Distribution Analysis in China – Food & Beverage

Project: Distribution analysis in China

Description: The client is a consulting firm currently working for a top wine and spirits manufacturer. In order to understand the Chinese market, and more especially the distribution environment in China, the client came to Daxue Consulting with one question: where should they sell their products in China, and ultimately, what is the selling potential for their product in China.

Output: Daxue Consulting answered in 2 steps:

• Identification and benchmark of high-end spirits in China in order to understand through which distribution channels are similar products sold in Tier-1 and Tier-2 cities.
• Bottom-up distribution sizing approach through data collection at the end of the value chain (retailers, distributors, restaurants, etc.).

Thanks to the various interviews with key point-of-sales in China, it is possible to determine quantities sold and SKU of each company in the period, and therefore forecast/assess the potential for the client’s new product in China.