BEIJING - Despite rising prices for essential goods and fuel, the Chinese desire to own a car is as strong as ever, The Nielsen Company said in a recent study.

According to the research, nearly 94 percent of Chinese consumers said that they intend to buy a car in either the short or long term. More than a quarter - 27 percent - said that they plan to purchase a car within a year, while 39 percent said they expect to buy a car in the next one or two years.

The Chinese automotive market has been on a roll. China was the only country to achieve annual growth of more than 20 percent in the past five years and posted 30 percent growth in 2010, industry statistics show.

So, what are consumers' top priorities?

According to the study, 60 percent said they ranked safety as their top consideration when making a car purchasing decision. Price was the second-most important factor with 52 percent followed by quality with 49 percent. The age of the consumer makes a difference when it comes to purchase priorities.

Consumers born in the 1950s tend to be more sophisticated. Their top three considerations are safety (60 percent), price (51 percent) and car body style (50 percent). Economics ranked fourth in their consideration. They give nearly equal attention to all factors when purchasing a car: comfort, ease of driving, quality, space and exterior design all play a part in the decision.

Those born in the 1960s tend to have higher standards for a car's quality and are certainly fans of "value for money". They rate safety highly (73 percent), followed by price (56 percent) and quality (55 percent). They consider economy (44 percent) and comfort (50 percent) more important than other age groups.

Consumers born in the 1970s are the most price-sensitive group (61 percent), with safety (63 percent) and quality (56 percent) also important. Brand image (39 percent) is most important for this group than for others.

Many of those born in the 1980s have yet to buy a car. They do not appear to regard any single requirement as more important than others compared with other age groups. Their top three priorities are safety (56 percent), price (49 percent) and quality (49 percent).

People born in the 1990s are the new generation of Chinese consumers and they have very different priorities than other groups when it comes to the factors they consider when buying a car.

They rank exterior design more highly than any other age group (47 percent), just behind safety (54 percent). Although price is one of their top three considerations (40 percent), it is less important compared with other age groups. They care the least about comfort and convenience (29 percent).

China Daily

(China Daily 07/21/2011 page16)