Product Homogenization Still Needs to Be Solved: Leisure Snacks Launch a “Flavor” Breakthrough | Live Coverage of the Sugar and Wine Fair

China Financial News, March 26 (Reporter Wu Weiling) — From March 21 to 25, the 114th National Sugar and Alcohol Fair Hotel Exhibition was held in Chengdu. At the event, China Financial News reporters observed that as the “health trend” of zero additives, low sugar, and low fat becomes a basic threshold, snack manufacturers are shifting their competition focus to product flavor, competing for consumers’ “taste buds” through unique mouthfeel and flavor.

“This year, we are showcasing deep-sea small fish snacks, emphasizing the use of deep-sea raw materials and promoting the slogan ‘One Second to Get High.’ This not only strengthens the flavor memory point of the product but also uses the ‘heady feeling’ to evoke emotional value, further connecting with consumers on a health-conscious basis,” said a staff member from Jin Zai Food (003000.SZ) to China Financial News.

Image source: Provided by interviewee

Third-party data shows that, based on health considerations, product flavor is an important factor for consumers when choosing snacks. According to iiMedia Research, 49.55% of consumers consider flavor and health equally important when selecting snacks, prioritizing products that taste good and are healthy, while only 18.01% prioritize health even if the flavor is slightly inferior.

Against this backdrop, flavored snacks are becoming a key driver of performance growth for listed companies. Take Salted Puzza (002847.SZ) as an example: its “Big Devil King” sesame paste vegan tripe achieved monthly sales of over 100 million yuan (including tax) within 16 months of launch, setting the fastest monthly sales record for snacks over 100 million yuan, and becoming an important engine for the company’s revenue growth.

The popularity of flavored snacks has also attracted many followers, leading to product homogenization. During this year’s Sugar and Alcohol Fair, flavored snacks with sesame paste and konjac-based snacks became highly homogeneous products. Similar products such as sesame paste gluten, sesame paste fish tofu, and quail egg konjac flooded the market, with some exhibitors branding themselves as “pioneers of sesame paste gluten” to capture consumer attention.

In the face of homogeneous competition, emphasizing the uniqueness of product flavor has become a key strategy for leading snack brands. A staff member at Salted Puzza’s booth told China Financial News that after the konjac category, the company has collaborated with top brands like Nongshim Shin Ramyun and Heinz in the bean product category, launching spicy tofu and black pepper vegan steak to continuously bring innovative experiences to consumers. For the flagship product “Big Devil King,” the company is further developing new flavors and formats based on sesame paste vegan tripe to enrich its product lineup.

Image source: China Financial News reporter/camera

Among various flavors, spicy flavor stands out due to its addictive nature and strong memorability, becoming a crucial battleground for snack brands to differentiate themselves and build brand recognition. Ganyuan Food (002991.SZ) launched several spicy varieties such as black pepper, mustard, and fresh spicy in this year’s fair. Previously, Qiaqia Food (002557.SZ) crossed over into the spicy snack track with its devil spicy melon seeds.

China Financial News reporters noted that in the highly competitive snack market, spicy snacks present a structural growth opportunity. The “2025 Spicy Snack Food Industry Report” published by the China Business Data Center shows that although spicy snacks are a niche within the snack market, they have already entered the billion-yuan club. From 2022 to 2026, China’s spicy snack market is expected to grow at an annual compound rate of about 9.6%, 1.6 times the overall snack industry.

The popularity of spicy snacks was also evident at the fair. As a representative of the spicy snack industry, Ba Wang Si, a spicy strip brand, participated in the fair. A person in charge of Ba Wang Si told China Financial News that many channel partners approached during the event, and the company also held a Ba Wang Si Challenge for distributors, which exceeded expectations in participation.

“Last year, Ba Wang Si’s revenue was about 300 million yuan, and this year we aim for about 30% growth based on that,” the person said.

Driven by spicy foods, Pingjiang County in Yueyang, Hunan Province—known as the “Spicy Food Capital of China”—is accelerating its transformation in the structural market. Data shows that by 2025, the total output value of food enterprises in the county will reach 45.401 billion yuan, with over 125 spicy snack companies generating more than 20 billion yuan. Supported by the spicy snack industry, this county, which was lifted out of poverty in March 2019, is expected to see its GDP surpass 55 billion yuan in 2025, ranking first among Yueyang’s counties and cities.

Overall, as health considerations become a basic threshold for snacks, flavor innovation is increasingly the focus of industry competition. How to stand out through unique flavors and build consumer connections has become a key consideration for leading companies. “Currently, there is no shortage of snack products; what’s lacking is how to move consumers and encourage them to share actively,” said a snack industry insider during the fair.