The surge in rental consumption is a profound shift in the values and spending patterns of a generation. — China Daily
SHANGHAI: A camping equipment store in Southwest China’s Chongqing is filled with customers in late August.
Between racks of tents and camping chairs, store owner Zhou Xiangyu is managing the steady flow of business with ease.
“The summer season is our busiest period,” the 31-year-old said.
From April to October, he explained, demand for rentals spikes significantly. During the peak summer holiday period, his outlet receives over 30 orders a day on average.
Zhou’s store offers equipment for sale as well as rent, and more than 60% of his customers prefer to rent.
The trend is most visible among two groups: young people and families.
This surge in rental consumption, a market encompassing everything from digital gadgets and outdoor gear to apartments and maternal and infant supplies, is more than a fleeting trend. It is a profound shift in the values and spending patterns of a generation.
From high-end cameras and designer apparel to luxury cars and children’s toys, the mentality of “why buy when you can rent” is rapidly moving from the fringe to the mainstream, analysts said.
According to a report co-compiled by the Development Research Centre of the State Administration for Market Regulation and financial tech company Ant Group in July, the transaction scale of China’s rental economy exceeded 4.2 trillion yuan in 2024, a year-on-year increase of 32%, with over 750 million users served.
In August, the search volume for camera rentals on eCommerce platform Meituan increased by 63% year-on-year, wedding dress rentals recorded a 109% hike, drone rentals grew 89% and stroller rentals surged 165%, indicating that the rental market is expanding into a wider range of consumer scenarios.
Two weeks before her trip to the Xinjiang Uygur autonomous region, Chen Sisi, a 28-year-old resident of Beijing, had already solved her travel equipment equation: not through purchase, but through rental.
Through online rental platforms, she secured everything needed for the journey, which included a drone at over 40 yuan daily, a professional camera at about 50 yuan, and an off-road vehicle averaging 400 yuan per day.
“When split among the group, it only amounted to just over 100 yuan per person per day,” Chen said.
The option to easily rent the necessary equipment has allowed the younger generation, especially students, to explore various parts of China in an affordable way, without having to make a significant up-front investment in new gear, Chen added.
A report by consulting firm Analysys in July showed that the traditional rental industry was primarily focused on high-value items such as housing and vehicles.
However, the current rental landscape has expanded to cover a broader range of industries, with more flexible rental models and diverse rental durations, making it increasingly attractive to consumers.
The diversification of rental offerings and increased flexibility of rental models have enhanced the appeal of the rental economy, catering to the evolving needs of consumers, said Zhu Keli, founding director of the China Institute of New Economy. — China Daily/ANN
