‘Diaosi’ become mainstream consumer force in China; “Diaosi” is originally a derogatory term referring to unattractive, poor, hopeless young people who stay at home playing online games
July 14, 2013 Leave a comment
‘Diaosi’ become mainstream consumer force in China
Staff Reporter
2013-07-11
“Diaosi,” originally a derogatory term referring to unattractive, poor, hopeless young people who stay at home playing online games, has gained widespread use as a mainstream social group. The term is especially favored by programmers and those in the media, aged between 30-39.
Shi Yuzhu, owner of a major e-commerce firm, likes to call himself a diaosi, as he found that those people are major patrons of his website.A report released by Nielson last August shows that in the second quarter last year, Chinese consumers ages 30-39 had a higher consumer sentiment index than consumers under 30 and were more satisfied with their existing income and expected income in the following year. The percentage of those satisfied reached 56% and 72%, respectively, compared with 48% and 67% of the under-30 group.
According to yicai.com, the number of people calling themselves Diaosi is expanding constantly, but the reference of the term has changed to mean people who labor under pressure. Change in the definition of the term means that Diaosi have become mainstream consumers in China, replacing those who pursue high-end brand-name products.
Study shows that men earning 6,001-8,000 yuan (US$978-$1,300) a month and women earning 3,001-6,000 yuan (US$490-$980) are the people most likely to call themselves Diaosi. The group earns more than the social average: compare to the per capita disposable income of Beijing residents, which reaches 3,039 yuan (US$495) a month.
Diaosi have high regard for quality and fashion, and less than 10% of them emphasize necessities. This means that despite the defamatory term, they still aspire for a quality life, according to yicai.com.
From one angle, the Chinese internet industry embodies the “Diaosi economy,” as its operation is based on free or low-cost service. “Tencent earns a small amount of money from huge numbers of subscribers; Baidu makes profits from huge numbers of small and medium enterprises, while Taobao profits from a huge number of online stores,” remarked an industry insider.
Tong Weiliang, chairman of Gobi Partners, points out that Diaosi are hard-working and young individuals in the middle or lower strata of society, representing mainstream internet patrons, adding that understanding of the psychology, customs, and needs of this social group can help boost the popularity of a product.
About bambooinnovator
Bamboo Innovator 