Diverse sales models in Chinese fresh produce sector

With the development of the economy and the improvement of living standards, China's fresh produce industry has gown quickly. Over recent years, there have been many emerging sales channels. Qing, Manager of vcearth.com, a service platform for the agriculture sector, talked about the development of the fresh produce sector in China.

“There are now diverse forms of mainstream retail models for fresh produce in China, including the new retail store model represented by Hema Fresh, the distribution warehouse model represented by Miss Fresh, and the community group purchase model represented by niwonin.com. Many large supermarket chains are also getting involved in the online fresh produce delivery service. Consumers can purchase seasonal vegetables and fresh fruit through mobile apps and WeChat apps. For example, the Yonghui Grocery Shopping app offered by Yonghui Supermarket is planned to officially go online this October. The company has set up more than 160 community-based distribution centers in 8 cities across China to ensure that online products can be delivered to consumers within a radius of around 3 kilometers in one hour.

With strong regional coverage and the ability to integrate the supply chain, well-known supermarkets are also launching a sales model that combines online and offline sales. This will definitely become an important competitive force in the fresh retail sector,” Qing said.

Supply chain management is considered to be an important part in the competition within the fresh e-commerce market. “The supply chain of fresh produce in China suffers from problems such as old infrastructure, high waste during transportation, and the small share of products using fresh-keeping techniques.

Currently, the market space for fresh produce is mostly farmer’s markets while the development of e-commerce channels is relatively behind, but it is developing fast. Well-known supermarkets for fresh produce such as Yonghui Supermarket and Jiajiayue are gradually shortening the distribution process and optimizing the supply chain. Big data, artificial intelligence, manual tracking, and other technologies have the potential of being widely applied. How to use these technologies to shorten the supply chain and lower operating costs has become the key to whether a company can stand out in the fierce competition."

On September 28th, vcearth.com will host a fresh produce supply chain workshop in Beijing to discuss key issues in this field. Topics will cover various segments of the chain, and guest speakers from standardized cultivation to “the last mile” of fresh retail journey will share industry trends and changes they have observed.

Register here: http://vcearth.com/

More information:

Contact: Qing Xiwen - COO
Company: vcearth.com, a service platform for the agriculture sector
Phone: +86 15910504922
E-mail: qing.xw@vcbeat.net


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