Benchmark
Chinese Shoppers Are Turning Their Backs on Foreign Brands
- Digital-savvy upper-middle class is fueling a consumption boom
- Chinese companies make gains because they know their customers
Shoppers walk through an open air shopping mall in Beijing, China.
Photographer: Qilai ShenThis article is for subscribers only.
Foreign brands are falling from favor in China, the world’s biggest consumer market, according to reports by Nielsen Holdings Plc and Bain & Co.
Domestic companies producing consumer goods such as food and beverages or personal care products are slowly but steadily eroding market share from foreign competitors, leaving them with 30.2 percent of the market last year versus 33.5 in 2006, according to Nielsen. Bain found foreign companies increasing their market share in just four of 26 categories.