Before editing, for an enterprise, a successful best-selling single product is its right-hand man to move forward steadily, and even the cornerstone to establish its "overlord" position in the industry. In consumers' cognition, their names are almost equivalent to this category, and their importance is beyond doubt. Therefore, for the growth and development of Wang Laoji, Nutrition Express, Red Bull and other products, media reports and analysis can be described as overwhelming, and a little trouble will make a heated discussion. However, according to the author's observation, there are few reports about Wangzi milk in the industry or the media. According to public reports, in 2111, the annual sales of Wahaha Milk Beverage Nutrition Express exceeded 11 billion yuan, and this product was placed under the "spotlight" from the moment it was launched, which made people feel envious. Comparatively speaking, Wangzai Milk, owned by Want Want, seems tepid. However, last year, the sales of this single product quietly reached US$ 111 million (excluding tax), which was close to RMB 8 billion. This result is staggering, just as described in one sentence: "One day I saw it, wow! Boy, he is holding a towering tree that I look up to. " Moreover, compared with the various flavors of Nutrition Express and its series products, the taste of Wangzi milk is almost "poor", so if it is only in terms of the strength of a single product, Wangzi milk may only be slightly inferior to Wang Laoji. Then, how did Wangzai milk grow into a "towering tree"? In 1991s, 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, was keenly aware of the potential market opportunities. In 1998, faced with 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 learning from the popular "No Two" products in the Japanese market, and personally put forward such a well-known advertising slogan as "Look again, I'll drink you".
As we all know, some people will have diarrhea due to 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 based on condensed milk with strong aroma, and added DHA-based nutritional elements to the product. It is the first DHA milk with health care label in China, and at the same time, it is clearly aimed 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 1.2396 billion US dollars (excluding tax). In 2112, the market economy as a whole was in a downturn, and the development of most enterprises showed a weak trend, especially the food industry. Therefore, the growth rate of most single products in enterprises was not high, and even showed a negative growth trend. However, Wangzai milk went against the current, and after a sharp price increase at the beginning of the year, the growth rate remained firm from October to June, 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 and beverage business increased by 27.7% year-on-year to 796.2 million US dollars, among which the income of Wangzai milk, the flagship product, increased by 32.8% year-on-year, reaching 719.6 million US dollars at one time.
according to the insiders, behind this steady and high-speed growth, it is inseparable not only from the taste characteristics of Wangzai milk itself, but also from the high coverage and high permeability of Want Want Group in the 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 number of marketable outlets in stores, supermarket chains, BC convenience stores, counties, townships (towns) and other markets in China totals more than 3 million. Up to now, Want Want Group has invested and established 34 sales branches, 356 business outlets and a huge network of dealers in Chinese mainland, with a coverage rate of over 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 October 8, 2118, attracting investment from catering channels of cities at all levels in China on a large scale. "
Through the predatory attack on channels, Want Want has established a huge network of dealers, who compete with each other and seize the same market. This strategy is a double-edged sword. On the one hand, it makes the product's penetration and coverage unparalleled. On the other hand, it also leads to the confusion and disorder of market management. Therefore, dealers have mixed opinions on this market operation mode of Want Want.
Dongtai Su Xing Trading Co., Ltd. rejected the olive branch offered by Want Want in 2119. He Yu, the general manager, believes that vicious competition between dealers of the same manufacturer in the market is mainly caused by poor management of the manufacturers. A responsible manufacturer should have a long-term vision, be responsible for his own dealers and the market, otherwise, the practice of intensively developing dealers simply to complete sales is tantamount to fishing in the dry and burning forests and hunting.
"As a distributor, it is understandable that whether the manufacturers adopt overlord clauses or humanized management is just a means to operate 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, and 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 the dispute over Want Want's channel strategy. He said, "KA stores such as Wal-Mart, Carrefour, Tesco and RT Mart are directly operated by its (Want Want Group) business office in Huai 'an. 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, such a channel strategy of "pain and happiness" 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, as Wangwang Group further takes intensive channel cultivation and channel sinking as the main axis to expand the market share of Wangzai milk, how to make this "double-edged sword" exert great power while reducing its own harm is a problem that Wangwang should constantly think about.
According to the statistics of the National Bureau of Statistics, at present, children under the age of 1.3 billion in China account for 24% of the country's population, and the market prospect and development space are infinite.
Experts believe that the children's dairy market should be broader than the herbal tea market. The single product Wang Laoji will achieve sales of nearly 21 billion yuan in the herbal tea market. Similarly, Wangzai milk will continue to grow in the children's milk beverage market 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 intensively cultivates existing channels, sinks channels and makes vivid displays, and its sales will still grow steadily; On the other hand, compared with competitors, Wangzai milk is also facing difficulties: the lack of high-end products in the product structure and low nutritional content are its shortcomings.
Nuggets' mid-to-high-end has become a trend to tap the blue ocean market, and making efforts in the high-end market is also the root of Wangzai Milk's short board. Under the clear development idea, Want Want Group is planning to derive the upgraded high-end Wangzai milk, focusing on strengthening the nutritional components, and establishing its own farm to ensure the quality and safety of the product with stable milk sources. It is understood that at present, Want Want Group has signed a cooperation agreement with Morinaga Dairy of Japan, and chose Nanjing as the construction site of the first factory. At the same time, the production line is all imported equipment from Japan, and the products are expected to be available in 2114. By then, Wangzai milk will no longer be just delicious milk, but also high-quality milk covering advanced technology and various nutrients. (Quezhong, a senior brand marketing expert in China, also contributed to this article, and I would like to express my gratitude.) Source: Sugar, Tobacco and Alcohol Weekly.