Retail Observation: "Discount" Is Not The Only Way To Promote Consumption

On the New Year's Day of 2025, Chinese consumers have experienced a "cross year+midweek one-day holiday" for a long time. How much consumption can this kind of holiday, which only has localized consumption, drive? Business circles all over the country are waiting like an open box for the release of the trans national consumption war report. From today's data feedback, in 2025, retailers will see the dawn of "rejuvenation" of physical sales. On January 1, the Beijing Municipal Bureau of Commerce released consumption data on New Year's Day holiday, which showed that the sales of department stores, supermarkets, specialty stores, catering, e-commerce and other business enterprises monitored by the city reached 1.22 billion yuan, up 31.5% year on year. Subsequently, various regions have released data on passenger flow, sales and other data across major local business districts, showing an obvious growth momentum, and the physical business seems to be doing well again.

　　 The way to promote consumption is not only "discount"

Consumers living in the peak period of e-commerce are basically immune to the slogan of "discount" promotion. In order to activate consumers' enthusiasm for consumption, physical businesses must come up with more fresh ideas beyond price discounts.

The "blessing bag" mode triggered a wave of queues. The "blind box", "lucky bag" and other models have had a good response in the New Year's retail. All major brands have specially customized "cross year limited products" blessing bags, which include the first new products, limited quantity peripheral products, authentic pocket models, spokesperson peripheral products, cash red packets, etc. Consumers who go out across the New Year are willing to queue up a long waiting line to get extra luck at the special moment of the transition between old and new.

The "group competition" mode ignites consumption enthusiasm. From the Nanjing Road Pedestrian Street in Shanghai to the Jiefangbei Business District in Chongqing, the popular business districts across the country have started the mode of "pooling consumption vouchers". Nanjing Road issued 13000 RMB 550 group purchase 800 coupons and 25000 RMB 70 group purchase 100 coupons; Hangzhou Yintai has even stepped up its efforts to launch the "small ticket as money" activity. The taxi ticket is 1:1 to exchange for shopping money, which can be directly deducted when you pay the bill. Many family consumers come to purchase clothes, electronic products and New Year gift boxes for the whole family in order to enjoy the best benefits.

Mix and match business to become offline flow pool

In recent years, the entity business circle has reached a consensus that today's entity business consumption structure has turned to a new combination of "catering+leisure culture+entertainment experience+shopping", rather than the traditional retail. The pure "shopping" function of physical commerce is being replaced by online consumption. Consumers go out for experience to a greater extent.

Therefore, the common feature of the high popularity business circle across the world is that more interactive businesses have been added. The proportion of experience stores, image stores, unmanned stores, new product release shows, brand flash stores and other businesses has increased, and physical commerce has increasingly played the role of "lifestyle center" and "leisure experience center".

"Crazy Card Punchers" Pursuing Ritual Sense

For most consumers who are keen on going out to spend the New Year, "sense of ritual" is their group label, while the release of the New Year's circle of friends, Tiao Yin, and Little Red Book is the top priority of the New Year. This is a story about crazy card punches who have prepared their copy and only take photos and videos. They put on the "New Year's War Robe" and began to look for the most self reflective card punching scenes in the city.

In Beijing, each major business district is beautiful and attracts consumers with the same frequency as the spirit of the business district. Oriental Xintiandi introduced the "cat and mouse" IP, which triggered the emotional resonance of the childlike post-80s and post-90s consumers; The "Let's Smile Party" was created in Taikoo Li, Sanlitun, creating an exquisite scene for the high profile "trendy" to take photos; Blue Harbor works with Austrian artists to create a lighting art show, APM brought the first Asian exhibition of lighting installation of Australian art studio, and the atmosphere of literary and artistic youth was directly filled... In Shanghai, Chengdu, Guangzhou, Hangzhou, Chongqing and other places, a variety of activities, such as Bubble Mart Wishing Tree, Kapibala Blind Box Exhibition, Guochao Drama Tour, New Year Music Festival and so on, emerged in endlessly, which has great determination to let the people of the whole country go out for the New Year.

　　 Family consumption and single economy become two major consumption entities

From the perspective of cross university marketing, each major business district has formed two categories: family consumption business district and single economic business district. The family style consumer business circle has increased the proportion of family style catering brands in a larger proportion, and created public spaces such as parent-child areas and children's entertainment areas. In terms of brand selection, it is more inclined to the all age, all category brand matrix with a high degree of nationality.

The business circle that focuses on single economy is the ultimate pursuit of youth and individualization, and the introduction of trendy play, around stars, secondary millet stores cosplay、 Young personality elements such as bands, street culture, art exhibitions, party salons, etc., set up large installation art interaction areas to attract young consumers to punch cards; The brand structure tends to be more niche and personalized "circle brand"; At the same time, the business hours will be appropriately extended to create late night canteens, all night cafes, internet cafes and other night economy businesses.

At the turn of the old and the new, cross year retail is a national "quiz" for entity business innovation. As a result, it is a beneficial attempt for both businesses and consumers to win. Recently, people more and more often talk about the topic of "consumers returning offline" and "physical retail recovery". Is physical commerce really feasible? It is still unknown, but it is certain that we have made a good start in 2025.

(Source: Hu Jing, China Textile Federation Circulation Branch)