NEW DISTRIBUTION RESEARCH TOPIC
How can distributors keep growing across fragmented channels?
Front-line analysis of product selection, organization, channel strategy, profit models, and business transformation for FMCG distributors.
QUESTIONS THIS TOPIC ANSWERS
Distributor Operations & Growth
- What drives sustainable distributor growth?
- How should distributors respond to channel fragmentation?
- How can a distributor evaluate a new business model?
Related research and analysis
4620 articles · Page 1 of 193
Wanglaoji's Jidinghui Redefines Brand-Distributor Relations in a Mature Market
Jidinghui shows how FMCG brands and distributors can move beyond targets, policies, and inventory toward joint management of stores, occasions, sell-through, data, and regional growth.
New Distribution“E-commerce prices are even lower than our wholesale price” – what should distributors do?
E-commerce prices have dropped so low that distributors are baffled. Some products are sold online for less than the distributors' own purchase price, undermining offline sales and trust. This is driven by platform subsidies, brand e-commerce teams chasing KPIs, and distributors dumping stock to meet sales targets, creating a vicious cycle that erodes offline margins and price perception.
周群One-Size-Fits-All Manufacturer Expense Policies Disrupt the Market and Overwhelm Distributors
In the FMCG industry, 'expenses' are both the 'ammunition' for brands to drive the market and the 'lifeblood' for distributors to survive. However, as the market environment changes, with more channels and lower output per channel, along with more diverse consumer demands, the traditional one-size-fits-all expense model is becoming less adaptable. Currently, common expense models in the FMCG industry can be broadly divided into five categories: budget-based, cash fund-based, full product-value coverage, half cash-value coverage, and full cash-value coverage. This article delves into the pros and cons of these five models, using frontline case studies to highlight core pain points between brands and distributors, and offers a best-practice methodology of 'layered matching and dynamic balance'.
高级研究员 海游From Chaos to Truth: A Deep Analysis of Why Distributors' Business Is 'Hard'
The phrase 'the industry is getting harder' masks the most essential problems distributors face today. Data does not lie: in recent years, distributor closure rates have been far lower than related sectors like restaurants and retail, and Zhoupu Data's system shows over 25% of clients achieve average double-digit growth annually. The FMCG distribution industry is not harder than other related industries; in fact, it is much better off. This seems to contradict many people's feelings, as most distributors complain that 'making money has become harder in recent years.' This statement implies at least two things: first, making money used to be much easier; second, distributors should easily make money.
陆只梨Everyone Is Pouring into Special Channels, but 90% of Distributors Are Getting It Wrong
Since 2026, special channels have become the hottest topic in the FMCG industry, with nearly all distributors rushing into scenarios like billiard halls, esports venues, internet cafes, script murder games, campus stores, and highway service areas. However, most entrants are failing to make money due to wrong strategies, such as relying on extensive distribution, neglecting existing customer bases, and lacking customized solutions.
程信FMCG Industry: Big Hit Products Increasingly Hard to Create
Since the beginning of the year, distributors report that despite visiting trade shows and markets, few promising new products have emerged, while private label products from retail systems are taking away business. The market seems to have lost its innovative edge, making it increasingly difficult to create blockbuster products. This is a natural stage of market development, where the threshold and requirements for creating big hits are much higher, demanding comprehensive capabilities ten times greater than before.
张振宇Content Makes Waves, Channels Catch Them: Pepsi's "Alive" Closed-Loop Sales Activation
On a late-night subway after overtime, a lyric from "Alive" by Pepsi, Ashin of Mayday, and Jackson Wang stirs emotions, sparking a viral trend that extends beyond social media to drive offline sales. By embedding music-driven desire into products and campaigns, Pepsi creates a closed loop from content heat to channel sales, offering a fresh purchasing reason for young consumers.
何雯Process Control in FMCG Enterprises Is Turning Salespeople into Tools
Salespeople complain that logging into systems, taking photos, clocking in, and following procedures leave them less time to sell. Sales operations departments counter that without process data, they cannot verify performance or mitigate risks. This article explores whether typical process-control thinking should be abandoned in digital channel management and how to balance result orientation with process control.
JackSpecial Channels Are Hot Again
The status of special channels (special distribution channels) has changed dramatically in the past two years. Previously, they were mainly handled by second-tier distributors, with first-tier distributors unwilling to participate. Now, top brands are establishing dedicated special channel departments, highlighting their growing importance. This article discusses the three key characteristics of special channels: they are social spaces for young people, they integrate sales and consumption scenarios (bC integration), and their true value lies in seeding products for later harvest in general circulation.
刘春雄No Inventory Pressure, No Agency Fees! How a Distributor Captured 100,000+ Local Private Domain Users and Mastered Local Business
In the face of declining foot traffic and shrinking margins, a Tangshan-based distributor, Chang Tianxiao, built a successful S2b2C model with a team of fewer than 10 people, covering 800+ high-quality local outlets and 100,000+ private domain users. By giving away traffic to clients, sharing profits with employees, and charging higher prices than competitors, he found a sustainable path beyond scale.
张雨薇Yili's Move into Foodservice Channels: A New Opportunity for Distributors, Not Just 'Selling an Extra Bottle of Milk'
In recent years, distributors of alcoholic beverages and food have faced mounting pressure: slowing baijiu sales, plateauing traditional beverage growth, and channel adjustments by major brands. The era of relying on a few blockbuster products to make money is ending. Distributors now find themselves trapped with inventory but no sell-through, channels but no profit, and teams but no growth direction. What they truly lack are products that can generate stable profits, brands that support long-term operations, and new business models that protect channel margins while sustaining their teams. Meanwhile, China's foodservice market is undergoing transformation, with consumers redefining 'table beverages' to prioritize health, taste, and quality. Yili has established a dedicated foodservice business unit, recruiting distributors nationwide, and building a specialized product system and operational model around four core scenarios: breakfast, restaurant front-of-house, delivery, and banquets.
伊利餐饮Traditional Distributors' Sales Cliff-Like Decline: 80% of the Blame Lies with Manufacturers
At a major FMCG manufacturer's performance review meeting for distributors from January to April, over 40% of distributors saw year-on-year sales declines, with the figure exceeding 50% for traditional channel distributors. The primary causes include overstocking, shifting business focus, and competitive pressure, but the root cause often lies with manufacturers who must proactively reform.
金名Interview with Zhou Zhen of Zhoupu Data: Distributors Don't Lack Data, They Lack the Ability to Turn Data into Action
In the past year, AI has become an unavoidable topic in the FMCG industry, especially after the rise of large models like DeepSeek. Distributors are interested in AI not because of tech trends but due to operational anxiety. The real value of AI is not to create a chatbot but to help distributors reconnect data, metrics, roles, and operational actions, turning what once relied on owner experience into replicable organizational capabilities.
周群The Second Half for Distributors: 'Don't Blindly Chase Trends, Rebuild Your Business from Scratch'
Recently, I met with several distributors. One beverage and catering distributor said instant retail has severely impacted his business, while a daily chemical distributor noted that promotions no longer work and a good product portfolio is what matters. A Chengdu distributor of snacks and instant drinks emphasized the need to re-examine basic operations like finance, procurement, and warehousing to improve efficiency. The key takeaway: distributors should focus on rebuilding their core business rather than chasing new trends.
周群AI That Truly Works for FMCG Can't Just Be a Chatbot
The FMCG industry doesn't lack AI that can chat. In the past two years, AI has been red-hot, with ChatGPT, DeepSeek, and other general large models reshaping how many industries work. But FMCG is special: business happens on streets, in stores, at freezers, on shelves, during visits and promotions. A brand's growth often comes down to specific questions like how many suitable stores exist in a city, which areas to prioritize, and what actions sales reps should take. General AI can help organize thoughts but can't provide reliable answers because it lacks the most fundamental thing: real channel data. Without store data, AI is just talk; without format judgment, it can't guide distribution; without regional granularity, it can't translate into frontline actions. So, useful AI for FMCG must know where the real market is.
陈思廷Ten Years of Aerospace Cooperation: Why Should Distributors Bet on Master Kong for the Long Term?
Distributors often say that big brands are tiring and less profitable, but the real criteria for long-term commitment are stable sell-through, solid expense support, and sustained brand investment. On May 15, Master Kong opened its 'Tianxuan Good Noodle House' at the Shenzhen Science and Technology Museum, offering a window into how a major brand connects brand equity, product strength, and terminal confidence through continuous investment.
冯瑶Brand Owners and Distributors: Stop Obsessing Over Coverage
In a recent discussion with an FMCG company about channel transformation, a very practical question was raised: how to continue increasing coverage in first- and second-tier cities? This question sounds familiar. For many years, FMCG companies have talked about channels in terms of coverage: covering more blocks, covering more outlets, and as long as you occupy enough shelf space, growth will naturally follow. But in that discussion, we formed a sharper judgment: the word 'coverage' may already be a product of the previous era. The current situation is likely that the more you think about 'coverage', the harder it is to truly 'cover'.
任文青AI in FMCG Starts on the Front Line
AI creates real value in FMCG only when it enters sales, stores, inventory, spending, channel management, and day-to-day operating decisions.
New DistributionHow Distributors Can Use AI to Manage Business, Read the Market, and Lead Teams
Many distributors have been experimenting with AI, initially using it for writing copy. However, the real value of AI for distributors lies not in content generation but in helping owners identify business problems earlier and decide what to manage first. By exposing hidden wastes in resources, manpower, inventory, and opportunities, AI can transform from a content tool into a business management tool that improves revenue, profit, and efficiency.
赵波The Era of Distribution is Over: Old Channel Organizations in FMCG Can No Longer Hold Up
FMCG companies' channel organizations are at a point where change is imperative. This feeling has grown increasingly strong recently. I shared this judgment in articles in late 2023 and early 2024, when many readers dismissed it as alarmist. At that time, the industry hadn't reached today's urgency, but now, with the impact of overcapacity and AI, traditional channel organizations must transform. This article proposes a shift from distribution-oriented to matching-oriented organizations.
任文青FMCG AI: A Severely Underrated Sector
The FMCG industry is often perceived as traditional, low-tech, and digitally lagging, but this impression is only partially correct. While many distribution channels remain analog, giants like P&G and Coca-Cola have invested billions in digitalization, and the sector's complex decision chains and high trial-and-error costs present a massive, underappreciated opportunity for AI.
戚特From Leading Standard-Setting to Medicine-Food Homology: Baixiang Gives Distributors Real Confidence for Long-Term Business
Distributors face the challenge of homogeneous products, but Baixiang's release of the 'Old Hen Chicken Soup' group standard provides a quality benchmark and a basis for trust. Baixiang's commitment to genuine ingredients and long-term innovation, including the new Medicine-Food Homology series, offers distributors a reliable path to sustainable growth.
冯瑶Blindly Visiting Stores Won't Work for Frontline Sales!
Recently, while preparing for the AI Application Forum at the CFC conference at the end of the month, I've been engaging in intensive discussions with brand owners about AI applications. The feedback I've received can be roughly divided into three stages. The initial stage involves administrative tasks like meeting minutes, customer service replies, contract review, and bid document generation. The intermediate stage includes applications like internal knowledge bases, image recognition for store inspections, consumer demand insights, and sales report analysis, where some small business scenarios start to be addressed. From my interactions, most companies are still in these first two stages.
袁来Shisheng's “Live Soy Sauce” and the Search for a New Premium Standard
After zero-additive and organic claims became crowded, Shisheng used long fermentation, membrane filtration, measured enzyme activity, and export credentials to propose a differentiated premium soy sauce category.
New Distribution