China’s Infant Formula Market

By CnAgri2018-12-07 14:33:11 Print (1) Market size and growth: the growth of sales of infant formula accelerated in 2018, the yearly sales should be around 90 billion yuan, up 10% YoY.
(2) Product trend: top ending and introduce of new products jointly promoted the growth of sale of infant formula. The percentage of the market share of sales of super top-end infant formula has been expanding constantly, proving the existence of top ending trend. Introduction of new products is another important factor driving the growth, organic milk powder maintained a positive growing momentum and potential, accounting for over 5% of the market share.
(3) Channel trend: the importance of offline mummy/baby channels continues to improve alongside the growth of the quantity of shops and continual penetration to cities of lower tiers, which contribute over half of the sales of infant formula; sales through e-commerce accounts for one quarter in the total; sales through malls and supermarkets has been declining, lower than 20% in the total. Online channels are competitive in sales promotion and cargo delivery, whereas offline shops are tangible. The future direction is combination of online and offline. Also, it is very important to have sound maintenance of online and offline channels and to explore brand image.