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Cultural spending, new economic engine

(chinadaily.com.cn) |Updated : 2016-11-01

It has become a habit of many Beijing families to purchase cultural products and services with a Beijing Culture-Easy Card. Locals can enjoy discounts with this card when buying books or tickets to a play or even the entrance fee to a puppy show.

Beijing, as a national culture center, boasts a huge development potential for cultural consumption. Statistics show that the city’s per capita GDP in 2015 was over $17,000. According to international examples, when the figure surpasses $5,000, people will grow a vigorous appetite for spiritual and cultural consumption. Compared with developed countries such as the United States, where cultural consumption accounts for about 30 percent of a family’s total income, Beijing is seeing households spend less than 10 percent on cultural spending, leaving much room for growth.

By sponsoring cultural events and dispensing Culture-Easy Cards, the city is trying to encourage the locals to spend more on culture. Beijing has held four rounds of Culture in Beijing since 2013. Data shows that the first three sessions saw increases in purchases from 26.54 million to 48.57 million and in volume of transactions from 5.23 billion yuan to 11.21 billion yuan.

Another good example is Anhui province where the third round of cultural consumption season this year has covered half of its towns and villages. Shanxi province will also distribute 30,000 Taiyuan Culture-Easy Cards in 2016. Each will be given a 100-yuan subsidy by the government. A card holder can enjoy discounts by depositing 100 yuan.

The State Council will roll out measures to stimulate domestic consumption as well as cultural and tourism development. The rapid growth of tourism, culture, sports, health and old-age care, the so-called five happiness industries, will drive up spending and also upgrade the consumption structure.