According to the study, the upper affluent, those earning between US$40,000 to US$1 million per year, will account for 40% of the 280 million.
BCG categorizes those with annual household disposable incomes of between US$20,000 to US$1 million as affluent people.
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The study, which was based on interviews with 3,000 affluent individuals, revealed that the affluent in the country will drive 40% of China’s consumption growth and will comprise 35% of all consumers spending in 2020, which is up from 24% last year.
BCG study has also bought out the fact that the spending of affluent will grow fivefold to US$3.1 trillion in the next eight years.
Additionally, the wealthy of China have been found to become more split, with the veterans no longer interested in flashy, logo-laden products and the newbies wanting glimmer.
Wealth is expected to be scattered around the country, with 75% of future affluent consumers coming from China’s smaller, lower-tier cities, the study added.
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By GlobalDataAnd 30% of the affluent is stated to be those new generation who may have inherited their wealth, rather than accumulating it on their own.
