Click 'Read Original' for details. On October 10, the Jiangsu Niulanshan Thousand-Dealer Alliance Conference was successfully held at the Shangri-La Hotel in Nanjing. At the event, Nanjing Caizi Trading Company, in collaboration with Niulanshan Distillery, launched three mid-to-high-end baijiu products under the 'China Niu' series: Funiu (228), Xiniu (328), and Guoniu (428). During a break, New Distribution interviewed Zhu Guorong, Chairman of Caizi Trading, about the considerations behind launching the mid-to-high-end 'China Niu' series in Jiangsu. Facing Jiangsu's market, which is 'full of famous liquors,' how will the 'China Niu' series break through existing market constraints? 01 The Original Intention Behind Launching the 'China Niu' Series Zhu Guorong told New Distribution that distributors must rely on brand growth to develop; only when the brand grows can distributors expand. In recent years, Niulanshan's 'fiery momentum' has brought us profits and also brought opportunities to Caizi. We hope to leverage Niulanshan's product and brand momentum to extend and meet the diverse expectations of different consumer groups for the 'Erguotou' category, especially in a region like Jiangsu with relatively strong consumption power. In summary, Caizi Trading has been rooted in the Jiangsu market with Niulanshan for decades. Consumers have gradually moved from understanding to recognizing and trusting Niulanshan's craftsmanship in the Erguotou category. Caizi hopes to further establish the Niulanshan brand in Jiangsu, meet the consumption needs of different consumer groups, and be the 'famous liquor' among people's liquors. In fact, since 2016, Caizi has experimented with promoting boxed liquor in the hundred-yuan price range, and sales have now exceeded one million cases. This indirectly confirms that 'Niulanshan liquor' is seen by consumers as a guarantee of 'good liquor, quality liquor.' Based on this consideration, Caizi hopes to seize the market opportunity of 'mass consumption upgrade' and promote more and better products. Zhu Guorong told New Distribution that Caizi Trading will unite with a thousand core alliance dealers to jointly implement Niulanshan's craftsmanship in Jiangsu and 'take root,' making it a 'treasure' with great potential. This is the original intention behind Caizi's launch of the 'China Niu' series. 02 Caizi's Strategy Entering the market is easy, but disrupting it is hard. To carve out a niche in the Jiangsu market is no easy task. Without a differentiated strategy, it may be difficult to break through the channel barriers established by various parties. Zhu Guorong told New Distribution that in terms of product, Niulanshan's quality needs no introduction—300 years of history ensure the product's quality, taste, and experience. Additionally, we have made innovations in appearance, such as the bottle design featuring an imperial seal outline and a token emblem, incorporating Beijing cultural elements. In Zhu Guorong's view, these are just basic elements. Facing fierce market competition, marketing is the key. At the launch event, Zhu Guorong spent nearly an hour elaborating on Caizi's marketing implementation strategy to nearly a thousand alliance dealers. Zhu Guorong believes that the current mid-to-high-end channel has entered a 'vicious cycle.' We have observed that outlets in the channel (famous liquor stores, tobacco and liquor stores, famous liquor merchants, supermarkets, group-buying merchants, and some catering) generally have two functions. The first is providing space, brand image, and atmosphere display; about 80% of outlets serve this function. The second are outlets with 'marketing capability,' which may not have large stores or even physical stores, but they have circles with certain consumption power behind them; such outlets account for about 20%. Zhu Guorong insightfully noted that the aforementioned 80% of outlets actually only serve the function of facilitating convenient purchases; they cannot change or cultivate consumers. At best, they provide a place to buy liquor and enjoy the dividends of selling best-selling products. The other 20% of outlets with marketing capability, through their personal credibility, effort, and referrals, have contributed significant value to certain brands before they truly became bestsellers. Through their personal influence, they change consumer habits and even become advocates, cultivating consumers. Logically, these 20% of outlets or individuals should receive higher returns because they contribute more and are the heroes. However, the current situation is the opposite: brand owners do not treat them differently—whoever has money gets goods; whoever orders more gets better policies. In the end, those who 'plant trees' are worse off than those who 'pick fruit.' The fruit pickers, having space and traffic, may cut prices to close deals with new customers, leading to market chaos. Identifying this objective problem is Caizi's opportunity to enter the market. Zhu Guorong told New Distribution that based on this situation and background, we propose establishing a 'core alliance dealer' system: incorporate these 20% of outlets with marketing capability into the sales system for the 'China Niu' series, making them core alliance dealers. Caizi will give them more benefits, following the principle of 'whoever opens up, whoever cultivates, whoever benefits,' so they can earn money with peace of mind. In Zhu Guorong's view, 'Only by uniting these 20% of outlets can we achieve true fair returns. Today you cultivate the market, influence a consumer, cultivate a consumer, and you can earn returns, and they are lasting. Everyone unites, signs an agreement together, and no one will destroy the consumers you have cultivated.' Why is it called the Thousand-Dealer Alliance? It means recruiting 1,000 dealers and then stopping recruitment. Caizi will select these 20% of outlets in various regions, with each county or district recruiting only 25 alliance dealers. Once 25 are reached, no more will be recruited unless someone voluntarily or involuntarily exits. At the same time, to ensure the quality of alliance dealers, Caizi has set an initial purchase threshold of 48,000 yuan. For outlets, this means they must not only believe in Niulanshan but also have sufficient confidence and ability to sell 'China Niu.' If they lack ability or willingness to believe, they likely are not among the 20% of outlets with marketing capability. 03 Caizi's Organizational Upgrade After identifying market opportunities, Caizi established a comprehensive marketing strategy system. To ensure smooth implementation and execution, Caizi also made corresponding organizational upgrades. Previously, Caizi's organization focused on traditional distribution channels, with an operational philosophy of 'triple growth' and a strategy of mass manpower. However, the 'China Niu' series is not well-suited to traditional distribution channels, so it was necessary to establish an independent team focused on operations. In Zhu Guorong's view, when a person does two things, they are likely to retreat to their comfort zone when facing difficulties, choosing the relatively easier task and avoiding hardship. Therefore, we established an independent team dedicated to operating the 'circle' channel. For this team, there is no retreat—only the path forward. △ Alliance dealer data announced at the meeting According to Zhu Guorong, this meeting was essentially a thank-you event. The initial recruitment of core alliance dealers has been nearly 80% completed, with a few slots remaining in some regions. Gathering the alliance dealers together is essentially to give them confidence, let them understand the distillery's history, brand, products, and Caizi's marketing strategy, and give them a 'reassurance pill' to embrace Niulanshan and Caizi together! On October 23-24, during the Autumn Sugar and Wine Fair, New Distribution will host the '2018 FMCG City Distribution Logistics Conference.' We will invite industry experts, FMCG warehousing and distribution specialists, and distributors who have transformed to unified warehousing and distribution platforms to discuss and answer questions on the theme 'New Distribution, New City Distribution,' focusing on future trends in FMCG city distribution logistics and practical cases of distributor transformation. We hope it will bring you fresh insights and inspiration! The specific agenda is as follows: List of Participating Companies In no particular order Hunan Zonglan Diandan Network Technology Co., Ltd. Jingbang (Wuhan) International Freight Forwarding Co., Ltd. Mengniu Dairy Qinghai Hanxiang E-commerce Co., Ltd. Unilever Services (Hefei) Co., Ltd. Shanghai Branch Huicong Hunan Xuan'ang Food Co., Ltd. Guangzhou Tongdaoren Information Technology Co., Ltd. Qingdao 888 Trading Co., Ltd. Uni-President Enterprises (China) Investment Co., Ltd. Hunan Zhongxiang Gongpei Logistics Co., Ltd. Shenglong Ingredients COSCO Shipping Logistics Warehousing and Distribution Co., Ltd. Guangxi Yongpai Liquor Industry Co., Ltd. Shangqiu Kangrong Trading Co., Ltd. Jinan Dingzhong Economic and Trade Co., Ltd. Liaoning Bimai Agricultural Technology Co., Ltd. Kunming Xiongjia Trading Co., Ltd. Shaanxi Houheng Trading Co., Ltd. Guangzhou Dingwo Enterprise Information Consulting Co., Ltd. Shaodong Jiajiale Trading Firm Boda Trading Industrial Bank Changsha Branch Wuhan Muchén Convenience Store Chain Co., Ltd. Fujian Fuxing Yuncang Logistics Co., Ltd. Guizhou Yilimi E-commerce Co., Ltd. Jiangxi Xiao Laoer E-commerce Co., Ltd. Jinshan Koufu Shanxi Taihang Yuanjing Supply Chain Management Co., Ltd. Shanxi Dezhun Supply Chain Management Co., Ltd. Shaoyang Tongdeli Trading (Xiangbang Logistics) Huanfu Tongda Express City Distribution Beijing Xinjingxiang Food Co., Ltd. Wuhan Huizhong Tianhong Liquor Co., Ltd. Changsha Paide Biotechnology Co., Ltd. Chao'an Tuqiang Guizhou Yihe Bopin Supply Chain Management Co., Ltd. Jiangxi Kang'en Industrial Development Co., Ltd. Xiangtan County Yisuhe Town Yuhua Paper Store Luoyang Yuanlang Trading Co., Ltd. Tongchuan Yaozhou District Huayuan Supermarket Co., Ltd. Hunan Yongfu Jiujiu Trading Co., Ltd. Zhejiang Chengchengtong Logistics Co., Ltd. Chongqing Kaiguo Materials Trading Co., Ltd. Beijing Xianmaixianmai Data Technology Co., Ltd. Hanchuan Qixing Trading Co., Ltd. Tongxin Jiuzhiru Trading Co., Ltd. Guizhou Meiguo Guoguo Network Technology Co., Ltd. Hubei Anjie Logistics Co., Ltd. Hubei Kuaixiao Hulian Technology Development Co., Ltd. ...... Distributor Transformation Representatives (Proposed) In no particular order Jiangsu Huashang City Distribution Network Co., Ltd. Chairman, Rong Jun Hubei Yijiaren Logistics Co., Ltd. Chairman, Wang Bo Sichuan Chengdu Xingrenxing Trading Co., Ltd. General Manager, Jiang Shuming Shandong Yunbang Warehousing and Logistics Co., Ltd. Chairman, Liu Jichen Chongqing Lingyu Consumer Goods Supply Chain Management Co., Ltd. Chairman, Tu Mingyu Guangzhou Zhongshan Wanrong Marketing Co., Ltd. Chairman, Yang Su Sichuan Bajie Supply Chain Management Co., Ltd. Chairman, Yuan Xia Hubei Pengdun Meiyitian Supply Chain Management Co., Ltd. Co-founder, Li Qiangyun Henan Xuchang Jiulegou E-commerce Co., Ltd. Chairman, Zhang Jianyong Hebei Changyi Logistics Co., Ltd. Founder, Ma Haichao Hebei (Chengde) Wulian Yuncang Co., Ltd. General Manager, Meng Yucun Xinjiang Urumqi Su'an Jinchi Logistics Co., Ltd. Chairman, Zhang Xun Jilin Sansheng Lianguo Chairman, Zhang Hailing Hebei Dunjie Supply Chain Management Co., Ltd. Founder, Qiang Huitao Hunan Damei Supply Chain Management Co., Ltd. General Manager, Liao Lei ...... -END-