As China slowly recovers from the devastation caused by the spread of the novel coronavirus, the country's public and private sector are now looking for innovative ways to revitalize consumption. Both sectors have joined hands to take advantage of the slew of policies imposed by the government to get people to spend once again.
The innovative strategies include the rollout of massive discounts, promotions, coupons, and freebies to entice people to spend their money. The move coincides with the recent measures being undertaken under a 19-point circular by a group of 23 central government agencies to bolster domestic consumption, which is the country's economic backbone.
Chinese establishments and merchants are already rolling out massive promos to entice more customers. Hotel chain operator Hilton recently started offering discounts across its properties, including offers for its accommodations, food, and even its laundry services. The company is also heavily investing in its online presence to engage its customers on online platforms.
Shanghai-based shopping mall operators Century Link is also utilizing online platforms to promote its business through the use of live streaming. The company also launched its virtual shops on WeChat, providing exclusive discounts to online users for items such as jewelry, appliances, and fresh produce.
Century Link marketing director, Huang Wenhui, explained that its online to offline strategy is aimed at eventually convincing customers to visit its physical locations. According to Huang, more than 85 percent of the establishments in its shopping centers have already resumed operations.
Online platforms such as Alipay are also taking advantage of the push to boost consumption by offering their promotions to users. Alipay, which aggregates over 10,000 major retailers, announced plans to give away over 10 million discount tokens to users, which can be used to purchase items from participating brands across the country.
Governmental agencies have launched their programs to encourage spending. The Beijing Municipal Commerce Bureau recently started recruiting hundreds of vendors to join its month-long live streaming program to offer users various discounts and promotions.
The municipal government of Nanjing also announced plans to distribute coupons worth 318 million yuan to its citizens through a publicly streamed lottery. The government of Ningbo in Zhejiang province also announced the same plans, collaborating with local companies to give out vouchers worth 100 million yuan to its citizens. Winners can use the vouchers to purchase items and services from hotels, cinemas, bookstores, and other establishments.
Officials from the city of Changsha, the capital of China's Hunan province, are aiming for the increased consumption of big-ticket items such as vehicles through its programs. Under its program, citizens who purchase any of the 49 designated car models will be able to get a 3,000 yuan subsidy from the government and a separate discount from the dealer.
