With more than 10 billion in two years, whose cheese did Moutai 1935 move?
Author - Brother who understands wine
The thousand-yuan price band has become a must for soy sauce and wine enterprises, whether it is from the needs of enterprise development or the needs of survival, who can occupy the thousand-yuan price band first, who will inevitably have more right to speak.
Moutai 1935: from 0 to 100
At the end of 2023, Moutai 1935 handed over a 10 billion report card as scheduled, and in only 2 years, Moutai 1935 achieved the goal of a new journey of 10 billion single products.
Since the market price of Feitian Moutai has been stable at a high level of 3,000 yuan for a long time, there is a fault in the price band of 1,000 yuan in the product structure of Moutai. In 2022, Moutai Group will launch a heavyweight product: Moutai 1935, priced at 1,188 yuan per bottle, which caused an uproar as soon as it was listed, successfully filling the price band of Moutai 1,000 yuan.
At the beginning of its listing, Moutai 1935 was coaxed by the market, and its actual transaction price once reached 1,800 yuan, which also became the highest moment of Moutai 1935.
In the later period, with the promotion of the distribution of goods through national channels and the gradual increase of its self-operated platform i Moutai at the guide price, Moutai 1935 gradually returned to the normal level from the terminal price. Around February 2023, the channel transaction price of Moutai 1935 once fell to about 1,100 yuan, but despite this, compared with other products with a price of 1,000 yuan, the channel of Moutai 1935 still has a good profit to achieve sales at a smooth price.
Some dealers said that at present, the profits of Moutai 1935 dealers are very considerable, especially compared with products in the same price range, the profit situation of Moutai 1935 is the best.
On January 9, 2023, at the celebration of the first anniversary of the listing of Moutai 1935, Moutai announced that in the 11 months of its listing in 2022, Moutai 1935 has achieved a revenue of more than 5.2 billion, which amazed the industry. Ding Xiongjun, Secretary of the Party Committee and Chairman of Moutai Group, gave high expectations on behalf of Moutai: "In 2023, Moutai 1935 will stride forward with a high-spirited attitude and carry out beauty to the end, and start a new journey of tens of billions of single products." ”
On December 29, 2023, when we were about to bid farewell to 2023, at the celebration of the second anniversary of Moutai 1935, Zhang Xu, Secretary of the Party Committee and Chairman of Moutai Sauce Flavor Liquor Marketing Co., Ltd., said: "Moutai 1935 set a goal of 10 billion yuan at the beginning of the year, and today, we have successfully completed this seemingly impossible task. ”
Zhang Xu said at the meeting that the market size of the 1,000-yuan price band of liquor is about 100 billion yuan, and Moutai 1935 only occupies 10% of the market share, and there is still a lot of room for growth.
The thousand-dollar price band is in full swing
The birth of Moutai 1935 made the industry have more imagination of "thousand-yuan sauce wine". From the outside world, the thousand-yuan price band is an important price band of high-end liquor, which is constantly showing a trend of expansion, and although there are many people in this price band, there are very few people out of the circle, and there are huge opportunities.
Nowadays, Moutai 1935 has achieved such proud results, and there is no one more popular than the wine companies in the second echelon of soy sauce wine.
Let's take a look at Guizhou Xijiu, which flies solo from Moutai. Once, with the popularity of Moutai, Xijiu quickly occupied the high-end market of soy sauce wine with lightning speed, and fell into a fierce battle with Langjiu for "second soy sauce wine". But with the official solo flight in July 2022, leaving the big tree of Moutai, Xijiu can only rely on himself.
As a high-end sauce-flavored product of Xijiu Company, Junpin Xijiu was launched in July 2019, and after listing, Xijiu Company integrated advantageous resources for publicity and promotion, and its marketing measures were frequently forced. In 2021, among the revenue of more than 15 billion yuan of Xijiu, the sales contributed by Junpin Xijiu will be close to 3 billion. At present, Junpin, like cellaring, has become the two major items of liquor.
However, it is worth noting that both Junpin Xijiu and Cellar 1988 have long faced the problem of price inversion on the channel side.
The ex-factory prices of Junpin Xijiu and Cellar 1988 are 935 yuan/bottle and 568 yuan/bottle respectively, and the suggested terminal retail prices are 1498 yuan/bottle and 898 yuan/bottle respectively. According to today's wine price, the market price of Junpin Xijiu 53 degrees/500ml on January 5 was 820 yuan. The market price of cellar 1988, 53 degrees/500ml is 475 yuan. The two are significantly lower than the recommended terminal retail price, or even lower than the ex-factory price, and the price inversion is quite serious.
Let's take a look at Sichuan Langjiu, which has been competing with Xijiu for "second soy sauce wine".
Qinghualang is an important single product of Sichuan Langjiu in the price band of 1,000 yuan, a few days ago, Langjiu released the general program of "Centennial Langjiu", which established the single product as the company's first important strategic product, and made every effort to develop, resolutely take the road of value, and become stronger and bigger. According to the goal of Wang Junlin, chairman of Langjiu, Qinghualang should strive to develop with the goal of 50 billion yuan/year, and truly become the second high-end soy sauce wine after Feitian Moutai, and develop to 1500-2000 yuan/bottle.
Focusing on the brand value shaping of Qinghualang, in 2021, Langjiu upgraded its strategic positioning: the left bank of the Chishui River, Manor Sauce Wine. To this end, Langjiu has invested a lot of manpower, material and financial resources. At the same time, Qinghualang also spent a lot of money on brand communication, holding hands with "classic chanting" and "reader", and deeply integrating into the World Internet Conference, Sina Finance's "Top Ten Annual Economic Figures Selection" and other blockbuster activities, this series of measures have made Qinghualang's brand value leap.
In April 2022, under the influence of the epidemic and the restriction of the terminal consumption scenario of liquor, Langjiu announced a price increase, raising the planned ex-factory price of 53 degrees 500ml Qinghualang by 100 yuan to 1009 yuan/bottle, surpassing the ex-factory price of 969 yuan/bottle of Feitian Moutai and becoming the first large single product in the industry to stand at the ex-factory price of 1,000 yuan. However, the suggested retail price of Qinghualang is still 1499 yuan / bottle, so the pressure is given to the dealer.
After the price adjustment, some dealers told the media that the gross profit margin of dealers is much lower, many times in the single digits, and some products do not make money just by selling the price difference, mainly relying on the manufacturer's rebate subsidy.
Despite the ill-fated fate, Jun Pin Xijiu and Qinghualang still stick to the 1,000-yuan price band, while the summary of Jinsha Liquor has been kicked out of the 1,000-yuan price band.
In the first half of 2023, Jinsha Liquor's revenue and net profit recorded a year-on-year decline of 51.2% and 41% respectively, which is less than two years after Jinsha Liquor shouted the slogan of aiming for 10 billion yuan. The summary price of more than 60% of its revenue has been declining since the second half of 2021, during which Jinsha Liquor raised the ex-factory price three times with the intention of raising the price, but it accelerated the decline of the summary price and was even named the "diving champion" by the distributor.
In June 2023, Jinsha Liquor announced that it would recall the abstract at 650 yuan per bottle. Fan Shikai, general manager of Jinsha Liquor, also publicly stated that the future summary will be positioned in the high-end price band of 650 yuan, compared with its original suggested retail price of 1,399 yuan per bottle. The change in the positioning of the abstract not only means that Jinsha Wine's dream of "building China's second bottle of high-end soy sauce wine" is shattered, but also indicates that the product structure of Jinsha Wine will change accordingly.
After Moutai 1935, who else can take the lead in "breaking the circle" in the 1,000-yuan price band, you might as well wait for the market test.