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FMCG distributors have largely bid farewell to the era of 'sit-down merchants.' Most now use vehicle sales or pre-sales for market cultivation and 'proactive' marketing. The bigger the brand, the more meticulous the approach; pre-sales and high-frequency follow-ups are standard tasks for terminal staff. To some extent, this follows manufacturer guidelines, but more so reflects the awareness and recognition of new-type distributors under new circumstances, who cooperate with manufacturers to execute and explore new competitive methods, joining the broader trend. Of course, many veteran distributors who experienced the 'sit-down merchant,' 'bulk circulation,' and 'wholesale' eras, often older and facing disproportionate profits, have not fully transformed their thinking. They lack focus and don't fully embrace certain new operational models and methods from manufacturers, going through the motions reluctantly. This leads to significant variations in brand performance across regions due to distributor differences, not just manufacturer strategy issues. Many new methods fail because distributors don't truly implement them, and many lack genuine ideological recognition and drive. New-type distributors should ideally surpass manufacturers in thinking and vision, running ahead, seizing initiative, seriously analyzing the status quo, and promptly following up on market changes to push themselves harder.

Case Review: In Market A, Distributor Mr. Wu has been in FMCG distribution for 8 years. Though not highly educated, he once leveraged his boldness and drive to become a top regional distributor for a well-known functional beverage brand. In the past, seizing opportunities and distributing goods for quick sales made 'counting money' easy. But in today's brand-explosion era, products compete fiercely, homogenization is severe, and the battleground is service and profit. Regional competitor Q was once on par with Mr. Wu's product, with Mr. Wu's brand even slightly ahead due to its longer history. However, the market has quietly shifted: Competitor Q's visibility has increased, appearing on shelves in stores Mr. Wu didn't serve, even in key village-level stores, and moving off shelves, signaling a 'breakthrough' in rural markets. In response, the manufacturer required Mr. Wu to add staff for deep distribution, add vehicles to refine market coverage and improve service and logistics, and mandate five-day follow-up visits by sales staff to deepen customer relations and service quality. Despite seeing the competitor's advance, Mr. Wu remained dismissive, stubbornly believing that many insignificant small shops and village stores, given current consumption levels, couldn't afford his products and wouldn't generate sales—at best, they'd improve shelf appearance. As for village-level image stores, logistics costs were too high; refining township coverage would require more staff and vehicles, with uncertain returns and heavy investment. He adopted a wait-and-see attitude. Thus, Mr. Wu paid lip service to cooperation but undercut execution. Some salespeople still covered 4-5 townships each, focusing only on high-volume stores, with irregular visit frequencies and delayed deliveries due to limited vehicles. Meanwhile, key competitors had already implemented deep distribution, strengthened outlets selling their products, increased visit frequency requirements, and added vehicles to support follow-up. Their sales doubled, and the investment in staff and deep distribution paid off with high profit growth and strong market presence. Within less than a year, their market share jumped from 30% to 60%, shifting from a three-way split to near dominance. Mr. Wu, however, felt mounting pressure: sales declined, profits shrank, and task pressures piled up. Brand power waned, and returns and exchanges surged abnormally.

Mr. Wu's outcome is self-evident. His complacency, refusal to visit the market, and reliance on outdated judgments hurt him. Today's township and rural consumers show a strong 'follow-the-trend' mentality; their younger demographics have significant purchasing power. One cannot view market coverage with old eyes. During festivals and gift-giving, many rural consumers avoid low-end products, instead choosing items advertised on TV or widely sold in the market—not just for face, but because consumption habits are shifting toward branded products. Additionally, competitor Q's aggressive push may face initial 'growing pains' like slow movement, but as they optimize channel positioning, select product categories correctly, control quantities based on outlet demographics, and promote through advertising, deep distribution will create ripple effects, gradually building a positive sales atmosphere and new product recognition. The fast-paced lifestyle is a trend; impulsive and multi-channel purchasing are future consumer behaviors. Well-known brands with correct category selection and deep distribution will ultimately reap both sales and brand rewards. Competitor Q's fierce offensive poses a major threat to Mr. Wu, who has no counterattack, potentially making Q the regional leader, leveraging its strong network to defeat weaker rivals and expand its share. Mr. Wu's case is worth reflecting on.

What basic ideological threads should channel distributors adopt to tackle future sales models? Here are my suggestions for brand distributor operations.

Salute to the Shift Toward 'Efficient Execution' Many 'old-school' distributors have heard manufacturers clamor about 'execution' in recent years. Execution is an effective response to intense market competition; the 'fast fish eat slow fish' phenomenon is spreading, threatening brands, products, distributors, regional markets, and profits. These threats compel efficient execution to seize new opportunities and solidify one's territory. Distributors no longer sit around idly chatting about grand ideas; they discuss concrete marketing practices—how to do the market well and the strategies and details involved. Efficient execution requires new-type distributors to have this awareness and then delegate to their teams. Efficiency yields high performance. Simply put, efficient execution means team members complete assigned tasks without excuses, resolutely and perfectly within deadlines. It requires a thorough understanding of the market, deploying the right people for the right tasks, optimizing team configuration, and assigning responsibility. Emphasize team obedience, goals, results, and speed. Distributors must first embody this spirit, and teams must cultivate it. Then, through division of labor, system control, and incentive assessments, distributors drive a culture of execution. For example, distributors or managers can first establish standards for business processes, making execution results comparable, allowing teams to correct their performance. Provide specialized 'efficient execution' training, instill techniques and concepts, track and correct during execution, achieve results, analyze and summarize outcomes, and set standards. With standards, people know how to do things; knowing how saves time; saving time leads to efficiency. Efficient execution for distributors and their teams should aim to quickly solve real market problems, not be too abstract. Since distributor teams handle grassroots tasks, focus on solving market issues. Break execution into subcategories: display standards, promotion execution, basic market information feedback, market development progress, etc. Provide upfront guidance on how to do it, then assess performance. Gradual execution training and sound assessment systems will build an efficient execution team suited for frontline markets.

Salute to the Shift Toward 'Service Operations' Compared to the past, better distributors have channel awareness—they don't just stay home but visit the market to connect with 'big accounts' for distribution, though they may not chat with small shop owners. Channel operations focus on the channel as the main line, often treating 'distribution' as the end goal—getting products to terminals. But today's competitive landscape no longer allows this. A retailer can choose from at least three well-known brands for a single SKU; they don't have to sell your product. Similarly, end consumers don't have to buy your product. Facing this pressure, distributors must serve retailers well: first complete the initial distribution, then provide ongoing service to terminal retailers, caring for small outlets, and also serve consumers. For retail stores, distributors should establish reasonable rebates, rewards, and display systems, use customer relations, high-frequency visits, shelf restocking, product organization, poster posting, and in-store promotions to build stronger ties. Timely delivery and efficient returns/exchanges are crucial. Use service to build trust, trust to gain support, support to reduce costs, and savings to improve channel efficiency. The key is the awareness of serving retail terminals well—distributors must have it and instill it in every team member. Good service also lays the foundation for future new product launches. Without prior quality service and customer relations, retailers will only sell established bestsellers that require less promotion and hassle—often low-margin products for distributors. The shift to service operations creates additional value in a low-margin era. If any manufacturer or distributor views service as a cost or burden, they're mistaken. Service transformation is necessary and value-creating. Many leading companies like Coca-Cola and the recent hot red-can Wanglaoji meticulously serve every channel, regardless of store size, with standard, superior service that impresses every retailer. Second- and third-tier brands often struggle to compete head-on with leading brands, complaining about weak brand pull, but many fail to reflect on key questions: 'How much better is your service than your competitor's? Why do retailers not sell your product despite higher margins? Why does your product not move despite advertising?' There are many reasons, but a crucial one is weak 'service operations' awareness—service isn't implemented or executed. Without good service, store owners won't buy in, won't push your product, won't give shelf space, won't post posters, or even provide basic displays. How can you compete? Seriously examine the meaning and value of service. Remember: even if you're a big brand, terminals have substitutes without you! Consumer service awareness also needs enhancement. Execute terminal promotions properly, e.g., standard tasting events with well-groomed, articulate, approachable promoters offering free samples, small gifts, and product selling points, making consumers feel your promoters are professional and hygienic, willing to try your product. Use consultative selling by guides to build consumer trust. Also, promptly track and resolve consumer complaints to maximize satisfaction, enhancing brand awareness and reputation.

Salute to Deep Distribution Deep distribution has been a buzzword for years. Leading brands implement it unwaveringly; many second- and third-tier brands follow suit, not to be outdone. Results vary due to competitive differences, but the key is whether distributors have the awareness and whether their teams have qualified personnel for deep distribution. If these two are met, plus manufacturer support in costs, promotional materials, and terminal activities, distribution can be executed with a people-oriented, profit-centric, scientifically managed, and uniformly implemented approach. Deep distribution not only boosts sales and distributor profits but also strengthens brand pull, creates a positive sales atmosphere, and generates ripple effects like terminal group buying, word-of-mouth for leading brands, channel control, and leverage for new product launches—both tangible and intangible value. Every distributor in the channel must reflect on which channels are uncovered and how to develop them, rather than dismissing outlets as unviable when criticized. Some beverages sell in internet cafes, some in rural areas, some in hotels, some milk products in beauty salons and bakeries—many opportunities remain untapped. Why do similar brands achieve different results? In some remote suburbs, you might find a certain mineral water brand in a single store, whether through direct distribution or via secondary wholesalers. The goal is to maximize product availability and visibility. Conversely, many well-known brands lose to local regional brands due to weak deep distribution; many big brands have poorer coverage than second-tier brands because of distributor thinking and capability. I believe the root cause is the distributor's lack of this philosophy, leading to such outcomes.

Deep distribution will gradually yield visible results. The awareness of deep distribution requires distributors to have sufficient personnel and vehicles matched to the number of channel outlets, use quality staff to thoroughly cover channels, and firmly control the channel. Without channel advantages, a distributor's bargaining power diminishes. Deep distribution awareness and practice are about laying a solid foundation for one's future business: with enough distribution outlets and a strong ground force, you can support sales pressure and profit drivers, make manufacturers more satisfied with cooperation, gain better support, enhance your local reputation and trustworthiness, and lay groundwork for entering other product categories. Without deep distribution awareness, you'll stagnate in your region or be squeezed by competitors, potentially losing distribution rights for strong brands. Many distributors operate extensively due to lack of concepts, talent, and marketing methods. The result is poor terminal control, unsmooth logistics, and severe information loss. In this extensive model, most distributors rely on traditional wholesale and retail networks to sell products, unable to meet diverse consumer demands, leading to complaints about sales pressure and low profits, insufficient distribution networks, product returns, and near-expiry goods. Neglect of small terminals, lack of special channel development, unpreparedness for group buying, and incomplete modern channels lead to stagnant sales. In the fiercely competitive FMCG terminal, deep distribution's significance lies not only in controlling the sales process and grasping competitive dynamics but, more importantly, in building a stable platform for brand performance, establishing a closed distribution system, and laying the foundation for strengthening brand market performance.

New-type distributors bear the burden of a diversified, high-temperature era. Shifting and practicing new concepts, getting closer to the market, and being more explosive are essential. Channel refinement, efficient team execution, and enhanced service concepts are the three main new growth points in the current brand competition. Combined with the successful experiences of veteran distributors, they can go further in channel operations.

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