[Market Views] Small appliances become Internet celebrities, "Gen Z" consumption is worthy of attention
Air fryer, breakfast machine, electric mop, beauty instrument, heated lunch box... these small and full-featured new small household appliances have set off a consumption trend among the "Generation Z" group.
According to data from Aowei Cloud Network, 11 small kitchen appliances, including electric kettles, juicers, induction cookers, etc., will achieve retail sales of 56.63 billion yuan in 2020, of which online retail sales will be 36.6 billion yuan, an increase of 9.4% year-on-year.
According to the data from Tianyan Check, there are currently nearly 1.08 million small household appliances related enterprises in China.
Among them, more than 70% of enterprises were established within 5 years.
In the past five years, companies related to small home appliances have continued to grow, and the annual growth rate has remained above 15%.
The so-called "Generation Z" refers to people born between 1995 and 2009. Also known as the Internet generation, it refers to a generation that has been greatly influenced by the mobile Internet.
The biggest living characteristic of this generation is living alone, including sharing with friends or strangers, because even the earliest "Generation Z" born in 1995, the oldest is only 26 years old, and this generation has not generally reached marriage. The childbearing age and consumption situation are quite different from those of Gen X who were born between 1965 and 1980 and Gen Y who were born between 1981 and 1994.
Generation X consumers tend to do things by themselves, and never waste money if they can do it on their own. Generation Y consumers tend to plan carefully, and they are able to make a single deal.
"Generation Z" is not the case. They are more inclined to meet their own needs as much as possible, value experience, and like personalized products or services that have more room for self-expression.
This is like the college student Shiro in "Crayon Shin-chan". Shiro finally bought a "five-piece small electrical appliance set" including a flat frying pan and a rechargeable electric fan in the mall.
After all, for singles, large appliances can’t be used or put down, but multi-functional smart small appliances are inseparable from life, such as multi-functional small electric pots that can be used for boiling, frying or frying, "Generation Z "Baby" often does not use gas stoves to "step by step" cooking.
Of course, for the dishes put into the multifunctional electric pot, they will not go into the vegetable market to pick and choose like "Gen X", and they will not be like "Gen Y", collecting orders, exemptions and buying. Hesitating between favorite dishes.
The reason for the formation of such a consumption habit is not unrelated to the growth experience of the "Gen Z" generation and the time in which they live.
In other words, the popularity of small home appliances is only the beginning of the "Gen Z" consumption. After all, for this generation, a considerable part of them are still living alone and renting a house.
However, they cannot always live alone and rent a house. As time goes by, this generation will gradually enter the age of marriage and childbirth, and the income level and spending power will gradually increase. From furniture, RVs to children’s education, they belong to the "Generation Z". "The era of consumption will come sooner or later.
For this reason, no matter what industry companies are engaged in, they must study the psychology and habits of "Generation Z" consumers, as well as their individual needs and self-exposure space, and finally launch products and services that conform to their consumption concepts.
Of course, the consumption power of "Generation Z" consumers is still on the rise, and the total amount is limited. A considerable part of "Generation Z" is still on campus. Adaptation to this consumer group must also be carried out gradually, not overnight.
Zhao Ang