The Battlefield of Pre-prepared Dishes: Without Major Items, Only to Be Cannon Fodder!
The 'China Catering Ingredients Development Report 2024' points out incisively that the key to breaking through in the ingredients industry lies in 'focusing on major items and developing pre-prepared dishes.' As the catering industry transitions from a chaotic mix of categories to an era dominated by 'major items,' pre-prepared dish companies have no choice but to either bet on a super item or be eliminated by the market.
The industry's growth is accelerating, and the environment for major items is favorable. Pre-prepared dishes are not only a transformative force in the catering industry but also a new engine driving rural revitalization and the integration of primary, secondary, and tertiary industries in rural areas. This value is recognized by local governments, and supportive policies have been introduced in recent years.
The industry's prospects are promising, with China's pre-prepared dish market expected to reach 769.1 billion yuan by 2026, with an annual compound growth rate (CAGR) of over 20%. In this blue ocean, which types of pre-prepared dishes have the greatest potential for breakthrough?
Based on market demand analysis, there are four key directions to watch:
Universal Classic Dishes: National dishes like Fish-Flavored Pork Slices and Kung Pao Chicken are widely accepted, easy to prepare, and have minimal regional restrictions, making them naturally suited for becoming major items.
Eight Major Dishes: Famous dishes such as Minnan Ginger Duck, Cantonese Salt-Baked Chicken, and Sichuan Braised Pork with Preserved Vegetables have deep consumer recognition and stable taste foundations, making them easy to accept in the pre-prepared market after being pre-prepared.
Popular Catering Dishes in Pre-prepared Form: Popular dishes like pickled fish, grilled fish, poured noodle soup, barbecue, and crayfish have a large consumer base and strong taste memories, making them well-suited for the pre-prepared market.
Scenario-based gift box products: These are designed for specific occasions such as festival gifts, family gatherings, and banquets, including traditional dishes like Buddha Jumps Over the Wall, Eight Dishes, and New Year's Eve dinner sets. They appeal to a broad audience and have a strong demand.
The success of these products is not just theoretical. Japanese convenience store giant 7-Eleven has already demonstrated the power of' universal items 'through everyday staples like fried rice and udon. In Taiwan, China, well-known catering companies like Wangpin Group have successfully implemented the' retailization of dining 'model, turning restaurant signature dishes into regular items in consumers' refrigerators.
Current leading pre-prepared food categories: The top-selling products in the market are performing well on both the B-end and C-end. These can be categorized as follows:
Meat and poultry: sausages, small crispy meat, fatty intestines, fan bones, braised pork with preserved mustard;
lamb and mutton: lamb knuckle, stir-fried yellow beef, beef brisket stew; poultry: fried chicken, chicken cutlet, chicken nuggets; Western-style pre-prepared dishes and Chinese-style meal kits like Kung Pao chicken and Fish-flavored shredded pork.
Aquatic: pickled fish, grilled fish, crayfish, bullfrogs, etc. Frozen noodles and pastries: glutinous rice cakes, baozi, dumplings, tangyuan, and other snacks and staple foods. Cold dishes: seaweed, wakame, and various other products.
Pre-prepared food companies must break through with three core rules: To stand firm and even stand out in the increasingly competitive pre-prepared food industry, companies must accurately grasp a set of survival rules.
The core of these rules can be summarized as three mutually supportive elements:single-item focus, efficiency revolution, and mental dominance. Concentrating efforts on creating a 'big item' with an absolute advantage is key to quickly breaking into the market.
This requires companies to deeply understand consumer trends and continuously invest in product innovation, refining products with unique features to build a solid competitive barrier, forming an unbreachable 'moat.' Dominating the market with blockbuster products and winning with super items is the industry's golden rule.
Many pre-prepared meal companies have adopted the strategy of focusing on major products as their main direction, such as the rapidly rising Dingding Lazy Man's Vegetable, which has a very clear product strategy: focusing on pickled fish. The efficiency revolution: reducing costs and improving efficiency is not just about layoffs; its essence lies in maximizing efficiency through improving human efficiency, optimizing organizational structure, and innovating production processes. This is essentially a pursuit of excellence in a 'lean revolution.' For example, a factory in Japan achieved annual sales of 100 million RMB with only 36 employees. How did they achieve this? Six managers + one salesperson, three-shift production, long-term focus on a single product, highly automated production, and the ultimate in production, research and development, technology, and cost control.
Strong product competitiveness, stable customer relationships, and guaranteed sales. Mindset occupation is brand marketing: in a market environment with oversupply and severe homogenization, if pre-prepared meal companies want to achieve long-term success, they must occupy the high ground of consumers 'minds, which means building strong brand recognition.
However, brand building is a long-term battle. The essence of a brand is the unique imprint it establishes in the minds of its audience, distinguishing it from competitors, much like when consumers think of fish balls and other hot pot ingredients, they immediately think of' Anjing.' Brand strategy positioning experts point out that 60% of brand success depends on corporate strategy, 30% on brand positioning, and about 10% on the contribution of advertising and other communication aspects.
The three elements work together, none of which can be missing: "Single-item focus" provides businesses with a clear focal point and market breakthrough. The "efficiency revolution" ensures that single items can be produced at the optimal cost and efficiency, serving as a strong support for the former. "Mindset capture" ensures that high-quality and efficient products are recognized, remembered, and chosen by the market, completing the final step of value transmission.
In the pre-prepared food industry, brand marketing is crucial, but ultimately, it must adhere to the fundamental principle that "the product is king." The quality-to-price ratio (the balance between quality and price) is the core foundation for the sustainable development of enterprises.