---
title: "20 Years, Sales Up Over 600-Fold: In Tibet, He Sold 'Red Bull' to Every Household!"
description: "Starting from zero, China Red Bull has become a standout in Tibet's FMCG industry, with sales exceeding 2 million cases and annual revenue over 200 million yuan after more than 20 years. Despite competitors entering the market, Red Bull remains unbeatable, thanks to its dual focus on quality and brand promotion, as well as the dedication of its Tibetan distributor, Fan Fangting."
author: "New Distribution"
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published: "2017-11-14"
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# 20 Years, Sales Up Over 600-Fold: In Tibet, He Sold 'Red Bull' to Every Household!

> Starting from zero, China Red Bull has become a standout in Tibet's FMCG industry, with sales exceeding 2 million cases and annual revenue over 200 million yuan after more than 20 years. Despite competitors entering the market, Red Bull remains unbeatable, thanks to its dual focus on quality and brand promotion, as well as the dedication of its Tibetan distributor, Fan Fangting.

Starting from zero, China Red Bull has become a standout in Tibet's FMCG industry, with sales exceeding 2 million cases and annual revenue over 200 million yuan after more than 20 years. Despite the booming opportunities, many competitors have entered the market, sparking rounds of intense competition, but Red Bull has always remained unbeatable.
In fact, Red Bull has been popular across Tibet for a long time; wherever there is a grocery store, there is Red Bull. This is not only due to China Red Bull's consistent dual-drive strategy of product quality and brand promotion, but also to the care of partners like Fan Fangting, Chairman of Lhasa Huating Trading Co., Ltd., who treats the brand as family.
**From 3,000 Cases to 2 Million Cases**
In March 1996, at the spring sugar and wine fair, known as the "No.1 Fair in the Industry," a new guest appeared: Red Bull made its debut before Chinese FMCG buyers and distributors.
It was at this exhibition that Fan Fangting, then General Manager of the Tibet Autonomous Region Trade Union Commercial Corporation, immediately took a liking to this beverage. "At first glance, I felt that China Red Bull's gold can packaging was high-end, elegant, and classy," he said, though he was not entirely confident about future market prospects.
As a distributor long engaged in Tibet's FMCG industry, Fan Fangting always believed that any new brand should be introduced to Tibet, so that farmers, herders, and those supporting Tibet's construction could also enjoy high-quality, trendy beverages. "The market is always tested; if you don't try, you'll never know," he said.
With a "try it out" mindset, Fan Fangting placed an order for 3,000 cases with China Red Bull's Chengdu branch. After returning to Tibet, he began assembling a Red Bull agency team, initially with fewer than 20 people dedicated to Red Bull. The professional promotion team, based in Lhasa, continuously developed sub-agents, expanding the business network to five major regions: Nyingchi, Shigatse, Ngari, Shannan, and Nagqu, achieving the widest coverage of the Tibetan network.
**In 1999, sales exceeded 60,000 cases; in 2004, sales reached 400,000 cases; in 2005, sales surpassed 500,000 cases. Subsequently, sales in Tibet grew at an annual rate of about 20%.**
"In 2016, our sales exceeded 2 million cases. With a total population of about 3.18 million in Tibet (2014 data), and excluding the Chamdo area (not under my responsibility) and areas hard to cover, on average, every Tibetan drinks one case of Red Bull per year. This is remarkable," Fan Fangting proudly said. "Our distribution rate in Lhasa can reach 100%; in supermarkets, grocery stores, tourist spots, restaurants, internet cafes, and leisure venues—wherever packaged beverages are sold, Red Bull is available."
 _['Red Bull advertisement by Fan Fangting in a commercial hotspot in Tibet in the 1990s']_
**"Cars Need Fuel, I Need Red Bull"**
"Cars need fuel, I need Red Bull." On the vast Qinghai-Tibet Plateau, this advertising slogan was almost household. The explosive growth in Red Bull sales was unexpected for Fan Fangting, but it seemed logical.
"Living on the plateau at altitudes above 4,000 meters, walking easily tires you out. This is especially true for drivers. Red Bull has significant refreshing effects, and during Tibet's intense construction era of 'opening roads through mountains and building bridges over rivers,' both hardworking long-distance drivers and ordinary people needed it. Now it's even more widespread; even for leisure like playing mahjong, they like to use Red Bull with ice to refresh themselves," Fan Fangting said.
 _['Red Bull advertisement at Potala Palace Square in the 1990s']_
The golden packaging with the red bull head logo, coincidentally, matches the auspicious colors in Tibetan culture. Fan Fangting said, "Later, we encouraged downstream partners to collect empty cans for recycling and use them to build advertising walls. A distributor in Dazhuka, Shigatse, to keep the auspicious colors forever, collected Red Bull cans everywhere and built a wall of Red Bull cans beside his home. Many distributors believe Red Bull has brought them income and good luck."
In 2011, China Red Bull Chairman Yan Bin visited Tibet, and Fan Fangting accompanied him to the golden top of the Potala Palace. "I was surprised to see lamas drinking Red Bull," Fan Fangting said to Yan Bin. "Red Bull is such an auspicious drink in Tibet!"
**Maintain Sales, Profits, and Scale**
Ngari Prefecture is one of the least densely populated areas in Tibet, with a total population of about 95,000. This important region, rich in ancient Zhangzhung culture and Tibetan customs, is over 1,700 kilometers from Lhasa, connected by a national secondary highway.
Even in such barren and cold areas, Red Bull is still present. "To bring Red Bull to Ngari, we resolutely gave up profits and did not make money from secondary distributors there," Fan Fangting said about his business strategy. "In Lhasa, Nyingchi, and other areas, we need to maintain both sales and profits, but in Ngari, we don't need to make money; we just need to ensure scale."
"**For maintaining the FMCG market, it is important to protect the interests of downstream partners and the stability of the brand's price system. Preventing cross-regional selling is a key means to maintain market and brand health. For Tibet's FMCG channels, Ngari's strategic location is important, connecting Sichuan to the east and Xinjiang and Qinghai to the north. Cross-regional selling is intolerable for distributors; once it occurs, it disrupts the entire regional price system and can even damage the brand's reputation in Tibet.** " Fan Fangting said.
**Channel maintenance is like a lifeline for the company. To seize channel advertising resources, from sun umbrellas and tents at police stations to billboards at scenic spots, Fan Fangting has invested a lot of effort.** "Nongfu Spring, Wahaha, Master Kong—now there are many big brands, and every distributor is competing for resources," Fan Fangting recounted his hard-won achievements: "We secured 50-60 of the 160 police stations in Lhasa for advertising; we provided free uniforms for cleaners at Potala Palace Square, printed with the China Red Bull logo..."
 _['Fan Fangting's team's Red Bull brand promotion work is integrated with the daily life of Tibetans']_
Promotional activities are also indispensable. In addition to the brand promotion funds from China Red Bull headquarters, Fan Fangting supports traditional festivals like Tibetan New Year and Shoton Festival from his own profits to increase Red Bull's exposure. "Sometimes one event costs 500,000 to 600,000 yuan."
Combating counterfeit products is also a daily task for Fan Fangting. At key transportation hubs like Lhasa Railway Station, if his team finds counterfeit products, they contact China Red Bull headquarters and cooperate with local industry and commerce departments and economic crime investigation units. "Anti-counterfeiting is originally the responsibility of China Red Bull headquarters, but I can't bear to see a small number of fakes ruin a good brand. You know, it's not easy to build a good brand, but it's too easy to destroy one."
**Mutual Achievement in Loyalty and Trust**
Twenty years is the corporate history of China Red Bull in the Chinese FMCG market, and also Fan Fangting's personal history in Tibet.
From nothing to something, from few to many. Since starting to distribute Red Bull, Fan Fangting's trading company has grown and become a bridge for many FMCG products entering Tibet.
"Our distribution has brought Red Bull into thousands of households in Tibet, and the brand effect of distributing Red Bull has enhanced our company's visibility, making us a standout in Tibet's FMCG distribution industry," Fan Fangting said emotionally. "Looking back over 20 years, Red Bull and our distributors have achieved mutual success and complemented each other."
Red Bull's popularity in Tibet has cultivated a large market for energy drinks, and other competitors have sensed the opportunity. Many beverage companies have launched functional drinks and approached Fan Fangting to get a share. "Some manufacturers offered generous conditions, some are my old friends, but I clearly refused," Fan Fangting said. In his value system, he emphasizes loyalty to the products he represents. Some suggested he set up another company to distribute, using Red Bull's channels and team discreetly, "but you can't hide fire in paper; I firmly refused. I also don't like representing duplicate categories."
**The 'China Red Bull Legacy' Passed from Father to Son**
"Our company has three people collecting payments every day. Many receivables have become risk points for the company." Fan Fangting's trading company mostly uses a consignment model with secondary distributors in various regions.
"After a train carload of goods arrives at the warehouse, sub-distributors pick up the goods, but payment comes only after they sell them," Fan Fangting said. "My people collect payments 365 days a year; if they go early, the goods haven't sold, if late, the owner is away. Sometimes we have to visit a store four or five times. At the peak, one customer owed me 10 million yuan. Gas station supermarkets like Sinopec and PetroChina usually have a two to three-month payment period."
This operating model tests Fan Fangting's cash flow and, to some extent, restricts the company's further growth. Now over 60, Fan Fangting began to consider retiring, planning to gradually shrink business and return to Shanghai for retirement. At that moment, his post-80s son decided to join.
"I have a rough management style and don't consider many details. Now that my son is at the helm, he pays more attention to corporate culture," Fan Fangting said proudly. "Under young management, the company's information management level is improving; for example, you can check inventory on your phone, unlike me who had to call repeatedly to check warehouse status. Also, with ABC management for sub-distributors and customers, high-quality and key customers are valued, and bad debts from customers with poor credit have decreased."
Currently, Red Bull sales in Tibet have entered a critical phase. "For us, significant market growth is difficult. Plus, functional drinks are becoming a red ocean. Various brands are encroaching on this market. **Our current strategy is to stabilize the market and prevent new entrants from eroding it.** " Fan Fangting said, **the company will still adopt an 'offensive' defense, expanding channels to townships and below, and conducting carpet-style development across the entire Tibetan network.**
"**What is an FMCG distributor?**
**In fact, it's a senior porter.**
**But the value of this generation lies in the word 'senior,'**
**There is a kind of success called perseverance.** "
As an old-generation entrepreneur, Fan Fangting is taking his final bow, but the spirit of a veteran never fades.
Source: Food Business
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