According to the Chinese Dietary Guidelines published by the National Health and Family Planning Commission of the People’s Republic of China, Chinese people are recommended to have a nutritious and balanced breakfast containing high levels of protein and lots of fibre and vitamins. This concept, together with the boom in internet retailing, has made granola and muesli a wise option for Chinese people to get all the nutrition they need for breakfast.
Women are naturally a big consumption group for breakfast cereals, partially thanks to their desire to stay slim whilst yearning for snacks. If they start a family, they most often are the main purchasers of family food, making them even more important to cereal companies, which, therefore, have strived to release new products with prettier packaging and more woman-friendly flavours.
Nowadays in China people are paying more attention to their health, especially when the number of people with diabetes, high blood pressure and high blood cholesterol keeps soaring every year and pressure at work thanks to modernisation increasingly leads to intestinal problems amongst city workers. Therefore, oats with lower sugar and high fibre content are becoming increasingly popular.
Guilin Sea Mild Biology Technology Development initiated an IPO in late December 2017, intending to raise CNY400 million to expand its capacity and promote its brand. On the one hand, this family-owned company has been present in the Chinese marketplace for over 24 years and has gained wide recognition from Chinese customers, whereas its investment in research and development has been next to nothing.
After years of exploration in the Chinese marketplace, worldwide cereals player Kellogg has finally been rewarded, at least on the internet. Its star product granola, since its launch on JD.
Although Quaker is the number one cereal player in hot cereals in China, its sales revenue is mainly generated in first-tier cities and developed provinces where people are well educated and easily embrace international brands. In mid-China Sea Mild has dominated sales, whilst in North China sales of cereals are sluggish as the region is less developed and people prefer a traditional Chinese breakfast.
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This industry report originates from Passport, our Packaged Food market research database.