△Add friend and note "inspection" to register In 2010, the annual revenue of China's condiment industry was only 150.6 billion yuan, but by 2017, the total revenue of the condiment industry had reached 332.21 billion yuan. In just a few years, the data grew 2.2 times. From the growth data of the condiment industry and the annual revenue growth of the catering industry, it is clear that the condiment market is a market with visible potential and continuous growth. As the most traditional FMCG industry, the condiment industry has always been in a state of "indigestion" towards e-commerce. Kantar China observation data shows that regardless of province, city, or district, online shopping accounts for less than 5% of condiment purchase channels. However, before the condiment industry had time to integrate into the e-commerce era, a new concept, "new retail," was proposed. With major internet giants racing to expand their territories, the new retail era has suddenly arrived (Alibaba launched "New Retail," and JD.com launched "New Pathways"). Taking vinegar as an example, the market price of vinegar is generally around 2-5 yuan, and consumers mostly choose to buy it from nearby convenience stores. For such low-priced goods, if shipped by express, the logistics cost might not even be recovered. However, in recent years, data from channel distributors shows that low-priced vinegar is gradually exiting the market, and vinegar priced above 6 yuan is slowly becoming mainstream. Brands like Haitian and Hengshun in the vinegar industry have raised prices. Additionally, Lee Kum Kee, a soy sauce brand that entered the vinegar industry relatively late, has set vinegar prices at around 8-11 yuan from the start. Interestingly, Lee Kum Kee's first sales channel is not the supermarkets or catering enterprises it relies on, but online channels like Taobao and Tmall. From this perspective, in the condiment industry, from bottom to top, the catering industry is not only a major customer of condiments but also a channel distributor. From top to bottom, the condiment industry is also undergoing self-reform in sales channels, such as: on the C-end, it has achieved bypassing channel distributors and catering enterprises in the sales path, directly reaching consumers through logistics, while on the B-end, it bypasses channel distributors to directly connect with large catering enterprises.
Focusing on the present: industry trends in condiments
1. From the past dominance of single products to the explosion of segmented categories
With the increase in per capita income, people's dietary requirements have become more refined, and the awareness of using different condiments in cooking methods has also strengthened. Taking soy sauce as an example: the market offers light soy sauce, dark soy sauce, umami soy sauce, steamed fish soy sauce, etc. Each has its specific use: umami soy sauce for dipping and cold dishes; dark soy sauce for braising; steamed fish soy sauce for steaming fish. In recent years, the proportion of households with more than two bottles of soy sauce has been increasing, and this type of soy sauce is growing the fastest, while the consumer base for ordinary soy sauce with poorer flavor and lower price is gradually shrinking.
2. The chaotic iteration in the condiment industry
Just as Laoganma is being challenged by brands like Fanye and Danye in the high-end chili sauce segment, the mid-to-low-end chili sauce market is a red ocean. In the new era, whether to change or not, innovate or not, and then how to innovate and how to change, may be a crisis for condiment giants. Similarly, under the new retail, new catering, and new consumption formats, this will also be the winning opportunity for new condiment brands to turn around and enter the market. For example, in oyster sauce, Lee Kum Kee targets high-end catering enterprises and household consumption. Before 2000, Haitian, which made soy sauce, directly launched a half-baked product to fill the gap in the mid-to-low-end market before solving the problem of oyster sauce liquefaction. After 2000, Haitian finally solved the liquefaction problem, and low-priced Haitian oyster sauce underwent a product quality upgrade. Lee Kum Kee saw this move and quickly followed, launching mid-to-low-end oyster sauce sub-brands like "Dachulai" and "Jinzhen Oyster Sauce." Although sales were excellent, the indecisive Lee Kum Kee felt that launching mid-to-low-end products would damage the high-end image it had always cultivated, and thus stopped these two products within less than six months. But Haitian seized the opportunity and became famous in one fell swoop. In the condiment market, products will never be eliminated; what is eliminated are brands that cannot keep up with market demand. The era of consumption upgrade means a consumption ecosystem where individuality is fully released. A unique packaging can attract attention, but higher-quality products and better, more convenient consumption experiences are the core essence of retaining consumers and increasing repurchase rates. How to win the market in the new retail era? How to make good products? These are questions that business operators in this industry must think about every day. The 10th B-end E-commerce Inspection - "From Product to Scene" Event time: December 10-13 Event location: Wuhu, Nanjing, Changsha Event schedule:
December 10 morning: Visit Three Squirrels headquarters + snack store
December 10 afternoon: Visit Nanjing Squirrel small store
December 10 evening: Visit Nanjing Gao Dashi Beer Workshop
December 11 all day: Nanjing-Changsha, or free arrangement
December 12 morning: Community group buying exchange salon
December 12 afternoon: Koala Select Heroes League press conference
December 12 evening to December 13 early morning: On-site inspection of Koala Select logistics center - This time period is the peak warehouse sorting period, allowing direct observation and learning of the backend operation process of community group buying e-commerce Distributor friends who are interested are welcome to join us to learn and conduct on-site inspections: Organization format 1. Big-name exchange salon************2. Company visit
- On-site explanation
- One-on-one exchange************5. Actual market case visit Friends who want to participate If you are interested in the content of a specific day, you can register separately Long press this QR code or click "Read Original" to register with one click! Add friend and note your intention -END-