The milk battle in China

The State Administration for Market Regulation released a new version of the food production licence catalogue, which added a new category of milk: “High-temperature sterilised milk”.

The threshold became lower. Japan’s Meiji, Mengniu, Sanyuan, etc are all on discounts in the supermarkets so as to win a place in the dairy market. The current price competition is a good piece of news to the consumers, but absolutely not for dairy companies. In the long run, whoever can build a product matrix can be the winner.

For example, L’Oréal has brands such as Maybelline, Lancome, La Roche-Posay, etc. The advantage is that after the expiration of the patent of Pro-Xylene, they can also use this patent on other popular brands while introducing a new ingredient to the market. Diary brands! Act now, not later.

Who can win a place in DUOYIN? Ordinary anchors, CEOs, or Celebrities?

In 2020, professional anchors joined the e-Commerce live cast festival as well as celebrities and CEOs such as Zheng Shuang, Luo Yonghao, the founder of Smartisan.

On September 19, the CEO of Mia, Liu Nan, made her first live show on Douyin. According to the official report released by Mia, the number of online users exceeded 76,000 RMB and the transaction volume exceeded 280,000 RMB. No doubt that Liu Nan is better in popularity and traffic than ordinary anchors. Liu Nan’s broadcast debut with the theme of “Nan’s Good Things” won a good start. Most importantly, the long-term accumulation of brand management and the self-built supply chain provided the fundamental basis for Liu Nan’s success in this live broadcast.

As more and more celebrities join the live streaming team, how to voice your own unique set of styles in this highly competitive live streaming market is the key.

MINISO – The 10 Yuan shop will be soon listed.

MINISO was be soon listed. The overseas revenue is nearly 30%, and the gross profit margin is over 30%.MINISO, a lifestyle product retailer, offering household goods, cosmetics, and food at affordable prices.

They have opened more than 4,200 stores in over 80 countries. Their brand strategy is to maintain everything at a low price. In order to maintain their price advantage in 80 countries, they have continued to control costs from upstream suppliers by using the F2C model (the goods from the factory are direct to sales).In February, under the influence of COVID 19, their stores were temporarily closed. Surprisingly, they expanded its global store opening. Ye Guofu, the CEO of MINISO, said that there were a large number of high-quality properties with good locations and low rents, creating massive opportunities for MINISO.

We anticipate that consumers will be more careful about consumption, consumption will return to the necessity at a good price. MINISO will become a mega-success due to this market opportunity.

As an professional Chinese marketing agency, Comms8 consistently watching the marketing activities in China market. If you have any marketing inquiry, feel free to call our expert!