Research On Marketing Channel Reengineering Of Huazi Company

Marketing channel is a set of interdependent organization that makeproduct or service successfully used or consumed. Distribution Channelreflects the whole course in which value of a specific product or service isrealized. Marketing channel connects production and consumption that makeproduct enter into consumption field by exchange to satisfy the demand ofconsumer. It is composed of manufacture,distributioner,retailer andconsumer. The effectively operation marketing channel have became theenterprise important weapon to acquire strong competition advantage inincreasingly severity competition today. Because enterprise in variety marketenvironment, so the enterprise must reengineer its marketing channel is thatrestudy and reengineer already existent marketing channel with varietymarket environment to confirm the new marketing channel in order to servebetter for the enterprise.The marketing channel reengineering of Huazi Company is the researchobject in the text. Huazi Company is a commerce company. Because HuaziCompany acts as whole dealer of Xufuji series foodstuff in Jilin province, soits main product is Xufuji series foodstuff that famous in candy. The yearsale of the company has attained to 1100 myriad yuan that 80 percent fromXufuji series foodstuff. Since Huazi Company belongs to dealer that lies inmiddle location of marketing channel, when researching its marketingchannel should consider manufacture and retailer and consumer.The present marketing channel status of Huazi company as follows: Theadvanced position of the marketing channel mostly refers to DongguanXufuji foodstuff Ltd. that acts as manufacture of Xufuji series foodstuff.Dongguan Xufuji foodstuff Ltd. is the manufacture whose inside and outsidecandy sale is the most in china. Its super strength and famous trademarkmake Huazi Company that acts as dealer get the strong guarantee. Thecooperation of Dongguan Xufuji foodstuff Ltd. and Huazi Company mostlyadopt the form of signing authorization agreement annually. Huazi Companyorder Xufuji series foodstuff from Dongguan Xufuji foodstuff Ltd. accordingto the agreement, and then transport the products to its member of marketingchannel by its operation department. The backward position of the marketingchannel mostly refer to retailer,some secondary dealer and consumer. Thepresent marketing channel is composed of Changchun city market and othercities market in Jilin province according to district. The marketing channel ofChangchun city is composed as follows: 8 world and nationwide bigsupermarkets such as Walmart, 6 general merchandise marketplaces such asOuya marketplace, region linkage supermarkets such as Hengkelong, 1200middle and small supermarkets and convenience shops, special channel suchas rummery , hotel , department and enterprise, and Guangfu Roaddistribution department. The marketing channel of other cities market mostlyrefers to some secondary cities in Jilin province. Huazi Company sells itsproducts in these cities mostly by local secondary dealer. With the increasingdevelopment of Dongguan Xufuji foodstuff Ltd., its market segment hasexpanded to these cities and set secondary dealer directly in these cities. SoHuazi Company quit gradually from these cities.Huazi Company acts as dealer inevitably get into the mess in the marketbackground of channel strategic transformation of manufacture and more andmore terminal marketplaces increasingly coming forth. It mostly reflect fromsome aspects: the cost of marketing channel rising continually and its profitdropping continually, manufacture act as main member of channel hoppingto shorten the circulation tache to save the cost of channel, modern channelsuch as supermarket and so on act as main sell channel improving thechannel charge of dealer. From above analysis we can conclude that thepresent marketing channels of Huazi Company has already restricted itsdevelopment. Accordingly it is necessary to carry out the research ofmarketing channel reengineering of Huazi Company. The research carriedthrough such aspects:Firstly, rationality analysis of Huazi Company selecting the product:Great potential in Chinese candy market, excellent quality of Xufuji seriesfoodstuff and famous trademark that ensure Xufuji series foodstuff has goodmarket foreground.Secondly, analysis of consumer service demand: Service demandmostly include 5 item content that is purchasing quantity,waiting time,going distance,selecting range and after service. Making consumer of Xufujiseries foodstuff as research object to confirm what marketing channel canimprove the five aspects service level to satisfy the consumer servicedemand better.Lastly, analysis of correlation influence factors: The correlationinfluence factors influence the degree of satisfying the consumer servicedemand. These influence factors analysis mostly include product analysis,market analysis, corporation analysis, manufacture analysis and marketingchannel changing trend of candy industry analysis.From research and analysis of above aspects, confirming the newmarketing channel mode that includes candy monopoly shop,traditionchannel , special channel , happy candy channel and Guangfu Roaddistribution department. Constructing candy monopoly shop withmanufacture to replace modern channel such as big supermarket and so on isthe most remarkable changing. The candy monopoly shop becomes the mainchannel and takes on the mostly duty of product sell of corporation. Thecandy monopoly shop has some advantages as candy industry marketingchannel development trend in future. The advantages mostly include: HuaziCompany and manufacture construct the new cooperation relation that canexert respective advantage well to form "double-winning"; It can reduce thechannel cost of manufacture and dealer to increase yield; It can present highquality of Xufuji series foodstuff well and provide better service to consumerto promote the sale of Xufuji series foodstuff; It can erect the trademarkimage of Xufuji by candy monopoly shop; It can control the sale of terminaleffectively and seize the demand information of product exactly and quicklyto serve to consumer better.We should discuss the concerned construction question of the newmarketing channel after confirming the new marketing channel mode ofHuazi Company. By analyzing economy feasibility and practicabilityanalyzing of candy monopoly shop to discuss the rationality of candymonopoly shop construction. And how to construct candy monopoly shop,tradition channel,special channel,happy candy channel and Guangfu Roaddistribution department.