Consumer goods spending rebounds in Q2: Kantar Worldpanel

Kantar Worldpanel data shows consumer goods spending in China increased 3.5 percent in the second quarter, rebounding from a 6.7 percent drop in the first three months of 2020.

The researcher's calculations exclude fresh food and cooked meals, and track purchasing data from 40,000 urban households.

Combined sales at hypermarkets, supermarkets and convenience stores dipped 1.4 percent in the previous quarter amid loss of foot traffic. Small-scale supermarkets bucked this trend with a 10.7 percent increase in spending as consumers turned to community stores for daily necessities. 

Online spending recorded the fastest growth, with a 46.6 percent annual increase after delivery service demand boomed during lockdown periods. 

Over 70 percent of households purchased packaged consumable goods from online channels during the latest period.

Home-care products maintained strong momentum in the first quarter and remained a major contributor to the overall increase after a 13.3 percent hike. Personal-care items also recorded 3.8 percent growth. 

Leading online players held their dominant positions, with both Alibaba and Pinduoduo enhancing their penetration as a result of new gimmicks to woo shoppers. 

Online channels accounted for a record high of 26 percent of total consumable goods spending, and nearly one-third of shoppers chose online-to-offline home delivery service. 

Sun Art Group, which operates RT Mart and Auchan hypermarkets, kept its leading position with an 8.2 percent market share; CR Vanguard was in second with a 6.4 percent share. 

Yonghui's share climbed to 4.9 percent. Other regional retailers like Better Life Commercial Chain also registered positive results.