Other Dairy in Taiwan

PROSPECTS

Subdued growth for chilled dairy desserts due to increasingly unhealthy image

Consumers usually associate chilled dairy desserts with being “normal” desserts. They do not believe they are healthier products than “normal” desserts since they feel that any manufactured product raises certain concerns about additional additives.

Growing preference for Japanese dairy products among Taiwanese consumers

Taiwanese people have a great interest in Japanese chilled dairy desserts since they have a very favourable impression of Japanese milk and therefore believe strongly in the product quality of the Japanese chilled dairy desserts. In addition, the packaging of the Japanese chilled dairy desserts is usually very appealing to the younger generations, the main consumer base of chilled dairy desserts.

Coffee whiteners faces big challenge due to rising popularity of fresh milk in coffee

Coffee in Taiwan is moving slowly in the direction of premiumisation, a key part of which is using only fresh milk in one’s coffee. With consumers becoming ever choosier with their coffee flavours and types, the taste produced by coffee whiteners no longer satisfies many consumers.

COMPETITIVE LANDSCAPE

I-Mei Foods benefits from food safety focus but remains well behind leader Uni-President

I-Mei Foods Co Ltd, the number two player in other dairy, continued to increase its value share in 2019. It competes in chilled dairy desserts and coffee whiteners with its I-Mei Egg Pudding and I-Mei Coffee Cream brands, respectively.

Fonterra’s Anchor brand offers coffee whitener made from fresh milk

Even though coffee whiteners are seeing declining sales, not least due to the growing desire for fresh milk in coffee, there is still a trend towards natural ingredients in coffee whiteners. Fonterra Brands, under its Anchor brand, offers one of the few coffee whiteners in Taiwan that is made using fresh milk.

Retailers offer different chilled dairy desserts for different seasons

In order to attract more consumers to purchase chilled dairy desserts, convenience stores and supermarkets in Taiwan launch different chilled dairy desserts to meet consumer demand in different seasons or holidays. For example, during the strawberry season at the beginning of 2019, 7-Eleven, Family Mart and PX Mart all launched strawberry-related desserts to take advantage of the fruit that was most prevalent during this specific period.

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