Technology Habits of Gen Z - China - February 2021

OVERVIEW
What you need to know
Covered in this Report
EXECUTIVE SUMMARY
The market
Gen Z are true digital natives
Gen Zers’ monthly disposable income is increasing
Medium length video is rising among Generation Z
Retailers integrating tech to stand out from the competition 
Wearable technology to track health 
The consumer
Crucial role for smartphones 
Figure 1: Online activities across devices, December 2020
More hands-free activities
Figure 2: Time spent on different digital activities, December 2019 to December 2020
Rising financial awareness amongst Gen Zers
Figure 3: Engagement with technology services, December 2020
Favourite past times accompanied by audio 
Figure 4: Occasions for audio content, December 2020
Knowledge payment anticipates fast growth rate 
Figure 5: Knowledge payment experience, December 2020
Wellbeing a priority for the next decade 
Figure 6: Outlook for the next decade of technology, December 2020
What we think
ISSUES AND INSIGHTS
Enhance shopping experience with mobile technology enablers
Stressed out financially but solutions exist
THE MARKET – WHAT YOU NEED TO KNOW
Comprehensive social app ecosystems find success targeting Gen Z in 2020
Smart speaker sales boom along with the popularity of audio content 
Music streaming services continue to integrate services to include knowledge payment and podcasts 
Mainstream social media is still their top choice
MARKET LANDSCAPE
Gen Z are true digital natives
Increasing monthly personal income
Figure 7: Monthly personal disposable income of Gen Z, December 2019 vs December 2020
COVID-19 has left a clear mark on what Generation Z finds important
Figure 8: Changes in areas of interest of Generation Z, December 2019 vs December 2020
COMPETITIVE STRATEGIES
Bilibili builds strong learning community by engaging Gen Zers
Retailers integrating tech to stand out from the competition 
Wearable technology to track health 
Virtual KOLs
Marketing sustainability to Gen Z
Figure 9: Huawei and Xiaomi’s earth day campaign on Weibo, April 2020
WHO’S INNOVATING?
New social media based on voice 
Figure 10: Clubhouse app
New packaging trend for smartphones
Luxury brands tap into wearables to target Gen Z tech habits
Figure 11: Wireless headphones by Louis Vuitton, January 2021
A surge of private labels from digital streaming platforms 
Figure 12: FOURTRY mini program, January 2021
THE CONSUMER – WHAT YOU NEED TO KNOW
Gamers shift from computers to smartphones
Financial anxiety prevalent 
Music for most occasions 
ONLINE ACTIVITIES ACROSS DEVICES
Digital realm at their fingertips
Figure 13: Online activities across devices, December 2020
Changes in device usage in 2020 vs 2019
Figure 14: Online activities across devices, December 2019 vs December 2020
Online activities dictated by gender
Figure 15: Selected online activities across devices, by gender, December 2020
ONLINE ACTIVITY FREQUENCY 
Less time playing games but more time on reading and listening
Figure 16: Time spent on different digital activities, December 2019 vs December 2020
Male Gen Zers continue to be key group for gaming 
Figure 17: Online activities frequency, playing games, December 2019 vs December 2020
Gen Zers with children utilize podcasts to learn
Figure 18: Frequency of listening to podcasts, by living situation, December 2020
ENGAGEMENT WITH TECHNOLOGY SERVICES 
Rise in the importance of finances 
Figure 19: Engagement with technology services, December 2020
Arts and culture products may be best sellers on second-hand platforms 
Figure 20: Utilization of second-hand goods platform in the past 12 months, by areas of interest, December 2020
Appetite for UGC  becomes the norm
Figure 21: Engagement with technology services in the past 12 months, by having made UGC content, December 2020
Younger Gen Zers are more active on dating apps 
Figure 22: Engagement with technology services in the past 12 months, by found friends or partners through online dating aps, by age, December 2020
OCCASIONS FOR AUDIO CONTENT 
Growth needs to accompany consumers’ favourite time
Figure 23: Occasions for consuming audio content, December 2020
Heavy users enjoy music while cooking and shopping
Figure 24: Occasions for audio content, differences between heavy users and light users, December 2020
Gen Z 21-22s live life to their own soundtrack
Figure 25: Occasions for audio content, music and podcasts, December 2020
Females use audio more while doing certain tasks
Figure 26: Occasions for audio content, by gender, December 2020
CONSUMING PAID AUDIO CONTENT
Paying for audio knowledge content not yet normalized
Figure 27: Themes for consuming paid audio content, December 2020
Paying for comfort with hopes to ease financial anxiety
Figure 28: Themes for consuming paid audio content, by those who have paid, December 2020
Brands are most likely to find paid users on tablets than other devices
Figure 29: Themes for consuming paid audio content, by those who haven’t paid, by device used to listen to audio content, December 2020
Financial content appreciated by Gen Zers
Figure 30: Knowledge payment experience, by source of income, December 2020
OUTLOOK FOR NEXT DECADE FOR TECHNOLOGY 
Living and wellbeing come out on top as Gen Zers embrace a digital future
Figure 31: Outlook for the next decade of technology, December 2020
Technology-powered entertainment will help brands to stand out even more
Figure 32: Outlook for the next decade on virtual reality usage, by city tier,  December 2020
Upgrade the conversation on smart home applications
Figure 33: Outlook for the next decade on smart home devices penetration, by secondhand goods usage, December 2020
Male Gen Zers will be first to adapt to multiple wearables
Figure 34: Outlook for the next decade on the importance between mobilie phone and wearable devices, by gender December 2020
APPENDIX – METHODOLOGY AND ABBREVIATIONS
Methodology
Abbreviations