"Wherever I go, I always visit the local wet market." This is a quote from Wang Zengqi in his essay "Recalling Old Food Trails." He said that seeing live chickens and ducks, fresh fish and vegetables, green cucumbers, and red peppers, bustling and crowded, gives one a sense of the joy of life.

But in recent years, the ecosystem of wet markets has undergone tremendous changes. On one hand, fresh food e-commerce and community group buying have been advancing rapidly; on the other hand, repeated closures since the pandemic have added insult to injury for wet markets already under pressure. In Nanjing, more than 50% of wet markets have seen their turnover decline year by year; in Beijing, only two large wet markets remain within the Third Ring Road; in Guangzhou, about five wet markets disappear each year... As urban public spaces, wet markets are fading.

The traditional wet market, once "the most soothing to the human heart with its worldly bustle," is rapidly receding, replaced by upgraded "smart" wet markets.

From a garbage dump to a smart wet market

"This was originally a garbage dump, but after just three months of renovation and upgrading, it has successfully transformed into a smart wet market," said Ding Liang, the person in charge of Pingdong Market, to Ling Shou (a media outlet). Pingdong Market originally started east of Apple Garden and has been operating for many years. This Heyi branch in Fengtai covers nearly 6,000 square meters and officially opened in October last year. With the implementation and advancement of the "Detailed Control Plan for the Core Area of the Capital's Functional Core Area," the protection and improvement of Beijing's old city historic districts and street appearances have been fully launched, and a series of urban renewal projects have been initiated. Traditional wet markets are being continuously renovated and upgraded, and the markets that remain are becoming increasingly "modern" and "smart." For example, at this Pingdong market, upon entering, you see a row of neatly arranged shopping carts for customers to use freely. On both sides are life service areas, including barber shops, mobile phone repairs, and clothing alterations. Compared to traditional wet markets, this market also features interior landscaping, with bright floors and a clean, tidy appearance.

Looking up, you see a footfall monitoring screen that tracks peak hours and the total daily footfall after deduplication. "The average daily footfall is around 4,000, and it's quite stable," Ding Liang told Ling Shou. In addition to the footfall data visible at a glance, there is a sampling testing room just inside the entrance. "Every morning, we conduct random sampling tests on the fresh produce entering the market, and only after they meet standards are they allowed to be sold," Ding Liang said. The market sells a variety of categories, including vegetables, fruits, dried fruits, soy products, pickles, staple food kitchens, cooked food, and various seasonings. Additionally, there are multiple choices for seafood, pork, beef, lamb, chicken, eggs, and more. Interestingly, the market also has a ramen shop and a pancake stall, so shoppers can sit down and have a bite when tired.

It is understood that each stall here has its own supply channels, and it's up to each vendor to source good products at good prices. "One vendor's stall sells winter storage cabbage at 0.5 yuan per jin from last winter until now, and even during the pandemic, the price didn't increase," Ding Liang said. Ling Shou learned that besides providing convenience to consumers, some vendors can now sell their goods "legitimately." "That seafood stall lady was previously a 'nail household' in the eyes of urban management officers; during the 'vegetable selling defense war,' the officers couldn't do anything about her. After the market opened, she no longer has to wrangle with the urban management." "We also have a store in Shijingshan, and we plan to open another new store in Yangzha," said Mr. Dou, the founder of Pingdong Market, to Ling Shou. Currently, the second floor is planned to be a convenience bathhouse, as there are still some community residents nearby who have difficulty bathing; after renovation, it can better serve the surrounding residents.

Traditional wet markets being replaced

Wet markets are one of the most vibrant public spaces in every city. Despite the diversification of grocery shopping channels, the public's enthusiasm for visiting wet markets remains unabated. Many consumers who enjoy visiting wet markets say that the "bustling" atmosphere makes them feel a sense of comfort. However, with the continuous progress of modern cities, the agricultural trade markets that serve as the people's vegetable basket are also constantly changing. Many traditional wet markets have shifted from passive change in the past to actively seeking change to keep up with the times. Smart wet markets are replacing traditional ones.

For example, in 2020, the Zhaojunsheng Wet Market in Beijing, due to poor building appearance and outdated facilities, did not meet the style control requirements for historic district protection. In June 2021, led by Tsinghua's planning and design institute, a renovation and upgrade design plan was carried out. The renovated sloped roof made the indoor space appear more open; some ceiling panels were removed to create skylights, and side high windows were added to fully introduce natural light and ventilation, making the entire indoor environment bright and airy. Compared to the previously scattered stalls, after the renovation, six major categories such as fruits and vegetables were clearly zoned, so customers who want to compare prices no longer have to go back and forth, saving time and effort. "The market environment has improved a lot, but prices haven't followed suit; it's still as affordable as before," said a nearby resident who often shops here.

In addition to following policy upgrades, many wet markets have also transformed into "bazaars." At the southwest corner of Dinghui Bridge in Haidian District, the 20-year-old Jiayuan Wu Kong Qiao Market was upgraded in 2020 and renamed "Yunhe Bazaar." Entering from the east gate, three halls for fruits and vegetables, fresh groceries, and flowers, birds, fish, and insects are lined up in a row, and the wall graffiti themed around solar terms adds an artistic touch. From the original open-air stalls to the current indoor air-conditioned space, the transformation of Wu Kong Qiao Market is most evident in the improved environment. "Sometimes I bring my kids here to hang out and buy groceries at the same time," said a nearby resident. The renovated market now gathers a group of "craftsmen": key cutting, clothes mending, trouser hemming... These services may be small, but they bring great convenience to life.

Regarding the continuous "transformation" of wet markets, industry insiders say it is mainly based on the following aspects: First, infrastructure is outdated. Many wet markets in China have been in operation for a long time, and the infrastructure is old and difficult to adapt to current urban development and consumer needs. Moreover, many markets have hygiene problems that can only be described as "terrible," with sewage and garbage everywhere, earning them the label of "dirty, messy, and bad." Second, market revenue is single-source. Many traditional wet markets were built in locations with high commercial value, but for operators, the economic returns of wet markets have been declining. The single source of stall fees affects the sustainable development of the entire market, so diversifying revenue channels is an urgent task. Third, young consumers are leaving. It has become a common phenomenon that few young people are seen in wet markets. However, relevant data shows that many young people still enjoy cooking, but they prefer more convenient channels such as community vegetable stores and online shopping. Wet markets must open their own online channels and guide customers to order from online platforms, or their living space will be overly squeezed.

Of course, although wet markets are constantly being upgraded, it is inevitable that they are also gradually disappearing in the changes of the times.

The gradual disappearance of wet markets

Since 1985, when the unified purchase and marketing system for agricultural products was abolished, the state launched the "Vegetable Basket Project," and many of the wet markets we see today were built during this period. Different cities have different plans for wet markets. In megacities like Beijing, land is very tight, so few new wet markets are built; most are existing ones, and some poorly managed markets are naturally eliminated.

To a certain extent, wet markets do not deliberately pursue standardization of goods; different stalls have different supply channels, product displays, and prices, which to some extent creates incomparable diversity and flexibility. Now, from city centers to abandoned factories, from commercial centers to trendy neighborhoods, this old form of commerce is gradually disappearing amid changes. Taking Beijing as an example, Professor Sheng Qiang from Beijing Jiaotong University has been tracking the changes in Beijing's wet markets since 2005. According to his statistics, from 2005 to 2009, 43 wet markets with five or more stalls within the Third Ring Road disappeared, of which 3 were upgraded to supermarkets, 23 were demolished due to urban development, and the rest were converted to other urban functions. At the same time, the number of large and medium-sized wet markets sharply decreased and shifted to the suburbs. Ling Shou learned that in Professor Sheng's statistics, in 2019 before the pandemic, the total number of fresh food retail channels within the Third Ring Road, including wet markets, fresh and fruit supermarkets, and scattered stalls, was 671, but only 2 wet markets had more than 300 stalls, 13 had 100-300 stalls, and as many as 225 scattered stalls had fewer than 2 stalls. The trend is that large wholesale wet markets are gradually moving out of the central urban area, medium-sized wet markets show dynamic stability, and small wet markets are more complex.

Urban renewal is the main reason for the above phenomenon. Nineteen years ago, in 2004, the No. 1 Central Document proposed "encouraging qualified places to convert urban agricultural trade markets into supermarkets and supporting leading agricultural enterprises to open agricultural product supermarkets in cities." Of course, this policy was straightforwardly aimed at optimizing the "dirty, messy, and bad" problem of agricultural trade markets and addressing the chronic problems of urbanization. After the policy was implemented, the "agricultural-to-supermarket" conversion did improve the hygiene and service level of fresh food sales, but some wet markets also began their path to fading out of history during this process.

As large and medium-sized wet markets gradually disappear from people's sight, the wet market industry is moving toward miniaturization and fragmentation. Replacing them are many unnamed "small storefronts." Through Beijing's dense hutongs, there are more small convenience fresh food supermarkets, which differ significantly from wet markets in that they lack the crowds and the social function of bargaining. A long-time observer of the wet market industry commented, "It's like a big tree: when the main trunk is cut down, small branches sprout around it."

Besides Beijing, the disappearance of wet markets is happening in various places. Data from the Nanjing Wet Market Association shows that there are 360 wet markets in Nanjing, and more than 50% have seen their turnover decline year by year. In addition, according to data from the Guangzhou Wet Market Association in 2020, there are more than 620 wet markets in Guangzhou, but about five disappear each year. Wet markets are not only connected to residents but also to the surrounding commercial system, such as snack shops and small grocery stores. The disappearance of wet markets also signifies the decline of such small businesses.

What has overwhelmed wet markets?

Since the outbreak of the COVID-19 pandemic, wet markets that have been repeatedly closed have experienced a "harsh winter." On one hand, since the pandemic, some consumers who enjoy visiting wet markets have said that the wet market near their home is always intermittently closed, and some familiar vendors have gradually disappeared. "There was a tofu stall that made delicious tofu, but because of the pandemic, it kept closing, business was hindered, and the stall fee increased, so they moved away. Many other familiar stalls also left." Among all food retail channels, wet markets have poor resilience to pandemic risks; they are high-risk, densely populated, and operationally scattered, often becoming hard-hit areas for epidemic prevention. In contrast, large enterprises responsible for supply guarantee have their own logistics channels and can coordinate uniformly. When a pandemic occurs, wet markets have not yet found a flexible way to play a role in supply guarantee.

On the other hand, the rapid advance of community group buying and fresh food e-commerce in the past two years has made wet market operators tremble with fear. According to data from Euromonitor, from 2009 to 2020, among various fresh food sales channels, the share of traditional wet markets fell from 75.3% to 64.9%, but they remain the largest fresh food retail channel, while e-commerce's share surged from 0.3% to 6.9%. Supermarkets performed moderately, with their share increasing from 24.2% to 27.9%.

Some industry insiders believe that the rise of fresh food e-commerce has facilitated young people who didn't usually buy groceries, but for wet markets, middle-aged and elderly people remain the largest customer group. For example, according to the Nanjing Wet Market Association, 80% of wet market customers are now middle-aged and elderly. Fresh food e-commerce has gone through a brutal growth phase of burning money and seizing market share, and its profitability problems have surfaced. As product categories increase, costs at all stages rise, and fulfillment costs are hard to break even, making profitability even more difficult.

In this regard, industry insiders believe that community vegetable stores are more flexible and convenient than wet markets, online channels and wet markets serve different consumer groups, and supermarkets and wet markets focus on different categories, so they both constrain and complement each other.

On the other hand, do young consumers still need wet markets? One view in the industry is that wet markets don't need to spend too much time attracting young people because one day they will grow old, and once they are old and have spare money, they will naturally return to wet markets. Of course, there is also the view that visiting a wet market is an experience that engages all senses, and the lively atmosphere can envelop you. For example, chatting with familiar vendors or bargaining is a social function that other channels cannot replace for now.

In response, many wet markets are focusing on creating "internet-famous" creative blocks to attract young people. For example, the Sanyuanli Wet Market in Beijing, already famous for its exotic ingredients, has repeatedly become an "internet-famous" spot in recent years due to artist and corporate events, attracting many young visitors. In September 2021, luxury brand Prada collaborated with Shanghai's Wuzhong Market for a pop-up event, turning the wet market into a fashion show.

The continuous iteration of wet markets can, to some extent, adapt to urban life and attract new young attention. In other words, internet-famous wet markets are more like a business card for urban cultural life, but the vitality of wet markets always lies in good quality and low prices and the human touch. How to make wet markets, as a part of people's livelihood, fit the needs of young people in a more convenient form? "Re-community-ization" might be one answer. As urban public spaces, new wet markets are transforming into comprehensive commercial complexes, not only retaining traditional wet markets but also attracting young customers and extending their stay in the market.

Perhaps some forms should be given room to grow freely rather than being cut with one stroke.

Mr. Wang Zengqi loved wet markets, perhaps because in the crowded and lively atmosphere, one can best soothe the soul; or perhaps in the faces and shouts of many vendors, one can read the vicissitudes of life and the resilience behind their stories.