▶️Distribution Management and Service Strategy          ▶️IDM/Fabless/IC Design Supplier Assessment

▶️Management of General Affairs Suppliers

Semiconductor Industry Chain Analysis

Digital Platform

Value Creation through Inbound Marketing of WPG Holdings

In response to the network community trend, WPG Holdings creates and continues to promote the Inbound Marketing, plements interactive mobile marketing services, focuses on promoting the digital transformation contents, and makes good use of the influence of KOLs to manage the cumulative inbound marketing. Meanwhile, it also establishes the “Inbound Marketing Values” to reflect the effectiveness of marketing and promotion. Until the end of 2024, the cumulative inbound value has exceeded RMB950 million. Leveraging social media resources such as Weibo, WeChat, Moments, and forums, and utilizing viral marketing campaigns, self-media operations have been enhanced. Through the implementation of various marketing activities, a mutually beneficial marketing service across the upstream and downstream supply chain has been created, continuously improving customer loyalty and engagement.

Committed to Digital Transformation and Create a Win-Win Ecosystem

WPG Holdings unceasingly explores the possibility of various front-end and back-end operation processes from offline to online, with "Customer Orientation, Technology Empowerment, Collaborative Ecosystem, and Era Co-creation" as the main principles. Based on the digital transformation, WPG Holdings actively with the online platforms, and the offline teams dynamically responds to the supply chain adjustment needs of the IDM/Fabless and customers. Through the “WPG DADAWANT,” the Company relies on the automated connection between WPGDADAJIA, WPGDADABANG, WPGDADATONG and customers. Meanwhile, With the increase in the number of online traders, the growth in transaction volume, the continuous optimization of digital tools, and the promotion of data transparency, WPG Holdings has preliminarily established an intelligent supply chain platform ecosystem in 2023. The effects of the perceptive services and new applications are gradually being felt by our clients. WPG Holdings has completed the milestone for “customer orientation, technology empowerment, collaborative ecosystem.” In the future, the plan to lead the industry to achieve “era co-creation era” will be boosted based on the following strategy. 

“WPGDADAJIA and WPGDADABANG” adjusted its operation direction in 2023 to focus on the satisfying services and new functions. The operating revenue and number of customers didn’t grow year-on-year between 2022 and 2023, remaining 40.2% in 2023. In 2024, due to some clients suspending system integration projects, the achievement rate for features was reduced. However, innovation will drive data automation, with the ultimate goal of reaching 100% by 2026.

“WPGDADATONG” focuses on establishing an atomic network, linking each element through replication to maximize a single dimension. From city to city, team to team, and campus to campus, this approach aims to solve the cold start problem. It is expected to become an enterprise digital marketing tool that “comes from tools but is kept for the Internet.” WPG Holdings strives to realize it by planning new business opportunities or market needs or trends to create a new source of mass market business.

The ratio of operating revenue and number of customers from WPGDADAJIA and WPGDADABANG in the last 3 years :

WPG Holdings: Care and Focus on the Needs of Each Partner

The needs of every partner in the industry chain are important to WPG Holdings while planning for the industry chain ecosystem. Hence, WPG Holdings launched WPGDADAWANT and its 5 sub-platforms WPGDADAJIA and WPGDADABANG, WPGDADAGO, WPGDADATONG, and WPGDADAPIN to visualize existing customers' usage on cloud platforms, so that the management team, front-end colleagues, and systems development team can keep track and evaluate specific real-time data, and plan key follow-up projects, in order to meet different digital empowerment needs of the customers and the engineers as best working partners. The five sub-platforms in the WPGDADAWANT ecosystem are described in the following figure :

 Smart Logistics and Warehousing

WPG Holdings adheres to the concept of "customer-oriented" for its logistics management, continuously improving service quality, and dedicates efforts to provide high-quality logistics services to customers while constantly seeking breakthroughs and development.

The Operations Planning Office and Logistics Service Group of are mainly responsible for warehouse operation analysis and management, warehouse operation management and audit in each district, operation process design and improvement of operations planning, and the management and optimization of operations planning system, etc. In order to ensure effective policy implementation, the responsible units conduct audits at least once a year on an irregular basis. Regional logistics shall propose improvement measures and schedules for identified deficiencies, and the Operating Planning Office of WPG Holdings is responsible for coordination and supervision. WPG Holdings conduct audits on outsourced logistics companies on an irregular basis and determine whether or not it has reached target indicators monthly. Taking the Hong Kong, Dongguan, and Linkou warehouses as examples, there were no instances of freight forwarding KPIs failing to meet the standards in 2024.

By building a transparent platform that connects internal and external information, standardized tasks are introduced into an online system, while variable items are handled manually offline. The goal is to co-create a collaborative ecosystem with partners. Through intelligent delivery and smart routing, operational efficiency is enhanced. Additionally, the integration of real-time information via management dashboards strengthens the monitoring of key management indicators and equipment status.

Types of Suppliers

As a semiconductor component distributor, WPG Holdings has two major types of suppliers: IDM/Fabless/IC design supplier and general affairs supplier.

IDM/Fabless/IC Design Suppliers 

WPG Holdings plays the role as a distributor (agent/ wholesaler) in the semiconductor component supply chain and does not engage in manufacturing. However, as a member of the value chain of the semiconductor industry, WPG Holdings proactively monitors the products it distributes/represents, verifying whether these products comply with environmental and social regulations. By publicly disclosing information on the official website, such as whether key suppliers adhere to environmental laws, WPG Holdings helps enhance the transparency of the overall value chain and raise consumer awareness. This demonstrates WPG Holdings' influence within the value chain and contributes to the creation of a globally sustainable electronics supply chain.

By the end of 2024, WPG Holdings has represented over 250 IDM/Fabless/IC design suppliers. Based on the “operating revenue share,” the key suppliers were identified. The top 30 major suppliers, which accounted for more than 80% of WPG Holdings' total revenue, were mainly located in the United States (14 companies), Taiwan (6 companies), Europe (4 companies), China (2 companies), Korea (2 companies) and Japan (2 companies). The U.S. suppliers ranked the first in terms of the turnover, while Taiwan suppliers ranked the second.

Under the Global Sustainability Initiative, WPG Holdings supports Conflict Free Mineral Smelter Program developed by the Responsible Business Alliance (RBA) and the Responsible Minerals Initiative (RMI), and regularly checks the supply chain information of the top 30 key agent suppliers for source of minerals and smelters through the Conflict Minerals Reporting Template (CMRT) or Form SD each year. At the same time, we also place emphasis on chemical safety management and conduct public information disclosure of the results of our due diligence work.

General Affairs Suppliers

For general affairs suppliers, WPG Holdings has formulated a complete supplier policy and identified supplier risks, devoted to assisting supplier partners to continuously improve management measures.