Analysis On The Current Situation Of Alcohol Channels In FMCG Industry And Research On Channel Compound Strategy

In this article, a detailed analysis has been made on the current situation and future trends of the wine and spirits industry and distribution channels in China on the basis of the theories of corporatestrategy management and distribution channel development strategy, taking into account of the Group’s current operational status of the alcoholic products. Besides, this paper has also put forward some new ideas on the necessity of diversifying the distribution channels and several existing problems.This article has also introduced the Group’s development strategy of distribution channels in the light of actual situations and on the basis of the major problems facing the wine and spirits distributors during business operation with the aim of proposing corresponding implementation strategy and concrete measures for optimizing the Group’s wine and spirits distribution channels. The following conclusions can be drawn from this paper:(1) Development trends of wine and spirits distribution channels;(2) The necessity for the Group’s introduction of Hybrid Channels Strategy;(3) I have put forward several practicable and complementary strategy combinations which include a set of strategies such as co-operation in channels of distribution, produce differentiation, channel incentive, selection of reasonable logistics pattern, strategy of implementing service, group purchase and franchise strategy and etc.The road map to the future for wine and spirits distributors is to transform themselves into value added service providers. Building and maintaining intimate relationships with upstream and downstream firms in a supply chain, in-depth and accurate understanding of end-market demand, having capacity for providing one-stop service, possessing massive resources provided by partners (including logistics, hardware, software, etc.), accumulating a profound knowledge of the wine and spirits industry, and providing high value-added services to distributors of different levels, all these practices are special resources ensuring business success."Those who possess the distribution channels will take over the country" Possession of distribution channels is critical for FMCG firms to out-maneuver their opponents in the market. The current success of the Group is dependent to a large extent on the construction of distribution channels. Nevertheless, due to a constant battle for resources of wine and spirits distribution channels in the marketplace, restructuring and optimizing the existing resources of distribution channels and obtaining end customers more directly have become essential and principled practices for enterprises who wish to progressively reap business benefits and who wish to constantly keep sales performance and expand market shares. Under the enterprise’s constantly developing and ever-changing business practices, it is necessary for the enterprise to make full use of advantage of Hybrid distribution channels with the aim of bring completely new consuming experience to customers and establishing core values to help the enterprise to achievesteady and significant progress.