ChinaHealthcare&WellnessConsumerSurvey �PreparedbyBurson∙Marsteller&KantarHealth

June2011�

Content

  ExecuDveSummary

  Overview&Methodology

  KeyFindingsPrioriDesandexpenditurepaIernsinhealthandwellness

InformaDonsourcesforhealthandwellness

  ImplicaDons

Executive Summary

KeyFindings

  Healthcaretopsfamilyspendingpriority:+  Almost70%ofconsumersrankhealthcareasthemostimportantexpenditureforChinesefamiliestoday.

  EmpoweredandproacDveconsumers:

+  PrevenDve‐careminded

+  Over80%ofconsumerssurveyedwillconductresearchontheInternetforinformaDon

everyDmeormostoftheDmebeforetheyconsultadoctor.

  News‐driveninformaDon:

+  AkeysourceofhealthcareinformaDon(69%),secondonlytodoctor’sadvice(73%).

  Internetandonlinepeer‐to‐peercommunicaDon“trusted”(viewedascredible)pla]ormsforhealthcareinformaDon:

+  96%willturntotheInternetforinformaDononsensiDvehealthtopics

  Womenlovethemselvesandmenlovetheirwives.

Overview & Methodology

GainnewinsightsintocurrentHealthcare&Wellnesstrends

Healthcare&Wellness• ExpenditurepaIerns• InformaDonsources

Overview&Methodology�

  InFebruary2011,Burson‐MarstellerandKantarHealthsurveyed1,000consumersacrossTierIandTierIIciDesinChinatogainnewinsightsintocurrenthealthcareandwellnesstrends,withafocusonexpenditurepaIernsandinformaDonsources.

Onlinesurvey• 1000consumers• 3TierIciDes&11TierIIciDes

Methodology

Topics

SampleDistribuDon

TierICi;es � TierIIci;es[1]�Beijing � Shanghai Guangzhou �

Gender �Male � 83 63 57 418

Female� 22 37 45 294

IncomeLevel[2]�

Middleincome � 50� 50� 50� 352�

Highincome� 55� 50� 52� 360�

Age�

Age25‐35� 27� 18� 23� 554�

Age36–45� 33� 38� 62� 112�

Age46+� 45� 44� 17� 46�

TOTAL� N=1019� 105� 100� 102� 712�

[2]Mid‐incomemeans:thefamilyincomeis6,000–9,999RMBpermonth.High‐incomemeans:thefamilyincomeis10,000+RMBpermonth.

[1]TierIciDesinclude:Beijing,ShanghaiandGuangzhou.TierIIciDesinclude:Shenzhen,Nanjing,Tianjin,Shenyang,Jinan,Xi’an,Wuhan,Chengdu,

Zhengzhou,HangzhouandChangsha.

  Over 50% of the respondents are college graduates.

  Over 70% are professionals and mid-to-high level executives.

Priorities and expenditure patterns in healthcare and wellness

HealthcareisthethirdlargestfamilyexpenditureinChina

49%�45%�

63%�

Currently,consumersarespendingasignificantamountoftheirhouseholdexpenditureonhealthcare.Nearly50%ofconsumersindicatethathealthcareisthethirdlargestexpenditureareafortheirfamilies.

FoodChildren’sEducaDon

Healthcare

Food�66%�

Andthemostimportantareaformostconsumers �

Almost70%ofconsumersconsiderhealthcareasoneofthemostimportantexpenditureareasforChinesefamiliestoday,exceedingfoodandchildren’seducaDon.

Children’seducaDon�

55%�

Healthcare�67%�

Healthcareexpenditure=beIerqualityoflife

72%respondentsagreethattheyarespendingmoneyonhealthcareandwellnesssoastoaIainabeIerqualityoflifeforthemselvesandtheirfamily.

72%�TOTAL

70%�Beijing

69%�Shanghai

75%�Guangzhou

72%�TierIIciDes

ConsumersarespendingmoneyoncriDcalhealthcareneeds �

AlargemajorityofconsumersfocushealthcareexpenditureoncriDcalandcommonillnesses.

StrongwillingnesstospendonhealthmaintenanceandprevenDvecare. �

Common

illnesses

70%

Medical

check ups

77%

Vaccinations

80%

Illness

prevention

67%

Key critical

illnesses

88%

High‐incomefamiliesmorewillingtospendonhealthcareprevenDon �

Consumers’willingnesstospendonmedicalcheckups

Consumers’willingnesstospendonvaccinaDons Consumers’willingnesstospendonillnessprevenDon

High‐incomeconsumersaremorewillingtospendonmedicalcheck‐ups,vaccinaDonsandillnessprevenDon.

Keydecisionmakerforhealthandwellnessexpenditureinfamilies

Mostfemalesaremakingkeyhealthandwellnessexpendituredecisionsfortheirfamilies.

Andtheirdecision‐makingpowerbecomesmoreevidentastheygetolder.

FemalesaremakingmostdecisionsonhealthandwellnessexpendituremaIers

Femaleage46+Femaleage36‐45Femaleage26‐35

Womenarekeentoincreasetheirexpenditurelevelsonhealthcareandwellnessinthenearfuture

Femalesarespendingmoremoneyonbeautyenhancement,wellnessandnutriDon,andChinesetradiDonalmedicine.

Whenitcomestowellness,femalesarespendingmoneyonthemselves.Menarealsomorelikelytospendmoneyontheirwivesthanthemselves.

Healthcare/wellnessexpenditurenow

Female spend

more on…

#  Beauty

enhancement

#  Wellness &

Nutrition

#  Chinese traditional

medicine

Healthcare and wellness information sources

Newswebsites:akeycategoryofinformaDonsource�

Thetop3keyinformaDonsourcesonhealthcareandwellnessrelatedmaIersaredoctors,newswebsitesandfamily/friends.

*CTM=ChinesetradiDonalmedicine

InformaDonsourcesonhealthcare/wellnessmaIers

ProacDvehealthconsumers�

Researchbeforemakingexpendituredecisions

Comparisonbycity/Derlevel

Comparisonbyincomelevel

Almostallconsumerswillconductsomeresearchbeforemakingkeyhealthcare/wellnessexpendituredecisions.

About1/3ofconsumerssurveyedwillconductextensiveresearch.

Internet:mostconsumerswillconductresearchonlinebeforetheyconsultadoctor �

n = 1019 105 100 102 712 622 245 152

Althoughdoctors’adviceisthemostreliableinformaDonsourceformostconsumers,over80%ofconsumerssurveyedwillconductresearchontheInternetforinformaDoneveryDmeormostoftheDmebeforetheyconsultadoctor.

Onlineresearchbeforeturningtodoctors

Comparisonbycity/Derlevel

Comparisonbyincomelevel

Womenrelymoreonword‐of‐mouthandfirst‐handinformaDon

Sourcesforcrediblehealthcare/wellnessinformaDon

Comparedwithmales,femalesrelymoreonword‐of‐mouthandinformaDondirectfromdoctors,family,friendsandspecialists.

MenprefertoturntowebsitesforhealthcareandwellnessinformaDon,especiallynewswebsites.

InformaDonconsumpDonpaIernsdifferbetweenmenandwomen

Sourcesforcrediblehealthcare/wellnessinformaDon

WomenarerelaDonshipdriven;theyrelymoreonword‐of‐mouthandinformaDondirectfromdoctors,family,friendsandspecialists.

MenprefertoturntowebsitesforhealthcareandwellnessinformaDon,especiallynewswebsites.

ButbothmalesandfemalesareacDveonline

CurrentdigitalchannelsconsumersareparDcipaDngin

Othertopwebsites

MalesandfemalesbothshowhighparDcipaDonlevelsinsocialmediachannelssuchasblogs,BBS,socialnetworkingsites,videosharingsitesandmicro‐blogs.

AlmosthalfofthemensurveyedareturningtogeneralnewswebsitesforhealthandwellnessinformaDon.

BBSforumsconsideredmostinfluenDal

N = 1019

About60%consumerssurveyedareparDcipaDnginBBSforums,socialnetworkingsitesandblogs.

AndtheyfeelthesearealsothemostinfluenDalandcredibledigitalchannels.

*BBSforums=BulleDnboardsystemareonlineformsusedtoexchangepublicmessagesorfiles,mostlydedicatedtoaspecialinterest

MostinfluenDaldigitalchannels

ParDcipaDonlevelsacrossdigitalchannels

1 2 3 4 5 6

BBS forums Social networking sites Blogs Video sharing sites Micro-blogs

Other websites

AlookintorecentBBSconversaDons….

N = 1019

•  RecentBBSconversaDonsonTianyaandNeteaseforumshavecenteredonremediesandquesDonsaround:o  Herbalmedicineo  Skinwhiteningo  SexuallytransmiIeddiseaseso  AnD‐ageingo  NasalandthroatinfecDons

•  ThehottopicofdiscussioninBBSforumsonSina.comisdeathfromoverwork,triggeredbytherecentdeathofa25‐yearoldemployeeatPWCwhokeptamicro‐blogaboutherfaDgueandworkloado  Intensedebateoverwhetheroverworkthreatens

thehealthofwhite‐collarworkerso  Otherwhite‐collartopicsincludeanD‐ageing,

mentalhealth,backacheandweightloss

ThemostpopularBBSforumisTianya �

Tianya,whichisvisitedmostfrequentlyby36%ofrespondents,isclearlythemostpopularBBSforumforhealthandwellnessinformaDon.

ParDcipaDonlevelsatotherBBSforumsareallbelow10%andgenerallylow.

ParDcipaterateofdifferentBBSforums

1

2

3

4

5

6

7

8

9

n = 553

ThetopwebportalmostconsumersvisitisSina �

Sina.com.cnisvisitedmostfrequentlyby36%ofrespondents,andisthetopwebportalforhealthandwellnessinformaDon.

39.net,aspecializedhealthwebsite,rankedonly7thmostpopular(3%),awergeneralportalsitesNetease,Sohu,TaobaoandBaidu.

ParDcipaterateofdifferentwebsites

1

2

3

4

5

6

7

8

9 n = 140

KeyaIributesforhealthcare/wellnessinformaDon

Info. Source for

sensitive topics

96% of consumers

will turn to

the Internet

68% of consumers

will turn to

doctors

InternetforsensiDvehealthandwellnesstopics

InformaDonordatasourceforsensiDvetopics

N = 1019

96%ofconsumerswillturntotheInternetandsocialnetworkingsitesforsensiDvehealthandwellnesstopics.

ConsumersareturningtotheInternetasaninformaDonsourceonsensiDvehealthandwellnesstopicsmorethantheydotodoctorsforadvice.

ButcredibleinformaDononsensiDvehealthorwellnesstopicsisscarce �

ConsumersareuncomfortablesharingordiscussingtopicssuchassexuallytransmiIeddiseases,AIDS,inferDlityandaborDon.ComparaDvely,mostconsumersaremorecomfortablespeakingaboutmentalhealth,contracepDonandcosmeDcsurgeryopenly.

However,fortopicslikementalhealth,cosmeDcsurgeryandinferDlity,consumersarefindingitdifficulttogetaccesstocredibleinformaDonanddata.

N = 1019

SensiDvehealthcare/wellnesstopics

1

SensiDvehealthcare/wellnesstopicswithlimitedinfo.

Implications

ImplicaDons �

  Personalhealthempowerment:consumerswanttoownhealthknowledgeanddecision‐makingpower+  Shiwfrom“paDenteducaDon”tosupporDng“healthlearning”

  Re‐examinethe“doctorknowsbest”communicaDonsstructure

+  DoctorsarepartoftheinformaDongatheringchannels.+  Fromaconsumers’ brandexperienceperspecDve,doctorsarepartofthebrand

experience.

  CommunityasacriDcalbackdroptomessagingstructure+  News: socialrelevancyandcommonconversaDonthread+  Digital: peer‐to‐peer;safetytobelongandgatherinformaDon+  Lifestyle: qualityoflife;relaDonal(friendsandfamily);lifestages

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ChinaHealthcare&WellnessConsumerSurvey �

EfenHuangSeniorHealthcareStrategistBurson‐MarstellerChina

efen.huang@bm.com

SimonLiGeneralManagerKantarHealth

Simon.li@kantarhealth.com