Sau San Tong Introduces Luxury Fruit and Vegetable Drinks

Sau San Tong has quietly entered the beverage industry with slimming beauty “cross-border” and introduced the purely American-made blended fruit and vegetable beverage, Ginseng Drink G28.

Responsible person in charge of Sau San Tong told reporters in response to the “Daily Economic News” interview that the beverage will take the small group personalized route, first with the Sau San Tong stores in the Mainland, and then will consider entering Watsons, pharmacies, etc. Related channels.

In fact, in recent years, the competition in the beverage industry in China has been quietly subdivided. Black sesame paste has been launched across the border with black sesame extract. Wang Laoji and JDB are chasing you at the herbal tea market, Xiamen Yinlu’s Peanut milk sales exceed 10 billion yuan, and the company's common competitors and "crowd" are carbonated drinks.

Positioning high-end crowd 750ml price of 698 yuan

The market segment has become a competitive weapon for the beverage industry. A research report on the beverage industry of Guotai Junan believes that “subdivided industries will each develop rapidly”, and the reporter learned that Sau San Tong’s beverage is more focused on cross-border and segmented markets. The subdivision.

Sau San Tong This fruit and vegetable beverage named “Gengcui G28” belongs to the fast-growing fruit juice beverage. Huiyuan, Coca-Cola and Wahaha brands have an unassailable leading position. Therefore, Sau San Tong's beverage is located in the high-end crowd, each bottle capacity is 750ml, the retail price is as high as 698 Yuan/bottle, the price is ten times that of ordinary fruit and vegetable beverage. The company said that the reason why the price is so expensive is that it has been selected from around the world including 15 kinds of natural fruits, 9 kinds of vegetables and food essences, and it is limited to the size of the United States. The luxury products in beverages are also sought to be subdivided in the fruit and vegetable beverage market and become a selling point.

According to the person in charge of Sau San Tong China, since 2010, Sau San Tong has entered the mainland China to develop the “Zhang Yu Shan Sau San Tong” cooperative store business. Currently, there are 220 cooperative shops in 70 cities across the country, of which 110 have been opened. , Each family has 50-80 customers. In this way, Sau San Tong currently has approximately 8,000 loyal users. The first step is to accurately target these users through cross-industry and cultivate the market in one to two years.

"Daily Economic News" reporter learned that G28 does not have an advantage in terms of production capacity. At present, G28 is entirely manufactured and manufactured at an American OEM factory. According to the situation in the Chinese market, it is imported regularly. The company also stated that the previous period has seen "off "The phenomenon of goods."

"Therefore we have only 10,000 bottles in the early stage. We will decide whether or not to increase the production capacity according to the sales situation." The company told reporters.

The company’s latest financial report showed that the company’s turnover in the third quarter of 2012 was 296 million yuan, a slight increase of 2% year-on-year. A loss of 4.58 million yuan was recorded, compared with 3.19 million yuan in net profit last year. The company stated that the loss was mainly due to the slowdown in consumer sentiment and the drop in sales of the franchise business, resulting in a drop in gross margin, and an increase in operating costs due to investment in business expansion.

Yan Qiang, a partner of Hejun Consulting, told the reporter of “Daily Economic News” that speaking of the channel, this product is relatively good for taking beauty channels, but it is relatively difficult to sell products to retail stores in terms of the current positioning of products. "What kind of product should be matched in terms of what kind of channel, and relatively speaking, this product should take a special path, so the beauty channel is also more compatible, but the traditional channel will be less effective."

Segmentation products and segmentation channels break through to seize the market

Guotai Junan’s beverage industry research report pointed out that per capita consumption of soft drinks in China has increased significantly from 39 litres in 2007 to 96 liters in 2012, while Japanese cool beverages (which means that alcohol beverages, milk and dairy products do not contain low alcohol content In 1% of beverages, similar to China's soft drinks, per capita consumption has reached more than 140 liters in 2007. Due to the close eating habits of Japan and China, and the development of their beverage industry ahead of China,

According to data released by the National Bureau of Statistics at the end of last year, the market share of carbonated beverages in China has dropped to 21.9%, lagging behind 25.7% of drinking water and 22.2% of juice products. In 2000, the market share of carbonated drinks in China accounted for It reaches 36%.

“We believe that the per capita consumption of soft drinks in China is still very room for improvement. Per capita consumption of soft drinks in the next few years will continue to maintain a rapid growth trend in previous years.” Guotai Junan research report said.

However, objectively, the fierce competition in the Chinese market and the regional characteristics of Chinese consumers have meant that the only sub-market beverages that have become truly successful in the current era are only Wang Laoji, who is currently caught in the brand dispute. Therefore, subdivided products and subdivision channels have become the method of competition for other niche beverages, that is, they do not make traditional FMCG products.

"Because the characteristics of FMCG products are fast, popular, and the price is cheap, this product is obviously not a traditional fast-moving consumer product." Yan Qiang said, so this product similar to "luxury goods" from the current point of view, it should also It is very small and should be sold to high-end venues such as high-level clubs and five-star hotels.

“Sau San Tong is a middle to high end in beauty slimming, and from the perspective of the pricing and positioning of Shancang Drinks, it is possible to correspond with Sau San Tong’s related customer groups, which means that Sang Sang Tong’s current customers will also be Shan Chong Tang’s current customers. Potential customers,” an industry source in the beverage channel told the “Daily Economic News” reporter.

Judging from the information currently available to reporters, the product that Sau San Tsang is introducing is a sub-category that has been introduced for customers. In fact, companies that are currently working on segmented products are not just Sau San Tong. Not long ago, Tiandi Yihao Beverage Co., Ltd. (hereafter referred to as "the Tiandi Haohao") launched a short-term classification of functional beverages, such as the rushing nickname, and the soon-to-be-produced hawthorn-flavored botanical drink "Baicaohao."

“In terms of subdividing categories, it seems that there are many competitors, but it is actually very small.” The aforementioned industry sources stated that, for example, the current domestic functional beverages include Red Bull, Kaili, BaoMine, and pulse, but We now see that there is a clear difference between the product of Tiandi Haohao and Sau San Tong, and the products such as Baicao Renhao and Shancui Drink G28 are different from ordinary fruit juice drinks.

“The realization that imported fruit juices imported from abroad is similar to the operation of the Chinese market. Pricing is relatively high, and there is also a mode of operation of health products, because traditional juices are already occupied in the domestic market. Both the channel and the market have nothing to share,” Gao Jianfeng, managing director of Bogey Consulting Dong, said in an interview with a reporter from the “Daily Economic News” that they “take another path” to take a special channel.