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Preface

In last year's life, there was a boom in domestic products on the Internet.

Many cost-effective and affordable domestic brands have re-entered everyone's attention.

Among them, the son of the milk attracted everyone's attention, and it turned out that his predecessor was the prince's milk.

This has caused some people to respond, and many people also lament that the old domestic brands have disappeared.

For example, the Arctic Ocean, Harbin beer, and prince milk are now difficult to see on the market, giving people a feeling that our domestic brands are not competitive and are gradually eliminated.

But the reason for the "disappearance" of these old domestic brands makes many people sigh.

It is not only the joint suppression of foreign capital, the unfair competition, the suppression of domestic brands, and the "dismemberment" of our domestic brands.

At the same time, it is also suffering from internal and external troubles, and there are also "traitors" with bad intentions eyeing enterprises on the mainland.

So, what happened to these old domestic brands?

Prince's milk

Around 2000, the hottest fermented lactic acid bacteria drink in China was definitely Prince Milk.

Its founder is Li Tuchun.

In the 90s, Li Tuchun found that a dairy drink called live milk was liked by many people, so he thought it was a good business opportunity.

So in 1996, he created the brand Prince Milk, and the rapid development of Prince Milk in the future also proves that Li Tuchun's vision is vicious.

In 1997, Li Tuchun made up his mind to sell Prince Milk all over the country.

In order to achieve this goal, he made a bold decision and spent 88.88 million yuan to win the CCTV advertisement.

Although this decision seemed crazy at the time, the rewards were staggering.

After quickly opening up its fame, in 5 years, the total marketing volume of Prince Milk Wine reached 10 billion yuan.

The development of Prince Milk is very fast, and in 2005 it won 70% of the market share of lactic acid bacteria drinks in China.

But the good times didn't last long, and in 2008, Prince Milk ushered in the biggest crisis in the history of entrepreneurship.

At that time, in order to expand the scale of business, in 2008, Li Tuchun signed a VAM agreement, but the outbreak of the economic crisis caused him a big problem in his capital chain, and his profits also declined.

But what is even more dangerous is that at this time, some companies are also "eyeing the prince's milk", not only foreign investors want to take the prince's milk.

Zhuzhou's high-tech dairy also wants a piece of the pie.

The power behind Gaoke Dairy is relatively strong, the chairman Wen Dibo is an official in Zhuzhou, and his wife holds an important position in the police department

Even in 2009, Li Tuchun had mortgaged more than 66% of his shares to Gaoke Dairy in a leased business model.

But the ambition of Gaoke Dairy is not small, and it wants to completely win the prince's milk.

However, in this business war, Li Tuchun lost completely, and in 2010, he was arrested by the Zhuzhou police on suspicion of illegal fundraising.

Li Tuchun was acquitted after 15 months in detention, which means that he is not convicted.

But after he came out, everything was irretrievable, Li Tuchun lost the prince's milk, and the prince's milk, which was once flourishing, gradually declined.

Subsequently, when Li Tuchun made a real-name report, he realized how deep the water behind the "prince's milk" was back then.

But where you fall, you have to get back up.

In 2011, Li Tuchun took back 100% of the shares of Prince Milk, and then established Zicheng Milk Group.

In the wave of domestic products that blew last year, Zicheng's milk re-entered everyone's sight.

Silver Heron Eight Treasure Porridge

When it comes to eight-treasure porridge, the first thing that comes to everyone's mind must be Yinlu eight-treasure porridge, and at that time, a sentence of "taste of love" brought Yinlu eight-treasure porridge to the whole country.

With its good reputation and excellent ingredients, coupled with the characteristics of simple and easy to eat, it has quickly captured a large number of consumers since it was launched.

Subsequently, it became a leading enterprise in the eight-treasure porridge industry, almost monopolizing the eight-treasure porridge market.

In 2010, it set a record of 5.4 billion sales.

But Yinlu Company also has a big hidden danger, that is, as such a huge company, but the product is relatively single.

In addition to Yinlu Babao porridge, there are no other well-known products, which means that once an accident occurs, it will be a fatal blow to the enterprise.

At that time, the foreign brand Nestle entered the mainland, and in order to achieve the purpose of expanding and promoting their products, Nestle approached Chen Qingshui and said how to cooperate.

Promise to bring more advanced technology to Yinlu, achieve a balance in the variety of products, and promote the development of the enterprise.

Therefore, Chen Qingshui and Nestle reached an agreement, and for the first time, they acquired 60% of Yinlu's shares for 1.5 billion yuan and became the de facto controlling owner of Yinlu.

And Nestle has also made a lot of money in China with Yinlu.

Subsequently, Yinlu was financed twice, and in 2017, it acquired another 20% of the shares, and then in June 2018, it acquired all the remaining shares of Yinlu.

At this time, what was originally our domestic brand has been wholly owned by "Nestle", in other words, it has become a "foreign" brand.

But unfortunately, even in cooperation with Nestle, the sales of Yinlu Babao porridge have not reached a higher level.

In 2019, the sales volume was still 5 billion yuan, and in order to save Yinlu's declining performance, Nestle also carried out a series of measures, but the final effect was not ideal.

Then, in 2020, Nestlé sold all of its Yinlu business in China.

And the boss who took over the company was Chen Qingshui, maybe he didn't want the brand he had built to decline.

Arctic Ocean

In addition to the silver heron eight-treasure porridge being controlled by foreign capital, the Arctic Ocean, which was a smash hit at that time, also suffered the same thing.

However, its luck is not as good as Yinlu Eight Treasure Porridge, not only its own products have suffered a big blow.

At the same time, it has been "hidden" for more than ten years, which is simply a big injury to his vitality, and he is dying on the line of life and death.

There may be many people who feel that the Arctic Ocean drinks that used to be lost may be eliminated because they cannot compete in the market.

In fact, this is really not the case, this drink born in Beijing, after the reform and opening up, won the title of national old soda.

It was in short supply, but after 1988, the once-glorious Arctic Ocean gradually declined.

With the continuous progress of reform and opening up, a lot of foreign capital has also rapidly poured into the Chinese market.

Among them, in terms of drinks, Pepsi and Coca-Cola can be said to be very fast.

It also had a great impact on the domestic soda beverage market, and in 1994, the Arctic Ocean was acquired by PepsiCo.

PepsiCo Arctic Ocean Beverage Co., Ltd. was established as a joint venture, and the reason why it chose to merge with a foreign company at that time was because the foreign equipment was relatively advanced at that time.

After the introduction of foreign equipment, the production can be increased rapidly, so as to expand production.

But what I didn't expect was that production did go up, but in the face of the siege and attack of enterprises with such strong foreign funds, the Arctic Ocean really had no power to fight back.

In this way, the Arctic Ocean was "hidden", and the products of foreign capital were viralized at this time, quickly occupying the domestic market.

The Arctic Ocean is also struggling to survive, and after more than ten years of "snow burial", in 2011, the Arctic Ocean returned again.

Although their return is very surprising, after all so many years of withdrawal from the market, the carbonated beverage market has already undergone tremendous changes.

Harbin beer

On a hot summer day, drinking a cold beer is a very happy thing.

At that time, there were two very famous beer brands in China.

That is "South Qingdao, North Harbin Beer", Tsingtao Beer and Harbin Beer are very famous.

In particular, Harbin Beer has the reputation of producing the first barrel of beer in the mainland.

But now it can almost be said that it has disappeared, and even fell to the point that no one knows about it, which is really embarrassing.

Harbin Beer has a long history, in 1900, it was already established, but then there were more and more Harbin beer manufacturers, and the market was relatively chaotic.

In 1950, the state reorganized the scattered factories and consolidated them into the new Harbin Brewery.

Subsequently, Harbin beer is a best-selling beer in the Northeast and Beijing-Tianjin-Hebei region, which can be said to be very well-known.

But the good times did not last long, and in 2003, Harbin Beer was acquired by Budweiser Beer of the United States.

After the acquisition of Harbin Beer, Budweiser carried out a series of operations, and the reputation of Harbin Beer was not as good as before, both in sales and reputation.

Budweiser, on the other hand, is vigorously promoting its own product, Budweiser, in China.

The market has opened up in China, in fact, in a certain sense, Budweiser beer is stepping on the top of Harbin beer.

epilogue

In fact, there are many cases of domestic brands being eaten and dismembered by foreign-funded enterprises, and now it seems that it is indeed heart-wrenching.

However, many domestic brands are not worse than foreign ones, and consumers are more rational, and they also strongly support domestic brands, and I believe that the future development will definitely get better and better.

Text | On Yun Xuan

Edit | On Yun Xuan

Resources:

1. Interface News - Yinlu Returns: The brand is back in the hands of the founder, but Babao porridge is no longer popular 2

2. Arctic Ocean: The "re-creation" of a 15-year-old brand that has been hidden in the snow_China Economic Net - the national economic portal

3. Red Star News - Interview with Li Shuai, Chairman of Zicheng Dairy: I had a debt of 3 billion yuan and sold the Prince Milk Factory, so I had to stand up in that place

4. Xiamen Daily - Yinlu has been 100% acquired by Nestle? This is true......!

5. Collectors Magazine - Inventory: The Past and Present of Chinese Beer, Where is the Road?

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