Click to read the original article for details Source: Teacher Liu's Digital New Marketing (liuchunxiong1964) Author: Qin Yafeng For 20 years, China's FMCG dividend lay in the vast channel expansion. Managing KA chains, the distribution system, and terminal stores were the key tasks of the sales system in the past. Today, however, most FMCG companies face significant resistance. A national brand cannot withstand a brand that only develops in a niche channel; a brand with 20 years of heritage cannot withstand a new brand. Returning to users and mastering users is the root of success for these "latecomers." They shape brands, develop products, and serve users around the user, achieving rapid amplification of brand value. Traditional big brands do not lack product development capabilities or channel coverage capabilities, but why can't they surpass competition? They make good products but remain immersed in the confidence of mass distribution; they build good brands but remain immersed in the self-congratulation of mass communication. As a result, they lose in inefficient marketing. When incremental market growth cannot be expanded in the industry, efficient marketing in the existing market becomes crucial. The key issue that marketing digitalization must solve is precisely the issue of efficiency. Only the integration of distribution and sell-through can comprehensively improve marketing efficiency. The integration of distribution (B) and sell-through (c) was difficult to achieve in the past, but today's digitalization with strong connectivity can completely solve it. New brands achieve "see it, get it" by cleverly using digital capabilities. For example, Perfect Diary uses communities not only to convey brand value through IP-based KOCs but also to create scenarios for immediate purchase by users. Three Major Efficiency Advantages of BC Integration BC Integration Efficiency Advantage 1: Achieving Long-term User Value Leadership Through digitalization, B-end can reach users while also accumulating users. The accumulation of an effective user pool makes the value of B-end higher and the service capability to C-end stronger. In the past, a large number of terminal promotions only sold products but could not accumulate users, making it difficult to achieve multiple interactions with users. Repurchase could only rely on random purchases and strong brand awareness. Today, fragmented user touchpoints make natural repurchase increasingly difficult. Deep user communication relies on user accumulation and connection. The Beijing Super Node team has interacted with a large number of clients over the past 4 years and deeply felt the helplessness and powerlessness of brand owners on this issue. A brand director of a certain group said a classic sentence when discussing this issue: "Today's promotions always have only one reason called customer acquisition, and the only action for customer acquisition is discount, resulting in big discounts but no sales." Only digital customer acquisition methods can accumulate users, realize long-term user value, and achieve sustained sales growth. BC Integration Efficiency Advantage 2: Achieving Low-cost Marketing Leadership In the era of e-commerce traffic, there is a saying: "The cost of acquiring a new customer is dozens of times that of maintaining an old customer." Marketing resources are always limited. The unit output of a B-end determines the marketing expense ratio. Traditional marketing focuses on the head to increase head unit output, thereby reducing overall costs. This way of increasing unit output is still not outdated, but it has become more challenging. Today, if you complete distribution to B-end but cannot control B-end users, you cannot achieve unit output improvement and marketing cost reduction. Marketing expenses achieving BC integration can fundamentally reduce costs and achieve true marketing reach to users. Case 1: A product under a group served by Super Node. In the past, the important promotion method in KA was low-price slots for best-selling products plus terminal display resources. The entire group was always at the break-even point. In recent years, KA customer traffic has declined, channel costs have continued to rise, store unit output has continued to decline, and the cost of launching high-margin new products has become increasingly high, making the marketing system increasingly weak. Super Node and the group launched a digital marketing strategic cooperation, changing the nationwide promotion format around KA. Users scan codes at the terminal to receive coupons and get instant discounts at the checkout. On the one hand, a standard price system is established at the terminal; on the other hand, user-side costs are controllable. At the same time, through purchase tiers and designated products, average order value is increased and targeted marketing is achieved. During execution, it helps brands accumulate users, helps sales staff grasp real-time sell-through data, and helps stores continue interactive marketing. BC Integration Efficiency Advantage 3: Achieving Scenario Reshaping Leadership The pandemic has accelerated the leapfrog growth of China's O2O. Traditional terminals have fully launched dual-scenario businesses of "to home" and "to store." But facing the strengthening of dual-scenario services, brand owners have made dual-line investments: one line continues to invest in terminal store interception, and the other line adds investment in O2O traffic grabbing. Costs continue to rise, but the service is still for the same group of users. The two groups of users cannot be connected, leading to chaotic marketing, and a strange circle appears where in-store users are guided to O2O platforms. Case 2: Super Node pioneered a technical system for sharing users across dual scenarios in the industry, realizing in-store touch and in-store transaction, at-home touch and at-home transaction, using user profiles for multiple-level amplification to reach new customers, and achieving a unified strategy for brand users. Based on B-end service capabilities, efficient and precise scenario conversion is carried out, helping a group of top FMCG brands achieve dual-scenario marketing, fundamentally helping brands get out of the strange circle of scenario marketing. BC integration is the integration of distribution and sell-through; BC separation is traditional inefficient marketing! Digital full-chain is the basic guarantee for achieving BC integration, and marketing digitalization is the booster for achieving BC interaction! PS: From August 24 to 26, 2021, the 2021 (4th) China FMCG Conference hosted by "New Distribution" will be held in Shanghai. Focusing on industry trends + practical cases + growth connection as the core, 3,000 FMCG practitioners will gather for the event. 10 thematic forums cover new retail O2O, community group buying, short video e-commerce, distributor transformation, rise of new consumer brands, new wine beverage interpretation, distribution B2B supply chain, omni-channel marketing, B2B2C new technology applications, etc. Operators in each segment will bring the latest case interpretations. Some of the confirmed heavyweight guests so far include: 1. Tao Shiquan, founder of Jiangxiaobai; 2. Yao Xuhong, general manager of Meiyijia Holdings Co., Ltd.; 3. Lu Xiuqiong, global expert partner of Bain & Company and former vice president of marketing for Coca-Cola China; 4. Chen Xiaodong, senior vice president of Nestlé Greater China; 5. Zhang Fujun, president of Lee Kum Kee Sauce Group China; 6. Bi Chaojiao, general manager of China Resources Snow Breweries (China) Marketing Center; 7. Yang Hongbin, vice president of Junlebao Dairy Group; 8. Yang Shun, COO of Lipton Greater China; 9. Zhang Yipeng, general manager of Kuaishou E-commerce SKA Brand Operations Center; 10. Li De, e-commerce general manager of Gold Hong Ye Paper Group... A grand event for FMCG people, you must be there! Are you "watching" me?