Dietary Supplements Market in China: Traditional Medicines vs. Foreign Brands

In 2012, the Chinese dietary supplements market was said to present $10 billion. After USA, the nation because second largest consumer of such edibles. The region is flocked with small-sized firms and manufacturers with 1/3^rd of the market being occupied by 50 large producers only. According to market research reports the average turnover of the relevant industry is 1.67%, which indicated meager innovation and more of product copies available. An average of 6.6% sales is put on advertising, so communication and marketing takes a lead role in the industry.

Most of the retailers do not possess Weibo account or use digital strategy. Majority of consumers (62%)              are under the age of 40 for food supplements. The promotion of the products is generally spread via word of mouth, or when an edible is highly recommended by family members or friends. The vitamins and supplements are also expensive and considered as ‘healthy gift’. Buyers over 60 years of age are significant target of producers, as these people are more prone towards illnesses, and need medications. Traditional health tips and important is hugely used in promotions.

Perception in China about Dietary Supplements

It is difficult to utilize e-marketing tools to crack old aged group audience, which are reluctant to lifestyle updates. Some of them depend on natural Goji, Ginseng, and Reishi, which were also exported to USA.  Traditional natural medicine is a tough competition to the western dietary supplements. In China, these nutrition additions are recognized as something being not a curative drug, have to be orally consumed, and possess at least one of the 22 preventive systems as put down by the Ministry of Health.

 All these sources sold in the nation is prior approved and tested by the State Food and Drug Administration. The Chinese use television advertisements and internet for promoting their brands, and now digital campaigns are also catching pace. As per market research, the citizens are also favoring imported food supplements from Bergdorf-Goodman, Chanel, and Barney etc. The sale of dietary and vitamin supplements as nutritional and food additives in the region by 2015 can come up to 95.2 billion. The trend for such products has developed given more awareness of treatments to health issues.

Foreign Brands and Consumer Trends

Some of the foreign brands of the supplements in China are NBTY from New York, GNC from Pennsylvania, and Amway from America, which alone has 16% of share in the Chinese market for dietary additives. A Hong Kong brand, CNG is now doing rounds in Guangzhou, Shenzhen, and Shanghai. Even children’s share in buying food additives is increasing especially for probiotics. For e.g. Biostime an English brand has 85.4% market share in probiotics retail sales for children in China. Chinese

Women are also one of the focus groups as they depend on beauty supplements such as aloe vera, citrus pills, jojoba etc. Females comprise of almost 49% of the complete urban population, who spend about 46 billion RMB to buy beauty and nutritional additives for health and luxury reasons. Chinese laboratories eyeing the products are CSPC Weisheng Pharmaceutical Co, Zhejiang NHU Company Ltd., Zhejiang Medicine Co., Ltd., and Northeast Pharmaceutical Group Co.

Global Enterprise Mobility Market to Grip US$510.39 billion by 2022

The global enterprise mobility market is set for a remarkable step ahead at 24.7% CAGR between 2015 and 2022, which in 2014 amounted to US$86.36 billion. By the completion of forecast period, the market research reports predict the increase in amount to stand at US$510.39 billion. In no time, the enterprise mobility market (EMM) has touched roofs in software ecosystem. From the leading mobile technologies, the business can operate at freely at dynamic locations than fixed.

New opportunities are easy to unlock for business progress, depending on feasibility of corporate data. With crisp management services, the profits and security for company would be greater. Employees and organizations can work from anywhere in the world to record or keep a track of what is going on or what can be done. Thus, the enterprise challenges can be effortlessly resolved on few clicks at fingertips.

Watchful Trends in 2016

Latest trends include work paradigm shift, wherein a greater number of employees can work away from office on cloud services via mobile devices to carry out routine duties. The industry reflects on mobile workers, devices and company data on the server, which can be attained and manipulated anytime, and anywhere. For example, staff can upload an attachment to the office operating machine on cloud storage machine, and refer it on their personal computing device for use or at client’s site.

·         It is said that the IT investments in such sector for 2016 can run high, and more and more companies based in developed nations are using the service to ease the workflow. As per Harris Poll, 90 percent of IT decision makers will assist in functional productivity, customer engagement and competitiveness for 2016.

·         73 percent respondents indicate their motive to mobilize their organization in future. In recent SWOT analysis of the industry, it was found that laptops and smartphones were the most preferred devices.

·         Major downside to enterprise mobility is data breach risk. Businesses are working incessantly to boost support infrastructure for security and data protection. IT departments of companies are specially applying management and data loss prohibition technologies to tackle the issue.

·         The firms are also implementing user acceptances policies, which aid in successful mobility strategy for enterprises. According to business research, 2016 will be a great for new venues in enterprise mobility services and solutions.

Enterprise Mobility Sectors and Companies

Steady growth in utilization of these devices is expected with hike in number of apps designed to access information on the fingertips. Usability in software sector for enterprise mobility is prominent in email, mobile messages, telecom expenses, content and mobile application management. The latter was highest in demand for the year 2014. The solutions are appropriate for segments such as automotives, government, life sciences, IT, media, telecommunications, education, BFSI, retail, consumer, and hospitality.

·         Presently, telecommunications and IT are in dominant positions for global enterprise mobility market, with best outputs from North America, CIS, EU7, Japan, Australasia, Brazil, China, GCC countries, South and North Africa etc.

·         Major companies involved are Microsoft Corporation, IBM Corporation, MobileIron Inc., SAP SE, SOTI Inc., Panasonic Corporation, Globo plc, Symantec Corporation, AirWatch LLC, International Business System, Good Technology Inc., Blackberry Ltd., and AT&T Inc., etc.

Robotic Computer Assisted Surgery is Trending in Healthcare Mechanics

Today, invasive procedures like laparoscopy etc. are becoming better with medical robotics and computer assisted surgery (MRCAS). Here, accessories to operate on patients are driven by computer assistance and devices, which directly help the surgeons to complete the regimen in shorter time, making smaller and perfect invasions on the body. As market research in MRCAS, the cost to it a bit expensive. For e.g. each system has an estimate cost of $1 million to $2.5 million, and the treatment can cost a person between $3,200 and $8,000.

A 2011 report on medical manufacturing suggested that these machines were $2 billion worth with annual growth at 30.7 percent. The growth and revenue projected to rise at CAGR 14.9% going to $4.2 billion for the next five years. The robotic and computer assisted equipments offer increased dimensional and placement accuracy with consistent outcome. It is used greatly in detecting tumors in the organs to knee replacements, and treating uterine fibroids etc.

Industry Analysis: Segments, Applications, Key Players, and Audiences

Patients also reduce spending on hospital stay duration by one and a half or two days. More than conventional surgical methods, MRCAS is preferred due to advanced technology used. The global robotic surgery system industry is segmented by needle drivers, forceps, 3D vision, motion control, retractors, cameras, and others. It is also segregated by applications depending on surgeries relate to urology, gastrointestinal, cardiothoracic, pediatric, gynecology, oncology, and others.

·    Some of the vendors or key players in the industry are Hitachi Medical Systems, Biobot surgical, Titan Medical Inc, Intuitive surgical, Smith & Nephew and Siemens Healthcare, Robotic Systems and Technologies, Ascension, MAKO Surgical, and Schaerer Mayfield.

·   The geographic prominence is seen in Asia-Pacific, North America, RoW, and Europe, with key audiences being clinics, hospitals, and producers of surgical robotic tools. These devices provide improved intervention, intra-operative information etc.

Where is MRCAS Used in Medical Treatments?

MRCAS is valuable for safe, easy, and cheap ultrasound technology, prostate brachytherapy, kidney or liver tumor ablation, direct observation of organs or tissues, external beam radiation therapy, and external tracking with registration etc. The intended healthcare benefits are enhanced surgical precision, decline in patient’s trauma, and shorter recovery time.

·  The minimally invasive surgeries have equipped computer system filters that reduce physician hand tremors, and inpatient hospital day. It is best for pelvic, abdominal, neurological procedures.

·   Steerable needles allow surgeons accessing spaces, which are difficult to do manually. In cancer treatment accurate imaging guidance is obtained for deformed tissues.

Total Chinese Spending on Healthcare Tops $590.2 billion for 2015

The Chinese GDP has seen a 10.3% CAGR growth in a decade, growing in 2005 from $1,931 billion to $10,355 billion in 2015. Analysts after studying market research confirm that at such a pace, by 2020 or sooner, China’s GD will surpass that of U.S., which currently has the world’s largest gross domestic product. Such a substantial boost in economy is credited to greater spending on manufacturing, public infrastructure, domestic industries, and healthcare.

The healthcare is attracting more investments, and futuristic goals to enhance the financial state of the country. Being one of the most populous regions in Asia, there is more number of citizens with health issues, and people who can afford quality medical care. Also, greater number of citizens is being motivated to pursue medical science, acquainting with required skills for the profession.

Chinese Healthcare Spending Driving Nation’s GDP

At the beginning, the Government had not allocated many funds and investment in this sector, but an increase in all these has led to improved access to hospital and treatment centers. As per the pharmaceuticals markets in China, the nation’s total healthcare spending was $590.2 billion for 2015. Rise in middle class income bracket people is one of the drivers to the industry.

Major Boosters to Caregiver Services

Be it a clinic, care-provider or a pharmacy involved, the country is sponsoring medical activities on a large scale. The government has multiplied aid facilities to locals, along with clean and benefiting insurance schemes for various aspects. People are able to choose required insurance, medical aid in time of need, and lead quality life. Here are some factors, which boost the medical services in China.

1.      Advancing Medical Devices Industry

Double-digit forecast figures for the next 10 years growth in GDP of China bears lucrative choices for healthcare sphere. Even the Chinese medical devices market till 2025 shows positive scope. The foreign medical device producers are facing a setback in the nation, and local manufacturers are offering high-end wearable at a comparatively low cost.

2.      Local Vendors and High-End Products

Local vendors are also acquiring firms to better their reach and service to consumers in the nation, and around the globe. So, the ‘low-cost producer’ is not restricted to ‘low-end’ produce anymore, but of ‘high-end’ equipments. Technological upgrade, strong soft-infrastructure, and adhering to global manufacturing standards have powered the nation’s medical industry.

3.      Hiring Skilled Professionals

Employment opportunity is being created for Chinese scientists trained from Western nations, and such students or engineers are now becoming a part of the local market instead. Thus, the services and equipments developed are more advanced, reliable, and long-lasting, with modern additional features needed to improve consumer lifestyle.

4.      Telemedicine Becoming Popular

With medical aid, devices, services, and investments on the hike, facilities to connect apt care with consumers are being led by the telemedicine. About half of the urban population, as per healthcare market research use smartphone devices to link with doctors for treatments via the internet. Medicines can be ordered through websites, along with professional advice and information database.

How Does SWOT Analysis Add Strategic Value to Businesses?

To evaluate a business, it is important to understand its weaknesses and strengths along with probable opportunities and threats. A SWOT analysis does just that by providing an analytical framework. It helps look at external environment related possibilities of success, and competition. A firm’s weaknesses and strengths can include location, funds available, company culture, distribution networks, and trademarks. Its threats and opportunities can involve technology changes, demographics, market trends, regulations, or switch of customers’ preferences.

By assessing these factors, the firm can find where it lacks, and requires improvement, or gain a competitive edge over others in the industry. Often a firm may not possess enough funds or resources to conduct assessment on their own. In such circumstances, third-party assistance can be beneficial. Some of the agencies may have facility of payment in installment or a share in profit later on etc. There are multitude of affordable options to know a brand’s weakness, strengths, threats, and opportunities.

Why is SWOT Useful for Companies?

A company can employ a market researcher’s team to analyze the firm’s progress, channels etc. through public information or internal data. To benefit from third-party objective assessment, and save time, one can buy SWOT analysis reports prepared by an industry research agency. These reports are less than or relative to 45-50 pages, and come at inexpensive cost. The research contains insights from business executives, consultants, analysts, and contains reliable resources.

Thus, the report is handy for drawing strategies, and building a company from root level. The material generally is packed with company information, history, products, services, contact information, key employees, and revenues by division, locations, major competitors, forecasts, and subsidiaries. Some of these consists of global data, giving apt comparisons, which aids in noting the exact position where a brand or industry lies, with scopes and threats for the same.

How Do SWOT Reports Help Businesses?

A scan through industry research and SWOT reports, it is easy to understand the important aspects affecting or elevating a business. The content also identifies factors impacting the whole industry. The market research report will evaluate new frontiers, partnership possibilities, acknowledge and analyze partners, customers, competitors, and evaluate the firm’s prospective as a supplier or vendor. It will also allow the company to stay in loop of modern business strategies, developments, prospects, and learn the competitor’s weaknesses.

When to Use the SWOT Technique?

As analysis of company’s scenario in a business provides essential information, it is useful for creating or preparing consulting engagement for current or new projects/clients. By knowing the firm’s weaknesses, and overall environment in the market, a deeper understanding of strategic goals can be achieved by meeting the needs. The firm can focus on its marketing activities, making the brand message clearer and suited to client/customers.

Designing a marketing strategy for company by reinforcing its strengths, contradicting the weaknesses is easier. The SWOT technique will also analyze the competition, and receive strategic advantage. It will enable overcoming challenges and do away with misconceptions, to use strengths for benefits and ways to tackle threat, and crack new avenues. With such analytical report, the company is sure to follow a much more realistic and comprehensive plan.

Organic Lipstick and Face Makeup are Peaking in the Global Markets

The demand of lip cosmetics is growing among younger population, a luxury makeup for women. In 2014, about 15 million people from U.K utilized lipstick. Reports on global lipstick market from 2015-2019 reveal a revenue expectation of 9 billion USD.  However, consumers’ preference is shifting to organic lip gloss and cosmetics against those containing toxins such as cadmium, which interferes with DNA.

Another toxic is lead, which has lot many health repercussions. Women share greater interest in lipstick types like matte, cream, sheer, and satin. The lasting nature of lipsticks, with moisturizing effect is gaining in sales. Regions active in lipstick and face makeup cosmetics are Europe, MEA, Americas, and APAC. The latter in 2014, was the largest revenue contributor to around 35% of market share.

Global Product Share in Facial and Lip Makeup

Countries such as India, China, and France are supposed to have potential vendors for the products. The color cosmetic industry in face makeup is concentrated on offerings for eyes, lips, face, skin etc. As per market research, the facial makeup in 2014 recorded a share of 38% in the industry, and may reach a value of USD 32 billion by 2019 end. Blusher and bronzer products are not just a choice for celebrities, but also common people.

·         The Americas are said to have 37% of market share in color face make up cosmetics due to selfie trend on social media. The engagement is high in Europe and developing counties among teenagers and those between 25 to 34 years.

·       The global lipstick market is leading the fashion trends in transforming the value of beauty all together. With stylish accessories and affordable cosmetics, more women are buying lipsticks and face makeup ingredients.

Indulgence of Beauty Care Brands

The key vendors include Procter and Gamble, L’Oreal, Shiseido, LVMH, Chanel, Amway, Coty, Clarins, Unilever, and Kao. The global cosmetics market will increase at 6.4% CAGR till 2020 and touch $675. Gender specific makeup tools are leading, along with focus on packaging this year.

·         Some of the competitors of beauty industry are Bayer, Henkel, Avon, Estee Lauder, Johnson and Johnson etc. North America and Western Europe are the leader with Asia-Pacific region progressing faster due to beauty conscious females.

·         The drivers versus constraints for face makeup and lipsticks industry according to market research are product innovation, e-retail, greater disposable income, unregulated market, travel retail, and consumer awareness about product side effects.

African Insurance Industry Positive Prospects Draw Foreign Investments in 2016

Africa is a huge continent comprising of 54 financially active zones, and given its growing economic dynamics, the scope of insurance industry is leaping ahead ten-folds. As per the UN, the GDP of this region jump across at 4.6% in 2015, from 3.5% of 2014 to 4.9% in 2016. The possibility of success is because of private consumptions and investments with key drivers as expanding disposable income by middle class, consumer confidence on financial environment of the region etc.

Dynamic Demographics

Lower costs of performing business activities are also pursing economic brilliance. The World Bank had projected the GDP advancement at 5.2% annually for 2015-2016. Some of the challenges are lessening commodity prices. But it is overcome by significant public expenditure on agricultural production, telecoms, infrastructure, finance, transportation and a lot more. As per insurance market research reports, Africa is supposedly the second fastest leading economic regions worldwide after Asia. 

As insurance companies had a low rate of penetration in this continent, now it is a feasible industry altogether, comparable to mature markets of Europe and the U.S. Against Eurozone’s 7.6% hold in finance sector, Ghana and Morocco rank at 3%, Angola has 0.65 to 0.9% in Nigeria. Though there is low level of awareness among Africans about insurance facilities, the knowledge of it is slowly disseminating further. The penetration ratio in finance industry for Namibia is 7.7%, 15.4% for South Africa, and 5.8% for Mauritius.

International Investments in Africa

Two global insurers have plans to startup their economies in South Africa. As if the positives were not enough, in April, Euler Hermes (credit insurance company) is launching services in regional market to strengthen its existence in the continent.

Such propositions are attracting greater investors’ interest in developing markets of Africa. The foreign escapade in the region saw a high when Swiss Re Corporate Solutions made a similar move in February. Operations are gung ho about engineering, mining, real-estate, commercial insurance industry, and others.

Market Segregation

The African insurance sector has discrepancies in collaboration with its operators for finance. For e.g. as stated by insurance market research reports, Kenya and Nigeria each has 50 insurance organizations, but Liberia with 3.5 million populations has only 20 insurance companies. If these companies coordinate well, then growth would be expected faster.

The swings in prices at regular intervals and impeding competition may again pose few risks, but can be handled if smart tactics are involved in winning people’s trust with improved services. The African continent is rich in culture, politics, and social structure, and not becoming stronger in economic base as well. With a region boasting of large population more diverse markets can be seen eventually, which is good for global and regional finance scenario.

Though the challenges are tough, Africa seems to be in breakneck competition already, transferring credible resources to keep the GDP accelerating. The conception about the region being ridden by wars, drought, and poverty, all such beliefs may change soon with expectations of a starlit future. Positive forecasts are on the way for insurance industry, and it has no reason to look back, but only move ahead.