Domestic consumption is predicted to increase over the three days of Chinese holidays, from Thursday to Saturday, in anticipation of the annual Dragon Boat Festival. This is in line with past holiday and shopping festival trends.
Experts predicted that the market for festival-themed goods and services will grow rapidly. Which also will quicken China’s recovery in terms of spending.
A staff member from a Daoxiangcun store, a Beijing-based delicacy maker, informed the Global Times on Tuesday that a unique cake prepared by the company just for the Dragon Boat Festival has sold out.
Zongzi, a Chinese rice dumpling and festival staple, is selling well due to rising demand. For example, a Beijing supermarket reportedly sold 400 to 500 zongzi every day. Compared to the usual daily sales volume of 200, as reported by China Securities Journal.
The festival’s main draw is traditional food, but more and more attendees are trying new things.
On Tuesday, a Taobao after-sale support person told the Global Times about the perfume pouch DIY kit. There is a growing demand as they are good for blessings. Every month, demand for DIY packs had exceeded 3,000.
Cities like Foshan in Guangdong Province, South China, which are well-known for “dragon boat racing.” They have drawn a lot of visitors from other provinces and areas, according to a previous paper.cn article that used data from the domestic travel website Mafengwo.com.
Zhang Yi, CEO of iiMedia Research Institute, told the Global Times on Tuesday that although domestic consumption will likely increase during the festival due to its close proximity to the May Day holidays and the “618” online shopping festival, the consumption recovery will be fueled by the shopping frenzy for traditional goods and services.
Zhang forecast that the continued momentum in retail sales will assist China’s economic development this year.
According to Pan Helin, joint director of the Research Center for Digital Economics and Financial Innovation connected to Zhejiang University’s International Business School, the market demand for festival goods and services will stimulate the economy and also create jobs. Pan Helin made this claim to the Global Times on Tuesday.
According to China’s chief economic planner, the National Development and Reform Commission, Chinese authorities have been working harder to accelerate the country’s domestic consumption rebound.
