---
title: "Xinjiang Tycoon Wang Yifang Stops Being a Distributor: Turns Out This Way Makes More Money!"
description: "In the leisure baking circle, Wang Yifang is widely known for his active presence. Despite being based in the remote northwest, he stays engaged with the mainland through frequent visits, earning a reputation for being innovative and daring. Now, he has established multiple branch companies and terminal experience stores in Xinjiang, and has turned Urumqi Jinyibo Trading Co., Ltd. into a strong supplier for major supermarkets, with annual sales nearing 200 million yuan. Recently, he has pioneered a new model: transforming from a traditional distributor into a channel service provider."
author: "New Distribution"
publisher: "New Distribution"
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published: "2017-11-22"
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# Xinjiang Tycoon Wang Yifang Stops Being a Distributor: Turns Out This Way Makes More Money!

> In the leisure baking circle, Wang Yifang is widely known for his active presence. Despite being based in the remote northwest, he stays engaged with the mainland through frequent visits, earning a reputation for being innovative and daring. Now, he has established multiple branch companies and terminal experience stores in Xinjiang, and has turned Urumqi Jinyibo Trading Co., Ltd. into a strong supplier for major supermarkets, with annual sales nearing 200 million yuan. Recently, he has pioneered a new model: transforming from a traditional distributor into a channel service provider.

## In the leisure baking circle, Wang Yifang is widely known for his active presence. Despite being based in the remote northwest, he has not been isolated from the world; instead, he spends much of the year traveling to the mainland for market research. Known for his thoughtful and innovative approach, he has earned the labels of "daring" and "restless" within the industry.
Chairman of Jinyibo Trading, Wang Yifang
Today, Wang Yifang has not only established multiple branch companies in Xinjiang and set up his own terminal experience stores, but has also turned Urumqi Jinyibo Trading Co., Ltd. (hereinafter referred to as "Jinyibo Trading") into a strong supplier for major supermarkets across Xinjiang, with annual sales approaching 200 million yuan, making it a true powerhouse in the food industry.
Recently, in response to the rapidly changing consumer market, Wang Yifang has introduced a new approach.
**Dropping the "Distributor" Label, Transforming into a Channel Service Provider**
In Wang Yifang's view, the leisure food industry has been in a period of rapid development over the past five years. Although many distributors have stood out in the fierce market competition, there is a general sense of impatience, with a blind pursuit of scale, leading to some "bloating"—and Jinyibo Trading is no exception.
"I recently spent four months at home reflecting deeply on the upgrade and development of Jinyibo Trading. I ultimately decided to shift from pursuing overall sales volume to focusing on the sales contribution rate to individual manufacturers, achieving a transformation from distributor to channel service provider. This is the future trend for trading companies," Wang Yifang explained.
A channel service provider means that the manufacturer sets the annual purchase volume, and both the manufacturer and Jinyibo Trading jointly plan the annual promotion plan and work together on market services.
Wang Yifang admitted that to solve the "bloating" problem, the company must first become stronger, and then seek to become bigger. By creating more successful brand promotion cases, they can gain more bargaining power when cooperating with manufacturers and attract more quality brands.
**Focusing on Brands, Providing One-Stop Services**
In terms of marketing, Jinyibo Trading focuses on brands, setting up different project teams based on partner brands. Each team jointly develops annual promotion plans with the respective manufacturers, communicates and discusses regularly, and staff from both sides go deep into the market frontline together.
As a result, the corresponding project teams will devote more energy to channel refinement, not only in the supermarket systems they were previously good at, but also gradually enriching distribution and other channels, advancing on schedule to achieve the transformation from strong to big.
It is understood that Jinyibo Trading provides one-stop services in the channel service process and is committed to implementing the "three ones": call terminal customers every 3 days, help customers solve one problem per week, and communicate and learn once a month.
Since November, Jinyibo Trading has successively launched strategic channel service cooperation with quality brands such as Ma Dajie, Gangrong, Shuanghui, and Ganyuan, with more brands expected to join in the future.
However, this does not mean that Jinyibo Trading accepts all brands without discrimination; on the contrary, it has raised higher requirements. "When selecting partner brands, we consider multiple factors such as product quality, sales personnel training, regional planning, and market support," Wang Yifang explained. "In terms of energy, operating too many brands can be exhausting. Serving about a dozen or so is enough, and it's necessary to make some sacrifices."
**Two Factors to Consider When Transforming into a Channel Service Provider**
Although it may seem easy, transforming into a channel service provider is not that simple. In Wang Yifang's view, distributors need to meet at least the following two conditions.
On one hand, this model requires distributors to control abundant channel resources locally and be able to significantly boost the manufacturer's sales; otherwise, it is difficult to get manufacturers to willingly invest substantial manpower and resources to jointly carry out brand promotion with the distributor.
On the other hand, distributors should hold representative brands in their categories, such as Gangrong, or distinctive brands, and be willing to adjust their brand structure. Any manufacturer will support a trading company that shows high loyalty.
According to Wang Yifang, the transformation is just beginning and no obvious results are visible yet, but they should be evident at the 2018 Spring Sugar Fair. "If distributors are too impetuous, they won't be able to stand firm in the future. This transformation model can relieve pressure on distributors and reduce the risk of being a 'worker.' Through brand focus and channel focus, as long as the products are good, there is hope to build them into first-tier brands."
Source: Snack Reference
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