---
title: "The Awakening of Distributors: No More Anxiety and Confusion After Reading This"
description: "Distributors can enhance their value in win-win cooperation by building a comprehensive service platform with a multilateral effect model, providing all relevant data externally and supporting workflows internally. Trust, underpinned by a traceability system, is essential for such a platform. In an era of product surplus, distributors must upgrade, transform, and innovate to improve their value in the supply chain."
author: "CBME 中国"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2016-10-14"
categories: "Dealer Operations"
language: "en"
canonical: "https://xinjignxiao.com/en/articles/the-awakening-of-distributors-no-more-anxiety-and-confusion-after-readin-ecf23e5f/"
markdown: "https://xinjignxiao.com/en/articles/the-awakening-of-distributors-no-more-anxiety-and-confusion-after-readin-ecf23e5f.md"
original_source: "https://mp.weixin.qq.com/s/QG6yScR4WwKjrrADXQy1UA"
translation: "https://xinjignxiao.com/zh/articles/%E4%BB%A3%E7%90%86%E5%95%86%E7%9A%84%E8%A7%89%E9%86%92-%E7%9C%8B%E5%AE%8C%E8%BD%AC%E5%9E%8B%E4%B8%8D%E5%86%8D%E7%84%A6%E8%99%91%E8%BF%B7%E8%8C%AB-ecf23e5f.md"
attribution: "New Distribution — https://xinjignxiao.com/en/articles/the-awakening-of-distributors-no-more-anxiety-and-confusion-after-readin-ecf23e5f/"
citation: "CBME 中国. “The Awakening of Distributors: No More Anxiety and Confusion After Reading This.” New Distribution, 2016-10-14. https://xinjignxiao.com/en/articles/the-awakening-of-distributors-no-more-anxiety-and-confusion-after-readin-ecf23e5f/"
usage_policy: "https://xinjignxiao.com/ai-policy.txt"
---

# The Awakening of Distributors: No More Anxiety and Confusion After Reading This

> Distributors can enhance their value in win-win cooperation by building a comprehensive service platform with a multilateral effect model, providing all relevant data externally and supporting workflows internally. Trust, underpinned by a traceability system, is essential for such a platform. In an era of product surplus, distributors must upgrade, transform, and innovate to improve their value in the supply chain.

**How can distributors enhance their value in win-win cooperation?** Liang Shijiang | General Manager of Xiamen Dongwansheng Trading Co., Ltd.
In today's complex trading environment, we should build a comprehensive service platform with a multilateral effect model. Externally, it provides all relevant data to suppliers and related customers; internally, it supports workflows. Building a multilateral platform first requires trust, and the core of that trust is our traceability system.
Currently, we have moved from an era of product supremacy and supply shortage to an era of product surplus. Many distributors face internal and external challenges. Externally, suppliers demand more channels, capital, and more technical services; internally, our operational risks are increasing, talent is draining, and we need more financing.
**Building a New Model: Service Platform Multilateral Effect Model**
I have been in the maternal and infant industry for 13 years. Previously, distributors engaged in traditional buying and selling, but now they have entered an era of multilateral transactions. Taking the food industry as an example, manufacturers require us to provide overall sales services; the government, for food regulation, requires us to provide more data; banks pay attention to our entire business process; and when manufacturers' goods are stored in our warehouses, they require us to provide insurance, so we occasionally deal with insurance companies.
In such a complex trading environment, we should build a comprehensive service platform with a multilateral effect model. Externally, it provides all relevant data to suppliers and related customers; internally, it supports workflows. Building a multilateral platform first requires trust, and the core of that trust is our traceability system. This system should ensure that sources can be checked, destinations can be traced, and responsibilities can be investigated, thereby bringing you closer to users, consumers, the government, banks, and insurance companies, and enhancing your own value.
**Marketing and Channel Enhancement under the Platform Model: The "Huoshenghuo" Model**
As we all know, sales channels are now divided into online and offline. As distributors, we should enhance our omni-channel service capabilities. For online institutions, we have established a dedicated department called "Yishanghui" that must master all online sales language and sales operation methods.
In the context of overcapacity, offline channel sales should be further penetrated into third- and fourth-tier cities to maximize value. In our sales system, we use the "Huoshenghuo" platform to integrate online and offline, and supply our brands and products more meticulously to township retail stores. Of course, we also establish chain relationships with existing county-level or township distribution systems to protect their interests.
Currently, we have integrated about 60 well-known domestic and international brands, and we do brand integration and category management based on different channels, cities, and stores. We also use data such as sales turnover days to improve our brand distribution capabilities.
**Upgrading, Transforming, and Innovating: The Necessary Path for Distributors to Enhance Value in the Supply Chain**
Undoubtedly, distributors have their value and significance. In my opinion, this is mainly reflected in the following aspects:
First, cash flow is crucial for a company, and distributors can solve the upstream manufacturer's capital flow problem.
Second, the sales network that distributors have cultivated over the long term is a significant channel advantage.
Third, distributors specialize in marketing and supply chain services, possessing irreplaceable professional advantages.
Fourth, distributors have an aggregation advantage. Online goods are one-to-one, and their cost is delivery cost, but for distributors, the arrangement of the entire supply chain and intensive supply can minimize costs.
Of course, the distributor link may in the future derive or is currently deriving supply chain financial services.
We should transform the current game model between upstream and downstream into a multilateral co-opetition platform, allowing platform users to share benefits. Therefore, the upgrading and transformation of distributors is also the necessary path for us to enhance value in the supply chain.
**Building a New Model: Comprehensive Service Platform Multilateral Effect Model**
**Singing a Different Tune or Playing a Duet?** — Win-Win Strategies for Distributors and Retailers Han Xiuchao | Founder of Yunlian Brand, Former Marketing Director of PepsiCo
At the root, enterprises are about doing business, and the core of business is people. But I believe that "people" is an empty concept; "people's hearts" are the real existence. In fact, most people's fears come from uncertainty about the future and distrust of others; we may not trust our bosses or subordinates. So to resolve our own fears, we need to do two things: first, be honest with ourselves; second, benefit others.
The maternal and infant channel is quite different from the ordinary FMCG channel: First, the number of consumers in the maternal and infant channel is smaller than in the FMCG channel, the audience is narrower, and the consumption time is shorter. Therefore, the key to the maternal and infant channel is to do a good job in consumer depth. Second, consumers in the maternal and infant channel are more rational and pay more attention to the product itself. Third, maternal and infant products require more professional guidance during sales.
Now many distributors in the maternal and infant industry are confused, but I think brand owners, distributors, and retailers are just concepts; the most important thing is that you know what you are doing. To get rid of confusion, you need to do well in communication and cognition.
Communication. The essence of management and marketing is communication; communication comes from emotion, and communication is the source of cognition. But in daily communication, the state of equality between "you and I" is rare. When things go well, we often stand in a higher position and do not pay attention to the other's feelings and needs. When things go badly, we often feel incompetent, and communication becomes weak. So in communication, we should neither be arrogant nor self-deprecating.
Cognition. Human cognition is divided into two parts in the brain: the left brain's logical rationality and the right brain's sensibility. So marketing should change others' rational and emotional understanding of the brand, and correctly expressing the brand's core viewpoint is important.
In addition to communication and cognition, I will introduce ten specific tactics to help distributors get rid of the current confusion and find a development direction.
**First tactic: No investigation, no right to speak.** Any work must start with investigation, and investigation is not a one-time thing because your terminal customers and consumers are always changing. So distributors should first understand the distribution of stores; second, assist maternal and infant stores in consumer surveys.
**Second tactic: PDCA cycle, i.e., Plan-Do-Check-Act.** Our execution comes from planning, so if we want to improve the company's execution, the key is to do the preliminary planning well. The so-called preliminary planning includes who makes the plan, what the purpose and theme of the plan are, and how to implement it specifically. When we improve our planning ability, we need to guide our customers to execute according to this logic.
**Third tactic: Supervision and tracking.** The key to tracking is to pay attention to the timeliness and frequency of tracking; the higher the frequency, the faster we can correct team behavior. In addition to tracking sales volume, we should also promptly grasp the "four rates": consumer pass rate, entry rate, purchase rate, and repurchase rate. The value of distributors is not only to sell goods but also to supervise with a second pair of eyes and provide corrective suggestions.
**Fourth tactic: WeChat groups.** Currently, distributors mainly promote three types of WeChat groups: groups for distributors and store owners, groups for distributors and store guides, and groups for distributors and key consumers. WeChat groups can also be called "full-time workers" for 24-hour communication. WeChat group marketing to some extent replaces the distributor's route map.
**Fifth tactic: Member stickiness.** Since terminal stores provide the most direct service to consumers, there may be shortcomings. To enhance member stickiness, we must update customer information in a timely manner and provide comprehensive services, such as phone follow-ups and door-to-door service.
**Sixth tactic: Image planning and design.** When doing display and image design, we must have clear themes, unified images, bold innovation, budget integration, and form synergy with retailers. In my opinion, future retail competition will definitely be competition among brand owners, distributors, and terminal stores on a united front; when one prospers, all prosper, and when one suffers, all suffer.
**Seventh tactic: Seize key nodes.** The most important thing in marketing is to grasp the rhythm and promotional timing to create festivals, giving consumers a sense of getting a bargain.
**Eighth tactic: Create an event atmosphere.** Events are very important for marketing; the event site is the place that most influences consumer emotions, and once the atmosphere is recognized, it can make consumers make purchase decisions. At the same time, the price advantage at the event site also gives consumers the pressure of "miss this chance, and you'll never get it again."
**Differences between Maternal and Infant Channels and FMCG Channels**
*Image source: Han Xiuchao's seminar PPT*
**Ninth tactic: Form packages.** New products generally have higher gross margins, while mature products have relatively lower profits. If retail stores do not pay attention, they will miss the opportunity to cultivate new products and thus fail to obtain higher gross margins. So distributors should launch suitable packages for users, serving both volume and profit purposes.
**Tenth tactic: Emphasize team building.** Team is crucial for a company, and to make employees passionate, we need to do two things: First, build a platform. Since management energy is limited, we should try to build a large platform so that employees feel like they are starting their own business, as the saying goes, "Those who benefit themselves survive, those who benefit others last." Second, carry out team building and training for store guides. As an extension of the brand, training guides can increase their experience and promote their enthusiasm.
At the root, enterprises are about doing business, and the core of business is people. But I believe that "people" is an empty concept; "people's hearts" are the real existence. In fact, most people's fears come from uncertainty about the future and distrust of others; we may not trust our bosses or subordinates. So to resolve our own fears, we need to do two things: first, be honest with ourselves; second, benefit others. And many people's inner anxiety mainly stems from distrust of themselves, which requires continuous learning and improvement to solve.
This article is excerpted from the September issue of "China Maternal and Infant"
**▼Click "Read the original" to install the Maternal and Infant Micro Report to grasp the latest industry trends** (= ̄ω ̄=)


---

## Citation metadata

- Publisher: New Distribution
- Author: CBME 中国
- Published: 2016-10-14
- Canonical: https://xinjignxiao.com/en/articles/the-awakening-of-distributors-no-more-anxiety-and-confusion-after-readin-ecf23e5f/
- Original source: https://mp.weixin.qq.com/s/QG6yScR4WwKjrrADXQy1UA

## 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