from Chinese internet giant Meituan shows the number of online reservations for dine-in services at night at restaurants has surged by 66 percent year on year since March this year, while that for leisure and entertainment skyrocketed by 89 percent.

During the same period, the number of take-out orders received by supermarkets and shopping malls at night has increased by 48 percent and 51 percent, respectively, driven by new business forms such as the new retailing model of one-click ordering (instant retail) and community-based e-commerce.

“The nighttime economy has become a new area of strong consumption, thanks to various regions' measures to drive the development of the nighttime economy and the integrated development of various new business forms including instant retail and community-based e-commerce,” said Pan Helin, co-director of the Digital Economy and Financial Innovation Research Center at Zhejiang University's International Business School.

Beijing, for instance, recently decided to carry out a dynamic assessment of nighttime consumption landmarks, business districts and living areas throughout the capital. Southwest China's Chongqing Municipality upgraded several distinct night markets and ensured better integration of nighttime commercial, tourism, cultural and sports activities to accelerate the recovery of its consumer market. Shanghai will release guidelines on promoting the high-quality development of its nighttime economy

Data showed that 65.7 percent of consumers spent their money online at night, including ordering food, and taking part in online recreational activities such as watching TV series and playing games.

A report issued by the Ministry of Commerce said that 60 percent of consumption in cities took place at night, and the turnover of some major shopping malls between 6 p.m. and 10 p.m. accounted for over half of their daily sales volume.

Urban governance should be improved and designated agencies or personnel should be assigned to promote the orderly development of the nighttime economy, said Pan.

Pan added that a locally featured nighttime economy should be developed to better satisfy people's demand for personalized, diversified and quality consumption by further exploring unique local cultural elements and launching new products.

Pan also suggested encouraging platform enterprises in instant retail, community-based e-commerce and other aspects to facilitate the nighttime economy.