Analysis of Chinese social classes and targeted sales strategies in the pharmaceutical industry

The data of China's social classes comes from CICC's 2023 China Wealth Report. By the end of 2023, China's total social wealth will be 790 trillion yuan.

Among them, the wealthy class accounts for 0.3% of the total population, 4.2 million people, controlling 650 trillion yuan of wealth, with an average wealth of 155 million per person, that is, 3/1000 people own 82% of the total social wealth. For this group of people, they definitely enjoy the resources of foreign-funded hospitals and top domestic 3A hospitals, and consume the most expensive imported original drug products. These are not the target customers for those engaged in the Southeast Asian generic drug industry.

The middle class has 99 million people, accounting for 7.05% of the total population, and owns 110 trillion yuan in wealth, accounting for 14% of the total wealth, with an average wealth of 1.11 million yuan per person. Most of these people are the intellectuals cultivated in the 30 years of reform and opening up, and are the main target customers of the Southeast Asian generic drug industry. They enjoy urban medical resources, and are unwilling to accept cheap domestic generic drugs purchased through medical insurance. They would rather buy more reliable Southeast Asian generic drugs at their own expense. Practitioners must market their products based on quality and promote 100% generic original drugs. However, due to the downward spiral of China's economy, the number of such target customers will become smaller and smaller. Therefore, it is imperative for Southeast Asian generic drug practitioners to consider expanding into other countries' markets as soon as possible. Don't be deceived by China's so-called 1.4 billion consumer market. The real consumer market is less than 100 million.

The rest is China's huge human and mining class, with a number of 1.3 billion, accounting for 92.62%, and a wealth of 30 trillion, accounting for 3.7%, with an average wealth of 23,000. This group of people is not even as wealthy as farmers in the mountainous areas of Southeast Asia. The value of the cattle, sheep and land of farmers in the mountainous areas of Southeast Asia is much higher than that of the Chinese human and mining class. There is even a considerable group of people in this group who are in debt due to falling housing prices and are negative asset people. The cognitive level of this group of people is that of the second grade of junior high school. In the future, when China's economy goes downhill, they can only enjoy the services of barefoot doctors and the cheapest domestically produced generic drugs. Due to their lack of basic scientific knowledge, they even do not trust relatively reliable industrially produced generic drugs, and choose placebo-like Chinese herbal medicines. Of course, some people will try to use mysticism to market herbal medicines to this group of people. The overall income is less than the investment, and the market value is not great.

Currently, the total number of target customers for Southeast Asian generic drug practitioners targeting the Chinese market is less than 100 million, and the number will decline rapidly. It is necessary to explore the Southeast Asian and African markets to provide space for subsequent development.