SOURCE / ECONOMY
Pulse on China's Economy: Frigid air fuels 'cozy' economy in China; winter consumption has strong potential: experts
Published: Dec 14, 2023 09:27 PM
Tourists pose for photos in snow at the Palace Museum in Beijing, capital of China, Dec. 13, 2023. China's meteorological authority on Wednesday renewed a yellow alert for blizzards, forecasting intense snowfall in the north of the country.(Photo: Xinhua)

Tourists pose for photos in snow at the Palace Museum in Beijing, capital of China, Dec. 13, 2023. China's meteorological authority on Wednesday renewed a yellow alert for blizzards, forecasting intense snowfall in the north of the country. Photo: Xinhua


While a new wave of cold air is bringing snow to many parts of China, a "cozy" economy is thriving simultaneously, with surging sales of winter clothing and heating appliances, and increasing consumption of hotpot, milk tea and other items.

During the just-concluded "Double Twelve" shopping festival, the Douyin Mall - an e-commerce unit under ByteDance - launched a discount promotion, concentrating on a diverse range of winter season products, such as down jackets, snow boots, cashmere coats and small home appliances like foot soaking tubs and temperature-controlled kettles, according to a statement the company sent to the Global Times on Thursday.

Online shopping giant Taobao's Year-End Good Price Festival also launched a subsidy special period for "heating appliances" starting from Tuesday, the company said in a statement it sent to the Global Times.

In addition to some popular brand items, Taobao will subsidize new heating products, such as electric blankets, heated floor mats and desktop heaters.

In the meantime, as the New Year holidays approach, the tourism market continues to heat up, with growing enthusiasm for "skiing + hot springs" orders.

In early November, ski resorts in northeastern China and Northwest China's Xinjiang Uygur Autonomous Region were among the first to open, fueling a steady increase in "ice and snow" tourism, online travel agency Trip.com said in a statement it sent to the Global Times on Thursday.

Tourism products centered around skiing are continuously diversifying. This trend is driving the development of "skiing +" products, and it is fostering the comprehensive development of leisure formats in skiing destinations, Trip.com said.

Winter consumption has emerged as a new economic driving force and local governments are actively promoting winter spending. Beijing has launched an Ice and Snow Sports Consumption Season, distributing at least 30,000 consumption vouchers. Dalian in Northeast China's Liaoning Province has distributed 10 million yuan ($1.4 million) worth of "auto consumption coupons" and 4 million yuan worth of "home appliance consumption coupons."

As a result, malls and scenic spots across the nation have ramped up efforts to provide goods and services that better cater to winter consumption.

During this winter holidays, Spectacular Santa's Village will make a surprising debut in the Universal Beijing Resort and will be filled with a romantic, cozy atmosphere, the resort said in a statement it sent to the Global Times on Thursday.

Some niche business opportunities are also emerging as people indulge in the beautiful snowy scenery. For instance, some photography studios are offering on-site photography services in the snow.

An employee from a photography studio in Beijing told the Global Times that it offers makeup and costume services, allowing clients to dress up as ancient princesses and take photos in the Forbidden City.

As winter arrives, the demand for warming and heating products is on the rise. The growing popularity of "ice and snow" tourism is poised to significantly stimulate consumption during this winter season, providing a substantial boost to fourth-quarter growth, Zhang Yi, CEO of iiMedia Research Institute, told the Global Times on Thursday.

China's "ice and snow" consumption market has developed a relatively complete industry chain, including tourism, sports, related equipment and culture, he said, noting that compared with summer consumption, the development of "ice and snow" consumption has been relatively late, but it possesses strong potential for growth.