Industry News：Emerging categories of household paper are popular, and 'price to self-realization ratio' has become the key to purchasing decisions

When it comes to household paper, people often think of commonly used rolling paper and tissue paper products. But today, the growth of the household paper market is due to the increase in demand for traditional roll paper and tissue paper, and the combination of emerging paper products such as kitchen paper, wet toilet paper, cream paper and other categories. With the continuous development of the paper products industry and the increasingly diversified and personalized consumer demands, the paper products industry is experiencing the impact of consumption upgrades, and brands are paying more attention to the construction of multiple marketing channels. It will gain broad market opportunities in the household paper track.

Trend 1: Online consumption of household paper is on the rise

Offline supermarkets are still the main channel for purchasing household paper, accounting for more than 44% of sales in 2022. However, as people develop online consumption habits, the proportion of online sales is increasing year by year. Douyin e-commerce has shown strong growth momentum among major e-commerce platforms. In the first half of 2023, sales of household paper categories increased by 75.4% compared with the same period last year.

Tissue paper market maintains growth resilience and vitality

Improved user spending power

Tissue paper is an indispensable daily necessity in people's daily lives and has strong fast-moving consumer goods attributes. As residents' living standards continue to improve, people's consumption of household paper is also growing rapidly.

According to public data, China's household paper consumption will be 10.59 million tons in 2022, an increase of 1.24% from 2021, promoting the expansion of the overall household paper market.

The proportion of sales through online channels continues to increase

Interest e-commerce maintains strong growth momentum

In terms of channels, offline supermarkets are still the first channel for people to buy household paper, accounting for more than 44% of sales in 2022. As users gradually develop their online consumption habits, the sales proportion of e-commerce platforms continues to increase, reaching 18.5% in 2022. Among them, Douyin e-commerce has shown strong growth. According to Feigua statistics, the sales volume of household paper products on Douyin platform in the first half of 2023 increased by 75.4% compared with the same period last year.

Live streaming and celebrity promotion are the main sources of sales

Product cards and brand self-broadcasting bring key increases

Among various sales channels, live broadcast with goods has obvious conversion into sales, accounting for more than 60% of sales. At the same time, with the strong support of Douyin e-commerce, the growth rate of shelf e-commerce is outstanding. Sales in the first half of the year increased by 264% compared with the same period in 2022, becoming a new direction for category layout; on the other hand, as the awareness of brand self-broadcasting continues to increase, , the self-broadcasting account has shown its advantages in the daily operations of the paper product brand, driving the overall sales proportion of the self-broadcasting channel to increase.

Trend 2: Emerging categories of cream paper release consumption potential

In addition to facial tissue, the market segments such as wet toilet paper, cream paper and hand towels are also expanding rapidly. Consumers have put forward higher requirements for the functions and usage scenarios of household paper, and the consumption concept of 'special paper for special use' is becoming increasingly mature.

Cream papers are popular because of the moisturizing factors they add to the paper. From January to August this year, the unit price and sales volume of the cream paper category on the Douyin platform both achieved triple-digit year-on-year growth. This reflects that cream paper is increasingly favored by consumers and the market potential needs to be released urgently.

Tissue paper category accounts for half of the market

There is a lot of room for digging into subdivided categories

Due to its ease of use and rich application scenarios, tissue paper occupies an absolute position in the household paper category, accounting for 51% of total sales from January to August; As people's pursuit of quality of life continues to improve, they have also put forward more sophisticated requirements for the functions and usage scenarios of household paper, driving the rapid expansion of market segments such as wet toilet paper, cream paper, and hand towels. The market potential of household paper is expected to be further released.

Cream paper increases promotion efforts

Exposure of paper towel content soars

The average customer price of wet toilet paper is high

Cream paper consumption potential is accelerated

Trend 3: 'price to self-realization ratio' has become the key to consumers’ purchasing decisions

At present, women are still the main consumer group of Douyin’s household paper category, accounting for nearly 80%, and most of them are aged between 31 and 40 years old. With the rise of the 'other economy', male consumers have also shown a strong willingness to consume. Their functional requirements for household paper in different scenarios such as work and sports are different from female consumers. It may become a new direction for the subsequent marketing of household paper brands. In addition to price, product quality, appearance, packaging and usage experience also affect consumers' purchasing decisions.

Generally speaking, as a daily necessity, the consumption of household paper is increasing year by year. Under the trend of onlineization, the proportion of sales through e-commerce channels has increased significantly. Among them, the Douyin platform has strong growth, and the new category market is expanding rapidly. The consumption concept of 'special paper for special use' is becoming increasingly mature. Brand merchants should seize the new needs of consumer groups and the latest industry trends to achieve greater growth.