Shanghai as the starting pointAim at the whole country
On December 18, Hatsushima officially launched the "D2R (Direct to Retailer) Global **Chain Platform", which has been carefully built for nearly three years, at its 2023 annual strategy conference. According to the on-site understanding of PMC, the platform includes three sub-platforms, namely the online B2B trading platform "Nine Star Cat", the offline large-scale display and trading platform "Nine Star Membership Store" and the mobile promotion experience platform "Nine Star Car". The three sub-platforms are both independent and unified, and together form a D2R direct supply business model.
D2R Global ** Chain Platform Launching Ceremony".Nine Star Cat".It is a digital ** ordering platform developed by Chudao. The platform mainly serves small and medium-sized retail merchants, including retail convenience stores, cafes, gyms and restaurants, etc., and all registered users must go through a strict qualification review. The platform also aggregates all kinds of data from the upstream and downstream of the chain. Users can directly query and browse various information such as product categories, inventory balances, wholesale, suggested retail, and estimated retail profits. “Nine Stars Club".It is a large-scale exhibition and trading platform operated by Jiushiduo Commercial Company, a wholly-owned subsidiary of Chudao. The first Nine Stars Club opened on December 18, located in Jiangwan Town, Hongkou District, Shanghai, and has become a new choice for residents in Hongkou District with eight categories, 40 sub-categories, nearly 8,000 SKUs and 70% imported goods. Different from traditional supermarkets, Nine Star Club also has the functions of display, experience and ordering for B-end retailers. There is an order service specialist in the store, who can provide one-to-one guidance for customers. 
Nine Star Club Hongkou Store".Nine Star Car".It is a mobile promotion experience platform specially built by Hatsushima. Through the customized shelves in the car, Nine Star provides B-end customers with comprehensive services such as door-to-door promotion, mobile experience and order delivery. Chudao will also cooperate with well-known domestic commercial vehicle companies to complete vehicle customization and modification, and build a "Nine Star Transportation Capacity Management Platform" to jointly build a B2B mobile business system. 
It can be said that the launch of Chudao's "D2R global ** chain platform" will build a platform for direct dialogue between overseas brands and domestic retailers, especially small and medium-sized retail terminals. According to the official statement, through a series of innovations, including the T+1 settlement model, the localized "0 warehouse rent" logistics service model and the transparent and open business information flow model, the optimization and empowerment of the traditional international chain have been completed. In short, Chudao can not only help overseas brands enter China and sink into the regional market, but also help domestic retail terminals improve product structure, reduce costs and increase income, shorten links and improve efficiency. A noteworthy detail, Hatsushima also reached strategic cooperation with a number of well-known domestic enterprises and multinational business service organizations at the press conference. The signatories include Oujian Network Development Group, Vanke's Wanwei Logistics, Yunshi Technology, Romanian Federation of Industry and Commerce, and Chaobaihui. These partners have deep resources and experience in their respective fields, and will achieve strong alliances with Chudao in many fields such as international logistics, domestic logistics, VR experience, cross-border consignment and overseas warehouse construction, and jointly promote the rapid development and ecological construction of the "D2R global ** chain platform". In the view of Yuanchuang Digital Intelligence**,The conclusion of this strategic cooperation is undoubtedly the first island".d2rThe future development of the "global ** chain platform" has injected a strong impetus. At the same time, it also means that the innovation model and market potential of Chudao have been highly recognized by the industry. Actually, inBefore the annual strategy conference, Hatsushima's popularity in the public eye was limited, and specific information about its business was relatively scarce. In order to have a deeper understanding of Chudao, PMC Digital Intelligence specially invited Wang Po, vice president of Chudao Group, to conduct an exclusive interview, and through in-depth exchanges with Wang Po, it provides a window for the outside world to have a comprehensive understanding of Chudao and helps the outside world better understand and understand this enterprise that is working silently in the field of ** chain.
Resource advantages and global layout
Wang Po was a veteran who has been deeply involved in the automotive and professional industry for many years, and his years of experience have not only given him an in-depth understanding of the automotive industry, but also cultivated his keen market insight and excellent public relations skills. In 2018, Wang Po made a bold decision to leave his comfort zone and devote himself to the entrepreneurial wave. In the process of starting a business, Wang Po got acquainted with Xuan Yongjun, chairman and president of Chudao Group, and was favored by Xuan Yongjun because of his management ability and cross-industry experience, so he joined Chudao.
Wang Po, Vice President of Hatsushima Group Hatsushima is a newly established company in 2021, which is young but energetic. In this team, Wang Po is the only member who does not have a background in the **chain. However, that didn't stop him from playing an important role in the team. With rich management experience and cross-industry perspective, Wang Po quickly integrated into Hatsushima and worked with team members to promote the company's development. In the interview, Wang Po gave a detailed introduction to PMC's advantages in terms of international resources, especially in South Korea and Italy. The reason why Hatsushima has a deep cooperative relationship with the Korean market is mainly due to the deep relationship between Hyun Yongjun and South Korea, because Hyun Yongjun has been engaged in China and South Korea for a long time, which makes Hatsushima's cooperation with South Korea particularly close. At present, there are more than 3,000 SKUs authorized by South Korea, and it has obvious advantages in terms of quantity and quality. At the same time, Hatsushima is also innovating business models, such as cooperating with Korean ** companies such as Chaobaihui, which specialize in exports, to establish a collection warehouse in South Korea to achieve the deep integration of import and domestic. In addition to South Korea, Hatsushima has also demonstrated strong sourcing capabilities in Italy. Italy's food safety standards are among the best in the world and as a result it has a wide range of high-quality food products. Hatsushima chose Italy as another key country with the aim of introducing its high-quality food products. Wang Po said that the second largest shareholder of Hatsushima Group is Italy's Globally Group, and this partnership has brought together a lot of resources for Hatsushima in Europe. Hatsushima has become the general distributor of the Italian national supermarket Coop's own brand in China, which undoubtedly further enhances Hatsushima's influence in the European market. Coop Supermarket Group has more than 4,000 self-owned brand SKUs, covering many fields such as daily chemicals and food, which makes Chudao have a very wide range of coverage capabilities at the source of the first chain. Wang Po also shared the relevant information of the Nine Star Club Store, saying that the number of SKUs in the Club has reached 8,000, not only setting up multiple areas such as European and American Pavilions, Japan and South Korea Pavilions, and Southeast Asian Pavilions, but also introducing some domestic high-quality products. He revealed that in the future, the source of the entire ** chain of Chu Island will also penetrate into more countries and gradually expand the global ** chain network. In addition, Wang Po also mentioned the consignment model of localized escrow. This is a model in which the brand owner stores the goods in Hatsushima's warehouse, and Hatsushima manages and sells them locally, while the ownership of the goods remains with the brand owner. This model is currently being done in China, and it is expected to be extended to overseas in the future.
Centralize the targeting of small and medium-sized retailers
It is worth mentioning that the positioning of the enterprises served by Chudao is mainly domestic small and medium-sized retailers, and in the field of ** chain, there is a certain degree of difficulty in cooperating with small and medium-sized retailers. According to the past understanding of PMC, there is a certain gap between small and medium-sized retailers and large retailers in terms of scale, resources, and experience, which may lead to some problems in the process of cooperation. First of all, small and medium-sized retailers often lack sufficient purchasing and negotiation power to obtain competitive** and preferential terms. This puts them in a relatively weak position when cooperating with the best businessmen, and it is difficult to strive for better cooperation conditions. Secondly, small and medium-sized retailers may also have certain difficulties in chain management and logistics distribution. They may not have a perfect first-chain management system and a professional logistics team, resulting in problems in source organization, inventory management, logistics and distribution. These problems may affect the quality and sales of products, and then affect the cooperative relationship with the company. In addition, small and medium-sized retailers may also have certain deficiencies in brand building and marketing. They may not have enough money and resources for branding and marketing, resulting in limited product awareness and sales. This may also affect the willingness and conditions of cooperation with the best businessmen. Even so, in the cooperation with ** chain, "profitability" is still the primary concern of these retailers. How to convince these small and medium-sized retailers to join Hatsushima's **chain network is a very challenging task. Wang Po pointed out that the control of domestic commodities for the entire channel has been very mature, while the field of imported commodities is still in an irregular and disorderly state, which provides a breakthrough for Chudao. Compared with domestic goods, imported goods are relatively immature in channel control, which provides an opportunity for Chudao to attract small and medium-sized retailers by optimizing the first-class chain links and reducing costs. He further explained that the core business of Hatsushima is general**, not cross-border e-commerce. In general, there are usually two ways for international brands to enter China: one is to produce in China and operate locally;The other is to look for general distributors and enter the Chinese market through multi-level distributors and wholesalers. However, there are many obstacles for small international brands and domestic small and medium-sized retailers, which is the problem that we have to solve and optimize. Hatsushima's innovation lies in the D2R direct supply model. By optimizing the intermediate links of the ** chain and reducing costs, Chudao has built a platform for direct cooperation between overseas brands and small and medium-sized retailers. As a result, small and medium-sized retailers will be able to more easily access high-quality imported goods, while smaller overseas brands will be able to tap into the Chinese market more efficiently.
Test the waters from B2S to D2R mode
In the field of ** chain, Hatsushima has actually experienced an important model shift. Wang Po said that although Hatsushima's original idea was B2S (brand to shop), that is, to connect the source directly with the terminal of the lowest-tier market, practice proved to be too difficult. Therefore, the D2R direct supply model was chosen instead, and this strategy has achieved remarkable results in practice. In the interview, Wang Po explained the process of the transformation of the first island model. He mentioned that although the early B2S idea was innovative, it encountered many market uncertainties in practice, which made it difficult to implement the model. As a result, the Hatsushima team re-examined all links in the chain and finally determined the D2R model as a new development direction. Behind this change is Hatsushima's deep insight into market uncertainty and an accurate grasp of the real needs of small and medium-sized retailers. Under the D2R model, Chudao optimizes the intermediate links of the ** chain, reduces procurement costs, and transfers part of the profits to small and medium-sized retailers. This not only improves the profitability of small and medium-sized retailers, but also strengthens their willingness to cooperate with Hatsushima. At the same time, Hatsushima also actively helps retailers optimize ordering costs, solve various cumbersome problems in the purchase process, and further improve the operational efficiency of small and medium-sized retailers. Wang Po particularly emphasized the ability to perform quickly in the D2R model of Hatsushima. Through close cooperation with VX Logistics, Hatsushima was able to ensure that small and medium-sized retailers can complete the delivery of orders quickly and accurately. This efficient logistics service has earned Hatsushima the trust and reputation of small and medium-sized retailers. In response to the public's curiosity about the service fee of the D2R platform of Chudao, Wang Po also gave a detailed explanation to PMC. He emphasized that the platform does not charge a value-added service fee, but a platform service fee to cover the promotion cost. Rates vary by category and brand, as well as retail and B-side. "The service fee we charge is not high, just to ensure the sustainable development of the platform," Wang said. When talking about market competition, Wang Po pointed out that the market concentration in the field of B2B online ordering transactions is low, and most companies focus on domestic goods. Hatsushima, on the other hand, focuses on imported goods as a way to differentiate itself. He said: "Hatsushima pursues a model to change the industry, not just pursue profits. As for the plan to recruit city partners launched last year, Wang Po told PMC Digital Intelligence that there was no real implementation later, firstly, because of the epidemic last year, and secondly, Chudao's own system and support were insufficient. However, the recruitment order issued last year was still fruitful, the market gave positive feedback, Hatsushima met a lot of potential regional partners, and a group of regional partners also came to today's press conference. For Hatsushima, partners are not only an important means of market expansion, but also a key step to achieve business model innovation and industry change. Through close cooperation with local partners, Hatsushima is expected to have a deeper understanding of market demand and provide more accurate services, thereby promoting the progress of the entire **chain industry. According to Wang, Chudao has served more than 8,000 small and medium-sized retailers in Shanghai. "Shanghai is just our starting point, and the whole country is our goal. At the same time, he pointed out that imported goods have a large market share in Shanghai, but the situation in other provinces of the country is different. In some cities, there is also a need for market education to make consumers aware of the advantages and characteristics of imported goods. To this end, Hatsushima will actively seek regional partners, who not only understand local consumption Xi and market demand, but also help Hatsushima optimize the management of the ** chain and reduce transportation costs. He said: "Our core competitiveness lies in the sinking market. By working closely with our regional partners, we can deliver more high-quality imported goods directly to consumers, reduce the number of goods** and increase market share. In addition, Wang Po also revealed the next development focus of Chudao - the central and western markets. According to him, the consumption potential and demand for imported goods in the central and western regions are huge, which provides great development opportunities for Hatsushima. According to it, although the coastal cities are highly receptive to imported goods, the market is also highly saturated and the competition is fierce. As a result, Hatsushima decided to avoid the coastal market for the time being and focus on developing the Midwest.