Layout of vitamin beverage market cross-border fast-disintegration brand authorization into pharmaceutical enterprises iron law?
Just as Nongfu Spring took advantage of the popularity of popular variety shows to sell vitamin water, the capital market and various companies also smelled potential business opportunities and joined the new round of beverage market. At present, in addition to the increase of established fast-growing giants such as Uni-President and Master Kong, giants such as Sanjiu Enterprise Group and Harbin Pharmaceutical Group have also begun to quietly intervene to attract investment within a certain market range, with the intention of taking advantage of this outlet to gain a firm foothold in the fast-growing market.
A reporter from China Business Daily noted that although these vitamin drinks are marked with the brand logos of Sanjiu Group, Harbin Pharmaceutical and other enterprises, in fact, the main company responsible for operation does not have a shareholding relationship with these giants. Some people in the industry told reporters that in fact, such giants do not involve their own company's resources in the production and marketing of these products. They outsource brand authorization to other companies, and the authorized companies are solely responsible for the production and operation of such products. If the product has achieved good market results, then buy back the product to their own. "The cooperation model between Wang Laoji and Jiaduobao is not accidental. This kind of incident is not the first and will not be the last." Strategic positioning expert Xu Xiongjun told reporters.
Sanjiu Cross-border FMCG Industry?
It is nothing new for pharmaceutical companies to enter the fast-moving market. Compared with the direct entry of Jiangzhong Group and Taiji Group, more companies have chosen a more conservative brand authorization type of intervention, and the most typical one is the case of Guangyao Group and Jiaduobao.
Since 2017, vitamin drinks have shown a good momentum of development under the continuous increase of fast-moving giants such as Nongfu Spring and Danone. A few days ago, the brand name "Sannuo Sanjiu Enterprise Group Glucose Hydration Beverage" landed on CCTV for advertising promotion and launch, and this vitamin beverage with the brand name of Sanjiu Group is attracting high-profile investment all over the country. The reporter noted that the producer and seller of the product is Henan Sannuo Food Co., Ltd. (hereinafter referred to as "Sannuo Food"). According to industrial and commercial information, the company has no equity relationship with Sanjiu Enterprise Group.
The reporter contacted Sannuo Food Company. Sannuo Food said that the product was jointly developed by Sannuo and Sanjiu Group. In addition to this product, Sannuo Food has other beverage products, which are independently produced and operated and have nothing to do with Sanjiu Group. It is worth noting that Sanjiu Enterprise Group has nothing to do with China Resources Sanjiu. The former was formerly known as Shenzhen Southern Pharmaceutical Factory, and the latter is a listed company under China Resources Group. CR Sanjiu also confirmed to reporters that CR Sanjiu has no relationship with the Sanjiu Enterprise Group.
In this regard, some people in the industry told reporters that at present, many enterprises, especially pharmaceutical enterprises, are in a situation of "having more than enough heart but not enough strength" for the FMCG industry. They often authorize professional marketing teams or companies to take over the operation. Under normal circumstances, the pharmaceutical manufacturers are responsible for developing the formula of the products, and then the food enterprises are responsible for the production and sales. The most typical cases are undoubtedly Guangzhou Pharmaceutical Group and Jiaduobao team. Since there are already "lessons learned" from Guangyao and Jiaduobao, the current general pharmaceutical companies have reached an agreement with outsourcing companies, that is, if the product reaches a certain scale in the industry, the former will buy the company at a high price or directly Buy back the product into the company's system.
In view of the relationship between Sanjiu enterprise group and Sannuo food, Sannuo claimed that the research and development of the above beverage products were "bilateral cooperation". In addition to cooperating with Sannuo food, Sanjiu enterprise group also cooperated with other food companies, including drinks, beverages, biscuits and other products, which were outsourced to other companies in production and marketing. In addition, the reporter noticed that although these products were marked with Sanjiu Enterprise Group, they did not use the "999" trademark.
Brand marketing expert Lu Shengzhen told reporters that from a brand perspective, the purpose of cooperation of these food companies is undoubtedly to use the popularity of the Sanjiu brand to increase the appeal and influence of products. Although these companies, including Sannuo Foods, have not used and cannot use the "999" trademark, the "Sanjiu Enterprise Group" has sufficient appeal. It is worth noting that although the Sanjiu Enterprise Group has authorized many businesses to other companies and printed the Sanjiu logo on the product name, the product does not indicate whether there are regulatory responsibilities and other issues. If these companies have problems, it is likely to affect the reputation of Sanjiu Enterprise Group (Shenzhen Southern Pharmaceutical Factory) and even China Resources Sanjiu. After all, in the perception of most consumers, Sanjiu and "999" are equivalent.
Pharmaceutical companies cross-border sentient beings
"Compared with the traditional fast-disappearing enterprises, pharmaceutical companies have inherent advantages such as research and development of fast-disappearing products." Xu Xiongjun told reporters, "But the market channels of the fast-selling industry are more diversified, and the channels between the two are more single, and it is difficult to connect. The marketing team of FMCG pays attention to the tactics of people, highlighting the exposure of products in daily consumption, a national FMCG enterprise often has as many as tens of thousands of marketing personnel, and this number is difficult for traditional pharmaceutical enterprises to achieve."
In recent years, there have been only a handful of successful cases in the cross-border FMCG industry of pharmaceutical companies, the most well-known of which are the cases of Guangzhou Pharmaceutical Group and Jiangzhong Group. Among them, Jiangzhong Group entered the fast-moving market with the monkey gu series, and developed a new subdivision category, gradually gaining a foothold in the fast-moving market. But for most pharmaceutical companies, it is difficult to compare the height of Jiangzhong Group. "The success of Jiangzhong Group's Monkey Cookies has certain basic conditions. Among them, Jiangzhong Jianwei Xiaoshi Tablets are very close to the mode of fast elimination in publicity and marketing." Xu Xiongjun said.
The successful case of Jiangzhong Group has inspired many pharmaceutical companies with weak performance growth, including Taiji Group and Golden Throat Group, to directly invest in the fast-moving field. Taiji Group has successively invested in herbal tea and drinking water business, while Golden Throat Group has entered the herbal tea industry. At present, Taiji Group's herbal tea business has been completely stopped, and Golden Throat is suspected to be brought to court because of the marketing arrears of herbal tea business.
The setback of Taiji Group and Golden Voice Group in the fast-disappearing industry has led many pharmaceutical companies to choose to cooperate with professional marketing teams and fast-disappearing companies. For example, before the Gatobao team took over, Guangyao Group did not make herbal tea bigger. It was under the marketing system of Gatobao that herbal tea became the dominant drink.
The success of Guangzhou Pharmaceutical Group has also attracted other pharmaceutical companies to imitate, including Harbin Pharmaceutical Group and Sanjiu Enterprise Group (Shenzhen Southern Pharmaceutical Factory) to outsource FMCG business to other companies, and the common characteristics of such contracting companies It is that its own scale and brand influence are relatively limited. "In fact, Guangzhou Pharmaceutical Group has also granted the right to use a number of brands to other companies, but have not achieved good results. Giants in the FMCG industry are mostly multi-party attempts, if after outsourcing feel that there is a certain effect to take over, on the contrary, regardless of the question. It can be seen that the brand will be arbitrarily authorized still has some hidden dangers." Xu Xiongjun said.
The above concerns of industry experts are not groundless. In December 2016, the official website of the State Administration of Food and Drug Administration released a black list, in which "Jiangzhong" nutritious rice noodles (monkey gu maintenance series) were on the list, and Jiangzhong Group soon fell into a storm of public opinion. In fact, the above-mentioned products are not the products of Jiangzhong Group, nor are they related to Jiangzhong Group. They are mainly involved in the storm because of the trademark association. (Source: China Business News)
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