In 2016, the FMCG industry had a hot topic: the disruption of the industry by B2B models. Nearly a hundred platforms successively entered the FMCG supply and distribution field, and distributors were suddenly on edge, unsure how to respond to the internet's transformation of existing channels. Of course, some distributors are also trying to seek transformation, actively embracing the internet, joining platforms, or starting their own B2B platform companies. However, the problem for the vast majority of distributors is that they simply do not understand these new concepts and terms; they want to learn but lack good channels. Domestic B2B platforms that distributors can participate in generally fall into four models:
First: Franchise Supply Chain Platforms Platforms like Zhanghe Tianxia, Tongying Tianxia, Wankai Wanwu, Pi Duoduo, Yunbao Shangmeng, Wdian Yigou, Wanshang Yizhan, etc., where the platform provides technical and operational guidance, and distributors handle market development and supply chain organization. This type has the most platforms and is the most common model for distributor participation. Advantages: The platform provides technical and operational support, relieving franchisees of backend operational worries. Second: Franchise Convenience Store Platforms Platforms like Beiquan, Quanshi Bianli, Meitianhui, which are similar to franchise supply chain platforms, with the platform providing technical and operational guidance, and distributors handling store rebranding and supply chain organization, along with value-added services. Advantages: Same as above, the platform provides technical and operational support, relieving franchisees of backend operational worries. Third: Technology Support Platforms Platforms like Zhongke Shangruan, which provide platform technology to distributors, allowing them to design their own models and operational strategies. Advantages: Distributors can customize platform functions and attributes according to their own characteristics. Fourth: Franchise Logistics Platforms Platforms like Yishang, Weicheng Peisong, Yijia Logistics, etc. Strictly speaking, these are not B2B but rather the infrastructure for B2B. However, logistics is the core of B2B, so unified warehousing and distribution is also an ideal transformation model for distributors. Advantages: Logistics is the foundation for successful B2B operations. Franchisees have rich operational experience and professional software technology, helping distributors quickly implement logistics hardware and software. Regarding transformation, as mentioned in my previous articles, not all distributors are suitable for transformation. Given the characteristics of B2B platforms, extremely high transaction volumes are needed to cover operational costs. I have categorized whether distributors at various stages are suitable for B2B:
Dealer Operations · Supply Chain & B2B
Before Distributors Dive into B2B, You Need to Understand...
In 2016, B2B models disrupting the FMCG industry became a hot topic, with nearly a hundred platforms entering the supply and distribution sector, leaving distributors anxious about how to respond to internet-driven channel changes. While some distributors are attempting to transform by embracing the internet, joining platforms, or starting their own B2B companies, most lack understanding of these new concepts and terms, and have no good way to learn.
