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Fewer Post-90s in FMCG Sales Roles!
FMCG companies are always recruiting yet always understaffed. A common phenomenon is that frontline workers switch between companies, but fewer post-90s are joining FMCG teams. Many post-90s, even those with bachelor's degrees or higher, prefer delivering packages, food delivery, or ride-hailing over joining the FMCG workforce. This article explores why post-90s are reluctant to join and what FMCG companies need to fix. The oldest post-90s are now thirty, and the youngest are starting work...
New DistributionC'estbon as the Official Drinking Water of the Chinese National Team: What Does It Mean in the Channel?
Recently, New Distribution visited a distributor in Guangzhou, where trucks were constantly coming and going, and dozens of employees were busy loading and unloading goods. The distributor said that among the over 1,000 mom-and-pop stores he serves, C'estbon is the best-selling drinking water brand, with consistent growth year after year. Why C'estbon? New Distribution observed that C'estbon has frequently appeared at various competitions of national team athletes in recent years, and through long-term support of the Chinese national team, it has continuously shaped the joint brand image of 'Chinese National Team × C'estbon'. This year, C'estbon updated its brand proposition to 'Official Drinking Water of the Chinese National Team'.
田静Is a Larger Distribution Quantity Always Better? How Should It Be Managed?
Some companies emphasize product distribution rate and market presence, believing that achieving 100% distribution is the key to retail success. Others focus only on key outlets and oppose high distribution rates, considering them uneconomical and costly. How should we view distribution rate correctly, and how should we handle several relationships in distribution operations? Properly manage the relationship between 'outlet quantity' and 'outlet quality'. Although distribution rate is very important, attention must also be paid to the balance between outlet quantity and quality. If distribution rate is blindly pursued excessively, it will increase sales costs, waste resources, and affect the concentrated investment in A and B class key outlets.
New DistributionBig Brands Become Chicken Ribs: Major Distributors and Major Manufacturers Face the Third Round of Structural Contradictions
Major distributors are abandoning major manufacturers, a surprising phenomenon that is increasingly common. Yuan Lai, a lead writer for New Distribution who has long tracked major distributors, has keenly observed this trend, quoting one major distributor: "There's volume but no profit, so why do it?" This marks the third round of structural contradictions between major manufacturers and major distributors since China's reform and opening up.
刘春雄How AI Technology Achieves the 'Normalization' of Outlet Authenticity Verification?
Verifying the authenticity of outlets is part of the digital transformation of offline distribution channels for FMCG companies. However, traditional 'database collision' verification methods have shortcomings in ensuring authenticity. To address this, Baidu has developed a 'Four-in-One' solution to improve verification accuracy and reliability. In this context, Liu Xiaobin, head of FMCG at Baidu ACG AI Platform Department, introduced the deficiencies of traditional verification methods, the specifics of the 'Four-in-One' solution, and its positive impact on refined operations. The following is Liu Xiaobin's speech...
柳小玢From Deep Distribution to Precision Distribution: A Strategy for Incremental Change in Brand Channel Models
Brands in the FMCG industry face three common challenges: difficulty in recruiting quality staff, managing teams effectively, and maintaining high service quality at retail outlets. This article discusses shifting from traditional deep distribution to a more precise model, using Nongfu Spring's channel reform as a case study, and outlines a four-step approach for channel model transformation.
高级研究员 海游Positional Warfare and Infiltration Warfare in the Era of Premiumization
First, a question: What is premiumization? Is Moutai premium? Most would say yes. But today we found a vivid case: Dayao Beverages' President Yun's case. Cola sells for 3 yuan, Dayao sells for 6-8 yuan. Is Dayao premium? Yes, Dayao is the premiumization of carbonated drinks. So premiumization is not a leap to Moutai in one step; it's a series of steps upward. From level one to level two is premiumization, and from level two to level three is also premiumization. In the FMCG world, there are two approaches to premiumization: positional warfare and infiltration warfare.
公方刚Channel Model Iteration from the Perspectives of Business and Operations
At the 2023 (8th) China FMCG Innovation Conference, Hai You, partner of New Distribution and expert in offline channel models, delivered a speech on channel model iteration. He analyzed the evolution of channel models from 1.0 to 6.0, emphasizing that the best model is the one that matches a company's own capabilities, and discussed operational upgrades such as efficiency, cost, scale, and consumer reach.
高级研究员 海游Returning to Offline: Outlets Need 'Targeted Therapy'
Zhu Xiaoqing recently discussed precise outlet distribution with a senior executive from a company's marketing management center. The executive reported that while outlet coverage met expectations, monthly activity rates fell short, especially for new SKUs, leading to outlet attrition. Zhu suggested a 'targeted therapy' approach, matching new products to appropriate outlets to maximize economic benefits.
高级研究员 海游Returning to Offline: Display Must Be Sales-Driven!
During the three years of the pandemic, the FMCG industry saw two major changes: first, the uncertainty of lockdowns led to a focus on orders, delivery, and inventory pressure, neglecting basic market actions like display and merchandising; second, the boom of community group buying and B2B, especially in 2021, made many practitioners feel the industry was changing, leading to a rejection of basic actions. This year, the primary task for FMCG manufacturers is to correct course and return to the basics, with display being a key skill.
高级研究员 海游Deepening Channel Roots: Genki Forest's Humble Transformation
In early 2023, media reports highlighted Genki Forest's distributor channel issues, prompting New Distribution to conduct market research. A Genki Forest distributor told New Distribution, "Old Tang is changing, very sincerely." Since its explosive debut, the young brand and its founder Tang Binsen have been media focal points, with discussions centered on marketing tactics and hit products. However, the past two years have seen a shift: the 2021 freezer war and joint crackdown by giants, and in 2022, channel crossing and price chaos, lowered targets, and team restructuring. Now, Genki Forest is actively adjusting its approach, focusing on traditional channel depth distribution to compete with beverage giants.
任文青AndyAdvancing Traditional Deep Distribution: Building an Integrated Circle and Channel Relationship
Why build an integrated circle and channel relationship? Because the business environment has changed. Most liquor industry marketing models rely on traditional deep distribution, but now we need to build a circle-based deep distribution model around users, which is the integration of circles and channels, i.e., B2C integrated operations. First, look at traffic: online traffic comes from platform influencers and streamers, often one-time, and its logic cannot be replicated. Offline traffic comes from social relationships, where life and business circles largely overlap.
牛恩坤When Systems Cannot Keep Up with Change, FMCG Needs a “Living” Digital System
FMCG digital systems must balance standardized management with the flexibility of front-line sales. Modular components, visual workflow design, and low-code extension can help the system evolve with the business.
New DistributionTerminal as Media: Scenes Build Brands
Scenes include consumption scenes, operation scenes, and transaction scenes (terminal scenes). The core logic of this article: first, terminals create scenes, and scenes create demand; then, scene experience, scene connection, and scene triggering; finally, scenes build brands. Creating scenes around terminals becomes the soul of 'terminal as media.' This article references McLuhan's 'Understanding Media' and Mr. Kong Shou's 'Vivid Copywriting,' with special thanks!
刘春雄Unequal Profit Distribution Among Manufacturers and Distributors Turns 'Channels' into 'Obstacles'
No distribution model can be replicated; the best model must be created by the enterprise itself. 2023 is bound to be an unusual year, marking a new starting point in the post-pandemic era, with many brand owners gearing up to redefine their positions in the FMCG industry.
高级研究员 海游Preparing for the New Year: City Managers Must Master the 'Front, Middle, and Back' of the Business!
Every December, city managers are busy making next year's city plans, often working overtime before deadlines, but in the end, apart from a different PPT format, the final strategy plan is just a tweaked version of last year's document. Based on years of frontline observation, the author finds that city managers who consistently manage their business well and achieve sustained growth share a common trait: they truly understand the front, middle, and back offices of their distributors' operations.
渠成君Channel Strategy Without Execution: How Can There Be Channel Competitiveness?
Channel competitiveness is a core asset for FMCG companies. This article discusses ten key considerations in channel strategy, including channel definition, SKU matching, channel prioritization, coverage requirements, execution standards, territory planning, visit planning, outlet rating, market mapping, and channel performance forecasting.
高级研究员 海游Diagnostic Loop: How Manufacturers Establish a Market Problem-Solving System
Market research reveals a common issue: a lack of standardized process from problem identification to resolution. This article outlines a four-step methodology—objective description, process review, execution analysis, and system empowerment—to build a comprehensive problem-solving system.
高级研究员 海游2023 Budget: A Few Suggestions on Regional Market Expenses
In October, most FMCG companies have started their annual budgeting. This article offers several reminders on expense budgeting to help companies avoid repeating the mistakes of the past year.
高级研究员 海游Is Building a Self-Owned B2b Platform for Distributors a Good Way to Achieve Large-Scale Terminal Coverage?
Recently, due to company projects, I had in-depth discussions with several distributors about the distribution business, and the feedback was that most distributors are finding it hard to do business. First, in the past, with brand dividends, distributors could quickly open up channels relying on brand influence; without brands, channel advantages are greatly affected. Under this model, distributors mostly serve brands, execute according to brand operating models, and have weak control over terminal outlets; once brand momentum declines, their business follows. Second, in the past, with China's population dividend, distributors could thrive by relying on natural market growth and earning price differences, but as the demographic dividend fades, the stock market inevitably intensifies competition, making business harder.
周群Startup Brands: If You Can't Win the "Area," Focus on Winning the "Store"!
Core terminals hold significant value for startup brands. 1. I propose that due to resource constraints, startups should shift from "outlet development" to "enhancing outlet competitiveness," and from "winning at the terminal" to "winning among core terminals." In short, with low sales, low profits, and limited budgets, survival requires focusing resources on select outlets, building core terminals, and collaborating symbiotically to gradually influence a wider area. 2. Startup brands need to leverage the brand power of retailers, for example...
高级研究员 海游FMCG Calls for 'High-Level Deep Distribution'
As internet dividends fade and online profits dwindle, FMCG companies are increasingly returning to offline channels. Marketing expert Liu Chunxiong proposes 'high-level deep distribution' as a response, emphasizing promotion over mere coverage, and using China Resources Snow Breweries' 'Five Points One Line' methodology as a successful example.
陈思廷Goodbye, Million Sales Assistants
Today, whether in retail stores or restaurants, the most noticeable difference from a decade ago is the near disappearance of sales assistants. This article explores why the sales assistant model emerged, why it has vanished, and what brands can do at the point of sale in its wake.
陈思廷Four Approaches to Solving KA Store Execution Issues
Despite declining offline foot traffic, offline channels remain crucial. To maintain a competitive edge, companies must focus on meticulous management and professional execution. This article outlines four strategies for addressing KA store execution problems: improving communication to solve individual issues, institutionalizing problem-solving through regular business reviews, optimizing operational processes to systematically resolve common issues, and enhancing the quality of planning to prevent execution failures.
曹扬Geoffrey Cao