On September 20, 2019, the first China Organic Milk Powder Development Forum, co-sponsored by China Children Media and Milk Powder Industry Review and jointly hosted by Neolac Youlan, Regen, Onendo, Arla Baby and Me Organic, came to a successful conclusion in Shanghai. The theme of the forum is: New Growth -- from concept to Essence.
The audience is full of friends and friends. Industry leaders, authoritative experts, marketing gurus and top enterprise leaders from all over the country gather together, bringing you a sincere and rich ideological feast.
Liu Lin, general manager of Zhongtong Media, said in her opening speech that, as people in the industry, we all feel difficult under the downward trend of the environment. This is the dilemma we must face. Milk powder, as a pillar category, has been greatly affected. But from the subdivision category point of view, milk powder can still dig out a large increment.
Channel for organic this category has been attached importance, but do not know how to move the pin. But there is no denying that organic is a big opportunity. Today is just the beginning to push this industry, back to the essence, back to nature is the trend. The whole industry people work together, in everyone's efforts, organic milk powder industry will break out huge energy.
Mr. Luo Weng, founder and chief planner of Zhongtong Media, shared his opinion on the organic milk powder industry: "The core underlying logic of China's milk powder industry is the logic of resources, and the organic logic, is the logic of resources. When milk powder develops to a certain stage, there must be a category change or category innovation-driven process, so organic milk powder is the inevitable result of category development. Formula theory in the Chinese market gradually return to normal, will be more conducive to promote the development of organic milk powder. The market space for organic milk powder in the future should be very large."
Liu Yubiao, general manager of Hepnucar Biotechnology, believes organic milk powder is a huge growth engine that is ready to take off.
"The growth momentum of ultra-high-end baby powder in the whole milk powder industry is very fast, and it is expected that the growth rate will continue to be about 8% in the next few years. In 2018, the sales growth rate will reach 53%. Organic nature has high-end attributes, which will inevitably bring the opportunity of high-speed growth. From 2016-2018, the speed of ultra-high-end baby powder mixing was ahead of other categories."
As for the future development trend of organic milk powder, Cheng Yue, general manager of Ala Division of Yashili International Group, believes that the rapid growth trend of organic milk powder will be maintained for a long time in the future. In terms of the penetration rate and share of organic food and organic products, Denmark is far ahead of other countries in the world. It is the country with the highest penetration rate of organic products in the world, and maintains a very high growth rate for a long time. Compared with Denmark, the growth room of the whole organic products in China is very large, especially the baby powder, which is likely to exceed all of our imagination.
Mou Shanbo, chairman of Yipin Dairy Group, gave a view from the perspective of upstream resources: "There are too few farms in the world that meet the organic standards. If an enterprise moves too fast, it will be unable to keep up with the upstream supply. Therefore, it is very important to do a good job in the front-end layout. "The organic market will flourish when it reaches a stable stage, whether in Europe or the United States or other developed markets."
In the opinion of Ma Hongbing, general manager of Ruiabu Division of Yashili International Group, market education is very important, and the market education of organic milk powder should focus on the organic overall pattern. "When it comes to organic milk powder, we cannot separate ourselves from the organic lifestyle. Organic milk powder is closely related to the whole organic food industry, but as milk powder and food, organic milk powder is more special. If you want to be organic, you must advocate an organic lifestyle, do a good job in consumer education, seize the minds of consumers, and lead them to establish an organic life concept."
Senior dairy analyst Song Liang was also on the scene to share the wonderful and dry goods full, "In today's, organic milk powder, sheep milk powder, high-end milk powder, all belong to those advantages of the dividend, rather than the whole industry. Organic milk powder and sheep milk powder will play a role in the next three years, that is, in the critical period of China's milk powder price system from breaking to reshaping, organic milk powder and sheep milk powder will act as a successor. The competition in the milk powder industry in the past was shoddy, but the competition in the future will be professional."
Pan Xiao, project director of Nuremberg Exhibition (Shanghai) Co., LTD., believes that as the new generation of Baoma pay more attention to food safety, milk powder quality and other aspects, organic milk powder market development has welcomed the opportunity.
"There are three main driving forces for organic market development in China. The first is the increase in per capita disposable income, the second is the deepening urbanization and expansion of the middle class, and the third is food safety. In general, the consumption consciousness is influenced by Western ideas and is returning to the traditional consumption consciousness. In particular, the middle class pays special attention to the quality of life, product safety and raising the next generation."
Gao Dongmei, president of Zhongtong Research Institute, brought us the forefront of organic milk powder consumption survey report sharing, "In the mind of consumers, organic milk powder is relatively high-end, consumers naturally think that organic milk powder is better than ordinary milk powder, but it should be more expensive. Most Bao mothers consider safety, formula, origin, brand and other factors when buying milk powder. When buying organic milk powder, the safety and nutrition ingredients ranked first and second, and the origin ranked fifth, after brand and reputation. This shows that consumers do not trust organic milk powder enough, so they need to endorse the brand and reputation to help them make the final purchase decision."
Feng Hongwei, general manager of Dumbo, believes that organic milk powder has seen its best days. Organic milk powder, sheep milk powder, special powder will definitely show a continuous growth trend in the high-end segment of milk powder.
"I have three suggestions for brands," he shared. "First, we want brands to move away from traditional distribution and stay deep in a market. Second, cultivate a good team, lead the team to create the right values, and help the enterprise to bring real value. Third, consumer education, a lot of awareness needs to be passed on from the brand side to the retail end."
Ma Zai Valley founder Peng Yunhui believes that from the perspective of the whole milk powder plate, the number of cans of all milk powder has not increased much in recent years, and even vaguely feel that there is a trend of decline. However, the output value has increased from tens of billions to 120 billion, and these increases come from the increase of the price of a single can. In this process, how the baby shop creates higher output value and the changes in the price system may give us a lot of inspiration.
Yang Huichen, chairman of Wang Ziyang, believes that in the long run, when the maternal and child industry enters the era of excess, it needs more people to settle down and work together, rather than compete with each other and operate with the usual way of playing. This may have worked in the past, but it is no longer in line with the current market and consumer spending habits. The old model will only produce the old results.
In the opinion of Li Maoyin, co-founder of Ala Xiaoyou and mentor of MBA alumni of Tsinghua University, the education and promotion of organic milk powder needs the concerted efforts of the whole industry. Only by making the cake bigger, can the value be highlighted. "I believe that today's forum is of great significance to the whole organic milk powder industry in China. In the future, everyone will remember today's promotion of the organic milk powder industry by Zhongtong Media."
Liu Jiangwen, executive director and general manager of Nanguo Baby, shared, "Channels should cooperate with excellent brands and grow together. So we mainly look at 4 points in the selection of products: first, the product quality is excellent. Second, sufficient profit margin. Third, strong brand promotion ability. Fourth, stable cooperative relationship. These four aspects are the main principles that run through our selection."
Tian Hong, general manager of Xiyang Aiying Distribution, believes that with the improvement of people's living standards, consumers pay more and more attention to food safety, especially infant food. Organic milk powder natural, green, safe concept, just meet the needs of these consumers. Under the continuous boost of new consumer markets, organic products ushered in a period of rapid growth.
Zhao Lipeng, general manager of Litonglai, believes that the target consumers of organic milk powder are high-end groups, who are highly dependent on stores and can lock customers through organic milk powder. As for subdivided milk powder, the most important reason why sheep milk powder has today is the education of the whole people. Learning from the successful experience of sheep milk powder, the market education of organic milk powder is also very important.
China Children media editor Wang Chen bluntly, organic milk powder is the highest safety of all milk powder. In China, there are a large number of individual maternal and child shops with strong operation capacity. In summary, there are two points: First, they have good customer affection and the boss is very familiar with each customer. Second, strong professionalism. This kind of boss can gain the trust of customers. Under the premise that customers trust the boss, the purchase decision will be shorter and the success rate of promoting organic milk powder will be higher.
From brand operators to channel operators, from upstream to terminal, the huge growth potential and broad development prospects of organic milk powder have been widely realized, organic may become the most explosive incremental category, has become a consensus. We believe that in the future, organic milk powder will burst out of amazing energy, "machine" can not be lost!
See you next year for the second China Organic Milk Powder Development Forum!
