According to Tobey.com, based on logistics topology, B2B in physical trading can be divided into two categories: distribution hub and local service, both attracting capital attention. Last year, bulk B2B was favored in the hub model, while this year, more complex capital moves are expected in petrochemicals and rubber/plastics. In local services, fresh food and meal distribution saw a boom as O2O faded, and this year's hotspot may be FMCG distribution. Under this forecast, Tobey.com has sorted participants in FMCG distribution. We classify players using four labels: internet online trading market, trader transformation, SaaS ordering, and cross-industry giants. This is not a mutually exclusive model but more a division based on their origin as a key feature. I. Trader Transformation Founders of trader transformation companies share the same genes as those in internet trading markets; deep industry background is a key foundation. Due to transformation, resource integration and conversion rates are often higher, and offline bases quickly become online spheres of influence. Continuous traditional distribution experience lays a solid foundation for deep industry understanding. Players in this model include Xin Gaoqiao from Changsha, Hunan, which launched a new brand based on its Kuailehui convenience store chain, and Tianlianwang, the internet practice of one of the four major national distributors in the mobile phone sector. Xin Gaoqiao B2B Xin Gaoqiao B2B adopts a business model of e-commerce platform + logistics distribution + convenience store franchising (self-operated logistics, platform ordering, same-city delivery), cooperating directly with first-tier distributors and manufacturers. The platform has over 50,000 registered users and has established four logistics distribution bases in Changsha Muyun, Changsha Xing Sha, Changsha Wangcheng, and Guangzhou Baiyun. Its Kuailehui convenience store franchise has over 5,600 stores across Hunan, Hubei, and Guangzhou. Tianlianwang Tianlianwang has deployed a nationwide distribution network from online to offline, building a vertical B2B business model. As of the end of 2015, Tianlianwang had built 418 offline regional service platforms covering 31 provinces, serving hundreds of thousands of small and medium-sized customers and consumers. II. Internet Online Trading Market The most distinctive feature of this category is that their official websites have a relatively open online mall where registered and approved downstream buyers can transact. Currently, almost everyone requires member review as a prerequisite. Zhanghe Tianxia, 51 Order, Zhongshang Huimin, Limi Wang, Yijiupi, and even Lianduan Wang can be classified in this category. Behind this category, founders often have experience in the circulation of these industries, such as Chen Xian of Wo Yao Ding Huo and Chen Tong of Limi Wang. Zhanghe Tianxia Founded in 2013, Zhanghe Tianxia received investments from Hupan Capital and Huaxia Yusheng in 2015. It focuses on the supply chain community for small and medium-sized supermarkets in internet retail, providing convenience stores and similar small supermarkets with FMCG and daily necessities, as well as promotion and value-added services, helping small supermarkets standardize and improve competitiveness. As of March 2016, its business covered 27 provinces, over 600 cities, and over 7,000 towns. 51 Order 51 Order currently focuses on smart hardware wholesale, covering 14 provinces, 1,230 counties, and over 13,000 towns. Monthly ordering stores exceed 50,000, with a monthly growth rate of 10-15%. Zhongshang Huimin Wang Huimin Wang launched in 2012, dedicated to providing quality daily goods delivery to residential, commercial, and university communities. In January 2015, it received a $100 million Series A round. It has started operations in 10 provinces including Beijing, with over 100,000 supermarkets, and in Beijing, over 24,000 supermarkets, with a coverage rate of 60-70%. Limi Wang Limi Wang is a rural e-commerce trading platform providing comprehensive services for information flow, logistics, and capital flow for industry participants. Its business covers communications and peripherals, mother and baby, 3C digital, clothing, small appliances, home appliances, hardware, auto parts, etc., serving over 100,000 county and township retail stores across industries. In 2016, it will try 4-5 industries, covering 5-6 provinces, with a monthly sales target of 200 million yuan by year-end. Yijiupi Founded in September 2014, Yijiupi has completed a Series B+ round of 200 million yuan. It has entered 15 provinces and cities including Hunan, Anhui, Beijing, and Shanghai, with tens of thousands of end users. Monthly transaction flow exceeds 100 million yuan, growing at over 50% per month, with a 2016 target of over 3 billion yuan. Dianshang Hulian As of February 2016, Dianshang Hulian has expanded to Suzhou, Shenzhen, Hangzhou, Changzhou, and Chongqing, serving over 150,000 convenience store users. Beijing market coverage exceeds 80%, and it has established direct cooperation with thousands of brand manufacturers. III. SaaS Ordering Where are the boundaries between B2B SaaS e-commerce and B2B online trading markets? FMCG distribution is one of the most chaotic industries. To distinguish it from online trading market models, one can look at the specific methods and functions of connectivity services. The former often carries its trading business outside the official website and is deeply integrated with its inventory and other systems, while the latter focuses more on ordering and procurement, with less involvement in management. Yi Ordering, Order Treasure, and Kuaixiao Bang are concentrated in this area. Yi Ordering Yi Ordering is China's first B2B mobile ordering e-commerce software, having completed a Series B round of tens of millions of dollars. It is a B2B mobile ordering e-commerce system for enterprise customers, allowing companies to build a dedicated enterprise version of JD.com for order processing and channel collaboration with downstream customers. Order Treasure Order Treasure relies on a cloud SaaS model, penetrating PC, mobile apps, WeChat, etc., and provides "management end" and "ordering end" systems for suppliers and orderers, allowing downstream customers to order like online shopping. Order Treasure currently has nearly 100,000 registered users, and its potential target customers are as many as 15 million. Kuaixiao Bang Kuaixiao Bang launched in December 2015, focusing on online trading for FMCG. In Hangzhou alone, its online transaction flow exceeded 2 million yuan. As of now, over 700 terminal merchants cooperate with Kuaixiao Bang. It plans to expand to Changsha, Nanjing, Shenzhen, Shanghai, Qingdao, etc., in the second half of the year, with a daily transaction target of 100 million yuan. IV. Cross-Industry Giants In China's B2C internet, entrepreneurs constantly face the question: "What will you do if BAT comes?" Today, in FMCG distribution, all entrepreneurs face another question: "What will you do when Alibaba B2B and JD New Channel come?" Let's set aside the question and look at the players bringing it. Alibaba City Partner Previous reports suggested that Alibaba City Partner focuses on first- and second-tier cities, targeting community retail stores. Correspondingly, products are mainly imported goods and rural Taobao products, primarily daily FMCG such as imported goods and rural specialty agricultural products. However, actual feedback shows that Alibaba's layout also has important channel sinking features. When mentioning Alibaba's resource advantages, one cannot ignore the Cainiao system, Tmall Supermarket resource sharing, and Alibaba's close relationship with B connecting C. JD New Channel JD New Channel hopes to provide value for brand channel sinking, becoming a supplier to retail stores, mainly targeting mom-and-pop stores in fourth- to sixth-tier areas. It will leverage its regional warehousing value as a distribution center for the convenience stores it serves, with the hope that orders placed via the app can be delivered the next day. JD's distributed logistics system and resource import also have imagination space, especially in the maturity of the logistics system, which seems to have an advantage. The above four types of players, their origins or genes, to some extent influence their strategies and tactics, but the war in FMCG distribution is just beginning. The story around "source-goods-warehouse-vehicle-store" has a long future for them to fight. The unsound distribution system and the dividend of mobile internet will further promote higher penetration in this field. - END- China's best learning platform for FMCG distributors Focusing on providing professional, practical, and applicable tutorials for enterprises and distributors Committed to helping Chinese FMCG distributors grow rapidly The most professional and practical knowledge base in the FMCG industry Reply with the red number below to get corresponding content Reply with number 1 to view the complete knowledge base | 001 Excellent article selection | 002 Distributor market operations | 003 Terminal visit management | 004 Sales supervisor skills | 005 Sales improvement techniques | 006 Channel expansion | 007 Managing distributors | 008 Distributor development | 009 Distributor internal operations management | 010 Team management | 011 Efficient distribution techniques | 012 Sales manager's eighteen skills | 013 KA operation methods and strategies | 014 First lesson for new sales | 015 Internet, brands | 016 Distributor B2B transformation | [Long press QR code to follow]