Restricted the influence of Sangong Wuliangye and Maotai

Beijing News (Reporter Li Lei) Wu Liangye, chairman of Wuliangye Group, interviewed the Beijing News reporter yesterday and said that after restricting the introduction of the “Three Publics” consumer policy, Wuliangye and Maotai are the two most affected wine companies. He believes that the liquor adjustment will not be “bottomed” until the end of next year.

Restricting the "Three Publics" Consumption of Wuliangye Moutai Most Affected

The domestic liquor industry has experienced 10 years of rapid development. With the slowdown of the economic growth, the state's restriction on the “three-public consumption” and the prohibition of alcohol prohibition, the winter of the liquor industry has come to an end. According to statistics from the National Bureau of Statistics, the total output of enterprises above designated size in the liquor industry last year increased by 7.05% year-on-year, and fell to the lowest level in five years.

Tang Qiao said that after restricting the introduction of the Sangong consumer policy, the two brands that are most affected are Wuliangye and Maotai. Since only these two brands are national brands, the reason is that the boundaries of high-end wine in the national policy are not clear. Some provinces can't identify high-end wines. They use brands to identify them. “A lot of provinces have policies that other wines can be drunk. Even some wines that are more expensive than Wuliangye can drink, but Wuliangye and Maotai cannot.”

In the face of this reality, Wuliangye is also undergoing a transformation. On the one hand, it is advancing into the mid-end wine industry. On the other hand, it improves its marketing model.

Tang Qiao said that Wuliangye is currently changing the so-called "name wine" to "ministry," and is really going to produce and pay attention to what people drink. There is no problem with the company's wine. It mainly changes the system and mechanism. “In the past, we only paid attention to Wuliangye and didn’t pay attention to those wines below 600 yuan. Brands such as Yanghe and Jiannanchun seized this opportunity. When Wuliangye and Maotai didn’t pay attention to the midrange, their days were good. Now Wuliangye begins. Considering the production of full-price products will squeeze their market.”

In addition, Wuliangye will build a new regional marketing center under the marketing center to move the marketing system forward. Tang Qiao believes that the current sales price of Wuliangye 600 yuan is in line with the market.

Liquor industry adjustment bottoming out next year

Tang Qiao said that with the gradual deepening of the adjustment of the liquor industry, the opportunities for M&A in the liquor industry will also come. However, the bottom of the liquor will not appear until the end of next year. At present, the liquor industry is still not bottoming out.

Tangqiao revealed that Wuliangye does have the idea of ​​acquiring a liquor company. The direction is mainly Maotai-flavor liquor enterprise. Wuliangye can create advantages for these companies in terms of funds, brands, and wine sources. “But now is not the best time. I don’t think that the adjustment of liquor is yet to be done. The bottom of the liquor industry is at the end of next year. Therefore, mergers and acquisitions need to select timing to minimize costs. This year they can also bargain and they will be sent next year.”