Rising rents and lower profits have forced General Mills Inc’s ice-cream brand Haagen-Dazs to close stores in second- and third-tier cities in China amid a slowdown in the ice-cream market mainly due to a lack of innovation and its inability to keep pace with demand from increasingly sophisticated Chinese consumers…Full Article: ECNS.cn July 2016

Key Points

  • Häagen-Dazs has 380 ice cream shops located across 84 cities in China. In 2015, the company opened more than 60 new shops.
  • In 2015, Häagen-Dazs reportedly had 17.8% market share in China, followed by Dairy Queen Corp (also USA) at 15.6%.

ChinaAg Comments

  • According to a 2015 report, China annually consumes approximately 5.9 billion liters of ice cream, the most worldwide. Another analysis noted that annual Chinese ice cream consumption stands at 4 liters per capita.
  • From 2010 to 2015, Chinese (incl. Hong Kong and Macau) imports of ice cream products increased from 9,861 MTs to 23,869 MTs. In 2015, approximately 25% of Chinese ice cream imports entered via Hong Kong, while the remaining 75% entered via the mainland. In 2015, France was the largest supplier (11,288 MTs), followed by South Korea (4,590 MTs), and Thailand (2,116 MTs). New Zealand was the fifth largest supplier at 794 MTs.
  • In 2014, China’s ice cream sales totaled US$11.4 billion.

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