For the first time since Kantar started tracking China’s shopping behaviors six years ago, the rate of total value growth increased over the previous year, from 3.6% in 2016 to 4.3% in 2017. In many ways, the "two-speed" phenomenon still exists, but higher speeds are now more prevalent, driven by premiumization.

High-speed categories are steadily gaining more ground while many low-speed categories remain sluggish. This 4.3% growth is mostly the result of a 4% increase in average selling prices, which more than compensated for nearly stagnant overall volume growth.

Note: Kantar excluded cigarettes from total FMCG and slightly updated all category data in 2017, leading to minor changes when refreshed with previous years’ data
Sources: Kantar Worldpanel; Bain & Company

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