Chinese brands wrest edge in FMCG sector

In China's fast-moving consumer goods or FMCG sector, digitalization, New Retail and targeted product launches are increasingly giving Chinese brands a clear edge over foreign labels, according to a new research report and experts.

Local brands' lead is also due to higher penetration rates and stronger volume growth relative to price growth, according to the report published jointly by Kantar Worldpanel and Bain&Co.

Between 2015 and 2017, the so-called insurgent local brands had just a 6-percent share of the 33 categories these local insurgent brands represent, but delivered nearly 20-percent of value growth in their sub-categories.