Introductio

Brilliant Circle and Guangxi Haiyun (a subsidiary of Guangxi Tobacco) formed a joint venture to develop a QR Code and online to offline ("O2O") platform know as “Friends of Haiyun”. Brilliant Circle will initially own as to 49% of the joint venture. Brilliant Circle will print an unique QR Code (“One Pack, One Code”) on each of the cigarette pack. QR Code and its platform serve as a gateway to China Tobacco‘s official websites and their Wechat public account, and therefore forming an O2O eco-system. Brilliant Circle targets to enlarge the QR Code and O2O Platform to the rest of the 15 CNTC customers, thus venture into areas of Big Data, and to become an one stop solution provider in the tobacco industry.

Background of “Friends of Haiyun” platform

Amid increasing competition from the nationwide e-commence enterprise together with sharp increase in marketing and distribution cost, local brands have the best foundation for further development on the rise of O2O. Local O2O works best with local consumption and cultivation of local brands, which can then establish good foundation for further expansion; the best model for local economy is to foster local consumers to purchase local products, so that the tax revenue retains in the local region, as such, “Friends of Haiyun” O2O Platform offers a wide range of local branding solution.

Business Model

"Friends of Haiyun" O2O is a self-developed platform based in Guangxi autonomous region with an aim to service the entire China. It is currently using the 5.6 million tobacco retail shops as its service foothold and 365 million PRC smokers as its servicing targets. With the use of Wechat ‘s mobile networking capability, “Friends of Haiyun” strive to provide value added O2O services and solution for local and district retail shops.

Utilizing e-commerce platform as a catalyst to revitalize “Internet +” ecosystem as a new initiatives for traditional industries, this is inline with the long term strategic directions and policies support for the cigarette industry, and foster sustainable growth in development.

Utilizing the distribution network of the local and district retail shops, which can provide great logistics support to local brands, thus building up an O2O ecosystem which can foster growth in sales volume using short range delivery system to radiate the nearby areas; using Wechat social networking function as a tool for spreading word of mouth, and enhancing accuracy and efficiency of sales and marketing.

Through community interaction, word of mouth, customer service, evaluation and other large data and system support function, the traditional industries and Wechat social platform can integrate to enhance the user’s experience and brand loyalty, thus increase the attractiveness and usefulness of the O2O platform.

To help local brands in Guangxi district to expand networks, sales channels, and further promote the use of e-commence, so that new sources of revenue for local government can be generated.


Solution for Tobacco Industry

Using Wechat public account of cigarette brand as the entry point, together with QR Code Platform features such as anti-counterfeit, traceability, Location Base Service (“LBS”) functions will foster distributors, specialty stores and other sales terminals which are the foundation for the O2O, to face end – customer directly for different marketing application and promotions.


Scanning the QR Code from mobile to know authenticity. Simple and Convenient

Scanning the QR Code on the packaging using Wechat scanner, display the authenticity of the product, while using gold-wire to obscure the QR Code, ensure that only the final end-consumer handed with the product can scan the QR Code to ensure limited scan on QR Code.


Numerous retail outlets across regions making market regulation difficult, LBS cross-district management system design to detect cross – district selling

When consumers scan QR Code on the cigarette packages, China Tobacco companies can then based on the consumers use of the network and their IP address to determine whether the products violate cross-district selling rule and the amount violates and the system automatically records, time and region of such info. The platform will issue an alert if any cross-district products are found. China Tobacco inspectors can then use Wechat platform to scan the products on the shelf to check whether any cross – district products are found.



Integration of marketing, improve user loyalty

Users earn points by scanning QR Codes, which will then prompt consumers to follow Wechat Public Account and to become registered members. The points accumulated can then redeem gifts from online mall. Brand owners can also conduct a variety of promotional activities on the Wechat O2O Platform to enhance customer brand loyalty.


Online and offline integration to improve sales channels

China Tobacco brand owners rely on Wechat to operate their online flagship store, collaborate with local / district retail shops to construct O2O mall, so that retailers also have their exclusive shops to sell other products to countless potential of Wechat users. At the same time China Tobacco companies can form collaboration with many local / district retail shops to create more sales channel and at the same time to promote brand awareness and to achieve win-win with local / district retail shops.


Successful Case for consumer’s products

Golden Camellia Tea QR Code marketing applicationWe built according to the actual needs of Golden Camellia Tea. We developed an overall marketing solutions based on QR Code technology. According to the solution, Golden Camellia Tea built a Wechat based platform which encompasses logistics tracking, product promotion, product marketing, and other product services. Through the use of QR Code marketing, the Golden Camellia Tea can carry out various marketing activities, publishing products promotions, advertising new products, collect users’ comments for the betterment of products and marketing strategies

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Huang Dairy O2O sales platformIn 2015, Keju developed a QR Code marketing application for Huang Dairy. We helped Huang Dairy established a Wechat base O2O Platform, enabling customer to use online ordering for their dairy products and inquiry function. Through an extensive network of convenience stores with Huang Dairy station this further strength the O2O model, and establish an extensive platform of product promotion, marketing and logistics tracking system from online to offline and vice versa.

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Ninety Million Mineral Water QR Code (IOT) applicationIn 2015, Keju helped Ninety Million Mineral Water to tailor-made a QR Code application for its beverage products, through the printing of an unique QR Code known as “One bottle, One code” on each bottle to ensure that every products sold are safe and genuine. This measure not only enables Ninety Million Mineral Water held responsible to its consumers, but also safeguard their own brand.

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