Tawang food industry insight ｜ China's dairy market analysis, competition pattern, development trend and thinking

In recent years , Dairy products are included in the daily diet of more people , Consumption shows rigid growth . meanwhile , With the continuous upgrading of domestic consumption , The consumption structure of dairy products is also changing . From normal temperature milk to low temperature milk , from “ Drink milk ” to turn to “ Eat milk ”, Consumers' consumption frequency and types of dairy products are gradually increasing . The dairy industry shows a new development trend , High-end 、 Healthy 、 Functional dairy products are gradually gaining favor in the market . Dairy processing technology 、 The progress of equipment is also promoting the development of new products , Accelerate the growth and transformation of dairy products market .

Considering the broad market space for dairy consumption and the rising income level , The dairy industry may enter the milk source 、 product 、 The new era of channel industry chain competition . In this issue ,【 Tawang food industry insight 】 From the market environment 、 Market situation 、 Enterprise competition pattern 、 The future development trend and thinking of China's dairy industry are analyzed and summarized , For industry reference .

 

One ． China's dairy industry chain structure

The dairy industry has a long industrial chain , Cover forage 、 Dairy farming 、 Dairy processing 、 Terminal sales and other links .

 

（ Data sources ： AI media consultation ）

 

  Two ． China's dairy market environment

With The size of the market as well as Expected growth Two baselines , China's dairy market can be divided into four quadrants ：

1.  Mature category ： Big plate , Low growth , Include Powdered Milk 、 Ice cream 、 Low temperature liquid milk 、 Milk drinks 、 Normal temperature liquid milk category .

2.  grow up type category ： Small plate , High growth , Such as cheese .

3.  Development category ： Big plate , High growth , Such as yogurt .

4.  Problem category ： Small plate , Low growth or unknown growth , Such as Dairy foods 、 Contains milk by-products 、 Plant based yogurt .

In terms of consumption structure , Dairy consumption generally follows “ Powdered Milk  -  Liquid milk  -  Concentrated milk （ Condensed milk 、 cheese 、 cream ）” The sequence of upgrading development , It corresponds to consumers' pursuit of higher nutritional value .

In the dairy market , yogurt and cheese It is one of the two dairy products in rapid growth , There is great room for growth and development .

3、 ... and . The current situation of China's dairy products market

The development status of China's dairy market can be summarized as three key words ：“ Growth is slowing 、 Consumption upgrading 、 Industry concentration ”.

1.  Market growth is slowing down , However, the per capita consumption is still far from that of developed countries

（1） The market continues to grow but the growth rate is stable and slowing down

China's dairy industry started late 、 Low starting point , It has developed rapidly in recent years .2019 year , The total retail sales of China's dairy products market has broken through 4000 One hundred million yuan , from 2015 Year begins , The overall growth rate tends to be flat . expect , In the next five years, China's dairy market will continue to develop steadily , to 2024 The retail sales of dairy products market may break through 5600 One hundred million yuan .

Retail sales and growth rate of dairy products in China

（ Data sources ： Food industry research center ）

It is reported that ,2020 year , The sales scale of dairy products in China has reached 6385 Billion , a 2019 Annual growth 0.9%, near 14 The average compound annual growth rate is 10% about . It is expected that China's dairy demand will maintain a high growth in the next few years , The driving factors include the upgrading of rural consumption 、 Urbanization promotion and dairy multi category expansion .

（ Data sources ： Prospective industry research institute ）

（2） The per capita consumption of dairy products of Chinese people has great room for improvement

The per capita consumption of dairy products in China is similar to that in Japan 、 The United States and other developed countries are still far behind . In particular, the consumption of dairy products and the per capita consumption of dry dairy products of the rural population have huge room for improvement .

According to consumption data ,2020 In, China's per capita consumption of dairy products was equivalent to fresh milk 38.3 kg , About the world average 1/3, Mainly liquid milk consumption . The middle class Of expansion , Chinese consumers' consumption of dairy products will continue to grow . 

2.  The trend of consumption upgrading is obvious , The market needs more high-end 、 Nutritious dairy products

With continuous technological innovation and product R & D upgrading , The dairy products market as a whole shows a trend towards high quality 、 Good nutrition 、 The trend of strong function development .

According to research , At present, the basic demand for liquid milk has been basically met , In the future, consumers hope to bring better nutrition by adding vitamins and minerals , And expect to achieve fat reduction 、 Improve intestinal health and promote absorption 、 Help sleep and other needs .

Yoghurt users also continue to pay attention to 0 sugar 0 add to , Seek to add more high-quality nutrients such as vitamins and minerals . Whether yogurt or liquid milk , Consumers are pregnant with 「 Lose weight and fat 」 Our common expectation , And continue to pursue in 「 Improve intestinal health 」、「 calcium 」 And other health functions .

It is reported that , Compound annual growth rate of high-end milk powder also Obviously higher than ordinary milk powder . Thanks to foreign environmentalists 、 Vegetarians' promotion of plant-based diet movement , Plant based milk has attracted the attention of more and more young people .

China's dairy industry has become a world-class food manufacturing industry . After the epidemic , China's consumption has significantly upgraded , Enterprise products tend to be high-end as a whole . 

3.  Industry concentration has been increased , Leading enterprises integrate the industrial chain and cross milk source layout .

First , Let's look at the development stage of the dairy industry ：

 

1999 - 2008  The market is king  

Industry trend ： Industry expansion

key word ： Channel is king

Boost ： Give priority to large quantities

Industry structure ： The pattern has been set

The development characteristics of large enterprises ： Mengniu rocket speed ; Yili weaves the net steadily

Small business characteristics ： Start development

2008 - 2016  Milk source is king stage

Industry trend ： The industry was frustrated and adjusted in the early stage ; In the later stage, the milk source is surplus , Industry integration ;

key word ： Product resources are king

Boost ： Product upgrades

Industry structure ： Pattern sawing

The development characteristics of large enterprises ： Yili weaves a net twice ; Mengniu extension layout

Small business characteristics ： Milk source layout , Enter downstream

2016 -  so far   Integration stage of the whole industry chain

Industry trend ： Industry recovery

key word ： Whole industry chain

Boost ： Category upgrade （ Yogurt and other categories have become the consumption trend ）

Industry structure ： Share harvest of large dairy enterprises

The development characteristics of large enterprises ： Layout of the whole industrial chain

Small business characteristics ： Differentiated competition

With late marriage and late childbirth 、 Factors such as the decline in the birth rate , Many dairy enterprises choose to change the single business model of infant milk powder 、 Deepen the age level of consumers , March into children's milk powder 、 Milk powder for pregnant women 、 Adult milk powder and other family milk powder markets , Erie 、 Mengniu launched sheep milk powder , Organic milk powder . In recent years , Including Nestle 、 Yashili 、 Aoyou and other dairy enterprises have successively released their new adult milk powder products , Nestle 、 Flying crane 、 Wanda mountain 、 light 、 Mengniu and other brands launch special milk powder for the middle-aged and elderly according to their health needs . New hope and other dairy industries have launched water milk and so on . On the whole , Industry concentration has been increased , Leading enterprises Start Integrate the industrial chain and cross milk source layout .

Four ． Competition pattern of dairy enterprises

China's dairy market has formed a stable duopoly competition pattern , The second echelon focuses on regional markets , The third echelon is concentrated in a single province .

（ picture source ： AI media consultation ）

First tier  -  National enterprises ： The sales network covers the whole country , The income level and market share are in the leading position in the industry , At present, it is formed with MENGNIU and Erie Led by a duopoly .

The second tier  -  Regional enterprises ： Occupy a certain leading position in key regional markets , Form effective complementarity with national dairy enterprises , Such as Sanyuan dairy 、 Bright Dairy 、 JUNLEBAO 、 New dairy industry etc. .

Third echelon  -  Local enterprises ： The scale of production and operation of such enterprises is small , Usually operated only in a single province , Small market share and limited competitiveness . Such as Tianrun dairy 、 Cody dairy 、 Yantang milk trade 、 Jinan Jiabao 、 Ju Le Co., Ltd etc. .

5、 ... and ． Development trend and thinking of dairy industry

1.  Milk source and production capacity jointly build upstream barriers .

【 Milk source 】

Industry level ： With the assistance of relevant departments , It can unite the forces of various enterprises , Increase the source countries of dairy cattle imports , Accelerate the improvement of the self-sufficiency rate of fresh milk , In order to make full use of the volume advantages and transformation and upgrading opportunities of the domestic dairy consumption market , structure “ Double cycle ” New development pattern .

Enterprise level ： For powerful enterprises , The actions you can do are ：（1）  Actively distribute overseas milk sources  （2） Establish its own milk source  （3） Support the development of cooperative milk sources  .

【 capacity 】

Actively expand production capacity in and around milk source areas , Build a solid moat for the enterprise in the upstream .

Tawang consulting point of view ： He who gets milk gets the world , The particularity of dairy raw materials determines the demands of dairy enterprises on the upstream of the industrial chain . Milk source itself is a very important entry barrier for dairy industry , On the one hand, domestic milk supply has been in short supply for a long time , On the other hand, domestic dairy consumption is still dominated by liquid milk . For dairy companies , Extensive layout at milk source level , Docking capacity , Better hedging against price risk .

2.  product 、 Channel and brand construction downstream moat .

【 product 】

（1） Category segmentation , Product innovation speeds up the formation of sub circuit , Low sugar 、 Degrease 、 High calcium 、 Zero add 、 High protein and other personalized products are meeting the diversified needs of consumers .（2） Products subvert the industry , Leading the industry . Consumers' consumption frequency and types of dairy products will gradually increase , China's dry dairy market will usher in high growth .

For dairy companies , Improve product R & D capability , Continuous innovation on the product side , To meet consumer demand , It is the foundation of development .

Tawang brand consulting view ： Cheese sticks on the dairy market 、 Goat milk powder 、 New products such as vegetable milk are emerging , Leading enterprises and cutting-edge brands have launched product research and development , The introduction of various innovative products is not only It enriches consumers' choices , also Accelerate the formation of the subdivision circuit .

With Cheese category For example , The competition pattern of dairy industry changes with “ Children's cheese sticks ” This big piece has sprung up and changed rapidly .2019 Since then , Children's cheese stick fire , Several dairy giants accelerated the layout of the cheese track , Making cheese the industry with the most growth potential in the dairy product segment . Cheese can be used as a snack overseas 、 Catering ingredients 、 For the purpose of fine product appreciation , Consumption scenarios are very diversified . However, the population and scene of cheese products in China are very limited , Product types and consumption scenarios need to be expanded , There's a lot of room for the future .

【 channel 】

online shopping 、 New retail channels are booming , Promoted the change of the overall pattern of dairy products . Diversified sales channels provide more choices for industry enterprises , The enterprise should make a judgment based on its own product characteristics and the strength of the company , Give full play to their respective advantages , Make channels play a role in making profits for enterprises .

Tawang brand consulting view ： Today, with the increasing channel efficiency , The establishment of traditional channels and online channels is no longer difficult for powerful enterprises , However, the channel construction of the tertiary and tertiary markets is very important to the capital of enterprises 、 product 、 There are high requirements for brands and other aspects .

【 brand 】

The rise of domestic brands and high-end products go hand in hand , Concentration will continue to increase . 

Tawang consulting point of view ： Whether it is the Golden Classic in liquid milk 、 Terenzo , Ambrosia in normal temperature yoghurt 、 Pure Zhen , Or the Australian premium in milk powder 、 Flying crane , The market scale of high-end products under large categories has soared , It has contributed to the growth of the industry , It also defines the high-end trend of the market .

Yili, the two leading dairy enterprises 、 Mengniu milk source through high-quality 、 Product development 、 Channel power 、 Brand strength and other advantages , Has built a strong “ The moat ”, Its core competitiveness is becoming more and more stable , The monopoly position is difficult to surpass . In order to High end upgrading promoted by category innovation in , Leading enterprises have strong advantages in R & D ability and promotion ability , Under the background of consumption upgrading , Concentration of leading enterprises take Keep improving .

3.  Further integration of upstream and downstream is a long-term trend .

With the continuous improvement of large-scale breeding , And Internet of things Technology 、 The application and promotion of modern breeding facilities and equipment are gradually alleviated , The degree of industrial chain integration is gradually improved , The further integration of upstream and downstream is the long-term trend of future industrial development .

The dairy industry has a long industrial chain , The demand side is the logic of consumer goods . On the future trend , The whole industrial chain is upgrading , Demand side diversification 、 High end development , Supply side centralization 、 Scale development . The dairy industry may enter the milk source 、 product 、 The new era of channel industry chain competition .

Tawang consulting point of view ： For a strong dairy enterprise , From the milk source 、 capacity 、 channel 、  brand 、 Research and development 、 Strategy and other dimensions , Seize new opportunities brought about by consumption upgrading , Optimize the structure of dairy products , The ability to continuously provide differentiated products and services to consumers , It is the driving force for its long-term growth .

With the growing number of young consumers , People have their own personalities about products 、 Interest 、 Novelty and other requirements , This is for enterprises or cutting-edge dairy brands that want to enter the market , It is also an opportunity brought about by consumption upgrading . Provide innovation 、 Quality products , And find their own differentiated positioning , Dislocation competition with leading enterprises , There may be a chance to break through the market .

————

Consumption strategy ： Consumer oriented brand strategy

Tawang 3W Consumption strategy : The age of consumption , Food companies We should unswervingly choose the essential core strategy .

“ The product age ”、“ Channel era ”、“ The era of communication ”, Officially entered “ The age of consumption ”（ A consumer oriented market ）. The characteristic of the consumption era is that enterprises need to spare no effort to stand from the perspective of consumers , Based on consumer demand 、 Consumer perception 、 Consumer path as the benchmark , Refined enterprise value chain . Enterprises should not take internal environmental factors or external competitive factors as the core orientation to build brands , Instead, we should focus on the life ecology of consumers , Study consumer demand directly , It includes explicit demand and implicit demand , In order to meet the needs of matching consumers in the whole operation cycle of the brand .

————

Tawang  Taste Wend

Vice chairman unit of Food College of Jiangnan University  

Focus on the food and health industry · The pioneer of consumption strategy · Brand whole case in-depth service

Tawang （www.tastewend.com） Is a consumer oriented brand company , With “ Consumption strategy ” As the core of the strategic consulting company . We are committed to helping food enterprises have in-depth insight into “ consumer ”, Plan the market and win business success . Tawang Tastewend Think that food brands come from the market , Also serve the market , Consumers are the main body of the market , Food brands should take consumers as the strategic starting point , To win the market .