Chengdunese spent over RMB241 billion last year, 63 percent of which was spent on consumer goods, said a recent report jointly prepared by the Chengdu Business Bureau, the City Statistics Bureau, the Chengdu Retail Industry Association, and the business college of the Chengdu University of Science and Engineering.
The figure is an 18.8 percent increase over spendings last year, or 15.8 percent after adjusting for inflation.
Among the consumer goods Chengdunese spent the most on were cars, gasoline, apparel, shoes, and textile accessories, gourmet food, liquor, and tobacco, home appliances, and home-entertainment equipment. Of those, spending on cars held a 20.5 percent share.
But the fastest-growing spending was in the food and beverage sector, specifically at coffee shops and Sichuan-style cold-snacks takeout windows. Hotpot restaurants, fast-food chains (both Chinese and Western), and supermarkets were also among top earners.
The growth rate of spending on cars and related items is expected to slow throughout 2011 as the government moves to curb the growth of numbers of vehicles on the road with caps and removal of buyer incentives. At the same time, the rate of increase on food prices should slow, according to the report.
The city of Chengdu is also moving to boost the e-commerce sector with support funding, human resource training, The city's goal is to see consumer spending via e-commerce hit the RMB300 billion mark by 2012, compared to RMB8 billion in 2010.
Photo by Dan Sandoval