---
title: "Wuliangye, Luzhou Laojiao and Others Enter Private Domain, Channel Reform in the Alcohol Industry Officially Arrives"
description: "Private domain has built a field for alcohol companies where data is visualized and customers can be repeatedly reached. This field will become a lever to leverage huge social traffic, not only allowing alcohol companies to directly reach C-end but also better empowering distributors."
author: "陈峰"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2020-12-15"
language: "en"
canonical: "https://xinjignxiao.com/en/articles/wuliangye-luzhou-laojiao-and-others-enter-private-domain-channel-reform-123d8344/"
markdown: "https://xinjignxiao.com/en/articles/wuliangye-luzhou-laojiao-and-others-enter-private-domain-channel-reform-123d8344.md"
original_source: "https://mp.weixin.qq.com/s/cJUjFTjjNPTXAZ9Bvc2glA"
translation: "https://xinjignxiao.com/zh/articles/%E4%BA%94%E7%B2%AE%E6%B6%B2-%E6%B3%B8%E5%B7%9E%E8%80%81%E7%AA%96%E4%BB%AC%E7%BA%B7%E7%BA%B7%E5%85%A5%E5%B1%80%E7%A7%81%E5%9F%9F-%E9%85%92%E7%B1%BB%E6%B8%A0%E9%81%93%E5%8F%98%E9%9D%A9%E6%AD%A3%E5%BC%8F%E5%88%B0%E6%9D%A5-123d8344.md"
attribution: "New Distribution — https://xinjignxiao.com/en/articles/wuliangye-luzhou-laojiao-and-others-enter-private-domain-channel-reform-123d8344/"
usage_policy: "https://xinjignxiao.com/ai-policy.txt"
---

# Wuliangye, Luzhou Laojiao and Others Enter Private Domain, Channel Reform in the Alcohol Industry Officially Arrives

> Private domain has built a field for alcohol companies where data is visualized and customers can be repeatedly reached. This field will become a lever to leverage huge social traffic, not only allowing alcohol companies to directly reach C-end but also better empowering distributors.

**Private domain has built a field for alcohol companies where data is visualized and customers can be repeatedly reached. This field will become a lever to leverage huge social traffic, not only allowing alcohol companies to directly reach C-end but also better empowering distributors.**
**-01-**
**"Big Players" in the Alcohol Industry's Private Domain**
This year, Yang Bo, Deputy General Manager of Fenjiu and Executive Director of Zhu Yeqing Wine Company, once said in a live broadcast: "China's alcohol industry has gone through a difficult stage, and for a long time in the future, consumption will not be fully released, which will accelerate the industry into three eras: the health era, the private domain era, and the data era."
I deeply agree with the health era and data era among the three eras mentioned, and they are visible in the industry. However, I seem to have less insight into the private domain era, because in the relatively traditional alcohol industry, although the product types fit the concept of private domain well, few people have mentioned it in the past.
What is private domain? **Private domain is the privatization of customer assets, building channels for self-owned traffic based on today's efficient website building and marketing systems. Private domain traffic is a customer data pool that can be connected, reached, and launched for marketing activities more than twice. The most representative platform for building private domain is WeChat.**
Out of curiosity, I went to look at various companies' WeChat official accounts to explore which of the leading alcohol companies have laid out plans in WeChat, the iconic private domain field.
However, upon this exploration, I found that among the leading alcohol companies represented by listed companies, it was not just a few as I had estimated, but most have already been operating private domain businesses through WeChat malls or mini-programs. Among the top 10 alcohol companies by revenue in the first half of the year, 7 have already built their own WeChat mall flagship stores on their official public accounts. It is worth noting that the technical service provider they cooperate with is Youzan. In addition, the official public accounts of the other 3 brands do not yet support online sales.
Data target: Listed alcohol companies with top 10 revenue in the first half of 2020
Why are the "big players" operating WeChat private domain traffic? What can it bring them? What strength and confidence does "Youzan", chosen by almost all leading companies, have, so that there is almost no "second choice" for alcohol companies in this field?
**-02-**
**The Power of Private Domain is Exploding**
Looking back now, why did I not have deep insight into the "private domain era" mentioned by Mr. Yang of Fenjiu?
Why has private domain only been mentioned by many people this year? The concept of private domain we talk about today may be relatively new, but in fact, such things have been done in the alcohol industry for a long time, such as Moutai's "Maofen Club" and Litou Wine's "Litou Cloud Cellar", which are actually private domain operations. But the alcohol industry is a heavy offline industry, and even today, more than 95% of business still happens offline. As for private domain, although it is developing rapidly, low-cost, and efficient, it is relatively small in scale compared to the industry, so it is understandable that it had a low presence in the past.
But in 2020, due to special circumstances, the private domain economy experienced a big explosion, and everyone saw the power of private domain and its huge potential.
For example: **Gujing Gongjiu started using Youzan Chain during the epidemic this year, mobilizing all employees, distributors, and partners within 200 days to establish a全员营销 system of over 240,000 people.**
Initially, the team listed a series of well-known products and mainstream bestsellers, but soon found that the conversion effect was not ideal, so they immediately changed strategy and began precise operation: setting commissions for all listed products, promoting only one main product per period; then gradually streamlining products. They also selected products not available in offline or other channels to form the core advantage of the WeChat mall.
In this way, although the overall SKU decreased, each series must have multiple specifications to facilitate matching each customer group during promotion.
Then came one live broadcast after another, from basic operations, promotion and seeding, distribution binding to conversion and transaction. "Gujing Gongjiu" led the entire team step by step from top to bottom, driving monthly sales to repeatedly hit new highs, even reaching nearly 10 million.
Another example: **Luzhou Laojiao's official mall once used Youzan's "lottery group buying" tool, and one activity successfully fissioned nearly 6,000 users.**
Unlimited group opening, high winning rate, and attractive prizes greatly increased customers' enthusiasm for group buying, thus continuously opening groups, helping Luzhou Laojiao acquire new users at low cost. In addition, setting store-wide no-threshold coupons in the prizes can also promote customer purchase conversion, killing two birds with one stone.
In fact, for famous alcohol companies like Luzhou Laojiao and Gujing Gongjiu with annual revenues of over ten billion, the sales brought by these actions cannot yet affect the overall situation. But the highly valuable point is that the traffic attracted by these activities can be connected through Youzan's backend data. Data such as orders, old customers, and single product sales, which were originally difficult to count and analyze in stores, can now be clearly understood, and customers can be repeatedly reached, maximizing the value of each customer, rather than the "one-time traffic" bought on e-commerce platforms in the past.
In other words, the WeChat mall has become a field that can repeatedly activate users and quickly fission. **This traffic is truly the brand's own private domain traffic, and this private domain traffic will become a lever to leverage huge social traffic.**
It should be known that in the past, the alcohol industry mostly needed to activate social resources and social relationships offline, and traditional e-commerce platforms could not do this at all. Now, **the situation where only face-to-face could quickly close deals has been completely broken.**
Other well-known companies in the alcohol industry, such as China Resources Beer, Tsingtao Beer, Yanghe, and Baichuan Famous Products, were hit to varying degrees during the epidemic, but through the operation of the private domain economy, they all alleviated pressure to some extent. Even supply chain management companies like Baichuan Famous Products grew against the trend during the epidemic, with a growth rate as high as 30% and monthly new customers exceeding 10,000.
And all this seems inseparable from the figure of one company - **Youzan.**
**-03-**
**Is "Youzan" the Only Choice?**
From the first table in the article, it can be seen that when giants laid out their private domain economy, they all cooperated with Youzan. How strong is Youzan that giants all chose it without exception?
In fact, at the end of last month, during Youzan's eighth anniversary event, Youzan CEO Bai Ya revealed that the GMV of merchants served by Youzan in 2020 would exceed 100 billion yuan. A GMV of 100 billion is already shocking, and with the premise of "eighth anniversary", it can be called terrifying.
Youzan GMV data chart
So what exactly did this "youngster", only 8 years old, rely on to win the favor of alcohol industry giants? Or what irresistible reason did Youzan give them to choose it?
This still needs to start from the concept of private domain traffic.
Why did private domain traffic have a low presence before? We said it was because the private domain economy is relatively small, so why couldn't the private domain economy grow in the past?
**Compared to platform traffic, private domain traffic can be completely controlled by manufacturers, but it is relatively too small.** So what should be done to expand private domain traffic?
Famous marketing expert Liu Chunxiong said that there is only one way to expand private domain traffic: **"BC integration."**
**B-end refers to terminal channel distributors (such as dealers), and C-end refers to consumers. In the traditional retail industry, manufacturers generally reach the B-end through deep distribution models, but cannot reach the C-end. "BC integration" requires manufacturers not only to reach the B-end, but also to empower and drive the B-end by connecting with the C-end.**
The most typical example: an alcohol chain reaches customers through mini-programs, obtains orders, and assigns orders to stores or distributors for delivery. Then it not only reaches the C-end but also well empowers the B-end.
In this business logic, the role played by service providers like Youzan is: **help manufacturers build mini-programs, while implementing complex technologies and private domain operation services such as social marketing, store interest coordination, and order distribution logic. This is the value of Youzan.**
As one of the early pioneers of social e-commerce and private domain traffic, Youzan has accumulated years of experience and developed a "private domain triangle" growth model, which are three key indicators affecting private domain operation capabilities.
These three indicators are: **private domain production rights, i.e., the number of customers connected and the ability of enterprise information to reach customers; single customer value, i.e., the total value of a single customer's entire life cycle and the customer's repeat purchase rate; customer recommendation rate, i.e., the ability to acquire new customers through old customer recommendations and the influence on customers in related fields.**
Looking at Youzan's product capabilities and service system, they basically revolve around these three indicators to help brands optimize capabilities, thereby increasing transaction volume. 100 billion is the visible value Youzan brings to the merchants it serves.
This is why today, when talking about the private domain economy, it is impossible to bypass Youzan, the leading player, and why giants in various industries are choosing Youzan when selecting partners for private domain economy operations.
**The 100 billion GMV is just the surface. The logic behind it is its deep understanding of the retail industry, its accumulated capabilities in private domain operations, and an irreplaceable ecosystem involving more and more third parties such as merchants, developers, and service providers. This is Youzan's moat, and this moat is widening at an increasingly faster speed.**
Once the tip is adopted, 400-2000 yuan will be paid.


---

## 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