---
title: "Home Delivery Becomes a Hot Trend, Manufacturers Rapidly Increase Investment, but Two Things Must Be Recognized!"
description: "In 2020, due to the pandemic, O2O home delivery has become a hot trend that all manufacturers are paying attention to. Recently, in New Distribution's Douyin live stream, many experts also advised manufacturers to pay more attention to the development of the home delivery model."
author: "赵波"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2020-02-26"
categories: "E-commerce & Instant Retail"
language: "en"
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original_source: "https://mp.weixin.qq.com/s/OOT3EbhC6aFEkEfaqVKFYQ"
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citation: "赵波. “Home Delivery Becomes a Hot Trend, Manufacturers Rapidly Increase Investment, but Two Things Must Be Recognized!.” New Distribution, 2020-02-26. https://xinjignxiao.com/en/articles/home-delivery-becomes-a-hot-trend-manufacturers-rapidly-increase-investm-dfe7c14f/"
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---

# Home Delivery Becomes a Hot Trend, Manufacturers Rapidly Increase Investment, but Two Things Must Be Recognized!

> In 2020, due to the pandemic, O2O home delivery has become a hot trend that all manufacturers are paying attention to. Recently, in New Distribution's Douyin live stream, many experts also advised manufacturers to pay more attention to the development of the home delivery model.

In 2020, due to the pandemic, O2O home delivery has become a hot trend that all manufacturers are paying attention to. Recently, in New Distribution's Douyin live stream, many experts also advised manufacturers to pay more attention to the development of the home delivery model.
**-01-**
From New Distribution's research on the industry, the fragmentation of future retail scenarios will inevitably require distributors to shift from the past supply chain model to a three-dimensional supply network model. That is, **to connect the three-dimensional space and achieve integrated online and offline marketing.**
Logic diagram of the supply network driven by changes in future retail scenarios:
What is three-dimensional space?
For traditional distributors, in the past, all our business was in offline stores, which is the first space, the physical space; the brand's direct e-commerce is the second space, the online space. But there is a point where these two spaces intersect: the community. A large number of community group buying and WeChat businesses use this community's social traffic to do business. This is the third space, also called the social space.
We can understand these three spaces as three transaction locations for users: **offline stores, online e-commerce, and community social circles.**
The three spaces are essentially separated. In the past, we distributors had no opportunity to do online B2C; our business was delivered to stores. But today, **on the one hand, stores have no business during the pandemic; on the other hand, consumers' habit of buying groceries online has been prematurely cultivated, leading to an early explosion of home delivery scenarios.**
Therefore, localized traffic, especially home delivery traffic, will become the key that all distributors must unlock in 2020.
**-02-**
But to connect the three-dimensional space, it is not just the distributor's job; it requires manufacturers and distributors to work together. Moreover, it is not a point breakthrough but a combination of the entire marketing system + technical system + operation system from the supply side to the demand side.
At the distribution level, we may need to look at this from the perspective of "chain + network."
**The so-called chain, in the past, was from factory to distributor, to store, to consumer. This is a supply chain based on supply and demand, and the distributor's function is to link supply and demand.** But the past connection, like a chain, was only the offline flow of goods and funds; all information was offline, lagging, and inaccurate.
Therefore, for distributors to achieve integrated online and offline marketing, **the first problem to solve is to make our supply chain online and achieve real-time data feedback.**
With the continuous development of technology, B2B-related technology and costs have dropped significantly. We find that it is entirely possible for manufacturers to build an online digital connection of F2B2b2C. Tools like Renwoxing's Cloud Liushui and Waiqin365's Ordering 365 can help enterprises build an integrated digital supply chain for factories, stores, and stores.
These tools can ensure several points: **real-time data online, timely delivery routing, visualized information presentation, helping brand owners make accurate decisions on market dynamics in a timely manner.**
Only when distributors have digital tools that ensure our products are online 24/7, can trade anytime, and deliver promptly, can we re-discuss the construction of the "network."
**-03-**
The essence of the network is to solve the problems of consumer awareness, transaction, and relationship with the brand within the three-dimensional space.
As mentioned in previous articles, in the past, awareness was online, transaction and delivery were offline, and after the transaction ended, there was no "relationship" between the brand and the user. But in the future, if your brand cannot establish some kind of "relationship" with users, the transactions between you and consumers will always be based on interests, and the vast majority of enterprise profits will be eaten up by commercial traffic.
How can distributors establish relationships with consumers in all three spaces?
Teacher Liu Chunxiong believes: **Community and social groups are the hub to connect offline and social spaces. If you add mini-programs, you naturally connect the three-dimensional space of localized traffic.**
Therefore, for distributors to build a network, they must connect the three-dimensional space. To connect the three-dimensional space, they must do well in localized community and social groups.
Community stores are the physical space.
WeChat groups are the virtual space.
The reason community and social groups are called community and social groups is **essentially because stores connect the offline physical space and the online social network space through the store.**
The reason community and social groups are important is that there is already a "relationship" between store owners and users. Not only is there a relationship, but also "transactions." Not only transactions, but also "services." Between them, they are not just regular customers, but also acquaintances.
Therefore, **the core point for distributors is how to use the community groups of community stores, combined with product operations and tools, to establish a three-dimensional space connection with consumers.**
So how to do community and social groups well?
**Teacher Ding Ding gives 5 suggestions to New Distribution's manufacturer and distributor friends:**
**1\. The core is to have products that can be sold in community and social groups**
This product does not have to be expensive, but it must fit the consumer's family consumption scenario. Why buy this product in the group? Is it cheap? Is the quality good, limited and scarce? Or does it meet consumer needs?
**2\. Heavy operation requires an independent team**
The operation logic of online social groups is essentially different from offline sales logic. Therefore, to do well in operation, the prerequisite is that the distributor must have a team capable of community operation.
**3\. The key node for selling goods is the group owner (store owner)**
On the one hand, many store owners already have some social groups, but they may not be able to use them well. However, because of the semi-acquaintance relationship with consumers as neighbors, they naturally have trust before transactions. So, before we win over consumers, we must first win over the store owner.
**4\. Selling goods in other people's groups requires 3 key points**
**The product itself must be excellent, so that consumers want to buy a second time; the product must have strong authority endorsement** , such as big brands, industry experts, authoritative certification bodies, public KOL recommendations, etc. The group owner must recommend sincerely, so that consumers place orders through the store owner's personal endorsement. If it is a large community, you can cooperate with the group owner to try co-branded products;
Let's take an example: if your product is sold normally in 1,000 stores, assuming each store owner has two social groups, each with 100 people, if you utilize all 2,000 groups in these 1,000 stores and run activities in their groups simultaneously, what does this mean?
This means that without going through large supermarkets, you can directly reach 200,000 people in a very short time. Even with a 10% conversion rate, you can achieve 20,000 transactions. So, this is a huge business opportunity. It can help offline stores expand their business and also do well in online traffic and word-of-mouth.
**-04-**
So, our new connection logic with users becomes: online for transactions, social groups for awareness, and offline for services.
Online transactions should be both B2B and B2C, and with the help of community and social groups, achieve O2O.
Social group awareness uses the group owner's personal endorsement to solve the trust problem before consumers transact.
Offline services use our traditional ground team to connect and serve the store owner as the hub.
To summarize today's sharing: **In 2020, the focus of enterprise marketing is to connect the three-dimensional space and achieve integrated online and offline marketing.**
Based on this, we need to do two things:
> **One is the supply chain: use digital tools to connect the F2B2b2C delivery scenario**
> **The other is the service network: use community and social group marketing to connect online, social groups, and offline awareness, transactions, relationships, and links.**
Of course, for traditional manufacturers, this is a huge upgrade. First of all, it must be a boss project, because only the boss can promote the enterprise to advance online and offline as a whole. Moreover, online and offline are not separated; e-commerce is needed to solve transactions, operations are needed to solve relationships, and offline teams are needed to solve delivery.
We must take advantage of this pandemic and start now. The pandemic period is the window period. Everyone is at home, consumers are idle, store owners are idle, and manufacturers are idle. If we don't do it now, after the pandemic, there may be no more opportunities.


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## Citation metadata

- Publisher: New Distribution
- Author: 赵波
- Published: 2020-02-26
- Canonical: https://xinjignxiao.com/en/articles/home-delivery-becomes-a-hot-trend-manufacturers-rapidly-increase-investm-dfe7c14f/
- Original source: https://mp.weixin.qq.com/s/OOT3EbhC6aFEkEfaqVKFYQ

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