Text | Liteshi Business Review, Author | Jinmei
Zong Qinghou accepted the host’s “torture” at the scene of a show.
“How many circles of threads are there in the bottle of this bottle of Wahaha’s mineral water?” “Four laps.” Zong Qinghou thought without thinking.
“There are several threads in the bottle of mineral water?” The number of hosts, “Only six?” Zong Qinghou said with a smile: “There are two more.”
The host has increased the difficulty. “How many teeth are there on the bottle cap?” 18 pcs.
Over the past 30 years, Zong Qinghou has always penetrated into every fine branch of Wahaha like air, and he and Wahaha have long been integrated with each other.
“What does Wahaha’s reduction of Zong Qing?” A reporter asked Zong Qing’s only daughter -Zong Yili.
“Turn 0”, Zong Yili’s answer is the affirmation of Zong Qinghou, and there is also an intriguing side. The original date of the 70 -year -old class after the 2015 Celebration has passed for many years, but he has not handled him.
In December 2021, Wahaha announced that Zong Yili became the deputy president of the group. Some people say that this class that has been late seems to have a eyebrow.
Zong Qinghou will be drawn from Wahaha’s fine branches?
Zong Qinghou is not spiritual?
From riding a tricycle to start a business in the hot sun, to the top of the richest man in China, Zong Qinghou was lonely. He did not rely on, nor did he share the shoulders of storms.
Wearing cloth shoes, buying dozens of road stalls, and sitting in the second class, even if he became the richest man, Zong Qinghou did not change his habit of struggling for a long time. His office has been putting several large suitcases, which are equipped with Wahaha products in these “full -bodied” boxes. “If you are on a business trip, you will go away.” Zong Qinghou is accustomed to this.
He lives in the small bedroom next to the office alone, working for 16 hours a day, and runs on the front line of the market for more than 200 days a year. Even the first day of the first month is not rest. This is his norm. No one knows Wahaha better than Zong Qinghou. “It is all my dreams of my entire life, and it is a proof I have existed in this world.” Zong Qinghou said.
Without Zong Qing, Wahaha can’t go today.
At the beginning of its establishment, the company had only 100,000 flow funds, but Zong Qinghou had a horizontal heart, signed an advertising contract of 210,000 yuan to publicize the name of the product from the society. No one supports it, but Zong Qinghou was iron -hearted. The advertisement was not beaten, and the name of Wahaha was born. Since then, Zong Qinghou’s small office entrance is blocked by a group of people with woven bags with money to pick up the goods every day.
Seeing that the product supply was in short supply, Zong Qinghou “did not do business well”. In 1991, he wanted to buy 80 million to acquire Hangzhou Cans Factory. No one was in favor this time, but Zong Qinghou was determined to want a small fish to eat big fish. At that time, the Hangzhou Cans Factory was not debt due to the obstruction of export products. In this way, Wahaha fruit milk and Babao porridge came out, and then wrote a business miracle.
In 1993, Wahaha, north and south, began to bear the pain of growing up. At that time, all consumer goods were the first model and then the model. The difficulty of getting the money for payment has become a social problem.
“Don’t pay for the payment!” Zong Qinghou ordered the sales supervisor.
“No one has done it at all”, the person in charge of sales feels that Zong Qinghou is digging the grave.
However, Zong Qing did not believe in evil. He just rely on his own power to turn the first goods and then the first payment and then the goods. Since then, Wahaha has not only had bad debts, but also established an enviable channel ace -the joint sales body. Later, the joint sales model has made a decisive contribution to Wahaha’s winning throne of the industry.
After having channel advantages, Zong Qinghou imitated the Guangzhou Sun God and made the earliest explosive “child nutrition solution”. The benchmarking Calcium milk and mineral water made Wahaha AD calcium milk and mineral water. Imitation of Xiaoyang people in Hebei to launch another ace product nutrition fast line …
Relying on the combination of local or international big names, CCTV advertising, and ground -paving channels, Wahaha products flew into millions of households.
For decades, Zong Qinghou has been running on the front line of the market. Someone asked him if he was tired, but he was happy: “When working with the previous work, a bowl of sauce carrots with two cents of money, working hard every day, sleeping when he was dark, compared to it, now he is too happy.”
Someone asked him when he could stop. Zong Qinghou said happily, “Wait for 70 years old, and send your daughter to the horse for a journey, I can also relax.” In 2004, Zong Qinghou was 59 years old. Essence
Since then, Zong Qinghou continued to charge. In 2010, Wahaha, after the melamine incident, copied the milk powder market and launched Edison milk powder. In 2013, Wahaha realized revenue of 78.3 billion yuan, and at that time, the liquor industry was unprecedentedly bleak. Zong Qinghou spent 15 billion to launch the “collar national wine” in an attempt to bottom out in the trough of the liquor. He also put forward a magnificent goal in 2014: “revenue is 100 billion yuan.”
However, after 2010, he seemed to be “failed.” Wahaha’s milk powder did not set off a wave, and the investment of liquor also drifted. Wahaha’s diversified business not only did not contribute, but also dragged the main business. In 2014, the company’s 100 billion targets were not only achieved, but the performance fell by 7%.
For a long time, in order to avoid the company’s internal fighting, Wahaha has no deputy head position and no board of directors.
In 2015, Zong Qinghou was 70 years old. He was still running desperately in lonely to resist the continuous decline in performance. In 2017, Wahaha’s revenue has slipped to 50 billion, and this number has not been broken since then.
Zong Qinghou must be very puzzled. He still works so hard that he has to handle documents in the car. He has less than 15 minutes of lunch. He must be approved for a thousand yuan budget … He is also a good boss. The above -mentioned old employees to help employees solve housing problems, children’s reading problems, and even employees’ medical expenses for medical treatment. In 2020, they also took 6 billion -dollar year -end awards … Zong Qinghou tried to help Wahaha to eliminate all possible business. Risk, but Wahaha’s performance has no glory in the past.
Why is this? Did Zong Qing, who once led the Wahaha, now become a stumbling block for the development of the enterprise?
The times have changed, and the joint sales are not spiritual?
Zong Qinghou has not changed, and he still struggles lonely, but this era has changed. The market has changed from the era of extensive management to a small era of refined management. The co -sales body that once supported Zong Qing’s fast -selling empire -co -sales body seemed to lose its combat effectiveness in the past.
Zong Qinghou charged the battlefield, which was inseparable from the powerful team of the joint sales body. This team not only helped Zong Qinghou win the industry champion, but also helped Zong Qinghou defeat in the war with Danone (Dawa’s dispute). Danone even moved out of the president of France, but it could only be surrendered under the balance of the joint sales body. The co -sales body was even written as a classic business case by Harvard Business School in the United States.
The so -called marketing consortium refers to manufacturers and sellers to achieve risk sharing and interest sharing. In order to avoid bad debts, Zong Qinghou asked the dealer to pay a 10%security deposit in advance. How can we make the dealer obediently make a payment?
Zong Qinghou stipulates that the higher the annual sales of dealers, the more rewards will be obtained, including material rewards such as cars, refrigerators, and washing machines, and real price discounts. Therefore, dealers want to pay Wahaha more, but if you don’t want to make money for Wahaha, you don’t want to make much.
The margin is the annual military order of the dealer’s annual sales. It has completed the interest of the annual end -of -end repayment deposit and pays the interest rate of the bank deposit interest rate. It is necessary to deduct the security deposit as a punishment for breach of contract. Taking 2012 as an example, Wahaha’s deposit was as high as 8 billion.
This policy not only allowed Wahaha to have abundant cash flow, but also fully mobilized the enthusiasm of the dealer, and finally formed a stable community of interests with Wahaha.
In this way, more than 8,000 first -level wholesalers across the country, 160,000 levels 2 and level 3 wholesalers allow Zong Qinghou to compile a dense sales network in the Chinese market. In 1996, Da Neng invested in Wahaha accounted for 51%. For more than ten years, Daneng has made more than 3 billion profits from the joint venture. After Daneng entered the master Wahaha, Zong Qinghou lost his control of Wahaha, but the joint sales body was still under the control of Zong Qinghou.
Zong Qinghou established a series of products such as non -funded companies holding shares of state -owned enterprises and employees outside the joint venture company and employees. With the help of joint sales, the performance even surpassed Wahaha’s old products. In 2006, Da was able to think that Zong Qing’s move was illegal and requested to acquire these joint ventures at a price of 4 billion, so the two sides began to fight.
In 2007, Da Neng started to start a legal lawsuit against Wahaha. Danone also moved out of the French president to put pressure on Zong Qinghou politically, but Zong Qinghou took it down.
At that time, under the appeal of Zong Qinghou, the joint sales body began to resist Danone’s products. This unpredictable resistance network made Daneng fail to become a army, and its prospects in the Chinese market have become worrying. Moreover, the 29 lawsuits that Dacheng had not won the lawsuit, and the litigation fee alone was as high as 570 million. After some weighing, Danone can only retreat. In the end, Zong Qinghou acquired Da Neng’s Wahaha’s shares with 4 billion yuan, and Wahaha returned to Zong Qinghou’s hands.
Zong Qinghou’s arms that can twist the thighs are given by the joint sales body. But after 2009,
Wahaha’s back was affected by the enemy, leaving the co -sales body lost the glory in the past.
In 2009, Wahaha began to downplay the second group of merchants and simplified the military soldiers. Five years later, in order to improve the terminal control and control, it also reduced the number of middlemen and stabilized the price system. Wahaha began to block the two batches of business, and a group of merchants directly turned to the market. This operation not only caused a direct opposition between the company and the second group of merchants, but also caused Wahaha to hurt her vitality because of the insufficient market penetration capacity of a business.
At that time, Wahaha’s target customers had shifted from traditional ice stalls, small shop channels to Internet cafes, schools, stalls, night markets, BC private supermarkets, small chain supermarkets, and channel managers have changed from managing several channel staff to It is necessary to manage more than a dozen personnel, and the management tasks have also changed from extensive content such as sales and repayment rates to detailed content such as terminal insights and terminal image construction.
However, the members of the joint sales body have been immersed in the glory of the king of Wahaha. In the era of fast guns, Xiaomi and rifles of joint sales were not upgraded. Wahaha’s terminal image, service, mouth, and brand are all affected. Coupled with the exploration of big international brands, the market environment has accelerated, and the location of Wahaha in supermarket shelves is gradually marginalized.
In 2015, the Xiaoyu classmates of the unified group and the sea of sea made consumers shine. The high -end mineral water, infant water and student water of Nongfu Spring glass bottle caused heated discussion. The milk tea shop on the roadside also became hot … … Wahaha has no products that make people shine. The phenomenon of Wahaha, which has been blocked this year, is particularly prominent.
Wahaha’s products are old, and Zong Qinghou, Zong Yili, and netizens all understand.
In 2018, Zong Yili entered Wahaha as the director of the brand public relations department. As soon as she took office, she replaced Wang Lihong, a spokesperson for 20 years. She wanted to break the old state of Wahaha’s products, but in the end she only caused a scolding. Since then, Zong Yili has tried to launch new products several times.
In addition to the old, Wahaha’s products have also been labeled with unhealthy labels, and the rumors have been uploaded more than 200 million times. Zong Qing, who did not go online, spread more than 200 million rumors, but did not expect to say 300 million Wahaha on the Internet. Zong Qinghou’s business logic still pushed the product to the user with joint sales, but did not want to use the Internet to pull users over.
Without seizing the dividends of the early Internet, Zong Qinghou must have regrets, otherwise it will not enter the e -commerce field in high profile.
However, if Zong Qinghou actively embraced e -commerce from the beginning, wouldn’t Wahaha’s myth fall? the answer is negative.
During the 30 -year rapid development of China’s food industry, Wahaha has always been on the cusp. However, the overall growth of the Chinese beverage industry in 2011 dropped from 20%to 13%in 2014. As a market leader, Wahaha will inevitably be the first.
This slide is overall, not Zong Qinghou’s incompetence, not useful for the joint sales body, nor is Zong Yili’s “prodigal”. Master Kang, unified, Shuanghui, Nestlé, Coca -Cola all declined, Wahaha is not an example.
Behind the overall decline in the industry is that the changes in China’s population structure have reduced young people aged 12-25, and the consumption of these products is naturally reduced. With the rise of the new generation, consumers’ personalization needs are obvious. Coupled with high -end food and imported foods, traditional beverage companies will be worse.
Even if Zong Qinghou actively embraced the Internet from the beginning, the disappeared market was unable to make up for the Internet. Moreover, the urban market that early e -commerce penetrated was not the strength of Wahaha at all.
The missing Internet is not the main reason for the decline in performance, but the missed the Internet has caused Wahaha to lose the channel of the brand’s mental communication with consumers.
Wahaha once wanted to occupy consumers’ minds, and spend money on CCTV advertising. But in this era, CCTV’s advertisements were not spiritual. Even if you put more on TV advertising costs, the Wahaha of the Internet has missed the Internet, and there is no way to let your products reach the mind of young users.
In the Internet era, consumption decentralization, the popularity of the original large items decreased, and it became very difficult to innovate large items. Wahaha products have never worried about selling to sales, and the price system that has been maintained has begun to be disrupted by the dealers of the clearance. There are no new products to continue to write a growth miracle, the increase in terminal rent, the increase in personnel costs and warehousing costs, which will be further impacted by the joint sales body, thereby forming a vicious circle.
“To put it bluntly, Wahaha has no other advantages except for money.” Luo Jianxing, who had served as Zong Qing’s four -year -old marketing secretary, bluntly said, “And now it has passed the era of rich money.”
Over time, e -commerce with mature conditions began to impact Wahaha. E -commerce likes high hairy industries. After clothing, 3C, and fresh, fast -moving consumer goods will not miss it. Ordinary products will be transported at most 8-10 times in the hands of users. Ali’s 1688 procurement platform. A large-screen user directly places an order. The number of handling times is reduced by at least 3 times, saving 30%cost. In the face of real interests, the advantages of joint sales will inevitably be impacted.
Guo Guangchang said, “I definitely don’t rely on a team to fight all the battles, but Zong Qinghou has played a team alone for more than 30 years. Zong Qinghou is a smart person, but a person’s success is difficult to digitize the fine management ability of digitalization, and it is even more difficult for the waves of the era.
And Zong Qinghou’s successful model has indeed become a trap slowly. Wahaha is in the strange circle of the death penalty in the inertial model -advertising channel, large -scale shops, selling on sale, and being sentenced to death. Without the attention, you can only gradually decline.
Wahaha is all of Zong Qinghou, but Zong Qinghou should not be the whole of Wahaha.
In recent years, Zong Qinghou’s self -reflection is obvious. Never do e -commerce, do not go public, and now live broadcast and consider the 180 -degree turning of the listing, Zong Qinghou is doing self -transformation. In addition, since 2016, Zong Qinghou began to prepare for management successively, make a system of corporate process transformation, classified authorization system, and strive to outline the blueprint of Wahaha’s “Go to Zongqing Hou”.
“If you want to pass the mountain in front of you, you can only do something else in another way.” This is Zong Yili’s attitude. He returned from the United States in 2004. From the returnee youth to the soil and water of the domestic business environment, to the Hongsheng Beverage Group he founded to support the performance map of Wahaha 1/3, Zong Yili’s desire for self -proved himself was by Zong Qing, who has not been retired, The rear pressure is getting stronger and stronger. In December 2020, Zong Yili became the vice president, maybe she was closer to her succession.
Wahaha should bid farewell to the era that Zong Qinghou and it are familiar with, this is the inevitable that it opened a new chapter.