Before red-fleshed apple juice appeared, red-fleshed apples held an awkward position in China. They look beautiful, with bright red skin and flesh. But this beauty failed to impress most Chinese consumers. Their high acidity and dry texture kept them from gaining popularity, and they weren't the 'common apple' familiar to Chinese consumers. When Hema Fresh turned them into juice, they became a 'sell-out king' that consumers set alarms to grab. During the red-fleshed apple juice season from November 2023 to April 2024, sales surged 400% year-on-year. After repeated consumer requests, Hema expedited production of new red-fleshed apples in March this year, and they sold out again upon restocking.[1] Hema HPP Red-Fleshed Apple Juice Image source: Hema This isn't the first time Hema has created a hit juice drink. Its 'Bitter Melon, Bitter or Not' vegetable-fruit juice and 'Small Hanging Pear Soup' plant-based drink once became hot topics on social media. Hema isn't the only one creating hits in the juice drink category. Offline channels like Sam's Club, Pangdonglai, and Yonghui, as well as community fresh food platforms like Dingdong Maicai, Pupu, and Meituan Maicai, have also joined the ranks of developing private-label juices. Pangdonglai's orange juice, peach juice, and mango mixed juice are among the high-popularity products consumers often recommend on social media; Yonghui's small green lime juice, which sells over 500,000 bottles per month, broke 100,000 bottles in its first week; Sam's Club's NFC pomegranate juice was restocked, and creators on short-video platforms like Douyin made multiple videos to spread the word; Pupu's private label Youci launched several HPP juices priced at 13.9 yuan per liter, receiving praise from many consumers on social platforms. Behind these frequent hits from channel private labels are major juice manufacturers. Huiyuan and Yonghui jointly launched private-label juices, while Leyuan and Weiguqing, which have深耕 the juice track for years, began customizing private-label juices for channels like Hema, Pangdonglai, and Metro. In this process, private-label juices have achieved 'decentralization,' gaining unique advantages in category richness and pricing systems. Retailers' private-label juices are rising fiercely with a wide variety. How do they conquer consumers in such a short time? What's the unique code for channel private labels to create juice hits? You'll find answers in this article. Private Labels Making Juices: Some Brands See Sales Growth Over 300% Some Brands Account for Up to 60% of Sales "The fruit I dislike most is actually apples, but I really love this apple juice." "Has anyone bought Hema watermelon juice? It's perfect when chilled, and it saves the hassle of cutting watermelon." "It's very pure, like freshly squeezed vegetable-fruit juice. It's the same as what supermodels drink, perfect for someone like me who doesn't like vegetables." These three reviews from Xiaohongshu talk about Dingdong V5 apple juice, Hema watermelon juice, and Pupu's kale compound vegetable-fruit juice. All three are made by channel private labels, and there are many more private-label juices that have received similar praise. In the past two years, when consumers talk about juice, they mention not only products from beverage companies like Huiyuan, Uni-President, and Nongfu Spring, but also more and more channel names. Consumers may not be able to name each channel's private label, but they often call them Hema juice, Pangdonglai juice, Dingdong juice... Beyond sparking more discussions on social networks, these private-label juices have also achieved sales results. Yonghui Youxuan Juice Image source: Xiaohongshu Hema's hit red-fleshed apple juice saw sales surge 400% year-on-year during the November 2023-April 2024 season[1]. According to the '2023 Hema District Consumption Report,' Hema's HPP vegetable-fruit juice sales grew 100% year-on-year, with online orders accounting for over 50% and repurchase rates rising, indicating consumers are actively searching for and purchasing specific products. Yonghui's snack private label 'Chan Da Shi' launched a new small green lime juice drink, which sold over 100,000 bottles in just one week[2]; during the 2024 Spring Festival, Yonghui Supermarket's private-label sales exceeded 100 million yuan; pure juice became the best-selling beverage category, with sales growing nearly 60%.[3] Yonghui's Chan Da Shi Small Green Lime Juice Image source: Xiaohongshu @吃点好的 Pangdonglai's private label DL also has multiple juice products, including tomato juice, grape juice, and apple juice, which are bestsellers. The tomato juice even gained attention due to news of 'a woman monopolizing a cart of juice at Pangdonglai and charging a transfer fee.' Because of its popularity, Pangdonglai's private-label juice has implemented a purchase limit—two boxes per person. According to the founder's plan, Pangdonglai's private-label products will have at least several items with sales reaching 500 million to 1 billion yuan.[4] Fujian's community supermarket Yuanchu SUNGIVEN FOODS launched the hit product coconut water, with private-label sales accounting for 50%-60% of the company's total.[5] Many community fresh food platforms have also launched their own private-label products. Meituan's Xiaoxiang Supermarket and Meituan Maicai private labels have launched multiple juice products; Dingdong Maicai's brand V5 has launched kale mixed vegetable-fruit juice, grape juice, and more; Pupu's private label Youci offers 1L packaged juices priced under 20 yuan, with reports showing Youci's HPP series sales growth exceeding 300%[6], and Pupu's private-label sales accounting for about 25%.[7] Pupu's Private Label Youci Juice Products Image source: Pupu Research has found that chain retailers are often more successful in creating private labels due to economies of scale. With increasing demand for private labels, retailers can enjoy lower packaging and inventory costs, as well as more favorable supplier prices.[5] In China, the growing juice market has also become one of the main directions for retailers' private-label efforts. According to Kantar Consumer Index data, China's juice market grew 24% in 2023[9], and major beverage companies saw sales growth in their juice categories in 2023. The natural attributes of 100% juice are attracting more health-conscious consumers. The '2024 China Shopper Report' shows that concepts like NFC juice and 100% juice are replacing traditional low-concentration juices, driving consumer upgrades. These premium juices saw sales growth of 40% in 2023, pushing the average price of the juice category up by 8.9%. Seeing this change, retailers' private labels have increased their focus on the juice category.[10] Yonghui Youxuan Juice Sold in Stores Image source: Huiyuan Hema is developing products based on consumer changes. Xiao Qi, Hema's retail brand juice drink R&D buyer, revealed that Hema began cooperating with Weiguqing, one of China's earliest HPP vegetable-fruit juice companies, in 2020 to launch HPP juices, which have now grown into one of Hema's main product lines. 'We designed subcategories within our category based on consumers' purchasing paths.'[11] With retailers entering, original logistics costs are shared by channels, making private-label pricing more friendly. Weiguqing General Manager Niu Li said that in terms of pricing, products cooperating with retailers are two-thirds cheaper than before. 'Previously, we had to use foam boxes, cartons, and bags for transportation, plus next-day cold chain delivery, which cost 7-8 yuan per bottle.'[11] Weiguqing Celery Juice Image source: Weibo @维果清VCLEANSE Also focused on the juice track, Leyuan Health, founded in 1998, is also active in cooperating with retailers to launch private-label products. Zheng Tongjian, Vice President and Marketing Center General Manager of Leyuan Health, said: 'The next step for China's retail industry will definitely develop towards private labels, and there is still great market potential in the future.'[12] Zheng believes that in the traditional chain, products go through brand owners, manufacturers, and channel distributors before reaching consumers, and the price increases at each level, deviating from the essence of business. Therefore, retail enterprises must move towards the backend and supply chain.[12] In 2017, Leyuan Health formulated an ODM private-label strategy, starting from retailers and cooperating with channels like Pangdonglai, Hema, Yonghui, and Metro. Leyuan Health's Cooperative Juice Series Products Image source: Dingdong Maicai, Yonghui, Haidilao It launched a 50% juice series and a 100% FC juice series for Pangdonglai; the NFC juice series for Hema has maintained an annual sales growth rate of over 25%; it strategically cooperated with Yonghui Supermarket to launch small green lime juice drinks; it also customized large-capacity juices for Metro, attracting family and corporate group purchase markets; online, it cooperated with Tmall to launch 'Miao Manfen,' and with Pupu Supermarket, JD Daojia, and Meituan Maicai; in the catering channel, it customized small green lime juice for Haidilao and launched juice-flavored coffee with Peet's and Costa.[13] Fast Response, Wide Variety: Private Labels Turn Persimmons, Watermelons, and Kale into Juices At that time, imported prune juice prices doubled due to supply shortage. Douyin influencer Zhang Mofan wanted to create a domestic juice and found Huiyuan for cooperation. That month, Huiyuan found prune raw materials in Jiashi, Xinjiang, and urgently shipped them to a Shandong factory for R&D and testing of 100% prune juice. A month later, Huiyuan launched the first domestic NFC prune juice, selling out Xinjiang prunes in one month.[14] In this story, Zhang Mofan saw the sales potential of prune juice and found a brand/supplier capable of producing it. This process is very similar to how retailers create private-label juices. In this process, the channel becomes a 'live streaming room' facing consumers directly, and private labels with established cooperation processes with factories can create more 'prune juice' hits. Huiyuan and Zhang Mofan Launch Prune Juice Image source: Huiyuan Juice Official Weibo In juice products, speed and variety have become two major characteristics of private labels. Whether it's Hema, which started private-label juices in 2020, or Pupu, which only began focusing on private labels in 2024, both currently sell around 40 types of vegetable-fruit juice drinks on their apps, including many categories rarely seen in channels before. Speed is reflected in the response speed of private labels. Last year, Heytea's 'Champion Slimming Bottle' sold over 10 million bottles in just one and a half months.[15] The popularity of this drink attracted the attention of many private labels. Soon, Dingdong V5 launched a kale mixed vegetable-fruit juice; Youci launched a 100% HPP kale compound vegetable-fruit juice; Hema also launched an NFC kale mixed vegetable-fruit juice. Dingdong, Pupu, and Hema Private Label Kale Compound Vegetable-Fruit Juices Image source: Xiaohongshu In addition to responding quickly to the market, private labels also adjust quickly to local conditions, with fast response and decision-making speeds. After Hema's private label launched 'Meteor Melon Juice,' consumers said it was too sweet. Hema then communicated with the Shandong base to harvest the melons earlier, adjusting ripeness to reduce sugar content. The new batch of HPP Meteor Melon Juice had a sweetness level 1.3 degrees lower.[16] Meteor Melon Juice Image source: Hema Due to rain and snow at the beginning of this year, seedlings of 'Texiaofeng' watermelons in Dongtai, Jiangsu, were damaged. After replanting, their market time was delayed by a month, missing the peak sales season, and they faced a sales deadlock. Channel private labels turned these unsold fruits into juice, giving fruits and vegetables more possibilities. After learning about the Texiaofeng watermelon sales deadlock in May, Hema cooperated with partner Weiguqing to purchase about 300 tons of local Texiaofeng watermelons, transported them to a factory in Jiading, Shanghai, and processed them into HPP Texiaofeng watermelon juice for sale. Thus, watermelons, which are difficult to store and have a short sales period, quickly became 'liquid watermelon,' with a shelf life extended to 21 days.[17] Xiao Qi said: 'We now sit together with the fruit department. The fruit department has strong sourcing capabilities. They will be the first to know what fresh or niche fruits are available on the market today, and whether any of them could be made into juice.' Now, in Hema's internal fruit grading system, in addition to commodity fruits, there is also a category for juicing fruits.[11] From the speed of changing the sweetness of Meteor Melon Juice to the speed of launching Texiaofeng watermelon juice, we can see the 'speed' of private-label juices. At the same time, these two juices are also epitomes of the 'variety' of private-label juices. Texiaofeng Watermelon Juice Image source: Hema Before private labels started launching juices, it was difficult for consumers to buy packaged watermelon juice in supermarkets and other channels because watermelon, a heat-sensitive fruit, changes flavor when sterilized at high temperatures. To meet consumers' diverse juice needs, private labels have also adopted HPP low-temperature ultra-high-pressure sterilization technology to launch HPP juices. This processing method suits fruits like watermelon, and new technology has made many bottled juices possible. Not only watermelons but also persimmons, melons, and bitter melons have been put into bottles through new processes, transforming into bottled juices. The variety of bottled juices has become increasingly rich with the entry of private labels. Pupu's 100% persimmon compound vegetable-fruit juice combines two types of persimmons with pear juice, apple juice, and coconut water to create a persimmon flavor. Pupu also launched a compound nut drink with avocado content ≥25%, which is rarely seen in bottled drinks, a berry juice made from three red berries, and Yulu Xiang pear juice; Yonghui's private label Chan Da Shi also launched the healthy drink lotus seed juice; Hema launched big red watermelon juice, Meteor Melon Juice, pineapple juice, and 'Bitter Melon, Bitter or Not' vegetable-fruit juice. Youci Persimmon Juice Image source: Pupu Returning to Business Essence: Private Labels Seize Opportunities Turning Juice into New 'Happy Water' 63% of respondents said they would reduce unnecessary spending on food and beverages, up 18 percentage points from a 2019 survey; 50% said they would downplay their awareness of big brands and not have high brand loyalty; 38% have already taken action by choosing more private labels, up 10 percentage points from the 2019 survey.[18] 'Some brand companies may think private labels are about low cost and low price. But that's not the case. Private labels are more about value—consumers transfer their trust in the platform to the platform's products. That's why good platforms are more likely to launch private labels. This is one of the trends we consider important.'[18] Private Labels Accelerate Growth Image source: Guest Presentation Slides Daman's private-label consumer research in the U.S. shows that young consumers have a significantly higher preference for private labels than other groups, both in penetration and willingness to try. In China, Daman found that new private-label products targeting Gen Z have increased significantly in both quantity and categories.[19] Consumers' trust in platforms allows platform-launched private-label products to complete consumer market awareness cultivation faster. Weiguqing, the supplier that creates HPP juice series for Hema, has been developing HPP vegetable-fruit juices for years. Before cooperating with Hema, its target consumers were very niche, with its early cold-pressed vegetable juice priced as high as 50 yuan per bottle, and product scale was small. But these high-end juices have also changed after cooperating with mass channels. In 2020, Hema began cooperating with Weiguqing on HPP juices, accelerating the 'landing' of these high-end juices and lowering their prices. Niu Li said that after Weiguqing cooperated with retail KA channels, the company transformed from a 'small and beautiful' brand to a mass-market one.[11] HPP juice products have also moved towards the mass market, with more and more private-label juices offering not only NFC juices but also HPP juices that require stricter transportation conditions. Channel Entry Accelerates HPP Juice Market Availability Image source: Hema At the same time, retailers have also benefited from the dividends of new products, with HPP juice sales in Hema channels growing for two consecutive years.[11] Private labels not only shorten the time for products to appear before consumers but also lower prices, making them more popular. Take Pangdonglai as an example: a 1L bottle of juice sells for 13.5 yuan, and these juice products are often sold out in its Douyin and WeChat mini-program online stores. This aligns with Zheng Tongjian's view that the emergence of private labels reflects a return to the essence of business—the essence of business is to provide consumers with the best products, the shortest links, and the best prices.[12] Juice Products Co-created by Leyuan and Pangdonglai Image source: Leyuan In addition to compressing intermediate links and providing consumers with quality products at good prices, private labels have also discovered the growth potential of juice products. A Hema representative said that Hema's private-label fresh juice series is currently divided into two categories: juice and vegetable-fruit juice. Juice mainly targets young consumers and has a certain 'happy water' attribute; vegetable-fruit juice is a long-term key product line, focusing on reducing sugar and balancing nutrition, targeting people with healthy eating needs, such as busy office workers who can use vegetable-fruit juice to balance their diet and supplement VC, chlorophyll, etc.[20] Vegetable-fruit juice, compared to the growing number of sugar-free products, inevitably contains fructose and can't catch up with the sugar-free trend. But compared to traditional sparkling drinks, consumers still have a natural association that these products are beneficial to health. Sweeter than sugar-free tea and more natural than soda has become the unique positioning of vegetable-fruit juice products. When consumers want both health and enjoyment, vegetable-fruit juice products have more room for growth. Hema HPP Vegetable-Fruit Juice Image source: Hema The '2024-2029 China Juice Beverage Industry Market Demand and Key Enterprise Investment Evaluation Research and Analysis Report' shows that China's juice beverage market will exceed 150 billion yuan in 2024, a year-on-year increase of about 15%. A Fortune Business Insights report shows that the global cold-pressed juice market was $1.24 billion in 2023, expected to grow from $1.32 billion in 2024 to $2.28 billion by 2032, with a compound annual growth rate of 7.05% during the forecast period. It's also about using consumer recognition to 'drive sales,' but the difference is that private labels go one step further. They use consumers' trust in the platform to 'endorse' private-label products, establishing a system that supports decision-making with multiple data dimensions such as sales and discussion, combined with the platform's fruit sourcing capabilities, to more efficiently create juice products with 'happy water' attributes. References: [1] Riri, Sales Surge 400%! Exclusive Reveal: The Story Behind Hema's 'Sell-Out King' Red-Fleshed Apple Juice, First Publicly Disclosed, May 31, 2024, FBIF Food & Beverage Innovation [2] Yonghui Enters Lemon Drink Track, Chan Da Shi Small Green Lime Juice Launched, January 19, 2022, Donews [3] Zhao Shuping, Hu Jingrong, Fruits and Drinks Popular, Yonghui Supermarket Spring Festival Private-Label Sales Exceed 100 Million, February 20, 2024, Beijing Business Today [4] Chen Mo, 14.6 Billion! Pangdonglai's Latest Performance Exposed, New Self-Operated Products Sell Out Instantly!, November 28, 2024, Food Board [5] '2023 China Supermarket Private Label Case Report' [6] Sales Up Over 300%, Pupu HPP Juice Series Continues to Expand, November 27, 2024, Professional Retail Network [7] Yunqi Jushi, Fresh Food Front-Warehouse Track: Pupu, Dingdong, Xiaoxiang—Who Will Have the Last Laugh?, December 24, 2024, New Retail [8] Review of Research on Private Label Development of Domestic and Foreign Retailers, 2012 [9] Kantar Consumer Index [10] Peiji, From Stagnation to Growth: What Changed the Fate of Chinese Juice? September 6, 2024, FBIF Food & Beverage Innovation [11] Zhu Ruomiao, Niche HPP Juice Enters Mass Consumption, June 27, 2024, Narrowcast [12] Exclusive Interview with Leyuan Health: The 'Big Boss' Behind Pangdonglai and Hema's Private-Label Juice Brands, June 4, 2024, Nashi [13] Feng Yao, Leyuan Health: Dual-Wheel Drive Strategy Under the Transformation of FMCG Distribution Models, March 30, 2024, New Distribution [14] Sage, Prunes 'Hot,' Brands 'Full,' January 29, 2024, FBIF Food & Beverage Innovation [15] Exclusive Interview with Heytea: How to Make 'Super Plant Tea' the New Sales Champion?, October 25, 2024, Foodaily [16] HPP New Technology Rescues Unsold Watermelons, Hema Relieves 600,000 Jin of Unsold Watermelons in Jiangsu [17] Liu Minxia, Hema Conquers 'High-Cold Juice,' June 14, 2024, Consumer Titanium [18] Dole Changhong: Consumption Volume Can't Keep Up, Where is the Future of Chinese Juice?, July 19, 2023, FBIF Food & Beverage Innovation [19] 2023 China Retailer Private Label Top Ten Development Trends Released, Behind These Categories Lie the Best Annual Growth Opportunities, January 29, 2023, Daman Retail Observation [20] Juice is More Expensive, So It's More Popular?, November 28, 2024, China Newsweek 【New Order·Symbiosis】 ****The 10th China FMCG Innovation Conference Time: March 17-19, 2025 Location: Chengdu, China