Revenue from China drew HK$24,382 million in 2018, with a year-on-year revenue growth of 23%.
Other regions grew significantly slower, such as 4% in Hong Kong, 8% in Taiwan, and 11% in the USA.
At the company’s Capital Markets Day this year, it was revealed that 70% of China’s revenue in 2018 came from sparkling beverages, followed by juice (18%), and water (7%).
From 2017 to 2018, sparkling beverages saw a 27% increase, juice grew 13% and water increased 24%.
China and consumers
China will becoming the largest retail market in the world, with expected sales of RMB 38 trillion (US$5 billion). They expect China to grow 2.6 times faster than the global average.
The company pointed out that Chinese consumers were getting more affluent, with an GDP per capita now standing at more than $10,000.
They also noted that there would be more younger consumers by 2022. As of now, there are 600 million middle class people and 450 million millennials in the country.
In the near future
The company is now planning to launch more products in the country, with Sprite and Coke-Fibre +, which contain dietary fibre, both performing well last year.
The company also intends to focus on upscaling packaging to suit the new trend of consumer consumption. They said these high value packs represented 20% growth of multi-pack revenue in 2018.
It will also accelerate development of route-to-market in rural areas of China where there is a population of 427 million, as well as increase the number of stores carrying its products in urban cities.
The company has 18 bottling plants in China, its regional headquarters will be based in Shanghai Pudong New Area.
Their global headquarters will remain in Hong Kong.