Community group buying hits the condiment industry? 

Is the condiment industry, as the gathering place of white horse stocks, going to "change the sky"?

Recently, the semi-annual reports of several leading listed companies in the condiment industry have been released one after another.

In addition to Qianhe Flavor Industry, several other listed companies in the condiment industry also performed poorly.

Performance of many condiment companies declines

Qianhe Flavor not only saw a sharp year-on-year drop in the company's net profit in the first half of the year, but its stock price has also fallen by more than 40% since the beginning of this year

In addition to Qianhe Flavor Industry, the performance of several other listed condiment companies in the first half of the year also declined

Qianhe Flavor's financial report for the first half of the year shows that during the reporting period, the company's promotion and advertising expenses increased, resulting in sales expenses reaching 234 million yuan, an increase of 38.

However, marketing is a double-edged sword.

Double attack affects industry performance

It can be seen from the semi-annual reports of industry leaders such as Qianhe Flavor, Haitian Flavor, and Zhongju High-tech that the rising cost of raw materials and the rise of community group buying are the common reasons that affect the company's performance

According to the semi-annual report of Qianhe Flavor Industry, the operating cost increased by 27.

In addition, in recent years, Internet giants such as Pinduoduo and Meituan have focused on developing community group buying business.

Before the emergence of online grocery shopping platforms, consumers generally believed that products sold in large supermarkets would be more affordable

Consumption upgrades may bring new opportunities

Although the "answer sheets" handed over by the existing top players in the condiment industry in the first half of this year are not very eye-catching, this does not prevent many new players from flocking to the track

A report released by iiMedia Research predicts that the market size of the condiment industry will exceed 400 billion yuan this year, and with the changes in Chinese family demographics and the development of concepts, China's condiment industry will usher in a new round of development

The industry analysis report released by the Gaohe Investment Research Center also pointed out that the improvement of people's living standards will promote the continuous upgrading of the condiment product structure, and the development opportunities of the condiment industry will appear more in the complex seasoning and small category seasoning driven by consumption upgrades.

According to the data of China Condiment Association, although traditional single-flavor condiments (basic condiments) still occupy most of the market share of the condiment market, the growth trend is slowing down, and compound condiments, hot pot condiments, etc.

However, it remains to be seen whether this can become a new competitive bargaining chip for the condiment industry

(Li Zhiwen Zhang Song)