--- title: "Is It Necessary for Distributors to Venture into Internet Entrepreneurship?" description: "In the era of sharing and new retail, New Distribution has become the hottest term in the distributor industry both online and offline, with new internet business models constantly emerging. Intelligence, platformization, and shared win-win are the trends, and FMCG B2B holds value in two forms: as a tool and as a platform. Tools focus on improving efficiency and service; platforms represent a sharing model that can achieve customer sharing, personnel sharing, and delivery sharing. When B2B is done well, it can enhance the efficiency of the industry supply chain, bringing value to manufacturers, distributors, small B-end clients, and consumers. Amid the impact of e-commerce, conflicts between manufacturers and distributors, channel conflicts, and supply chain integration issues, distributors are feeling anxious about being marginalized, and more and more distributor bosses are hitting development bottlenecks." author: "薛世林" publisher: "New Distribution" email: "zhaobo258@gmail.com" telephone: "+8615854817671" published: "2017-11-03" language: "en" canonical: "https://xinjignxiao.com/en/articles/is-it-necessary-for-distributors-to-venture-into-internet-entrepreneursh-f5708763/" markdown: "https://xinjignxiao.com/en/articles/is-it-necessary-for-distributors-to-venture-into-internet-entrepreneursh-f5708763.md" original_source: "https://mp.weixin.qq.com/s/cFERSXDCIiRFaTGvrZ6rXg" translation: "https://xinjignxiao.com/zh/articles/%E7%BB%8F%E9%94%80%E5%95%86%E6%9C%89%E5%81%9A%E4%BA%92%E8%81%94%E7%BD%91%E5%88%9B%E4%B8%9A%E7%9A%84%E5%BF%85%E8%A6%81%E5%90%97-f5708763.md" attribution: "New Distribution — https://xinjignxiao.com/en/articles/is-it-necessary-for-distributors-to-venture-into-internet-entrepreneursh-f5708763/" usage_policy: "https://xinjignxiao.com/ai-policy.txt" --- # Is It Necessary for Distributors to Venture into Internet Entrepreneurship? > In the era of sharing and new retail, New Distribution has become the hottest term in the distributor industry both online and offline, with new internet business models constantly emerging. Intelligence, platformization, and shared win-win are the trends, and FMCG B2B holds value in two forms: as a tool and as a platform. Tools focus on improving efficiency and service; platforms represent a sharing model that can achieve customer sharing, personnel sharing, and delivery sharing. When B2B is done well, it can enhance the efficiency of the industry supply chain, bringing value to manufacturers, distributors, small B-end clients, and consumers. Amid the impact of e-commerce, conflicts between manufacturers and distributors, channel conflicts, and supply chain integration issues, distributors are feeling anxious about being marginalized, and more and more distributor bosses are hitting development bottlenecks. In the era of sharing and new retail, New Distribution has become the hottest term in the distributor industry both online and offline, with new internet business models constantly emerging. Intelligence, platformization, and shared win-win are the trends, and FMCG B2B holds value in two forms: as a tool and as a platform. Tools focus on improving efficiency and service; platforms represent a sharing model that can achieve customer sharing, personnel sharing, and delivery sharing. When B2B is done well, it can enhance the efficiency of the industry supply chain, bringing value to manufacturers, distributors, small B-end clients, and consumers. The impact of e-commerce, conflicts between manufacturers and distributors, channel conflicts, and supply chain integration issues have left distributors feeling anxious about being marginalized, and more and more distributor bosses are hitting development bottlenecks. Here, Xue Shilin, founder of Kuaixiao Hulian, shares his views with friends for reference, and welcomes everyone to exchange and discuss: **I. Analysis of the current situation and difficulties of distributor bosses:** 1. Bosses believe that if they are not familiar with computers, they are not suitable for e-commerce or the internet. 2. Business is difficult, but not to the point of being unsustainable, so they can continue to wait and see. 3. There is no worry-free software service provider, and no idle or e-commerce-savvy personnel to handle the initial setup and launch work. 4. Operating costs are rising, profits are declining, and it is increasingly difficult to recruit and manage personnel. 5. Over-reliance on personnel means that staff turnover can lead to significant losses. 6. The entry of B2B platforms such as Alibaba Retail Link and JD New Channel has brought considerable impact on the sales volume and pricing systems of many distributors. These situations and difficulties are a headache for distributor bosses. So, can the poor performance of distributor bosses find a meeting point with the internet? The answer is: Yes! **For new things, there are generally two viewpoints: one is, "What's in it for me? If there's no benefit, why should I do it?" The other is, "Is there any harm to me? If there's no harm, why not try it?" Which type are you?** **II. What are the advantages and necessity of distributors "+ Internet"?** 1. Distributors have advantages in manufacturer promotions, cost support, and regional protection, and internet tools are low-cost. 2. Using their own B2B online ordering mall and cooperating with B2B platforms are not conflicting and perfectly fit together. If a distributor has their own B2B online ordering mall, it is equivalent to having a store that is open 24 hours a day. 3. It greatly saves time in coordinating between salespeople, warehouses, finance, and approval signing, significantly reducing time and communication costs. 4. Distributors cannot be completely replaced; B2B platforms are more of a channel for distributors. Services, customer relationships, and credit terms are not something B2B platforms can fully handle. Distributors and wholesalers need to keep up with the times, otherwise business will become increasingly difficult. **III. How to "+ Internet"?** Under the general trend of the internet, traditional distributors and manufacturers should embrace the internet rather than reject it. First, they should do "+ Internet," as the saying goes, "If you don't follow the trend, all your efforts are in vain": 1. The boss must pay attention and participate, otherwise it is difficult to have execution, unless the boss can ensure execution without participation. 2. First, do "+ Internet" well, such as using ordering software, opening a Tmall store, supplying goods to or opening stores on B2B and B2C platforms that ensure payment security and follow the rules, continuously exploring, summarizing, and building a team. 3. Distributors or large secondary wholesalers should find a suitable software service provider and take action first. "+ Internet" actually means adding internet tools (software, etc.). There are many ordering, visit-sales, and vehicle-sales software on the market, and many distributor friends are hesitant to use them. However, the ordering product "Kuaixiao Dinghuo" under Kuaixiao Hulian has been recognized by many distributor friends as soon as it was launched. Kuaixiao Dinghuo is a third-party software support service system that provides industry solutions for FMCG suppliers and purchasers. Its main functional modules include: order management, promotion management, personnel management, member management, product management, inventory management, operations management, vehicle sales management, fund management, report management, and system management. **IV. How to "Internet +"?** Regional B2B platforms have opportunities. After using "+ Internet" tools well, and when conditions permit, one can consider doing "Internet +" themselves or in cooperation with other merchants, i.e., Internet + products, Internet + merchants, Internet + models, etc. 1. Distributor self-operated + products In addition to agency products, distributors can add more product categories to meet customers' diverse product needs, reduce their own operating costs, and increase profits. 2. Distributor + unified warehousing and distribution business In addition to their own logistics products, they can also include products from multiple distributors for unified warehousing and distribution. 3. Distributor + chain supermarkets Combining self-operated supermarkets with supermarket chain franchising ensures greater control over the terminal. 4. Distributor self-operated + matching (merchants) Combining B2B platform self-operated and matching models to meet customers' one-stop procurement needs. 5. Strong alliances, joint development If local distributors can form strong alliances to build a platform, the success rate is higher. 6. Three-horse linkage, overtaking on curves "B2B platform + same-city delivery + supermarket chain" as a trio is more valuable. B2B platforms should operate without relying on subsidies to be sustainable, and can even achieve overtaking within the industry. As an FMCG supply chain software and solution service provider, Kuaixiao Hulian's main business includes FMCG B2B platforms, F2B platforms, ordering software, intelligent logistics systems, custom software development, convenience store management, and other FMCG supply chain software and solution services. Kuaixiao Hulian will strive to help FMCG distributors do "+ Internet" and "Internet +" well, starting with Kuaixiao Dinghuo, using technology to make the FMCG supply chain more efficient, so that FMCG enterprises have no difficult business! **Conclusion: Change early, the future will be better** The entire FMCG industry is facing historic and tremendous changes. For us, this is the worst of times, and also the best of times. Xue Shilin: Explorer of FMCG distributor transformation and upgrading Founder of Beijing Kuaixiao Hulian Technology Development Co., Ltd. and Hubei Anjie Logistics Co., Ltd. Engaged in FMCG distribution for over 20 years, logistics for nearly 20 years, and internet and e-commerce for nearly 10 years One of the first batch of FMCG distributors to start a second venture in internet projects **The 2017 (3rd) FMCG + Internet Conference** will be held in Chongqing in November 2017. The conference will closely focus on the theme "New Forces, New Ecology," inviting **1000+ distributors, 500+ brand owners, founders of 200+ B2B platforms, and 100+ investment and financing institutions** from China to jointly explore a new chapter of cross-border integration! **The conference is now open for registration, with only 40+ tickets remaining... Long press the QR code below or click "Read Original" to register** Click the links below to review the highlights of the first and second FMCG + Internet Conferences: [2016 "]()[FMCG + Internet ]()[" ]()[Summit Forum]() -END- --- ## Copyright and AI use This article is sourced from New Distribution. Search, quotation, summarization, and model training are permitted, but every use must credit New Distribution and retain the canonical source URL. Contact: zhaobo258@gmail.com · +86 158 5481 7671