The logic of the operation of the wholesale chain of the yongda jinmen cigarette, which is the black horse of the regional market, is always veiled by mystery. This paper is based on visits to 12 tobacco distributors in the north china region, in conjunction with industry data and the oral statements of practitioners, the deep dismantling of the bottom-up support of their price systems, the establishment of a network of channels, and the sub-rules of the wholesale market that “do nothing”. The text shows you the law of the tobacco wholesale market。
I. Market break-through code for yongda jinmen cigarettes
Remember last year, at the north china tobacco fair, an old dealer was groaning about his thighs: "smoke is now like a stock-fired stock, you have to look at the wind!" it's the right thing to say to him. The region's brand has risen by 18 per cent in three years, with three major surprises behind it:
However, the most popular of its peers is the maori space between wholesale and retail prices of up to 42 per cent — an average of nearly 10 percentage points higher than in comparable industries. According to chen, a local city wholesaler: “we have a warehouse turnover rate of 1. 5 times faster than the same product, and the financial pressure is far less.”
Ii. Three pillars of price advantage
Turning to the price system, it is necessary to mention last year's “price doubt”. At the time, there was a tradition of low-priced dumping by heng dae-mon, and later a regulatory investigation found that there was a unique secret to his cost control:
Intensive reform at the end of production: introduction of a german fleet of rollers, up to 12,000 per minute, reducing energy consumption by 23 per cent
Logistics network drop-off boxing: strategic collaboration with rail freight forwarding to establish five regional transit warehouses at a cost of 0. 8 per package
The precision of the policy dividend: through local industrial support policies, equipment and technology adaptation subsidies alone receive a scale of 10 million
This is evidenced by the 9. 7 per cent reduction in the cost of single-box production in 2022, also in the context of higher prices for raw materials。
Iii. A dark-line layout of the channel network
If the price is face, the channel is leeko. According to a non-renowned provincial agent, there are “three rules” for the establishment of the shinda jin gate channel:
What is more, their regional protection mechanism — using a dynamic coding system — accurately tracks the flow path of each cigarette. A dealer tried to cross-section, and the system was locked in three days and the bond was seized. This digital regulation has significantly improved the market order。
Iv. Guide to mass-run pits
What's the easiest thing to do when you're new? Mr. Wang has learned three main lessons:
Qualifications are fast: a peer-in-chief company, with the resulting licence revoked
Warehousing management is science: temperature control is not in place, and the goods worth 300,000 go bad
Market smell needs to be sharp: last year, some explosion suddenly adjusted supply policy, and slow-responding businesses were all locked in
There is also a typical case recently: a wholesaler hoards blindly and in the wind, and ends up in reverse prices and ends up losing $80 per box. This reminds us that the development of dynamic monitoring systems is more important than blind expansion。
V. Triple variables for future trends
At the 2023 node, industry is undergoing profound change:
A senior industry analyst predicts that “the next three years will be a critical period for brand differentiation, a brand that understands both products and channels and is expected to hit the top ten countries.”
After all, the doorway to tobacco wholesales is like peeling onions — the more they go inside, the more the truth about the hot eyes. However, compliance is the bottom line, the channel is the king's path and the cost control is the dead end. Those who are able to sit on a fishing platform in price fluctuations tend to play with these three axes in the dark。
