The Hangzhou Wahaha Group, China’s leading beverage company, started out as a health food company in 1988 before moving into the food and beverage business. Now, Zong Qinghou, the founder of Wahaha Group, investing 1 billion RMB ($140 million USD) to build four e-commerce platforms, one of which includes a health products e-commerce platform “Kangyouli”.
On the Kanyouli platform, Wahaha recruits direct-sale store dealers using its old pattern: signing an agreement with each direct-sale store based on a target sales volume of RMB 500,000 yuan (USD $71,000) per year and requiring a 10% deposit of the agreed sales volume.
With the improvement of health consciousness, the combination of health products and food business will be the future development direction, which will help Wahaha to achieve the target revenue of 100 billion RMB ($14 billion USD). (Source: Beijing Business Today)