Top Growth Opportunities: Dairy & Soy Food in Malaysia

  • ID: 4327689
  • Report
  • Region: Malaysia
  • 112 pages
  • GlobalData
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FEATURED COMPANIES

  • 7-Eleven
  • Cold Storage
  • Fonterra Group
  • KK Super Mart
  • Nestle
  • Tesco
  • MORE
Top Growth Opportunities: Dairy & Soy Food in Malaysia

Summary

Malaysia ranks amongst the smallest markets in the global Dairy & Soy Food sector in terms of per capita expenditure in US dollar terms, although it is larger than the Philippines, China, and Indonesia. Although both the Malaysian population and their disposable income are increasing, wealth remains concentrated in specific urban areas and a large, poor, rural population remains. This means that overall per capita expenditure in US dollar terms is low, and that manufacturers and retailers need to carefully select regions within the country to focus on.

Malaysia is a relatively small Dairy market, but it will see very strong growth over the next five years, with a CAGR of 8.9% by 2021. Rising disposable incomes and a growing middle class will drive further dairy consumption in Malaysia, as part of a healthy diet, as dairy contains high levels of protein and calcium. Younger generations’ growing preference for Westernized products, and further urbanization, will also be among the drivers behind growing dairy consumption.

Further urbanization, rise of middle class, and young generations increasing Westernization are driving growth in Dairy consumption, and fast growth of 8.9% CAGR is expected for the 2016-2021 period. This is the third fastest growth among the ten countries studied. The US withdrawal from the TPP agreement will increase uncertainty about the import driven dairy products supply in Malaysia. The country imports most of the dairy products it consumes, and the US is its third bigger exporter, accounting for 10% of imports in 2015, according to USDA. The TPP agreement cancelation will not harm dairy consumption growth as most of imports come from New Zealand and Australia, summing together 60% of imports.

The Off-trade Dairy sector accounted for a higher value in US dollar terms than the On-trade, although On-trade growth was slightly better during the 2011-2016 periods, favored by the increasing availability of Dairy products in restaurants, coffee shops, and QSR operators. However, both Off-trade and On-trade Dairy sectors recorded a decline in terms of growth in US dollar terms due to a weakening of the Malaysian Ringgit against the US dollar during the last five years.

Over the past couple of years the Malaysian government has been accused of corruption, after allegations made by the Wall Street Journal against the current Prime Minister Najib Razak for transferring RM1.7 Billion (US$700 million) from a state-owned investment firm where he was a chairman, to his personal account. Malaysia is one of the fastest growing economies in the Asia-Pacific region, with the potential to become the world's 21st largest economy by 2050, according to HSBC. However, the recent political scandal against its current prime minister has caused the sharp depreciation of the Malaysian Ringgit since 2015.

The report "Top Growth Opportunities: Dairy & Soy Food in Malaysia" identifies the key demographic groups driving consumption, and what motivates their consumption. When combined with an in-depth study of market and category dynamics, readers are able to identify key opportunities, and what they need to do in order to target them.

In particular, this report provides the following analysis:
  • Key consumer demographic groups driving consumption within the Malaysian market. The figures showcase the number of times consumers of specific ages and gender consume Dairy & Soy Food, as well as identifying whether these demographic groups "over" consume in the category (i.e. they account for a higher proportion of occasions than the proportion of society they represent overall).
  • A study of market value and volumes over 2011-2016 for Malaysia, supplemented with category, brand and packaging analysis that shows the current state of the market, and how it will evolve over the 2016-2021 period.
  • The degree of influence that the 20 key consumer trends identified by the author have on Dairy & Soy Food consumption volumes, with granular analysis on the extent that degree of influences varies between gender and age group.
  • Insight into the implications behind the data, and analysis of how the consumer needs will evolve in the short-to-medium term future.
  • Examples of international and Malaysia-specific product innovation targeting key consumer needs.
Companies mentioned in this report: Cold Storage, Giant Supermarket, Aeon Big, Tesco, Econsave, 7-Eleven, KK Super Mart, MyMart, TF Value-Mart, PASAR RAYA MaxValu/MaxValu Prime, Nestle, Royal Friesland Campina, Fonterra Group

Scope
  • The Malaysian Dairy & Soy Food market saw a small decline in US$ between 2011 and 2016, due to the depreciation of the Malaysian Ringgit. However, the growth is forecast to change to positive in the next five years between 2016 and 2021.
  • Malaysia ranks among the smallest markets in the global Dairy & Soy Food sector in terms of per capita consumption.
  • Opportunities for premiumization in Dairy & Soy Food have been limited over the past five years, but this situation is expected to improve between 2016 and 2021.
  • International Dairy & Soy Food brands in Malaysia have outperformed domestic ones.
Reasons to buy
  • This report brings together consumer analysis and market data to provide actionable insight into the behavior of Malaysia's Dairy & Soy Food consumers.
  • This is based on the author's unique consumer data, developed from extensive consumption surveys and consumer group tracking, which quantifies the influence of 20 consumption motivations in the Dairy & Soy Food sector.
  • Category, brand, and packaging dynamics are also examined.
  • This allows product and marketing strategies to be better aligned with the leading trends in the market.
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Note: Product cover images may vary from those shown
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FEATURED COMPANIES

  • 7-Eleven
  • Cold Storage
  • Fonterra Group
  • KK Super Mart
  • Nestle
  • Tesco
  • MORE
1. Introducing a top growth market for dairy & soy food

Top 10 global growth opportunities scores
Top global issues
Assessment against global strategic issues
Strategic issues map
Predicted future issues for the global sector
Reward and risk assessment
Opportunity score - overview
Consumer spending trends - peer group comparisons
Political, Economic, Social, and Technological: Analysis
Enablers and inhibitors of growth
Rewards and opportunities for growth
Summary of the market

2. Market insight - identifying the opportunities to move into
Market growth by category
Value growth of the market
Volume growth of the market
Level of premiumization by category
Category analysis - key drivers of change

3. Retail and distribution insight - key channels and retailers driving growth
Dairy & soy food retail channel share
Key Retail Channel trends
Routes to market
Drivers of change in the sector

4. Company and brand insight - the competitive landscape defined
Category fragmentation
Company and brand strength
International and domestic brand analysis
Company and brand strength summary

5. Consumer insight - who, what, when, where and why
Strategic issues map
Key consumer driver implications
Key consumers trends
Consumer groups
Key Health & Wellness trends
Penetration of Health and Wellness claims by category
Consumer trends summary

6. Product and packaging insights
Key Product Insights
Trends and strategic issues - other notable product trends
Key product innovation case studies
Key Packaging Insights
Trends and strategic issues
Product launch key takeouts

7. White spaces and innovation opportunities - space to move into
Growth segments to target
Consumer spaces to target
Segment opportunities
Product launch key takeouts
Key recommendations

8. Appendix and Definitions

List of Tables
Visualization of 10 countries growth opportunities
Visualization of 10 countries growth opportunities (continued)
Reward and risk assessment
Market value and split, 2011-2016
Winners and losers by category, value, 2016-2021
Volume growth by category, 2011-2021
Winners and losers by category, volume, 2016-2021
Key consumption volume shares by consumer group, 2016
Key consumption motivators by category, 2016
Top categories by volume and CAGR, 2011-2016

List of Figures
Map of top opportunity markets
Map of top global issues
Global issue web
Strategic issues map
Average consumer spend, peer group comparisons, 2011-2021
Market value and split, 2011-2021
Value growth by category, 2011-2016 and 2016-2021
Value market growth by category, 2011-2021
Winners and losers by category, volume, 2016-2021
Value and volume growth by category, 2011-2021
Fragmentation by category, 2011-2016
Cumulative value share by brand, 2016
Penetration of Health and Wellness claims by category, 2016
Packaging materials volume share, 2016 & 2021
Packaging closure materials volume share, 2016 & 2021
Projected CAGR for top five categories by value, 2016-
Note: Product cover images may vary from those shown
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  • Cold Storage
  • Giant Supermarket
  • Aeon Big
  • Tesco
  • Econsave
  • 7-Eleven
  • KK Super Mart
  • MyMart
  • TF Value-Mart
  • PASAR RAYA MaxValu/MaxValu Prime
  • Nestle
  • Royal Friesland Campina
  • Fonterra Group
Note: Product cover images may vary from those shown
5 of 4
Note: Product cover images may vary from those shown
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