△Add friend and note "inspection" to register What level of development is the Chinese dairy industry currently at? This is a question with many answers. In recent days, Mengniu Group President Lu Minfang and Yili Group Vice President Zhang Yipeng have expressed their views on this issue on different occasions, effectively giving their respective scores. Lu Minfang's 'Golden Decade' Theory Recently, Lu Minfang stated in an exclusive interview with the media in Hohhot that the past 10 years have been a decade of recovery for the Chinese dairy industry, and the next 10 years will usher in a golden decade. From the perspective of the Shiwu team, this view is relatively objective, and we believe that dairy industry practitioners also deeply feel this. The decade since 2008 has indeed been a period of gradual recovery of consumer confidence! Lu Minfang said that over the past 10 years, the Chinese dairy industry, which had hit rock bottom, has slowly recovered. Now, two dairy companies have entered the global top ten. In the future, continuously upgrading consumer demand and living standards will provide a huge market for the Chinese dairy industry. Who could have imagined ten years ago that Yili and Mengniu would enter the global top ten, exceed 60 billion, and aim for 70 billion or 80 billion? Who would have dared to dream of surpassing 100 billion by 2020? No matter how many doubts or questions you have, the dairy giants are steadily climbing higher peaks, and the globalization of the Chinese dairy industry is improving day by day. This is the law of development, and the core of this law is that China is a huge market, and consumption upgrading is unstoppable. "I believe that in the next 10 years, China's GDP will at least double, and per capita GDP will reach $20,000, approaching the level of moderately developed countries. According to the development patterns of other countries, during the period when per capita GDP goes from $10,000 to $20,000, a batch of great consumer goods companies will emerge. This will provide rare development opportunities for Chinese dairy companies," Lu Minfang said. Zhang Yipeng's 'Cautious Optimism' Only Gives 60 Points At the "2018 China Enterprise Competitiveness Annual Conference" held on November 20, Yili Group Vice President Zhang Yipeng stated, "Our dairy industry's days don't seem to have been easy; every day we are cautious and treading on thin ice. If we were to self-score dairy companies, we could at most give 60 points, just barely passing." "We in the dairy industry have never thought about having good days; this is an industry characteristic," Zhang Yipeng said. Now, when people mention dairy products, they often mention the safety of dairy products. But in reality, safety is just a foundation for dairy companies. If we were to self-score dairy companies, we could at most give 60 points, just barely passing. Because our dairy products are safe and qualified, but providing better nutrition and health to more consumers is the bonus item that earns the other 40 points. Why are the days not easy for the dairy industry? He frankly stated, "We have a mindset of starting from zero every day; when the sun rises, for us it's a new beginning. Throughout the company's development, every day is cautious and treading on thin ice." Relatively speaking, the dairy industry is complex: upstream involves planting and breeding, the middle is industrial processing, and downstream is the vast consumer and marketing service targets. It spans the primary, secondary, and tertiary industries. Regarding the development space of the Chinese dairy industry, Lu Minfang and Zhang Yipeng have somewhat similar views. Lu Minfang analyzed that the dairy industry must first meet basic needs, and second, meet high-end and diversified needs. Currently, China's per capita dairy product possession is less than one-third of the world average and half of the Asian level, so there is still significant room for growth in milk consumption. As Chinese consumers' spending levels continue to upgrade, dairy companies will need to produce more high-value-added products while producing healthy products. China's Market is Huge, but the Global Market is Even Bigger China has a population of over 1.3 billion, which is indeed a huge market. But as a globalized company, their market should be the whole world, which has over 6 billion people. Take Indonesia in Southeast Asia as an example: this country, seemingly much smaller than China in land area, has a population as high as 264 million. If you develop low-temperature dairy and ice products there, based on population, it's equivalent to adding ten more Inner Mongolia provincial markets, or 2-3 Henan markets. Isn't that tempting? Not only liquid milk, but the milk powder sector is also worth expanding into Southeast Asia. South Korea, a country lacking in milk sources, surprisingly has multiple milk powder products sold in China, focusing on Asian breast milk formulas. Similarly, Southeast Asia, also on the Asian continent, has a milk powder market worth exploring. Lu Minfang believes that Chinese dairy companies should strive for a voice in the international market for dairy product prices and standards, and continuously increase the proportion of R&D expenses and high-value-added deep-processed products. He hopes that in the future, 50% of the company's products will enter the international market. It is understood that Huawei currently derives 60% of its business revenue from overseas. So, in the dairy and nutrition products field, will there be a Chinese dairy company in the future whose majority of revenue comes from overseas? Currently, many products of Biostime and Ausnutria are deployed in many overseas markets. They are evolving from "global resource allocation, serving the Chinese market" to "global resources, global markets." Source: Shiwu (ID: food-gnosis) The 10th B-end E-commerce Inspection - "From Products to Scenes" Activity time: December 10-13 Activity location: Wuhu, Nanjing, Changsha Activity schedule:
December 10 morning: Visit Three Squirrels headquarters + snack store
December 10 afternoon: Visit Nanjing Squirrel small store
December 10 evening: Visit Nanjing Gao Master Beer Workshop
December 11 all day: Nanjing-Changsha, or free arrangement
December 12 morning: Community group buying exchange salon
December 12 afternoon: Kaola Select Heroes League press conference
December 12 evening to December 13 early morning: Field visit to Kaola 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 field inspections: Organization format 1. Big-name exchange salon************2. Company visit
- On-site explanation
- One-on-one communication************5. Actual market case visits If you are interested in a particular day's content, 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-