Since its emergence and rapid development in 2003, FMCG B2B has attracted increasing attention from brand owners and distributors. As a new digital channel born in the era of mobile internet, B2B not only helps brand owners fill channel gaps, reach more retail outlets, and gain market increments, but also points the way for the evolution of China's FMCG distribution channels, helping brand owners and distributors optimize channel structure and distribution costs, improve distribution efficiency, and ultimately promote the development of the FMCG industry. To help FMCG manufacturers and related practitioners gain a clearer and more comprehensive understanding of the current state of the B2B industry, the cooperation between brand owners, distributors, and retail stores with B2B platforms, the development status of major B2B platforms nationwide, and future development trends, the New Distribution research and consulting team conducted tracking research on the top 30 B2B platforms, 63 brand owners across 15 product categories, 95 distributors, and 6,030 retail stores in 112 cities through telephone surveys, expert interviews, and questionnaires. After several months, they compiled the 93-page "2019-2020 FMCG B2B Industry Trend Report" (hereinafter referred to as the "Report"). The Report will comprehensively interpret the current status and future development possibilities of the B2B industry from six parts: Overview of FMCG B2B Development, Research on FMCG B2B Platforms, Cooperation between Brand Owners and B2B, Cooperation between Distributors and B2B, Cooperation between Retail Stores and B2B, Research Summary, and Future B2B Market Outlook, thereby helping FMCG manufacturers gain insights into channel development trends and provide strong support for key decisions to win in channels. The following are some contents of the Report: The lower-tier market has a large population, with retail stores accounting for over 70%, indicating huge development potential and market opportunities. How to cover the lower-tier market at low cost is a huge opportunity and challenge for both brand owners and B2B platforms. The development of FMCG B2B is divided into the following four stages: Emergence Period (2003-2013): The development of the internet gave rise to the B2B industry, and some vertical B2B platforms began to appear, such as Zhaogang.com and HC360. FMCG B2B platforms like Zhongshang Huimin and Zhanghe Tianxia were also born in this stage. Rapid Development Period (2013-2018): The popularization of mobile internet accelerated the development of the B2B industry, especially under capital catalysis, a large number of B2B platforms began to appear, and core players such as Yijiupi and Best Store Plus entered the market. Internet giants Alibaba and JD.com also entered in this stage, and industry financing events occurred frequently. Integration Period (2018-2021): The industry gradually cooled down, financing events decreased, and some platforms with poor management and inability to profit exited one after another. A typical event was the closure of Dianshang Hulian. Capital attention to FMCG B2B began to decline. The pattern of Alibaba Retail Link, JD New Channel, and Yijiupi "three pillars" began to emerge. Maturity Period (2022-): The leading platforms in the industry have basically completed national market coverage and penetration; brand owners, distributors, and B2B platforms have entered normalized cooperation; the B2B industry has entered a stage of steady development. After experiencing the emergence and rapid development periods, FMCB B2B is currently in a rapid integration period and will officially enter the maturity period after 2022, entering a stable development stage. At the beginning of 2020, the COVID-19 outbreak highlighted the advantages of digital supply chain enterprises. Some B2B platforms such as Alibaba Retail Link, JD New Channel, Zhongshang Huimin, and Kuaile Zhanggui participated in the "anti-epidemic" efforts as livelihood guarantee enterprises, leveraging their scale advantages and digital capabilities, with a significant increase in order volume growth. With the acceleration of B2B national penetration and coverage, the usage rate of B2B platforms by small stores has become increasingly concentrated on leading large platforms. Among them, Alibaba Retail Link, JD New Channel, Yijiupi, Best Store Plus, RT-Mart e-Lufa, and China Tobacco New Shangmeng performed well in both coverage and penetration nationwide. In high-tier markets, retail stores have limited store space, and small stores have high requirements for logistics delivery timeliness; while in low-tier markets, small stores generally have larger and low-cost storage spaces, and their attention to delivery timeliness is relatively low. This also leads to differences in delivery timeliness of B2B platforms to small stores in different tier markets. The attitude of brand owners towards B2B determines, to a certain extent, the sales volume and store coverage of brands on B2B platforms. Coca-Cola, Master Kong, Pepsi, Yili, and Uni-President performed prominently on B2B platforms. Regarding distributors' attitudes towards B2B, 68.5% of distributors believe that cooperating with e-commerce platforms such as new retail, B2C, and B2B is an effective way and means for their optimization and upgrading, and 55.1% of distributors hope to obtain cooperation guidance with new retail e-commerce channels from brand owners. The above are some contents of the "2019-2020 China FMCG B2B Industry Trend Report (Circulation Edition)". Reply with the keyword "Industry Research" in the backend of the New Distribution official account to obtain it. For more detailed platform information, please consult and purchase the full version. For purchasing the full report, please contact: Yang Hongyu Oscar Yang +86185-2033-2627 oscar.yang@fmcgdealers.com Once the tip is adopted, a payment of 400-2000 yuan will be made.
Industry Trends
Heavyweight | 2019-2020 FMCG B2B Industry Trend Report (with download)
Since its emergence and rapid development in 2003, FMCG B2B has attracted increasing attention from brand owners and distributors. As a new digital channel born in the era of mobile internet, B2B not only helps brand owners fill channel gaps, reach more retail outlets, and gain market increments, but also points the way for the evolution of China's FMCG distribution channels, helping brand owners and distributors optimize channel structure and distribution costs, improve distribution efficiency, and ultimately promote the development of the FMCG industry.
