Home>Biz Updates

Consumption shows signs of recovery

Updated:2020-03-30 (chinadaily.com.cn)

Print Mail Large Medium Small

Consumption is steadily rising in Ningbo after a series of measures were implemented by local authorities.

A report released by Meituan, one of China's biggest takeout platforms, on March 12 shows that over 71.1 percent of restaurants in Ningbo had resumed operations, ranking first among 36 major cities nationwide.

The fact that the majority of restaurants have resumed operations in Ningbo is a reflection of how well the local government has handled the slow-down caused by the epidemic, noted Zhong Yongjian, general secretary of Meituan.

The epidemic is both a challenge and an opportunity. Some local enterprises, including Peacebird, are forced to explore business opportunities online. 

The fashion brand launched more than 40 livestreams on March 5 to 8, raking in over 100 million yuan ($14.49 million) in revenue amid the online shopping spree around Women's Day.

The city recently reached a strategic agreement with Pinduoduo, an e-commerce platform with roughly 585 million registered users. Experts predict that this year, more than 15,000 local companies will establish a presence on the platform and make more than 80 billion yuan in sales. 

The move comes as part of efforts by local authorities to help companies boost domestic consumption in the face of the gloomy foreign trade landscape caused by the worldwide epidemic.

Meanwhile, voucher programs are playing an active role in stimulating consumption in Ningbo. 

Homegrown brands in sectors such as home appliances, textiles, clothes and stationery are encouraged to issue vouchers to spur consumption. 0.2 percent of companies'online transaction volume before May 31 will be covered by government subsidies, with a maximum of one million yuan.

Manufacturing enterprises which see their online sales increase by 20 million yuan throughout the year will also be offered with rewards of up to one million yuan.