A new report from the consulting firm McKinsey & Company “Understanding Chinese Consumers: Growth Engine of the World” reported on several trends influencing the grocery sector:
1. Online grocery sales are expected to increase as demand expands in lower tier cities.
2. Shoppers expect convenience and ultra-fast delivery of online fresh food orders.
3. Omnichannel services are more widely accepted.
4. Consumers increasingly value quality, health and safety for fresh and packaged foods. (About 1/3 of consumers say they intend to purchase organic foods, but only about one percent actually do.)
5. Private labels are increasing.
6. Grocery stores are revamping foodservice models.
The free 158-page report also looks at how COVID-19 is reshaping the economy, digital strategies for marketing in China, and more.