---
title: "2020 Marketing-Related Spending Ranking of 37 Listed FMCG Companies: About 68% Saw Declines | Morketing Research List"
description: "Based on the 2020 annual reports of 37 listed FMCG companies, Morketing Research found that under the impact of the pandemic, about 68% of FMCG brands saw a year-on-year decline in marketing-related spending. Specifically, in the beverage industry, only 6 of 13 companies saw positive revenue growth, and marketing-related expenses declined for all except Wuliangye. In the food industry, revenues all grew, but only Haitian and Hormel reduced marketing-related spending."
author: "Morketing研究院"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2021-06-18"
language: "en"
canonical: "https://xinjignxiao.com/en/articles/2020-marketing-related-spending-ranking-of-37-listed-fmcg-companies-abou-6c967648/"
markdown: "https://xinjignxiao.com/en/articles/2020-marketing-related-spending-ranking-of-37-listed-fmcg-companies-abou-6c967648.md"
original_source: "https://mp.weixin.qq.com/s/FacsfqX4mnlDqiKaSavN9g"
translation: "https://xinjignxiao.com/zh/articles/2020%E5%B9%B4%E5%BA%A637%E5%AE%B6%E5%BF%AB%E6%B6%88%E5%93%81%E4%B8%8A%E5%B8%82%E5%85%AC%E5%8F%B8%E8%90%A5%E9%94%80%E7%9B%B8%E5%85%B3%E8%B4%B9%E7%94%A8%E6%8E%92%E5%90%8D-%E7%BA%A668-%E5%93%81%E7%89%8C%E7%9B%B8%E5%85%B3%E6%94%AF%E5%87%BA%E4%B8%8B%E6%BB%91-morketing-research%E6%A6%9C%E5%8D%95-6c967648.md"
attribution: "New Distribution — https://xinjignxiao.com/en/articles/2020-marketing-related-spending-ranking-of-37-listed-fmcg-companies-abou-6c967648/"
usage_policy: "https://xinjignxiao.com/ai-policy.txt"
---

# 2020 Marketing-Related Spending Ranking of 37 Listed FMCG Companies: About 68% Saw Declines | Morketing Research List

> Based on the 2020 annual reports of 37 listed FMCG companies, Morketing Research found that under the impact of the pandemic, about 68% of FMCG brands saw a year-on-year decline in marketing-related spending. Specifically, in the beverage industry, only 6 of 13 companies saw positive revenue growth, and marketing-related expenses declined for all except Wuliangye. In the food industry, revenues all grew, but only Haitian and Hormel reduced marketing-related spending.

Based on the compilation and analysis of the 2020 annual reports of 37 listed companies in the FMCG industry, Morketing Research found that under the impact of the pandemic, about 68% of FMCG brands saw a year-on-year decline in marketing-related spending. (Note: Most listed companies only reflect marketing-related expense spending in their annual reports.)

Specifically, in the beverage industry, only 6 of 13 companies saw positive revenue growth, and marketing-related expenses declined year-on-year for all except Wuliangye.

For the food industry, revenues all showed positive growth, with only Haitian Group and Hormel Foods reducing marketing-related expenses.

In the luxury goods industry, international travel came to a halt due to the pandemic, indirectly leading to negative growth in both revenue and marketing-related expenses.

For the daily chemical and beauty industry, all 4 companies saw negative growth in revenue, marketing-related expenses. The cleaning products industry, however, was the opposite: the global pandemic increased demand for personal protection and home care, and except for Unilever's slight decline in marketing-related expenses, other brands saw year-on-year growth in both revenue and marketing-related expenses.

**Global FMCG 2020**
**Full-year marketing and related expense spending**

The full-year 2020 marketing and related expense spending of 37 global FMCG companies is as follows (followed by the 2020 operating conditions of 2 companies that did not disclose specific marketing and related expenses):

(Note: Kering's 2020 cost of sales was approximately RMB 28.251 billion; Wilmar International's 2020 cost of sales was approximately RMB 17.371 billion.)

**1. Nestlé – Involved in coffee, infant nutrition, pet care, and other sectors**

Nestlé's total sales in 2020 were CHF 84.343 billion (approximately RMB 619.938 billion), a year-on-year decrease of 8.89% (2019 total sales were CHF 92.568 billion). Nestlé's 2020 marketing and management expenses were CHF 17.370 billion (approximately RMB 127.673 billion), a year-on-year decrease of 12.23%. Nestlé's sales in Greater China were CHF 5.986 billion (approximately RMB 44 billion). Although Nestlé's sales in Greater China have declined for three consecutive years (2019: approximately RMB 48.121 billion; 2018: approximately RMB 47.4 billion), it remains the top sales region in AOA (Asia, Oceania, and Sub-Saharan Africa), accounting for about 27.11% of AOA sales. Due to the appreciation of the Swiss franc, Nestlé lost CHF 126 million (approximately RMB 926 million) in 2020 due to exchange rate issues.

In 2020, Nestlé adjusted its overall business. In the first half of the year, Nestlé sold 60% of Herta's shares; at the end of November, it sold its Chinese subsidiary Yinlu Foods Group to Food Wise. This also means Nestlé is more focused on infant nutrition, confectionery, coffee, seasoning foods, dairy products, and pet care in Greater China.

Sales in Greater China accounted for 7.09% of Nestlé's global sales, still its second-largest market. The 2020 Spring Festival was still during the pandemic lockdown period, and the reduction in out-of-home channels and limited consumption environment led to negative growth in the Chinese market.

However, from specific products, thanks to strong growth of Nestlé Coffee and Starbucks products on e-commerce platforms, the coffee business achieved high single-digit growth. Seasoning foods and ice cream achieved mid-single-digit growth.

Led by home baking products and adult nutrition products, ambient dairy products achieved positive growth. The decline in infant formula sales improved in the second half of the year. Positive growth in NAN sales was partially offset by negative growth in Wyeth S-26 and Illuma. The locally produced Wyeth Zerlun brand achieved good development. Infant cereals achieved double-digit growth.

In addition, Nestlé Purina PetCare sales grew strongly at a double-digit rate, thanks to the launch of Purina Pro Plan and veterinary-specific products. In May 2020, Nestlé announced an investment of CHF 100 million (approximately RMB 730 million) in Tianjin.

As a result, Tianjin Purina became Nestlé's fourth global factory equipped with high-end prescription diet production capacity. This also demonstrates Nestlé's confidence and determination in China's pet industry. Nestlé's horizontal business development model means it is no longer just the "instant coffee" we know.

In addition, Nestlé's 2020 annual report also disclosed the impact of the global pandemic on company profits. Nestlé estimated that the pandemic caused incremental costs of CHF 420 million (approximately RMB 3.087 billion), of which marketing and half of administrative expenses accounted for CHF 120 million (approximately RMB 882 million).

**2. L'Oréal – Asia-Pacific became the only region with positive growth in 2020**

In 2020, L'Oréal's total revenue was EUR 27.992 billion (approximately RMB 220.249 billion), down 6.3% year-on-year; advertising and promotional spending was EUR 8.648 billion (approximately RMB 68.044 billion), down 6.08% year-on-year.

L'Oréal's Asia-Pacific region generated EUR 9.799 billion (approximately RMB 77.105 billion) in 2020, accounting for 35.01% of total revenue, up 3.5% year-on-year. Asia-Pacific became the only region with positive revenue growth in 2020.

L'Oréal stated in its annual report that the beauty market in China recovered significantly in the second half of the year, with a growth rate of about 4% during the year. Consumers had higher expectations for high-efficacy products, driving the market's premiumization trend. At the same time, various festivals and promotional activities also stimulated consumption. L'Oréal's China market performed significantly better than the average of other markets.

**3. Unilever – Brand and marketing investment spending down 2.49% year-on-year**

Unilever's 2020 revenue was EUR 50.724 billion (approximately RMB 399.112 billion), down 2.42% year-on-year.

Selling, general and administrative expenses were EUR 12.673 billion (approximately RMB 99.886 billion), down 0.17% year-on-year, of which brand and marketing investment spending was EUR 7.091 billion (approximately RMB 55.794 billion), down 2.49% year-on-year, accounting for about 55.95% of SG&A expenses.

Unilever stated in its report that as consumers' desire for sustainable brands continues to grow, they are also cooperating with customers to help them meet this demand in various ways.

In 2020, Unilever accelerated the implementation of precision marketing, cooperating with Amazon to help consumers search for Dove, Seventh Generation, and other products faster. In China, they cooperated with Alibaba to launch the plastic smart recycling project "Qing Su Xing Dong".

In the UK, they launched a contactless water refill station service with supermarket chain Asda to meet various customer needs.

In Australia, they cooperated with food retailer Woolworths to launch a plastic recycling plan.

By business, beauty and personal care sales revenue fell 3.4% for the full year. Due to the good effect of hand hygiene in fighting COVID-19, Unilever's brand Lifebuoy sales increased by 50%.

The global pandemic reduced market activity, leading to a decline in demand for skincare, deodorants, and hair care. Prestige e-commerce performed strongly, with more than 50% of Prestige beauty product sales now through e-commerce.

In the food and refreshment business, operating profit decreased by EUR 125 million (approximately RMB 983 million), of which EUR 35 million was due to lower turnover and EUR 90 million was due to increased pandemic-related costs.

Turnover fell 0.8%, with 4.2% due to exchange rate factors. Due to the pandemic preventing consumers from going out, their retail food business only achieved slight growth.

In the home care business, turnover fell 3.4%. They launched the BlueDova brand in China, and BlueDova sales increased by more than 25%. In the second half of 2020, they invested EUR 32 million (approximately RMB 252 million) in brand and marketing promotion for home care products.

**4. Procter & Gamble – Health and hygiene care product revenue grew nearly 10% during the pandemic**

According to the financial report, P&G's global revenue in 2020 reached USD 70.95 billion (approximately RMB 489.527 billion), up 4.83% from the same period last year. P&G has achieved positive revenue growth for four consecutive fiscal years.

P&G's full-year 2020 spending on marketing, general and administrative expenses was USD 19.994 billion (approximately RMB 137.951 billion), up 4.77% year-on-year, including advertising expenses of USD 7.326 billion (approximately RMB 50.546 billion) for television, print, radio, internet, and in-store advertising, up 8.52% from USD 6.751 billion (approximately RMB 46.56 billion) in 2019; marketing and promotional expenses in accrued expenses were USD 3.531 billion (approximately RMB 24.362 billion), down 17.86% year-on-year.

P&G stated in its fiscal 2020 report that due to investment in media and other marketing spending, marketing spending as a percentage of net sales increased by 0.1%.

By business segment, in fiscal 2020, except for the beauty segment which saw negative growth, all other segments achieved net revenue growth. Beauty products achieved sales of USD 13.359 billion (approximately RMB 92.172 billion), up 3.58% year-on-year, accounting for 18.83% of total sales.

Beauty products achieved sales of USD 6.059 billion (approximately RMB 41.874 billion), down 2.1% year-on-year, accounting for 8.55% of total sales.

Health care products achieved sales of USD 9.028 billion (approximately RMB 62.29 billion), up 9.86% year-on-year, accounting for 12.72% of total sales.

Fabric and home care achieved sales of USD 23.735 billion (approximately RMB 163.762 billion), up 7.5% year-on-year, accounting for 33.45% of total sales.

Baby, feminine and family care achieved sales of USD 18.364 billion (approximately RMB 126.704 billion), up 3.13% year-on-year, accounting for 25.88% of total sales.

P&G stated in its fiscal 2020 report that because the products it sells are essential to consumers' daily lives, the global pandemic did not have a material impact on them. However, there were offsetting effects during this period.

For example, in the second half of fiscal 2020, demand and consumption of health, hygiene, and home cleaning products increased significantly, mainly in North America, partly due to changes in consumer habits caused by the pandemic, thereby promoting sales and net profit growth.

At the same time, due to the economic slowdown and restrictions on travel retail and consumption of certain beauty and hair care products in most regions (including Europe, India, the Middle East and Africa, Asia-Pacific, and Latin America), their sales also declined.

In fiscal 2020, P&G's net revenue in China accounted for 9% of global total revenue. In the Chinese market, although their sales in Greater China declined in the third quarter of fiscal 2020, demand rebounded in the fourth quarter as restrictions on consumer movement were relaxed.

**5. Anheuser-Busch InBev – China market sales fell 10%**

In 2020, AB InBev's total revenue was USD 46.881 billion (approximately RMB 323.46 billion), down 10.41% year-on-year. Marketing and sales expenses were USD 6.861 billion (approximately RMB 47.338 billion), down 6.63% year-on-year.

AB InBev disclosed COVID-19 costs of USD 182 million (approximately RMB 1.256 billion) in its financial report. These costs mainly include expenses related to personal protective equipment for employees, charitable donations, and other expenses arising from the pandemic.

AB InBev stated in its financial report that under the impact of the global pandemic, it shifted to home consumption occasions, expanded e-commerce channels, and extended new digital functions to create value for customers and consumers.

As the world continues to transition to a digital economy, they are expanding their innovation capabilities to meet growing demand. They see rapid development trends such as online B2B platforms, e-commerce, and digital marketing, and are investing in these capabilities as they move toward becoming a truly customer- and consumer-centric organization.

In addition, AB InBev also connects with consumers through creative marketing campaigns. For example, Budweiser's "Be a King". In 2020, Budweiser launched its first global campaign, partnering with Lionel Messi and musician Halsey to promote consumption.

**6. LVMH – Severely affected by the pandemic, rebounded in Q1 2021**

According to LVMH's 2020 annual report data, full-year revenue was EUR 44.651 billion (approximately RMB 351.327 billion), down 16.8% year-on-year.

LVMH's marketing and sales expenses were EUR 16.792 billion (approximately RMB 132.124 billion), down 16.9% year-on-year; net profit was EUR 7.972 billion (approximately RMB 62.773 billion), down 29.28% year-on-year.

Advertising and promotional expenses were EUR 4.869 billion (approximately RMB 38.311 billion), down 22.28% from EUR 6.265 billion (approximately RMB 48.394 billion) last year. As of December 31, 2020, the group operated 5,003 stores globally (4,915 in 2019, 4,592 in 2018).

It is not difficult to see that the pandemic has had a very serious impact on the luxury goods industry. LVMH stated in its 2020 annual report that the global pandemic and measures taken by governments to combat it severely affected LVMH's operations in the fiscal year and had a significant impact on the annual financial statements.

Store and production facility closures for several months in most countries, coupled with the halt of international travel, resulted in reduced revenue, leading to lower profitability.

However, it is worth mentioning that LVMH achieved a rebound in revenue in the first quarter of this year. LVMH stated in its Q1 2021 report that Q1 2021 revenue was EUR 13.959 billion (approximately RMB 109.097 billion), up 31.74% year-on-year.

**7. Nike – Postponed sports events and forced store closures led to lower marketing expenses**

Nike's total revenue in 2020 was USD 37.403 billion (approximately RMB 258.066 billion), down 4.38% year-on-year.

Selling, general and administrative expenses were USD 13.126 billion (approximately RMB 90.564 billion), up 3.34% year-on-year, accounting for 35.1% of total revenue; of which demand creation expenses totaled USD 3.592 billion (approximately RMB 24.783 billion), down 4.29% year-on-year, accounting for 27.37% of SG&A.

Demand creation expenses include advertising and promotion costs, including endorsement fees, giveaways, television, digital media, and print advertising and media costs, brand events, and retail brand presentation costs.

Nike stated in its fiscal 2020 report that COVID-19 affected their business globally, including store closures, reduced operating hours, and reduced retail traffic. In particular, during the most severe phase of the pandemic in China, approximately 75% of Nike-owned and partner stores were closed or had reduced hours, resulting in a material adverse impact on operations and operating results in Greater China in the third quarter of fiscal 2020.

Greater China showed relatively strong performance, with fiscal 2020 revenue of USD 6.679 billion (approximately RMB 46.082 billion), up 7.59% year-on-year; accounting for 17.86% of total revenue.

Nike Direct revenue grew 20%, digital commerce sales grew 49%, and new store and comparable store sales grew 1%. The largest contributor, footwear revenue, was USD 4.635 billion, accounting for 69.4% of Greater China revenue.

**8. FEMSA – Total revenue down 2.7% year-on-year due to pandemic**

FEMSA's total revenue in 2020 was MXN 490.425 billion (approximately RMB 157.74 billion), down 2.7% year-on-year. Marketing expenses were MXN 76.227 billion (approximately RMB 24.518 billion), down 0.84% year-on-year.

FEMSA is a diversified company that participates in retail trade through FEMSA Comercio, operating Mexico's small-format retail chain OXXO, and also operates OXXO GAS, a retail service station for fuel, motor oil, lubricants, and car care products in Mexico. It also owns pharmacies under the Cruz Verde, YZA, La Moderna, and Farmacon brands in Chile, Colombia, and Mexico.

**9. Estée Lauder – China sales accounted for 24% of total sales**

In 2020, Estée Lauder's total revenue was USD 14.294 billion (approximately RMB 98.623 billion), down 3.83% year-on-year. Net profit was USD 606 million (approximately RMB 4.181 billion), down 73.8% year-on-year.

Selling, general and administrative expenses were USD 8.637 billion (approximately RMB 59.592 billion), down 2.48% year-on-year. Advertising and promotional expenses were USD 3.398 billion (approximately RMB 23.445 billion), down 1.22% year-on-year.

According to the financial report, Asia-Pacific market revenue in 2020 was USD 4.238 billion (approximately RMB 29.24 billion), accounting for 29.65% of total revenue, making it the second-largest market. China sales accounted for 24% of total sales, approximately USD 3.431 billion (approximately RMB 23.669 billion).

Estée Lauder stated in its financial report that during fiscal 2020, they improved remote work infrastructure and recovery plans, deployed enhanced data analytics capabilities, launched new marketing capabilities to drive deeper marketing campaigns, and enhanced in-store experiences through innovative technology.

At the same time, through strategic emphasis on technology, they continuously enhance digital business, including e-commerce and mobile commerce, as well as digital, social media, and influencer marketing, to increase brand awareness and sales.

**10. Shiseido – Strengthened investment in business foundation and e-commerce in China**

In 2020, Shiseido's total revenue was JPY 920.888 billion (approximately RMB 59.494 billion), down 18.62% year-on-year. Selling, general and administrative expenses were JPY 667.523 billion (approximately RMB 43.125 billion), down 12.5% year-on-year, of which marketing expenses were JPY 348.3 billion (approximately RMB 22.508 billion), down 15.11% year-on-year.

Shiseido disclosed in its financial report that the loss on COVID-19 was JPY 18.696 billion (approximately RMB 1.207 billion).

Shiseido stated in its annual report that due to weak consumer spending leading to lower profit margins, operating profit fell 86.9% year-on-year, but remained positive at JPY 15 billion. This is attributed to the group's cost management initiatives, mainly focused on SG&A expenses, offsetting one-time costs related to structural reforms, while strengthening our business foundation and continuous marketing investment in key areas such as China and e-commerce.

E-commerce sales in China accounted for more than 40% of sales, and during the 2020 Double 11, sales more than doubled compared to the previous year. Sales increased 9.0% year-on-year to JPY 235.804 billion (approximately RMB 15.234 billion), but due to factors such as marketing expenses, operating income fell 37.1% year-on-year to JPY 18.386 billion (approximately RMB 1.188 billion).

**11. Adidas – Revenue and net profit both declined, Greater China revenue nearly twice that of Asia-Pacific**

Adidas's 2020 annual report data shows full-year revenue of EUR 19.844 billion (approximately RMB 156.139 billion), down 16.06% year-on-year; marketing and point-of-sale expenses were EUR 2.573 billion (approximately RMB 20.245 billion), down 15.42% year-on-year.

Net profit was EUR 443 million (approximately RMB 3.486 billion), down 77.59% year-on-year; Greater China revenue in 2020 was EUR 4.428 billion, accounting for 22.31% of global total revenue, 1.97 times that of the entire Asia-Pacific region (excluding Greater China).

As of December 31, 2020, Adidas operated 2,456 stores globally, including 1,126 factory outlets, 1,221 concept stores, and 109 franchise stores.

Adidas stated in its annual report that in addition to investing in digital marketing, they also invested in the digitalization of sales processes. In 2020, they continued to invest in developing digital commerce tools such as "Click", the self-developed B2B platform "S.Core", and "Digital Showroom".

With the rollout of "Click" and "Digital Showroom" in Europe, Latin America, and emerging markets, Adidas's remote virtual experience grew from 40% to over 90%. Starting in 2021, Adidas will continue to roll out digital commerce tools to North America and Asia-Pacific to streamline processes and improve efficiency, while providing a full service model.

**12. Coca-Cola – "Building for the Future, Stronger Together" Coca-Cola optimistic about China market**

In 2020, Coca-Cola's total revenue was USD 33.014 billion (approximately RMB 227.783 billion), down 11.41% year-on-year.

Selling, general and administrative expenses were USD 9.731 billion (approximately RMB 67.14 billion), down 19.6% year-on-year; of which advertising expenses were USD 2.777 billion (approximately RMB 19.16 billion), down 34.6% year-on-year, accounting for about 28.54% of SG&A.

In addition, as of December 31, 2020 and December 31, 2019, advertising cost accruals were USD 83 million and USD 55 million, respectively, recorded under prepaid expenses and other assets in the consolidated balance sheet.

Coca-Cola stated in its annual report that the reduction in SG&A was mainly due to effective cost management and reduced marketing spending. The uncertainty caused by the global pandemic had a significant impact on their productivity.

In the Asia-Pacific market, sparkling beverage volumes in China and India achieved solid growth. In terms of value share, Asia-Pacific's value share in the non-alcoholic ready-to-drink beverage market was flat compared to 2019, while China's value share in the fourth quarter and full year 2020 increased in both dine-in and takeout channels.

In the fourth quarter, Coca-Cola (China) also launched several seasonal winter new products, including COSTA English-style milk tea latte, Minute Maid osmanthus warm pear fruit drink, Minute Maid honey pomelo fruit drink, and in the relatively warmer southern regions, Minute Maid apple cider vinegar juice drink, to better align with Chinese consumers' drinking habits and taste preferences in different scenarios.

In terms of digitalization, Coca-Cola continued to invest in omnichannel opportunities in 2020. For example, the company seized the booming O2O trend in China, and through excellent digital execution and core SKU supply, increased its value share on O2O platforms by 3 points, leading overall e-commerce growth in China.

During Double 11, Coca-Cola's total transaction value on Chinese e-commerce channels increased 61% year-on-year. Among them, JD.com's transaction value increased 130%, Hema's increased 178%, and Tmall flagship store's increased 121%.

**13. Heineken – Net loss attributable to parent company exceeded EUR 100 million**

In 2020, Heineken achieved revenue of EUR 23.770 billion (approximately RMB 187.029 billion), down 16.66% year-on-year. Net loss attributable to parent company was EUR 102 million (approximately RMB 802 million), down 109.3% year-on-year. Marketing and sales expenses were EUR 2.044 billion (approximately RMB 16.083 billion), down 22.34% year-on-year.

China Resources Beer acquired Heineken China on April 29, 2019; after the formal completion of the transaction, at the end of 2020, Heineken announced that its brands Amstel and Edelweiss would enter the Chinese market, and China Resources Beer would join hands with Heineken to enter China's high-end beer market.

**14. Colgate-Palmolive – Advertising expenses up 15% year-on-year, total revenue up 4.96%**

Colgate-Palmolive's total revenue in 2020 was USD 16.471 billion (approximately RMB 113.643 billion), up 4.96% year-on-year. Selling, general and administrative expenses were USD 6.019 billion (approximately RMB 41.529 billion), up 7.96% year-on-year.

Advertising expenses increased by USD 254 million (approximately RMB 1.753 billion) to USD 1.948 billion (approximately RMB 13.44 billion), up 14.99% year-on-year. In 2020, advertising investment accounted for 11.82% of sales.

According to financial data, Colgate-Palmolive maintained high growth during the pandemic in 2020, with revenue up nearly 5% year-on-year and organic sales up nearly 7%, the strongest growth in over a decade.

Colgate-Palmolive's president and COO stated that their increasing investment in innovation, digital transformation, and advertising has helped Colgate-Palmolive develop in all regions, and in 2020, Colgate-Palmolive's e-commerce sales grew 46%.

By product, oral care, personal care, and home care products accounted for 44%, 21%, and 18% of 2020 global sales, respectively.

Notably, pet health accounted for 17% of global sales, with sales of USD 2.883 billion (approximately RMB 19.892 billion), up 14% year-on-year, thanks to Hill's Pet Nutrition net sales in the US and Europe growing 20% year-on-year to USD 719 million (approximately RMB 4.96 billion).

By region, oral care is an important part of the Asia-Pacific business, accounting for 81% of the region's 2020 sales. Asia-Pacific sales were USD 2.701 billion (approximately RMB 18.636 billion), down 0.5% year-on-year, accounting for 28.6% of global total sales.

In Q1 2021, Shuzhi Technology's total operating revenue was RMB 875 million, down 4.58% year-on-year; net profit attributable to parent company was RMB -198 million, down 563.75% year-on-year.

**15. Kraft Heinz – Net profit down 81.6%, advertising expenses up 12.97%**

Kraft Heinz's full-year 2020 revenue was USD 26.185 billion (approximately RMB 180.666 billion), up 4.84% year-on-year. Net profit was USD 356 million (approximately RMB 2.456 billion), down 81.6% year-on-year.

Selling, general and administrative expenses were USD 3.65 billion (approximately RMB 25.184 billion), up 14.85% year-on-year; advertising expenses were USD 1.846 billion (approximately RMB 12.737 billion), up 12.97% year-on-year.

The annual report stated that increased marketing investment, higher supply chain costs, higher SG&A, adverse changes in key commodity costs (including dairy, meat, coffee, and nuts), and adverse effects of divestitures collectively led to an 81.6% year-on-year decline in net profit.

In September 2020, Kraft Heinz sold part of its cheese business to French company Groupe Lactalis for USD 3.2 billion, and also stated that it would use the proceeds to repay debt.

**16. Beiersdorf – Digital transformation is key, e-commerce sales increased 49.6%**

Beiersdorf's 2020 revenue was EUR 7.025 billion (approximately RMB 55.275 billion), down 8.21% year-on-year. Marketing and sales expenses were EUR 2.485 billion (approximately RMB 19.553 billion), down 6.79% year-on-year, of which advertising expenses were EUR 1.554 billion (approximately RMB 12.227 billion), accounting for 58.29% of marketing and sales expenses, down 5.13% year-on-year.

Beiersdorf stated in its report that digital transformation is a key factor for Beiersdorf's future business success. They saw the global pandemic highlight the importance of e-commerce and digital dialogue, bringing historic changes to the consumer goods industry. In this context, Beiersdorf began investing in new technologies and data-driven capabilities, and improving the digital skills of its employees.

Beiersdorf's clear goal is to take digital consumer engagement and brand emotional appeal to a new level. Under the impact of the global pandemic and the growth of global online business, their e-commerce sales increased by 49.6%.

**17. Yili – "Marketing" appears 18 times in the 2020 annual report**

Yili's total revenue in 2020 was RMB 96.524 billion, up 7.24% year-on-year. Net profit attributable to parent company was RMB 7.078 billion, up 2.08% year-on-year. Advertising and marketing expenses decreased from RMB 11.041 billion to RMB 10.999 billion, down 0.39% year-on-year, accounting for 51.07% of total selling expenses. **"Marketing" appears 18 times in this report.**

In recent years, the company has deepened its omnichannel operation system and carried out integrated online and offline marketing. During the reporting period, on the basis of strengthening e-commerce platform business, the company actively developed new retail channels, explored new marketing models such as community marketing, cross-border marketing, and co-branded customized products with popular IPs, enriching marketing scenarios while strengthening interaction and communication with consumers, helping rapid business growth.

At the same time, the company's e-commerce business revenue increased 55.0% year-on-year. In terms of digital membership building, by building a CDP data middle platform, they achieved integrated management and analysis of online and offline data, while strengthening the "data collection - data integration analysis - data operation" mechanism to implement precision marketing.

The company continues to promote product optimization and upgrading, continuously improve consumer experience, enhance brand image, and through precision marketing, sales revenue of key products such as "Jindian", "Ambrosial", "Changqing", "Jinlingguan", and "Qiaolezi" increased 9.6% year-on-year.

**18. Pernod Ricard – Revenue down 7.99% due to pandemic, China remains second-largest market**

Pernod Ricard's fiscal 2020 revenue was EUR 8.448 billion (approximately RMB 66.471 billion), down 7.99% year-on-year. Advertising expenses were EUR 1.327 billion (approximately RMB 10.441 billion), down 12.24% year-on-year.

Pernod Ricard stated in its annual report that Asia's revenue reached EUR 3.467 billion (approximately RMB 27.279 billion), accounting for 41.04% of global revenue. Among them, the Indian and Chinese markets contributed the most, with market share growth of 6% and 9%, respectively.

Pernod Ricard stated that China is the second-largest market. Despite strong net sales growth in the first half, the second half was affected by the global pandemic, with net sales in the Americas down 6% year-on-year and Europe down 6%.

**19. Mondelez International – Advertising spending up 13.91% year-on-year, accelerating digital marketing**

Mondelez International's total revenue in 2020 was USD 26.581 billion (approximately RMB 183.398 billion), up 2.76% year-on-year. Selling, general and administrative expenses were USD 6.098 billion (approximately RMB 42.074 billion), down 0.62% year-on-year, of which advertising expenses were USD 1.376 billion (approximately RMB 9.494 billion), up 13.91% year-on-year.

Mondelez International stated in its report that the increase in SG&A was mainly due to factors such as currency exchange rates and taxes; excluding these factors, such expenses would have increased by USD 77 million (approximately RMB 531 million) compared to 2019, mainly due to increased advertising and consumer promotion costs.

Mondelez International stated in its report that to develop and maintain market position, they focus on meeting consumer needs and preferences, **through digital transformation and other marketing strategies for product innovation and ensuring high standards of product quality; and through advertising, marketing, and promotional activities, continuously optimizing production lines and other operations.**

**20. Kao – Total revenue down 8% year-on-year, cosmetics business hit**

Kao's total revenue in 2020 was JPY 1,381.997 billion (approximately RMB 89.284 billion), down 8% year-on-year. Selling, general and administrative expenses were JPY 415.826 billion (approximately RMB 26.864 billion), down 6.12% year-on-year, of which advertising and promotional expenses were JPY 117.527 billion (approximately RMB 7.593 billion), down 12.61% year-on-year.

By region, Japan accounted for 61.76% of total revenue; Asia excluding Japan accounted for 20.56% of total revenue.

In Asia, they entered the Chinese market through e-commerce platforms to ensure substantial growth in Kao's sales in China. Merries baby diapers in Indonesia achieved steady sales growth, while sales in Japan and China both declined. Compared to 2019, the cosmetics business suffered the most, down 22.38% year-on-year.

In May this year, Kao completed the second phase of its Hefei factory, with an investment of JPY 6 billion (approximately RMB 387 million), aiming to further strengthen its hygiene care product production system in China.

**21. Mengniu Dairy – Achieving brand trendiness through digital marketing**

Mengniu Dairy's advertising and promotion expenses in 2020 were RMB 6.803 billion, down 19.96% from RMB 8.499 billion in 2019. Accounting for 31.58% of selling expenses. According to the financial report, Mengniu Dairy's revenue in 2020 was RMB 76.003 billion, down 3.79% year-on-year.

Mengniu continuously improves brand awareness and sales by actively promoting product innovation and digital marketing, deepening channel expansion, and strengthening traditional e-commerce channels. In addition, Mengniu also launched the online "Boundless" community learning project and Mengniu Marketing Academy.

**22. Kellogg's – North America holds major market share**

Kellogg's total revenue in 2020 was USD 13.77 billion (approximately RMB 95.007 billion), up 1.41% year-on-year. Advertising expenses were USD 781 million (approximately RMB 5.389 billion), up 15.53% year-on-year.

By region, North America is Kellogg's main revenue region, with 2020 North America revenue of USD 8.361 billion (approximately RMB 57.688 billion), accounting for 60.72% of total revenue. The second-ranked AMEA (Asia, Middle East, and Africa) region had revenue of USD 2.263 billion (approximately RMB 15.614 billion).

**23. General Mills – Advertising expenses up 14.99% year-on-year**

General Mills' total revenue in 2020 was USD 17.627 billion (approximately RMB 121.616 billion), up 4.51% year-on-year. Selling, general and administrative expenses were USD 3.152 billion (approximately RMB 21.745 billion), up 7.35% year-on-year. Advertising expenses were USD 692 million (approximately RMB 4.773 billion), up 14.99% year-on-year.

General Mills is mainly engaged in food processing, with major brands including Häagen-Dazs, Fruit Roll-Ups, Wanchai Ferry, and several breakfast cereal brands such as Cheerios. By product category, the top three revenue generators were snacks, breakfast cereals, and convenient meals, accounting for 20.02%, 16.31%, and 15.97% of total sales, respectively.

General Mills stated in its 2020 annual report that compared to fiscal 2019, net sales in Asia and Latin America fell 8% in fiscal 2020, accounting for 9% of total sales, mainly due to reduced consumer activity caused by the pandemic.

**24. Clorox – Total revenue up 8.16% year-on-year, e-commerce business growing rapidly**

Clorox's total revenue in 2020 was USD 6.721 billion (approximately RMB 46.372 billion), up 8.16% year-on-year; advertising expenses were USD 675 million (approximately RMB 4.657 billion), up 10.29% year-on-year.

Clorox stated in its 2020 annual report that before the pandemic, their e-commerce team laid the foundation for growth, focusing on every stage of the consumer purchase process. The outbreak of the global pandemic prompted more consumers to purchase their products online, resulting in e-commerce accounting for 12% of the company's total sales in 2020, compared to only 8% in 2019.

**25. Wuliangye – Image promotion and promotional expenses up 11.9% year-on-year**

According to Wuliangye's 2020 annual report data, total revenue increased from RMB 50.118 billion to RMB 58.321 billion, up 14.37% year-on-year, achieving three consecutive years of revenue growth. Net profit attributable to parent company was RMB 19.955 billion, up 14.67% year-on-year.

Wuliangye's 2020 image promotion and promotional expenses were RMB 4.451 billion, up 11.9% year-on-year, accounting for 79.78% of selling expenses.

In addition, Wuliangye also disclosed its 2020 advertising expenses. The company's advertising methods mainly include television, radio, internet, outdoor advertising, exhibitions, etc., with online expenses of RMB 128 million, offline expenses of RMB 483 million, and television advertising of RMB 537 million.

Wuliangye stated in its financial report that after the COVID-19 outbreak, the company promoted the model of "old products loss compensated by new products, retail loss compensated by group purchases, offline loss compensated by online", further optimizing channel structure, establishing three major channel systems: traditional, group purchase, and innovation. The official mall, Wuliangye Cloud Store, and digital liquor certificate platform were built and operated, and the market showed high-quality development.

The first phase of the marketing digitalization project was basically completed, achieving visualization of the entire marketing process data, effectively improving the ability of marketing data to support decision-making. Continuously optimize the traditional channel structure and further purify Wuliangye's merchant team.

**26. Fast Retailing – Revenue and profit both declined due to pandemic**

Fast Retailing's total revenue in fiscal 2020 was JPY 2,008.846 billion (approximately RMB 129.781 billion), down 12.3% year-on-year; selling, general and administrative expenses were JPY 805.821 billion (approximately RMB 52.06 billion), down 5.69% year-on-year, of which advertising and promotion expenses were JPY 68.307 billion (approximately RMB 4.412 billion), down 8.23% year-on-year.

Fast Retailing stated in its fiscal 2020 report that total operating profit was JPY 149.3 billion, down 42.0% year-on-year, with both total revenue and net profit attributable to parent company declining. This was mainly because the company was greatly affected by the global pandemic in the second half of the year, with stores around the world closed for several months and reduced consumer outings leading to lower foot traffic, resulting in a significant decline in revenue and profit.

In addition, due to the pandemic, business deteriorated, resulting in store losses of JPY 23 billion (approximately RMB 1.485 billion) in fiscal 2020.

**27. Hershey – China sales fell 46%**

Hershey's total revenue in 2020 was USD 8.15 billion (approximately RMB 56.23 billion), up 2.05% year-on-year. Advertising expenses were USD 517 million (approximately RMB 3.567 billion), up 0.71% year-on-year.

Hershey stated in its 2020 annual report that approximately 31% of total sales in 2020 were sold to McLane Company, Inc., one of the largest wholesale distributors to convenience stores, drugstores, wholesale clubs, and mass retailers in the United States, and also the primary distributor of their products to Walmart.

**28. Anta Sports – DTC digital transformation strategy helps Anta**

Anta Sports' revenue in 2020 increased 4.67% to RMB 35.51 billion. Among them, Anta segment revenue decreased 9.7% year-on-year to RMB 15.7 billion.

The FILA segment continued to maintain growth, with revenue increasing 18.1% year-on-year to RMB 17.5 billion. The new brand incubation model is more mature, with all other brands' revenue increasing 35.4% year-on-year to RMB 2.3 billion. Operating profit increased 5.26% to RMB 915 million.

Anta Sports stated in its annual report that they increased investment in the DTC model to make their brands more directly face consumers.

They believe that the DTC model and digital strategy help connect "people, goods, and places", allowing them to sort out the information flow of the entire value chain from production to consumers, enabling them to improve sensitivity to demand changes and produce high-quality products.

At the same time, Anta Sports uses big data analysis capabilities provided by digital platforms to analyze real-time operational data of all stores nationwide, achieving flexibility in inventory distribution of directly operated stores.

Anta Sports stated that the advertising and promotion expense ratio in 2020 decreased by 0.6 percentage points, mainly due to certain advertising and promotional activities delayed by the pandemic (including those related to the Tokyo Olympics originally scheduled for 2020) and large store opening and renovation plans.

**29. PepsiCo – Global pandemic led to store closures and factory shutdowns, negatively impacting operating profit**

In 2020, PepsiCo's total revenue was USD 70.372 billion (approximately RMB 485.538 billion), up 6.53% year-on-year. Operating profit was USD 10.08 billion (approximately RMB 69.548 billion), slightly down from USD 10.291 billion (approximately RMB 71.9 billion) in the same period.

In 2020, PepsiCo's selling, general and administrative expenses were USD 28.495 billion (approximately RMB 196.604 billion), compared to USD 184.473 billion (approximately RMB 32.415 billion) in 2019, up 6.53% year-on-year. Advertising and other marketing activities totaled USD 4.6 billion (approximately RMB 3.178 billion) in 2020, down 2.13% year-on-year.

PepsiCo stated in its 2020 annual report that deferred advertising expenses as of December 26, 2020 and December 28, 2019 were USD 48 million and USD 55 million, respectively, classified as prepaid expenses and other current assets on our balance sheet.

PepsiCo stated in its 2020 annual report that revenue in the APAC region (Greater China, New Zealand, and Australia) grew 18.02% in 2020, ranking second in growth rate among all regions.

Revenue in China reached USD 1.732 billion (approximately RMB 11.95 billion), up 33.23% year-on-year. On June 1 last year, PepsiCo acquired Hangzhou Haomusi Food Co., Ltd. (Baicaowei) for USD 705 million, further consolidating its market position in China's food and beverage sector.

In addition, PepsiCo also stated in its annual report that the global pandemic and government requirements leading to store closures and factory shutdowns had a 5 percentage point negative impact on operating profit performance.

**30. Brown-Forman – Total revenue up 0.7% year-on-year, China market positive growth**

In 2020, Brown-Forman's total revenue was USD 4.306 billion (approximately RMB 29.709 billion), up 0.7% year-on-year; advertising expenses totaled USD 383 million (approximately RMB 2.643 billion) in 2020, down 3.28% year-on-year.

Brown-Forman primarily produces distilled spirits, and also imports, exports, and sells various well-known brands of alcoholic beverages. It is the largest American-owned spirits and wine company in the world.

Brown-Forman stated in its annual report that China's underlying net sales growth rate before the pandemic was double-digit, but due to the pandemic, the total growth rate for 2020 was lower, but still showed a positive growth trend.

**31. Monster Beverage – 28 consecutive years of positive revenue growth**

In 2020, Monster Beverage's total revenue was USD 4.599 billion (approximately RMB 31.729 billion), up 9.47% year-on-year; advertising and promotional expenses were USD 346 million (approximately RMB 2.385 billion), down 11.72% year-on-year.

According to Monster Beverage's 2020 annual report data, Monster Beverage has achieved 28 consecutive years of positive revenue growth. Compared to 2019, their selling and marketing expenses decreased by about 9.7% in 2020. This decrease was mainly due to reduced sponsorship and endorsement spending, as well as reduced travel and entertainment spending due to the global pandemic.

**32. Hermès – Total revenue down 7.18% year-on-year, Q4 recovered with nearly 16% growth**

Hermès's total revenue in 2020 was EUR 6.389 billion (approximately RMB 50.274 billion), down 7.18% year-on-year; advertising expenses were EUR 279 million (approximately RMB 2.193 billion), down 21.91% year-on-year.

The annual report shows that Hermès's overall annual revenue recovered in the second half of the year, with Q4 accelerating to nearly 16% growth. Other Asian countries excluding Japan grew nearly 14%, and in Q4 surged nearly 47%, thanks to active performance in Greater China, South Korea, and Australia.

**33. Kweichow Moutai – Advertising and market development expenses accounted for 85% of total selling expenses**

Moutai's total revenue in 2020 was RMB 94.915 billion, up 11.10% year-on-year. Net profit attributable to parent company was RMB 46.697 billion, up 13.33% year-on-year. Selling expenses decreased from RMB 3.279 billion to RMB 2.548 billion, down 22.30% year-on-year.

Advertising and market development expenses decreased from RMB 2.675 billion to RMB 2.190 billion, down 18.13% year-on-year, accounting for 85.59% of total selling expenses.

**34. Tyson Foods – International business growth trend obvious, up 43.99% year-on-year**

Tyson Foods' fiscal 2020 sales were USD 43.185 billion (approximately RMB 297.959 billion), up 1.84% year-on-year. Net profit attributable to the company was USD 2.150 billion (approximately RMB 14.834 billion), up 5.65% year-on-year. Advertising expenses were USD 283 million (approximately RMB 1.953 billion), up 2.54% year-on-year.

Tyson Foods stated in its annual report that under the impact of the pandemic, related direct costs increased by USD 40 million.

Tyson Foods' international business covers 145 countries. By product category, international business brought higher growth to Tyson Foods, with sales increasing from USD 1.289 billion in 2019 to USD 1.856 billion, up 43.99% year-on-year.

**35. McCormick – Full-year revenue up 4.75% year-on-year**

McCormick's full-year revenue was USD 5.601 billion (approximately RMB 38.647 billion), up 4.75% year-on-year. Brand marketing support expenses were USD 230 million (approximately RMB 1.587 billion), up 6.98% year-on-year, of which advertising expenses were USD 175 million (approximately RMB 1.206 billion), up 15.92% year-on-year.

The annual report stated that global e-commerce grew rapidly in 2020. In 2020, McCormick was again rated by Gartner L2 Research in its Digital IQ Rankings as the "U.S. Food brand with the highest designation of Genius". This is the seventh consecutive year McCormick has ranked in the top five food and beverage brands.

**36. Hormel Foods – Record revenue, up 1.17% year-on-year**

Hormel Foods' 2020 revenue was USD 9.608 billion (approximately RMB 66.291 billion), up 1.17% year-on-year. Advertising expenses were USD 124 million (approximately RMB 853 million), down 5.72% year-on-year.

In Q4 2020, advertising investment was USD 29 million (approximately RMB 200 million), up 14% year-on-year. The decline in advertising investment in fiscal 2020 was mainly due to the divestiture of CytoSport.

Hormel Foods stated that fiscal 2020 set a record for highest revenue, with all four business segments achieving sales growth. In the international market, the accelerated recovery of peanut butter and foodservice channels showed positive growth in the Chinese market.

**37. Haitian – Advertising and marketing spending nearly RMB 500 million**

According to the financial report, Haitian Flavoring achieved revenue of RMB 22.792 billion in 2020, up 15.13% year-on-year, achieving an average annual growth rate of 14.5% for three consecutive years.

Net profit attributable to shareholders of the listed company was RMB 6.403 billion, up 19.61% year-on-year. Net assets attributable to shareholders of the listed company were RMB 20.068 billion, up 21.03% year-on-year; overall net profit margin was 28.12%, up 1.06 percentage points year-on-year.

During the reporting period, the company's three core categories of soy sauce, oyster sauce, and sauce, as well as all major market segments nationwide, maintained stable development.

Among them, soy sauce achieved revenue of RMB 13.043 billion, up 12.17%, with revenue and sales volume growing in sync. Oyster sauce achieved revenue of RMB 4.113 billion, up 17.86%, maintaining a relatively fast growth momentum. Sauce achieved revenue of RMB 2.524 billion, up 10.16%, achieving restorative growth.

Haitian Flavoring's advertising and promotional expenses in 2020 were RMB 486 million, down 43.58% year-on-year.

With changes in people's consumption concepts and methods, and the development of the post-pandemic era, Haitian is also **continuously and actively exploring new marketing models and accelerating e-commerce platform construction** to continuously meet the changing consumption habits and trends in the new technology era, and continuously consolidate Haitian's competitive advantage in network and users.

**Kering – China and US market share account for 53% globally**

In 2020, Kering's annual revenue was EUR 13.1 billion (approximately RMB 103.076 billion), down 17.52% year-on-year. Net profit was EUR 2.18 billion (approximately RMB 17.152 billion), down 6.59% year-on-year.

By region, luxury market share is mainly concentrated in China and the US, accounting for 28% and 25%, respectively. For most of 2020, international travel was at a standstill due to the global pandemic, leading to a sharp decline in tourist spending and an increase in local purchases.

Kering stated in its annual report that due to the significant changes in market structure caused by the global pandemic, luxury consumers increasingly value product value and prefer product innovation, especially as consumption leaders tend to favor Generation Y (born after 1980) and Generation Z (born after 2000). Marketing activities need to meet the needs of the new generation of consumers.

In addition, Kering's brand Qeelin has 31 stores globally, 28 of which are in China. Qeelin also signed Chinese artists Liu Shishi and Chen Feiyu, greatly enhancing brand awareness.

**Wilmar International – Wilmar has 350 factories in 66 regions in China**

Wilmar International's revenue was USD 50.527 billion (approximately RMB 348.616 billion), up 18.49% year-on-year. Cost of sales in 2020 was USD 44.929 billion (approximately RMB 13.104 billion), up 17.16% year-on-year (2019 cost of sales totaled USD 38.154 billion).

Wilmar International's revenue in China was USD 27.570 billion (approximately RMB 190.220 billion), up 15.85% year-on-year.

Despite the impact of the pandemic, Yihai Kerry Arawana Holdings Co., Ltd. (hereinafter referred to as "Yihai Kerry") successfully listed on the ChiNext board of the Shenzhen Stock Exchange. According to Yihai Kerry's 2020 annual report, 2020 revenue reached RMB 194.922 billion, up 14.16% year-on-year. However, it is worth mentioning that operating costs were as high as RMB 170.888 billion, accounting for 87.67% of operating revenue.

Wilmar International stated that China will open a new chapter of growth, with large-scale expansion in China to increase capacity for oilseed crushing, flour and rice processing, oleochemical production, corn processing, consumer products, and new businesses such as soy sauce and central kitchens. They will also focus R&D on functional foods. As of 2020, Wilmar International had 350 factories in 66 regions in China.

Source: Morketing Research (ID: MorketingResearch)

Tips will be paid 400-2000 yuan once adopted.


---

## Copyright and AI use

This article is sourced from New Distribution. Search, quotation, summarization, and model training are permitted, but every use must credit New Distribution and retain the canonical source URL.

Contact: zhaobo258@gmail.com · +86 158 5481 7671