Core Insights - The ice cream market in China is experiencing a rational return, with affordable classic options remaining popular among consumers, while high-priced products are declining in market share [1][6] Price Segment Analysis - In the ice cream market, products priced between 3-5 yuan dominate sales, accounting for 45.41%, 44.92%, and 45.97% of sales from 2023 to 2025 [2] - The share of high-priced ice creams (over 12 yuan) is decreasing, from 5.99% in 2023 to 3.95% in 2025 [2] SKU Distribution - In 2023, ice creams priced at 3-5 yuan had the highest SKU share at 24.51%, while in 2024, the SKU share for 0-1 yuan ice creams surpassed that of 3-5 yuan, reaching 23.66% [4] - By 2025, the SKU share for 0-1 yuan ice creams is projected to rise to 27.25% [4] Market Trends - The high-end ice cream segment is losing popularity, while mid-range products (3-5 yuan) continue to be favored [6] - The market is characterized by a narrowing space for ultra-high-end and very low-end products, with mid-range prices becoming mainstream [6] - High-margin models of premium brands are becoming less viable as the market matures, necessitating innovation and quality improvements for sustainable growth [6]

Core Viewpoint - The ice cream and popsicle market is experiencing a significant shift, with traditional products losing appeal in favor of healthier and more affordable options, leading to a decline in sales and a re-evaluation of consumer preferences [4][13][30]. Group 1: Market Trends - The popularity of traditional ice creams and popsicles is waning, with consumers increasingly opting for low-cost options like 0.5 yuan popsicles, which have become bestsellers [4][10]. - The market is entering a "quality-price ratio" era, with new products generally priced below 5 yuan, contrasting with previous years when new products were priced between 5 to 8 yuan [13][27]. - The ice cream market in China is showing signs of slowdown, with major brands like Mengniu and Yili reporting significant revenue declines in their ice cream segments [27]. Group 2: Consumer Behavior - Consumers are becoming more health-conscious, leading to a preference for low-sugar and low-calorie ice cream options, with many seeking products with reduced sugar content [12][17]. - The perception of ice cream as a nostalgic treat is changing, with younger consumers prioritizing health and affordability over indulgence [15][22]. - The demand for ice cream decreases as temperatures rise, as consumers prefer beverages like water and soft drinks for hydration [17][19]. Group 3: Competitive Landscape - The emergence of Gelato as a popular alternative is noted, with brands like "Mr. Wildman" experiencing rapid growth, indicating a shift towards premium, artisanal ice cream options [32][34]. - Traditional ice cream brands are struggling to maintain their market share, with some resorting to collaborations and sponsorships to attract consumers [29][30]. - The competitive pricing strategy is becoming essential, with many retailers focusing on sourcing cheaper products to remain viable in a price-sensitive market [26][42].

Core Viewpoint - The ice cream and popsicle market in China is experiencing a significant shift, with traditional products losing popularity in favor of healthier and more affordable options, leading to a decline in sales for established brands [1][20][31]. Group 1: Market Trends - The sales of traditional ice creams and popsicles are stagnating, with low-cost options like 0.5 yuan popsicles becoming bestsellers, while higher-priced items struggle to attract consumers [2][6][20]. - The market is entering a "quality-price ratio" era, with new products generally priced below 5 yuan, focusing on affordability [8][19]. - The demand for healthier options is rising, with consumers increasingly seeking low-sugar or zero-sugar ice creams [7][8]. Group 2: Consumer Behavior - Consumers are shifting their preferences towards beverages for cooling off, with ice creams and popsicles no longer being the primary choice for refreshment [12][19]. - The perception of ice cream has changed, with younger consumers looking for unique flavors and experiences, while older consumers associate ice cream with low prices [11][12]. - The trend of purchasing ice cream through online platforms is increasing, with significant discounts available, making traditional retail less competitive [17][19]. Group 3: Industry Challenges - Major brands like Mengniu and Yili are facing declining revenues in their ice cream segments, with Mengniu's ice cream revenue down 14.1% and Yili's down 18.4% [20]. - The operational costs for ice cream retailers are rising, with many struggling to maintain profitability due to low margins on cheaper products [6][20]. - The market is seeing a rise in Gelato, a premium product with a focus on quality and health, which is gaining traction despite its higher price point [23][24][30]. Group 4: Competitive Landscape - The competition among ice cream brands is intensifying, with companies exploring collaborations and unique marketing strategies to attract consumers [21][23]. - New entrants in the Gelato market are expanding rapidly, with brands like "Wild Man" opening numerous stores and capitalizing on the trend for premium ice cream [24][30]. - The traditional ice cream market is witnessing a decline in consumer interest, prompting retailers to adapt by offering more competitive pricing and exploring online sales channels [19][30].

Core Insights - The summer ice cream market in 2025 is characterized by intense competition between traditional ice cream and emerging Gelato brands, with both types coexisting in convenience stores and shopping malls [1][10] Traditional Ice Cream Market - The traditional ice cream market underwent significant changes in 2024, with prices generally ranging from 1 to 10 yuan, and over 60% of consumers opting for ice creams priced below 5 yuan [1][3] - Major brands like Yili and Mengniu have introduced products priced between 3 to 10 yuan to attract price-sensitive consumers, while also focusing on health by using natural sweeteners and plant-based ingredients [3][10] - Innovations include collaborations with popular IPs and unique product designs, such as Nestlé's collaboration with "Crispy Shark" and Häagen-Dazs' various offerings [3] Gelato Market Growth - Gelato stores have seen rapid growth, with a reported increase of over 30% in the number of stores from 2023 to 2024, particularly in first- and second-tier cities [4][6] - Gelato is favored by younger consumers for its rich texture and diverse flavors, with brands like "Wild Man" and "Venchi" expanding their presence significantly [6][8] - Gelato emphasizes freshness and natural ingredients, aligning with consumer trends towards healthier eating, and offers a more complex production process compared to traditional ice cream [8][9] Market Dynamics - The competition between traditional ice cream and Gelato is expected to intensify, with traditional brands needing to innovate in pricing and product offerings, while Gelato brands focus on maintaining quality and expanding market reach [10]