logon released Emerging Middle Class report

logon’s report first focuses on the rapid development of China’s urbanization-urbanization has been changing China at an unprecedented rate in the past 30 years. A modern social economy has given birth and grown the most important part of this country and city. The social group-the middle class. According to McKinsey’s forecast, 64% of China’s population will live in cities by 2025. By 2022, 76% of Chinese households will be middle-class, which is equivalent to 45% of the Chinese population. The development and changes of the middle class will drive China from an industrialization-based society to an innovation and consumption-led society; from an economy that simply provides demand to an economy that realizes self-awareness and will.
So what kind of people are middle class? Generally speaking, the important characteristic of the middle class is the free surplus capital and the ability to consume non-essential goods such as tourism and education. In China, the emerging middle class in the future will be the G2-the only child born in the late 70s, with sufficient social and economic security, and the pursuit of social status and identity. They are outside the first space—home, and the second space—work place, and they have a demand for the third living space—a place for leisure, social interaction, and experience. The third living space gives clear characteristics to the city and is also part of the spiritual map of people. For example, Xintiandi is a typical third space that integrates multiple functions such as life, work, and entertainment.
The emerging middle class is not a monotonous group, but a diverse group, which can be divided in terms of age, economic ability, and social relations. The needs of the middle class in different geographic locations in the same country are also different. Therefore, each specific project needs to understand the location, understand the people, and understand the needs of the target population. In her speech, Ms. Wang Fang introduced a sociological concept -Habitus, which refers to the lifestyle, values, personal preferences and expectations of a specific social group in their daily life and experience. In the process of project development and positioning, only by seizing the habits of the target population can the success of the project be ensured.