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Real-world retail beckons China's youth

Amid algorithm blues, Gen Z consumers flock to redesigned malls that prioritize atmosphere and social exploration

By Chen Meiling | China Daily | Updated: 2026-01-01 10:43
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The 1,300-square-meter National Library Cultural Center in Beijing creates an immersive reading space where visitors can also purchase themed souvenirs. [Photo by Yan Xiang/For China Daily]

Trendy renewal

At the WFJ XIYUE Mall in Beijing, young shoppers trade ACG souvenirs and gather around boxes with collectibles hidden inside to try their luck at obtaining the character they want. Since its relaunch at the end of 2023, the mall has become a popular destination for Gen Z consumers. It was previously known as the Beijing New Yansha Golden Street Shopping Plaza, which had suffered from sluggish foot traffic before its renovation.

During its two-year anniversary celebration from Dec 20 to 21, sales surged 76 percent year-on-year, while foot traffic rose 35 percent, according to the mall. Its overall commercial performance has continued on an upward trajectory this year despite broader market headwinds.

Zhang Yixing, 25, said he often visits the mall to pick up merchandise. "The ACG vibe in the mall is great, and people's acceptance of the culture is much higher," he said. "I usually dress up in cosplay to hang out there, which makes the experience immersive. When I'm with friends, we take photos or short videos, and even passersby will ask to take photos together."

While Zhang acknowledged that online shopping remains convenient, he said he prefers offline stores when it comes to collectibles. Physical stores offer a wider selection and allow customers to inspect items directly, reducing the risk of misleading product descriptions. "The process of hunting for collectibles is sometimes more fun than the items themselves, as it brings more emotional value," he said.

Targeting primarily young consumers, the 78,000-square-meter mall spans seven floors above ground and two underground. It hosts Beijing's first Disney store, North China's first Fluffy Market, a trendy perfume store, and Super Rare, a blind box store featuring K-pop merch. Beyond retail, it includes a talk show theater, a bookstore that sells coffee and hosts cultural salons, and a specialty shop selling products with auspicious meanings, such as God of Wealth blind boxes and lucky fridge magnets.

The mall routinely organizes ACG fairs, themed dances, card gaming activities, and promotional campaigns tied to well-known intellectual properties, including Harry Potter, Crayon Shin-chan, and hit television series. Popular vloggers and idols are invited from time to time to attract fans and increase foot traffic.

"Against the backdrop of booming e-commerce, our core competitiveness lies not in mere selling goods, but in creating offline experiences and social-emotional value unavailable online," said Mia Ma, a manager of the mall.

She explained that popular IP-driven brands provide immersive retail spaces, exclusive items, and interactions where young shoppers can check in and splurge. The mall's diverse offline social and cultural experiences create space for visitors to explore novelty for fun and relaxation.

Ma believes the mall is gradually becoming a source of psychological comfort, cultural exchanges, content planning, and community management.

Hu from Roland Berger said the contrast between struggling traditional malls and revitalized, clearly positioned venues highlights growing polarization in physical commerce. While many record declining sales, those with distinct characteristics continue to achieve growth in visitors and revenue.

Among retail enterprises above a designated size in China, the retail sales of department stores and brand specialty stores decreased by 2.4 percent and 0.4 percent year-on-year in 2024, respectively, data from the National Bureau of Statistics showed.

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