HOT : the pre-packaged food market in China

Hello everybody… today we will talk about “the pre-packaged food market” in China is undergoing rapid transformation and expansion, driven by changing consumer lifestyles, increased health consciousness, and technological advancements in food processing and preservation.

Here’s an overview of current food trends, a general market overview, and practical tips for selling pre-packaged foods in China.

Market Overview

China’s pre-packaged food market is one of the largest and fastest-growing globally. This growth is fueled by the urbanization of China’s massive population, the increasing pace of life which has boosted demand for convenient meal solutions, and rising disposable incomes. Additionally, the COVID-19 pandemic has heightened awareness and demand for hygiene, which pre-packaged foods can guarantee.

Food in China : a Booming Market on Tiktok

Key Trends

1. Health and Wellness: Consumers are increasingly seeking healthier food options. Pre-packaged foods that are low in sugar, sodium, and artificial additives, or that cater to specific dietary needs such as gluten-free or vegan, are gaining popularity.
2. Premiumization: There is a growing segment of consumers willing to pay more for premium products. This includes organic and imported pre-packaged foods, which are perceived as being of higher quality and safer.
3. Local Flavor Adaptation: While international flavors are welcomed, products that adapt to local tastes tend to perform better. Incorporating regional Chinese flavors and ingredients can appeal to a broader audience.
4. Convenience and Portability: Products that offer ease of use, such as single-serving packages or easy-to-open and consume formats, cater to the busy lifestyles of many Chinese consumers.
5. E-commerce Growth: Online sales of pre-packaged foods have surged, driven by platforms like Tmall, JD.com, and Pinduoduo. The rise of social commerce on platforms like WeChat and Douyin also presents new opportunities for brand visibility and sales.

 Alibaba founder Jack Ma invested $1.4 million to launch a food processing company named “Ma’s Kitchen.”

Jack Ma, the co-founder of Alibaba and one of China’s most notable entrepreneurs, has launched a new venture in the ready-meals industry, according to corporate records. This new business move comes as Ma continues to shift his focus towards agriculture after stepping back from the e-commerce giant.

The venture, named “Hangzhou Ma’s Kitchen Food,” is based in Hangzhou—the city where Ma started Alibaba and still holds significant influence. Official records from the National Enterprise Credit Information Publicity System reveal that Hangzhou Ma’s Kitchen Food was established with a registered capital of 10 million yuan (approximately US$1.4 million). It is fully owned by another of Ma’s companies, Hangzhou Dajingtou No 22 Arts and Culture, which was created in 2019 to manage investment deals within China. Jack Ma holds a 99.9% stake in this parent company.

Hangzhou Ma’s Kitchen Food will focus on the sales of pre-packaged foods along with the primary processing and retail of edible agricultural products. This aligns with the broader industry trend in China, where there is a growing demand for ready-meals amid changing eating habits post-pandemic.

While Jack Ma had plans to fund these new initiatives by selling some of his Alibaba shares, a recent plunge in stock prices has led him to postpone the sale. This decision underscores the challenges even seasoned entrepreneurs face when navigating volatile markets.

This new business direction not only marks a significant shift in Jack Ma’s professional focus but also highlights his ongoing commitment to innovating within sectors vital to everyday consumers.

so popular that regulations are coming

Entrepreneur’s Tips to success in China

Alright, let’s get into the nitty-gritty of dominating the pre-packaged food scene in China. If you’re gearing up to sell, you’ve gotta be more than just another option on the shelf; you need to be the option.

1. Quality and Transparency are King

First up, if you’re not shouting about the quality and safety of your food from the rooftops, you’re doing it wrong. Make your product’s safety a part of your brand’s story. Clear labeling, top-notch ingredients, and transparent processes aren’t just nice to have; they’re must-haves. Show your customers what goes into their food, and why they can trust you. It’s all about building that trust and keeping it rock solid.

2. Unleash the Power of E-Commerce

This is non-negotiable. Platforms like Tmall and JD.com? They’re your bread and butter. But let’s not stop there. We’re diving deep with social commerce too. You need to be where your customers are scrolling, tapping, and buying.

3. Little Red Book – Your Secret Weapon

Little Red Book, or Xiaohongshu, is your go-to for tapping into consumer conversations. This platform is where your customers are talking about what they eat, what they like, and what they recommend. Get your products featured here, engage with feedback, and use influencers to showcase your products in action. It’s about creating buzz and making your brand a lifestyle choice.

Little Red Book, best plateform in China for UGC

4. Douyin – More Than Just Dance Videos

Think of Douyin as your brand’s hype man. It’s perfect for quick, catchy videos that show off just how awesome your food is. Why just tell someone your snacks are delicious when you can show a fun video of someone enjoying them? Get creative, use humor, and keep things snappy. Live streaming your production process or hosting tasting sessions can spark massive engagement.

Promotion of Instant Noddle

5. Dianping – Don’t Just Exist, Dominate

Dianping isn’t just for restaurants; it’s a goldmine for reviews and local searches. Make sure your products are listed and reviewed here. Encourage happy customers to drop some love in the form of a review. It’s about social proof; the more people talk about you, the more they want to buy from you.

6. WeChat – Your Day-to-Day Connection

Create a WeChat official account and keep it bustling with activity. Share updates, run promotions, and directly sell your products through WeChat Stores. It’s also your customer service hub. Be responsive, be helpful, and be present.

7. Packaging That Pops

Your packaging needs to grab eyes. It should scream “pick me up!” from the shelf. Make it visually appealing and shareable. When someone pulls out your product, it should be Instagram-worthy. Think about unboxing; make opening your product an experience.

Where are you ? 😉

8. Know Your Audience

China is huge and diverse. Customize your offerings and marketing to regional preferences and tastes. The more tailored your approach, the better you’ll resonate with different style .

“only by doing, getting feedbacks you will know it in China ” explained Philip Chen GMA

9. Stay Engaged and Agile

Lastly, listen to your customers, adapt to feedback, and always be ready to pivot. The market’s always changing, and so should you. Stay ahead of trends, and don’t be afraid to lead them.

10 Distribution online First, Offline Second

Yes , strange but it works like this in China

There you have it. Selling pre-packaged food in China is about way more than just having a great product. It’s about making noise, getting seen, building trust, and staying connected. Hit these platforms hard, make your brand impossible to ignore, and watch as those sales numbers start to climb.

Let’s go get it!

• Alone
• with partners (contact us)

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