Marketing to Consumers in Tier 1, 2, 3 Cities - China - January 2015




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Consumers in tier one to three cities make up for more than 70% of the total urban population in China, making them the target of the majority of leading companies that have been trying to increase their product user base – especially in the lower tier cities – for further growth.

However, Chinese consumers are diverse; people living in different city tiers have different spending power, live in different retail environments, with their interests and needs varying as well, which can all have business implications for companies and brands when marketing to consumers in different city tiers.

This report focuses on the following aspects when studying the differences across city tiers: consumers’ spending priorities, shopping needs and habits as well as leisure preferences.