---
title: "How to Implement BC Integration?"
description: "BC integration is essentially bC integration, where 'b' refers to small retailers. It is the soul of channel digitalization, involving technical binding, single-store communities as the smallest operational unit, mutual leverage between b and C, and a shift in channel logic. The key is to reassess the value of the retail end and implement bC integration through technical tools like BC dual codes and BC mini-programs."
author: "刘春雄 刘馨忆"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2021-11-25"
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---

# How to Implement BC Integration?

> BC integration is essentially bC integration, where 'b' refers to small retailers. It is the soul of channel digitalization, involving technical binding, single-store communities as the smallest operational unit, mutual leverage between b and C, and a shift in channel logic. The key is to reassess the value of the retail end and implement bC integration through technical tools like BC dual codes and BC mini-programs.

Source: Teacher Liu's Digital Marketing (ID: liuchunxiong1964)

******BC Integration is Essentially bC Integration****
Traditional marketing only reached the B-end (terminals) through deep distribution, while e-commerce reached the C-end in one step. New retail and private domain traffic are both imitations of e-commerce business models. Channel digitalization does both B-end and C-end, making it a BC integration model.
**The B in BC integration is actually small b, i.e., terminal retail stores, hence bC integration.** In channel digitalization, it is small b that has more interaction with C, not big B (distributors, wholesalers). In the Chinese channel environment, especially under the strong channel systems of industry leaders, the B-end is the regional management extension of manufacturers (brand owners).
Given that BC integration has become a customary term in the digital field, and B is generally used, only when emphasis is needed is b used.
**bC integration is from the perspective of brand owners and distributors. Under digital tools, b and C form an independent ecosystem.** Community group buying is a typical example of bC integration; without the 'group leader' (b-end), the C-end dissipates.
The value of the C-end lies in a group of C users gathering around the 'group leader' (b-end). **A single C-end user has little value to the platform; it is the ecosystem formed by bC together that makes the community group buying platform valuable.**
****This is determined by the online-offline combined model of community group buying. Pure 2C models like B2C and F2C do not have this phenomenon.
Channel digitalization F2B2b2C is also online-offline integration. Without C, b is a 'bare commander'; without b, C has no support offline. **bC integration is necessary for smooth operation.**
**bC integration is the soul of channel digitalization.** Without correct understanding, design, and application of BC integration, it is difficult to do channel digitalization well.
bC integration is not a physical reaction—[b+C] combination—but a chemical reaction—bC combination. Grasping b without C means no digitalization; connecting C without b makes activation difficult.
Grasping both b and C without matching means no integration. Only when b and C are related is it bC integration.
**The core of bC integration is to reassess the value of the retail end (b-end), then implement bC integration based on the new value of the b-end.**
Under the channel digitalization system, bC integration is reflected in four operational aspects:
**1. bC technical binding, making b and C one in the technical system; 2. Single-store community is the smallest operational unit of bC integration; 3. b and C serve as leverage points for each other in operations. First use b to activate C, then use C to activate b; 4. bC integration changes channel logic.**

******Reassessing the Value of the b-end**
Traditional channels treat the retail end (b-end) as a place for transaction and delivery integration (cash and carry), with the core need being convenience. Only after the emergence of bulk retail models, like Walmart, did large stores become popular.
Retail stores have always had an 'impossible' phenomenon: **location (traffic), store size, and convenience cannot all be achieved. At most, two can be achieved, or only one.**
KA stores are large but not convenient. Convenience stores are convenient but not large.
In the digital era, the value of the b-end needs to be reassessed, especially for street-side small stores. There will be a phenomenon of 'small stores with big operations.' **With dual scenarios, dual shelves, and dual delivery, small stores will have great potential.**
Small stores have dual scenarios: offline scenario for convenient transactions; online scenario for transactions as convenient as e-commerce.
Small stores have dual shelves: offline for high-frequency SKUs, online for low-frequency SKUs. Small stores can have the same SKU range as large stores.
Small stores have dual delivery: online ordering, offline nearby delivery, faster than e-commerce delivery.
**The advantage of small stores lies in convenience and proximity to users. The disadvantages of scale (fewer SKUs) and traffic can be compensated by internet methods.
The true value of small stores after reassessment is: due to proximity to users, life radius and business radius coincide. In life, they are acquaintances; in business, they are regular customers.**
In the internet era, besides the offline strong relationship of 'acquaintances becoming regulars,' there is also the convenience of community interaction. These two advantages transform small stores from traditional transaction and delivery places into frontline positions for connecting users.
In the digital era, some tasks are more convenient online, like user ordering; some tasks are handed over to new public facilities, like product delivery. **But some functions, such as strong user relationships and the user connection and activation derived from them, have irreplaceable advantages at the b-end.**
Leverage the advantages of the b-end and use the internet to make up for its shortcomings, so traditional terminals can be revitalized through digitalization.
To enable small stores to realize new value, it is necessary to fill their gaps and assist them in digital infrastructure construction: **user connection, and the construction of dual scenarios, dual shelves, and dual delivery.**

******bC Technical Binding**
**bC integration first requires bC technical binding; the relationships recognized by digital systems are technical relationships.** For example, two good friends who only meet offline without establishing technical connections on platforms like WeChat, DingTalk, Weibo, or mini-programs will not be automatically recognized as having a social relationship by the system.
**Technical binding uses digital logic to determine the logical relationship between b and C, i.e., the state of the b-C relationship.**
Digitalization must use technical means to connect users. Technical means include e-commerce platforms, mini-programs, apps, etc. Traditional retail stores, no matter how close the store-user relationship, lack technical connections. **Technical connection is a prerequisite for system recognition of relationships.**
From the manufacturer's perspective, there are three ways to connect users: **one is B2C, i.e., e-commerce; two is new retail and private domain traffic F2C; three is channel digitalization F2B2b2C.**
In B2C and F2C systems, there is no place for b (retail end), so naturally there is no bC integration. **Therefore, bC integration is inherently part of the language system of channel digitalization, more from the perspective of manufacturers and distributors, not new retail or private domain traffic. It may also be from a platform perspective, like community group buying platforms.**
Channel digitalization F2B2b2C connects users in three ways: **F2C, B2C, b2C.** Among these, b2C is the most common, has the largest user scale, and is easiest to achieve online-offline integration. **Therefore, the success of the F2B2b2C model depends on b2C.**
**Channel digitalization is a 'three-in-one' of manufacturer, store, and shop. As long as b2C achieves technical binding, achieving F2C and B2C technically is not a problem.**
B2C and F2C are centralized; all users C are private domain of F or B. But F2B2b2C is dual private domain; users are both the manufacturer's private domain and the retailer's (b) private domain. How to determine which b's private domain a C belongs to? **Through bC technical binding.**
bC technical binding means that from the brand owner's (F) perspective, each user C needs to know their private domain traffic entry point (retail end b). Or, each traffic entry point (retail end b) needs to know how many active users (C) there are.
**Only when b and C establish a technical connection can the internet system judge the b-C relationship, making long-chain digitalization possible.**
The F2B2b2C digital model involves four entities. Why emphasize bC technical binding? **Because the technical binding among F, B, and b is confirmed by management means. Traditional deep distribution information management tools have already bound the relationships among the three, leaving only bC technical binding.**
In traditional deep distribution systems, some enterprises have good informatization, recording which terminals goods are distributed to and in what quantities. But they do not know which users the terminals sell to. **bC integration technically fills the last gap. Products are controllable throughout the channel, down to the user end.**
bC integration is proposed based on reflecting on the shortcomings of new retail and private domain traffic F2C models. **The F2C short-chain model is technically feasible but cannot scale. A digital model without scale cannot become the main battlefield of digitalization.**
The F2B2b2C model seems extremely complex, especially with three business entities on one system. Some people find it too difficult when first exposed. **The bC integration concept simplifies the complex model in operation.**
**First, bC technical binding gives manufacturers and channel partners a 'God's eye view'**
In the deep distribution system, the relationships among F, B, and b, product distribution, and sales distribution are clear to manufacturers—if not, management has major problems. bC integration makes the entire channel relationships, product distribution, and sales distribution clear to manufacturers and channel partners.
**Second, bC technical binding enables seamless integration of digitalization with deep distribution**
Deep distribution solves the F2B2b problem, and bC technical binding solves the b2C problem. The combination is a perfect F2Bb2C. Traditional channels and digitalization are seamlessly connected; as long as traditional channels transform, success is possible. At the same time, because of seamless integration with deep distribution, traditional enterprises can systematically utilize millions of terminals to connect hundreds of millions of users.
**Third, bC technical binding makes it technically possible for manufacturers, stores, and shops to share user resources**
As long as bC achieves technical connection, F2C and B2C technical connections are naturally no problem.
**Fourth, bC technical binding ensures the dual private domain feature of the F2B2b2C model and makes it possible to distribute channel interests based on traffic. Distributing channel interests based on traffic is an important feature distinguishing F2B2b2C from other digital models. bC technical binding allows interest distribution to be completed automatically in the backend.**

******Tools for bC Technical Binding**
What tools can be used to achieve bC technical binding through retailers (b) connecting to C? Currently, there are two good methods: **one is BC dual code association; two is BC mini-programs.**
QR code 1.0 and QR code 2.0 are single codes, i.e., one object (including B-end, C-end) scans; QR code 3.0 and QR code 4.0 can have dual codes.
QR code 4.0 can have a B code for technically binding the retail end (b); and a user code C code for binding the user end (C). Moreover, BC codes can establish technical associations.
Two-code association, even three-code, four-code, five-code, or N-code association, is technically not a problem.
For example, the common **'five-code association' in the liquor industry includes bottle code (corresponding to C-end), outer box code 1 (corresponding to sales guide), outer box code 2 (corresponding to F-end, B-end, b-end), inner box code (corresponding to b-end), and outer box code (corresponding to F-end, B-end, b-end).**
The relationships among the five codes are pre-set in the technical system, and binding occurs when the corresponding entity scans. For a box of liquor, when b-end scans the inner box code, it binds the b-end to that box; when a user C buys a bottle and scans, it binds to that bottle.
In the backend, the relationship between retailer b and user C can be known. Technically, it is not a problem. In user connection, only the F2B2b2C model requires multi-code association. B2C and F2C only need two entities, so single code is sufficient.
BC dual codes: one is the b code, usually on the product box code, confirming which store sells the product; the other is the C code (user code), confirming which user buys it. The technical association between B code and C code is set at production, and after b-end retail stores and C-end users scan, they can be associated.
**As long as bC establishes a technical association, manufacturers (F-end) and distributors (B-end) can clearly see it in the backend system.
****Through bC dual codes, it is clear in the backend which user bought a product at which store. Or, it is clear which store a user goes to buy products. Therefore, BC dual codes are generally experienced through product forms, using products as touchpoints to connect users.**
BC mini-programs are now relatively common. For example, community group buying uses BC mini-programs.
The 'group leader' in community group buying can be seen as a retailer (b). The community group buying platform counts the number of users and sales of the 'group leader' (b) daily. **Therefore, rather than saying the 'group leader' earns through sales commission, it is more accurate to say they benefit from traffic distribution.**
Early mini-programs were micro-stores, tools for new retail. Now they are often called cloud stores. Cloud stores are online stores provided by manufacturers to retail ends. Now the operating entities of cloud stores include not only F, B, b ports but also KOL and KOC ports, making them more complex.
**BC mini-programs naturally provide technical means to bind bC.** Store owners, sales guides, and staff can all use them as tools to connect C-end and as tools for future interest distribution.

******Single-Store Community: The Smallest Operational Unit of bC Integration**
In bC integration, should operations focus on b or C? The answer is: **focus on both b and C together.**
This is another unique feature of the F2B2b2C model. Deep distribution focuses on the b-end, working on b-end one by one, treating retail stores (b-end) as the smallest operational unit. Private domain traffic focuses on KOL and KOC, treating individual C as independent units.
**bC integration is different; its operational 'grip' is the single-store community.** Single-store is the retail store (b-end), and community is the store's business circle (C-end). Focusing only on b-end or C-end is not bC integration. Therefore, the single-store community becomes the smallest operational unit of bC integration. **This unique operational unit form cannot be satisfied by e-commerce's middle platform system; it must be a 'dual middle platform' operational form.**
In the 'Five Steps for Channel Digitalization Operation,' I proposed that **the first step in channel digitalization operation is to determine the 'smallest operational unit'—the single-store community. At the same time, the success of the first battle depends on whether the single-store community is chosen appropriately.**
'Single-store community' is a compound term I coined. **Single-store is small b. Community is the user C in the small b's business circle. The combination of the two is bC integration.**
The single-store community is the 'grip' of bC integration; the 'grip' is the point of force, where effort can be applied. With a grip, there are KPI indicators.
It is easier to understand using single-store (retail store) as the grip for bC integration, but harder to understand using community as the grip.
**Connecting users through single-store communities is not connecting C-end one by one, but connecting C-end in large numbers in a short period.** Only by forming a sufficiently large user scale at once can C-end density be formed. Channel digitalization is online-offline integration, not a second form of e-commerce. Anything involving offline work cannot be implemented without density.
This is the difference between online and offline operations. **Online looks at total volume; offline looks at density.** Digital marketing expert Teacher Fang Gang summarized new consumer brands as **'born online, grown by capital, trapped offline, die in street battles.'**
New consumer brands are mostly niche products; online total volume is not small, but the problem is forming momentum. Once they enter offline mass channels, density is very low, and they quickly disappear.
10,000 C-end users, placed across the country, a province, or a city, have very low density, but placed in a community, they have density. Offline stores have users distributed around the community business circle radius. For example, Hema NB proposed the dual-scenario model '15 minutes to convenience, 30 minutes to home,' with a business circle radius of communities within a 15-minute walk from the store.
**From the perspective of activating users, it is also more convenient to activate in large numbers through single-store communities.** Activating 100 or 1,000 users at once is easier than activating users one by one. Because 100 or 1,000 users form density and influence each other, permeating each other. A single user has no density, and even activated users may 'sink' again.
The same applies to user operations. Because channel digitalization is online-offline integration, there is a delivery issue. With user density, centralized delivery is possible, and the cost of centralized transactions is much lower than individual delivery.**
****From the above, it is necessary for bC integration to use the 'single-store community' as the smallest operational unit and as the 'grip' for channel digitalization.**

******b and C as Leverage Points for Each Other**
**Channel digitalization has two opposite processes**: first, use the retail end (small b)'s strong offline and community relationships to win over the C-end, then use the C-end to win over the B-end. **The two serve as leverage points for each other.**
The above statement may be misunderstood as manufacturers 'getting something for nothing.' In fact, there is an important lever: **brand owner's own traffic.**
Without own traffic, there is a fulcrum but no lever, and the lever principle cannot work.
Where does the brand owner's own traffic come from? This can only be answered based on each enterprise's resources.
**Own traffic is the traffic from F2C and B2C. There are many sources of own traffic, but because there is no density, channel digitalization places more emphasis on b2C. However, own traffic can still play a leveraging role.**
**When an enterprise can mobilize its own traffic within a certain range, it forms an incremental mechanism for the b-end. In the environment of retail customer loss, the incremental mechanism becomes a very important bargaining chip. This chip is attractive to the retail end (small b).**
Not all retail ends are interested in incremental chips, but some stores are. As long as some stores form increments, more stores will follow.
Once the C-end is activated through the b-end, another incremental mechanism forms: **the incremental mechanism formed by dual scenarios and dual shelves.**
**Stores originally had only a single scenario (offline store). Once connected to the C-end, they have dual scenarios (offline + online) and dual shelves (offline shelf + online shelf).**
The online scenario and online shelf provide more choices for the C-end. Originally, a brand might have only 3-5 SKUs in a small store, but now it can have dozens or hundreds of SKUs, which will definitely create increments.
As mentioned earlier, the benefit of bC technical binding is that even if the store does not have stock, as long as traffic is introduced from the store, there is still interest distribution. This forms an incremental mechanism for the store.
**When the incremental mechanism works, stores are more willing to contribute their existing stock. This is the logic of increments activating existing stock. The retail end (small b) is activated.**

******Channel Logic of Distribution and Sales Promotion Integration**
Some interpret bC integration as the integration of distribution and sales promotion; b-end is distribution, C-end is sales promotion. From the result perspective, this is correct. This is a change in channel driving logic.
The channel logic of traditional deep distribution is: **promote sales through distribution.** This is typical sales promotion logic, which together with brand pull forms brand driving and channel driving.
**bC integration may change the channel from sales promotion logic to a combination of push and pull. This is a major change in Chinese channel logic.**
Early distribution relied mainly on customer relationships. Because early sales growth space was large, using face (customer relationships) could also bring real sales.
When everyone does customer relationships, and sales growth becomes smaller, customer relationships depreciate. Although not completely useless, when waves of people come to do customer relationships every day, it becomes a nuisance. Now it is more useful to **use resources to compete for terminals.**
The reason inventory pressure works is that sufficient resources are invested. Displays, stack displays, and sales guides become weapons for sales promotion.**
****The current state of deep distribution is: if distribution is done well, the situation may not improve; if deep distribution is not done well, the situation worsens. The biggest difficulty is sales promotion.**
Deep distribution opens up the channel, reaching the boundary between the retail end (small b) and users (C). Sales guides are at the bC boundary.
In the past, due to lack of tools, the relationship between sales guides and users was one-time. Even with later communities, the mobility of sales guides made it difficult for brand owners to interact with users on a fixed platform.
**The channel digitalization model is dual private domain, with both strong relationships between retail end and users (b2C) and platform relationships between brand owners and users (F2C).**
Do not think F2C is necessarily F-end (manufacturer) and traffic transactions; it can also be the manufacturer bringing traffic to retail stores (b-end).
**Chinese marketing has always had the concept of brand driving and channel driving, but the logic of the two is completely different.**
Brand driving reaches users through mass media, forming channel pull.
Channel driving uses deep distribution to put products on shelves, do vivid displays, and use sales guides' on-site promotion to form sales promotion.
In the past, doing business in China was 'buying and selling,' solving two problems: **one is channel pull; the other is channel push.**
**The logic of channel push is: manufacturer F → distributor B → retail store b → user C. The logic of channel pull is: manufacturer F → user C → retail store b → distributor B.**
The formation of channel pull solves the C-end problem. Channel digitalization connects and activates the C-end, also solving the C-end problem, and will also form channel pull.
Thus, channel digitalization built on deep distribution forms both push (contribution of deep distribution) and pull (contribution of digitalization). **A channel with balanced push and pull is a perfect channel.**
**Changes in channel logic mean changes in channel personnel layout and structure.** In deep distribution, small and medium enterprises mainly place personnel at the distributor level; industry leaders mainly place channel personnel at the terminal, with terminal merchandising and sales guides.
**This is the current channel personnel structure: large enterprises do b, small enterprises do B.** Small enterprises' channel push stops at B, without completing full-channel driving, relying heavily on distributors' channel push. Large enterprises reach terminal b, forming pull on distributors, and some even bypass distributors or complete direct distribution.
**After bC integration, the channel forms pull, and personnel layout has four trends:**
**First, increase 2C personnel, decrease 2B personnel.** In the past, doing 2B was to get close to C; now that C is reached, 2B work is more done online.
**Second, increase online personnel, decrease offline personnel.** Except for touch, connection, and activation work, which is offline, other work is online.
**Third, the integration of traditional marketing and sales departments will be higher.** The marketing department transforms into a digital middle platform, and with online-offline integration, regional middle platforms and regional offline departments will be more integrated.
**Fourth, sales guides should emit their last light.** The existence of sales guides is a 'cancer' in Chinese channels, seriously interfering with consumers' choice, benefiting large manufacturers but not retailers and consumers. Now some commercial enterprises are restricting sales guides' promotional role in stores, only allowing them to do experiences, not promotions. **This is progress.**
**Before sales guides become history, they can still emit their last light. Because sales guides are the interface between b and C, one of the best touchpoints for bC integration. By playing the best touchpoint role and completing bC integration, sales guides will become history in the future.**

**Are you 'watching' me?**


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