Peach and plum bread: Knead a loaf of bread worth $40 billion to create Maotai in baking industry.

2020 is a fruitful year for peach and plum bread, and they have set many milestones in the past six months.

In the first six months, the revenue of peach and plum bread was 2.739 billion yuan, a year-on-year increase of 7.08%; The net profit was 4,654,380,800 yuan, a year-on-year increase of 37.54%. Faced with the impact of the epidemic, Li Tao Bread's performance report for the first half of the year remained unchanged, making it one of the few fast-moving consumer goods enterprises affected by the epidemic.

By the close of August 18, the market value of peach and plum bread reached 42.695 billion yuan, breaking through the 40 billion mark and hitting a new record high.

In August, Li Tao Bread won the list of top 500 Chinese brands in 2020 with its strong brand influence and good reputation. This is the second time that Li Tao Bread has been selected in this list, and it is also the best evidence that Li Tao Bread sells well with high quality.

Recently, the list of "14 Value Selection of Listed Companies in China" was announced, and Li Tao Bread was once again ranked among the "Top Companies Listed on the Main Board 100".

Peach and plum bread, starting from a third-tier town in Northeast China, no one expected it to become a bread empire.

Wu Zhigang, the founder of Li Tao Bread, was a people's teacher for the first half of his life. He retired and started a business at the age of 60, led enterprises to land in the A-share market at the age of 80, and retired at the age of 84. This entrepreneurial story is as inspirational as the drink king zong!

Really powerful people never think twice, nor worry about their age. They have the ability to start over at any time.

Zong Houqing, known as the "king of China drinks", started his business at the age of 42; Laoganma, known as the "national goddess", founded a food factory at the age of 47; Wu Zhigang, known as the "King of Bread", founded Taoli at the age of 60, creating a miracle of "Taoli is all over the world".

Wu Zhigang, born in 1935, has gone through all the key nodes of the times before and after the founding of New China, which also keeps his high fighting spirit and bright vision for the future.

In peacetime, Wu Zhigang obtained a college degree. After graduation, he served as a telegrapher of Dandong Telecommunications Bureau, a teacher of the First Children's School of Dandong Silk Factory and a teacher of Dandong Silk Industry School. In the first half of Wu Zhigang, it can be said that life was smooth sailing.

1995, Wu Zhigang officially retired at the age of 60. Benefiting from the economic prosperity of reform and opening up, Wu Zhigang decided to start a business!

Just started, in this year, Wu Zhigang took his son and started a bread workshop in the local area. Perhaps because of teaching, Wu Zhigang named the bakery "Li Tao", which is not only a portrayal of Wu Zhigang's teaching career in the first half of his life, but also a new starting point for his struggle in the second half.

First of all, peach and plum bread did not advertise in the early days of its establishment, but cut into the market with the fresh-keeping strategy of "no adding".

Short-term warranty products without additives naturally put forward high requirements for logistics and distribution. In order to ensure the freshness of bread, Wu Zhigang began to deliver it at 3 am every day, and promised to deliver it to the street shop before 6 am.

Starting with self-sufficient distribution, Wu Zhigang carefully controlled the cost of enterprises. In order to reduce the "price difference earned by middlemen", improve the operating profit of enterprises and keep the freshness of products, Wu Zhigang has established the mode of "central factory+wholesale" to produce and sell peach and plum bread, which reduces the production cost and circulation cost in mass production and makes the gross profit of a piece of bread exceed 35%.

In order to ensure the final cost performance of the products, Li Tao bread is only given to small and medium-sized customers (mom and pop shops, etc.). ) in the foreign service city to dealers for management, while a large number of other markets are still self-operated. Peach and plum walking on two legs opened the road of "central factory+wholesale".

With this advantage, Wu Zhigang became the largest bread producer in Dandong from 65438 to 0997. In the same year, Shenyang Li Tao Food Co., Ltd. was formally established. Thus, the legend of the emperor of peach and plum bread officially kicked off.

In 2006, Taoli Bread expanded its territory, moved rapidly north, south, west and east based in the northeast, captured and expanded, and began the road of national hegemony.

Secondly, peach and plum bread reduces the number of products and boldly adopts the explosion strategy.

Different from many diversified food brands, after successful listing, many companies offered to cooperate with Li Tao to produce other foods, but Wu Zhigang rejected them one by one.

Today, there are no more than five product series and only more than 30 sub-products, including toast, sweet bread, Danish, cold storage, cake and shelf life at room temperature, among which the sales revenue of milk sticks, alcohol cooked and natural yeast has reached a scale of one billion dollars.

The baking industry is changing rapidly, and the brand is also changing. From steamed cakes, pocket bread and lactic acid bacteria bread to hot dirty buns and toast bread. The iterative cycle of baking products is getting shorter and shorter, and it is difficult for most enterprises to gain a foothold. Under the cruel competition, how easy is it to keep your original intention and slow down? On the other hand, the strategy of sticking to the big single product and making subtraction products is not diversified, but a simplified operation mode, but has developed to the extreme.

Thirdly, in the brand investment strategy, Li Tao Bread still insists on the original channel strategy, not the advertising strategy.

Taoli Bread puts all the advertising expenses of the brand into channel marketing, so it is still difficult to see the large-scale advertising of Taoli.

In 20 19, Li Tao's "advertising expenses" were only 47 million, accounting for 0.8% of the total revenue. Its secretary-general said in the e-interaction of SSE that "the company's advertising strategy has always been storefront display advertising".

Up to now, Li Tao Bread has 37 descendant companies and established more than 240,000 retail terminals in the national market. More than 240,000 advertising terminals were launched in a large area, and its display effect can be seen.

In 20 15, 80-year-old Wu Zhigang led Li Tao Bread to land in the A-share market and officially became the first A-share bread in China.

Since Li Tao Bread entered the A-share market at the end of 20 15, its performance has maintained a steady growth momentum. In 20 16-20 19, the company achieved operating income of 3.31100 million yuan, 4.08 billion yuan, 4.83 billion yuan and 5.64 billion yuan, and its net profit also rose steadily, gradually stabilizing the leading position in the domestic short bread industry.

Wu Zhigang started his business after retiring at the age of 60, and led Li Tao Bread to develop in business for more than 20 years. He became the chairman of a listed company at the age of 80 and officially retired at the age of 84 on April 20 19.

Today, this traditional enterprise, which started as a regional brand, has stabilized the leading position in the domestic short bread industry, with a market value of 40365438+ billion yuan in the fifth year of listing (as of September 3).

With the retreat of the first generation of entrepreneurs, the banner of Taoli Bread was handed over to Wu Zhigang's three sons. Taking bread as a moat, from the northeast to the whole country, Taoli bread has become a well-known national bread brand across regions, and there is still a long room for growth in the future. We are looking forward to it!