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In the Second Half of Internet Entrepreneurship, Do Distributors Still Have a Chance in B2B?
The frenzy of Double 11 has just ended, and the shoes I bought on Tmall have not yet been shipped. Seeing the delivery points across the country, campus playgrounds, community convenience lockers, and various couriers shuttling through office buildings, one can feel how vibrant e-commerce is in China. With Tmall's Double 11 sales reaching 120.7 billion yuan and JD.com's over 57 billion, the data is staggering, reflecting Chinese consumers' enthusiasm and the prevalence of e-commerce. I can't help but ask: Is there still an opportunity for internet entrepreneurship in China? Many say the first half of internet entrepreneurship is over, so is there still a chance in the second half?
望远10 Traits and 6 Fatal Flaws of Old-School Distributors
Once paragons of self-made success and among the first to drive sedans, many distributors now find themselves left behind as the economy enters a 'new normal' and buyer's markets prevail. Those with ample cash and scale are declining because they are like 'frogs in warm water,' complacent and resistant to change.
王献永Choose Your Distributor This Way, and Your Product Is Bound to Be a Hit!
To find the right distributor, start by studying your competitors' distribution networks, then walk the market to filter potential candidates based on distribution, display, promotions, and personnel. Meet prospects to assess compatibility, office environment, financial strength, organizational structure, and future plans, and conduct background checks on the owner and employee turnover. Following these steps will help you select a distributor that ensures your product's success.
刘春晓Key Questions Distributors Must Consider to Boost Sales
This article discusses several common questions raised by sales professionals, emphasizing the need to think about the essence of problems to find the root causes and effective solutions. It covers why consumers buy your product, why they continue to buy, why retailers sell your product, the true role of salespeople, why sales may decline, and the importance of focus in marketing.
朱志明Can Distributors Still Increase Sales by Adding More People and Vehicles?
In the FMCG industry, sales managers generally know that the most direct way to increase a distributor's sales is through promotional stock-piling and adding more people and vehicles. By stock-piling, distributors are forced to sell at low prices to quickly recover capital, while adding more people and vehicles, even dedicated personnel and vehicles for specific products, enhances terminal sales and service capabilities, driving sales growth. For distributors with sales below 20 million yuan, adding people and vehicles, if managed well, can lead to significant regional sales growth, mainly because their channel power is not fully released and requires more people and vehicles to achieve saturated market coverage. This type of growth driven by increasing hardware (people/vehicles) is called "quantitative growth." However, when sales reach 20-30 million yuan, most distributors find that despite following the manufacturer's requirements to add people and vehicles, sales growth is not obvious, costs rise, and profits decline or even turn to losses.
赵波Public Platform or Private Platform: Which One Belongs to You?
When FMCG B2B companies attempt to transform and embrace the internet, should they choose a public or private platform for building their information systems? Today, I'll explain it simply and directly. Both public and private platforms cater to different market needs, with the core goal of solving information asymmetry and efficiency issues. The advantage of public platforms is their extremely low cost and ease of use, making them suitable for small and micro distributors. However, their functionality is limited—you can only use what the platform offers—and all data resides with the platform, just like opening a store on Taobao.
胡小印Quanshihui: Unity is Business—Using the 'Troika' Model to Empower Traditional Micro Retail
At the recent Fuzhou Autumn Sugar and Wine Fair, a forum themed 'FMCG + Internet' was held, featuring representatives from Alibaba Retail Link, JD New Channel, Zhanghe Tianxia, Yijiupi, Benlai Market, Zhongshang Huimin, and Quanshihui, who shared their views on the current state and trends of the FMCG B2B industry. As the only new player with a traditional retail background, Quanshihui proposed a new cooperation concept of 'Unity is Business' amidst the prevailing rhetoric of 'eliminating second-tier distributors and subverting tradition,' and introduced a 'troika' operational approach: deep integration of micro retail supply chains, light franchise convenience stores, and community-based vertical e-commerce.
New DistributionStandard Implementation Rules for Distributors Handling Year-End Near-Expiry Products
As the year changes, sensitivity to product packaging dates increases, and distributors without operational experience may end up with excessive inventory or new products that become 'last year's' after New Year's Day, making them hard to sell. The author advises distributors to start compressing inventory from December, including both warehouse stock and older shelf stock, and to handle near-expiry products systematically.
马兴强 赵波Is Internet B2B Taking the Distributor's Cake or Giving Them Cheese?
When e-commerce first entered the Chinese market, the phrase 'channels are dead' startled all distributors, signaling what seemed like an era of decline for the entire industry. Now, with 'Internet+' elevated to a national strategy, Internet B2B platforms have risen and developed rapidly, and the 'disintermediation' business model has made distributors even more anxious, constantly worrying that Internet B2B will carve up their market and take their share. The rise of Internet B2B has left traditional distributors at a loss, but as the article suggests, by embracing the right platform, suppliers can transform and find new opportunities.
New DistributionDanone Sells Six Robust Plants, Can the New Owner Help Robust Return to Glory?
French food and beverage giant Danone has recently reached an agreement with Yingtou Holdings to transfer six Robust plants located in Guangzhou, Beijing, Tianjin, Chengdu, Chongqing, and Zhongshan, along with employees engaged in the Robust brand business, to Yingtou Holdings. This move marks Danone's strategic shift to focus on natural mineral water in China, while the new owner aims to revitalize the once-famous Chinese beverage brand.
New DistributionThe More Online Sales on Double 11, the Harder Offline Business Gets. What Should Distributors Do Next?
This year's Double 11 saw Alibaba's transaction volume surpass 120 billion yuan, prompting reflections on how online sales impact offline stores. The article advises distributors to face the internet with an open mind, avoid escaping or blindly joining platforms, and focus on data-driven operations, professional management, and team entrepreneurship to survive the changing landscape.
赵波Salespeople Disobey, Obedient Ones Don't Deliver, Deliverers Don't Make Money: 80% of Distributors Fail Due to Poor Management. How to Break the Cycle?
Distributors often lose money due to management failures, such as salespeople slacking off, intercepting promotional items, and misappropriating funds. Implementing sales management software can help, but success depends on the distributor's own management skills and a phased approach to change.
赵波Clearing Bad Inventory: A Table and Ten Steps to Manage New Product Distribution!
In the daily operations of distributors, attention to the market front line often outweighs attention to the warehouse, leading to neglect of warehouse management. The author observes that inventory problems often surface suddenly, and once bad inventory appears, it directly drags down the profitability of trading companies. When distributors carefully count remaining stock and calculate its value at a price that can be digested, they find that the profit originally designed to be earned is exactly the value of the inventory. Therefore, any mishandling of inventory makes losses inevitable. How should we prevent inefficient management or even eliminate bad inventory to improve profitability? The author believes that instead of organizing large-scale promotions after the fact or negotiating returns with manufacturers, it is better to solve inventory management from the source, starting with distribution management.
于秀伟The Mission of Salespeople: Not Collections, but Helping Distributors Make Money!
As competition intensifies and market operation models diversify, the relationship between salespeople and distributors becomes increasingly complex. "The customer is God!" is a phrase all manufacturers and distributors repeat daily. Some salespeople naturally interpret this as "the distributor is God," believing their interests align perfectly with the manufacturer's, but this leads to irregular management and ultimately failure. The real essence is that salespeople and distributors share a common god—the consumer—and the key to success is helping distributors make money.
朱志明The 7 Tactics Second-Tier Distributors Use to Bargain with Sales Reps, and the 17 Ways to Counter Them
Second-tier distributors commonly use seven negotiation tactics to bargain with sales representatives, such as claiming the price is too high, asking for further discounts after a minimum price is offered, demanding freebies, requesting credit, and more. To counter these, sales reps should adhere to 20 principles, including never making concessions without conditions, never revealing the bottom price first, and always exchanging conditions for benefits.
张宇Can 'Universal Dealers' Save Want Want, Whose Market Value Has Evaporated by 100 Billion?
How long has it been since you bought Want Want milk or eaten Want Want snow rice crackers? Perhaps you can't even remember. But Cai Yanming, chairman of China Want Want Holdings, knows well—he retained his title as Taiwan's richest person on the 2016 Forbes global rich list. Yet, despite the title, Cai can't smile, as the company's total market value has evaporated by HK$100 billion over the past two years.
李三年Sales Representatives Are Degrading, 99 Out of 100 Distributors Agree!
As a distributor, dealing with manufacturers' sales representatives is inevitable. Since 1992, I have encountered over a thousand such reps from various companies. Overall, there is a clear decline in their competence and personal quality over the past two decades, a sentiment shared by many fellow distributors. This article contrasts the capabilities of sales reps from ten years ago with those of today, analyzes the reasons for this decline, and suggests that the root cause lies with the manufacturers' owners.
潘文富Year-End Inventory Loading: Load Well and Profit, Load Poorly and Struggle Until March
As the year ends, companies are busy with market operations, eyeing the Spring Festival peak season. Year-end inventory loading becomes the most critical part of seasonal marketing. Companies compete fiercely, but despite various strategies, results often disappoint. This article explores the reasons behind inventory loading, its risks, and how to do it scientifically to benefit both companies and distributors.
New DistributionHow Are Distributors Being Killed by B2B?
Recent media reports have highlighted incidents of B2B platforms engaging in cross-regional selling, disrupting local distributors' sales and prompting extreme reactions such as blockades and complaints. The article argues that this trend will intensify, with B2B platforms increasingly bypassing traditional distribution channels, undermining regional protections, and ultimately squeezing distributors out of the market.
赵波Why Do Distributors with Annual Transaction Volume of Tens of Millions Still Lack Money?
This morning, while chatting with a manufacturer's salesperson, I asked if their products were entering the peak season as the year-end approached. The salesperson replied with just seven words: "Distributors all lack money." As year-end approaches, manufacturers introduce attractive promotional policies, especially in November when major brands start new rounds of inventory pressure, hoping to recover more cash from distributors. Consequently, some distributors give all their money to manufacturers to meet year-end tasks. For distributors, regardless of size or financial strength, they always feel short of funds because they must pay upfront for goods, while large supermarkets and chain stores often use credit sales and long payment terms, tying up large amounts of capital and burdening later operations. Thus, at the year-end peak season, distributors often face cash shortages as manufacturers come to collect payments, and if terminal customers delay payments, it severely impacts the cash flow.
李青林Countdown: 9 Days Left! B2B E-commerce Study Tour Starts Soon - Distributors Seeking Transformation, Register Now!
The fifth B2B e-commerce study tour will officially commence from the 19th to the 24th of this month, visiting Beijing, Tianjin, and Tangshan to inspect Beiquan, Tongying Tianxia, Quanshihui, Zhongke Shangruan, and Huimin Wang. Through on-site inspections, face-to-face exchanges with peers, and professional training, distributor friends gain an initial understanding of domestic B2B e-commerce, and some have found methods and paths for business transformation after the study tour.
赵波The Fate of Traditional Distributors Depends on the Manufacturer's Health: From a Duet to a Three-Way Drama, a Lesson Learned the Hard Way, and the Golden Chamber Pot
For manufacturers, traditional distributors are like a chamber pot, and distributors are willing to play that role. For years, the chamber pot has accompanied manufacturers through endless nights, as manufacturers have always been 'kidney-deficient' and needed it every night. But when the internet's 'hormones' cured the manufacturers' deficiency, the chamber pot became anxious. Distributors' anxiety is not unfounded: they have no products, no brands, no markets—everything belongs to others, making them seem like 'people with nothing.' But does that mean distributors have no value? Obviously not. Their value lies in the supply chain.
李海平Five-Step Method for Distributors to Build a Base Market
Survival first, development second. This is a market strategy aimed at using limited space to create local advantages, win a larger market share, effectively resist competitors' attacks, and preserve and strengthen oneself, making it a sharp tool for distributors to win in competition. Before developing a regional market, distributors must first plan and coordinate comprehensively, systematically planning the regional market. However, in actual surveys, we found that most distributors, when developing markets, have not yet established a base market for survival, i.e., a clear and stable regional market, before expanding the overall market.
师顺宽How Distributors Can Seek Efficiency from Management
After years of development, as company scale expands with increases in sales, products, personnel, and vehicles, large distributors in the increasingly competitive FMCG industry must strengthen management to increase profitability. This article refers to large distributors located in first- and second-tier markets, with numerous brand resources, many vehicles and sales staff, and annual sales exceeding 100 million yuan, operating as companies. Despite company scale and sales growth, their actual profits have not increased correspondingly. Case: In a prefecture-level city in Hebei, Boss Zhang's company operates over a dozen beer and liquor brands, with a warehouse of over 2,000 square meters, nearly 100 employees, and more than 20 delivery vehicles. With sales exceeding 100 million yuan, operating costs have risen faster than performance, leading to shrinking net profits despite growing business.
师顺宽