Our Executive Search partner insights about modern Chinese consumers

Key Takeaway: China’s consumer market is increasingly digital, urban and segmented. In 2025, online retail sales reached RMB 15.97 trillion, while physical goods sold online represented 26.1% of total retail sales of consumer goods. At the same time, China’s urbanisation rate reached 67.89% and national per capita disposable income rose to RMB 43,377. For consumer-facing companies, succeeding in China requires leadership teams capable of understanding distinct consumer groups, digital commerce, regional differences and evolving preferences rather than treating Chinese consumers as a single homogeneous market.

Last updated: August 13, 2026

As an Executive Search firm, we have specialists in various sectors. At Zavala Civitas we specialize in China and its different markets and, in this article, we want to share an update on modern Chinese consumers.

Everyone is talking these days about the economic power of modern Chinese consumers, with China’s online retail sales reaching RMB 15.97 trillion in 2025. As an executive search firm, we understand that modern Chinese consumers have become some of the most desired consumers by brands.

Insights on China

Key Figures at a Glance

Data point Finding Source
China online retail sales, 2025 RMB 15.97 trillion, +8.6% National Bureau of Statistics of China
Physical goods sold online as share of total retail sales, 2025 26.1% National Bureau of Statistics of China
Urbanisation rate of permanent residents, 2025 67.89% National Bureau of Statistics of China
Per capita disposable income, 2025 RMB 43,377, +5.0% National Bureau of Statistics of China

The China market currently has a wide variety of consumers and markets, and consumer-oriented companies are realizing that they will need China to drive their growth in the next decade. But, for these companies to keep the rate, they will also need to understand what different groups of consumers there are today, each with their own characteristics and purchasing preferences. Depending on the type of sector, executive search companies in China have extensive experience in guiding new companies in the Chinese market.

China’s digital consumer market has moved beyond being a niche channel. Online retail sales reached RMB 15.97 trillion in 2025, with physical goods sold online accounting for 26.1% of total retail sales of consumer goods. For consumer-sector executives, this means digital commerce should be integrated into pricing, brand strategy, customer acquisition and distribution decisions rather than managed as a separate sales channel.

Major modern Chinese consumers in China:

The New Middle Class

China’s new middle class is driving the country’s economic growth: China’s urbanisation rate of permanent residents reached 67.89% at the end of 2025.

They spend less than 50% of their income on necessities, they are consumers who are willing to spend more on life experiences, gastronomy, wellness, lifestyle products and expensive but affordable products.

Tuhao Rico

Tuhao means “New Rich”. Thanks to the Tuhao, China ranks second in terms of retail space in the purchase of luxury products and in 2016 accounted for a third of global spending on luxury.

This can include people who made large amounts of money in the 1980s and 1990s (a decade when entrepreneurship in China was new, unknown and risky), but the great majority of Tuhao people were born in humble or working-class backgrounds and became richer later. They have a bigger need to publicize their new status in life and like to convey and make known how luxurious their life is. Nevertheless, the Tuhao tend to be very altruistic people, this indicates that they are people who have not forgotten their roots and also make practical use of their money.

Maturing Millennials

Millennials represent a major consumer cohort in China. Born between the 80s and the 90s, these are currently reaching the maximum age of consumption. They are characterized by being educated, open-minded people and advanced in the use of technology.

These consumers have original tastes and stand out from the crowd; they are attracted to foreign brands because they feel closely connected to the rest of the world. They are wellness and fitness conscious, sophisticated and do not hesitate to spend a little more to get premium and luxury products.

They are heavily involved in e-commerce, browsing, shopping and interacting online.

Generation Z

China’s is more brand conscious, most likely they were born with digital consumption. They think that domestic products are just as good as foreign ones and are caught between saving for big purchases and enjoying life.

They are highly active in e-commerce and they value getting discounts and offers.

Single Young People

Due to the high prices of purchasing property and the rising costs of starting a family, many young people are more likely to postpone marriage and parenthood.

With more disposable income and fewer responsibilities, this group prefers quality products and personalized service. They like to spend more money on physical training, tourism, personal products, appliances and professional growth.

Zavala Civitas Executive Search in China

Consumer segmentation in China is increasingly shaped by both geography and purchasing power. By the end of 2025, 67.89% of permanent residents lived in urban areas, national per capita disposable income had reached RMB 43,377, and services accounted for 46.1% of per capita consumption expenditure. Consumer companies therefore need leaders who can distinguish between regional, income and lifestyle segments rather than designing a single national proposition for the Chinese market.

We are Zavala Civitas, we have walked alongside our clients supporting them in matters ranging from Executive Search to broader Organizational Consulting. We are ready to be your talent and Organizational partner in China & East Asia. We are ready to tackle new challenges and risks with your firm. Click here to get in contact with us.

Zavala Civitas executive search methodology for China country

Frequently Asked Questions: Modern Chinese Consumers and Executive Search

How large is China’s online consumer market?
China’s online retail sales reached RMB 15.97 trillion in 2025, an increase of 8.6% year on year. Online sales of physical goods reached RMB 13.09 trillion and represented 26.1% of total retail sales of consumer goods.
Why is urbanisation important for consumer companies in China?
China’s urbanisation rate reached 67.89% in 2025. Urbanisation affects where consumers live, their access to retail and digital services, income levels and purchasing patterns. Consumer companies therefore need to understand differences between major cities, lower-tier cities and regional markets rather than relying on national averages alone.
How are Chinese consumer spending patterns changing?
National per capita disposable income reached RMB 43,377 in 2025, while services accounted for 46.1% of per capita consumption expenditure. This creates opportunities across categories such as tourism, recreation, wellness, food services, digital services and lifestyle experiences alongside traditional goods consumption.
Why should consumer companies segment the Chinese market?
Chinese consumers differ by age, income, geography, city tier, digital behaviour and lifestyle preferences. A single national consumer profile can therefore hide important differences in purchasing motivations. Leadership teams need to decide which segments the organisation can serve profitably and how the value proposition should change across those segments.
How does Zavala Civitas support consumer-sector executive search in China?
Zavala Civitas combines China market knowledge with executive talent mapping, direct candidate outreach, structured assessment, reference checks and onboarding support. For consumer-facing companies, the search can assess leadership experience across digital commerce, retail, brand strategy, market segmentation and local versus international operations. Zavala Civitas has a 92% executive search closing rate.

Building a consumer leadership team in China?

Zavala Civitas helps consumer-facing companies identify senior leaders with the market knowledge, digital understanding and organisational capability required to operate in China. 92% closing rate.

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