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Articles by 徐霁
Browse 17 New Distribution articles by 徐霁.
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Yonghui Superstores' Turnaround Must Be Fought by Its Own People
After a six-month global search, Yonghui Superstores has appointed 34-year-old Wang Shoucheng as CEO. Wang, a company insider with experience in the 'Pangdonglai-style' store renovations, faces the challenge of leading the company through its ongoing transformation and losses.
徐霁The E-commerce Middlemen Being Eliminated
Xu Ji's return to the essence of consumption during Double 11 has once again brought growth to e-commerce platforms and merchants. However, the e-commerce agency operation companies that were once thriving have now fallen silent. As brands strengthen their e-commerce capabilities and platforms deepen their services, the 'water sellers' in the e-commerce market are being marginalized. This is an inevitable trend as e-commerce matures, since the original purpose of e-commerce was to eliminate middlemen. Now, this trend is being pushed further.
徐霁Bu Bu Gao's Rebirth: Can It Become 'Hunan's Pang Dong Lai'?
After the completion of its restructuring plan and the removal of its delisting risk warning, Bu Bu Gao has finally emerged from crisis. However, the primary challenge remains revitalizing its business and restoring self-sustaining profitability. With assistance from Pang Dong Lai, Bu Bu Gao has seen initial success and aims to become 'Hunan's Pang Dong Lai'. Despite the resolution of its crisis, founder Wang Tian remains under pressure as his controlling entity, Bu Bu Gao Group, faces a restructuring application from creditors.
徐霁The Iteration of Fujian's Retail Glory
Over the past two decades, Fujian's retail industry has given rise to two flagships, Xinhua Capital and Yonghui Superstores, both founded by self-made entrepreneurs. As various retail formats emerge, from shopping malls to fresh food supermarkets, convenience stores, instant retail, and discount stores, the industry faces both challenges and transformations.
徐霁China's Retail Leader Has Changed
The top spot in China's retail sector has changed hands, from Suning to Walmart, marking the first time a foreign company has topped the list in 40 years of chain retail. Suning's decline can be explained by Carrefour, while Walmart's success is driven by Sam's Club. The future of China's chain retail lies in innovators like Hema, Meiyijia, Pangdonglai, and others.
徐霁Where Is the Future of China's Chain Retail?
The future of China's chain retail cannot rely solely on Pangdonglai; we need more and better Mingming Henmang, Haozhaizi, Baiguoyuan, and Guoquan. Traditional supermarkets are losing relevance, with new retail demand met by instant retail, convenience stores, and membership stores on one hand, and various vertical chain brands on the other. Leading players in bulk snack, maternal and child snack, fresh produce chain, and ingredient chain sectors have already entered the top 100 chain list. Next, hard discount and beauty chain segments may also see new stories.
徐霁Auchan Awaits Rescue
Last year, Auchan's parent company Gaoxin Retail turned from profit to loss, and has been in the eye of the storm for years. Controlling shareholder Alibaba has repeatedly indicated it wants to exit traditional physical retail, and even business collaboration between the "father and son" has decreased. However, the rumored change of ownership has yet to materialize. Unable to wait for external rescue, the company must save itself. Can mass closures of traditional hypermarkets and a shift to membership stores, aiming to become China's version of Costco and Sam's Club, be Auchan's lifeline? Auchan's crisis: Since 2023, the retail industry has been recovering overall, but Auchan remains mired in difficulties.
徐霁Do Traditional Supermarkets Still Have a Reason to Exist?
The closures of Shanghai City Supermarket and Hubei Fudi Supermarket have once again sounded an alarm for the retail industry. A new round of chain supermarket eliminations may primarily target service-oriented retail brands deeply rooted in regional markets. After more than 30 years of development, the Chinese chain supermarket industry has seen accelerating iterations from hypermarkets to fresh food supermarkets, and in recent years to membership stores and discount stores, engaging in a continuous knockout competition. What kind of retail does the future consumer market need? The industry is constantly exploring, and JD.com has long summarized it as 'more, faster, better, and cheaper.' Hema and other merchants are also...
徐霁Private Chain Supermarkets: Farewell in Progress
The transfer of Hongqi Chain's actual control has finally been settled, with Sichuan State-owned Capital's Shangtou Investment acquiring shares from the Cao Shiru family and Yonghui Superstores to become the new owner. This follows a trend of private supermarket giants like Better Life and Renrenle losing control to state-owned entities due to financial difficulties.
徐霁Yonghui Superstores: Contracting for the Winter
After the heavy snow, winter truly arrives, and animals are busy storing food. Business tycoons are no different, weaving a complex network of friendships. On December 12, Wanda announced a reinvestment agreement with PAG and other major investors, trading absolute control for relief, while also selling stakes in Wanda Film and some Wanda Plazas. Yonghui Superstores, facing its own downturn, sold its 1.43% stake in Wanda Commercial Management for 4.53 billion yuan, shifting from expansion to contraction to hoard cash.
徐霁J&T Express's Hong Kong IPO: A Pinduoduo-Style Rise
After eight years since its founding and three years after entering the Chinese market, J&T Express has decided to list on the Hong Kong Stock Exchange. In just a few years, it has grown into the leader in Southeast Asia's express delivery market; it started its network in China in early 2020 and completed 12 billion parcels in 2022, closely trailing the 'Tongda' companies and SF Holding. Last year, it expanded to West Asia and South America, challenging global giants FedEx, UPS, and DHL. J&T's rapid rise has been supported by OPPO and Pinduoduo, companies associated with Duan Yongping's disciples, reflecting the significant opportunity of Chinese brands, especially Chinese e-commerce going global, and capital's desire for a third option beyond Alibaba and JD.com.
徐霁New Retail Hits the 'Seven-Year Itch'
From food safety crises to fundraising at a 40% valuation discount, Hema Fresh, the flagship of new retail, has fallen from grace. This signifies that the once-vibrant new retail movement may be ending in disappointment. Yonghui Superstores, Hema's most formidable follower, plans to return from new retail to traditional retail after massive losses.
徐霁First-Tier Cities No Longer Suitable for Traditional Supermarkets
First-tier cities are no longer suitable for traditional supermarkets. According to a survey, the four supermarket chains headquartered in first-tier cities performed poorly, with Renrenle in Shenzhen and Lianhua Supermarket in Shanghai at the bottom; non-first-tier cities performed better overall, with Yonghui Superstores, Bubugao, and Hongqi Chain leading the sector's recovery. Price wars ignited by vicious industry competition are particularly fierce in first-tier cities. Among 11 supermarket chains, the four in first-tier cities had the lowest gross margins, several percentage points lower than the average of non-first-tier cities. Additionally, high rents and labor costs in first-tier cities are dragging down this asset-heavy, labor-intensive industry.
徐霁Private Capital Circles Wuhan State-Owned Supermarkets: Joy City Grabs Hanshang, Yonghui Seizes Zhongbai, Intime Battles Wushang
Wuhan, historically a commercial hub, has four state-owned listed supermarket companies: E Wushang, Zhongbai Group, Wuhan Zhongshang, and Hanshang Group. Their dominance, undervaluation, and dispersed shareholding have repeatedly made them targets for private capital, including Intime, Xinguang, Yonghui, and Greenland.
徐霁Dominating Central and Western China's Supermarkets for 28 Years, Is Zhongbai Now Selling Buildings, Land, and Banks to Survive?
Only those who have lived in or visited Wuhan know how densely Zhongbai is distributed across the city, with a store on nearly every street, near every business district, and at the entrance of every residential community. Starting from Wuhan, Zhongbai Group expanded deeply into Hubei and westward into Chongqing, becoming the largest supermarket chain in central and western China. However, in recent years, Zhongbai has been closing stores continuously, especially in Chongqing, exposing the pain that has plagued this regional retail king. Since 2012, Zhongbai's performance has declined, with 116 stores closed in 2016 alone and a net loss of 233 million yuan (excluding non-recurring items) last year, forcing it to sell assets to stay afloat.
徐霁The Lost Nanjie Village
During the era of material scarcity, Beijing Instant Noodles accompanied my childhood, and Nande seasoning was my mother's favorite. Nanjie Village, once a model economic village, faced decline due to mismanagement and debt, and now struggles with reform controversies.
徐霁Failed to Sell to Budweiser, Henan Beer 'Local Bully' Jinxing Faces Siege from Snow, Tsingtao, Yanjing
Snow, Budweiser, Tsingtao, Yanjing, and Carlsberg, these five giants have been conquering markets across the country, but they have encountered stubborn resistance in Henan, where their opponent is Jinxing Beer. However, Jinxing Beer, known as 'No. 4 in China, No. 1 in Henan', was not unwilling to join the first tier by attaching itself to a giant, but due to its origin, it failed to sell to Budweiser. A 'suspicious' transfer turned Jinxing Beer from a village-owned enterprise into a family business controlled by Zhang Tieshan and his son. The origin problem was solved, but the market has changed dramatically. With internal and external troubles, how much time is left for Jinxing Beer?
徐霁