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.
Related research and analysis
4620 articles · Page 25 of 193
Distributors Have Lost Their Sense of Security
Distributors are feeling increasingly insecure as markets stagnate while manufacturers keep raising sales targets, terminal stores show little loyalty, and talent becomes hard to recruit and retain. To regain security, distributors must focus on self-improvement through digitalization, broader terminal coverage, and better compensation plans.
周群Zhao Bo of New Distribution: The Logic and Direction of Channel Transformation in the FMCG Industry
This article is a foreword written by Zhao Bo, founder of New Distribution, for the book "The Password to Channel Construction: Digital Development and Practice of Consumer Goods Channels." It analyzes the evolution of China's retail and distribution channels, the rise and limitations of deep distribution, and the necessity of digital transformation in the face of changing market dynamics.
赵波The Core of Distributor Morning Meetings Is Helping Salespeople Make Money
Morning meetings, the simplest and most basic daily management routine, seem to trouble many frontline execution teams. This article discusses how to prepare and conduct efficient morning meetings, emphasizing that the key is to use data to show salespeople how to earn more money, turning management into motivation.
高级研究员 海游“Even a delivery guy like me can tell something's wrong with this year's market!”
A salesperson's observation that even a delivery person can sense market problems leads to an investigation revealing sluggish sales, aging inventory, credit sales turning into bad debts, and distributors overwhelmed by stock pressure.
张雨薇Winning at the Point of Sale: Lee Kum Kee Joins Hands with Distributors to Create Rapid Market Growth
Recently, Lee Kum Kee held its national channel partner conference in Guangzhou, with the theme 'Win at the Point of Sale, Win with Lee Kum Kee,' underscoring the company's strategic commitment to terminal operations. The insights shared by business leaders at the conference conveyed a strong sense of confidence in winning at the retail level. Among the attendees were many outstanding distributor partners excelling in various channels. The author had the opportunity to meet a distributor from Henan, Xinxiang Zhihua Changwang Trading Co., Ltd. (hereinafter referred to as Zhihua Trading), and visited Xinxiang for a face-to-face interview with this distributor.
孟云FMCG Distributors' Business Is Getting Harder!
Hello friends. I'm Yuan Lai from New Distribution. Recently, I've been conducting market research and sharing insights with offline distributors of Kimberly-Clark (China) and C&S Paper, and had in-depth discussions with several distributor friends. It's clear that offline FMCG distributors are facing increasingly tough business conditions, primarily due to declining foot traffic and sales at retail stores.
袁来Under Cyclical Pressure, Bestore Defends and Attacks?
In an era of intense competition across all industries, no one can win easily. On the evening of April 25, leading snack company Bestore released its 2023 annual report: revenue of 8.046 billion yuan, net profit attributable to shareholders of 180 million yuan. Despite cyclical pressure, it stabilized its core business. Its 2024 Q1 report showed revenue back on a growth track, up 2.79% year-on-year to 2.451 billion yuan. Due to proactive price concessions, net profit attributable to shareholders fell 57.98% to 62.4828 million yuan.
任建新Dealer Strategy Is Not About Scale, but About Building a Moat
Recent visits to dealer members of the Tower Alliance have revealed that many dealers are struggling with transformation, often without a clear strategy or thorough validation. The direction of business upgrade and transformation varies by region and market demand, making a standard template impossible. Dealers must focus on building a moat based on their mission, resources, capabilities, and cognition, rather than merely pursuing scale or profits.
赵波Alibaba's Retail Link Retreats, Distributors Step Forward
Recently, a B2B distributor expressed regret over Alibaba's Retail Link, noting that while the physical warehouse part was profitable in his region, Alibaba lacked patience. New Distribution's visits to regional B2B distributors confirm that many succeed in both high-tier and low-tier cities. The article explores why internet giants fail at FMCG B2B while distributors excel, emphasizing density, cost efficiency, and the shift from transformation to career change for distributors.
周群Business Down 50%, Thresholds Higher: What Can Still Be Done with Campus Channels in 2024?
Campus channels, once a stable and lucrative market for distributors, are now facing declining sales and rising costs due to changing consumer habits and e-commerce competition. This article analyzes the challenges and offers strategic adjustments for distributors to remain viable.
张雨薇Why Are There More Major Distributors in South China, East China, and Southwest China, While Fewer in North China and Central-South China?
At a recent meeting, I sat next to a major distributor from South China with annual sales exceeding 10 billion yuan, which reminded me of the differences in major distributors across regions. In North China, a distributor with 100 million yuan in sales is already considered major, highlighting the significant disparity. The presence of major distributors varies greatly by region, influenced not only by individual capabilities but also by geographical factors. For instance, South China, East China, and Southwest China have more major distributors, while North China and Central-South China have relatively fewer, with notable differences in the ceiling of distributor scale.
刘春雄Retailers Are Fiercely Grabbing Distributors' Business!
In 2024, FMCG practitioners are focused on one thing: selling goods! Multiple brand executives have told me that as long as there is a channel and sufficient sales volume, factories can provide customized products with flexible specifications, packaging, and even prices. Short-term consumption recovery has not arrived, and in the long term, demand seems to be entering a phase of contraction with no signs of reversal. Currently, retailers are competing fiercely, distributors are competing, manufacturers are competing, and even different departments within manufacturers are competing. As the first quarter of 2024 passes, many manufacturers lament that there are truly no incremental channels left, yet growth targets remain! Everyone is anxious about selling goods.
任文青AndyIs Warehousing and Distribution the Lifeline of Distributors, or Will It Be Their Downfall?
At the 2018 'Opening Class', when I mentioned that warehousing and distribution functions would be separated from distributors and outsourced to third parties, a distributor in the audience asked a soul-searching question: Without warehousing and distribution, is a distributor still a distributor? Before that, warehousing and distribution were indeed the lifeline of distributors. In 2012, Midea Group underwent digital transformation, with its subsidiary Annto Logistics implementing 'One Inventory' and integrated delivery and installation. Not only did distributors not touch the goods, but retailers also did not. 'One Inventory' greatly reduced the number of loading and unloading times from factory to user, from 6 times to 2-3 times.
刘春雄Can Distributors Switch to Retail? Li Xinmin of Youtong Convenience Gave the Answer 20 Years Ago
In recent years, as market conditions have changed, distributors' businesses have become increasingly difficult, prompting many to explore new paths for transformation and upgrading. New Distribution has reported on numerous transformation cases, such as B2B and snack stores. In fact, trading has never been an easy business, and each era has its own challenges. Twenty years ago, many distributors sought transformation due to limited growth, but few succeeded. This article presents a successful case of a veteran with over 20 years in the FMCG industry who transitioned from distributor to retailer.
赵胜男How Established Distributors Can Adapt to a New Generation of Competition
Younger distributors are using data, digital platforms, standardized management, and shared incentives to compete without the market and brand dividends that built the previous generation.
New DistributionSell-Through Is the Real Test for China's Unsweetened Tea Brands
In a crowded unsweetened tea market, a new brand needs a defensible price tier, repeatable taste, reliable supply, channel margin, local execution, and reorders—not just traffic, listings, or first shipments.
New DistributionThe Future of Distributor Business: Outcompete Yourself, Eliminate Competitors
Distributors' business is peculiar: upstream brand owners can cover the whole country, and downstream retailers can expand across regions if successful locally. However, 90% of distributors operate locally within a single city, mainly due to brand owners' authorization management. Many distributors, after representing several first-tier brands and reaching annual sales of 30-40 million (or even 70-80 million to over 100 million), believe there is little room for growth. In this context, where should distributors' future business go? How should they achieve 100 million, 500 million, or even 1 billion?
袁来Two Growth Paths for FMCG Distributors: Product and Supply-Chain Innovation
In a saturated market, distributors can build new growth by turning logistics into a professional supply-chain business and by selecting or developing innovative products in the right categories.
New Distribution"Jinsha Huisha Wine" Trademark Remains Valid and Legally Protected
Recently, the Supreme People's Court ruled in a retrial case that the use of "Jinsha Gusha" by Guizhou Jinsha Andi Doujiu Co., Ltd. and Guizhou Jinsha Gujiu Co., Ltd. constituted infringement of the "Jinsha Huisha Wine" trademark owned by Jinsha Distillery. The court affirmed that the trademark remains valid and should be protected by law. In response, Jinsha Distillery stated it will further focus on brand protection and intensify rights enforcement.
New DistributionHow Did He Achieve Annual Sales Over 100 Million in a County Town with a Million Population, Representing Brands like Mondelez, Lay's, and Qiaqia?
A distributor in a county town with a population of over one million achieved annual sales exceeding 100 million by transforming from a brand agent to a channel supply chain company, focusing on the snack category, optimizing channel structure, and improving salesperson efficiency through a 'salesperson + merchandiser' model.
周群The Sales Code Under the Transformation of New Retail Channels
A common sentiment is that business has become increasingly difficult in recent years—where have sales gone? The market is harder to control, with more channel conflict and price management challenges. Wang Jichao, General Manager of Zebra Business Operations Co., Ltd., a platform focused on local life e-commerce, has led projects in community group buying, e-commerce, and Meituan Flash Shopping. At the 9th China FMCG Innovation Conference & the 2nd China FMCG Hard Discount Conference & the 2nd China FMCG Distributor Conference, he shared insights on the sales code under new retail channel transformation, offering new ideas for distributors.
王继超How Much Is a Salesperson's Customer Relationship Worth?
Long ago, I categorized the skills of frontline salespeople into three types: attitude skills, customer relationship skills, and business skills. Among these, customer relationship skills are the most important, accounting for 80% of the factors in closing a deal. This article explores how to increase regional sales through stable customer relationships, using the example of a distributor in Henan who successfully captured market share by leveraging customer relationships when a competitor was in transition.
高级研究员 海游A Big Opportunity? Retail Tong's Shutdown Brings Triple Dividends—Dealers' Chance to Win!
Recently, a major event occurred in the FMCG distribution industry: Alibaba's Retail Tong, once the industry leader, announced it would suspend operations. This presents an excellent opportunity for local FMCG dealers who can seize it to reap significant benefits. Today, we will analyze the impact of this event on the industry and explore how dealers can capitalize on this wave of opportunity. The platform's model flaws may have predetermined its fate; Retail Tong's closure was not accidental. Its ambition to integrate and absorb local dealers to achieve scale was unrealistic.
订货宝“In the First Year of Entrepreneurship, We Only Treated Ourselves to Dumplings at Year-End” — How Did This Distributor Achieve 70 Million in Three Years After Restarting?
Recently, during market research visits in Shandong and Anhui, many distributors reported that business is tough, especially in lower-tier markets, with many being eliminated or forced to downsize. Against this backdrop, Weifang Beibei Le Food Co., Ltd. not only survived but thrived, maintaining 20% annual growth. General Manager Sun Xiaojing, who has been in the trading business for 17 years, restarted her business in 2021, focusing on snacks, baking, internet-famous and fresh-box foods, and has achieved sales exceeding 70 million yuan.
何雯