Haleon makes oral-health push in China as other Western brands falter

Core Insights - Haleon is intensifying its expansion in China, focusing on second- and third-tier cities and customizing its gum-health products to local preferences, aiming to succeed where many Western brands have struggled [1] Company Strategy - Haleon is investing £65 million ($87 million) in a new oral-health factory in Shanghai to support its growth strategy in China [1] - The company aims to expand its Parodontax brand into over 30 cities by the end of 2027, addressing a significant consumer need as over 70% of Chinese consumers suffer from gum health issues [1][1] Market Context - China represents about 10% of Haleon's £11 billion business and nearly 13% of the $59 billion global oral-health market, which is projected to reach approximately $80 billion by 2031 [1] - Haleon's Sensodyne toothpaste is experiencing mid-teens growth, with around 11% of Chinese households using the brand, compared to local leader Yunnan Baiyao at 29.8% [1] Product Adaptation - The Parodontax brand was relaunched in China with modifications to suit local tastes, including a sweeter flavor, foamier texture, and glossier packaging, now available in 10,000 outlets across 19 cities [1][1] Competitive Landscape - Many Western companies, such as Starbucks and Nike, are scaling back their operations in China due to weak sales, while Haleon has taken a different approach by buying out the Chinese government from its local joint venture for approximately £700 million [1]