## Seeking One-of-a-Kind Adventures
Roberto Coppola delves into how businesses can meet the expanding entertainment desires of young adults in China.
Individuals born in China during the 1980s, frequently referred to as the “80s generation,” are genuinely distinctive. They have observed China’s remarkable evolution since the conclusion of the Mao period, encountering prospects and obstacles vastly different from those of their predecessors. This has resulted in a substantial generational divide within Chinese society.
China’s economic surge has considerably boosted the discretionary funds of numerous citizens, making journeys abroad a possibility. Unlike their counterparts in the United States, who are still contending with the repercussions of the economic downturn, Chinese millennials have experienced an almost 35% increase in their earnings over the past three years. This financial autonomy has fueled a travel boom, with the quantity of outbound Chinese tourists soaring by an astounding 20% just last year. Hotels have taken note – nearly 60% of enterprises in the US and 80% in the Asia-Pacific zone report a notable rise in Chinese millennial visitors.
A recent Hotels.com Chinese International Travel Monitor study disclosed that “relaxation” is the principal incentive for 90% of Chinese millennials venturing overseas. Wagering, specifically, is an extremely favored vacation pursuit for Chinese travelers.
The Wall Street Journal notes a significant rise in Chinese travelers to Las Vegas, showing an 80% jump in the last five years. The city’s appeal is strong, particularly for young adults. A new poll revealed Las Vegas as the leading destination for Chinese individuals in their 20s and 30s looking for relaxation and fun. This offers a prime chance for companies serving this demographic.
Picture converting less-used venues, such as daytime pubs or lounges, into vibrant, multi-use areas. These flexible spaces could accommodate various groups at different hours, optimizing their use.
While young people in the West frequently head to coffee shops, bars, and nightclubs, Chinese millennials often prefer different social settings. Karaoke, or KTV, is king in China and Southeast Asia, captivating multiple age groups, including young adults.
In Chinese society, karaoke is more than simply an activity; it’s a skill, a method of bonding, and a glimpse into someone’s authentic character.
Maybe the enduring appeal of karaoke for business negotiations in Southeast Asia, where cultivating relationships is paramount, lies in this particular facet. Within China, unveiling the “authentic self” holds significant weight in both personal and professional spheres.
Western companies have a chance to integrate karaoke itself, or more crucially, the captivating and practical aspects of the karaoke experience, into other business domains if they aim to resonate with Chinese millennials, presently and in the times to come.
Businesses seeking to entice Chinese millennials might contemplate converting physical areas that experience low utilization during specific intervals (like early afternoon taverns or lounges) into adaptable units catering to diverse consumer groups at various points throughout the day.
Consider the HaiDiLao hotpot establishment, immensely popular among millennials in China despite functioning within a fiercely competitive sector. The enterprise has crafted its dining ambiance to be optimal for social gatherings, attracting patrons with leisure time.
Hotpot is uncomplicated and collective, involving the dipping of meat and vegetables into a shared simmering stock. This easily emulated concept results in abundant competition.
The popular Chinese hotpot establishment, Haidilao, has achieved remarkable success by prioritizing an exceptional dining adventure, commencing even before patrons are seated. Renowned for fostering unwavering customer allegiance, a rarity in China’s culinary landscape, the restaurant extends this commitment to its workforce.
Central to this achievement is the distinctive “Haidilao experience.” Picture anticipating a table, occasionally for extended durations, yet finding enjoyment in the interim. The eatery offers complimentary internet access, footwear polishing, mobile device repairs, nail care, and hand massages. This novel approach to mitigating wait times has garnered significant notice, particularly from enterprises recognizing the potential of crafting memorable interludes for their clientele.
Although American millennials are frequently depicted as prioritizing encounters over tangible acquisitions, their Chinese counterparts appear to desire both.
And they are on the cusp of attaining it, as this demographic constitutes a lucrative market for businesses in the recreation and hospitality domains. Young Chinese patrons seek tailored experiences, and enterprises capable of fulfilling this aspiration stand to reap substantial benefits in the years ahead.
Present-day shoppers in China are an intriguing blend. They maintain ancestral customs while being molded by millennia of vibrant heritage and a strong yearning to discover the world outside their nation. This presents a distinct prospect for international corporations such as Volkswagen, particularly in captivating young adults in China. Nevertheless, this also poses a singular obstacle: effectively resonating with this emerging demographic.
China represents a pivotal market for Volkswagen; in 2013 alone, their sales reached almost 3.3 million vehicles there – exceeding twice the number sold in their home country of Germany! Even high-end brands within the Volkswagen Group, like Porsche and Bentley, view China as their most significant market.
A few years back, Volkswagen initiated a campaign titled “Enjoy it now,” specifically aimed at youthful Chinese buyers with their legendary Beetle model. The campaign employed print and television advertisements showcasing senior citizens attempting to recapture their youth in, shall we say, “unorthodox” manners. Picture elderly individuals at raves, grandfathers on skateboards, and senior graffiti artists testing their boundaries.
The implication was evident: the Beetle is enduring, stylish, and just as pertinent today as it has always been. Volkswagen skillfully utilized humor and a hint of sentimentality to engage with young Chinese consumers, reminding them that the Beetle embodies a spirit of liberation and exploration that transcends age groups.
The objective is to engage with youthful Chinese shoppers who are passionate about embracing life to its fullest, in the present moment. They possess a fear of missing out!
To captivate these Chinese Millennials and entice them towards your offerings or physical location, acknowledge that traditional methods are ineffective. Strategies that resonated with their parents are outdated.
Undoubtedly, they desire desirable products – a universal desire – but their aspirations extend beyond material possessions. Chinese Millennials seek brands that empower self-expression and individuality. They yearn for an authentic connection, something genuine, with their chosen brands and the individuals behind them.
Companies aiming to penetrate this substantial market must conduct thorough research. Discarding assumptions is crucial; comprehending the motivations of these young consumers is paramount. This necessitates investing in robust consumer insights to develop products and experiences that genuinely resonate.
For businesses in the leisure and entertainment sectors, innovation is key. Abandon generic, one-size-fits-all approaches. Chinese Millennials seek experiences that mirror their own diversity and uniqueness. They are eager to explore the world, challenge limits, uncover novelty, and transcend cultural boundaries. Cultivate an environment where limitless possibilities abound.
Roberto Coppola, the worldwide director of market analysis at YWS, recently unveiled findings from his report, “The Next Big Spender: $264 Billion Dragon Babies.” The document examines how companies can effectively connect with and cater to the generation born in the year of the dragon, predominantly in China, who are on the verge of becoming significant spenders in the near future.
Coppola is a veteran market analysis specialist with more than 15 years of expertise, contributing a wealth of understanding to the YWS group. YWS is an international design company specializing in crafting immersive and captivating environments for hospitality, gaming, retail, dining, and entertainment locations. Their trademark method combines market-driven design tactics with the distinct vision of each customer. Headquartered in Las Vegas with branches in Tulsa, Singapore, and Macau, YWS has been providing top-tier design solutions since 2001.
