Emerging New Normal

As China’s economy and society begin to stride out from the shadows of COVID-19 the contours of the New Normal are getting clearer. For BeefLedger, the key elements are:

  1. Households continue to buy strongly from online channels for groceries.
  2. Group buying and community group buying are gaining strength as models of buy-side aggregation. Platform-enabled collaborative consumption is emerging as a new wave of trust-supported commerce. We are pleased to have access to our own infrastructure.
  3. Eating out has not rebounded in any significant way. This places a dampening effect on traditional channels for beef – namely via wholesalers to restaurants.
  4. E-commerce platforms are seeking volume, and are looking to bypass traditional wholesaler middlemen. They are seeking technology enabled relationships with producers.
  5. Authentication is more important now than ever. Technology drives this, as it supports credence claims made not only by suppliers but by group buying coordinators and social network leaders.

Our portion packed approach is enabling us to take Australian beef direct to household consumers.

Portion controlled consumer-ready packs are in growing demand.

As our Australian R&D team adjusts to working from home, our China teams are returning to work in more ‘conventional’ settings. The LibertyPost team in Beijing are just about all back in the office. Our factory partners are still playing catch up, and are working around the clock to get product portioned and packaged.

Hygiene and quality control are key to the BeefLedger value proposition

Australian and China Processing

BeefLedger is credentialing product that is both fully processed and packed in Australia as well as product that is finished off ready for consumers in China. Both models have merits, and depend on the products and target markets themselves.

In November 2019, the BeefLedger QUT research team conducted in-depth surveys of consumers on value perceptions about products packaged in Australia. This research shed light on just what it is that consumers value in Australian beef, and where the points of concern exist. The research team, led by Dr Cao Shoufeng, is presently finalising analysis and reports will be made available in the near future.

Door2door, direct to consumers is the driver of value.

Home Delivery is Key

Our model is increasingly focused on opening up the China middle class market vis direct to consumer models. Our social e-commerce platform is one of the main ways this is happening, enabling a few different models to operate:

  1. Direct B2C based on individual purchases;
  2. Direct B2C driven by group buying; and
  3. Downstream franchise support by activating social networks, often called the ‘economy of acquaintances’.

Partnering Opportunities

We welcome partnering opportunities.

If you’re a cattle producer or beef brand owner, seeking to understand ways of building brand value in the direct B2B and B2C market, feel free to contact Charles Turner-Morris (cm@beefledger.io).

If you’ve China-side markets interesting in direct access to high quality Australian beef, look no further. Again, contact Charles with inquiries.

 

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