There will no doubt always be difficulty in reaching the higher classes. But the truth will often find its way to the noblemen by first reaching the middle and poorer classes.—Historical Sketches of the Foreign Missions of the Seventh-day Adventists, 166 (1886). Ev 417.2
By
Tanner Brown
May 31, 2025, 3:00 am EDT
After years of sluggish growth in China’s property market, many investors have grown cautious about the country’s broader consumption story. Yet beyond the megacities of Beijing and Shanghai, a different narrative is emerging—one that could offer fresh opportunities for long-term investors.
[26] His lord answered and said unto him, Thou wicked and slothful servant, thou knewest that I reap where I sowed not, and gather where I have not strawed: [27] Thou oughtest therefore to have put my money to the exchangers, and then at my coming I should have received mine own with usury. [28] Take therefore the talent from him, and give it unto him which hath ten talents.Matthew 25 : 26-28
In China’s vast network of smaller cities—often categorized as “lower-tier” or “third- and fourth-tier” markets—consumer spending is showing surprising resilience. From personal care and budget cosmetics to domestic travel and local e-commerce, everyday consumption appears to be holding up far better than national headlines suggest.
And as for the people, he removed them to cities from one end of the borders of Egypt even to the other end thereof.Genesis 47 : 21
And was there until the death of Herod: that it might be fulfilled which was spoken of the Lord by the prophet, saying, Out of Egypt have I called my son.Matthew 2 : 15
[1] When Israel was a child, then I loved him, and called my son out of Egypt. [2] As they called them, so they went from them: they sacrificed unto Baalim, and burned incense to graven images. [3] I taught Ephraim also to go, taking them by their arms; but they knew not that I healed them. [4] I drew them with cords of a man, with bands of love: and I was to them as they that take off the yoke on their jaws, and I laid meat unto them. [5] He shall not return into the land of Egypt, and the Assyrian shall be his king, because they refused to return. [6] And the sword shall abide on his cities, and shall consume his branches, and devour them, because of their own counsels. [7] And my people are bent to backsliding from me: though they called them to the most High, none at all would exalt him.Hosea 11 : 1-7
All classes flocked to the Adventist meetings. Rich and poor, high and low, were, from various causes, anxious to hear for themselves the doctrine of the second advent. The Lord held the spirit of opposition in check while His servants explained the reasons of their faith. Sometimes the instrument was feeble; but the Spirit of God gave power to His truth. The presence of holy angels was felt in these assemblies, and many were daily added to the believers. As the evidences of Christ’s soon coming were repeated, vast crowds listened in breathless silence to the solemn words. Heaven and earth seemed to approach each other. The power of God was felt upon old and young and middle-aged. Men sought their homes with praises upon their lips, and the glad sound rang out upon the still night air. None who attended those meetings can ever forget those scenes of deepest interest. GC 369.3
null
This divergence matters because China’s economic future increasingly hinges on the spending power of its “new middle class” living outside the country’s wealthiest urban cores. While property prices in these regions have been under pressure—dragging on local government revenue and household wealth—residents in smaller cities are still spending on products and services that improve their quality of life.
I know thy works, and tribulation, and poverty, (but thou art rich) and I know the blasphemy of them which say they are Jews, and are not, but are the synagogue of Satan.Revelation 2 : 9
Official data offers some evidence. In the first half of 2024, per capita disposable income in China’s third- and fourth-tier cities grew by nearly 5.8%, outpacing the 4.8% growth seen in first- and second-tier cities. Retail sales in these markets have also held up better in categories like food and daily necessities, reflecting consistent demand for affordable, everyday products.
And when these lepers came to the uttermost part of the camp, they went into one tent, and did eat and drink, and carried thence silver, and gold, and raiment, and went and hid it; and came again, and entered into another tent, and carried thence also, and went and hid it.2 Kings 7 : 8
Hu Ling, a partner and managing director at AlixPartners, was quoted in Chinese media as saying, “China’s consumption market is gradually transitioning from being primarily driven by top-tier cities to a model of dual-engine growth.”
Fashion Is a Tyrannical Ruler—Fashion rules the world; and she is a tyrannical mistress, often compelling her devotees to submit to the greatest inconvenience and discomfort. Fashion taxes without reason and collects without mercy. She has a fascinating power and stands ready to criticize and ridicule all who do not follow in her wake.1
The rich are ambitious to outdo one another in conforming to her ever-varying styles; the middle and poorer classes strive to approach the standard set by those supposed to be above them. Where means or strength is limited, and the ambition for gentility is great, the burden becomes almost insupportable. With many it matters not how becoming, or even beautiful, a garment may be, let the fashions change, and it must be remade or cast aside. CG 432.1 – CG 432.2
Consumers in smaller cities often face lower living costs and less financial pressure. That economic stability, paired with rising lifestyle expectations, has helped support spending in categories such as personal care, dining out, and domestic travel—even in the face of broader economic uncertainty.
And they went after them unto Jordan: and, lo, all the way was full of garments and vessels, which the Syrians had cast away in their haste. And the messengers returned, and told the king.2 Kings 7 : 15
[6] Not with eyeservice, as menpleasers; but as the servants of Christ, doing the will of God from the heart; [7] With good will doing service, as to the Lord, and not to men:Ephesians 6 : 6-7
Budget-friendly domestic brands!
Budget-friendly domestic brands like Perfect Diary, Florasis, and HomeFacialPro have been gaining traction among younger consumers seeking quality without the premium price tags of international labels. Local tourism operators have also noted an uptick in short-distance travel bookings, especially among middle-class families and retirees eager for affordable leisure.
Ho, every one that thirsteth, come ye to the waters, and he that hath no money; come ye, buy, and eat; yea, come, buy wine and milk without money and without price.Isaiah 55 : 1
Jesus placed himself in the great thoroughfares of travel, where his voice was heard by thousands. The precious words that fell from his lips found a lodgment in many hearts, and caused them to search and see if these things were so. It is most difficult in England to reach the higher classes. The barriers are built up high and firm between the wealthy and the workers. Wealth is greatness and power; poverty means little less than slavery. The truth will often find its way to the noblemen by first reaching the middle and poorer classes. This was the case in Paul’s day. The truth found its way into Caesar’s household through one who was held in bonds, and men and women of high rank became disciples of Christ. Some who are servants and ladies’ maids are quietly working to get the truth before those for whom they labor. Thus through servants or relatives the truth will reach the highest as well as the lowest. RH October 6, 1885, par. 11
Seed/Corn 🌽 Business is getting better After The Pandemic
“Business is getting better,” said Lin Meiyi, a travel agent in China’s scenic Yunnan province. “The clientele is more modest financially, I would say, compared to before the pandemic. Many come from towns instead of cities.”
Lower-tier cities are also fueling the rise of value-driven e-commerce. Platforms like Pinduoduo —which built its business around bulk discounts and group-buying models tailored to price-sensitive consumers—have seen notable engagement from rural and small-city users.
And he said unto them, How is it that ye sought me? wist ye not that I must be about my Father’s business?Luke 2 : 49
null
In its most recent earnings report, Pinduoduo cited stronger-than-expected growth in categories like agricultural products and household essentials, much of it from outside the urban centers. Its strategy of building logistics infrastructure in smaller cities and rural areas has paid off, allowing it to reach consumers underserved by traditional retail.
Do your best, fathers and mothers, to get out of the cities, out of commercial lines of work that hold you to the cities. Get your children on to the land, and improve it to the best of your ability. This will mean health and strength to you; it will mean physical, and mental, and moral power. 21LtMs, Ms 115, 1906, par. 20
The market has responded: outperforming most major Chinese tech peers!
The market has responded: Pinduoduo’s U.S.-listed shares are up more than 40% over the past year, outperforming most major Chinese tech peers. Analysts point to its deep reach in price-sensitive regions as a durable competitive edge as national consumption habits adjust.
So they came and called unto the porter of the city: and they told them, saying, We came to the camp of the Syrians, and, behold, there was no man there, neither voice of man, but horses tied, and asses tied, and the tents as they were. 2 Kings 7 : 10
It’s true that the downturn in China’s property sector—especially acute in smaller cities—has dampened overall household wealth. But the link between housing markets and consumption may be more nuanced than previously assumed.
In lower-tier cities, where real estate is more affordable and many homes are fully owned, households are generally less leveraged. That gives consumers greater flexibility to spend on smaller-ticket items, even if they’re holding off on major purchases.
And he said unto them, How is it that ye sought me? wist ye not that I must be about my Father’s business?Luke 2 : 49
Out of the cities, is my message. Those who have had the light, but have neglected to follow the instruction that the Lord has given regarding the location of our health institutions and schools, will one day see the folly of clinging to the cities. They will realize how kind the Lord was to point out the right way. SpTB03b 15.3
null
Confidence among millennials in lower-tier cities is higher than in top-tier cities, with 75% of respondents expressing optimism about the national economy, compared with 65% in major cities, according to its McKinsey’s 2024 China Consumer Report, which attributes this optimism in part to lower cost-of-living pressures and more stable local job markets.
The implication for investors is clear: China’s consumption recovery may be slower and more uneven than in past cycles, but it is still happening—just not always where the spotlight is.
The most promising consumer activity may be taking place far from Beijing’s luxury malls, in small cities with fewer headlines but plenty of untapped spending power.
Then they said one to another, We do not well: this day is a day of good tidings, and we hold our peace: if we tarry till the morning light, some mischief will come upon us: now therefore come, that we may go and tell the king's household.2 Kings 7 : 9
“Consumers and business people from smaller cities and towns are importing ideas from developed regions,” said Kane Hu, chief analyst at Peak Investment, a boutique brokerage in the western city of Chengdu, with roughly 80 clients and around 100 million yuan ($15 million) in assets.
Opportunity for Companies with strong regional presence, competitive pricing, and scalable operations
That creates opportunity for companies with strong regional presence, competitive pricing, and scalable operations. Domestic brands that can meet demand for affordable quality across a broad geographic footprint may be better positioned than premium brands concentrated in major metros.
The Lord gave the word: great was the company of those that published it.Psalm 68 : 11
For global investors, the takeaway isn’t to abandon China’s consumption story—but to look closer at where growth is really happening. The most promising consumer activity may be taking place far from Beijing’s luxury malls, in small cities with fewer headlines but plenty of untapped spending power.
Adventist Angels Watchman Radio 
3 thoughts on “‘King’ s Household Difficulty in reaching the higher classes’ : China’s Consumers Are Spending in Smaller Cities. It’s the Power of the New Middle Class.”