How Snow Beer Becomes the Mainstream of Domestic Beer Market Step by Step

Speaking of beer, we are all familiar with it now, but do you know that beer was not very popular when it was first introduced to China? Later, around the 265,438+0 century, a huge market of China beer was ushered in, and many state-owned breweries also smelled opportunities, including Snowflake Beer, which we are familiar with now.

Judging from the development speed, Snowflake Beer is the representative of China in the world beer field. China Resources Snow Beer (China) Co., Ltd. was established in 1994. Through acquisition, merger and expansion of accumulated production capacity, it achieved the first sales volume in China in 12.

In 20 13, China resources snowflake broke through "double10 million kiloliters" (company sales and snowflake brand sales), setting a new record for beer sales in China and becoming the first beer enterprise in the world with brand sales exceeding10 million kiloliters. It only took 20 years.

In the past 20 years, an enterprise has grown from scratch, and Snow Beer has grown from 200,000 tons to10 million tons, and has successfully topped the list of single product sales in the world. This growth rate is really amazing. How did a company founded in 1994 get to the top of the industry?

1, strategic layout with China characteristics

Snowflake Beer has chosen an independent development path with China brand characteristics, and the strategic innovation adapted to local conditions has made Snowflake "brave into the world".

China Resources Snowflake made a sober judgment on the social structure and development trend of China at that time: China was in a high-speed development stage, China had the largest number of beer consumers in the world, and the disposable personal income population from China was increasing, which was the premise for the explosive growth of beer consumption. According to the national conditions, China Resources Snow has carried out a strategic layout with China characteristics, creating the number one beer sales in China.

Facing the rapid growth of market opportunities, Snow Beer chose the development strategy of "market first, then profit", made use of the strong capital support of China Resources, constantly "staking the land", made a large number of mergers and acquisitions, made great efforts in the low-end wine market, and sought the largest market share. Since 2006, China Resources Snowflake has become the number one seller in China, and it has remained so far. 20 1 1 year broke through100000 tons of sales and entered the ranks of the top five beer giants in the world.

Based on the analysis of the development mode of the international market, Snowflake Beer is laid out in the present on the one hand and focused on the future on the other. While doing a good job in the beer market of high-capacity and low-growth developed cities such as Beijing, Shanghai, Guangzhou and Shenzhen, we have also made a predictable layout in high-growth and low-capacity areas such as Tibet, Yunnan, Guizhou, Gansu and Qinghai. , thus making the goal of being the first beer in China become a reality.

In the development of marketing road, snowflake has also embarked on a unique road different from that of European and American countries. It does not adopt the development model of mature European and American countries: it accurately distinguishes functions and directly develops brands for the national market. Instead, we chose a road that is more in line with the reality of China: first, we should achieve high market coverage, so that consumers can buy everywhere and watch it often, and then we should enhance brand communication.

Snow beer chooses to gnaw at the hard bone of channel first. After the channel is paved, gain a foothold in the industry and then improve its popularity. In the case of both channel development and deep cultivation, Snow Beer not only gained the largest channel scale, but also gained control over its own channels that other competitors did not have, thus forming its own industry "moat".

After laying a solid foundation, use low-end beer to realize channel testing and market penetration. China Resources Snow, which occupies the scale advantage, slightly improves the product positioning, which means the profit growth of hundreds of millions. In 2005, after completing the brand integration, China Resources Snow began to build a brand, constantly increasing the cultural connotation of the brand and making efforts to the middle and high end.

In 20 1 1 year, the sales volume of China Resources Snowflake exceeded100000 tons, and in 20 13 years, the sales volume of Snowflake brand also exceeded100000 tons. The annual sales volume of China Resources Snowflake is11720,000 tons, accounting for 50,665,438. What is not known to the public is that 1997, Yanjing became the first in sales volume, and the annual sales volume of Snow Beer was only over 200,000 tons.

2. Turn 26 cats into tigers.

1964 There is a new type of beer, which won the first prize at the evaluation meeting of Guozui (National Beer Jury) and experts in this field and became an excellent beer brand in China. China Resources Snow Beer is named "Snow Beer" because of its rich fragrance and cool taste like snow.

Due to the limitation of beer preservation technology and transportation conditions, China's beer industry once formed a situation of "local and feudal separatism". From 65438 to 0988, there were 8 13 beer enterprises in China. Snow Beer at that time was just a sesame factory in this corner. At the end of 1993, China Resources cooperated with the former Shenyang Brewery to establish China Resources Snow Beer Co., Ltd., which opened the prelude for China Resources to enter the beer business.

1994 indicates the structural change of China beer. With the establishment of China Resources Snowflake and the acquisition of Yangzhou Beer by Tsingtao Brewery, the beer industry in China has started the process of staking out land and increasing production capacity through mergers and acquisitions. In order to penetrate the "point" market, China Resources Snow acquired 26 strong brands, which are the largest beer enterprises in the region, and then increased to more than 40, and finally reached 100. With the support of abundant capital, the production capacity of snowflakes has increased rapidly through the "mushroom strategy" and "central city strategy along the river and coast".

Compared with foreign beer companies, they all have a unified national brand. At that time, Mr. Ning, the general manager of China Resources Group, proposed "turning 26 cats into tigers", that is, unifying a national brand to face competition. Because there are many wolves (competitors) in the market waiting for an opportunity to eat these 26 cats in the case of increasing industry concentration.

So China Resources Snowflake began the process of gathering cats into tigers. After each enterprise is acquired, in addition to injecting capital, replacing equipment and improving product quality, China Resources Snowflake is also committed to improving enterprise management capabilities. China Resources divides regions, and regional companies implement unified management, complementary advantages and coordinated development. Since 2002, all sales areas of China Resources Snowflake Beer have entered the market under the brand of Snowflake, which has avoided all kinds of problems caused by brand confusion that has plagued other enterprises and enabled enterprises to develop rapidly.

The merger and acquisition of Snow Beer in China seems to be smoother than that of its foreign counterparts. The frequent news of mergers and acquisitions even gives the public a feeling that the main reason why China Resources Snow can achieve rapid growth is mergers and acquisitions, because of the support of China Resources' abundant capital. That was not the case. At the end of 20 12, the internal accounting of China Resources Snow Beer found that the sales volume of the combined factory only accounted for 35% of the total sales volume, and the remaining 65% came from the expansion of China Resources Snow Market and new factory.

M&A only solved part of the production capacity and pipeline resources for Snowflake, and the market share of Snowflake Beer is more of its own.

3. Achieve the ultimate channel management.

Among many beer brands, China Resources Snow's beer sales channel is the ultimate. In the increasingly fierce competition of China beer industry, all enterprises want to take the lead in the huge market of China. In the current market environment, products and other factors are no longer the key to the success or failure of enterprises, and marketing channels have gradually become the dominant factors in the market.

The traditional distribution mode adopts the mode of "manufacturer-wholesaler-secondary wholesaler-terminal", which makes it difficult for manufacturers to manage terminals and has poor market control ability. With the increase of the number of China Resources Snowflake Breweries, the problems of goods smuggling and management caused by poor channel control are prominent. In 2002, China Resources Snowflake transformed and upgraded its marketing channels. These consumers' "invisible" efforts created the moat of the enterprise.

China Resources Snow has designed a model of "manufacturer-operator-distributor-terminal" to transform wholesalers into operators, and most of the sales work is undertaken by manufacturers. The sales manager of Snow Beer directly enters retail stores, restaurants and other terminals to promote, serve, display and maintain the price system. The process of getting beer to consumers is controllable, all distribution links are controllable distribution management, and any link has the possibility of improving the effect and efficiency.

China Resources Snow also effectively connects products with channels. Brands such as Facebook, Pure Life, Zero Point and Jingzun mainly go to high-end hotels, hotels, bars, night shows and large supermarkets, and buy out some hotels at the same time; Mid-range "going to the East", fine wine and other places are mainly ready-to-drink places, catering terminal hotels, bars and convenience stores and supermarkets that are not ready-to-drink places; Low-grade snowflake special supply and snowflake ring label enter convenience stores, small supermarkets, grocery stores, grocery stores and some small restaurants, food stalls and snack bars.

It is equally amazing to monopolize the terminal by means of terminal buyout, and at the same time, the relationship marketing of the salesman of China Resources Snowflake business in the low-line terminal is also amazing. The long-term cooperative relationship with the terminal sales in the low-end market is undoubtedly a curse to competing products, and it is almost impossible for other brands to break through. Fine regional division, store joining, advertising investment, terminal beer joining and even store display support have laid a solid foundation for the terminal monopoly of China Resources Snow Beer.

4. Occupy consumers' minds

China Resources Snowflake conducted an in-depth study on the beer consumption characteristics of China people. For example, more than 95% of domestic beer consumption is consumed with meals, while this ratio is only 35% in Russia, 15% in Japan and South Korea, and 5% in Europe and America. Because it is catering, people in China drink a large amount of beer at a time and drink fast.

Therefore, on the one hand, China Resources Snow has an insight into the alcohol taste suitable for Chinese people, and on the other hand, according to the drinking habits of domestic consumers, it reduces the proportion of higher alcohols in the wine body, bringing a more comfortable and relaxed drinking experience. The study also found that 47% people in Germany would choose non-alcoholic beer or beer with low alcohol content. China Resources has also invested a lot of energy in product research and development, and launched many categories, such as fruity beer, barreled draught beer beer, snowflake stout beer and alcohol-free beer.

China Resources Snow can quickly dominate the low-end beer market, and stable and unified product quality control plays a decisive role in such a huge enterprise. China Resources Snow has achieved unity in raw material procurement, water treatment technology, brewing technology and quality control before leaving the factory, thus ensuring the consistency of products of such a huge enterprise under many factors of production chain change.

How does Snow Beer communicate with consumers after gaining insight into China consumers? The era of wine tasting and binge drinking has passed, and quality first, value return and cultural guidance have become the theme of beer. Under the background of globalization and China's first sales position, Snowflake's brand marketing has also embarked on a road with China characteristics.

Since 2002, all sales areas of China Resources Snow Beer have entered the market under the brand of Snow. After the difficult process of replacement, running-in, cultivation and service, it gradually developed into a standard from the initial unclear varieties and unclear VI, forming a unified brand image of snowflake refined liquor with five China elements: Chinese seal, window grilles, fans, brush strokes and facial makeup.

Since 2005, China Resources Snow Beer has launched the activity of "Snow Beer Bravely Entering the World". Every challenger in Himalaya, Changzheng Road and Hoh Xil is full of the spirit of going forward, casting a unique brand image of Snow Beer and conveying the spiritual connotation of enterprising, challenging and innovative. "Snow Beer Braves the World" has also become one of the slogans with high recognition.

In 2008, Xue Hua invested100,000 yuan to sponsor the Tsinghua University Institute of Architectural History and Cultural Relics Protection, to popularize ancient architecture culture with books, pictures and video materials, and to spread the profound connotation of ancient architecture culture. In view of the positioning of the mid-range product "snowflake is purely ingenious" at that time, this culture and craftsman spirit were inherited. In the same year, the brand logo and special packaging with China elements were launched, and Snowflake wanted to dominate Wulin with its uniqueness.

The sponsorship of the 2008 Olympic Games was won by Tsingtao Brewery, but Snowflake still fought a beautiful marketing war. In the brand value proposition, it is clearly put forward that "beer lovers, snowflakes support you", and in the advertisement, beer lovers are required to shout "Only we can do this game well", which reflects the value of ordinary Olympic participants during the Olympic Games and is closer to the hearts of beer consumers, and has achieved great success.

From 20 10, China Resources Snow Beer realized from the competitive situation that it must occupy a certain position at the top of the cake to be invincible, so it accelerated the layout of high-end wine. Formulate the development strategy of high-end wine and build high-end brands such as Snowflake Face. By 20 16, we will gradually launch high-end beers (Hualian, Hua Dan, Dark Beer and White Beer) such as Jinbiao Jingzun and Facebook, and build high-end brand stories one by one.

2065438+April 2005, China Resources Venture sold all non-beer assets such as retail, drinks, food and property for HK$ 28 billion, becoming a listed company focusing on a single beer industry. The abbreviation of China Stock Exchange was changed from "China Resources Venture" to "China Resources Beer". In the second half of 20 15, Budweiser InBev Beer, the world's largest beer manufacturer, reached an acquisition agreement with SAB Miller, the world's second largest beer manufacturer, to build a super beer enterprise with a market value of $250 billion.

SAB Miller holds a 49% stake in Snow Beer, while Anheuser-Busch InBev has a 18% market share in China. After the merger of the two companies is completed, it is bound to face the "anti-monopoly" review of the China municipal government. As a result, SAB Miller had to unload Snow Beer, a high-quality asset of China Beer. 20 16 In March, China Resources Beer repurchased 49% equity of Snowflake Beer held by SAB Miller for 1600 million US dollars, and Snowflake Beer became a wholly-owned subsidiary of China Resources Beer Company. China Resources Snow will confront its more powerful competitor, Anheuser-Busch InBev.

Since the end of 20 17, the beer industry has ushered in a wave of price increases. This move is interpreted by the industry as a turning point in the industry, from the important scale in the past to the quality era. Although snowflake beer, which has been firmly in the top spot in output, is still a huge test in the face of the sinking of foreign beer channels. Most of China Resources Snow products are in the mid-end market, while its competitor Budweiser InBebodo is mainly in the high-end market. Low-end brands not only consume a lot of resources, but also hinder their future competitiveness.

On March 8, 2065438+08/KLOC-0, the brave Tianya superX created by China Resources Snowflake for young people went on the market. By directly attacking the packaging and taste of young people, we will give them the brand spirit of "being born fearless" and use celebrities such as "the son of tomorrow" to create younger products. This is also the first core product of China Resources Snow Beer since it was renamed. "It not only shoulders the mission of upgrading China Resources Snow's own brand, but also shoulders the heavy responsibility of industry transformation and upgrading."

5. Conclusion

From its establishment to today's brilliant record. With the structural adjustment of beer industry in China and the social changes after China's entry into WTO, China Resources Snowflake has developed and grown. Over the past 20 years, it has created an industry legend, letting the world see the speed of China beer and China appreciate the speed of snowflakes.

The two major American beer companies supply 97% market share. We don't know what the future integration result of China beer market will be. However, snowflake has obviously gone through a life-and-death stage and has certain advantages in the future domestic market competition. However, with the negative growth of the beer market in China, the competition is increasingly fierce and the profits are increasingly tight. It is a big problem for enterprises to continuously upgrade their brands and enhance their cultural connotation.

In early years, Yanjing Beer and Tsingtao Beer actually occupied the beer market in China, but after 2004, Yanjing Beer and Tsingtao Beer were gradually pulled down from the altar and replaced by Snow Beer. Snowflakes have been leading the domestic beer industry at low prices. However, with the development of economy, people gradually tend to some high-end beer, so we don't know how long snowflakes can last in the low-end market.