Time-honored TCM brand taps growing demand from younger consumers

Shandong Hongjitang Pharmaceutical Group Co Ltd, a 119-year-old traditional Chinese medicine company based in Jinan, Shandong province, is expanding its reach among younger consumers as growing health awareness and changing lifestyles create new demand for traditional remedies and wellness products.

Yan Hu, the group's president, said young people are paying greater attention to health at an earlier age, creating new opportunities for the industry.

Ejiao, a traditional Chinese medicine made from donkey-hide gelatin and once largely associated with older consumers, is gaining popularity among younger consumers, said Yan.

Smaller packages, ejiao cakes, powders, herbal teas and other convenient products are helping traditional remedies fit more easily into modern lifestyles.

"We are also developing beverages, teas, biscuits and snacks for younger consumers based on ingredients that can be used as both food and medicine," Yan added.

The company's broader health business now generates annual revenue of between 200 million yuan ($29.75 million) and 300 million yuan.

Hongjitang, a China Time-honored Brand, has established partnerships with more than 200,000 pharmacies and over 50,000 medical institutions across the country. Its portfolio includes Chinese patent medicines, prepared Chinese herbal medicines, active pharmaceutical ingredients and gelatin-based traditional medicines.

The company is also applying artificial intelligence, big data and internet of things technologies to research and development, manufacturing and supply chains.

Yan said attracting younger consumers will be a key part of Hongjitang's efforts to expand its presence in China's expanding health and wellness market.