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Recently, Mr. Zong Qinghou, the founder of Wahaha Group, passed away due to illness, and netizens across the country expressed their condolences and paid tribute to him in their own ways. On February 28 and 29, Wahaha's official flagship store did not start live broadcasting, but store sales surged by more than 500%. The official flagship store said: "The number of orders has increased significantly recently, and it is recommended that everyone consume rationally, and said that more colleagues have been arranged to pack and ship, and will continue to work hard, thank you." ”
Blue Whale Financial News, Wahaha exploded on the Internet in March, and since the official flagship store resumed live broadcast on March 4, traffic sales have been unprecedentedly high, but after 15 days of explosion, Wahaha online has cooled down first. As of March 19, the sales volume of Wahaha's official flagship store in March was nearly 25 million yuan, and the sales peak was concentrated from March 4 to 10, and the sales volume in this interval exceeded 2.5 million yuan for many consecutive days. However, since March 12, sales have declined significantly, and sales have been around 200,000 yuan for two consecutive days on the 18th and 19th, which has decreased by 90% compared with the peak sales.
It is worth noting that the number of fans of Wahaha's official flagship store has risen sharply since February 25, with the highest number of fans rising by more than 700,000 in one day, and a cumulative increase of 5.153 million in the past 30 days, with a total of 5.744 million fans.
Looking back at the development of the mainland soft drink industry from the "Wahaha fever fades":
-- The scale of the development of the national beverage industry
With the rapid economic growth of the mainland and the continuous improvement of the income level and consumption capacity of urban and rural consumers, the consumer demand for soft drinks has always been in a rapid growth stage. After experiencing many industrial waves such as carbonated drinks, bottled water, tea drinks, fruit juices, herbal teas, and milk-containing beverages, the development of the soft drink industry in mainland China has also entered the stage of "new normal".
According to the data of the National Bureau of Statistics, from 2010 to 2021, the output of soft drink products in mainland China showed an increasing trend, but the growth rate fluctuated and decreased overall. From 2017 to 2018, the output of soft drinks in mainland China declined, but it recovered in 2019, and the output of soft drinks in mainland China in 2019 was 178 million tons, a year-on-year increase of 13.29%; Affected by the epidemic in 2020, the output of soft drinks will be 163 million tons; In 2021, mainland soft drink production rebounded to 183 million tons, up 12% year-on-year, returning to the same nearly decade-high level as in 2016.
As the world's second largest soft drink market, after the United States, China has seen a growing demand for soft drinks in recent years. According to Euromonitor data, from 2010 to 2021, China's soft drink sales increased year by year, although the growth rate slowed. During the pandemic in 2020, when most stores were closed, people were unable to gather and celebrate with friends and family due to home seclusion and the ban on social gatherings, and soft drink sales fell by 3.4%; In 2021, China's soft drink sales volume was 88.305 billion liters, a year-on-year increase of 4.3%.
-- Enterprise market share
From the perspective of market segments, the competition in the domestic packaged drinking water market is relatively scattered, with many brands participating, and the market share of the top 10 enterprises is less than 40%; The competition in the ready-to-drink tea market is relatively concentrated, with the market share of the top 10 enterprises exceeding eighty; The carbonated beverage market is still dominated by Coca-Cola and Pepsi, with Coca-Cola and Pepsi occupying nearly ninety percent of the domestic carbonated beverage market; In 2021, Coca-Cola ranked first in China's fruit juice beverage industry, with a market share of 10.6%; The competition in the energy drink market is highly concentrated, and before 2013, Red Bull was almost dominant, but with the entry of Dongpeng Special Drink, Zhongwo and other enterprises into the energy drink, Red Bull's market share has gradually declined, and it is currently showing the status quo of "one super and three strong"; In the sports drink market, Jianlibao occupies nearly 30% of the market share of China's sports drink industry.
According to the report of the Prospective Industry Research Institute, China's soft drink industry is driven by the personalized needs of consumers and the diversified development of marketing methods and channels, and the life cycle of soft drink products has become significantly shorter, and more new products and new categories will appear; As consumers become more health-conscious, soft drinks with reduced, reduced sugar or even no sugar are becoming more and more popular. In addition, from the perspective of marketing methods, marketing methods such as variety show implantation, cross-border marketing, creative interaction, and new network marketing models such as live streaming will become the choice of more and more enterprises and brands. In the long run, China's soft drink industry will continue to grow. It is predicted that by 2027, the market size of China's soft drink industry will exceed 800 billion yuan, reaching 810.5 billion yuan.
Prospective Economist APP Information Group
For more research and analysis of this industry, please refer to the "Production and Marketing Demand and Investment Forecast Analysis Report of China's Soft Drink Industry" by Qianzhan Industry Research Institute.
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