Lead
The dumpling category has entered a stage of refined development, and the brand seeks innovation in various directions.
This article was originally published by Red Meal Think Tank (ID: hongcanzk), author: Red Meal Industry Research Institute.
As a non-negligible member of the snack fast food track, dumplings have obvious regional differences. Due to the different roles of entrants, the dumpling market presents different development prospects in different regions.
So, what is the overall development of the dumpling track? In what aspects has the brand launched a new round of competition? Recently, the Red Meal Industry Research Institute released the "Dumpling Category Development Report 2024" to take you to find the answer.
Fresh take-out dumpling shop has become the "darling of the times"
The dumpling track is hot
Dumplings have a history of thousands of years in the mainland, according to the observation of the Red Meal Industry Research Institute, the development process of dumplings can be divided into four stages: embryonic period, growth period, acceleration period, and refined operation period.
Today, the dumpling category has entered the stage of refined operation, and dumpling brands pay more attention to refined operation, and consumers are willing to pay for "freshly packed and cooked" fresh take-out dumplings. Unless otherwise specified, the subjects of this report refer to freshly made dumplings that are not quick-frozen.
In the past year, the popularity of the dumpling track has shown a fluctuating upward trend, and its Douyin single-day search index exceeded 8.3 million on the day of the winter solstice in 2023, hitting a new high in the past five years. According to the huge calculation, in the past year (as of January 2024), among the people searching for dumpling keywords, the proportion of people in Guangdong, Henan, Jiangsu and other places ranked high.
According to the observation of the Red Meal Industry Research Institute, the peak of the popularity of dumplings generally occurs in winter, especially on important festivals and solar terms, which shows that it is not only a dish, but also a link of emotional connection between Chinese people.
The degree of scale is low, and the dumpling brand is mainly developed in the region
According to the Red Meal Industry Research Institute, the market size of the dumpling category in mainland China will be about 65 billion yuan in 2023. According to the big data of Red Meal, as of January 2024, the total number of operating stores of mainland dumplings exceeds 100,000. As the dumpling brand continues to penetrate into the community fresh market, the dumpling track is expected to explode with more potential.
According to the big data of Red Meal, as of January 2024, 94.0% of the dumpling brand stores are less than 3, and the proportion of brands with more than 50 stores is 0.3%.
Specifically, among the dumpling brands, there are not only players such as Yuan Jiyun dumplings, Xijiade shrimp dumplings, Uncle Xiong, and Cantonese dumpling emperors, but also brands such as Dumpling Xianshuo, which were incubated from the quick-frozen dumpling track.
At present, the overall scale of dumplings is not high, with some brands having more than 100 stores, and only a few brands such as Yuan Ji Yun Dumplings have exceeded 1,000 stores. In order to speed up the pace of expansion, some brands have made efforts at the level of franchise and listing, such as the opening of a number of franchise regions in 2023, and the founder of Uncle Xiong said that he would consider entering the listing preparation period in 2024 and is expected to have an IPO in 2027.
According to the big data of red meal, as of January 2024, 35.6% of dumpling brands have an average per capita consumption of 16~25 yuan, followed by 21.6% of dumpling brands with an average per capita consumption of 25~35 yuan.
In addition, there are also some brands in the high-end price band of more than 50 yuan, such as Boat Song Fish Dumplings, Xiding Sea Urchin Dumplings, etc.
Filling innovation targets niche ingredients, and the community has become a popular location
At present, dumpling brands are competing in products, store models, models, supply chains, channels, communication and other aspects, and market competition has intensified. In this article, we will excerpt some of the key points.
1. The product structure is diversified, and porridge, barbecue, desserts, etc. are among the brand menus
In addition to dumplings, the products of most dumpling chain brands will also cover products such as noodles, snacks, and beverages, such as mixed noodles, peanuts, corn juice, etc.
In addition, some brands have also launched wontons, such as the shrimp and crab roe wonton of Yuan Kee Cloud Dumplings, the corn fresh meat wonton of Uncle Xiong, and the cantonese dumpling emperor's camellia wonton. There are also some brands that are developing towards meals, such as Xijiade shrimp dumplings with fresh vegetable pot series, which has improved the richness and repurchase rate of products, boat song fish dumplings with spicy fried abalone, and Daqinghua dumplings with pot wrapped meat. The product structure of Da Niang dumplings is also very rich, and products such as fast food, soups, and porridge have been launched, such as braised lion's head rice, spicy beef offal soup, white porridge, etc.
2. The filling innovation has made new moves, and the dumplings have been integrated with the wine reproduction category
According to the Red Meal Industry Research Institute, the main fillings of dumpling brands can be divided into four categories: vegetables, meat, poultry and eggs, aquatic products, and mushrooms. In addition, fruits are also an element that some brands will add. According to reports, as of January 2024, among the dumpling dishes recommended by dumpling consumers, corn fresh meat dumplings, cabbage fresh meat dumplings, leek fresh meat dumplings, mushroom and horseshoe fresh meat dumplings, celery fresh meat dumplings and other products ranked the top five.
In the past year, some niche ingredients have been added to the filling by dumpling brands, such as scallops, black truffles, crayfish, oysters, scallops, etc. In October 2023, Boat Song Fish Dumplings also cooperated with Longting Winery to jointly launch a wine dumpling feast. "Dumplings are wine, the more you eat, the more you have", following the opening of the dumpling tavern by the dumpling brand, the integration of dumplings and wine is still deepening.
3. "Striving for freshness and locking freshness" has become an important part of the brand competition for fresh dumplings
Dumpling brands have invariably strengthened the construction of the supply chain, especially for chain fresh dumpling brands, the fillings can be delivered on the same day, and the freshness of the dumplings can be ensured, and then a certain product "moat" can be established.
In order to enhance the competitiveness of the brand and win the opportunity in the "battle for freshness", brands such as Yuan Ji Yun Dumplings, Uncle Xiong, Xijiade Shrimp Dumplings, and Guangdong Dumplings have made their own achievements in strengthening their supply chain capabilities.
4. Create a "four-dimensional" sales model integrating dine-in, take-out, take-out and retail
In order to retain the offline market and embrace online traffic, dumpling brands have made efforts in multiple channels such as dine-in, take-out, takeaway, and retail, forming a "four-dimensional" sales model.
Opening a variety of store models, entering different online platforms, and adopting brand matrix operation are the main ways for dumpling brands to develop channels. For example, Yuan Ji Yun Dumplings has set up a raw food take-out store and a raw and cooked integrated store, and will also enter the Tmall platform in 2023.
epilogue
To date, there are still a considerable number of dumpling brands that have failed to achieve national expansion, which is related to three factors: prominent homogenization problems, large regional differences, and high requirements for the supply chain.
In addition, the definition of "ready-to-pack" has caused some controversy among consumers, who are concerned about the freshly made fillings and dough and the integration of the store-based ready-to-pack process, which puts forward higher requirements for the brand's back-end supply chain and management operations.
In order to speed up the upgrading and development of the dumpling brand, the Red Meal Industry Research Institute put forward two suggestions for the dumpling brand: first, product innovation to achieve brand matrix, and second, to strengthen the construction of the supply chain to lock the fresh and delicious taste. I believe that dumpling brands can seize the "fireworks" that catering consumers like and achieve more breakthroughs!
Cover image source: Picture Worm Creative.