When it comes to rapidly rising potential products in the past year or two, distributors often think of one word: steamed cakes. Nearly 70% of distributors are very optimistic about short-shelf-life baked goods, represented by steamed cakes and Paoba Gold Egg Cakes. Although these short-shelf-life baked goods are soft in texture and fresh, the market is now flooded with companies producing them. On one hand, the market could easily become saturated; on the other hand, there is a lack of experience in channel building and operations for short-shelf-life products, leading to concerns that the products might end up sitting in warehouses. There are many distributors who have doubts about short-shelf-life products. So, can short-shelf-life baked goods become popular? Can they become another star product following the likes of brown sugar plum and oatmeal chocolate? Or will they fade after a brief surge? What should distributors pay attention to when operating short-shelf-life products?
Short-shelf-life products: selling the concept of differentiation In recent years, baked goods have become a new growth point for the snack industry, growing at over 10% annually. In second- and third-tier cities, the growth rate of the baked goods market can approach 30%, but competition in the industry is extremely fierce. The emergence of short-shelf-life products is an innovation in the baked goods industry. Short-shelf-life products create a concept—short shelf life. The shelf life is mostly 30 to 45 days. These products have high moisture content, are low in fat and sugar, nutritious, healthy, and lightly sweet. They are positioned as mid-to-high-end, with retail prices mostly above 30 yuan per jin. In fact, the rise of short-shelf-life products not only signifies the emergence of a new category but also significantly raises the entry barriers for industry competition. At this year's Chengdu Sugar and Wine Fair, whether in terms of the number of companies or the heat of the booths, steamed cakes were undoubtedly the absolute protagonist. In the next two to three years, steamed cakes are expected to become the next explosive point in the baked goods market. However, short-shelf-life products create inherent competitive barriers at the corporate level, reflected in production processes and technology, as well as requirements for channel matching.
How to highlight product features and capture consumer mindshare has become a primary issue for companies. Take Haocaitou Food as an example: in 2015, the pastry division mainly adopted a dual-brand strategy with "Haocaitou" and "Xiaoyang" and a diversified product portfolio. Short-shelf-life series products are expected to account for over 60% of sales in 2015, striving to make "Xiaoyang" steamed sandwiches a leading brand in the industry.
Accelerate delivery time and speed: competing for bakery business The biggest advantage of short-shelf-life baked goods is freshness and health, but they also pose risks for manufacturers and distributors. The trend toward short shelf life is undeniable, but the short shelf life advantage can also become a limitation. On one hand, many companies are following the trend, not only making the category hot but also causing uneven product quality. On the other hand, cultivating consumer habits takes time. In terms of storage, they are not as convenient as products with a six-month shelf life; in terms of quality, they are not as fresh and tasty as freshly baked bread. Short-shelf-life products are in an awkward position for active consumer purchase, so the urgent task for distributors is to create consumption occasions and reasons.
Moreover, short-shelf-life products require comprehensive guarantees in logistics and terminal sell-through speed. Currently, many companies find it difficult to truly achieve this goal. Although short-shelf-life products offer relatively high profits, many distributors still dare not try them because the initial investment is very large. The scheduling of mobile personnel and vehicles, appropriate logistics, entry fees, display fees, and mature channel networks are all tests of a distributor's strength.
Currently, many young consumers prefer online shopping. Short-shelf-life products meet their needs for health and low sugar, so they are keen to buy these products online, competing with bakeries. Manufacturers have also noticed the excellent performance of short-shelf-life products online and are now pushing into offline markets. In addition to supermarkets, hypermarkets, and convenience stores, short-shelf-life products can even be sold directly in bakeries. At present, the terminal sales of short-shelf-life products are quite good.
Manufacturer-distributor cooperation and regional layout: helping distributors do well with short-shelf-life products The future of short-shelf-life series products also requires manufacturers and distributors to work together. Taking Haocaitou Food as an example, steamed sandwiches are the core star product this year. In addition to upgrading the product itself, the company has made overall upgrades in brand promotion and terminal marketing. In terminal stores, the company has established a "KA Special Department" to help distributors with sales and shelf placement in KA stores. By increasing distribution points and frequent replenishment, they boost distributors' confidence in Haocaitou Food.
They also deploy personnel to assist distributors in holding tens of thousands of ground events, including interactions in communities, convenience stores, and supermarkets, to help distributors complete tasks, maintain customers, and continuously expand market share, helping distributors develop star products for long-term growth. To seize the opportunity, distributors must be willing to invest funds and personnel and deeply understand the characteristics of short-shelf-life products.
Currently, the operation of short-shelf-life products is mainly regional, focusing on supermarkets, hypermarkets, or campus channels. Market entry requires promotion through display and consumer interaction. Initial promotion is crucial; only after consumers have sufficient awareness of short-shelf-life products can distributors expand to smaller outlets.
In summary, attention should be paid to terminal maintenance, information collection and management, and ensuring rapid product turnover. Distributors should not order too much at once from manufacturers; they should adopt a "frequent purchases, quick sales" approach. Order based on actual terminal sales: for example, if a Carrefour store sells 5 boxes of short-shelf-life products in two days, the maximum stock should not exceed 10 boxes. Timely replenishment based on terminal sales not only greatly improves capital turnover but also maintains product freshness, fully reflecting the characteristics of short-shelf-life baked goods.
Special Guests: Lian Xiuyong, Zhang Ji, Cui Zhibin Source: China Candy
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