--- title: "New Chinese-style beverages upgrade to break through, Panpan is becoming different?" description: "From a 'small bread memory' to a 'full-category leader', Panpan is injecting more dimensions into this answer through product innovations and supply chain upgrades. With its health-oriented, Chinese-style wellness positioning, Panpan Beverages is capturing consumers' attention in the 'light drinking' trend, achieving a compound annual growth rate of over 50% in 2024." author: "消研所" publisher: "New Distribution" email: "zhaobo258@gmail.com" telephone: "+8615854817671" published: "2024-12-16" language: "en" canonical: "https://xinjignxiao.com/en/articles/new-chinese-style-beverages-upgrade-to-break-through-panpan-is-becoming-06ec5f51/" markdown: "https://xinjignxiao.com/en/articles/new-chinese-style-beverages-upgrade-to-break-through-panpan-is-becoming-06ec5f51.md" original_source: "https://mp.weixin.qq.com/s/50RtdfeDF1eLZlWt38o5dA" translation: "https://xinjignxiao.com/zh/articles/%E6%96%B0%E4%B8%AD%E5%BC%8F%E9%A5%AE%E5%93%81%E5%8D%87%E7%BA%A7%E7%AA%81%E5%9B%B4-%E7%9B%BC%E7%9B%BC%E5%8F%98%E5%BE%97%E4%B8%8D%E4%B8%80%E6%A0%B7%E4%BA%86-06ec5f51.md" attribution: "New Distribution — https://xinjignxiao.com/en/articles/new-chinese-style-beverages-upgrade-to-break-through-panpan-is-becoming-06ec5f51/" usage_policy: "https://xinjignxiao.com/ai-policy.txt" --- # New Chinese-style beverages upgrade to break through, Panpan is becoming different? > From a 'small bread memory' to a 'full-category leader', Panpan is injecting more dimensions into this answer through product innovations and supply chain upgrades. With its health-oriented, Chinese-style wellness positioning, Panpan Beverages is capturing consumers' attention in the 'light drinking' trend, achieving a compound annual growth rate of over 50% in 2024. **Introduction:** From a 'small bread memory' to a 'full-category leader', Panpan is injecting more dimensions into this answer through product innovations and supply chain upgrades. **Source** | TrendMakers If more than 20 years ago, Panpan opened the breakfast cabinets of Chinese families with a bag of soft bread, today Panpan is bringing consumers new 'wellness moments' with bottles of innovative beverages. With 'Sanfang Siji' Sydney Pear and Loquat Drink entering Sam's Club, 'Coconut Beating' Salted Lime Sparkling Coconut Water landing in Costco, and 'Panpan Tea Shang Cha' Dahongpao entering Metro, **Panpan Beverages is gradually winning over consumers who focus on 'light drinking' with its health-oriented, Chinese-style wellness positioning.** Not only that, its sales figures are also impressive. According to official information, in 2024, Panpan Beverages' sales are expected to achieve a compound annual growth rate of over 50%. This nearly 30-year-old national food brand is now rapidly seizing development opportunities in advantageous categories within the fiercely competitive beverage market, playing out its own innovation rhythm. It is precisely this that made Panpan Food stand out in this year's Titanium Media EDGE AWARDS global innovation selection, winning the 'Annual Brand Upgrade Exploration Award'. From bread to beverages, from families to young people, Panpan's innovation is not a superficial 'cross-over', but a profound **brand revolution**, and a deeper insight and understanding of the market and consumers. ## **The 'light wellness' paradigm of 'medicine and food homology'** ## **Bringing national trend wellness one step closer** As the winter chill deepens, the topic of 'light wellness' is as hot as boiling water. From office wellness water to late-night rescue water, young people's wellness philosophy is sparking a new trend on social media. CBNData's 'Young People's Wellness Consumption Trend Report' shows that 90% of post-90s have realized the importance of wellness, and more than half have already taken action. Not just simple wellness, today's young people also favor 'national trend wellness'. According to Magic Mirror Market Intelligence data, **the 'medicine and food homology' market has reached nearly 23.4 billion yuan in sales over the past year, with a year-on-year market size growth of 22.3%.** It was precisely this market demand that Panpan Beverages tapped into when it launched its new autumn/winter wellness beverage **'Sanfang Siji' Sydney Pear and Loquat Drink** in October this year. 'Sanfang Siji' is a sub-brand of Panpan's wellness beverage series, integrating the profound concept of medicine and food homology, aiming to combine the changes of the four seasons to carry out 'Chinese-style wellness' blending and application, developing healthy Chinese-style wellness beverages. 'Sanfang Siji' Sydney Pear and Loquat Drink breaks the traditional image of Chinese-style wellness as heavy on medicinal taste and single in form, introducing 'light wellness' into daily consumption scenarios. By leveraging the natural lung-moistening and cough-relieving functional advantages of Sydney pears and loquats, combined with modern extraction and formulation techniques, it achieves an efficient and portable consumption experience, better fitting the needs of contemporary young people for wellness anytime, anywhere. Contemporary consumers' demand for wellness products is transitioning from 'treating illness' to 'prevention', especially among the younger generation, who do not want to sacrifice taste and convenience for health. Behind this trend is a comprehensive upgrade in health consumption concepts, and Panpan's innovation centered on 'light wellness' has precisely seized this opportunity. After the Sydney Pear and Loquat Drink was launched in Sam's Club stores nationwide, it achieved a 98% positive review rate in less than 2 months. Panpan's innovative breakthrough undoubtedly fills this gap. In terms of raw material selection, 'Sanfang Siji' Sydney Pear and Loquat Drink uses high-quality ingredients such as Sydney pears from Zhao County, Hebei, early-maturing loquats from Yunxiao, Fujian, and specially adds fresh white fungus from Gutian County, Fujian, giving the product good wellness benefits while providing a more moist, sweet, sticky, and fragrant taste. Moreover, Panpan deeply integrates Chinese-style wellness with modern trend culture through innovative packaging design and precise brand marketing strategies. From the simple and fresh visual design of the Sydney Pear and Loquat Drink to creating a 'light wellness trend' on social media, Panpan transforms wellness from serious to relaxed. This trend-oriented marketing strategy not only makes the product closer to young consumers' lifestyles but also injects more fashion elements into the Chinese-style wellness industry. The product continues to sell well on the Sam's Club app, with monthly sales currently reaching **over 100,000 units**, proving consumer affection for the product. It has successfully opened a brand-new market segment for Chinese-style wellness beverages and achieved comprehensive transformation from concept to market with strong channel capabilities and brand power. Panpan is proving through action that **Chinese-style wellness does not have to stay in the traditional market; it can also carve out a new path for modern consumers.** ## **Multi-category innovation** ## **Panpan's 'small bread memory' is no longer the whole story** Panpan's 'small bread memory' was once a symbol of childhood snacks for several generations, but today, this memory symbol is being redefined by Panpan. From food to beverages, through comprehensive expansion of its product matrix, Panpan is continuously breaking the stereotype of being a 'classic small bread' brand, showcasing a brand-new 'diverse Panpan'. Panpan Beverages' innovation is not limited to launching new flavors or categories but precisely cuts into market consumption trends, continuously amplifying the brand's competitive advantages. For example, the 'sugar-free tea' that has become popular in recent years; the rise of this category exactly caters to the new generation of consumers' demand for 'low sugar, low calorie, healthy' diets, especially against the backdrop of a surge in demand for guilt-free beverages among the younger generation. According to industry data, in 2023, China's sugar-free beverage market size exceeded 20 billion yuan. Panpan launched **'Tea Shang Cha' Dahongpao Sugar-Free Tea** in this track, offering higher concentrations of tea polyphenols than similar products, with tea polyphenol content ≥600mg/kg, forming a sugar-free tea product with greater health benefits. Through high-quality raw materials, precise market positioning, and wide-reaching sales channels, Panpan quickly carved out a place and became one of the potential players in the domestic sugar-free tea category. In addition, Panpan's **'Salted Lime Sparkling Coconut Water'** also demonstrates its keen sense of emerging beverage market trends. In recent years, the sparkling beverage market has continued to heat up, with consumers shifting from simply pursuing 'good taste' to 'functional + health' attributes. Panpan combines the stimulating sensation of sparkling water with the health attributes of coconut water, with Thai aromatic coconut water content exceeding 80%, and adds a unique salted lime flavor for fun, precisely hitting the 'Gen Z' consumers' pursuit of innovative tastes. If sugar-free tea and salted lime sparkling water represent Panpan's innovation in the young people's beverage track, then the **'Five Black Milk' and 'Rice Milk'** under Gana Food, a subsidiary of Panpan Food Group, highlight Panpan's profound insight into the trend of combining tradition and modernity. 'Five Black Milk' and 'Rice Milk' use traditional wellness ingredients such as black rice and rice, and through enzymatic hydrolysis technology developed with Jiangnan University, create plant-based protein beverages with a richer taste. Against the backdrop of consumers' increasing attention to health value, products like these, which have both the emotional connection of traditional food culture and the quality assurance of modern technology, transform 'Oriental grains' into innovative beverages that suit modern tastes, easily forming competitiveness in niche markets. Behind the success of Panpan Beverages' multi-category innovation is its deep insight into consumer groups and market trends. Overall, health, diversification, functionality, and scenario-based consumption have become the four core trends in China's beverage market. Health is the basic threshold for new consumption; diversification means brands need to meet the needs of different age groups, scenarios, and tastes; functionality echoes consumers' expectations for added value in beverages; and scenario-based consumption enhances the social attributes and usage scenarios of beverages through product design and marketing, further increasing consumer stickiness. Panpan Beverages is precisely using these trends as entry points, covering market demand through different product types one by one, achieving a transformation from a single category to a full-category strategy. It can be said that Panpan is **reshaping the question of 'who is Panpan' through multi-category innovation**. From 'small bread memory' to 'full-category leader', Panpan is injecting more dimensions into this answer through product innovations and supply chain upgrades. At the same time, it also shows the market how an established food company can break free from outdated labels and forge a new path for classic brand rejuvenation in the new consumption era. ## **The confidence of Panpan Beverages: Supply chain and technological innovation** ## **'Double insurance'** 2024 is an extremely special year. In the first three quarters of this year, China's total retail sales of consumer goods increased by 3.3% year-on-year. Facing the challenges of the stock era, most consumer categories are under increasing pressure, yet Panpan Beverages' performance has maintained counter-trend growth, continuously launching multi-category innovative products. This is thanks to its two 'moats' of supply chain and technological innovation. From raw material procurement to production processes, Panpan Beverages' supply chain management system is highly refined. For example, in the selection of raw materials for sugar-free tea, Panpan Beverages insists on cooperating with Wuyi Mountain tea production areas in China, strictly selecting raw materials with high-quality tea aroma and stable taste. For plant-based protein beverages like rice milk and five black milk, it also carefully arranges the upstream supply chain to ensure stable supply of core raw materials such as black sesame, black beans, and high-quality rice. On this basis, Panpan Beverages has also built coconut raw material bases in Thailand and Indonesia, through a global supply chain depth layout, closely integrated with product R&D, controlling raw material quality and high-quality supply from the source. Through this full-chain control, Panpan not only ensures product quality stability but also lays a solid foundation for large-scale production. **The supply chain provides Panpan with a stable foundation, while technological innovation injects momentum for continuous breakthroughs.** A bottle of beverage also contains the fruits of industry-university-research cooperation. In recent years, Panpan Beverages has carried out extensive cooperation with domestic and foreign universities and research institutions, transforming more scientific research results into practical applications. For example, to further achieve fat and sugar reduction in beverages, Panpan Beverages cooperated with the Coconut Research Institute of the Chinese Academy of Tropical Agricultural Sciences to jointly develop low-calorie coconut milk products; it also cooperated with Jiangnan University to develop 'biological enzymatic hydrolysis technology', transforming plant raw materials into forms more easily absorbed and utilized by the human body, better meeting consumers' demand for healthy beverages. Through close cooperation with universities and research institutions, Panpan Beverages continuously promotes the innovative application of new materials and formulas, accelerating the innovation and upgrade of its own categories and products. In the light wellness track, Panpan also cooperates with the time-honored Chinese brand 'Tong Han Chun Tang' to co-create more Chinese-style wellness products. One is a major national brand, the other is a time-honored Chinese brand; their cooperation will explore the deeper concept of 'medicine and food homology', spark more creative ideas, and launch more diversified, healthier, and more delicious Chinese-style wellness products. Of course, it's not just the beverage business; Panpan Food also has new moves. By launching multiple low-GI series products such as Lingxian low-GI nutritional European bread and low-GI sugar-free oat high-fiber biscuits, Panpan meets consumers' needs for healthy eating from food to beverages. This is also the dual responsibility of the brand and the market. In 2024, Panpan won the 'Annual Brand Upgrade Exploration Award' at the Titanium Media EDGE AWARDS for the outstanding performance of its multiple innovative products, not only confirming the success of its multi-category layout but also revealing the infinite possibilities for traditional brands to transform towards modernization and rejuvenation. As Cai Peng, General Manager of the Beverage Division of Panpan Food Group, said, Panpan Beverages is the second growth curve of Panpan Food. They will innovate to create products that go from 'quenching thirst' to 'drinking health', to meet consumers' continuous pursuit of health, nutrition, and wellness. **Panpan is not staying in the memory of that 'small bread' but is redefining its brand image in consumers' minds through a richer and more innovative product matrix.** With its continued efforts in the health and wellness track, we have reason to believe that the future market will see an even more 'different' Panpan. (This article was first published on Titanium Media APP, author: TrendMakers) --- ## 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