---
title: "CP Group Enters Community Group Buying: How a 95后 CEO Led the Team to Cover Over 2,000 Residential Communities and Achieve Monthly Revenue Exceeding 10 Million Yuan in Just 6 Months?"
description: "Zhengchuanghui is a community group buying platform we built based on CP Food's strong supply chain. In February 2020, when Wuhan was under lockdown and residents could only get basic vegetables without meat, we decided to launch this platform to contribute to the city. Starting with a simple mini-program and piloting in three communities where our colleagues lived, we sold a package of 10 kg of pork for 800 yuan. Within an hour, relying solely on a message from the community leader in the owners' group and without any promotion, we achieved sales of 70,000 yuan."
author: "龙啸天"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2020-09-14"
language: "en"
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original_source: "https://mp.weixin.qq.com/s/fG65k6IB5AnU5hEQ1G4KNA"
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---

# CP Group Enters Community Group Buying: How a 95后 CEO Led the Team to Cover Over 2,000 Residential Communities and Achieve Monthly Revenue Exceeding 10 Million Yuan in Just 6 Months?

> Zhengchuanghui is a community group buying platform we built based on CP Food's strong supply chain. In February 2020, when Wuhan was under lockdown and residents could only get basic vegetables without meat, we decided to launch this platform to contribute to the city. Starting with a simple mini-program and piloting in three communities where our colleagues lived, we sold a package of 10 kg of pork for 800 yuan. Within an hour, relying solely on a message from the community leader in the owners' group and without any promotion, we achieved sales of 70,000 yuan.

Zhengchuanghui is a community group buying platform we built based on CP Food's strong supply chain. In February 2020, when Wuhan was under lockdown and all communities could only get basic vegetables without meat, we decided to launch this platform to contribute to the city.
Initially, we only created a mini-program and quickly piloted it in three communities where our colleagues lived. At that time, the product specification was quite striking: a package of 10 kg of pork priced at 800 yuan.
The result was that, relying solely on a message from the community leader in the owners' group and without any promotion, we achieved sales of 70,000 yuan in one hour. This made us truly start thinking about how to do community group buying well, and this small achievement also gained recognition from senior management.
At the very beginning, with only three team members, we faced the problem of insufficient manpower and inability to resume work. We had no sorting, distribution, or logistics. Also, because the team was temporarily formed, transitioning from traditional 2B to 2C, the team structure was not fully complete, so we had to take it step by step. After handling sorting, orders, and community leader maintenance, we immediately turned to platform development.
But to support us, the group mobilized the entire logistics network in Central China to participate. As a result, within just 6 months, we covered 2,120 communities, and sales went from zero to 30 million yuan.
Now, as the shadow of the pandemic gradually fades, we have been pondering: is community group buying actually a pseudo-demand? How should we find our precise positioning? It's not simple, but when we see that we've grown from the initial three people to 32 now, and despite many platforms entering Wuhan, our impact has been minimal, we know we've done something right!
**We focus on high average order value and target high-spending consumers. Many people think community group buying means high cost-performance and low average order value. In fact, it's the opposite. We took this opportunity to start building brand culture, centered on CP Food, focusing on mid-to-high-end products.**
Since its development, Zhengchuanghui's **core principle is to select the best products, the freshest dates, the best service, and the most beautiful packaging. If you are not satisfied with our products, you can directly get a refund.** This has also earned us a large group of fans who recognize our products.
**We believe community group buying should offer relative affordability; selling high-end products doesn't necessarily mean expensive.** We have achieved this. So we are committed to bringing the highest quality and freshest food to more community families, ensuring health and happiness for all.
What supports us to keep our original intention and move forward in the tide of community group buying? It's the support from our group.
CP Group is the world's fourth-largest food producer, the world's largest integrated chicken producer, the world's second-largest pig farming enterprise, the world's second-largest layer farming enterprise, the world's second-largest 7-Eleven convenience store chain operator, and Thailand's second-largest telecom operator.
Additionally, in Wuhan and the central-south region of Hubei, we have Asia's most advanced pork slaughtering plant. After building our own cold chain logistics warehouse, the 2B business no longer requires additional investment.
Our development to this day is "because we understand." **We have more empathy and haven't followed the crowd.** While everyone else is going for lower-tier markets, we found our positioning faster.
**We target high-spending consumers aged 22-49, community residents who are willing to pay for better quality. We focus on mid-to-high-end products with absolute advantages.**
We understand the younger demographic and know what they like. Facts have proven this positioning is correct. This is the age group surveyed based on the mini-program's backend data, so we believe there is more future in mid-to-high-end products.
Now, when the industry's average order value is only around a dozen yuan, our average order value has reached 105 yuan, and our repurchase rate is 71%. This precisely validates our positioning. Moreover, we don't do lower-tier markets; we only serve customers with higher demand, higher quality requirements, and relatively better quality, who are more dependent on our brand.
In fact, we do both 2C and 2B, and we can share cold chain logistics costs, so our overall gross margin reaches 30%. We are more like a light operation under heavy assets. CP Group's strong existing layout nationwide provides us with endorsement and also points us in the right direction.
Our profit model is based on the group's foundation. The entire China CP full industry chain has over 10,000 self-operated product SKUs, giving us an absolute advantage in mid-to-high-end products.
But the shortcomings are also apparent: we still can't do vegetables and fruits well.
So we hope to open up and cooperate with these leading mid-to-high-end food companies to create a truly curated platform, achieving product equity.
At the same time, we haven't done daily chemical categories; instead, we focus on meeting consumers' dining table needs, so our products mainly include frozen food and retail food. Of course, some categories are still vacant, but based on the advantages of a multinational company, a large portion of imported products haven't been introduced yet.
While becoming a fresh convenience supermarket at your doorstep, we do curation, strictly controlling SKUs within 300. Additionally, we ensure worry-free after-sales: if you think our product is not good, we'll improve it tomorrow; if you think the meat is too fatty, we'll give you better; we provide whatever you want.
Actually, I strongly agree that distributors are irreplaceable. Why do we do a community group buying platform? Besides our own desire, we want to show everyone that our products are really suitable for C-end. We are creating a model that has market demand and can be expanded. The ultimate goal is to bring food to every household; it doesn't matter through whom.
Moreover, **we won't disrupt any channels** because we are a platform precisely positioned for mid-to-high-end communities. After more users recognize our platform, it actually helps other channels sell better.
Second, another pain point we've encountered in community group buying is **the slow development of community leaders**.
We are very grateful to our community leaders, but we still want to find more leaders to cooperate with, so that more leaders can bring consumers to choose our platform. We can respond quickly to consumer needs with our supply chain.
**Community group buying has a very obvious characteristic: all users are concentrated, with a community effect. Besides food needs, there will definitely be other needs, so we will also do some extended services** such as a curated takeout platform. Middle-aged people have a pursuit for food; we can select high-quality ingredients and provide them with traffic to develop takeout services and group meal service platforms, as well as for gatherings, dinners, and even meetings, and subsequent local life services and extended services.
In the future, to develop B2B channels, a platform should serve both B2C with delivery to home and also meet the needs of restaurant stores with timely delivery. That is our ideal model.
During the entire expansion process, our average order value may reach over 100 yuan, with a comprehensive gross margin of 30%; we can use cold chain express with ice packs to achieve next-day delivery for our products over 100 yuan; let e-commerce enjoy group buying prices and delivery efficiency. We very much hope to have more traffic to cover every corner, which is also our measure to develop users when our internet thinking is not advanced enough.
In the later stage, our platform will no longer be just a community group buying mini-program; we hope to become a service platform for community group buying and a service platform for high-quality food supply chains. Besides doing community group buying ourselves, we want to provide an export platform for more supply chains like CP Food, provide platforms for more supply chains, and provide supply chains for more platforms, with mutual conversion.
We are not entirely sure if this path is correct, but as young people, we are like a fire. We have been ignited with the support of giants, and we can burn faster. Because we have the courage not to fear loss, we believe we can do our best. As for what next year will bring, let's wait and see.


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