Business · Companies · 57 mins ago
China snack retailer shifts focus from own-brand goods to cold-chain logistics
Mingming Hen Mang is scaling back its own-brand strategy at its snack stores in China.
The retailer launched its own-brand products in February last year, but about a year and a half later they had disappeared from key store shelves.
That move runs against a trend among Chinese retailers, which are expanding own-brand goods to seek higher margins and more control over prices.
Mingming Hen Mang is instead using its large purchasing power to source products with distinct specifications.
It is also directing investment to cold-chain logistics, which helps transport goods that need temperature-controlled handling.
The company’s latest business report did not separately mention a plan to develop its own brands.
Its next growth focus is differentiated sourcing and logistics infrastructure, rather than expanding its own-brand range.
China’s Mingming Henwang snack retailer is scaling back its private-label strategy and directing more resources to differentiated product sourcing and cold-chain logistics.
The retailer launched private-label products on a large scale in February last year.
About a year and a half later, those products were no longer on key store shelves.
The company’s latest business report did not separately mention a private-label development strategy.
The shift differs from a broader trend among Chinese retailers to expand private labels for higher margins and greater pricing power.
- Who
- Mingming Henwang, a large Chinese snack retailer.
- What
- It is reducing its focus on private-label products and investing in differentiated sourcing and cold-chain logistics.
- When
- It launched private-label products in February last year; about a year and a half later, they had disappeared from key shelves.
- Where
- China.
- Why
- The retailer is focusing resources on differentiated product sourcing using its purchasing power and on building cold-chain infrastructure.
This story does not have two clearly opposing sides.
Mingming Henwang launched private-label products on a large scale.
Private-label products were no longer on the retailer’s key store shelves.
- Retail network
- 30,000 stores
- Private-label launch
- February last year
- Shelf change
- Private-label products disappeared from key shelves about a year and a half after launch
- New focus
- Differentiated product sourcing and cold-chain logistics