The effects of the one-child policy, combined with two decades of tremendous economic growth, have established a new consciousness in consumer behavior for the Post-80′s generation, especially as they become parents.

The Post-80′s generation now has a dominant role in the consumer market. As this generation matures into moms and dads, new markets for children’s products are opening up, further cementing the Post-80s generation’s role in China’s consumer market. But how will this new generation of young parents deal with their own child’s upbringing — balancing traditional values, and the modern ideals they’ve adopted?

Old-World Values

Chinese culture has a long-standing tradition of grandparents’ involvement in a child’s upbringing, allowing the parents the time to work to support their families. Lucky Chen, 27, a Shanghainese makeup artist and mother to a 4 year-old boy, points out that her child eats the best food when he is with his grandparents. They feed him traditional foods, enabling him to stay slim and healthy, rather than feeding him the fast foods, cookies, and candies that are so prevalent today.

(Credit: i”SNY! (Melbourne))

She adds that the grandparents’ adhere to old world values, and do not allow her son to play video games, instead offering him intellectual heritage, telling him old fables, popular myths and family history.

Modern Ideals

On the other hand, Lucky has more modern approach to parenting than her parents. She admits her excessive computer usage for research and online shopping, noting that she does not want to set a bad example for her son. China’s Post-80s demographic are working hard towards an ideal image of being the perfect parents, part of which places an emphasis on having good knowledge of health and safety. At present, there are countless print and on-line resources specializing in parenting, including Parents Magazine, Parents Science Magazine and fumu.com. These media outlets also serve as a powerful platform for advertisers of local and international brands.

Another phenomenon new to the Post-80′s generation is Celebrity Parenting. Xiao S, a popular Taiwanese TV show host, published Pregnancy Diary in 2006 in which she detailed her close-knit relationship with her child. Pregnancy Diary, became an instant hit in both China and Taiwan, landing Little S an endorsement deal with Beishule Diapers. She is just one of a now growing network of celebrity parents. Hong Kong singer Jacky Cheung also used his role as family man to further his celebrity, appearing in commercial for Wyeth Milk Powder in 2009.

Celebrity parenting is new to China, but the speed at which this phenomenon is becoming popular in Chinese media points to changing values in parenting.

Best of Both Worlds

Post-80s generation parents have the unique vantage point of standing in between these old-world values and modern ideals, coming of age during China’s rapid economic growth, while grounded by the traditions of their parents.

Guangdong Daily recently reported that Post-80s urban parents in Shenzen on average spend RMB 2000 – 3000 monthly on their children. Constrained by the commitments of work and careers, these Post-80s parents are still unable to perform round-the-clock parental duties, but through their financial commitments, they express their desire to give their children everything possible, leaving the door open for brands to capitalize on China’s new and emerging parents.

The idea of mixed-race beauty has been a mainstay in Asia advertising/film/tv over the last two decades. Japanese fashion magazines are filled with half-Japanese, half-something models. Daniel Henney, the dashing American-born mixed-race Korean celebrity, has made a name for himself without being able to speak Korean.

Despite China lagging behind in this trend, we are now seeing a rising interest. Chen Luyu, aka the “Chinese Oprah Winfrey”, broadcast an episode of her enormously popular show featuring four 7yr old mixed race children raised in China. She remarks whilst talking to a half-Canadian, half-Chinese child “just like all other mixed race children, you’re so cute, pretty and clever.”

The douban group “I want a mixed race baby” has almost 1000 members who discuss the practicalities and notions of having a mixed race child. Some boast of their “white fever” while others wish they could play with “cute” mixed race babies without having to have a foreign husband. Having a mixed race baby can also be a shrewd financial decision, as images of this rare species are in high demand from ad agencies and magazines such as cookieworld , who describe their target readers as “elite households and fashionable parents of children aged between 0-7.”

Being a half Malaysian mongrel myself, I’m perhaps overly sensitive to the issue. Despite the marketable aspect of a mixed-race person in China, the reality of being a different race in homogenous China is a difficult path to tread for many. Last year saw the ugly reality of being mixed race in China during Lou Jing’s appearance on “Jia You! Oriental Angel!”.  Chinese netizens were quick to spew racist comments and abuse Lou Jing’s mother, a situation a world away from the cute half white kid’s selling milk powder.

Over the last week, the enoVate team has pondered the changing trends in parenting as post-80’s born Chinese are having kids of their own. Changes are taking place in the household, supermarket shelves, internet, and countless services popping up offering baby and parenting-related services.

Let us first consider the new mother. Recently dubbed 辣妈 (la ma, “Spicy Mother”), she’s urban, middle to upper class, has a job, and despite giving birth, still very much conscious of her body image. We’ve already seen this archetype with previous generations, but it is becoming far more common. Young women increasingly illustrate a strong desire to be more than just mothers. After giving birth, they want to get back to work and remain active. Some families depend on two incomes, leaving a mother little choice but to return to work. Nevertheless, today many young women go back to the office because they desire to do so (for more, check out BeiBei’s post).

This, once again, cements the crucial role grandparents play in raising children during the 9 to 5 hours. Yet things may not stay so rosy for eager grandparents. Much to the chagrin of nainais and laolaos, a new phenomenon is changing the dynamics of parenting: “Social-Parenting.” Unfathomable to Chinese parents a decade ago, the internet is becoming a significant source for parenting advice. On average, mothers spend 45 minutes a day on sites like Babytree.com – the most popular of these sites. Parents post countless photos of their toddlers, as well as share advice on brands, infant health, and all other kid-related issues. enoVate’s Joey Dembs

states, “This unusual hybrid of embracing new technology and resorting to less restricted parenting methods bodes interesting results for China’s yet-to-be-named youth of ‘00.”

End of a Dynasty

Yet another significant shift in parenting may mean the end of China’s Little Emperor. Parents are thinking twice about spoiling their kids. Many post-80’s Chinese parents believe the 90’s-born generation have become difficult and spoiled due to parenting habits born in large part out of China’s One-Child Policy. Too few kids receiving too much attention from too many family members… This is a trend many young parents hope to avoid. According to a Euromonitor article, some parents even enroll their kids in not-so-pleasant camps dedicated to teaching some discipline to those Little Emperors.

A Growing Market

Chinese families spend a lot on their children. Families spend an average of 20 percent of total income raising a child to 6 years of age, with some families spending up to 50 percent. On average, it takes 81 thousand Yuan to raise a child until 6 years of age. In big cities such as Beijing, Shanghai, Guangzhou, and Shenzhen, families spend 118 thousand Yuan, while in provincial capitals the cost is 76 thousand, and 60 thousand in lower tier cities.

If spending habits during the financial crisis is any indicator, this market is not likely to shrink anytime soon. 80 percent of parents with children under 3 did not cut child-related expenditures, instead cutting back on their own expenses such as dining out. And of those with children between 3-6, 66 percent of parents did not cut their spending. Taking into account these statistics and the continued growth in Chinese disposable incomes, we forecast the market for infant products and services will maintain solid growth.

A case in point being infant milk formula. Despite recent melamine scandals, sales have continued to grow – the difference being foreign brands now occupy an increasing share of the market. Bord Bia, a food and trends insights agency, estimates foreign brands now occupy 70 percent of China’s high-end milk powder market. Between 2003 and 2008 infant formula sales grew at an astonishing 24 percent per year to 25 billion Yuan, and it is billed to continue growing at 18.7 percent a year until 2013.

Myriad other services are popping up. Mothers who want to get back in shape after their pregnancy are relying on the Postpartum Recovery Centers opening in cities throughout the country. In 2004, the first such center opened its doors. Now, Meilimama boasts over 100 locations in China.

West is Best for Kids?

As the above-mentioned infant milk formula case indicates, foreign brands are a popular choice for those that can afford it. On the one hand, there is the prestige associated with Western and Japanese brands. Young parents are more familiar with foreign brands, and may be more compelled to dress up their kids in an Osh Kosh jumpsuit.

On the other hand, Western brands are associated with quality and safety. Countless scandals have damaged the reputation of domestic brands. The last five years have seen issues with baby clothes, toys, and formula. What else is there to mess up? As a result, Chinese parents across 15 cities have stated they are willing to spend 20 percent or more on brands they can trust for their kids. And unless Chinese brands don’t maintain stricter standards, that may mean foreign brands.

It’s still way too early to predict the consequences of these new developments, but you can be sure we will be keeping a close eye on parents and the ’00 generation.

A recent Forbes article describes a rash of new Chinese parents logging on to “social-parenting” sites such as Babytree.com to offer advice and garner parenting tips from other new Chinese parents.

While this is not a new phenomena, it points to a potential societal change amongst young Chinese parents from a familial baby-raising environment, to one where what is best for Little Xiao is not solely dictated by his Grandparents, but instead entrusted to thousands of faceless online members.

However, many of these Post-80’s Chinese parents will not follow advice to spoil and restrict their babies, learning offline that this has led to China’s 90’s generation children as being difficult and spoiled. China Daily spoke with Jiang Yao, a 27 year old Middle School Teacher who shared this viewpoint.

“My students, the post 90s, are a group of spoiled and difficult children. I won’t be an old-styled mom and I won’t bring my child up like that,” said Jiang, explaining the more restriction, the more disobedience.

This unusual hybrid of embracing new technology and resorting to less restricted parenting methods bodes interesting results for China’s yet-to-be-named youth of ‘00. We will let you know in ten years how it turns out.

When raising a child between the ages of 0 – 6 years old, young parents typically spend 20% of total family income on the child. A Euromonitor article states that number may sometimes be as high as 50%. On average, it takes 81 thousand Yuan to raise a child until 6 years of age. In big cities such as Beijing, Shanghai, Guangzhou, and Shenzhen, families spend 118 thousand Yuan, while in provincial capitals the cost is 76 thousand, and 60 thousand in lower tier cities.

The Study also took into account the financial crisis’s impact on families. 50% of respondents said they were affected by the crisis. However, their child-related spending habits were the least affected. Parents stated they first considered cutting expenses in dining out, personal care, entertainment, and travel before cutting spending on their infant. 80% of parents with children under 3 did not cut child-related expenditures. And of those with children between 3-6, 66% of parents did not cut their spending.

China’s new parents are more then willing to spend a substantial chunk of their income on their children. As Chinese disposable incomes continue to grow, spending on baby-related products and services will also continue to grow. This is proving to be a lucrative market. Between 2001 and 2006, retail sales of milk formula jumped from RMB7.1 trillion to RMB15.4 trillion. In 2008, China overtook the USA as the largest market for pre-school toys. By 2015, Chinese parents’ education expenditures are expected to double the RMB606 trillion spent in 2006. All things constant, we will see this market grow exponentially in coming years.

The new generation of mothers born since the launch of China’s One-Child Policy in 1979 have been dubbed 辣妈 (lama) or “Spicy Moms.” They express a desire to get their lives back to what it was before their pregnancy, whether it be their job or their looks.

Postpartum Pressures

The Beijing based, parent social networking website, Babytree.com, completed a survey of pregnant women and recent mothers, a great majority of whom were born in the 80′s. 82% of these women reported they were much more concerned with their body shape and skin then previous generations.

During their pregnancy, 80% of these mothers become overweight. Much of this comes from their own parents’ pressure. Future grandparents are very involved in the pregnancy. They believe a pregnant women should not be active because it may lead to a miscarriage. They also believe a pregnant women should eat abundantly.

New mothers are also anxious to get back to work after their pregnancy. A Sina.com poll states 58.4% of women would like to continue their former job after giving birth, and 26.3% wanted to change to a better job. This adds to the pressure to get their life and physique close to what it was before their pregnancy.

Birth of an Industry

Five years ago, “Postpartum Recovery Centers” were an entirely new idea to the Chinese consumer. Thanks to the influence of celebrities, and a growing concern of one’s body image, more and more young mothers are opting for these recovery centers instead of the traditional Chinese Zuo Yue Zi. Meilimama was the first postpartum center to in China. Since opening their doors in 2004, they’ve grown to 100 locations throughout China. Competitors are also regularly entering the market. Hundreds of companies are offering such services. At an average rate of 4.2 million new urban mothers a year, and the average cost of a recovery center at RMB3000 per person, the potential value of the market is up to RMB12.6 billion.

Other businesses are popping up. Baicare.com is a B2B2C online platform for Chinese mothers. They’ve amassed 500,000 members in just two years. Their goal is to be the Alibaba for China’s pregnancy and postpartum industry. Similarly, websites like Babytree.com are growing in popularity amongst new Chinese mothers.

We start this theme with an article by new enoVate team member, Nicolas Peden. He takes a look at the evolving dynamic between this new generation of parents, their children, and Western influences.

Recent tendencies in parenting beg the question: are young Chinese parents Westernizing their kids? The two most noticeable portals through which Western culture is being siphoned into these unsuspecting toddlers are baby-products and leisure activities. Gerber and baseball, the great Western forces.

Little Emperor

China’s typical family structure — one baby, two parents, and four grandparents — means those little toddlers get a lot of attention. It’s arguable whether or not the new generation of parents will continue the Little Emperor tradition, but the fact remains: Chinese parents spend a lot on their children. Up to 50% of a family’s income goes into baby-food, schools, piano lessons, clothes, and various other infant products and services. (Euromonitor.com)  And due to a constant stream of scandals regarding baby-formulas, kids’ toys, and clothes, product safety is a tremendous concern for today’s parents. A large majority of mothers across 15 cities expressed a willingness to spend 20% or more for baby products if they felt they could trust it was safe. (Forbes.com)

Western brands are benefitting. The ’80s babies are now the highest-earning age group in China. As they become parents, they want nothing but the best (and safest) for their children. Being that Western brands are perceived as much safer, a new generation of parents are willing to fork over the extra cash for them.  Lisa Zheng, a recent mother, says she prefers to buy Western when it comes to her baby because “I know there is a very strict standard for baby food, baby clothes, and toys in some Western countries.” She adds that she also likes the design of western products. Some wealthy parents go so far as flying to Hong Kong or Korea just to buy foreign baby formula.

Homeruns and Homework

Obviously, wearing American Apparel and eating American baby formula won’t make you American. But this tendency of “westernizing” kids goes beyond brands. For parents with the means, it’s becoming common to immerse their children in non-traditional Chinese activities. Besides the stereotypical learning of an instrument like piano or violin, young parents are opting to push their kids towards various foreign pass-times.

Sam Maurey, a former coach in Pudong, says more and more young parents are eager for their kids to play Western sports. He’s coached kids as young as 4 in baseball and tennis, and states: “despite parents not understanding a thing about baseball, they’re still pushing their kids to play it because its Western and therefore seems beneficial for children.”

And of course, who can forget the abundant english language schools that employ all my career-impaired friends. Parents are enrolling their kids earlier on; sometimes as young 3. Ian Steinmo, another foreigner living in Shanghai, is paid by a wealthy young couple to just hang out with their 4 year old son so he can pick up on Western culture.

Down the Road

So will the next generation be less Chinese? We won’t dare try to answer that question. It’s a fact that Chinese youth will have even more contact with Western influences. But that alone does not precipitate a loss of domestic culture and values. We can, however, propose two possible outcomes. One, unless China’s brands don’t change their image by avoiding scandals, consumption trends in infant products could increasingly lean towards foreign products. Two, as more Chinese children get accustomed to Western goods during their formative years, they may be more inclined to buy Western in later years.