Another internet celebrity has entered the food industry! According to 36Kr, Tianyancha App shows that recently, Hangzhou Fengweipai Food Co., Ltd. was established with a registered capital of 1.8 million yuan. The legal representative is Dong Haifeng, and the business scope includes food business, wholesale/retail of edible agricultural products, and internet sales. Tianyancha App equity penetration data shows that the company is 100% owned by Qianxun (Hangzhou) Cultural Media Co., Ltd., which is Viya's affiliated company, and the legal representative and ultimate beneficiary of the latter is Viya's husband, Dong Haifeng. Qianxun's suspected actual controller is Dong Haifeng Image source: Tianyancha App Seeing Viya's product promotion ability, various food brands are now rushing to enter Viya's livestream room, from spicy strips to noodles, from candies to nuts. Any food we can think of may appear in her livestream. Well-known brands such as Baicaowei, Qiaqia, Adopt a Cow, and Orion have seen sales multiply in Viya's livestream. It is reported that when Viya does snack livestreams, the conversion rate is 18% to 20%. Viya promoting a yogurt brand Image source: Viya's livestream screenshot It is understood that Viya's product selection team is divided into three departments: beauty, food, and lifestyle. The separate department for food shows the importance attached to it. In 2020, Viya also livestreamed for 3 hours during her self-created July 2 Snack Festival, completing over 100,000 snack orders. Viya, who is thriving in the livestream field, registering her own food company is undoubtedly a groundbreaking move. Why does Viya want to enter the food industry and get a share of the pie? Where does her confidence come from? -01- Why are internet celebrities and stars crossing over to the food industry? From Drunk Goose Girl and Lin Yilun to Li Ziqi and Viya, why does the food industry attract internet celebrities and stars to come and share the pie? Crossing over, the food field is a relatively safe choice. On the one hand, especially for leisure snacks, the investment cost is low and the technical threshold is relatively low; on the other hand, food is more civilian, has a high repurchase rate, and covers a wide range of people. Food has always had a very high appearance rate in Viya's livestream. On April 1, 2020, Viya's livestream product sales data showed that snacks had become a pillar best-selling category. Sales volume of Viya's livestream products on April 1, 2020 Image source: iiMedia Research Previously, Viya also set a record of selling over 10,000 cans of Guizhou Pu'an black tea in 4 minutes and selling out 30,000 copies of Gansu Lixian apple crisps in 5 minutes. Viya's layout in the food industry at this time is not early. There have been some successful cases of internet celebrities crossing over into the food field and creating food brands. Some product images of Lion Song Song Image source: Lion Song Song Internet celebrity Li Ziqi's eponymous brand has also been welcomed by consumers. As early as 2018, Li Ziqi's company, Hangzhou Weinian Brand Management Co., Ltd., began to use the Li Ziqi IP to monetize traffic. On Qixi Festival in 2018, Li Ziqi's flagship store officially opened on Tmall. Within 6 days of opening, the store's sales of only 5 products exceeded 10 million yuan. Li Ziqi's Luosifen (snail rice noodles) even caught up from behind, competing with brands like Luo Bawang and Hao Huan Luo. According to Blue Shark Youhuo's estimate, based on a median of 800,000 bags per day, Li Ziqi's Luosifen revenue in 2020 exceeded 3 billion yuan. Li Ziqi Luosifen Image source: Li Ziqi Tmall flagship store -02- Where does Viya's confidence come from? From livestream e-commerce to crossing over to start a company, what qualifies Viya? 1. Personal influence Currently, all products released in Viya's livestream basically sell out within seconds, and her product promotion ability is top-notch. Viya started with clothing wholesale business, officially entered Taobao Live in 2016, and broke through 100 million yuan in transaction volume after 4 months. Statistics show that in 2020, Viya's total transaction volume reached 20.208 billion yuan, ranking first on the Taobao Live product promotion celebrity list. Viya's personal influence is also reflected in her positive image. In addition to being an e-commerce host, she is also a member of the National Youth Federation, a National March 8th Red Banner Holder, and a recipient of the National Poverty Alleviation Award. Currently, Viya is actively exploring a new "livestream + public welfare" model and carrying out public welfare assistance to farmers. According to data from the end of 2020, Viya has visited Yunnan, Anhui, Hunan, Qinghai, Henan, Heilongjiang, Hubei, Shaanxi, Guizhou, Jilin and other provinces to conduct poverty alleviation and agricultural assistance public welfare livestreams, using the "buy instead of donate" form to guide sales of over 300 million yuan, helping tens of thousands of workers increase their economic income. In 2020, Viya also appeared on the show "Back to Field" to help fruit farmers in Xishuangbanna sell agricultural products with serious inventory backlog. Her first agricultural assistance livestream at the mushroom house created a turnover of 5.7 million yuan. Viya's agricultural assistance livestream on "Back to Field" Image source: Mango TV screenshot 2. Product logic that better understands consumers Just as Drunk Goose Girl said, "We are a wine company that is very close to consumers," long-term livestream e-commerce has brought Viya closer to consumers, and her accumulated product selection experience allows her to better understand what products attract consumers. Viya's strict product selection is well-known in the industry. She and her team have formed a fixed product selection logic, such as market heat, product ratings, price comparison, etc. The comprehensive product evaluation allows Viya's entire team to better understand products from the consumer's perspective. 3. Strong supply chain management capability Previously, according to analysis by Liu Xiang, a special author of CTR Insight, Viya has stronger supply chain management capabilities than Li Jiaqi. According to a 2019 report by Ebrun, Viya's parent company Qianxun Culture was planning a "super supply chain base" at that time, which could help hosts select goods and livestream in a "supermarket" shopping manner. This supply chain model centralizes the supply chain Viya has accumulated over the years, with an offline product selection base. It not only reduces the process of merchants repeatedly sending samples but also accumulates more brand resources. -03- From Li Ziqi to Viya, can "outsiders" disrupt the food industry? On January 10, Lu Minfang, president of Mengniu Group, pointed out on CCTV2's "Dialogue" program: "I think the boundaries of peers in the future will definitely not be as clear as they are now. People who don't understand the industry but understand consumers can also become your peers. Many industry disruptions are not caused by peers, but often by outsiders disrupting the industry." From a journalist to crossing over to sell water, creating the well-known Nongfu Spring brand; from making games to creating Yuanqi Forest, which entered the beverage market with sugar-free sparkling water... These are all considered outsiders crossing over, but they have caused major shocks in the industry. However, it is not easy for "outsiders" to enter the food industry. First, in the highly competitive food industry, there is not much cake left to divide. As consumers' spending levels rise, the threshold for the snack industry is getting higher. Before entering this industry, it is crucial to think clearly about which track to enter and what positioning to take. In addition, if you enter the food industry with traffic and have the short-sighted view that traffic alone can solve everything, it will not last long. After all, consumers also have a rational side. To take the long-term path, you still need to rely on the product itself. Currently, the asset-light model of relying on OEM factories is the preferred choice for "outsiders" entering the food industry, but it also has drawbacks, such as difficulty in controlling product quality and insufficient production capacity. Previously, some new consumer brands represented by Yuanqi Forest were criticized for their OEM model, and now they have built their own factories to make themselves more substantial. From past brands, successful "outsiders" are not ignorant of the industry; they also do things the insider way and gradually move towards success. What categories will Viya lay out with her own food company? Can she complete the process of monetizing traffic and create her own food brand? We will wait and see. Source: FBIF Food & Beverage Innovation (ID: FoodInnovation) Author: Yanyan Tips will be paid 400-2000 yuan once adopted.