China's liquor has entered a new era of stock competition, and it has become an industry consensus to attach importance to value growth. In the high-quality development stage of stock competition, structural growth, and brand concentration, the tendency of the wine industry to concentrate on leading enterprises and advantageous enterprises is becoming more and more obvious.
On April 20, Huazhi Liquor Company disclosed its 2023 annual financial report, further confirming this development trend. According to the annual report data, Huazhi Liquor Company's annual revenue in 2023 will exceed 10 billion yuan, reaching 10.121 billion yuan, a year-on-year increase of 16.22%, and a net profit of 235 million yuan.
In 2023, Huazhi Liquor Store has taken a solid step on the journey of high-quality development. With a keen insight into industry trends and a deep understanding of consumer needs, Huazhi has implemented a series of innovative measures to promote the high-quality development of stores, the diversification of products and the continuous enhancement of brand influence.
Review of 2023: Channel, product and brand strategy upgrades
Channel: Based on the 3.0 store upgrade, consolidate the new pattern of omni-channel marketing development,
In the context of the new cycle of liquor industry development, Huazhi Liquor Store has consolidated and expanded its omni-channel marketing system based on the 3.0 store upgrade strategy. Huazhi Liquor Store is closely linked to the core cities, and at the same time, it actively expands the market, and has created a diversified store integrating wine purchase, tasting, leisure and entertainment, banquet and reception, cultural exchange and other functions by comprehensively upgrading the chain stores. This multi-functional and integrated format brings consumers a full range of immersive wine tasting experiences.
During the reporting period, Huazhi Liquor Store developed a total of 201 Huazhi Liquor Store 3.0 stores, and the quality, area and image of the stores were significantly improved, and the development and upgrading of stores showed a new trend of "synergy and progress". The flagship stores of Huazhi Liquor Store have successively landed in Beijing, Shanghai, Guangzhou, Changsha, Hefei, Haikou, Suzhou, Qingdao, Ningbo, Kunming, Dalian and other regions, further expanding the scope of the marketing network system and further highlighting the brand influence.
In the context of consumption upgrading and expanding domestic demand, Huazhi Liquor Store continues to build an omni-channel marketing network system and actively expands the scale of online channels. As an important part of the omni-channel layout, Huazhi Liquor Store's self-operated e-commerce platform "Huazhi Liquor Store Flagship Store" has been running steadily, and the brand strength and layout of JD.com and Tmall flagship stores have been promoted simultaneously, and the sales of e-commerce business have increased significantly.
Product side: optimize the product matrix, and upgrade the promotion of fine wine
Alcohol consumption in mainland China continues to grow, and the trend of high-end is significant. In recent years, the liquor has shown an obvious trend of "price increment reduction", and Huazhi Liquor Store mainly sells mid-to-high-end liquor, benefiting from the process of liquor branding and high-end, and as a leading liquor chain channel, Huazhi Liquor Store's sales scale has been further improved.
Since its listing, Huazhi Liquor Store has adhered to the positioning of "always being a gold medal waiter of a famous winery", and has established a solid cooperative relationship with well-known liquor companies at home and abroad, and is committed to providing consumers with high-quality mid-to-high-end fine liquor. With the change of liquor consumption trend, Huazhi Liquor Store has continuously strengthened its cooperation with upstream famous distilleries to optimize its product structure and meet the diversified needs of consumers. Huazhi Liquor has launched a number of new products, such as the "Jin Nei Sen" jointly launched with Jiugui Liquor, the "Gujing Gong Gu 20 Ice and Snow Collector's Edition" in cooperation with Gujinggong Distillery, and the "Lai Gaohuai Works Collector's Edition" with Lai Gaohuai, and upgraded its strategic cooperation with Penfolds to become its exclusive agent for limited editions.
It is worth mentioning that with its profound market insight and precise marketing strategy, Huazhi Liquor has promoted Lotus Liquor Jinrui Tianhe to win the "Oscar of the Wine Industry" and the "Grand Gold Award", the highest award in the Brussels International Spirits Grand Prix in Belgium. Taking this opportunity, Huazhi Liquor Store increased market publicity, optimized marketing strategies, and comprehensively promoted the landing of Jinrui products. During the peak consumption period of the Spring Festival this year, Huazhi Liquor Store launched a variety of products for the Year of the Dragon, whether it is visiting relatives and friends or family gatherings, Huazhi Liquor Store's products can meet the needs of consumers in various scenarios.
Brand side: strengthen brand competitiveness and always be a gold medal waiter in a famous winery
On the basis of a strong channel moat and a reliable fidelity data chain, Huazhi Liquor Store has successfully obtained the recognition of famous liquors such as Moutai, Wuliangye, Fenjiu, Gujing, Xijiu, and Jiuguijiu with the mission of "always being a gold medal waiter of a famous liquor factory", and has opened up the logical chain of "Huazhi Liquor Store channel power brand power + famous liquor product power brand power = buying real (famous) liquor to Huazhi", so as to occupy the minds of consumers.
Huazhi Liquor Store adheres to the core concept of "quality, fidelity, service and innovation", and has been awarded the 500 most valuable brands in China for 14 consecutive years by virtue of its advantages in omni-channel operation, brand marketing capabilities and operation management. In 2023, the brand value of Huazhi Liquor Store will reach a new high, reaching 27.186 billion yuan. In the 2023 China Customer Satisfaction Index "Liquor Chain" ranking, Huazhi Liquor won many honors such as "National Product and Service Quality Integrity Demonstration Enterprise" in the 2023 "3.15" International Consumer Rights Day hosted by the China Quality Inspection Association.
In terms of business development, Huazhi Liquor Store has continuously injected vitality into the front-line business, launched innovative theme activities, and held 36 marketing and promotion activities through platforms such as Moutai Specialty Store and Moutai Collection, strengthening the dissemination of famous liquor brand culture. Beijing Tongzhou Old Liquor Collection and Famous Liquor Appraisal Center has become an important place for Huazhi Liquor Store to spread liquor culture, receiving Chinese and foreign friends, including the Argentine ambassador to China, demonstrating the profound heritage of China's famous liquor through cultural exchange activities, and contributing to the construction of a national cultural business card. Through these initiatives, Huazhi Liquor Store not only enhances the shopping experience of consumers, but also further strengthens its leading position in the liquor chain industry.
Looking forward to 2024: We will continue to deepen our core development advantages and create a new situation for growth
On the channel side, Huazhi Liquor Store will increase the screening of high-quality customers, deepen the layout of core markets, further expand the cooperation of large outlets, and continue to standardize the operation and management behavior of Huazhi Liquor Store's stores, so as to achieve "precise development, gradual upgrading, and orderly exit". Implement the "323 New Regulations", gradually realize the whole chain management of the supply chain of chain stores, and further maintain the social credibility and market competitiveness of Huazhi brand.
On the product side, Huazhi Liquor Store will be based on the new cycle of the development of the liquor industry, accurately grasp the consumption preferences of consumers, launch more high-quality products focusing on consumers in the middle and high-end circles, and create a matrix of "one super and many strong" fine liquors to meet the rich choices and advanced needs of consumers.
On the brand side, Huazhi Liquor Store will continue to build on its own advantages in product and channel operation, and actively dialogue with consumers through the fidelity system in all aspects of new product development, product procurement, warehousing, distribution, store operation, customer management, market supervision, etc. Adhering to the brand spirit of continuous exploration and bold innovation, we fully integrate global high-quality supply chain resources, so that the brand concept of "always being a gold medal waiter of a famous winery" is deeply rooted in the hearts of the people.
In the context of China's liquor industry entering a new era of stock competition, Huazhi Liquor has made remarkable achievements in its strategic upgrading of channels, products and brands. The revenue in 2023 will exceed 10 billion yuan, and a number of honors affirm the solid pace of Huazhi Liquor Store on the road of high-quality development. Looking forward to the future, Huazhi Liquor Store will continue to deepen its core development advantages, further optimize its marketing network on the channel side, increase its service and cooperation with high-quality customers, continue to launch high-quality products focusing on the needs of mid-to-high-end consumers on the product side, and build a more diversified boutique wine matrix, and continue to strengthen the fidelity system on the brand side to enhance the trust link between upstream and downstream and consumers.
With its continuous innovation and excellent quality, Huazhi Liquor Store helps China's liquor industry to develop to a higher quality, and continues to bring consumers excellent tasting experience and services. In 2024, we look forward to Huazhi Liquor Store reaching a new high in the industry wave and continuing to lead the development and progress of the liquor distribution industry.