In 1990s, the national dairy industry began to implement the plan of guiding dairy consumption and expanding market capacity. Mr. Cai Yanming, Chairman of Want Want Group, is keenly aware of the potential market opportunities. 1998, facing the almost blank children's milk market at that time, Cai Yanming introduced this Wangzai milk suitable for children in China after inspecting the Japanese market, and personally put forward such a well-known advertising slogan as "Look again, I will drink you".
As we all know, some people will have diarrhea because of lactose intolerance, and the taste of pure milk will make some children dislike it. In order to effectively avoid the above problems, Chairman Cai Yanming introduced Wangzai milk, which is a kind of flavored milk based on condensed milk with rich fragrance, and added nutrients based on DHA to the product. It is the first DHA milk with health care label in China, and it is clearly targeted at children and their parents in product packaging design and advertising. Because the advertising marketing of enterprises was not popular at that time, and the selectivity of the media was relatively small, the TV advertising strategy adopted by Wangzai Milk at the beginning achieved excellent results, and the product image of Wangzai Milk was deeply implanted in the hearts of consumers. The report shows that the compound growth rate of Wangzai milk has reached 33% in the past five years, and the sales last year reached 65.438+23.96 million US dollars (excluding tax). In 20 12, the overall market economy was in a downturn, and the development of most enterprises also showed a weak trend, especially the food industry. Therefore, the growth rate of most single products of enterprises is not high, or even negative. However, Wangzai milk goes against the current. After the sharp price increase at the beginning of the year, the growth rate of1~ June remained firm, reaching 28%. According to the interim results of the first half of the year released by Want Want Group on August 29th, the income of dairy products and beverages increased by 27.7% year-on-year to 796.2 million US dollars, among which the income of flagship product Wangzai milk increased by 32.8% year-on-year to 709.6 million US dollars.
According to industry insiders, behind this steady and high-speed growth, it is inseparable from the taste characteristics of Wangzai milk itself, and it is also inseparable from the high coverage and high penetration rate of Wangwang Group in access channels. In addition, according to Hu Zhi, director of the catering channel division of Want Want Group, "According to Nielsen's latest survey data, the total number of marketable outlets in China's stores, supermarket chains, BC convenience stores, counties, townships (towns) and other markets exceeds 3 million. Up to now, Want Want Group has invested and established 34 sales branches, 356 business outlets and a huge dealer network in Chinese mainland, covering more than 85%. Next, Want Want Group will invest more energy to expand catering channels, not only actively contact with major investment media, but also make a high-profile appearance at the National Autumn Sugar and Wine Party held in Fuzhou on June 18, attracting large-scale investment in catering channels in cities at all levels across the country. "
Through the "predatory" attack on the channels, Want Want has established a huge dealer network, and they compete with each other to seize the same market. This strategy is a double-edged sword. On the one hand, the penetration and coverage of products are unparalleled. On the other hand, it also leads to confusion and disorder in market management. Therefore, dealers have different opinions on this market operation mode of Want Want.
Dongtai Su Xing Trading Co., Ltd. rejected Wangwang's olive branch in 2009. Yu He, the general manager, believes that the vicious competition of the dealers of the same manufacturer in the market is mainly caused by the poor management of the manufacturers. A responsible manufacturer should have a long-term vision, be responsible for his own distributors and the market, otherwise, the practice of intensively developing distributors simply to achieve sales volume is tantamount to giving up the basics.
"As a distributor, it is understandable that manufacturers adopt overlord clauses and humanized management, which is just a means of operating the market. The market has always been full of competition and the law of the jungle, and dealers should also understand the rules of the game. It is consumers who really have the right to speak in the market. Ultimately, it depends on whether consumers are willing to pay for this product. " Zhou Rongbin, general manager of Rongbin Trading Company, one of Want Want's agents in Dongtai, gave such an answer.
Wang Chengrong, general manager of Huai 'an Yongxin Trading Co., Ltd., has a deep understanding of Want Want's channel strategy dispute. He said, "Wal-Mart, Carrefour, Tesco, RT Mart and other KA stores are all directly operated by Huai 'an it (Want Want Group). In Huai 'an market, Want Want has five or six dealers. We are responsible for the supply of BC convenience stores and terminal outlets in surrounding counties. At the same time, Want Want has 1~2 dealers in each county. In this way, instead of blank terminal outlets, existing outlets often overlap. "
In my opinion, the channel strategy of "pain and happiness" like this is not uncommon in food enterprises, and the key depends on the operation and implementation of the manufacturers. Judging from the current high growth rate and high penetration rate of Wangzai milk, the advantages of Wangwang's channel strategy outweigh the disadvantages. However, with Want Want Group further focusing on intensive cultivation and channel sinking, and expanding the market share of Wangzai milk, how to make this "double-edged sword" exert great power and reduce its own harm is a problem that Want Want should constantly think about.
According to the data of the National Bureau of Statistics, at present, children under 65.438+0.3 billion in China account for 24% of the national population, with unlimited market prospects and development space.
Relevant experts believe that the children's dairy market should be broader than the herbal tea market, and the single product Wang Laoji will achieve nearly 20 billion sales in the herbal tea market. Similarly, Wangzai milk will continue to grow in the children's milk beverage market in the past and move towards this goal.
As we all know, with the gradual development of high-end children's milk such as Mengniu Future Star and Yili Star, the competition in the children's milk beverage market is more intense. On the one hand, under the product characteristics of Wangzai milk, Wangwang Group will intensively cultivate existing channels, sink channels and make vivid displays, and its sales will still grow steadily; On the other hand, compared with competitors, Wangzai milk also faces difficulties: the lack of high-end products in the product structure and low nutritional content are its shortcomings.
The high-end of Nuggets has become the trend of tapping the blue ocean market, and exerting strength in the high-end market is also the root of Wangzi milk's shortcomings. Under the clear development thinking, Want Want Group is planning to develop an upgraded version of high-end Wangzai milk, focusing on strengthening the nutritional components, and establishing its own farms to ensure the quality and safety of products with stable milk sources. It is understood that at present, Want Want Group has signed a cooperation agreement with Morinaga Dairy of Japan, choosing Nanjing as the construction site of the first factory, and all the production lines are imported equipment from Japan. The product is expected to be launched in 20 14. By then, Wangzai milk will no longer be just delicious milk, but high-quality milk with advanced technology and various nutrients. Quezhong, a senior domestic brand marketing expert, also contributed to this article, and I would like to express my gratitude. ) Source: Sugar, Tobacco and Alcohol Weekly.