Chinese people spent more money during this lunar new year holiday than the last. The rise in retail sales came despite the government's campaign calling for frugality. Our reporter Wu Guoxiu spoke to an expert on the new year holiday economy.
Among the traditions in Chinese new year is giving gifts. This year, people favored less expensive gifts, without fancy packaging.
In some supermarkets, sales of traditional treats rose more than 20 percent, but fell off for luxury gift packs. People still went out, but spent less per meal. Restaurants hung banners to remind diners not to waste food.
"The government has been cracking down conspicuous consumptions, frugality campaign, if you don’t have to regift, there is no point to buy very expensive stuffs," said Xu Sitao from Economist Intelligence Unit.
Fireworks sales were also down. In Beijing, it was by half.
"I only bought one roll of firecrackers this year to help the environment, much less than last year," said a Beijing resident.
But the consumer market has actually not cooled down. Latest figures from the Ministry of Commerce show that in the one-week-long New Year holiday, the sales volume of China's retail and catering market rose to over six hundred and ten billion yuan, 13 percent higher than the same period last year. People this year stayed away from expensive gifts and dinners, preferring to spend their money on travel and leisure activities.
Besides domestic tours, the National Tourism Bureau says over 4.7 million Chinese travelled abroad during this holiday, 18 percent up from last year.
Cinemas also enjoyed a new year boom. Ticket sales in the first three days surpassed the entire new year holiday week last year.
" I don't want to overemphasize the importance of government policy. In the end, people's consumption is going to be driven by people's disposable income, wealth," said Xu Sitao.
For many, frugality doesn't mean doing without. Frugality means spending wisely--no matter how much or how little you have.
