The annual war of “6. 18” was a hot market for milk powder for young people and the elderly. The brands of cranes, jun lobo, monoox, ely and nestlé were active. In addition to the basic functions of calcium and iron supplementation, a number of companies claimed that products were useful for cardiovascular and bone health. Beijing business presser noted that in recent years, under the weak growth of infant and child formula powder (hereinafter referred to as “baby powder”), adult milk powder has grown rapidly as a new mouth of milk, reaching 20 billion yuan in market size in 2022, or as a “second growth curve” for dairy companies. However, as adult milk powder becomes a “sample” the national standard lags relatively behind, and the entry brand is not uniform。
Three groups
“accumulation of 300 less 50 for the full value of the purchase, with a discount discount ...” as the “6/18” approach, the yel'i milk powder skycat flagship has been able to increase its mobility and protection in all its aspects. Of the dozens of commodities being sold during the live broadcast, adult milk powder accounted for more than half of the total, and the momentum of infant powdering was exceeded。
Adult powder is more widely consumed than infant powder. The adult milk powder currently sold on the international cataline platform is divided into three main categories, namely, student milk powder, lady milk powder and middle-aged milk powder, according to age and gender。
For example, the hot nestlÉ is a “careful gold suit”, which is collected by more than 40,000 people. In terms of the functionality of the product, the official flagship service of nestlÉ stated to the beijing merchant press that “the product's high calcium formula benefits the bones' health, lowers the milk fat and more balanced nutrition”. In addition, the product claimed to be beneficial to cardiovascular health by adding to german imports of esters of propyl, containing proteins, fats, carbohydrates, sodium, vitamin a, vitamin c, vitamin d, vitamin e, calcium, iron, zinc, etc。
Another professional brand of powdered milk, an antelope owner, uses goat powder, and the most popular “adult pure goat milk powder” under the flag claims to have a quick three-second solution of milk powder using liquid milk in a single powdering process as well as a polyparticle process. Unlike milk powder, antelope milk powder claims to contain egf. “the product, which does not contain sugar and any additives, is suitable for use by all ordinary people over 3 years of age”。
As demand from the adult milk market expands, large quantities of imported adult milk powder are entering the chinese market. According to skycat international, more than 20 new brand names have been added in the last three years. By the beginning of 2023, the number of registered brands had exceeded 100 and over 2,500 commodities were being sold。
Beijing journalist reports that among the brands of adult milk that are sold by well-known electrician platforms are those of professional milk powder such as cranes, yapei, ibei and antelope, as well as nestlé, ilya, monoox, light, harnas, who adopt the brands of dairy, such as a cow and herd, the price of which varies from tens of dollars of full milk powder to hundreds of dollars of camel powder, with the hot sale of ms. Ili's college student high-heavy calcium adult milk powder worth over 40,000 cans per month。
Demanding adult milk powder has also attracted the attention of a number of suppliers, and mr. Wu, who is involved in the supply of milk powder raw materials, has stated to a beijing correspondent that “the demand for adult milk powder has increased and the company is currently divided into both natural and domestic raw materials, both food-grade, mainly for the shanghai, guangdong and tianjin regions, which can be raised in third-party warehouses”。
Second growth curve
With the ageing population, the demand for milk powder has increased for the middle-aged and old-age groups, and the front-runner enterprises such as elie, monoox, crane, jun lobo and nestlé have seized the adult milk powder market, with the intention of creating a “second growth curve”。
In last year's elli report, it was noted that adult milk-based nutrients have become a new growth point in the industry as population ageing trends and health management awareness have increased; monopoly has also indicated that research and development and investment in the intensification of adult milk powder and adult nutrition have been targeted at the “silver economy” trend; and in the 2022 financial paper, cranes have indicated that adult nutrition and maternal babies, adolescents and healthy foods have been identified as priority four business areas。
As the leading company in the professional milk industry, jun lok po began distributing adult milk powder in 2014, and the responsible official said to beijing newspaper correspondent, “the development of adult milk powder adult nutrients as part of the milk powder industry in recent years” the second growth curve's product line covers the entire life cycle, from students to the whole family, adults and the middle and senior population”。
Despite the fact that many of the major dairy companies are distributing adult milk powder, the current contribution to corporate income is modest. For example, in 2022, infant powder products accounted for 93. 5 per cent of the harvest; other dairy products, including adult milk powder, accounted for only 5. 4 per cent, and nutritional supplements earned $225 million, or 1. 1 per cent。
Statistics show that the domestic market for adult milk powder grew by about 18 billion yuan in 2021, and by 2022 it increased further to about 20 billion yuan. In 2022, according to euromonitor, the size of the chinese infant powder market was approximately 171. 7 billion yuan (including infant and young child food), and adult milk powder was only one tenth of the size of the infant powder market。
Two things
Industry analysts have pointed out that from infant to adult powder, there will be more precision in nutritional supplementation, but as the milk market is further broken down, there are two major concerns about the rise of headfalls and the lag in national standards。
The proliferation of heads is a major concern in the development of adult milk powder. Beijing journalist journalists are searching for “adult milk powder” on the electric company platform, and the products that appear are confusing, including propaganda such as “immunization, three heights, sugar urine, sleep, gastrogen”, which can easily be misled when consumers choose。
According to the lawyer, choe mengja of the law firm of yuntien in beijing, “in the promotion of milk powder products, such rhetoric involving disease prevention and health security should be used with caution, otherwise it is likely to have the effect of confusing milk powder products into pharmaceutical products, affecting some consumers on the one hand, and putting at risk the violation of article 17 of the law on advertising on the other, posing certain legal risks for enterprises”
The lag in national standards is another major concern in the development of adult milk powder. Beijing journalist journalists have learned from a number of dairy companies that the national standard formula for food safety (gb 19644-2010), which is applied to adult milk powder at this stage, is already 13 years old. In this regard, the dairy analyst song liang suggested that “the state should put in place standards as soon as possible that would enable it to regulate the market and establish an entry threshold for the industry; that it should speed up the process of leading enterprises to innovate and lay the foundations for china's professional industrial development; and that the state should specify the name of the products in question, the laws and regulations that would allow them to land in china”。
As of 22 february 2023, the three mandatory national standards for milk powder, the “new national standard” (gb10765-2021), the “big infant formula” (gb10766-2021) and the “big infant formula” (gb 10767-2021). As of 15 february 2023, 316 formulations of 112 brands under 31 dairy companies had been registered with the “new state marks”, the vast majority of which were mainstream, with small and medium-sized brands accounting for only a small percentage of the total, while accelerating further card shuffles in the industry while squeezing some enterprises to the adult powder industry with lower access thresholds。
According to the insight and trends in the infant and young child formula market, published by nelson iq, the top five producers of the country's milk market share accounted for the total sales, rising from 44. 2 per cent in 2019 to 53. 4 per cent in 2022. In 2022, the market share of the top 10 in the domestic milk industry was over 80 per cent. By contrast, in the first quarter of 2022, with the exception of the nearly 40 per cent share of the national adult milk market in the city of ely and mono cow, the top 10 were highly variable, with undetermined industry patterns, giving room for small and medium brands。
As song has pointed out, “the current market is not well-branded, markets are rich, bad currency is being expelled, and in the light of the trend towards adult milk powder `health-care tastes', products cannot stop at the surface or improve their functioning in terms of professional nutrition”。
According to the chief economist of china, ipg, “the milk powder market is further subdivided, and many brands still need to adapt and match their own business standards quickly. In this regard, large national brands have had a first-hand advantage because of their long-standing emphasis on product standards and quality”
For large brands, quality is a fundamental function that can be invested in innovative research and development. Jun lobo claims that the production of adult milk powder has been consistent with the standards and requirements of infant and young child milk powder, and ely has also introduced specialty whole-nutrient powder for special groups of the population, focusing on the development of a number of specialty formula formulas that can be used as a single source of nutrition to provide nutritional supplements for the elderly and middle-aged。
