---
title: "On New Distribution's Article \"How Can New Products Seize the Key Moment of Sell-Through?\""
description: "Where does the 'anxiety' of launching new products come from? Using beverages as a case study, the article explains that this anxiety often stems from problems encountered during new product launches: how to distribute? Why won't small shop owners stock up? Small shop owners report poor sales, leading to loss of team confidence and ultimately failure. These issues reflect the 'moving but not selling' situation that brands face in real life, as no brand can continuously invest marketing expenses for a new product, and once marketing stops, sales stagnate—a challenge many brands have encountered or are currently facing."
author: "习丌𠙶"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2022-06-03"
language: "en"
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# On New Distribution's Article "How Can New Products Seize the Key Moment of Sell-Through?"

> Where does the 'anxiety' of launching new products come from? Using beverages as a case study, the article explains that this anxiety often stems from problems encountered during new product launches: how to distribute? Why won't small shop owners stock up? Small shop owners report poor sales, leading to loss of team confidence and ultimately failure. These issues reflect the 'moving but not selling' situation that brands face in real life, as no brand can continuously invest marketing expenses for a new product, and once marketing stops, sales stagnate—a challenge many brands have encountered or are currently facing.

******Where does the 'anxiety' of launching new products come from?**
Using beverages as a case study and entry point, the article explains that this 'anxiety' often originates from problems faced during new product launches: **How to distribute? — Why don't small shop owners stock up? — Small shop owners report poor sales — Team loses confidence — New product launch fails.**
These problems are the 'moving but not selling' situations that brands encounter when distributing products. Because no brand can continuously invest marketing expenses for a new product, and once marketing expenses are cut, sales stagnate. This is a challenge many brands have faced or are currently facing, and I believe everyone can empathize.
This process also highlights a key role affecting new product sell-through: the small shop—the small supermarkets and traditional mom-and-pop stores we encounter daily in our neighborhoods, communities, and streets. They are the ones who truly interact with consumers in daily life and serve as a testing ground to verify the success of new product launches.
**The author calculates sales revenue as single-point sales × number of outlets, identifying two key indicators for sell-through: single-store sales and number of outlets.**
In daily operations, sales teams often make predictions based on single-store sales, while neglecting the total number of outlets. However, a small shop carries hundreds of SKUs; even a popular beverage like Coca-Cola averages only 4-5 bottles per day per store. Overly focusing on single-store sales is meaningless.
Because **single-store sales have a ceiling, while scaling outlet reach has a higher ceiling and greater growth potential.** Expanding offline outlets is a breakthrough point for brands seeking sales growth and a direction they strive for.
******The key to new product sell-through lies in developing effective offline outlets**
Even if brands know they need to expand the total number of outlets and scale up, outlet growth requires time and money to accumulate and consolidate. Sales representatives must personally visit each store and persistently maintain relationships to distribute products to traditional mom-and-pop retail stores in towns, villages, and streets.
**During channel expansion, brands need to empower with good management methods and operational thinking, mobilizing the sales team, small shops, and consumers to improve the efficiency of effective outlet conversion and truly drive sell-through.**
In traditional channels, some leading companies have already established inherent advantages. For newcomers, this is destined to be an unfair competition.
But **the advent of the digital era has renewed everything, with opportunities and challenges coexisting. All companies stand fairly at the same starting line, and there is still a chance to overtake by changing lanes.** What brands need to do is break away from traditional channel tracks, use digital thinking and methods to play a differentiated hand, form a moat of effective outlets, and carve out an unobstructed path to sell-through.****
For the key roles in new product sell-through—**small shops, sales representatives, and consumers**—brands need to empower each with digitalization.
**Small Shops:**
Only by solving the product launch issue can there be an opportunity to solve the sell-through problem. Therefore, placing products on shelves is the first step to achieving sell-through. How to seize the golden shelf space in small shops is the first problem brands must solve. Using one-item-one-code to set up **box codes** for small shops is a highly effective method.
By coding inside the product boxes and using **'scan for gifts + red packet incentives'** to stimulate shop owners to open boxes and scan codes for rewards, **the more boxes opened, the more scans, the richer the rewards**, thereby encouraging shop owners to open boxes frantically. After opening boxes, shop owners need to solve product sales, so they will naturally be willing to **increase new product shelf placement, increase exposure, promote sell-through, and improve launch success.**
**Through the box code scanning action, brands can not only grasp product sell-through data but also establish connections with shop owners, master store information, provide operational solutions such as shelf arrangement and store management, and maintain good relationships with terminal outlets.**
**Sales Representatives:**
We all know that the hub between brands or distributors and millions of terminals is the sales representative, who is a crucial factor in effective store expansion and maintenance. With so many sales representatives, how to manage them? How to improve visit success rates? How to enhance work efficiency? All these require brands to empower the sales team with digitalization.
In the past, brands often implemented promotional activities at terminals, such as buy-one-get-one-free or 'one more bottle'. However, these methods were not only ineffective but also consumed significant human, time, and financial resources.
For example, the familiar 'one more bottle' promotion: consumers redeem caps at small shops, shops collect caps for sales reps to verify, sales reps bring caps to distributors or brands for verification, and brands then destroy the caps.
**'One more bottle' is not only cumbersome but also prone to fraud, so it has been gradually phased out, replaced by the emerging '1-yuan exchange' promotion in the digital era.** In practice, consumers scan codes after purchasing products to obtain a '1-yuan exchange' coupon. They can then go to a terminal store, pay 1 yuan, and after the store owner verifies the coupon online and collects the 1 yuan, they receive a new product.
**Store owners can verify online with the verification code, and sales reps review online**, eliminating the need to collect caps from various stores as in the past. This greatly saves labor costs and reduces error rates. At the same time, **sales reps can understand product sell-through based on the quantity and frequency of store verifications, facilitating timely replenishment, improving work efficiency, and aiding store management.**
The biggest feature of '1-yuan exchange' is that it **enables all activities to be online**, allowing brands to truly grasp terminal data through full online participation, understand the actual feedback of new product launches, and improve their operational capabilities.
**Consumers:**
After products are placed in small shops, the real determinant of sell-through is at the consumer end. To stimulate consumer desire, brands need to leverage the **precision marketing function of one-item-one-code**, designing attractive scanning activities to entice consumers to scan codes, thereby helping small shops drive sales.
After consumers are attracted to scan codes, brands also need to set up scanning paths to guide consumers to their private domain platforms, **accumulate consumers in the private domain, conduct further refined operations, enhance consumer stickiness and loyalty, strengthen brand pull, and let exposure rate determine sales, thereby promoting channel push.**
At the same time, during consumer operations, brands can continuously update consumer profiles, gain insights into consumer needs, **maximize alignment with consumer wishes in new product innovation and R&D improvements, win through the product itself, making the product the advertisement**, and solve the problem of poor new product sell-through.
**Final Thoughts:**
As new marketing expert Liu Chunxiong said, 'The first half of the internet was platform thinking; the second half is small-b thinking.'
This 'small b' refers to the millions of terminal small shops. Whether for new product sell-through or channel construction, the importance of small shops has grown day by day, becoming a role that brands must take seriously. Whoever captures more small shops will dominate the market and decode the traffic code of the digital era.
Source: Chief Growth Officer Research Institute (ID: gh_a12c274c27d2) Author: Xi Qi You
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