Chongqing - Cities will need to rethink how they renew aging districts and design consumption spaces for a new generation of experience-driven consumers, according to Hao Rongfu, deputy general manager of Regal Lloyds at the Second Southwest Creative Commerce Forum on November 14.

The Second Southwest Creative Commerce Forum was held in Chongqing on November 14. (Photo/Yuzhong District)

Urban regeneration must create meaning, not new buildings

Hao said China's urban renewal efforts are entering a new stage in which success will depend less on large-scale construction and more on a city's ability to give spaces cultural depth and emotional resonance. The most effective projects blend heritage, community life and creative industries to form small but distinctive urban scenes that residents and tourists feel connected to.

"Urban regeneration can no longer rely on physical upgrades alone," Hao said. "Cities must build places where people feel identity, memory and imagination. These emotional layers are what turn a renovated block into a living destination."

Chongqing's hilly terrain and dense, layered urban fabric provide fertile ground for such experimentation. Hao highlighted the transformation of old factory compounds, back-alley districts and hillside neighbourhoods as examples of how multi-functional spaces can support culture, tourism and everyday life simultaneously.

One notable case, he said, is Mountain City Alley, a project guided by the principle of preserving the cultural memory of the mountain city while enabling organic urban growth. Once a traditional historical quarter, the area has been revitalised through upgraded public spaces and new cultural functions. It has since become a popular tourism hotspot, hosting markets, healing concerts and sky-lantern gatherings—activities that fuse traditional imagery with contemporary lifestyle trends.

Young dancers are performing at the Mountain City Alley. (Photo/Chongqing Daily)

Gen Z fuels an experiential, culture-driven consumption era

Hao stressed that all commercial design ultimately depends on understanding consumers, and China's market is being reshaped most dramatically by Gen Z. Unlike previous generations, he said, young consumers place greater value on discovery, social interaction and cultural authenticity, pushing cities and businesses to rethink the purpose of commercial space.

"Gen Z is not simply shopping," he said. "They are searching for scenes, emotions and identity. They want places that reflect who they are."

This shift is driving the rise of non-standard commercial formats, from independent designer brands and culturally themed streets to pet-friendly zones, niche experience stores and late-night lifestyle clusters. These venues allow young people to personalise their consumption habits while blurring the lines between retail, culture, community and entertainment.

According to Hao, non-standard commercial spaces thrive because they compress multiple functions—shopping, socialising, cultural immersion and content creation—into a single environment. For a generation accustomed to digital expression and visual storytelling, a space must be more than functional; it must be "visible, story-rich and emotionally resonant." This explains why Gen Z-driven consumption scenes often emphasise local culture, street aesthetics and community narratives.

The 2025 Chongqing Yuzhong District high-quality project opportunity list was also released at the conference, outlining a series of non-standard commercial development opportunities across Southwest China. The release aims to build a national platform where leading operators and creative managers can share resources, exchange ideas and advance new commercial models. 

The forum brought together Hao and more than 300 Chongqing operators and brands to discuss how new consumption models and urban regeneration could shape the city’s next stage of development.