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Apart from the catering sector, commodity retail involving household provisions and consumer goods is an important driving force for nighttime economy. According to Yin Zhixin, from the Guangzhou Development and Reform Commission, the most profitable part of Guangzhou's nighttime economy is commodity retail, with an annual sales revenue of over 280 billion yuan, accounting for roughly 30 percent of the total retail sales.

Annual migration of Chinese people won't only be to their hometowns

Ant, with 33 percent owned by e-commerce guru Alibaba Group, announced a concurrent IPO plan last month and since then has kicked off a process for what's likely to be the largest fundraising in global finance.

Another report from Alibaba on last year's Spring Festival holiday consumption trends showed that among the consumer groups, the 1980s and 1990s generations took up 33 percent and 27 percent of consumption respectively.

Another policy recommendation is easing credit to help households smooth their consumption and help firms survive the immediate shock, the report said.