Interview With Twenty Degrees: Pink Lady’s Vision for Chinese Market

On July 20, a brand launch event for Pink Lady apples hosted by Goodfarmer Group was held in Shanghai. Pink Lady apples are renowned worldwide for their unique taste and appearance and have achieved tremendous success on the global apple market, largely owing to their strong brand presence. The specific apple variety used for Pink Lady is Cripps Pink, but only Cripps Pink apples of superior quality are allowed to be branded as Pink Lady. At the event, Produce Report interviewed Philip Turnbull and Jason Morris, CEO and general manager for Asia of Twenty Degrees, which holds the Pink Lady brand.

At the start of the interview, Turnbull outlined the distinct roles and responsibilities of Twenty Degrees and Apple and Pear Australia Limited, which represents Australia’s apple and pear growers. Twenty Degrees was established to serve the global business interests of APAL by managing a range of fruit and vegetable brands, including Pink Lady apples, Rico pears and Tenderstem/Bimi broccoli.

When asked about why the Pink Lady apple brand, established 30 years ago, continues to garner widespread global attention, Turnbull attributed its enduring success to the unique appearance, texture and taste of Pink Lady apples. Furthermore, Twenty Degrees maintains a meticulous focus on every stage of the supply chain, ensuring that each participant — from the dedicated growers who cultivate high-quality apples to the discerning consumers who savor them — benefits from the process and remains satisfied with the product. This comprehensive approach not only upholds the brand’s reputation but also reinforces its appeal across diverse markets.

On today’s fiercely competitive apple market, Twenty Degrees, as the pioneer in apple branding, still endeavors to be at the forefront of innovation. The company tailors its marketing and promotional strategies to fit the unique characteristics of each market it serves. A key factor behind the sustained success of the Pink Lady brand is its deep and enduring connection with end consumers, which has cultivated strong brand loyalty and recognition.

When discussing expansion into the burgeoning Chinese market, Turnbull explained that the company has thoroughly researched Chinese consumer preferences. It has been found that most Chinese consumers favor apples with a vivid red color and a sweet taste. In this context, Pink Lady offers a distinct and refreshing alternative, with its unique appearance and flavor profile. The characteristics are particularly attractive to younger consumers who are enthusiastic about new products and possess strong brand awareness. Consequently, this demographic is expected to be the primary target market for Pink Lady.

In addition to importing high-quality Pink Lady apples grown overseas into the Chinese market, the company also plans to explore the possibility of exporting Pink Lady apples grown in China to other markets. Turnbull emphasized that Pink Lady apples must adhere to a stringent set of quality standards, for which local cultivation in China may still have some way to go. However, the Chinese market holds significant planting potential and is expected to play a crucial role in balancing the company’s supply between producers on either side of the equator and ensuring year-round availability.

As the exclusive agent for Pink Lady in China, Goodfarmer Group is fully responsible for the import and export business of the product. For apples that meet the relevant standards, only Goodfarmer Group has the authority to label and export them. At present, the domestic cultivation area of Cripps Pink is estimated to be around 2,000 hectares, with a total output of approximately 90,000 metric tons.

In 2022, Pink Lady’s global sales reached an impressive 462,695 metric tons. The main markets were Europe, the United Kingdom and North America, which accounted for 47%, 17% and 26% of sales, respectively. By contrast, emerging markets represented just 7% of total sales. Looking ahead, Morris told Produce Report that expanding into Asian markets is one of the company’s key priorities. To support this goal, Twenty Degrees has opened an office in Singapore, strategically positioning itself to effectively tap into the burgeoning opportunities in nearby markets.

Images: Goodfarmer Group (main image and body image two), © 2024 Produce Report (body image one)