You’ve heard of the burgeoning consumer markets in China and India that are driving the world economy. But do you know enough about these new consumers to convert them into customers?
Do you know that:
There will be nearly one billion middle-class consumers in China and India within the next ten years?
More than 135 million Chinese and Indians will graduate from college in this timeframe, compared to just 30 million in the United States?
By 2020, 68 percent of Chinese households and 57 percent of Indian households will be in the middle and upper classes?
The number of billionaires in China has grown from 1 to 115 in the past decade alone?
In The $10 Trillion Prize, bestselling author Michael J. Silverstein and his The Boston Consulting Group colleagues in China and India provide the first comprehensive profile of the emerging middle class, primed to transform the global marketplace. Already the world’s biggest buyers of cars, mobile phones, appliances, and more, these consumers are eager for more products and services. In fact, it’s estimated that by 2020, consumers in China and India will generate about $10 trillion of total annual revenue for companies selling to them.
This book explains who these consumers arewhat they buy and why, how they think and shop, and how their needs and tastes are changing. It takes you into their lives so you can better understand what they want and what they’re looking for.
Only by fully comprehending the forces driving this new generation of consumers will your company be able to capitalize on the opportunities their buying power represents. Insightful and backed by rigorous research, this book takes you inside the hearts and minds of today’s emerging Chinese and Indian consumersboth urban and rural, and across all income levelspositioning your company to win as the next wave of global affluence reaches the marketplace.
|Publisher:||Harvard Business Review Press|
|Product dimensions:||6.40(w) x 9.34(h) x 1.08(d)|
About the Author
Michael J. Silverstein is the author of Trading Up and one of the founders of The Boston Consulting Group’s global consumer practice. Abheek Singhi is the leader of BCG's India consumer practice. Carol Liao heads BCG's China consumer practice. David Michael leads BCG's globalization practice.
Table of Contents
1 Consumption in China and India: The Dawn of a Golden Age 1
Part I The Rise of the New Consumer in China and India
2 The New Revolutionaries: The Rise of the Middle Classes 27
3 The Boom of the Superrich: The Millionaires (and Billionaires) 49
4 The Next-but-One Billion: The Future of the Left-Behinds 61
5 Finding the New Consumer: The Urban Centers and Rural Communities 77
6 The Power of the Purse: The New Female Consumers 103
Part II Preferences, Appetites, and Aspirations
7 Food and Drink: Acquired Tastes: Cookies, Wine, Whiskey, and Tea 117
8 House and Home: The "Des Res," Furniture, and the Fridge 143
9 Luxury: Trading Up in China and India-Fast Cars, Watches, and Catwalk Clothes 157
10 Digital Life: Netizens, E-Shoppers, and the New Internet Giants 177
11 Education: The Escalator to Higher-Paying Jobs 193
Part III The Lessons for Business Leaders
12 Paisa Vasool: How to Captivate the Newly Affluent in China and India 213
13 The Boomerang Effect: The Global Impact of the Race for Resources 225
14 Fast Forward: Doing Business and the Accelerator Mind-Set 235
15 The BCG Playbook: Practical Strategies for Winning Over New Consumers in China and India 249
Epilogue A Letter to the Next Generation: Renewal and the American Dream 257
Appendix A Worlds of Difference: The Regions of China and India 263
Appendix B Risks and the Hit-the-Wall Scenario: How to Manage Volatility 271
Selected Bibliography 293
About the Authors 313
What People are Saying About This
As seen in The Wall Street Journal, Fortune magazine, Forbes.com, Bloomberg TV, Businessweek, The Economist, and BBC Radio
“A must-read for those wanting to tap the markets of India and China, The $10 Trillion Prize: Captivating the Newly Affluent in China and India is a portrait of the world’s biggest buyers of cars, mobile phones, appliances and other products and services” livemint
“The $10 Trillion Dollar Prize examines the pot of gold at the end of the rainbow for Western manufacturers and explains who these customers really are and how their tastes are changing. But most importantly it offers insights into how to reach them.” Engineering and Technology Magazine, The Institution of Engineering and Technology
“well worth having on your bookshelf” Business Traveller magazine
Through vivid profiles and memorable characters such as the Harvard girl and Mrs. Wx Liu, the authors take readers inside the hearts and minds of Chinese and Indian consumers and offer key new insight into how to win them over. India Business Journal
“an excellent starting point for understanding how China and India are powering the global economy.” Small Business Trends (smallbiztrends.com)
“The $10 Trillion Dollar Prize is an insightful, brilliant journey into the viscera of the modern consumer in both countries, unravelling in the process the rich tapestry that embellishes both these countries.” “In sum, the book is a “paisa vasool”, or value for money, a term it repeatedly refers to, and one which could redefine the way corporations around the world think about consumers in India and in China.” Business Standard (business-standard.com)
“ the authors, all of whom work for the Boston Consulting Group, make a convincing case for the importance of this eastward shift in global spending.” The Financial Times
“The $10 Trillion Prize, through survey data, concrete examples, and on-the-ground reporting, shows business leaders what they’re up against in these two massive markets ” EuroBiz
Advance praise for The $10 Trillion Prize:
Jerry Stritzke, President and COO, Coach
“Great insights into the aspirations and driving forces behind the all-important consumers of China and India. A thought-provoking and entertaining glimpse into how these consumers will redefine the future.”
Irene Rosenfeld, Chairman and CEO, Kraft Foods
“A must-read for consumer companies seeking to capitalize on the explosive growth in India and China, but also a how-to manual for jump-starting growth in more mature, developed markets.”
Jochen Zaumseil, Executive Vice President, Asia Pacific, L’Oréal
“The authors of The $10 Trillion Prize draw very concrete directions to answer the needs, aspirations, ambitions, and demands of this new generation of consumers.”
Deepak Parekh, Chairman, HDFC
“Decisively, this is the most realistic and powerful portrayal of Chinese and Indian consumers. No company can shape its future without them. A brilliant guide to unlocking spectacular growth.”
Jim O’Neill, Chairman, Goldman Sachs Asset Management
“This landmark book documents the rapid growth in consumer spending in China and India over the next ten years. It is an analytic tour de force and a rags-to-riches tale.”