Lao Cunzhang is another industry anomaly besides Niulanshan in the era of mass-market liquor. Because it is not a listed company, it is not easily noticed and exploited by the keen capital market early on. Also, because its selling price is even lower than Niulanshan, it is regarded as an un-copyable outlier by most mainstream enterprises in this industry that pay taxes in a standardized manner. However, after multiple verifications, Weijiu speculates that its actual sales may be astronomical. Considering multiple factors such as reasonable avoidance of low-end liquor tax burden, authorized remote bottling, and sales discounts, many industry experts speculate that the actual shipment sales may be close to 6 billion yuan, but this data has not been confirmed by the manufacturer. In 2013, its sales reached 6 billion yuan; the company mainly producing Guangping wine made a profit of over 600 million yuan. In Hebei, Henan, Shandong, Tianjin, northern Anhui, and northern Jiangsu, it is the number one Guangping wine brand, and it is developing strongly in Zhejiang, Guangdong, Guangxi, Hunan, and Hubei. It has always been imitated but never surpassed. It is the low-key, people-friendly, and connotative Lao Cunzhang. What made it the leading brand in the Guangping wine market? What made it firmly occupy the consumer mind of China's working class? And what made it invincible in competition with local white wine brands across the country? Brand Positioning: 'Mass-Market Wine, Common People's Wine' In terms of brand positioning, Lao Cunzhang does not go for high-end. It always adheres to the 'mass-market wine, common people's wine' route, targeting migrant workers and low-end working classes, and insists on making low-end products its core strategy. Based on this brand positioning, it focuses on the three-level main markets of counties, townships, and villages, steadily and deeply. Most importantly, it aims to be a national brand and never regards itself as a local northeastern brand. Low-Cost Main Product Aggregation Price System Ensuring Profit '1+1+1+3' Strategic Implementation In terms of operational strategy, Lao Cunzhang has long adhered to the '1+1+1+3' strategy. What is the '1+1+1+3' strategy? 1 core competitiveness, 1 high-altitude media support, 1 reasonable excellent dealer layout, and 3 represents high distribution rate, high flexibility in promotions, and high-quality service. The core competitiveness that Lao Cunzhang insists on is 'high profit created by low cost'. In the past golden decade, high-end liquor flourished under the support of the government system, and cost awareness was almost forgotten by the industry. However, what Lao Cunzhang meticulously cultivated is this 'low-cost' high-profit soil that the industry has forgotten. The profit advantage brought by 'low cost' is very obvious and direct: with price difference plus product policy, each 11-yuan bottle can give the terminal 2-3 yuan profit, and the dealer can have 20-30 yuan per box profit; each 6-yuan bottle can give 0.8-1 yuan profit, and the dealer can have 10-15 yuan per box profit. The low-cost advantage of Lao Cunzhang mainly comes from the following four points: 1) Integrating small distilleries for 'remote bottling'; 2) Alcohol blending and simple packaging materials; 3) Scale effect, making raw materials and promotional items cheap. 4) Recruiting strong dealers, market development and maintenance can leverage dealer resources. In terms of media placement, Lao Cunzhang focuses resources on high-altitude media. From the full product placement in Rural Love 1-7, which became popular from CCTV to local satellite TV, it brought Lao Cunzhang wine to every consumer who loved the drama. This is like another interpretation of the intimate couple of The Voice of China and JDB, but the difference is that Lao Cunzhang achieved brand upgrade in its communication: Phase 1: Fan Wei endorsement, celebrity effect, playing the emotional card, taking the people-friendly route. 'Don't treat the village chief as a non-cadre' Phase 2: Create word-of-mouth effect, spread product quality 'good taste, comfortable to drink' Phase 3: Brand upgrade, advocating positive and upward, 'live well, improve every day' In terms of dealer layout, Lao Cunzhang integrates excellent dealer resources and achieves high efficiency in regional markets through the high cooperation of one excellent dealer. Lao Cunzhang generally selects large-scale dealers in various places as agents. In terms of selection criteria, it first chooses excellent dealers with good market foundation, great influence, engaged in liquor or food and beverage, with strong channel network and personnel distribution capabilities. Its customer layout generally has two ways: 1) Prefecture-level city customers direct distribution model, directly selling to the urban market of the prefecture-level city, and selecting distributors in core counties. 2) County-level customer direct distribution model, direct selling in county urban areas, and selecting distributors in key towns. On the basis of the three '1's, it achieves absolute market occupation through high distribution rate, high flexibility in promotions, and high-quality service. Use high distribution rate to achieve channel occupation: Ø Deep cultivation of county, township, and village strategic orientation. Most mid- and low-end liquor enterprises' operation of the rural market is just an inertial behavior, without a real strategic orientation, just to sell products. But Lao Cunzhang has a clear three-link grid project for county, township, and village markets: build the three links of people-to-people, road-to-road, and village-to-village, grasp the terminal coverage rate in county towns, grasp the distribution capability of network township and village terminals, grasp the control capability of effective terminals, main push capability, and self-order rate. Especially in the village-to-village project, the manufacturer requires and assists county-level dealers to enter every natural village of every township regularly, regularly promote products, distribute goods, redeem prizes, follow up, and communicate with village-level retail outlets. Ø Commando team assistance. Periodically adopt concentrated突击 actions, generally divided into two types of concentrated突击 support: one is purely promotional brand promotion, concentrating a large number of vehicles (all with promotional vehicles), convoy touring display, playing promotional broadcasts. The second is channel product promotion, concentrated distribution, the manufacturer sends business commandos to provide supportive personnel promotion to the market. The commando team members have a monthly salary of 8,000-10,000 yuan, very strong combat effectiveness. Generally, within half a month, they can quickly complete the construction of 80% of terminal outlets in the county market and stir up the atmosphere. The invested resources are completed by the commando team from the manufacturer to the terminal vertical investment, which can strengthen dealer confidence in the short term, then hand over to the dealer team for market maintenance, and then the commando team moves to other markets for rolling development. Ø Monthly distribution normalization. Almost every month, a round of distribution is carried out, whether in the off-season of white wine in the hot summer or in the cold winter. For example, in a county market, it fully covers the terminal outlets of the county urban area plus more than 10 townships and every natural village under its jurisdiction. Use high flexibility in promotions to achieve sell-through: Ø Prizes are set according to the dealer's region and product introduction timing. The promotional item supplier is selected by the regional manager. The product prize coupons are made by the regional manager with the dealer and sent to the manufacturer, and placed inside the bottle cap during production. Ø Whether for terminals or consumers, Lao Cunzhang's promotional activities are flexible and varied, with many gifts. Through ladder promotions, in short, they are all daily necessities for the people, extremely attractive. Through the pull of prizes, it increases the terminal customer's push power and consumer purchasing power. Common promotional practices can be summarized into the following five aspects:

  1. There is a lottery note inside the bottle cap. The most common prize is a lighter, and others include electric bicycles, color TVs, refrigerators, rice cookers, electric baking pans, and other daily necessities close to consumers. And with the overall improvement of people's living standards in recent years, the quality and grade of these promotional items are also upgrading.
  2. Buying a whole box of Lao Cunzhang wine gives a free wine glass.
  3. Collect bottle caps to exchange for gifts. The more bottle caps collected, the better the prize.
  4. Cash in the bottle cap. Sometimes it may be RMB, sometimes US dollars.
  5. During major festivals, promotional activities are held, such as giving towels, socks, stainless steel bowls, rice cookers, belts, etc. In short, they are all common necessities for the people. Use standardized organizational management to achieve high-quality service to stabilize the market: Ø FMCG-style management. Establish terminal work maps, formulate visit routes and return visit routes, implement standardized visit operations for terminals. Product orders, display, visualization, atmosphere creation, customer relationship maintenance, promotion execution, etc., all have operation standards, and there are supervision, evaluation, and assessment mechanisms to ensure terminal work quality. Management is tabulated and institutionalized: through a series of tables to manage the work process of business personnel, such as formulating customer sales plans, terminal return visit forms, terminal visit information forms, terminal development forms, inventory management, promotion forms, etc.; through a series of work systems to check and improve work execution effects, such as morning and evening meetings, weekly meetings, monthly meetings. Ø Work standardization. Terminal visualization 'six have': that is, have customer information registration, have business contact cards, have POP, have explosive stickers marking prices, products have samples, display has momentum, etc. In addition, the business manual also has detailed terminal distribution skills, including interest attraction, promotional policies (buy gifts, discounts, practical promotional items), competitive stimulation: create scarcity (limited quantity, limited time, limited number of participants, limited participation conditions). Prize sales (lottery, box-opening prizes, batch number lottery), etc. Ø Considerable income guarantee. Dealer business personnel have a monthly income of 2,000-5,000 yuan, far exceeding peers, high enthusiasm, and low turnover. After seeing Lao Cunzhang's野蛮 growth path, we will find that its core successful model is 'low cost + high efficiency'. Low cost has barriers, and its replication is somewhat difficult. But the awareness of 'low cost' must be there. During the industry adjustment period where the mass-market wine trend is inevitable, it is difficult to achieve profit growth through the 'excessive profits' of high-priced products. Therefore, liquor enterprises must first confirm the development strategy centered on mass-market wine, and secondly, establish a strong 'low cost' awareness. And high efficiency is more meaningful for us to learn from. What is high efficiency? In the final analysis, it is organization. In today's homogenized marketing methods in the liquor industry, it is difficult to bring long-term high growth through innovative marketing actions. Only by making improving operational efficiency the strategic core of the company's development, like Lao Cunzhang, through clear division of labor, applying effective actions to the extreme at specific points and summarizing them into models for promotion on a broader scale. The author believes this is the greatest value and profound thinking that Lao Cunzhang brings to our liquor industry. The following is Lao Cunzhang's terminal visit process manual, with professional and detailed content, worth learning for everyone in the industry: 1: Preparation before entering the store Need to prepare: Contact cards, posters, price tags, hanging tags, towels, transparent tape, marker pens, double-sided tape, customer information, sample wine! Before entering the store:
  1. Put the prepared small materials into the tool bag, carry promotional materials, and observe the position where the store pastes promotional posters.
  2. Tidy up your appearance and prepare to enter the store. 3: After entering the store Greet with a smile and confidence, briefly introduce yourself, communicate with the boss easily, happily, and naturally, and politely understand the sales status of our products and competing products. 4: Organize the shelves While the boss prepares the prize tickets, we organize the shelves:
  3. First choose the best position (adopt the principle of high rather than low).
  4. Wipe the dust on the shelves and bottles clean.
  5. Maximize the shelf space, 1-2 more facings than competitors.
  6. Paste price tags, mark prices, and use double-sided tape and transparent tape to paste. 5: Redeem prizes for customers 6: Suggest orders Terminal order formula: Off-season order = (last period inventory + last period purchase - current period inventory) * 1.5 Peak season order = (last period inventory + last period purchase - current period inventory) * 2 Timely replenish customers to ensure safe inventory during the visit cycle 7: Leaving the store
  7. When leaving, say to the boss: 'Wish you a prosperous business, I will visit you again next week *.'
  8. Paste promotional posters: seal the edges with transparent tape and paste firmly. 8: Register customer information Register the store's information in a timely manner. At the request of the majority of dealer friends, the third phase of the B-end e-commerce inspection class of this public platform will inspect three platforms: Wanshang Yizhan, Yunbao Shangmeng, and Weijie Chengpei from July 9-12. Dealer friends with transformation intentions can come and inspect with us on the spot: Organization Form ************1. Company visit
  9. Actual market case visit
  10. On-site explanation
  11. One-on-one communication************ Participating dealer friends only need to pay a registration fee of 200 yuan. Time: July 9-12, 2016. Location: Changsha, Xiamen Interested dealer friends can register by long-pressing the QR code below. When adding friends, please reply 'Phase 3 registration'. Previous inspection enterprise cases:**** Yishang Logistics Model Inspection (Second Phase B-end E-commerce Inspection Group Yishang Logistics) Cai Ba Model Inspection Jinhuobao Model Inspection Beiquan Model On-site Inspection Piduoduo Model On-site Inspection -END- The best FMCG dealer learning platform in China Focusing on providing professional, practical, and practical tutorials for enterprises and dealers Committed to helping Chinese FMCG dealers 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 Dealer market operation | 003 Terminal visit management | 004 Sales supervisor skills | 005 Sales improvement skills | 006 Channel expansion | 007 Managing dealers | 008 Dealer development | 009 Dealer internal operation management | 010 Team management | 011 Efficient distribution skills | 012 Sales manager's eighteen skills | 013 KA operation method strategy | 014 First lesson for new sales | 015 Internet, brand | 016 Dealer B2B transformation | [Long press QR code to follow]