Monday 1 July 2013

Recent Report: Vitamins and Supplements Market Size in China - June 2013


The Chinese vitamins, minerals and dietary supplements market has grown solidly in the last five years. The market is being driven mainly by increased demand and diversification in retail channels. Market demand continues to rise on the back of increased awareness of health and health issues due to government policies, economic growth and changing lifestyles.


Introduction
Definition
Report structure
Methodology




Executive Summary
The market
Figure 1: Vitamins and minerals market forecast (value sales), 2007-17
Companies and brands
The consumer
Vitamins, minerals and supplements: core consumers
Frequency of taking vitamins, minerals and supplements
Reasons for buying vitamins, minerals and supplements
Consideration factors for buying vitamins, minerals and supplements
Channels of buying vitamins, minerals and supplements
Issues in the market
There are huge barriers to growth in the market due to consumer understanding and consumption habits of vitamins, minerals and supplements.
Potential to tap into market demand for product diversification
Room for growth in the specialist store channel
What we think

The Market
Key points
The vitamin and minerals market was worth almost RMB 22 billion in 2012
Figure 2: China’s vitamin and minerals market value sales, 2007-12
The market is forecast to reach RMB 35 billion by 2017
Figure 3: China’s vitamin and minerals market value sales forecast, 2007-17
Market drivers
Factors affecting demand
An industry that has been tainted by scandal...
but that has since taken a more sophisticated approach
Further regulations introduced in 2003 and 2010
Widespread sub-health is leading to a rise in chronic diseases.
Population ageing
Consumers growing more health-conscious
Gifting opportunities for supplements
Factors affecting supply
Rich source of raw materials
National policy
Diversification in retail channels
Main barriers to growth
The Western idea of nutritional supplements conflicts with traditional Chinese concepts of well-being.
Competition from functional health foods
Lack of obvious effects means people do not keep up consumption
Barriers at the retail channel
Market segmentation
Figure 4: Value sales of vitamins, minerals and dietary supplements in China, by segment (RMB 1 bn)

Companies and Brands
Key points
Number of companies is small, strong brands increasingly consolidating
Figure 5: Vitamins, minerals and supplements companies, by brand share, 2009-11
Companies
Amway
Wyeth Pharmaceuticals
Harbin Pharmaceutical Group Sixth Pharm Factory
Shanghai GoldPartner Biotech Co., Ltd
Hangzhou Sanofi-aventis Minsheng Pharmaceutical Co., Ltd
Harbin PharmGroup Sanchine Pharmaceutical Co., Ltd



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