Quanyuantang Enters Chongqing Market, Accelerating Its Pharma New Retail Expansion

With the Double 11 shopping festival approaching, Quanyuantang’s new retail business landscape welcomes a new addition. Recently, Quanyuantang, a leading digital retail platform for pharmaceuticals and health products in China, announced its acquisition of Chongqing Jianshun Grand Pharmacy Chain Co., Ltd. This move marks Quanyuantang’s formal entry into the Chongqing market, where it will serve local consumers through a new retail model that integrates online and offline digital operations, creating innovative scenarios for health-related consumption.

Currently, new retail formats are extensively penetrating various industries. As a pioneer in pharmaceutical new retail, Chengdu Quanyuantang Pharmacy Chain Joint Stock Co., Ltd. has fully launched its new retail operations this year and is accelerating its nationwide expansion, proposing a “3 Years, 50 Cities, 1,000 Stores” plan. This acquisition is regarded by the industry as Quanyuantang sounding the “charge” for its new retail strategy.

Chongqing Jianshun Grand Pharmacy Chain Co., Ltd. is a local pharmaceutical retail chain brand in Chongqing, operating more than 10 chain pharmacies primarily distributed across the Jiangbei and Nan’an Districts of Chongqing. This acquisition will help Chengdu Quanyuantang Pharmacy Chain Joint Stock Co.,Ltd. expand its presence in the Chongqing market, enrich the regional structure of Quanyuantang’s new pharmaceutical retail layout, and leverage big data and digital empowerment to establish an integrated online-offline operational system for Quanyuantang’s smart pharmacies in Chongqing.

Currently, Quanyuantang’s operations and expansion teams have fully entered the Chongqing market. By leveraging resource synergy to enhance operational efficiency, the company will sequentially implement store renovations, digital transformation, dual-channel collaboration with its team of certified pharmacists, integration of online and offline touchpoints, 24-hour operations, and 30-minute home delivery services, thereby establishing a closed-loop ecosystem for Quanyuantang’s health management services in Chongqing.

Regarding the strategic expansion into Chongqing, Chen Zhouhua, Director and General Manager of Quanyuantang, stated that Chongqing, renowned as the “Hotpot Capital of China,” offers immense potential for innovation in health consumption scenarios, driven by its robust economic momentum and a culinary culture deeply rooted in spicy flavors. “We aim to leverage digitalization to expand our product categories and enhance service quality, integrating seamlessly into individuals’ daily lives through both online and offline channels, thereby safeguarding the health of Chongqing residents with more diversified solutions.”

"New retail" is not merely a trendy buzzword; against the backdrop of the separation of prescribing and dispensing and the outflow of prescriptions, it has become a strategic new cornerstone for Quanyuantang, one of the top three pharmaceutical e-commerce players. In less than a year, Quanyuantang has achieved remarkable success in the industry through its exploration and mature application of new retail models.

Previously, Chen Zhouhua shared Quanyuantang’s advanced path in new retail development while attending the 18th China Pharmacy Summit. Quanyuantang has built a strong reputation for “small stores, extensive product categories, high-frequency interactions, and premium service” through seven value-creation engines: online and offline traffic entry points, user retention via diversified carriers, internet information streams, category expansion, community-based internet healthcare services, content marketing communities, and digital consumer electronic health records.

As a national benchmark market for new retail in the pharmaceutical industry, Quanyuantang has deployed 39 smart pharmacies in a grid-based layout across Chengdu’s core urban districts. Each Quanyuantang smart pharmacy operates 24/7, maintains an average SKU count in the five-figure range, and processes over 25,000 O2O orders daily. Online orders account for more than 60% of total store sales, driving scaled store operations and enhanced operational efficiency. New retail in the pharmaceutical sector has become a key industry identifier for Quanyuantang, demonstrating the significant appeal of this business model.

Driven by core initiatives including digital transformation, category expansion, supply chain optimization, and resource synergy, Quanyuantang has achieved comprehensive improvements in sales per square meter and labor productivity, thereby strongly fueling its aggressive nationwide expansion.

As of now, Quanyuantang is on the verge of surpassing 100 offline stores. It has been sequentially launching new retail operations in cities such as Chengdu, Guangzhou, and Xi’an. Furthermore, Quanyuantang has achieved a breakthrough from “zero” with its stores in Foshan, Guangdong, thereby deepening its strategic presence in the “Guangzhou-Foshan Metropolitan Area.”

From an external perspective, Chengdu Quanyuantang Pharmacy Chain Joint Stock Co.,Ltd. is leveraging a “combination strategy” of new pharmaceutical retail and B2C e-commerce. Its growth and market expansion have been described as “rapid yet rational.” As policy dividends are unleashed and the company matures its integrated operations across channels, data, and users, Quanyuantang continues to accelerate in the new pharmaceutical retail race.

“Acquisitions and expansion will be our key themes over the next two to three years,” Chen Zhouhua revealed. Acquisition activities in the Chongqing market will continue to intensify, with Quanyuantang aiming to increase its store count in this region to 40. Meanwhile, the company’s expansion plans in Guangzhou and Shanghai have entered a substantive implementation phase. Over the next three years, Quanyuantang plans to open 1,000 stores across more than 50 core cities nationwide, rolling out its new retail business model.

“We aim to leverage new technologies and business models as catalysts to enhance user experience, creating a new breed of pharmaceutical retail that better aligns with consumer thinking and preferences, thereby serving our broad user base more comprehensively and enabling them to tangibly experience the era-driven upgrade in their health dimensions,” said Chen Zhouhua.