In recent years, with the continuous improvement of the consumption capacity of Chinese residents and the deepening of the concept of scientific parenting, the scale of complementary foods for infants and toddlers has continued to rise. In addition, in recent two years, China's infant supplementary food policies and regulations have been frequently revised, and food supplement production has been effectively guided. Supplementary food business management has also been strengthened. In 2018, known as the first year of the Chinese supplementary food industry, the baby supplementary food industry has undergone development and upgrading, and it has also undergone reorganization. As the main body of the mother and infant industry, the growth rate of milk powder has slowed down, and driven by consumer demand, the supplementary food market has continued to grow. In the choice of supplementary foods, consumers are more inclined to import brands. At the same time, after the implementation of the new food supplement policy, the industry has accelerated the survival of the fittest, but the current low-end market in China still has products of different qualities. In the high-end market, only a few companies have established a good image of infant food supplement brands through differentiation and branding and have gained high market share.
Organic is no longer a fresh concept in infant foods. The concept of safe and natural organic foods will continue to penetrate the hearts of the people. More and more new-generation parents prefer the quality experience brought by organic complementary foods. The "China Food Consumption and Innovation Trends White Paper (Infant and Toddlers)" shows that the organic proportion of infant foods has been increasing year by year. From 2013 to 2018, the proportion of organic products in infant formula and complementary foods has been increasing year by year.
In 2017-2018, it increased by 122% compared with the same period in 2013-2014. In the field of baby food supplements, organic upgrades are even more obvious. It can be seen that consumers are willing to invest more and pay more attention to the quality and quality of complementary food products. This also proves that good brands and products have great development potential in the domestic market, and the key to market success lies in product nutrition and safety. The question that still needs to be considered is whether "home-made complementary food" will be a stumbling block for the complementary food market? The complementary food market in China is still under development. The important reality of supplementary food in China is firstly, complementary foods are not yet necessary food for current consumers. Secondly, although the education level in second-tier cities is relatively high, the relevant knowledge in low-tier cities is still relatively low. Complementary foods in low-tier cities is largely limited to self-made foods.
In general, with the increase in consumption levels, young parents pay more attention to their children's dietary quality and dietary nutrition and will pursue higher value-added and high-quality complementary foods. Complementary food brands need to take into account consumer preferences, optimize sales channels, provide more abundant and high-quality products, and constantly adjust development strategies to meet market demand. Product + brand + channel development can drive a "brand business card" of its own in the Chinese baby food supplement market.
According to experts' estimates, the number of infants aged 0 to 3 years in China will be about 50 million in the next three years, that is, more than 16 million people will be born each year. If an infant consumes 100 grams of complementary food per day, based on the current retail price of complementary food in the market, the market capacity of complementary food for infants and young children will exceed 80 billion yuan. However, the current market capacity of complementary foods for infants and young children in China is only about 8 billion yuan.
In recent years, with the improvement of people's living standards, changes in consumption concepts, and the introduction of government policies on improving the nutritional level of residents, China's infant and complementary food industry has gradually entered a period of rapid development. Infant nutritional rice powder are an important part of complementary food for infants and young children. China's infant nutritional rice powder started late and have developed rapidly in the past two years. The market size in 2006 was only 1.1 billion yuan. 1.87 billion yuan. According to industry statistics, in 2013, the market size of infant nutrition rice powder in China reached 3.9 billion yuan.
The World Health Organization recommends that infants should be exclusively breastfed within 6 months of birth to achieve optimal growth, development and health. Experts point out that complementary feeding is an important stage of growth. Globally, nutrient deficiencies and diseases at this stage lead to a higher rate of malnutrition among children under 5 years old. Infant nutrition rice powder are one of the ideal choices for supplementary foods for babies. Adding supplementary foods in a timely manner can not only make up for the deficiency of pure dairy products, promote the growth and development of babies, but also effectively train children's gastrointestinal and chewing functions. Therefore, high-quality infant rice powder will ensure the health of children.
With the rapid development of China's economy, the disposable income of residents has also doubled. The average annual growth rate of disposable income of urban residents in China exceeds 10%; the average annual growth rate of disposable income of rural residents exceeds 9%. And this growth trend will continue for a long time. The increase in the income level of residents has greatly increased parents' investment in children, especially in the critical period of children's growth and development, parents' nutritional investment is increasingly higher.
In modern families, with the apparent decline in the average number of children in domestic families, young parents have paid more attention to children's diet quality and dietary nutrition, which has laid the foundation for the rapid development of the complementary food market for infants and young children. In the huge infant food supplement market, in addition to Western food supplements for infants and young children, the market share of Chinese food supplements accounts for only about 10% of the total, but its potential for future development is huge.