Pagoda is a large-scale fruit chain store that specializes in the integration of bulk purchase of fruit in production areas, keeping fruit fresh after harvest, storing and distributing fruit, and fruit retail in stores. The recent achievements of Pagoda in the fruit industry are clear for all to see. Pagoda rapidly expanded the number of fruit stores throughout China. The distribution strategy of Pagoda is not just excellently suited to satisfy the varied demands of different markets in various regions, but also encourages alliances in the fruit industry that integrate the resources of a large number of communities. Pagoda CEO Xu Yanlin recently spoke in an interview with FreshPlaza about Pagoda's future development.
One Pagoda store in Shenzhen
"China's annual import volume of fruit grows every year because Chinese consumers become increasingly aware of the health benefits of fruit and the overall demand for top-quality fruit therefore increases. At the same time, the domestic fruit industry in China continues to improve. The Chinese fruit industry makes great advances in such fields as plantation technology or the penetration of various last-stage markets. The quality greatly improved in recent years. As for Pagoda, we develop the management of import fruit and domestic fruit at the same speed. The actual retail ratio depends on market demand, of course. In general, however, import fruit accounted for around 47%-50% of our overall fruit sales in recent years. We expect the sales ratio of imported fruit to continue to fluctuate around this norm in the next few years."
"One of our main goals is to better satisfy the varied demands from different regional markets. In order to reach this goal, we at Pagoda continue to expand the distribution of stores throughout cities in China to provide optimum coverage. We plan to open around 1,000 stores in the cities and areas where we already have stores on the ground. The main force of this expansion is still focused on first- and second-tier cities, to further intensify and flesh out our current distribution network, but at the same time, we also wish to speed up the vertical penetration of markets in third- and fourth-tier cities. We hope to satisfy the demand from third- and fourth-tier city markets as well as first- and second-tier city markets."
"As for the packaging of our fruit, there is a difference in requirements from online and offline customers. Customers who buy offline usually purchase fruit for consumption at home. They usually prefer large packages or whole fruits. Online customers are usually younger consumers who opt for the convenience of small, delicate packaging. Since we integrate online and offline fruit retail, we combine such varied elements as the attractive display of fresh fruit and customer experience into one concept. Here at Pagoda we continuously improve product packaging. Our objective is to provide suitable supply that meets the varied demands of different customers. We will continue to adjust our assortment based on customer feedback. The main development in recent years has been the increased demand for small packages of premium fruit."
Pagoda Suppliers Convention
"One of our proudest achievements this year was the first session of the Pagoda Suppliers Convention. We organized this sort of convention in the past, but never with such impact. Apart from this, we also have suppliers conventions aimed at overseas suppliers. The purpose of such conventions is to instil suppliers with confidence in Pagoda's operations and the positive market prospect of China's growing fruit industry. During the convention we discussed the future strategy of Pagoda as well as the practical steps that we take to achieve our goals. The convention is also a convenient place for suppliers to link-up with the development of Pagoda and adjust the direction of their own strategies. At the same time, Pagoda meets the demands from suppliers in the fields of IT and the implementation of science and technology in plantation. Pagoda effectively advances the overall cooperation between people in the fruit industry, and improves their understanding of the role and development direction of science and technology in the fruit industry."
Xu Yanlin - CEO of Pagoda
Telephone number: 400-181-1212
Company website: www.pagoda.com.cn