Sorry for interrupting, this website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Learn more
Accept & Close

Children's Drinks - China - April 2016

“Many current CD products have overemphasized the kids-friendly taste and package design and have overlooked that parents are the ultimate decision makers, with all-natural ingredients the element that matters most for them. Excessive food additives and high sugar content are currently parents’ biggest concern and should be removed to keep the category sustainable against the rising competition from non-children specific products.”

– Ching Yang, Research Analyst

This report looks at the following issues:

  • Provide true goodness for the kids
  • Marketing to the parents
  • Beyond a drink

This report examines the China retail market for children’s drinks that are meant for use by children aged 4-12 years old, based on the products’ claim. Mintel’s definition of children’s drink includes milk, flavoured milk, plain drinking yogurt, flavoured drinking yogurt, juice, plant protein drinks (PPD), bottled water, and all other beverages that have claims clearly targeting children. Product package format includes family packs, individual portion packs, and in multipacks in the form of bottles, cartons, pouches, tetra packs, and cartons. The market size covers sales through retail channels only, and excludes unpackaged items.

What you get

What's included

Why buy from us?

Succeed

Our reports will provide you with market data, consumer research and competitive intelligence to succeed in your market.

Instant Access

Buy now and you'll have instant access to the information you need to make the right decisions.

Opportunities

Find out what's next in the markets that matter to you: where opportunities lie and what challenges you will face.

Trusted

A business Superbrand, Mintel is a source you can trust. We have been defining and refining the Market Intelligence mix since 1972.

Table of contents

  1. Overview

    • What you need to know
      • Covered in this report
        • Excluded
        • Executive Summary

            • The market
              • Growth rate slowed down since 2014 but may return in 3-5 years
                • Figure 1: Retail market volume of children’s drinks in China, 2010-20
                • Figure 2: Retail market value of children’s drinks in China, 2010-20
              • Milk dominates the market but is shrinking
                • Figure 3: Segment performance of children’s drinks in China, by value, 2010-20
              • Key players
                • Saturated market dominated by few big players
                  • Figure 4: Top 5 companies’ value market share in the China retail children’s drinks market, 2013-14
                • Adding fun elements to the product
                  • Marketing to dads as a competitive strategy
                    • Use of ‘organic’ claim to endorse the product’s quality
                      • Coconut water for the kids
                        • The consumer
                          • Less additives, more welcomed
                            • Figure 5: Children’s consumption frequency of different beverages, January 2016
                          • Milk, yogurt, and plant protein drinks are the most ideal health supplements
                              • Figure 6: Children’s purpose of drinking different types of beverages, January 2016
                            • All natural ingredient is the most decisive purchase factor
                              • Figure 7: Purchase factor of children’s drinks, January 2016
                            • Health benefit is a must- have in CDs
                              • Figure 8: Health –related purchase factors of children’s drinks, January 2016
                            • Prefer children-specific products than regular drinks
                              • Figure 9: Consumers’ preference between children’s drinks and regular drinks, January 2016
                            • Even preference in package types
                              • Figure 10: Consumers’ package preference in children’s drinks, January 2016
                            • Prefer ambient milk than chilled
                              • Figure 11: Product temperature preference for children’s milk and drinking yogurt, January 2016
                            • Additives and sugar shall be removed and reduced
                              • Figure 12: Desired improvements from children’s drinks products, January 2016
                            • Higher threshold price
                              • What we think
                              • Issues and Insights

                                • Provide true goodness for the kids
                                  • The facts
                                    • The implications
                                      • Marketing to the parents
                                        • The facts
                                          • The implications
                                            • Beyond a drink
                                              • The facts
                                                • The implications
                                                  • Figure 13: Product example of milk or yogurt combined with cereal or granola clusters
                                              • The Market – What You Need to Know

                                                • Growth rate slowed down since 2014 but may gain back in 3 to 5 years
                                                  • Milk segment dominates the market but is shrinking
                                                    • Non-kids-oriented products threatening the CD market
                                                    • Market Size and Forecast

                                                      • Growth rate slowed down since 2014…
                                                        • Figure 14: Retail market of children’s drinks in China, 2010-20
                                                      • …but may return in 3-5 years
                                                        • Figure 15: Retail market volume of children’s drinks in China, 2010-20
                                                        • Figure 16: Retail market value of children’s drinks in China, 2010-20
                                                    • Market Drivers

                                                      • Relaxation of one-child policy
                                                        • Figure 17: Population of children aged 4-12 in China, 2010-20
                                                      • Consumers’ changing nursing habits
                                                        • Consumers’ preference for kids-specific drinks over regular drinks
                                                        • Market Barriers

                                                          • Competition from regular drinks
                                                            • Parents’ food safety concerns
                                                            • Market Segmentation

                                                              • Dairy products dominate the market
                                                                • Figure 18: Segment performance of children’s drinks in China, by value, 2010-20
                                                              • Growth rate of milk and flavoured milk slows down
                                                                • Figure 19: Retail value sales and year-on-year growth rate of children’s drinks in China, by segment, 2010-15
                                                              • Yogurt segment retains double-digit growth
                                                                • Underdeveloped market in the non-dairy categories
                                                                • Key Players – What You Need to Know

                                                                  • Saturated market dominated by few big players
                                                                    • Lack of leading children’s juice manufacturers
                                                                      • Key marketing strategy: marketing to dads
                                                                        • Coconut water for the kids
                                                                        • Market Share

                                                                          • Saturated market dominated by a few big players
                                                                            • Figure 20: Top 5 companies’ value market share in the China retail children’s drinks market, 2013-14
                                                                          • Lack of leading children’s juice manufacturer
                                                                            • Figure 21: Percentage of children’s drinks’ product categories in major markets, 2013-16 (January)
                                                                          • Imported brands intensifying the competition
                                                                            • Figure 22: Example of imported children’s milk
                                                                            • Figure 23: Example of imported children’s juice product, China 2015.
                                                                        • Competitive Strategies

                                                                          • Marketing to dads
                                                                            • Organic milk products with traceable ingredients and clean processing
                                                                              • Figure 24: Example products of organic children’s milk, China 2014
                                                                            • Yili extended its partnership with Disney
                                                                              • Figure 25: Yili QQ Star children’s drink products with Disney characters
                                                                            • Wahaha joins the premium market
                                                                            • Who’s Innovating?

                                                                              • Play with my drink
                                                                                • Figure 26: Innocent’s package with interactive design and a charity campaign. UK 2015.
                                                                              • Built-in pacifier as a brand’s icon
                                                                                • Shake it up before drinking
                                                                                  • Figure 27: Example of CD products involved playful activities
                                                                                • Coconut water for kids
                                                                                  • Figure 28: Example of coconut water for kids
                                                                                • Target the usage occasion
                                                                                  • Figure 29: Example of CD products featuring usage occasions. China 2015.
                                                                              • The Consumer – What You Need to Know

                                                                                • Prefer children-specific products than regular drinks
                                                                                  • Parents are the primary decision makers
                                                                                    • All natural ingredients is the most decisive factor
                                                                                      • ‘Improve immunity’ is the most popular health-related claim
                                                                                        • Sugar content will be reduced
                                                                                        • Children’s Beverage Consumption Trend

                                                                                          • For dairy beverages, plain is better than flavoured
                                                                                            • Figure 30: Children’s consumption frequency of dairy beverages, January 2016
                                                                                          • Prefer 100% pure juice than juice drinks
                                                                                            • Figure 31: Children’s consumption frequency of juice, January 2016
                                                                                            • Figure 32: Children’s juice products by country and by sub-category, UK, USA, China 2013-16 (January)
                                                                                          • Opportunities in plant protein drinks (PPD) and bottled water
                                                                                            • Figure 33: Children’s consumption frequency of plant protein drinks and bottled water, January 2016
                                                                                          • Staying away from beverages with less nutritional value
                                                                                            • Figure 34: Consumption frequency of different types of beverages, January 2016
                                                                                        • Purpose of Drinking Different Beverages

                                                                                          • Milk is the first-choice health supplement
                                                                                            • Figure 35: Children’s purpose of drinking plan milk/flavoured milk, January 2016
                                                                                          • Yogurt as healthy snacks
                                                                                            • Figure 36: Children’s purpose of drinking yogurt, January 2016
                                                                                            • Figure 37: Example of kids’ yogurt with playful and portable package design, USA 2015
                                                                                          • Milk beverages are more fun than nutrient
                                                                                            • Figure 38: Children’s purpose of drinking milk beverages, January 2016
                                                                                          • PPDs should highlight its unique properties to compete with milk
                                                                                            • Figure 39: Children’s purpose of drinking PPDs, January 2016
                                                                                          • Juice are used for quenching the thirst
                                                                                            • Figure 40: Children’s purpose of drinking 100% pure juice/juice drinks, January 2016
                                                                                            • Figure 41: Example of children’s fruit flavoured water, UK and USA, 2015
                                                                                        • Purchase Factors

                                                                                          • Parents are the primary decision makers
                                                                                            • Figure 42: Purchase decision maker of children’s drinks, January 2016
                                                                                          • All natural ingredients the most decisive factor
                                                                                            • Figure 43: Purchase factor of children’s drinks, January 2016
                                                                                          • Opportunity for product lines designed for different age groups
                                                                                            • Use the ‘organic’ claim to endorse the product’s quality
                                                                                              • Imported products do not always hold the advantage
                                                                                              • Health-related Purchase Factors

                                                                                                • Health benefit is a must in CDs
                                                                                                  • Figure 44: Consumers’ purchase behaviour regarding health benefits in drinks, January 2016
                                                                                                • ‘Improve immunity ‘is the most popular claim
                                                                                                  • Figure 45: Health –related purchase factors of children’s drinks, January 2016
                                                                                                  • Figure 46: Top 10 health-related claims on CD products, China 2013-16 (January)
                                                                                                • Functional claims slightly better than ingredient claims
                                                                                                  • Need further education on the ‘no/low sugar’ claim
                                                                                                    • Figure 47: Product examples of CD products sweetened with stevia, UK and South Korea, 2015-16
                                                                                                  • Parents of younger kids interested in probiotics and intelligence growth
                                                                                                    • Figure 48: Health-related purchase factors of children’s drinks, by children’s age, January 2016
                                                                                                • General Attitudes towards Children’s Drinks

                                                                                                  • Prefer children-specific products than regular drinks
                                                                                                    • Figure 49: Consumers’ preference between children’s drinks and regular drinks, January 2016
                                                                                                  • Even preference in package types
                                                                                                    • Figure 50: Consumers’ package preference in children’s drinks, January 2016
                                                                                                    • Figure 51: Package type of New-launched children’ drinks products, China 2013-16 (January)
                                                                                                  • Shop more in-store than online
                                                                                                    • Figure 52: Purchase channel preference, January 2016
                                                                                                  • Prefer ambient milk than chilled
                                                                                                    • Figure 53: Product temperature preference for children’s milk and drinking yogurt, January 2016
                                                                                                    • Figure 54: New-launched children’s milk and drinking yogurt products by storage condition, China 2013-16 (January)
                                                                                                  • Heat-able package design could be favourable
                                                                                                    • Figure 55: Product temperature preference, January 2016
                                                                                                • Desired Improvements from Children's Drinks Products

                                                                                                  • Additives and sugar shall be removed and reduced
                                                                                                    • Figure 56: Desired improvements from children’s drinks products, January 2016
                                                                                                    • Figure 57: Example of children’s juice products without added sugar. Brazil, Philippines and USA, 2015-16
                                                                                                  • Higher threshold price
                                                                                                    • No outstanding needs in new flavours or new brands
                                                                                                      • Figure 58: Top three flavours of children’s flavoured milk and drinking yogurt
                                                                                                  • Appendix – Market Segmentation

                                                                                                      • Figure 59: Segment performance of children’s drinks in China, by volume, 2010-20
                                                                                                      • Figure 60: Retail value sales of children’s milk and flavoured milk in China, 2010-20
                                                                                                      • Figure 61: Retail value sales of children’s drinking yogurt in China, 2010-20
                                                                                                      • Figure 62: Retail value sales of the other* children’s drinks in China, 2010-20
                                                                                                      • Figure 63: Retail value sales forecast, by segment, 2010-20
                                                                                                      • Figure 64: Retail volume sales of children’s milk and flavoured milk in China, 2010-20
                                                                                                      • Figure 65: Retail volume sales of children’s drinking yogurt in China, 2010-20
                                                                                                      • Figure 66: Retail volume sales of the other* children’s drinks in China, 2010-20
                                                                                                      • Figure 67: Retail volume sales forecast, by segment, 2010-20
                                                                                                  • Appendix – Methodology and Abbreviations

                                                                                                    • Methodology
                                                                                                      • Fan chart forecast
                                                                                                        • Abbreviations

                                                                                                        Companies Covered

                                                                                                        To learn more about the companies covered in this report please contact us.

                                                                                                        Children's Drinks - China - April 2016

                                                                                                        US $3,990.00 (Excl.Tax)