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The 'Resilient' Distributor: Covering 13,000+ KTV and Other Special Channels, Redoubling Efforts in Local Community Group Buying Amid the Pandemic
This article profiles Shanghai Huanyu Yigou, a distributor specializing in special channels like KTV, cinemas, and bars, covering over 13,000 stores. Despite the pandemic's severe impact, the company has shown resilience by pivoting to community group buying, leveraging its supply chain strengths and innovative strategies.
周群New Distribution's Ten Judgments on FMCG B2B in 2022
01 After JD and Alibaba educated the market, the vacated market space has led to rapid growth for many regional B2B platforms this year. Recently visiting Pinpianyi, Xu Yi told New Distribution that they expect to reach about 23 billion yuan in 2022; Yijiupi's scale is still around 10 billion, and it is said that Lingshoutong has fallen below 10 billion; several larger B2B platforms in East China such as Caihua Commerce, Zhongshang Huimin, Kuailai Zhanggui, and Wanquan Supei are currently at 2-3 billion; regional players like Jiabin Yunshi and Weiran Jinhe have exceeded 1 billion; single-city, single-warehouse operations like Rongcheng Yigou, Wuhan Huxiaosheng, and Luoyang Hecai are mostly in the 100-300 million range. This is only a part; many local B2B platforms have seen significant growth in both speed and single-warehouse scale. Although JD and Alibaba are no longer the leading players, their exit has in a sense freed up the ecological niche, making the industry more prosperous. And the next decade will be even better.
赵波Tongue Hero closes stores in multiple cities, Weizhixiang's single-store annual gross profit is 6,820 yuan, who exactly is eating prepared dishes?
Recently, Lu Zhengyao's prepared dish brand Tongue Hero has seen closures in multiple stores across several cities, drawing attention. Earlier, a franchisee revealed that after four months of operation, they hadn't even earned back their electricity costs, and many franchisees said current store repurchase rates are low, with only 9.9 yuan products selling well. Similarly, someone calculated for the C-end prepared dish brand and listed company Weizhixiang: its 2021 annual report shows 1,319 franchise stores contributed 346 million yuan in revenue, averaging 262,300 yuan per store annually, with an average gross margin of 26.01%, resulting in an annual gross profit of only 6,820 yuan per store.
焦逸梦Why Isn't Your Product Selling? A Consumer-Centric Perspective
This article explains why products fail to sell by examining consumer behavior through the Fogg Behavior Model and emphasizing the importance of understanding consumer needs. It advises marketers to view products from the consumer's perspective, focusing on motivation, ability, and triggers, and to conduct deep consumer insights to uncover real demands.
高级研究员 海游Genki Forest Goes to the Countryside: Who's Crying?
Genki Forest is expanding into lower-tier markets, posing a potential threat to local beverage brands. However, local brands may not need to worry as consumers in these markets are tolerant of multiple brands, and some regional brands are successfully going national by leveraging nostalgia and innovation.
市场风向标FMCG Manufacturers: This Mid-Autumn Festival Should Be Celebrated 'Rationally'!
With the Mid-Autumn Festival approaching, market sentiment is weak, and channel partners are reluctant to stock up. This article offers rational advice for FMCG manufacturers and distributors, emphasizing respect for objective facts, scientific inventory pressure under channel digitalization, and lessons for holiday marketing.
高级研究员 海游How Manufacturers and Distributors Can Jointly Build Digital Marketing Synergy?
An experienced beverage distributor, facing declining sales and rising costs, receives a visit from a manufacturer's sales director who identifies specific market issues and proposes digital solutions. They agree to collaborate on a pilot project to leverage digital tools and third-party platforms to enhance marketing synergy and competitiveness.
邢仁宝The Overlooked "Visit Rate" by Distributors
An industry expert once said that in the FMCG industry, everyone talks about "distribution rate," but the premise of distribution rate is "visit rate." Visit rate is the cause, and distribution rate is the effect. Discussing distribution rate without considering visit rate is putting the cart before the horse. This key metric is often forgotten, a common mistake in marketing. Many distributors I know overlook this crucial indicator. Today, we discuss how to achieve sales growth through a scientific visit rate.
李锋Why Distributors Struggle to Sell New Products?
Distributors often complain about thin margins, yet new products with better profit potential fail to sell well. The core issue lies within distributors themselves, specifically in their distribution and sell-through capabilities, as well as their sales teams' limited time and incentive structures.
周群Excellent Companies 'Empower' Distributors, Mediocre Companies 'Use' Distributors!
In market visits, a phenomenon is observed: many top regional distributors have grown alongside one or two excellent brand companies, with partnerships lasting 5, 10, or even 20 years, significantly enhancing their operational capabilities. Conversely, some distributors with growth potential stagnate or decline due to their brand partners. For brand companies, marketing teams prefer to 'attach to big names' and seek strong distributors to ensure sales targets, but the reality is that top distributors are limited. The article argues that excellent companies 'cultivate' distributors, while mediocre companies 'use' them, and discusses how to define and improve distributor relationships.
高级研究员 海游10 Management Lessons from Conversations with Over 100 Outstanding Distributors
Over the past two to three years, we have visited over a hundred outstanding distributors across the country, discussing their business strategies and how they manage to resist risks, achieve growth, and expand despite rapid market changes. This article distills 10 practical management lessons from these visits, focusing on internal trade company operations and management, offering insights for distributors to break through in a changing environment.
袁来In the Next 5-10 Years, 70%-80% of Small Distributors Will Be Eliminated
The article predicts that in the next 5-10 years, 70%-80% of small and medium-sized enterprises will be eliminated, and this is becoming a reality in the distribution sector. Traditional distributors are being phased out due to complex environments and new retail, while large distributors are rising and being supported by brands. The article analyzes the current forms of distributors, explains why the trend towards large distributors is inevitable, and advises brands to support large distributors and focus on their core competencies.
赵波How Distributors with 80 Million to Over 100 Million in Sales Grow: Cross-Online Business, Cross-Category Business, Cross-Region Business
Many distributors are finding this year's business particularly tough, but instead of looking inward at their own management and operations, they tend to blame external factors. This article explores the 'outward-looking' opportunities for growth, including online channels, new categories, and new regions, offering practical advice for distributors seeking new growth curves.
袁来A Major Beer Distributor's Waterloo in Cross-Province Expansion
In June 2022, Xie Min, a top beer distributor, ended her 300-day attempt to expand into a new market, facing failure due to conflicts with the new management team and incompatible channel models. The article analyzes why her cross-region expansion failed and offers lessons for other distributors.
陈思廷Genki Forest's 'Cooler Defense War' That It Cannot Afford to Lose
In 2020, Genki Forest's management held an internal discussion on how giants could destroy the company, foreshadowing intense competition. Over the following two years, Nongfu Spring and Coca-Cola led a crackdown, and in 2022, Genki Forest shifted from an internet-plus beverage company to a traditional food and beverage enterprise, aggressively deploying coolers and offline marketing while facing slowed revenue growth.
袁喜乐Returning Offline: How Can Distributors Seize New Opportunities?
Ten years ago, I spread three sayings about the importance of opportunities. Now, as the industry transitions, strategic opportunities are emerging offline. Distributors should seize new profit models, ally with secondary wholesalers, and adopt bC integration to capture innovation dividends.
刘春雄How Should Distributors Plan for the Second Half of the Year?
Many distributors are feeling anxious this year due to the ongoing pandemic and global uncertainties. Key data points include a 0.4% GDP growth in Q2 and a projected population peak in China, signaling structural changes. Distributors should focus on stabilizing their core business, optimizing costs and efficiency, building organizational capabilities, and embracing technology to survive and grow.
赵波Reasonable Channel Policies Are the Cornerstone of Deep Distribution
The article discusses the importance of designing reasonable channel policies for deep distribution, emphasizing that overly detailed policies can be counterproductive. It provides principles for policy formulation, the need for effective communication and execution, and the importance of collecting feedback from the field.
高级研究员 海游Big News! ChouBao Luosifen Enters Sam's Club, Multi-Channel Interaction Boosts Distributors' Business
For distributors, is luosifen a good business? Some say yes, some say no. Let's look at the data: According to the Liuzhou Municipal Commerce Bureau of Guangxi, in 2021, the sales revenue of the entire Liuzhou luosifen industry chain reached 50.16 billion yuan, of which packaged Liuzhou luosifen sales revenue reached 15.197 billion yuan, a year-on-year increase of 38.23%. Despite the siege of traditional instant food categories, its development momentum remains the 'top trend' in the instant food category, and the answer is self-evident. In 2022, the luosifen market is still in the industry development period, with more and more brands joining this camp, which will inevitably dilute distributors' attention in product selection. How should distributors choose their ideal business partner from the many brands? Today we recommend a new brand in the luosifen track - ChouBao Luosifen.
高级研究员 海游From "Amateur" to "Professional": Where Does Distributor Growth Come From?
Distributors have evolved from amateur to professional players over three decades, transitioning through four stages: workshop, family, team, and enterprise operations. To achieve growth, distributors can expand channels, products, customers, regions, and refine pricing strategies.
周群Most Companies' Digitalization Efforts Are Just to Alleviate Anxiety!
A leading FMCG company with hundreds of thousands of retail outlets cannot even pull a list of terminals with monthly sell-through of 5 cases, highlighting a common reality: despite much talk about digitalization, most companies struggle to obtain basic data. This article argues that the real obstacles are status quo bias and collective inertia, and that many digitalization initiatives are merely superficial actions to ease anxiety rather than address the hard strategic and organizational challenges.
任文青AndyThe Bloated Distributor: High Sales, No Profit
Many distributors boast high annual sales but suffer from meager profits, often relying on manufacturers for orders and lacking core competitiveness. True competitiveness lies in the ability to distribute and sell through retail stores, not just serving brands.
袁来Thinking About Product Sell-Through from the Perspective of Competition
A brand executive discusses the challenge of driving sell-through for their second engine product. The article explores three core competitive advantages—product, channel, and consumer competitiveness—essential for successful product sell-through in the current market landscape.
高级研究员 海游All Distributors Should Rebuild Their Terminal Operations Through Salary and Assessment Adjustments!
This article argues that a distributor's frontline salesperson compensation structure is the best indicator of their management capability and future prospects. It categorizes three common salary structures and explains how they reflect different business philosophies, ultimately advocating for a market-oriented approach that rewards market-building actions.
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