Rating: OUTPERFORM (maintain)
The market segments of adult incontinence/ baby hygiene/ feminine hygiene products had CAGRs of 15.7%/12.5%/10.4% over 2014-19. With China’s GDP per capita rising, consumer demand evolved from price and quality to more diverse requirements like comfort, function, quality, convenience and safety. Domestic brands embraced new e-commerce channels and grew quickly.
Absorbent hygiene products’ volume and price rises; diverse demand needs
According to statistics by the China Paper Association, absorbent sanitary products had a domestic market of RMB116.53bn in 2019, at a CAGR of 11.7% from 2014 to 2019; consumption was 164.61bn pieces, with a CAGR of 4.6% from 2014 to 2019; the per-piece price was stable at RMB0.71 in 2019, up significantly by 23.2% yoy from RMB0.66 in 2016, a CAGR of 6.7% from 2014 to 2019.
The various market segments
The market sizes of feminine hygiene/ baby hygiene/ adult incontinence products were RMB57.22bn/49.88bn/9.44bn, accounting for 49.1%/42.8% /8.1% of the total. In terms of growth, adult incontinence > baby hygiene > feminine hygiene products, with CAGRs of 15.7%/12.5%/10.4% in 2014-19. With China’s GDP per capita at USD8,242.05 in 2019, consumer demand evolved from price and quality to more diverse requirements such as comfort, function, quality, convenience and safety. Domestic brands embraced the new retail e-commerce channels and grew quickly.
Baby hygiene products: with volume and price rising drive growth, more domestic brands are emerging. The market size of China’s baby hygiene products in 2020 was RMB70.34bn, with a CAGR of 18.0% from 2006 to 2020; consumption was 36.97bn pieces, with a CAGR of 15.5% from 2006 to 2020, the main driving force of the industry. The price was RMB1.90/sheet, with a CAGR of 2.2% from 2006 to 2020. The industry concentration fell as foreign brands generally declined, allowing local brands to seize more market share. Based on brands, China’s baby hygiene product market CR3 declined from 52.1% to 31.5% from 2011 to 2020. This was because consumers have changed their perceptions of made-in-China products; some domestic products used the same OEM/ODM factories as the international brands, so there was essentially no difference in quality. Chinese brands Lelch, Dodie and Babycare performed well with high-quality products, building up reputation and popularity.
Chinese feminine hygiene products: the industry has entered a mature period; driven by increasing prices, domestic brands have performed well. The volume and price of China’s feminine hygiene products industry increased from 2006 to 2017, and it turned into a price-driven market in 2018. The Chinese feminine hygiene market size reached RMB890.67bn in 2020, with a CAGR of 7.9% from 2006 to 2020; consumption came to 117.22bn pieces, a CAGR of 4.0%; the price was RMB0.76/piece, a CAGR of 3.7 the main driving factor. In addition, market concentration gradually increased from 2011 to 2020. In terms of brands, CR3 increased from 19.6% to 29.5% and CR5 increased from 24.3% to 36.7% in the period. Su Fei’s market share rose from 4.8% in 2011 to 12.7% in 2020. In addition, domestic brands performed better, with six local names in the industry ten top in 2020: Hengan International, Kingdom Healthcare, Baiya Sanitary, C-Bons Group, Guilin Fugui and Fujian Hengli
Adult incontinence products: in a ramp-up phase. In the price-driven market, the main driver is volume increase, and domestic brands are more competitive in pricing. The market size was RMB5.121bn in 2020, at a CAGR of 21.7% over 2006-20. Consumption was 2.05bn pieces, a CAGR of 18.5% over 2006-20, the main driver. The price was at RMB2.5/piece, with a CAGR of 2.7% over 2006-20. Domestic brands were more price competitive and the more reliable brands grew strongly, with a market share of 9.4% in 2020. This was mainly due to competitive advantages in product quality and price, and a focus on e-commerce channels. In addition, the reliable brands tied up with nursing institutions to integrate internet plus elderly care platforms to increase brand awareness and support performance growth.
Pet health supplies: domestic pet products’ brands on the rise. The US pet supplies and pet medicines market size was USD19.2bn in 2019. The European and Japanese pet supplies markets were EUR8.5bn and JPY170bn in 2018. China’s pet supplies market was RMB23.68bn in 2019. In terms of purchasing channels, unlike developed countries in Europe and the US, which are dominated by supermarkets, Chinese pet owners are more inclined to buy pet supplies, including pet hygiene products, in franchised pet stores and e-commerce channels. A China pet industry white paper in 2019 stated that 58.20% of pet owners typically selected online e-commerce for pet supplies, and would prefer to use Tmall/Taobao/JD, represented by the large e-commerce platforms, mainly on account of quality. The factors include guarantees, a variety of goods sources, large discounts, many promotional activities, speed and convenience. In addition, manufacturers relied on the domestic pet business for rapid channel development and gradually the ODM/OEM model changed to one that was ODM/OEM-based while also taking into account independent pet brand development, with emerging brands such as 「Mad Dog」 (疯狂的小狗), 「Hua Pet」 (华元宠物) and 「Favorite」 (宠幸).
Risks include: competition risks; sharp fluctuations in raw material prices such as wood pulp; and slower-than-expected macro-economic growth.
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評級：強於大盤(維持)
2014-19年，成人大小便失禁/嬰兒衞生/女性衞生產品的市場細分市場的年複合增長率分別為15.7%、12.5%和10.4%。隨着中國人均GDP的提高，消費需求從價格和質量向舒適、功能、質量、便利、安全等更加多樣化的要求發展。國內品牌擁抱了新的電子商務渠道，並迅速增長。
保濕保健品量價齊升，需求多樣化
據中國造紙協會統計，2019年吸水性衞浴產品國內市場規模為1165.3億元，2014-2019年複合年均增長率為11.7%；消費量為1646.1億件，2014-2019年複合年均增長率為4.6%；2019年單價穩定在0.71元，較2016年的0.66元大幅增長23.2%，2014-2019年複合年均增長率為6.7%。
各個細分市場
女性衞生/嬰兒衞生/成人大小便失禁產品市場規模分別為572.2億元/498.8億元/94.4億元，佔49.1%/42.8%/8.1%。在增長方面，成人大小便失禁>嬰兒衞生>女性衞生產品，2014-19年的複合年均增長率為15.7%/12.5%/10.4%。2019年，中國人均國內生產總值為8242.05美元，消費需求從價格和質量向舒適、功能、質量、便利、安全等更加多樣化的要求發展。國內品牌擁抱了新的零售電子商務渠道，並迅速增長。
嬰兒衞生用品：隨着銷量和價格的上漲推動增長，越來越多的國產品牌正在湧現。2020年我國嬰兒衞生用品市場規模為703.4億元，2006-2020年複合年均增長率為18.0%；消費量為369.7億件，複合年均增長率為15.5%，是行業的主要驅動力。價格為1.9元/張，2006-2020年複合年增長率為2.2%。行業集中度下降，因為外國品牌普遍下降，允許本土品牌搶佔更多市場份額。從品牌來看，從2011年到2020年，中國嬰兒衞生產品市場CR3從52.1%下降到31.5%。這是因為消費者已經改變了他們對中國製造產品的看法，一些國內產品使用了與國際品牌相同的OEM/ODM工廠，因此在質量上基本上沒有區別。中國品牌樂馳(Lelch)、多迪(Dodie)和保姆(Baycare)憑藉高質量的產品表現出色，建立了聲譽和人氣。
中國女性衞生用品：該行業已進入成熟期；在漲價的帶動下，國產品牌表現搶眼。2006年至2017年，我國女性衞生用品行業量價齊升，2018年轉為價格驅動型市場。2020年，中國女性衞生市場規模達到8906.7億元，2006-2020年複合年增長率為7.9%；消費達到1172.2億件，複合年增長率為4.0%；價格為0.76元/件，複合年均增長率為3.7%，是主要驅動因素。此外，從2011年到2020年，市場集中度逐漸提高。品牌方面，期內CR3由19.6%升至29.5%，CR5由24.3%升至36.7%。蘇飛的市場份額從2011年的4.8%上升到2020年的12.7%。此外，國產品牌表現較好，2020年度行業十強中有6家本土品牌：恆安國際、王國醫療、百雅衞浴、C-Bons集團、桂林富貴、福建恆力
成人尿失禁產品：處於加速階段。在價格驅動的市場中，主要驅動力是銷量增加，國產品牌在定價上更具競爭力。2020年的市場規模為51.21億元人民幣，2006-2020年的複合年增長率為21.7%。消費量為20.5億件，2006-2020年的複合年增長率為18.5%，這是主要驅動力。價格為2.5元/件，2006-2020年的複合年增長率為2.7%。國產品牌更具價格競爭力，更可靠的品牌增長強勁，2020年市場份額為9.4%。這主要是由於產品質量和價格方面的競爭優勢，以及對電子商務渠道的關注。此外，可靠的品牌與護理機構捆綁在一起，整合互聯網+老年護理平台，以提高品牌知名度，支持業績增長。
寵物健康用品：國內寵物產品的品牌正在崛起。2019年，美國寵物用品和寵物藥品市場規模為192億美元。2018年，歐洲和日本的寵物用品市場分別為85億歐元和1700億日元。2019年，中國寵物用品市場規模為236.8億元人民幣。在採購渠道方面，與歐美髮達國家以超市為主不同，中國寵物主人更傾向於在寵物專賣店和電商渠道購買包括寵物衞生用品在內的寵物用品。2019年中國寵物行業的一份白皮書稱，58.20%的寵物主人通常會選擇在線電商購買寵物用品，他們更喜歡使用以大型電商平台為代表的天貓/淘寶/京東，主要是因為質量。這些因素包括保證、多種貨源、大折扣、多促銷活動、速度和便利性。此外，製造商依靠國內寵物業務進行快速渠道開發，並逐漸將代工/代工模式轉變為以代工/代工為基礎的模式，同時也考慮到獨立寵物品牌的發展，出現了“瘋狗”(瘋狂的小狗)、“華寵”(華元寵物)和“最愛”(寵幸)等新興品牌。
風險包括：競爭風險；木漿等原材料價格大幅波動；宏觀經濟增長慢於預期。
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