Lin Chen/Wen
The waist products of famous wine companies are becoming a new competition field, especially after the suspension and cleaning up of their respective series of wines, many brands are trying to change their "strong at both ends, weak in the middle" pattern. However, mid-range products of about 200 yuan have more price sensitivity than high-end goods, and to some extent, they rely more on price channels rather than brand drivers, which is also an inevitability.
On the afternoon of June 22, Shanxi Fenjiu exchanged views with investors on the positioning and promotion of mid-range wines at its online performance briefing. Caijing found in many supermarkets in Beijing earlier that 138 yuan of bamboo leaf green, 238 yuan of old Baifen 10, 258 yuan of purple sand fen wine, 279 yuan of old Baifen 15, most of them continue to carry out 15 yuan -30 yuan cashback activities. Individual products even buy two back one.
Does this mean that Fenjiu's mid-range products rely on price and channel sales, rather than brand-driven? In this regard, Shanxi Fenjiu replied to the financial network Sankei said that the above-mentioned buy-give and buy-reduce activities are common methods for holiday promotions or phased promotions. The company continuously strengthens the marketing potential by enhancing the brand value, supplemented by appropriate channel promotions, which is conducive to the sales promotion of mid-range products.
In fact, Shanxi Fenjiu has bluntly said that it is necessary to "grasp two ends and bring the middle" in the development stage of the product structure. After all, in addition to the two high-end and public strong cognitive products of Qinghuafen and Bofen, the middle zone products, including Xinghua Village and Xinghuayuan, similar to the series of wines of many famous wine companies, are facing the process of changing ideas from being cleaned up to refocusing.
At the shareholders' meeting of Wuliangye last week, wuliangye executives revealed that since 2017, Wuliangye series of wines has been cleared of 189 brands and 2260 products. The company should reconstruct the product and price system of the series of wines under the premise of not wearing new shoes and going the old way, making it an important growth sector of the joint-stock company.
The 2020 annual report of Fenjiu disclosed that its series of wine production and sales were cut off, the reason is to stop production and rectify and reposition it. At today's briefing meeting, when Fenjiu replied to the financial network Sankei, it was revealed that the series of wines refers to the company's collective name for other brands other than Fenjiu, Bamboo Leaf Green Wine, and Xinghuacun Wine. If you compare the definition of the series of wines in the annual report, it can be seen that the apricot blossom village wine has been removed from the series of wines.
Image source: Shanxi Fenjiu 2020 annual report and screenshot of Panorama Network
For the future ideas of the series of wines, Fenjiu said that it will select a small number of series wine brands with development potential to cultivate the market in the designated price bands in the designated areas, and eventually form a corresponding supplement to the above three leading brands.
Compared with the marketing focus of the aforementioned commercial supermarket terminal Fenjiu, the one with the separate heap of the aisle is Qinghuafen 20. The shelves of high-end products alone are occupied by Wuliangye, Guojiao 1573 and Qinghuafen on average.
In addition, Wuliangye, which stated that "we can't just sell Jianzhuang, but must increase the tonnage price of series wines", also gave the focus of the pile to wuliang alcohol in the series of wine camps. The latter has recently intensively promoted the activity of redeeming one bottle of original product with three bottle caps + shopping receipts. "Fight on the same stage" with fenjiu products with a price range of 200-300 yuan.
"Two or three hundred liquors, itself for the group price sensitivity is very strong, the price factor is magnified is also inevitable." Cai Xuefei, an analyst in the liquor industry, told Caijing that "for enterprises, liquor is a competitive market for stocks. High-end products are demanding on channels and brands. Although everyone always says that high-end is the trend, for enterprises with certain brand advantages, it needs a complete brand structure to combat risks. The waist product can form a sink-type growth, but also can make up for the disadvantage of national brand power, contribute their own sales value. ”