---
title: "Liu Chunxiong: Embrace New Retail with a \"Gun\""
description: "Professor Liu Chunxiong shares his insights on how brand owners can survive and thrive in the new retail environment by adopting new marketing strategies. He outlines the logic of new retail, compares it with new marketing, and provides a framework for brand owners to build their own private traffic and compete with new retail platforms."
author: "刘春雄"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2018-11-05"
language: "en"
canonical: "https://xinjignxiao.com/en/articles/liu-chunxiong-embrace-new-retail-with-a-gun-344b900b/"
markdown: "https://xinjignxiao.com/en/articles/liu-chunxiong-embrace-new-retail-with-a-gun-344b900b.md"
original_source: "https://mp.weixin.qq.com/s/l2_PJ-pBP8STmkfvd5GlxA"
translation: "https://xinjignxiao.com/zh/articles/%E5%88%98%E6%98%A5%E9%9B%84-%E5%B8%A6-%E6%9E%AA-%E6%8B%A5%E6%8A%B1%E6%96%B0%E9%9B%B6%E5%94%AE-344b900b.md"
attribution: "New Distribution — https://xinjignxiao.com/en/articles/liu-chunxiong-embrace-new-retail-with-a-gun-344b900b/"
usage_policy: "https://xinjignxiao.com/ai-policy.txt"
---

# Liu Chunxiong: Embrace New Retail with a "Gun"

> Professor Liu Chunxiong shares his insights on how brand owners can survive and thrive in the new retail environment by adopting new marketing strategies. He outlines the logic of new retail, compares it with new marketing, and provides a framework for brand owners to build their own private traffic and compete with new retail platforms.

**◎ Text _|_ Liu Chunxiong**
(This article is based on Professor Liu Chunxiong's sharing at the 19th session of the "Miduo Growth Research Institute.")
The sharing content is mainly divided into the following 4 major sections:
> **1. Traditional Business Landscape**
>
> **2. The Logic of New Retail**
>
> **3. New Marketing PK New Retail**
>
> **4. The Logic of New Marketing**
Professor Liu Chunxiong's stance is very clear, sharing from the perspective of brand owners, that is, from the perspective of manufacturers.
We are now in the Internet era, or the mobile Internet era. The biggest environmental change we face is new retail. New retail is no longer the e-commerce of traditional thinking; it has expanded to the entire commercial field. How much impact does the new retail environment have on traditional brand owners?
**Traditional Business Landscape and New Retail Business Landscape**
**From the traditional business landscape, there are roughly three main types of entities: brand owners, agents (distributors), and retailers.**
These three traditional entities respectively undertake three functions: brand owners create value, agents (distributors) transmit value, and retailers transmit and realize value. These three entities complement each other and jointly build the entire business system. In Western countries, these three systems are relatively balanced, but in contemporary China, the scale of agents is relatively small, while brand owners and retailers are relatively balanced. Most of us are already accustomed to this pattern.
**The new retail business landscape: new retail platforms become the commercial leaders; new retail platforms integrate cognition, transaction, and relationship; brand owners become OEMs.**
New retail platforms can simultaneously complete the three major functions of **value creation, value transmission, and value realization**. In the new retail and new manufacturing proposed by Ma Yun, it is mentioned that new retail will have no place for brand owners, but manufacturers will appear. Currently, there are already such new manufacturing bases in Zhejiang that only handle labeling and customize products according to brand needs and user needs, also known as custom manufacturers.
Therefore, the new retail business landscape is completely different from the traditional business landscape.
  * First, in the new retail business landscape, new retail platforms will lead the business, whereas in the past, brand owners led.
  * Second, the three-stage balanced pattern of brand owners, distributors, and retailers will be broken. New retail platforms integrate cognition, transaction, and relationship. There will only be manufacturers, not brand owners. In new retail, new manufacturers will definitely emerge, and brand owners will either become OEMs or disappear completely.
This is by no means alarmist. If you don't understand, let's first look at the impact of Ma Yun's new retail on traditional enterprises.
Currently, there are four forms of "new retail" on the market: new species retail, B2C acquisitions of KA, platform-activated traditional stores, and innovative new retail species.
**Analyze their characteristics one by one**
**1. New Species Retail**
**Take Hema Fresh as an example.** Connecting to the C-end, Hema's online order rate reaches 60%. The fresh food category meets the needs of the new middle class. It vertically integrates production profits, circulation profits, and retail profits, marginalizing brand products. Similar to Japan's 7-11 convenience stores, there will be many such custom brands in the future.
Hema Fresh aims to achieve 50% private label products within the next three years. This is undoubtedly a disaster for brand owners, and such new retail species will become more numerous, greatly impacting brands.
**2. B2C Acquired KA:**
Stores acquired by internet giants like Tencent and Alibaba, typical examples include RT-Mart, Sanjiang, Rainbow, Better Life, etc.
**3. Platform-Activated Traditional Stores:** This is easier to understand. The concept of circulation will disappear in the future, and all retail stores will become members of a new retail platform.
The fourth category is relatively scattered and will not be detailed here.
Analyzing these four forms, among them, new species retail like Hema Fresh accounts for a small proportion of new retail. It is a breakthrough but not mainstream. KA stores acquired by B2C like RT-Mart account for a relatively small proportion, and the method of buying has its limitations. NetEase Yanxuan, O2O, and other retail have some highlights but are not mainstream. The remaining third category, platform-activated traditional stores, will become mainstream. Using technical means, platforms empower and activate traditional brands, activating small, scattered small retail stores, like Alibaba's recent investment of 2 billion in 1919.
Next, let's return to the internal logic of new retail.
**The Logic of New Retail**
So, is new retail really that scary? For brand owners, new retail is indeed very scary. Because in the logic of new retail, the most critical factor is connecting to the C-end. Through apps, mini-programs, or communities, content is output or an ecosystem is formed, achieving privatization of user data assets. Long-term user online presence generates big data such as inquiries and transactions. Brand owners can use big data to tag users, understand their needs, and achieve C2F demand customization.
**New Marketing PK New Retail**
The future has arrived, and what is to come has come. Facing the "all-encompassing" nature of new retail, how can brand owners survive? If brands lose their influence, brand owners will become OEMs and turn into manufacturers for new retail. Therefore, in the coming period, there will be competition between new retail and new marketing.
The reason new retail is powerful is that it controls platform traffic (public domain traffic), while new marketing controls private domain traffic.
But after all, from the perspective of brand owners, how can they use new marketing to create private domain traffic and compete with new retail's public domain traffic? In response, Professor Liu Chunxiong proposed a framework system for new retail, divided into five levels: **cognition level, new infrastructure level, analysis framework level, new organization level, and operating system level.**
**1. Marketing must form a new cognitive system, integrating three aspects: cognition, transaction, and relationship.**
New cognition is what new retail has achieved. Its cognition is consumer education, transactions are completed on the platform, and relationships with consumers are built on the platform.
**Retailers can do this, and brand owners can too.** For example, Hema Fresh's new retail service deepens consumers' cognition of new retail. After completing shopping, consumers reach the checkout counter and all payments are self-service, with no cashiers at all. This form forces consumers' cognition, achieving true "what you see is what you get."
Brand owners can achieve this by building their own technical platform. **For example, a brand owner uses a one-item-one-code system. Through the behavior of scanning codes to win prizes, it stimulates consumers' enthusiasm for scanning codes and strengthens their cognition of scanning codes. This is "barrier-free" consumer education.**
**(Scan to add the Chief Growth Officer's WeChat to deeply understand Miduo's one-item-one-code big data engine)**
After scanning the code, consumers learn about the product information and then use various interactive forms to increase their strong association with the brand, enhance brand awareness, and further promote transaction conversion.
Through the one-item-one-code system, brand owners can use the official account (because each scan can remind consumers to follow the official account) to push articles, activities, etc., to build relationships with consumers.
**New marketing theory** and **Miduo Big Data Engine** complement each other and coexist. Currently, over 19,000 traditional enterprises have chosen the Miduo Big Data Engine platform to practice new marketing theory, truly achieving user-centric operations and data-driven reconstruction of "people, goods, and places," realizing users' "what you see is what you get."
**2. New Infrastructure Level: C-chain, B-chain, full chain.**
In new marketing, there are three major infrastructures. **Connecting C-end users through the C-chain** achieves user online presence and user privatization, ultimately obtaining big data to determine user needs. In the past, traditional brand owners could only connect with consumers through agents and retailers, and even deep distribution could not reach consumers directly. But now, through apps, WeChat mini-programs, and one-item-one-code, they can connect to the C-end.
**B-chain construction** means that from brand owners to agents to retailers, all data is online, also known as **channel digitalization.**
**Full chain** sales are divided into short-chain sales like mini-program e-commerce, mid-chain sales like Taobao and Tmall, and long-chain sales like retail small stores on new retail platforms. Brand owners need to have the ability to guide traffic for conversion across different brands to gain cooperation with new retail platforms.
**3. New Marketing Analysis Framework System: Scenario, IP, Community, Communication**
**Scenario:** That is, product logic. Scenario orientation will replace the past user orientation, and demand factors will change.
**IP:** From a marketing perspective, it is the autonomous communication potential in a social environment, spreading autonomously on the Internet to build private domain traffic.
**Community:** Offline, communities and cyberspace are connected. The community plays a role similar to a "router," connecting offline and online, amplifying communication power.
**Communication:** Marketing is communication, forming cognition. Cognition is greater than fact, creating information asymmetry. Products all have sociality.
**4. New Organization: Refined Back Office, Strong Front Office**
In the new marketing organization, market and sales no longer have clear functional boundaries. In new marketing, the marketing department is also the sales department, doing communication through communities and cyberspace.
In the past, deep distribution was a human-wave tactic, with low efficiency like street sweeping. Now, one-item-one-code can digitalize channels, link to the C-end, refine the back office, and strengthen the front office. Through big data, IP, and content production, problems can be identified and precision marketing can be done. It is efficient on the B-end and precise on the C-end.
**5. System Level: Third-party systems will definitely emerge.**
New retail requires many roles to participate. Some are responsible for infrastructure construction, and some are responsible for business creation. But overall, it must not be separated from consumers. Fast, good, and economical is the eternal theme. User online, user interaction, and privatization of user data assets should be the basic path to help brand owners manage customers.
Infrastructure construction opportunities should not be too large, as they are basically monopolized by JD.com, Alibaba, Tencent, and Huawei. But there are still many opportunities for applications that enter business scenarios, possibly concentrated in SaaS. This has certain thresholds and difficulties, and general brand owners do not have the ability or energy to do it, giving third-party developers good opportunities. Enterprises can invest resources in business and customer management.
Not everything needs to be done by oneself; openness is the trend.
**The Logic of New Marketing**
**New marketing and new retail have similar business logic, but different stances.**
In the past, traditional brands could not directly connect to the C-end. Now, with technological progress, we can achieve ecosystem online presence through content and cross-border ecosystems. Through intelligent marketing, we can differentiate user needs, form IPs, and then achieve independent traffic that can compete with new retail. If traditional enterprises do not have their own private domain traffic, they can only spend high costs to purchase public domain traffic, and costs will continue to rise.
New marketing is not limited to innovative or small enterprises. Some leading enterprises in the industry are also adjusting their organizational systems and operational logic. The logic and path of new marketing are clear, but there is currently a lack of benchmark enterprises. New marketing is mainly driven by brand owners. Many well-known traditional brands have started to act, but the adaptability of traditional brand organizational structures is insufficient, the channel interest chain is long, and the concept transformation of vested interest groups takes time, all of which affect the cycle of benchmark creation.
Of course, new marketing is not a total denial of traditional marketing, but rather adding wings to the tiger, using new marketing to activate traditional marketing. And one-item-one-code is the best way for traditional enterprises to practice new marketing theory, **helping traditional enterprises achieve "full-chain data collection, full-channel data integration, and full-scenario data empowerment." Miduo Big Data Engine is worth recommending.**
Miduo Big Data Engine, the central nervous system of the marketing department, helps traditional enterprises achieve Internet transformation without changing existing channels, increase sales, grow fans by 100%, reduce costs, and is the shortest path for traditional enterprises' new retail transformation.
**Finally, summarize the core content of Professor Liu Chunxiong's online live broadcast:**
1/ One-item-one-code, on the surface, is a means of connection. From Miduo's cognitive system, it is a very effective and precise path for brand owners to connect channels, retail terminals, and consumers. It can effectively solve the realization and sedimentation of private domain traffic value.
2/ One-item-one-code connects the C-end, realizes channel digitalization, and enables full-chain sales. Three major functions in one. But one-item-one-code is just a starting point. By coding products, tracking the flow of goods, the entire channel autonomously contributes data, restoring and presenting this data chain, solving information asymmetry between brand owners and channels, while allowing brand owners to have a large amount of active user data, enabling them to obtain user data and operate around users.
3/ With the rapid development of mobile Internet, centralized data platforms like Alibaba and JD.com are competing with brand owners for user data. In recent years, from a certain perspective, this is the best time window for brand owners to compete with centralized platforms for user data, and also an opportunity for brand owners to reform.
4/ For a hundred years, traditional marketing theory has advocated user-centricity. This theory was largely proposed from the perspective of brand owners. In fact, before the vigorous development of the Internet, few brands achieved it. The development of the Internet has given BAT and TMD a large amount of data, but brand owners still do not have user data. So, achieving user-centricity is almost empty talk.
5/ Many brand owners have realized this problem, so they are moving quickly to master as much user data as possible, as well as data from retailers (small b-end) they can influence. There are many paths to achieve this, with different costs. From my nearly 5 years of tracking, observation, and implementation participation, one-item-one-code is a low-cost, high-efficiency, and high-precision path.
7/ Especially when combined with scenario-based marketing, retailers and consumers autonomously contribute active data in an unconscious (or joyful) scenario. Establishing account systems for retailers and consumers for management, using user tiering and rights grading, not only activates the user account system but also greatly promotes community activity, amplifying word-of-mouth in the Internet context.
The above is the entire content of Professor Liu Chunxiong's live course sharing **["How New Marketing Stands Out in the New Retail Environment"]**.
Source: Miduo Big Data Engine (ID: miduowangluo)
-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