Table of Contents
Executive Summary
-
- The market
- Retail sales experienced a big increase in 2020
-
- Figure 1: Meat snack sales and growth vs total snack and in-home food, 2018-20
- Figure 2: Top five snack segments by value share in total snacks, 2018-20
- Future growth expected to surpass snack category level
-
- Figure 3: Retail sales forecast of meat snacks, 2021-25
- Growth is supported by various factors
- Companies and brands
- PepsiCo’s acquisition of local brand shows ambition of international brands in this market
-
- Figure 4: Leading players’ market share by sales value, 2018-20
- Major brands compete by leveraging pillars in marketing mix
- Private labels enter meat snacks
- Healthy and “green” packaging are top claims in new product development
-
- Figure 5: Top 10 claims in China market’s new product launch for meat snacks, 2017-2020
- Innovation trends suggest products will become more sophisticated
- The consumer
- Salty flavour preferred over sweet for snacking
-
- Figure 6: Snack preferences (any selected), February 2021
- Tier one cities drive consumption
-
- Figure 7: Meat snacks consumption, February 2021
- Snacking for craving not as meal replacements
-
- Figure 8: Reasons to eat meat snacks, January 2020 vs February 2021
- Quality of meat most discourages consumption
-
- Figure 9: Barriers of eating meat snacks, February 2021
- Buying from familiar channels
-
- Figure 10: Purchasing channels, February 2021
- Leading brands not responding to the key consumption drivers
-
- Figure 11: Brand perception – Correspondence analysis, February 2021
- What we think
Issues and Insights
-
- Craving for good taste is not sufficiently addressed
- The facts
- The implications
- Scope for new brand entries: focusing on specific sub-segments
- The facts
- The implications
The Market – What You Need to Know
-
- Retail sales of meat snacks increased by 32.8% in 2020
- Meat snacks’ growth outlook exceeds snack category level
- Flavour preferences boost meat snack consumption
- Food safety concerns urge
Market Size and Forecast
-
- Sales growth going stronger over 2018-2020
-
- Figure 12: Retail sales and growth of meat snacks, China, 2018-20
- Figure 13: Growth rate of meat snacks, total snacks and in-home food, 2018-20
-
- Figure 14: Share of major snack segments in total snack sales, 2018-20
- Growth will sustain in the future, outperforming food and drink average
-
- Figure 15: Retail sales forecast of meat snacks, 2021-25
Market Factors
-
- Chinese consumers prefer salty over sweet snacks
- Diversified purchasing channels make it more convenient to buy
- More at-home leisure time create occasions for snacking
- Food safety concern
-
- Figure 16: Top five most concerned issues in life, 2020 April and 2021 January
Key Players – What You Need to Know
-
- Changing landscape: PepsiCo enters meat snacks via Be&Cheery
- Leading brands investing actively in distribution expansion, advertisement and new product development
- Retailers actively launch home brands
- Innovation highlights
Market Share
-
- PepsiCo enters meat snack category via Be&Cheery
-
- Figure 17: Leading players’ market share by sales value, 2018-20
- Private labels join
Competitive Strategies
-
- Internet-based brands no longer rely solely on e-commerce
- Target specific demographic
- Snacks developed to cater to children’s nutrition
-
- Figure 18: Bestore’s products targeting children
- Targeting fitness consumers: Keep differentiates by its “expert image”
-
- Figure 19: Meat snacks targeting fitness consumers
- Specialised brands focus on nutrition, while private labels highlight economy
-
- Figure 20: Top 10 claims used in meat snacks new product launch, by brand types, January 2020-March 2021
- Brand awareness building
-
- Figure 21: Marketing communication of key players, 2021
Who’s Innovating?
-
- Health and environmental-friendly in spotlight
-
- Figure 22: Top 10 claims in China market’s new product launch for meat snacks, 2017-2020
- Targeting fitness consumers in China makes high protein and low fat the fast-growing claims
-
- Figure 23: Top 5 growing claims in China’s new product launch for meat snacks, 2018-2020
- Innovation highlights
- Serve snacks warm
-
- Figure 24: Top 10 claims for meat snack new products in major overseas markets, 2020
- Figure 25: Meat snack products in South Korea, 2020-21
- Plant-based meat snacks
-
- Figure 26: Plant-based duck meat snack launched by Zhou Hei Ya, October 2020
- Flavour blends inspired by natural ingredients
-
- Figure 27: Creative flavour blends for meat snacks, 2020-2021
The Consumer – What You Need to Know
-
- Salty flavour preferred over sweet
- Consumption driven by tier one cities
- Food craving motivates consumption
- Meat quality concern is the main barrier
- Consumers buy from familiar channels
- Major brands are yet to improve association with being “delicious”
Snack Preferences
-
- Overall, consumers prefer salty flavours over sweet
-
- Figure 28: Snack preferences – Any selected, February 2021
- Meat snacks are preferred under different occasions in a day
-
- Figure 30: Top three snack preferences by occasions, February 2021
-
- Figure 29: Prefer cooked food – any selected, by age, February 2021
Consumption Trend
-
- Consumption pattern remains the same as before COVID-19
-
- Figure 30: Meat snacks consumption, February 2021
-
- Figure 31: Meat snack consumption – % of eat more, January 2020 vs February 2021
- Meat snack consumption is not replacing meat consumption through main meals
-
- Figure 32: Eat more beef jerky snacks, by red meat consumption frequency at main meals, February 2021
-
- Figure 33: Eat more chicken feet and seafood snacks, by poultry and seafood consumption frequency at main meals, February 2021
- Eating meat snacks mainly driven by tier one cities
-
- Figure 34: Meat snack consumption – % of eat more, by city tier, January 2020 vs February 2021
- More consumption of chicken feet and duck neck among males
-
- Figure 35: Chicken feet - % of eat more, by age and gender, January 2020 vs February 2021
- Figure 36: Marinated duck neck - % of eat more, by age and gender, January 2020 vs February 2021
Reasons to Consume
-
- Consumption led by indulgence, especially among Gen-Zers
-
- Figure 37: Reasons to eat meat snacks, January 2020 vs February 2021
-
- Figure 38: Reasons for consumption – Food craving, by age, 2020 vs 2021
- Mid-to-high income consumers more appealed by health benefits
-
- Figure 39: Reasons to consume – health-related factors, by monthly household income, February 2021
Barriers to Consume
-
- Food quality concern discourages consumption
-
- Figure 40: Barriers to eating meat snacks, February 2021
-
- Figure 41: Food quality concern, by demographic, February 2021
-
- Figure 42: Food quality concern, by those who have eaten less or not eaten selected meat snacks, February 2021
- Consumers, in general, tolerate different types of meat and taste
-
- Figure 43: Barrier to consume – Taste and meat type, by respondents who have eaten less or not eaten meat snacks, February 2021
- Young people are pickier about meat snacks
-
- Figure 44: Selected barriers to consume, by age, February 2021
Purchasing Channels
-
- Buying from familiar channels for quality reassurance
-
- Figure 45: Purchasing channels, February 2021
- Internet-savvy young people use traditional offline channels as well
-
- Figure 46: Young people’s purchasing channel, February 2021
- Young people want convenience in addition to familiarity
-
- Figure 47: Usage of food delivery apps and convenience stores, by age, February 2021
Brand Association
-
- “Delicious” –a key driver of snack consumption – is yet to be addressed by leading brands
-
- Figure 48: Brand perception – Correspondence analysis, February 2021
- Bestore and LYFEN are competitive targeting young consumers
-
- Figure 49: Brand perception among consumers aged 18-24, February 2021
Appendix – Market Size and Forecast
-
-
- Figure 50: Meat snack consumption forecast, 2021-25
-
Appendix – Methodology and Abbreviations
-
- Methodology
- Abbreviations
Back to top