---
title: "Jing Bozi's View: Most FMCG Distributors Will Transform into Regional Equity Partners in the Future"
description: "At the upcoming 2016 National Autumn Sugar and Wine Fair in Fuzhou, industry experts and distributors will gather to discuss the internet transformation of the FMCG industry. The author, Hu Wei, argues that most FMCG distributors will transform into regional equity partners, and regional managers will become regional contractors, based on three reasons: rising marketing labor costs and difficulty in recruiting new distributors, the ongoing transformation of both large and small distributors, and the shift from transactional to co-operative manufacturer-distributor relationships."
author: "胡伟（净泊子）"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2016-10-13"
categories: "Dealer Operations, Industry Trends"
language: "en"
canonical: "https://xinjignxiao.com/en/articles/jing-bozi-s-view-most-fmcg-distributors-will-transform-into-regional-equ-c7cb6bf4/"
markdown: "https://xinjignxiao.com/en/articles/jing-bozi-s-view-most-fmcg-distributors-will-transform-into-regional-equ-c7cb6bf4.md"
original_source: "https://mp.weixin.qq.com/s/phGLZ_ZH12kzl9rOefo5ng"
translation: "https://xinjignxiao.com/zh/articles/%E5%87%80%E6%B3%8A%E5%AD%90%E8%A7%82%E7%82%B9-%E5%BF%AB%E6%B6%88%E7%BB%8F%E9%94%80%E5%95%86%E6%9C%AA%E6%9D%A5%E5%A4%A7%E9%83%A8%E5%88%86%E9%83%BD%E5%B0%86%E8%BD%AC%E5%9E%8B%E4%B8%BA%E5%8C%BA%E5%9F%9F%E8%82%A1%E6%9D%83%E5%90%88%E4%BD%9C%E5%95%86-c7cb6bf4.md"
attribution: "New Distribution — https://xinjignxiao.com/en/articles/jing-bozi-s-view-most-fmcg-distributors-will-transform-into-regional-equ-c7cb6bf4/"
citation: "胡伟（净泊子）. “Jing Bozi's View: Most FMCG Distributors Will Transform into Regional Equity Partners in the Future.” New Distribution, 2016-10-13. https://xinjignxiao.com/en/articles/jing-bozi-s-view-most-fmcg-distributors-will-transform-into-regional-equ-c7cb6bf4/"
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---

# Jing Bozi's View: Most FMCG Distributors Will Transform into Regional Equity Partners in the Future

> At the upcoming 2016 National Autumn Sugar and Wine Fair in Fuzhou, industry experts and distributors will gather to discuss the internet transformation of the FMCG industry. The author, Hu Wei, argues that most FMCG distributors will transform into regional equity partners, and regional managers will become regional contractors, based on three reasons: rising marketing labor costs and difficulty in recruiting new distributors, the ongoing transformation of both large and small distributors, and the shift from transactional to co-operative manufacturer-distributor relationships.

30+ industry experts, 100+ B2B platform founders, and 800+ manufacturer and distributor friends will gather in Fuzhou to discuss the internet transformation of the FMCG industry.

In October 2016, the National Autumn Sugar and Wine Fair will be held in Fuzhou. Many companies and distributors will attend this semi-annual FMCG conference, but many are gradually discovering that the fair is more about seeing than actually signing contracts and making payments. The author is currently experimenting with new cooperation models with FMCG companies, and drawing from the pharmaceutical industry, he cautiously proposes the following view:

**Most FMCG distributors will transform into regional equity partners in the future, and future regional managers will transform into regional contractors.**

Many industry insiders may scoff at this view, but the author firmly believes it is based on the following three reasons:

**First: Rising marketing labor costs and difficulty in recruiting new distributors for new products.**
On one hand, due to rising labor costs for marketing personnel in China, many companies' sales revenue is not enough to cover salaries, so they dare not recruit marketing staff on a large scale. On the other hand, distributors are no longer impressed by traditional recruitment methods, and regional recruitment has hit a bottleneck, often relying on personal connections.

This results in a situation where capable marketing personnel cannot join companies, and companies cannot effectively recruit the regional distributors they need.

In fact, these two issues can be integrated.

**Second: Both large and small distributors are transforming.**
Since 2013, regional distributors have been transforming. Large distributors either use existing channels to launch their own brands and expand to surrounding areas, or they switch to other industries such as real estate or investment. Small distributors are struggling to survive due to rising operating costs, and many find that after a year of hard work, they earn less than they would have as employees. So many are waiting and looking for platform cooperation.

This makes it very difficult for FMCG companies to recruit distributors.

**Third: The manufacturer-distributor relationship is evolving from transactional to co-operative.**
With the success of crowdfunding, the Chinese Partner model, and Ma Yun's 18 Arhats, the manufacturer-distributor relationship is no longer just about buying and selling. How to jointly operate the local market, whether through crowdfunding, equity, or option incentives, is no longer new.

Based on the above three reasons, the author proposes this view. This article is the author's personal opinion, and peers are welcome to correct it.

Hu Wei, pen name Jing Bozi, born in Jiujiang, now lives in Beijing. He graduated from Nanjing University of Finance and Economics and is a practical marketing expert in FMCG. He is the founder of Jiujiang Jingbo Culture Communication Co., Ltd., and a partner and chief marketing consultant of Shanghai Lixi Culture and Beijing Chiyu International. He is a contributing writer for "Sales and Market", "New Food", and "Sugar Tobacco Wine Weekly". With 15 years of practical FMCG marketing experience, he focuses on differentiated marketing, channel incentives, and regional market breakthroughs for food and beverages. He has worked for well-known domestic FMCG companies such as Beijing Huiyuan Juice Group and Hunan Prince Milk Group.

Welcome to communicate and exchange ideas with peers.

New Food Era · New Distribution
—— 2016 China "FMCG + Internet" Summit Forum ——

**This is a grand event focused on how the FMCG industry channels will transform under the trend of Internet+ transformation**

**Conference Agenda**

08:00-09:00 Registration
09:00-09:05 Host opening
09:05-09:35 2016 China FMCG Industry Trend Analysis Report - Zhao Bo
09:35-10:05 FMCG Enterprise Transformation Strategy and Path - Liu Chunxiong
10:05-10:35 Opportunities and Challenges Brought by FMCG Channel Reform - Liu Zhao, CEO of Waiqin 365
10:35-11:05 Reconstructing Distribution Channel System, Promoting Urban Retail Upgrade - Tian Yuan, General Manager of Alibaba Retail Link's Backend
11:05-11:25 Channel Efficiency in the Internet Era - Fu Xiaoyun, Vice President of Benlai Holding
11:25-12:00 Roundtable Forum - Brand Transformation: Improvement vs. Reconstruction?
Guests: Liu Zhao, Liu Chunxiong, Fang Gang, Chen Feng, Shi Zhengchuan, Deng Xia
12:00-13:30 Lunch
13:30-13:50 Distributor Transformation: Urban Distribution Trends - Wang Qi, CEO of Weijie City Distribution
13:50-14:20 Roundtable Forum - Why Distributors Should Do Logistics in Transformation
Guests: Zhao Bo, Wang Qi, Liu Zhongmin, Tang Guangliang, Wang Cheng, Sheng Yan
14:20-14:40 How FMCG Companies Can Leverage the Internet to Take Off - Wang Hui, E-commerce Operations Director of Xijiu
14:40-15:00 Detailed Explanation of Zhongshang Huimin's "One Machine, Two Wings" Strategy - Su Xiaoxin, Vice President of Zhongshang Huimin
15:00-15:20 Category Value and B2B E-commerce Development Strategy - Wang Chaocheng, CEO of Yijiupi
15:20-15:40 Supply Chain Finance as a Lubricant for B2B to Drive Traditional Business - Chen Xian, CEO of 51 Order
15:40-16:00 Zhanghe Cloud Factory Helps Upgrade FMCG Supply Chain - Yang Lixiang, CEO of Zhanghe Tianxia
16:00-16:30 Integrating Small and Micro Retail, Reconstructing Business Ecosystem - Miao Dong, Vice President of Quanshi
16:30-16:50 B2B Investment Principles and Approaches - Zhao Mingwei, Vice President of Junlian Capital
17:00-17:30 Roundtable Forum - Who is the King of FMCG B2B Models?
Guests: Fu Xiaoyun, Zhuang Jianzhong, Jiang Tao, Zeng Weiqin
17:30-19:30 Dinner

For manufacturers and distributors who want to transform, this grand event is not to be missed. Interested friends can long-press the QR code below or click "Read Original" to register.

**Registration Method: Long-press the QR code below or click "Read Original"**

↓↓↓ Click "Read Original" [Register]


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## Citation metadata

- Publisher: New Distribution
- Author: 胡伟（净泊子）
- Published: 2016-10-13
- Canonical: https://xinjignxiao.com/en/articles/jing-bozi-s-view-most-fmcg-distributors-will-transform-into-regional-equ-c7cb6bf4/
- Original source: https://mp.weixin.qq.com/s/phGLZ_ZH12kzl9rOefo5ng

## Copyright and AI use

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