SINGAPORE: Instead of buying mooncakes for the Mid-Autumn Event this year, consultant Ms Liu Siqi decided to save money and cook her own at a factory in Guangzhou, before reuniting with her home in her home, Foshan.
” I was considering whether to get them especially since Mid-Autumn is a unique time”, Ms Liu, 23, told CNA. However, I do n’t find them particularly tasty, and I believe the holiday mark-up is excessive.  ,
With her eight handmade mooncakes, the recent graduate remarked that she could save up to four yuan ( US$ 0.56 ) a piece.
That’s actually as cakes prices have fallen this time.  ,
According to research by Mashangying, the average market price dropped from 85.69 renminbi in 2023 to 83.36 renminbi.  ,
The China Bakery and Confectionery Industry Association also found that the majority of the cheap product boxes are under 60 renminbi, and the majority of the major cakes gift boxes are more economical this time.
However, it seems as though the once-dazzling autumn pastry’s glow may have lost its appeal among consumers, with businesses also suffering from subpar sales despite the lower price point.
” We always ( purchase ) so many mooncakes during Mid-Autumn, and this year is no different”, Ms Liu said.
“( This year ) I wondered, if I brought home another ( store-bought ) box, would my family really need it”?
According to observers, it reflects new spending patterns in China, particularly among younger consumers, as individuals become more observant and pragmatic with their choices for both purchases and spending.  ,
China’s extremely competitive cakes business was valued at a staggering 20 billion yuan in 2019, but revenue have decreased since the pandemic and merchants have continued to struggle.  ,
While cakes sales in 2023 crossed pre-COVID rates, generating more 22 billion renminbi, the forecast this year is dimmed.  ,
Cakes production is estimated to be about 300, 000 kilograms, down from 320, 000 kilograms in 2023. However, profits are projected to decline to 2019’s levels, according to a market trend statement released last month by the China Bakery and Confectionery Industry Association.  ,
SIMPLICITY OVER LUXURY ,
In China, pastries are more than just a snack. Regarded as a symbol of luxury and extravagance, they are traditionally given to family, friends and relatives during the annual Mid Autumn Festival, which fell on Tuesday ( Sep 17 ).  ,
The majority of Chinese buyers have become “more pragmatic”, said Ms Olivia Plotnick, chairman of Wai Social, a Shanghai-based social media marketing company– which is “in collection with broader market changes” . ,
A greater emphasis on practicality, affordability, and real value is being fueled by rising economic pressures and changing consumer values, according to Ms Plotnick.  ,
” When it comes to traditional products such as mooncakes, this manifests in ( consumers ) choosing simplicity and meaningfulness over luxury”.
Ms. Liu, one of the less financially savvy shoppers, attributed this year’s decline in mooncake purchases to China’s overall economic situation.  ,
” Everyone is being more budget-conscious. It’s quite normal for people to scale down their spending in such situations”, she said. ” I think it’s due to the overall economic situation, which is n’t great this year, including my personal financial situation, which is not as good as last year”.
The slowing economy and continued anti-corruption drive, as well as quality issues, are contributing factors to the decline, according to some experts.
According to Julien Lapka, founder of Inner Chapter, a brand strategy and insight studio with a base in Shanghai, a nationwide crackdown on bribery and corporate gifting negatively impacted sales this year.  ,