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Zhongtong Media Report | Why can CNFONO be favored by two international giants at the same time?

2019-07-24
The article is reprinted from the WeChat official account "Zhongtong's Watch"


  The pregnant mother and baby nutrition industry is really too hot!


  According to statistics, in 2018, the domestic mothers and infants product industry market scale exceeded 3 trillion yuan, of which the growth of pregnant mother and infant nutrition was particularly eye-catching, with an average annual growth rate of 18.11%.


  In the context of the overall weakness of the retail industry, it can still maintain double-digit growth. The field of infant nutrition has indeed made people of the industry filled with expectations.


  And those channel dealers and brand owners who have "foresightedness" have occupied an important place in the fast lane of the rapid development of pregnant mother and child nutrition.


Two giants cut into the infant nutrition market


  What is "foresightedness"?—— They predicted the future outbreak of the nutrition industry, and made layouts early, making conscience products and long-term brands.


  Of course, there are still a few people with foresightedness, and more players, especially imported brands, have only begun to enter the domestic infant nutrition market in the past year or two.


  It is the right time now.


  Such as Pfizer Pharmaceuticals and Nestlé.


  Pfizer Pharmaceuticals is the world's leading R&D-based biopharmaceutical company. After the acquisition of Wyeth Pharmaceuticals in 2009, it has been focusing on the OTC channel of the pharmaceutical line. Its nutritional brands such as Centrum and Caltrate are all well-known brands which come with halos. Among them, Centrum is the world's first multi-vitamin brand.


  Nestlé's weight is self-evident. In 2012, after the inclusion of Wyeth Nutrition, Nestlé's nutritional brand Mandorn also have a good performance in the medical channel.


  As early as a few years ago, the two giants unanimously spotted the infant nutrition market and were preparing to enter the baby product channel.


  But it is not so ideal, because the problem in front of the two giants has emerged: the medical channels are completely different from the baby product channels.


  It is necessary to find a strong partner to make a good domestic baby product channel.


CNFONO is responsible for the important task


  How powerful is it?


  First, the partner must have the ability to operate a large brand, that is, the company's professionalism and standardization need to match itself.


  Second, the partner has a unique understanding of the nutrition industry and an in-depth understanding of the baby product channel.


  Third, this partner must have high-quality team and professional talents to serve their own brands and open the market.


  While there are only a handful of companies with these elements at the same time in China.


  After a comprehensive evaluation, both Pfizer Pharmaceuticals and Nestlé chose the same distributor: CNFONO.



  In 2018, CNFONU reached a strategic cooperation with Pfizer and became the exclusive distributor of Centrum Brand of Wyeth in the mothers and infants product channels.


  In 2019, CNFONU obtained the domestic distribution rights of the Wyeth Mandorn brand.


  Reports of victory come in quick succession, and the strength of CNFONU is proved by itself. Mr. Zhang Xingrong, the senior marketing director of Pfizer Health Medicine Department, said that why CNFONU was chosen was not only because the business philosophy of CNFONU was in line with Pfizer Health's future business cooperation philosophy, but also because CNFONU had an outstanding professional ability.


  If we say that the former is courageous to join forces, then the latter does not rule out that, after seeing CNFONU's excellent experience of good operation of Centrum in 2018, it chooses absolute trust.


Wellohi's strength and future


  However, CNFONO is not a distribution company.


  "In the 12 years since its establishment, CNFONO has only focused on one thing, that is, mothers and infants nutrition." Mr. Cheng Yan, General Manager of CNFONU, said in an interview to "Zhongtong Watch" reporter, "The company has three wholly-owned subsidiaries, respectively. It is Guangzhou CNFONO Nutrition Technology Co., Ltd., Lankao CNFONO Biotechnology Co., Ltd. and Guangzhou Wellohi Biotechnology Co., Ltd.


  Among them, the mothers and infants nutrition brand Wellohi is the main brand of CNFONU. While what the two giants value is also the experience of CNFONO's operation of the Wellohi brand.


  According to reports, up to now, Wellohi sales outlets have been spread across 20 provinces, 4 municipalities and 5 autonomous regions, covering 30,000+ mothers and infants product channels nationwide.


  It should be known that many milk powder manufacturers cannot cover more than 20,000 terminals nationwide, not to mention that nutritional products are not sold at every terminal. Moreover, for many consumers, Wellohi is not a strange name.


  This is directly proportional to the investment of CNFONO in the Wellohi brand.


  First of all, from the perspective of product quality, Wellohi has unique technical strength and product strength.

  Behind Wellohi there is the support of strong scientific and technological strength. In research and development, it has jointly carried out innovative research with the College of Life Science and Technology, Jinan University and the School of Public Health, Sun Yat-sen University. In production, it has acquired health care product factories with GMP certification and 100,000-level and 300,000-level cleanliness, thus having sufficient production capacity.

  The data shows that up to now, Wellohi has owned 3 high-tech certified products, and has achieved 19 national patents, including 4 national invention patents and 15 utility model patents. It is applying for 59 national invention patents. With 14 approvals for the production of health products issued by the State Food and Drug Administration, it has become the leading strength brand in China's mothers and infants nutrition industry.


  Secondly, from the perspective of marketing strategy, Wellohi has put forward the marketing integration strategy of "five in one, marketing break".


  We all know that a comprehensive breakout of a mothers and infants product brand is nothing more than a three-way bombing of "sea, land and air" – brand pull, channel thrust and consumer influence. Due to the limitation of brand development degree, many brands can only complete the channel thrust, and they seem to have no more enough strength in terms of brand pull and consumer influence.


  But Wellohi not only did it, but also optimized it on the basis of "three forces". "five in one", that is, the industry break, the brand break, the product break, the sale break, and the organization break.



  For example, signing contract with the "village head" Li Rui, building the "smart baby village"; advertising in CCTV and other social open media; for example, establishing a joint marketing university; for example, promoting the baby nutritionist program and the smart baby intelligence express project. And it is an important embodiment of Wellohi's marketing strategy to carry out the activities of the Wellohi Spokesperson Competition and the "Ace to Ace" sales PK competition nationwide.


  Finally, from the perspective of long-term planning, CNFONU adheres to the brand strategy of "1+N".


  "1" means Wellohi, "N" introduces international brands, learns from the management ideas of international leading brands, gathers talents, experiences sales teams, and forms a multi-brand complementary pattern. Needless to say, only the leading position of P&G in the field of consumer goods is enough to verify the success of the "multi-brand strategy".


  In the future, CNFONU hopes to create Wellohi as the first nutritional brand for mothers and infants product channels. This day, it will not be too far.
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