In the local liquor market, foodservice terminals are the mainstream sales channel for baijiu. However, in the competitive landscape, disorderly competition in the foodservice channel has caused many baijiu brands to fail in restaurants. Its characteristics are:
- Among foodservice terminals, A-class outlets are often monopolized or bought out by strong brands, making entry difficult;
- Competition has deteriorated. Entry fees, exclusive sales fees, bottle-opening fees, promotion fees, and public relations fees escalate layer by layer, forcing baijiu product prices far above their intrinsic value;
- Foodservice terminals require credit supply, with B and C-class outlets having poor credit, high sales costs, and high risk of bad debts. Based on the characteristics of foodservice terminals and years of marketing practice, we have summarized the 'Seven-Step Method for Foodservice Terminal Operations.' With a 'sharp' terminal positioning attack, we can quickly activate the terminal foodservice market.
Step 1: Virtual Product Positioning Based on preliminary research of the target market, form a 'virtual positioning' using the 'unique' selling points of the enterprise's products and brand, such as name, sales proposition, packaging features, and product style, to develop a clear strategy. Based on this 'virtual positioning,' conduct simulated launch and promotion research.
- Compare the marketing strategies of two competing products in the same price range with the 'virtual positioning' to identify strengths and weaknesses. By integrating launch strategies, marketing opportunities become clear and are laid out on the table;
- Based on the detailed comparison, accurately position your own products and brand. After positioning, you can precisely select target foodservice terminals for market entry and find the 'entry point' for products and brand.
Step 2: In-depth Study of Foodservice Terminals Before entering the market, you must conduct a detailed 'study' of your 'cultivated land.' Knowing yourself and your enemy leads to victory, ensuring you enter terminals with confidence and clarity.
I. Classification Study of Foodservice Terminals Use a classification method to sort terminals in the target market into A, B, and C categories, and create terminal classification tables and maps.
II. Methods for Studying Foodservice Terminals
- Business status survey – Collect information from industry and commerce, taxation, health and epidemic prevention, and water and electricity departments to form a foodservice terminal archive for the target market;
- Business performance survey – A: Observe seat occupancy rates. Basic standards for assessing terminal business: a) A-class outlets need 50% occupancy; b) B-class outlets need 60%; c) C-class outlets need 70% to break even. B: Supplier and social evaluation: Learn about the terminal's financial settlement status from other beverage suppliers and raw material suppliers;
- Service staff survey – In the order of bar cashier, head waiter, and private room attendant, inquire about bottle cap fees, promotion fees, gifts, and competitor guest relationship strategies;
- Counter display survey – Observe in the order of center → left → right, and center → top → bottom, to see how competitors' products are displayed, sold, and valued at the terminal;
- Empirical survey of packaging material ratios – Count and analyze bottle caps, boxes, and bottles collected or displayed at the terminal to determine the main product sales situation with actual data.
III. Study Principles
- Survey at least 60% of the target terminals for entry;
- Based on the study, formulate a foodservice terminal entry plan.
Step 3: Lock Down Core Terminals △ 20/80 Rule – In the target terminals, 20% of foodservice terminals account for 80% of product sales. In almost every market, only about 20% of customers are packed. Focus on this 20% to find core terminals. Concentrate effective resources to launch effective marketing attacks on core terminals. Lock down the 20% core terminals and form effective terminal marketing and execution plans. However, in the fiercely competitive liquor market, the 20% core terminals become a 'battleground.' At this point, consider the 'long tail market' marketing effect. △ The target remains the 20% core terminals, but the entry strategy is to detour to the 80% terminal network, creating momentum for terminal distribution and entry, and then 'take down' the 20% core terminals. △ Guest Relationship Communication to Lock Down Core Terminals
- 'Motivate with benefits' – 1) Based on the study, provide accurate sales forecasts to the owner; 2) Show a series of rebate policies and brand development prospects; 3) Deliver benefits in kind.
- 'Move with emotion' – 1) Gifts; 2) Build relationships over time, learning the owner's preferences.
- Provide foodservice management information and services to strengthen the relationship with the owner.
- Develop an effective service point relationship model for different hotels and service levels.
- Gift distribution
- Service point training, birthday parties, dinners, social events, and trips
- Build a database of outstanding service staff in the target market, track the flow of service staff at core terminals, and form a long-term peripheral frontline promotion service network.
Step 4: Rapid Distribution and Entry I. Principles of Rapid Distribution (Carpet Bombing Distribution) (Seven-Step Method)
- Blitzkrieg: Complete foodservice terminal entry in the shortest time and at the fastest speed;
- Break through from core terminals, and densely extend to surrounding terminals to form a 'distribution street';
- Deploy personnel and manage by route. Under fixed personnel leadership, mobilize flexible distribution staff;
- Quickly establish a systematic management system for procedures and archives;
- Summarize distribution daily, analyze problems encountered, and plan countermeasures for the next day;
- Inspect distribution to prevent 'fake distribution' – products entered but not displayed on shelves;
- Strive for the best display positions and vivid displays to highlight the product's market entry atmosphere.
II. Rapid Follow-up of Promotion and Publicity Product distribution is the basic action of terminal marketing. Within the terminal network routes, it is necessary to create market entry publicity and promotion effects.
- Core terminal promotions: Launch terminal promotional items and activities simultaneously to effectively suppress direct competitors and highlight terminal highlights;
- 'Recommendation rate' stimulation activities for other terminals – When your product is on the shelf but no one asks about it, after a period, the terminal loses interest, and the product and brand fall into an awkward situation. Based on study conclusions, formulate a series of effective terminal 'push' marketing strategies to keep the product active in terminal performance and 'dance on the same stage' with competitors.
Step 5: Create Terminal Momentum After distribution in foodservice terminals, relying solely on promotional tactics at the terminal makes it difficult to achieve effective brand vivid communication. 'Jumping out of the terminal to do terminal work' becomes the thinking and strategy formulation model for creating terminal momentum.
I. Product Momentum
- Product quality; 2. Product culture; 3. Hints of product taste dependence; 4. Differentiated product benefits; 5. Multi-specification, multi-series product combinations to meet different market needs (e.g., small specifications, 250ml bottles for auxiliary sales).
II. Price Momentum
- Price attack power; 2. Stable implementation of price policies; 3. Formation of price perception. The formation of price momentum must create a relative advantage in competition with terminal competitors.
III. Advertising and Communication Momentum
- Integrated communication through TV, newspapers, outdoor, and other vivid media;
- Word-of-mouth recommendations and active terminal atmosphere advertising to form a three-dimensional advertising offensive;
- Comprehensive communication of thematic advertising.
IV. Thematic Marketing to Ignite Word-of-Mouth and Attract Consumer Attention
- Design various thematic marketing activities centered on pulling and promoting terminal consumers;
- Thematic marketing can be expressed through sports, events, public welfare PR, emotional marketing, entertainment marketing, fashion marketing, and detail marketing.
V. Strategic and Tactical Combinations to Link Terminal Marketing Vividness Combine all the above communications with a unified brand value and brand culture theme to link the vividness of terminal marketing, forming a huge terminal-centered publicity momentum, highlighting terminal entry, and rapidly forming market communication power.
Step 6: Bite and Overwhelm Direct Competitors In foodservice terminals, the success of new products depends not only on meticulous basic work but also, in a market state with stable shelf space and brand sales patterns, on locking onto competitors, 'fighting to the death,' and suppressing competitors with overwhelming advantages to truly stand out and gain growth momentum.
Strategy 1: Seize gaps created by competitors' price increases, brand aging, insufficient strength, or poor management. Use strong, concentrated marketing forces to quickly fill price gaps, capture consumer needs in specific price segments, and form a market segment for your own products.
Strategy 2: Bite onto competitors with diverse and changing promotional tactics to exhaust them, then replace them to become the strong brand at the terminal. The 'biting' strategy can be implemented through step-by-step pressure, strengthened execution, and enhanced guest relationships, using sustained 'drag' and 'fatigue' forces to overwhelm competitors.
Strategy 3: Concentrate resources to launch fierce attacks on competitors' weaknesses. In the same or similar price segments, mobilize advertising, promotion, and consumer communication forces several times stronger than competitors to gain overwhelming terminal marketing intensity and speed, quickly building brand power in foodservice.
In terminal marketing promotion, only by biting and overwhelming an old brand can new brands gain market growth and marketing breakthrough opportunities. Of course, it's not just foodservice terminals that can create overwhelming brand power; other elements of the marketing mix can also be leveraged to build overall competitiveness in foodservice terminals.
Step 7: Perfect Product Portfolio and Control Foodservice Terminals Breakthroughs in foodservice terminals generally achieve practical market effects more easily with the sharp attack of a single product. However, after forming a 'market gap,' it is necessary to rely on the power of product portfolio to meet the consumption needs of different consumer groups in foodservice terminals, thereby forming control over the terminal.
Vertical Product Line Extension for High or Low End In foodservice terminals, fully utilize differences in terminal classification and consumer levels. Use product combinations of high-medium, high-low, medium-low, or high, medium, low to generate sales and achieve comprehensive coverage of terminal consumers. In product portfolio design, the most important thing is reasonable product price positioning. That is, the product portfolio must be within the price range of the target market and target terminals, with each product forming sharp price power to maximize satisfaction of consumption needs within the terminal.
Horizontal Product Line Extension by Specification Use changes in product specifications, such as 500ml, 250ml, and 125ml, to enrich the product portfolio, thereby forming product portfolio power in foodservice terminals, maximizing product sales, achieving full control of foodservice terminals, and building brand power in foodservice.
Postscript: The 'Seven-Step Method for Foodservice Terminal Operations' is a foundational terminal marketing action breakdown developed using 'terminal positioning tactics' combined with regional brand practice. It is a basic textbook for terminal promotion training, expansion execution, and can be applied with various marketing planning schemes, offering strong practical significance.
Reply with the following keywords to classify and read related professional articles: Sales Supervisor, Second-Tier Management, Regional Manager, Distributor Management, New Channels, City Manager, Competition, 2015, Manufacturer-Dealer Game, Product Slowdown, Terminal Visit Management, Route Management, Deep Distribution, Internal Management, Sales Skills, Profit Improvement, Recruitment, Distribution, Daily Management, Team Motivation, Channel Promotion, Sales Misconceptions, New Product Launch, Township Market, New Product Pricing, Sales Target Achievement, Closing Orders, Market Visit Inspection, Baijiu, Beer, Sales Increase, Agency Products, Cross-Region Sales, KA, Terminal Vividness, New Market, Market Operation, Learning, Book Recommendations, Inventory Management, New Salespeople, Consumer Promotion, Execution, Old Products, Expired Product Handling, Model Market, Franchise Recruitment, New Media, Distributor Development, Performance Appraisal, Assessment, Annual Planning, Shopping Guide, Morning Meeting, Display, Transformation, Pressure Stock, Festivals, Distributor Cost Control, Channel Operation, Marketing Theory and Laws, Brand Truth, Order Meeting, Team Management, Training, Debriefing, Work Report.
