The Most Comprehensive Guide to Operating the Foodservice Channel

The foodservice channel is a window for brand display and direct consumption, making it one of the primary channels for baijiu brand promotion. For high-end products, the foodservice channel mainly serves the functions of creating brand atmosphere and introducing taste; for mid-to-low-end baijiu brands with rapid circulation capabilities, it is an important sales window directly facing consumers. In detail, A and B class restaurants are the main venues for consuming high-end baijiu, where the store manager and owner are core elements for gaining sales momentum in the foodservice channel. Strategies such as tasting events, VIP customer consumption, wedding and birthday banquets, store manager commissions, brand consultant setups, and red tourism programs can be used to turn the store into a group-buying promotion partner and maintenance customer, and to build good relationships with store management to secure stable, high-quality VIP customer resources. C and D class restaurants are the main venues for consuming mid-to-low-end baijiu. These stores are numerous and widely covered, with a low rate of customers bringing their own alcohol. Mid-to-low-end baijiu products can quickly gain market popularity through high distribution rates and fast, flexible promotional activities. The operational difficulties for mid-to-low-end products in the foodservice channel are:

Managing the frequency of promotional activities well, while also controlling the intensity of bottle cap fees according to market changes (introduction, growth, maturity, decline stages);
The foodservice channel has many management links, and the execution and implementation of marketing plans for each link is the key to success in the foodservice channel. The development and maintenance of the foodservice channel is a long-term battle, and the specific operations include the following key points: I. Understand the Basics of the Foodservice Channel
Establish a database of all restaurants suitable for the operation of each product series.
Select 60% of the stores as the annual key operation targets for the foodservice channel.
Divide the development of target stores into 3-4 time periods for advancement.
Understand the total entry cost for all target stores (basically accurate).
Understand the various effective customer relations and promotional activities of competitors in the target stores.
Budget all resources (customer relations and promotions) needed to turn target stores into effective sales-moving stores.
Determine the required promotional staff and undercover promoters.
Combine with the company's modular resources to formulate an annual foodservice execution plan. II. Build a Capable Team
Establish a long-term team jointly composed of manufacturer and distributor personnel.
Clarify regional division of labor (no more than 20 stores per person).
Manufacturer staff do not participate in collecting cash or delivering goods.
Foodservice channel staff should mainly be local experienced personnel (mainly male).
The distributor team should have a person with strong social and networking skills to lead.
The team should have clear, simple, and feasible reward and punishment systems (completed by the city manager and distributor before operation).
The overall team income should be competitive locally.
Maintain team vitality—survival of the fittest, eliminating the stale and bringing in the new.
Set achievable goals for the team and individuals, and fulfill them promptly. III. Regular Store Entry Methods and Trading Conditions A. Regular Store Entry Methods
Customer relations as the main entry method: For stores where the distributor's customer relations can extend, spend little or no money; these are the first choice.
Stores where the distributor operates other product categories: The manufacturer bears part of the cost.
Combined product entry: Bear part of the cost (led by the manufacturer's office).
Selected target stores: Negotiate entry separately. B. Negotiation and Preparation
Identify the actual decision-maker in the restaurant.
Before negotiation, find out the actual price for entry.
Understand the restaurant's credibility and customer base.
Build customer relations first, negotiate later. Avoid unprepared negotiations. C. Agreement and Trading Conditions
Healthy payment collection: 1 month as the standard payment period, rolling settlement; if it exceeds 2 months, there will be major problems. For small and medium-sized restaurants, do not accumulate large amounts; healthy payment collection is more important than any other trading condition.
Product display and clear pricing: Place bottles prominently at the bar. In the hotel's self-service supermarket, display in a prominent central location, and if possible, stack boxes.
For well-performing larger stores, try to achieve on-site promotional staff.
Allow 3-4 staged promotional activities per year, and cooperate fully.
Provide accurate sales figures and inventory status. IV. Selection and Trading Conditions for Core Exclusive Venues In core operating cities, mid-range products must have exclusive venues as support points. A. Quantity Requirements
Provincial capital cities: no fewer than 10-20.
Prefecture-level cities and top 100 counties: no fewer than 3-5.
County-level markets: no fewer than 1-2. B. Exclusive Venue Hotels Must Meet Several Rigid Conditions
High foot traffic and good business.
High credibility and timely payment.
Good customer relations with the hotel, basically controllable by the distributor.
Cooperate with our various activities.
Preferably can guarantee sales volume. C. Forms of Exclusive Venues
Exclusive product entry: Sign an agreement to limit targeted products entering the store, and also limit competitor on-site promotions. After entry, have a relaxed promotion environment and set a model. The target sales for such hotels are 20-40 boxes/month, with annual sales no less than 250 boxes. Cost standards vary greatly by region, but the principle is to control exclusive venue costs at around 40% (factory price).
Exclusive promotion: Sign an agreement to allow some targeted products to enter, but not allow competitor promotions. The cost investment for such hotels is much smaller than the previous type. Monthly sales for such hotels should be no less than 10-20 boxes, with exclusive venue costs controlled at around 30% (factory price). D. Image Packaging for Exclusive Venues In the exclusive venue agreement, stipulate permission to decorate the hotel inside and out, such as brand-named private rooms, hanging paintings in rooms and elevators, seat covers, and complete promotional materials like ashtrays, wine pourers, and drink menus. E. Mastering the Operational Steps
Order: First do exclusive and core stores, then general stores;
Steps for exclusive and core stores: detailed investigation → exclusive venue negotiation → customer relations activities → image decoration and promotional materials → free small bottle tasting activities → regular promotion → sales-boosting activities (consumer promotions, waiter reward activities, activities targeting store owners) → payment collection and long-term maintenance. V. Effective Customer Relations Communication Who does customer relations: In operating the foodservice channel, customer relations are the foundation for sales, promotions, and payment collection. Customer relations are a joint effort, but the distributor should play a greater role. If relying on the manufacturer's reputation first, costs will be higher. A. Hotel Owner
Tangible benefits: rebates, store interior and exterior decoration, waiter uniforms, joint promotions to attract business, empty bottle exchange for wine, etc.;
Friendship: The distributor's friendship with the hotel owner, providing some tasting wine to the owner's friends or regular customers (similar to small tasting events).
Leverage: The distributor's network may have people who can influence the hotel owner, but this method should only be used during entry negotiations. After entry, still conduct business normally; otherwise, the owner may become more resistant.
Face: Foodservice channel colleagues or key distributor leaders should frequently visit the hotel owner or dine at the hotel, give gifts, and establish a familiar or recognized relationship. B. Lobby (Marketing) Manager, Head Waiter
Tangible benefits: A one-time customer relations gift or cash of 1500-2000 yuan every six months, not linked to sales.
Friendship and networking: Periodically (twice a year) give wine or gifts. C. Key Waiters, Order Takers
Tangible benefits: Monthly salary subsidy of about 200-300 yuan, tied to a certain monthly basic sales volume, cumulative bottle cap rewards, etc.
Care: Give gifts to their parents once or twice a year, and hold small networking gatherings. D. Customer Relations for Logistics Support
Finance: Mainly handled by the distributor. Determine the method based on the financial staff's identity. If not a close confidant (relative) of the owner, use some gifts and small cash; if a relative, use small gifts and meals to build rapport.
Front desk (bar), warehouse keeper: Rely on frequent communication and diligence, plus some practical small gifts. Do not use excessive customer relations efforts for the above two aspects. Tips:
The above lists various customer relations aspects, but in practice, you cannot cover everything. The key is to find the breakthrough point and focus.
For more important customer relations targets, brand specialists or key distributor personnel should participate to prevent wasted effort due to staff turnover.
The distributor's customer relations activities should dominate. VI. Selection and Implementation of Promotional Activities A. Regular Promotions After Entry
Use 100ml small bottles, choose 7-15 days, and give each table a small tasting in private rooms (after guests are seated, give a brief recommendation and emphasize the price).
Key promotions: After the tasting activity ends for a period, use limited-time buy wine get XX gift activities. The gifts should be exquisite, practical, or have some recognition, such as high-end cigarette holders or popular local cigarettes, or famous cigarettes. After this wave, consider placing prize coupons in the wine box to reduce promotion costs.
Targeted promotions: For frequent customers, who are somewhat familiar with waiters or the lobby manager, offer free tasting of a full bottle (unpackaged). B. Promotions to Boost Sales
Targeting the store owner or key personnel ★ Also can use a 1-month activity where several empty bottles exchange for one bottle of this product. ★ After entering the hotel, if all parties cooperate well and there is a certain base sales volume (monthly sales of 30 bottles or more), use a 1-2 month activity where exceeding last month's sales results in full waiver of the bill. This stimulates the owner to fully encourage waiters to promote. ★ Cumulative rewards: Within a certain period, if the store reaches a certain number of bottle openings, reward with an Apple phone or computer. ★ Travel rewards.
Targeting both store owner and consumers: Joint promotions for wedding and birthday banquet policies, holidays, store anniversaries, etc. If consumption at the hotel reaches a certain amount, give one bottle free.
Promotions to use cautiously: Buy wine get food, buy wine get the same product. These have weak perceived value and poor taste, promoting for the sake of promotion. Tips:
When formulating promotional activities, cities must consider effectiveness and sustainability, and ensure alignment with brand positioning. Do not formulate policies just to use up the budget!
The specific forms of promotional activities can be innovative locally; otherwise, when consumers feel no novelty, the effectiveness will greatly diminish.
Once a promotion plan is determined, those involved in execution must understand it clearly, then execute. Brand specialists should conduct spot checks at hotels and evaluate results. If effective, promote widely; if not, find the reasons and adjust promptly. VII. Promotion Publicity and In-Store Publicity A. Promotion Publicity
All consumer promotions conducted in hotels need to be publicized through X-stands or other forms. Promotions without notification are wasteful.
Placement of promotional materials: at stairwells, elevator entrances, and other places consumers must pass.
Production requirements: highlight one key element; do not use multiple descriptions or add sentences. B. Image Publicity Mainly for well-performing specialty stores, you can do large-scale image spray painting inside the store or along the windows. For some B-class stores, consider using table and chair covers for image publicity. Always make a small sample to check the effect before mass production. VIII. Use and Management of Promotional Items
Several practical gifts Wine pourers, ashtrays, ballpoint pens, lighters, 100ml small bottles, high-end cigarette holders, etc. Except for lighters, all are made at the company headquarters, and each business area applies uniformly.
Management of promotional items The responsible person is the brand specialist. They must create files for use, establish usage procedures and verification forms, and prevent loss at each stage. For lost items, the brand specialist must bear part of the economic responsibility. IX. Main Work and Related Points for Promoters A. Main Work Promoters mainly build good relationships with waiters and lobby managers in the store; secondarily, they directly sell or carry out promotional activities, maintain product and promotional material displays, grasp real-time inventory information, and feedback competitor dynamics. B. Stabilize Long-Term Promoters An excellent promoter can be half a salesperson. Excellent promoters are often discovered by salespeople during store visits through more contact; then create a good working atmosphere and more human care. Relatively stable and good income is the premise. The presence and quality of promoters depend on the frequency of salesperson visits and communication skills. Frequent loss and turnover of promotional staff indicate major problems in the team. C. Targeted Training Professional training (promotion skills, product knowledge, and selling points) is one part. This part should be summarized in a few simple, easy-to-remember sentences that everyone can memorize and recite fluently. Additionally, it is important to train skills in dealing with people and the degree of dedication to work. D. Selection of Undercover Promoters For some hotels that do not allow promoters or are large in scale where one promoter cannot cover, consider selecting undercover promoters in the hotel. Undercover promoters must be those who have worked in the hotel for a relatively long time, have good overall qualities, and maintain confidentiality. E. Use of Undercover Promoters
Monthly subsidy: 200-300 yuan, plus normal bottle cap fee income.
The monthly subsidy should be tied to a certain base sales volume. If the base sales volume is not reached, only the bottle cap fee is given; if reached, both are given. Business colleagues should take time to train undercover promoters on Langjiu knowledge. X. Determine Detailed Goals and Timetable
Determine achievable monthly work goals Work Content | Work Goals Shipment volume | Number of store entries | Number of bottle openings | Promotional activities | Personnel recruitment | Distributor establishment | Promotional material production | Others |
Break down goals Break down to individuals: assign the above specific goals to each person, each time period, with clear division of labor and time requirements.
Develop executable plans: After determining specific goals, jointly negotiate and develop executable monthly detailed plans, and be sure to solicit the opinions of the merchants. After the plan is formed (and approved by the company), take time to have the executors present the plan to stimulate enthusiasm and ensure everyone knows it.
Promotion and inspection: The city manager should conduct a field inspection of the promoted plans and goals at least once a week to ensure progress and quality, and promptly find solutions to problems. Brand specialists should spend no less than 2 days per week on field work in the foodservice channel. XI. Effective Meetings
Morning meetings: Use every morning (must be completed before 9:30) to check the previous day's work and arrange the day's specific tasks.
Weekly meetings: Use weekends or evenings to address the progress of last week's work deployment and goal achievement. The theme should be clear, brand specialists should prepare in advance, and the meeting should have results and clear instructions.
Monthly meetings: Review last month's various work indicators and achievements, discuss this month's specific work content and methods, determine the promotion timeline, specific responsible persons, and achievement indicators, and arrange appropriate dinners to boost team morale. -END- Quality Product Promotion Speed 8 Taurine Vitamin Functional Drink Recruiting distributors nationwide for blank markets Reasons for recommendation: Superb taste and quality International superstar Donnie Yen as brand ambassador, precise and powerful Patent packaging design Strong corporate strength High profits, professional operation team and after-sales service Wealth Hotline: WeChat: lp780611 [Long press QR code to add WeChat for consultation] For more information, follow the WeChat official account: Tuba Ge Food Shandong Tuba Ge Group Co., Ltd. The best learning platform for FMCG distributors in China Focusing on providing professional, practical, and applicable tutorials for enterprises and distributors Committed to helping Chinese FMCG distributors grow rapidly The most professional and practical knowledge base in the FMCG industry Reply with the red number below to get the corresponding content Reply with number 1 to view the complete knowledge base | 001 Excellent Article Selection | 002 Distributor Market Operation | 003 Terminal Visit Management | 004 Sales Supervisor Skills | 005 Sales Improvement Techniques | 006 Channel Expansion | 007 Managing Distributors | 008 Distributor Development | 009 Distributor Internal Operations Management | 010 Team Management | 011 Efficient Distribution Techniques | 012 Sales Manager's Eighteen Skills | 013 KA Operation Methods and Strategies | 014 First Lesson for New Salespeople | 015 Internet, Brands | [Long press QR code to follow] To join QQ/WeChat groups, click: Read Original