Our instant noodle industry plunged into an unprecedented crisis
Not long ago, Master Kong instant noodles giant to hand over the first half of this year sales and net profit double down the performance of respondents. June Master shares had dropped to 6.4 Hong Kong dollars, a record low of nearly nine years. Master Kong is China's largest instant noodle brand, sales of more than all other brands and; while Master Kong instant noodles is the most important business, revenue accounting for 40% within the group. Therefore comment was, in fact, performance is also Master of instant noodles market decline from flourishing shift course.
Nielsen statistics show that the market share of Master Kong and unified way in the past years at 50% and 20% from top to bottom, the two accounted for more than Qicheng Chinese instant noodle market share, but two strong industry pattern perennial stability. But last year, Master Kong, unity in the earnings are continually disclose the risks of China's instant noodle market recession.
It is understood that in the past in 2015, fell into instant noodles industry into an unprecedented crisis. Industry-wide sales fell 12.5%, the industry's largest companies Tingyi profit fell 35-40%, almost cliff-like drop, twenty-two leading enterprises, has announced that six out of the market.
Some people in this market phenomena attributed to "health problems" instant noodles "no nutrition", "junk food", "preservative" and other labels near the body allowed to become synonymous with unhealthy foods. It was also considered the impact of takeout business, hot takeaway network platform, so that people stay home is no longer the preferred instant noodles, fingertips color, flavor and taste of a meal on to the front. However, I believe that is the instant noodle industry profits increasingly meager decline culprit. The cause profits not only raw materials, rising labor costs, as well as investment in technological innovation can not be effectively protected.
Instant noodles lack of effective protection of industrial technology innovation
Instant noodles unprotected industrial technology innovation, from the packaging, the taste will be able to spy or two. Whether you often eat instant noodles, instant noodles can say one or two flavors, like the classic "braised beef noodle soup," the feeling has been accompanied by the author from children to adults; popular in recent years, "old altar sauerkraut" has become each instant noodles standard.
On the one hand people Tucao instant noodles taste hundred years, on the other hand instant noodles business people are also very helpless. Insiders said, technology and cost are the key to hinder the development of innovative instant noodles. Technically, can only do fresh vegetables dried vegetables prepared package varieties are relatively simple, there is no more advanced molding technology allows instant noodles and side dishes can be both long-term preservation together but in a short time through the hot water heated to restore the state, especially especially in meat products. Another point is the price of instant noodles once exceeds a certain range means that self-defeating, which directly determines the instant noodles to the actuarial cost of raw materials. Ingredients people have high demand, the manufacturers of the need for strict cost control. The price is too high, the consumer is difficult to accept, low prices, good cost control. These two points can be developed to limit the scope of instant noodles in a very narrow range.
Another key reason for instant noodle makers neglect innovation is unable to form an effective protection of innovation, when a brand new innovation and a taste of other brands will herd, from the name to the packaging design, colors are vividly imitate. Master braised beef noodles housekeeping varieties of red bags each brand has now become a standard product with taste. The unity lasted several years developed the old altar pickled surface is nearly two years, causing the industry to follow suit varieties, including Master, white elephant, Jinmailang so launched a similar product, the peer-purple bags are imitated trace not bad, in the supermarket without looking really difficult to distinguish. Even industry sources ridicule, "If you developed a taste did not imitate others, can only say that sales of this product will not do!"
Parody prevailing industry is mainly due to many SMEs are unable to inadvertently develop new products. According to insiders, in order to open a new nationwide taste of instant noodles, no one million orders of magnitude advertising is simply impossible. The current low-end instant noodles per package only 10% gross margin, that is one or two cents a pack. If there is no large scale sales, probably developed new varieties it is a loss, which makes many companies prefer waiting to imitate a share, rather than invest in the development test piece. This has led to domestic instant noodle industry as several giant development of other brands follow suit to imitate situation. A high degree of homogenization of competition makes the developer's market share be affected, follow the trend can only follow the soup, which the entire industry is clearly unfavorable. "Red hot, blue ocean lonely," was described instant noodle market homogeneity, low-level, no difference in the current competition.
Instant noodle industry technology innovation is imminent
In summary, if the technical innovations of instant noodles industry has been left unprotected, it will make the entire industry toward extinction. This innovative R & D alone several chiefs of instant noodles, is utterly inadequate, not to mention the fruits of labor is also susceptible to other companies steal, a great blow to their creative activity. Instant noodle packaging, was criticized Shizhuwunai taste innovation requires countries to strengthen the social dimension of respect for intellectual property, increase the cost of illegal, in order to cure. However, the current situation of view, the road hard and long.
In addition, the instant noodle industry technology innovation may be a breakthrough in the development of the industry. It is understood that in the case of increasing the cost of the domestic instant noodle makers have tried to take the high road, and strive for greater interest to seek industrial transformation and upgrading. This year for the urban white-collar Master launched a "soup master" end cup noodles, price increase to more than $ 4.5 grade. Unity also diametrically opposed vigorously layout high-end instant noodle market, only the first half has launched a "Kodate will", "accompanied by a City" and "Man-Han Banquet" three new brands, through different brands and price layout of different consumer groups. The "Man-Han Banquet" pure play high-end market, the price actually set at 29.9 yuan. But in fact, nearly 30 yuan a unified pricing "Man-Han Banquet" on the market is not optimistic about the high cost of many large supermarket shelves simply no shelves.
I believe that high-end instant noodles industry can be said to achieve a certain degree of technological innovation, but the consumer seems, is not enough. Mentioned above, there is no more advanced molding technology allows instant noodles and side dishes can be both long-term preservation together but in a short time by heating water on the restoration of the state, especially especially in meat products. Currently only do fresh vegetables dried vegetables prepared package varieties are relatively simple. This is such a level of 29.9 why consumers go to instant noodles pay for it?
Thus, technological innovation, we must first solve the problem of the moment is the instant noodles industry encountered. For example, how can garnish molding with both long-term preservation of instant noodles together but in a short time by heating water to restore the state; how to make the process more healthy instant noodles; instant noodles how to improve production efficiency, raw material costs in the premise can not be changed under improve productivity is to save costs, technological innovations in this area should not be ignored.