(Yicai) Aug. 31 -- Italian chocolate and confectionery maker Ferrero Group has appointed a new head for its China business who is also the first Chinese person to take on the role.

David Zhang will become general manager of Ferrero China tomorrow, the Alba-based company announced yesterday.

Zhang has over 25 years of experience in the food and fast-moving consumer goods sector. Before Ferrero, he was the regional business chief of Wyeth Nutrition China and head of Nestle Nutrition Cross-Border E-Commerce. Zhang also worked for multinationals such as Estée Lauder, General Nutrition Centers, and Henkel.

Ferrero entered the Chinese market over two decades ago, with China now being its second-biggest market outside of Italy. Zhang will help Ferrero enter a new stage of localization.

China’s output of chocolate and related products totaled 525,000 tons in 2020, with the market reaching CNY24.2 billion (USD3.3 billion), according to a report from Zhiyan Consulting. Demand is expected to reach 667,000 tons this year, with the market swelling to CNY29.9 billion.

To better satisfy this demand, Ferrero is accelerating its end-to-end digitalization in the country. 

Since May, Ferrero has begun to retrieve the operation rights of its affiliated Ferrero Young and Kinder flagship stores on Chinese e-commerce site Tmall. Only 30 percent of the firm’s sales in China come from online channels.

The Shanghai’s commerce commission last year recognized Ferrero’s branch int he city as the firm’s regional headquarters in China. Zhang’s predecessor, Mauro De Felip, told Yicai earlier this year that that would further boost Ferrero’s operational and management “energy level” in China and help it seize business opportunities in the local market.

Editor: Futura Costaglione