On December 14, the 5th China Baby and Child Industry Leaders Summit of 2018CBIS was held in Beijing.
"In recent years, China's economy has been adjusting in the process of bottoming out. Changes in the macro environment affect all walks of life, market hot spots rotate rapidly, various concepts emerge in an endless stream, consumption upgrading and consumption downgrading coexist, and trade disputes affect the import and export markets, as well as domestic industry and consumption expectations. The baby industry is no exception. The industrial environment, consumption ecology, retail formats and competition patterns are all undergoing drastic changes."
Liu Lin, general manager of Zhongtong Media, said in her opening speech at the 5th China Baby Industry Leaders Summit 2018CBIS.
Liu Lin, general manager of Zhongtong Media
The dilemma and confusion faced by traditional children
"Traditional maternal and child retail is experiencing four difficulties and confusion: first, large promote large sales, small promote small sales, do not promote sales; Second, in the era of traffic = sales, how to drainage outside the store, snatch traffic, improve the probability of transaction; Third, the regional polarization is serious, the status and influence of the leading system is difficult to shake, showing a surface of "harmony and prosperity" but "undercurrent" situation, but helpless; Fourth, it is becoming increasingly difficult to generate sales by relying solely on the salespeople's ability to sell and the relationship with consumers." Wang Haitao, chairman of the board of directors of Newfit Dairy, said that the first person of maternal and child culture marketing.
Wang Haitao, the first person of maternal and child culture marketing and chairman of Newfit Dairy
Moreover, domestic brands of maternal and child products are also feeling certain pressure. "In recent years, imported maternal and infant products are very popular among domestic consumers, and overseas purchases of maternal and infant products account for 12.1%. In particular, since December 1, 2017, the import tariff of baby diapers and diapers, as well as some infant formula milk powder, has been reduced to zero. In the current situation where local brands are relatively weak, foreign maternal and child products seize the opportunity to actively enter the domestic market."
Hallmark, a special expert at Snail School
"Mother and baby stores are now facing the biggest problem is another: consumers do not buy it," Chen Yue, chairman of China billion homes pointed out, "discount, promotion consumers used to, began to not buy it, and then open wechat community, small procedures, the construction of PC website, even if entered into the e-commerce platform, open independent online mall, customers still may not buy it.
Chen Yue, chairman of Zhongyi Home
The time when mothers and infants should make money lying down and win smoothly is passing, and with the influence of the downward trend of economic pressure in China in the past two years, the changes within the industry will be further intensified.
All these changes are due to the change of the new generation of baby and child consumers. Yu Jian, general manager of Kantar Consumer Index Greater China, summed up the three major demands of the new generation of treasure mothers. First, they pay more attention to the material, origin and function when purchasing, pursue high-end milk powder and diapers, and have a high degree of trust in imported brands of maternal and child products, and like to buy imported niche brands. Second, efficient and convenient, more and more favor high-tech products, high willingness to learn, more keen on segmented goods and multifunctional, practical, portable goods; Third, the trend of fashion, pay more attention to the personalized maternal and infant products, chase more fashionable trend of baby.
Yu Jian, general manager of Kantar Consumer Index Greater China
Seek transformation and upgrading
The consumer side is changing dramatically, which is both a challenge and an opportunity. Liu Peng, vice president of Jiang Xiaobai, believes that "the generational gap is an opportunity for consumer product innovation."
Jiang Xiaobai Vice President Liu Peng
Li Yuzhang, general manager of Foshan Parent-Child Square, believes there will be more cross-border activity in the next year or two, and that upstream and downstream will tend to integrate. In particular, driven by IT technology and Internet technology, the trend of online and offline integration in the retail industry is irreversible and we must embrace it.
Li Yuzhang, general manager of Foshan Parent-Child Square
Therefore, mothers and children must seek breakthroughs and transformations. Ma Wenbin, chairman of Yingshi Holdings and founder of Yingshi & Sulbiki, said in a speech: "Mothers and babies must change their structure to find a breakthrough, upgrade their thinking for growth! For example, adjust the store structure, optimize the staff structure, increase the proportion of daily sales, improve the category structure, etc.
Ma Wenbin, chairman of Yingshi Holdings and founder of Yingshi & Sulbidge brand
Of course, the upgrade also needs to have a direction.
Deng Da, president of Yiyi, said that we do not go with the flow in our own upgrading. At least the boss should be clear about his duties and responsibilities.
Yiyi President Deng Da
What's the real upgrade? Mi Hongfeng, chairman of Mi, said, "For stores, it's not just the price upgrade, but also the price upgrade -- consumers' demand for prices is getting lower and lower."
Mi Hongfeng, chairman of Mi
"Competing for unicorns, creating oligarchs together." Tang Li, chairman of Hunan Dadai, said that 2019 should be the first year of integration of the whole maternal and child industry. Some chains are already testing the waters of integration from brand side to channel, to retail stores and to consumers.
Hunan Dad love chairman Tang Li
Restructure the maternal and child industry
So what exactly can mothers and babies do in the future?
Shi Wei, a famous marketing management expert and one of the founders of deep distribution theory, brought a new deep distribution theory this time: from channel to consumer. Maternal and child stores should learn to conduct customer diversion and flow through network space, community space and on-site space, create high-quality retail terminal experience for customers, discover customers' hidden needs, exceed customers' expectations, and create customers' moving feelings.
Famous marketing management expert, one of the founders of the theory of deep distribution Shi Wei
Wang Guangyong, brand director of Miniso, shared the idea of brand operation, he believes that we are entering a product-centered small but beautiful selection era. The maternal and child industry can also build the "three high and three low" model of famous products, namely, high appearance level, high quality and high efficiency; Low cost, low margin, low price.
Wang Guangyong, brand director of Miniso
Jiang Tao, general manager of Regi Baby, believes that manufacturers and baby shops should not be hostile to e-commerce, but to improve sales efficiency through e-commerce. "E-commerce is not only a channel, but also a medium, which can create the link between online and offline, so as to maximize the value of products."
Jiang Tao, general manager of Regi Baby
Yang Huichen, chairman of Hebei Wang Ziyang, believes that offline entities need to enhance their core competitiveness. First, pay attention to customer feelings; Second, focus on cost efficiency. The significance of consumer education lies in the fact that some categories in the maternal and child industry are not mature enough for customers to make their own purchases.
Yang Huichen, chairman of Hebei Wang Ziyang
Sumida Group founder and CEO Zhao Zhe believes that after consumption upgrading, mothers and babies need to pay attention to two aspects. First, the changes of store image upgrading need to cater to the post-90s visual aesthetic viewpoint; Second, products drive market changes. The maternal and child industry is a product-driven industry. Whether consumption is upgraded or reduced, we should pay attention to the embodiment of products and pricing.
Sumida Group founder and CEO Zhao Zhe
Gao Fenfen, chairman of Jianrui Maternal and Child, believes that the future development trend can be summed up as "three harmonies". "Three" namely, first, polarization; Second, demand simplification, maternal and child enterprises can focus on one-stop comprehensive solutions. Third, the cooperation of the community of interests in the whole industrial chain, including full cooperation with cooperation, upstream, midstream and downstream, is inevitable in the future. "One heart" is the heart of the heart. We must understand the needs of customers from the heart, communicate with customers, and finally provide the best and most suitable things to our customers.
Gao Fenfen, chairman of Jianrui Maternal and Child
Zou Bo, chairman of Chongqing Doll Country, believes that in the future, maternal and infant workers should focus on three aspects. First, category management of products should be continuously refined in the future. The second is the enterprise positioning, the enterprise to express a clear image to consumers, convey what value you can bring to consumers, so as to occupy an important position in the mind of consumers; Third, the organizational efficiency of an enterprise determines how far and how long it can go in the future.
Zou Bo, chairman of Chongqing Doll Country
What is the way forward for the maternal and child industry? Ala Xiaoyou co-founder & Tong Menghui chairman Li Maoyin thinks it is resource integration, huddling together for warmth. "The mind and the pattern determine the positioning. Going it alone has become a thing of the past, while resource integration has the future. Mothers and children should adapt to the changes in the new pattern of mothers and children, open their hearts to welcome all kinds of resources, and keep warm together, develop together, and make the cake bigger together."
Li Maoyin, co-founder of Ala Xiaoyou & Chairman of Tong Menghui
And Zhengzhou Richu business general manager Zhang Xiaowu more value professional talent training, he said, "in fact, now the store manager and clerk is not lack of knowledge, the lack of professional and professional consciousness, so most of the time is the lack of rules, discipline, according to the mentality of systematic operation standards." This is what should be focused on when training.
Zhengzhou Richu Trade general manager Zhang Xiaowu
However, while focusing on the development of the whole industry, we still need to focus on the industry segments.
Zhongtong media founder and chief planner Luo Wengao said, segmentation is an iron law in the development process of business, in a certain stage, business is bound to expand the scale of production through segmentation, expand demand, even create demand. Without segmentation, the market will never be small.
Zhongtong Media founder and chief planner Luo Wengao
Finally, I would like to express my heartfelt thanks to the partners who have provided strategic support to the CBIS China Baby Industry Leadership Summit: Sulbiki, Nuffitt, Ambault, Sunnyvale, Mille FOOD A/S, Minador, Nutri One Nutrition, Anginute, Lear International, WELLINGO, Nutrihabit, Vital Sunshine, Nutrasis baby, Nurez, Yingshi, Yiwei, Besme, the beginning of the people, Baby Shang, Detai, Condomil, Hamei bear, Bian Bao Le, Jiayubao.
See you in the next five years!