(Original title: Winter is coming to spring? Expanding domestic demand releases a positive signal The industry is looking forward to new opportunities for the wine industry strategy | Directly hit the wine expo)
News from the Financial Associated Press on December 18 (Reporter Wu Weiling)“Yibin, the capital of wine and beauty in the world“, the 2022 China International Famous Wine Expo (hereinafter referred to as “Wine Expo”) opened in Yibin, Sichuan on the morning of December 17. A reporter from the Financial Associated Press learned from the forum at the opening ceremony that after a period of adjustment in the liquor industry, along with the recent adjustment of the epidemic prevention policy, confidence in the industry has undergone a positive change. Song Shuyu, chairman of the China Alcohol Industry Association, said at the meeting: “To expand domestic demand, consumption is the first. The wine industry in the long-term development is about to usher in a new round of strategic opportunities.”
Liquor industry is now a positive signal
Unlike the haze that has shrouded the liquor industry in recent months, at the opening ceremony of the wine expo, people in the industry took a more positive attitude towards the industry.
At the opening ceremony, Song Shuyu delivered a keynote speech entitled “Harmony in Difference and Great Harmony”. He said that with the adjustment of epidemic prevention and control, although the industry will experience short-term labor pains, it is at hand to fully restore its pre-epidemic vitality.
Song Shuyu, chairman of the China Alcohol Industry Association, delivered a keynote speech and was photographed by a reporter from the Financial Associated Press
Under the expectation of consumption recovery after the epidemic, what kind of opportunities are new opportunities in the liquor industry? In the post-meeting interview, Song Shuyu told reporters from the Financial Associated Press that after the adjustment of the epidemic policy, it is imminent to stimulate consumption. Alcohol products play an important role in consumption and play a very important role in stimulating consumption. “I believe that during the Spring Festival this year and even in 2023, the entire consumption will become a main theme of the market.”
From this point of view, consumption recovery may be an important prerequisite for new opportunities in the wine industry. It is noteworthy that recently, the State Council issued the “Strategic Planning Outline for Expansion of Domestic Demand (2022-2035)”, and the National Development and Reform Commission subsequently issued the “Implementation Plan for the “14th Five-Year Plan” Strategy for Expanding Domestic Demand”. Aiming at the main factors restricting the expansion of domestic demand, the plan clarifies key tasks and important measures.
The China Alcoholic Drinks Association recently issued a document pointing out that the Politburo meeting in December proposed to “organically combine the implementation of the strategy of expanding domestic demand with the deepening of supply-side structural reforms”, and consumption has become an extremely important part of the troika that drives economic recovery. It is believed that with the liberalization of policies, the offline consumption scene will gradually recover.
The China Alcoholic Drinks Association also mentioned that near the end of the year, the sales of liquor terminals have indeed recovered, and the procurement departments of some enterprises and institutions have begun to purchase and stock up for the annual meeting, and the passenger flow of terminal stores has increased significantly. According to the grassroots research report, with the recent optimization of the epidemic prevention and control, some enterprises and institutions resumed their annual meeting activities, which further stimulated the atmosphere of local liquor sales.
The pattern of structural prosperity remains unchanged
This year, the terminal consumption of the liquor industry is under pressure, and the differentiation of liquor companies has intensified. Song Shuyu said that the current pattern of structural prosperity in the industry remains unchanged.
Song Shuyu said in an interview that from January to October this year, the number of enterprises listed in the liquor sector decreased slightly, and the output also decreased slightly, but both sales revenue and profit achieved double-digit growth. This means that the pattern of the liquor industry concentrating on famous wine producing areas and famous wine brands has not changed.
According to the data released by the National Bureau of Statistics, from January to September this year, liquor enterprises above designated size realized an output of 4.879 million kiloliters, a year-on-year decrease of 2.5%. As the main production area of high-quality Luzhou-flavor liquor in Yibin, it is estimated that the annual operating income of liquor companies will exceed 180 billion yuan, a year-on-year increase of 10.11%.
Song Shuyu told reporters from the Financial Associated Press that at present, wine companies need to be fully prepared to meet consumption recovery. After adjustments in recent years, market breadth will become a very important competitive factor in the future. Under this premise, for famous and high-quality wines, fully preparing for the next round of consumption will be a good strategic opportunity. He also said: “With the adjustment of the epidemic policy, we will have more expectations in the future for companies that have survived for three years and still have such good performance.”
As one of the leading wine companies, Wuliangye (000858.SZ) put forward a more specific idea. Zeng Congqin, secretary of the company’s party committee and chairman, delivered a keynote speech entitled “Conspiring for Industrial Integration and Co-Creating a Harmonious Ecology” at the opening ceremony. He said that famous wine companies should grasp the historical initiative, develop with their own high quality, and create new opportunities for the industry .
Zeng Congqin, Secretary of the Party Committee and Chairman of Wuliangye Group (Share) Company, delivered a keynote speech Photo by a reporter from the Financial Associated Press
Specifically, in terms of products, Zeng Congqin pointed out that it is necessary to empower traditional craftsmanship with modern technology to create a diversified, high-quality, and personalized product system; in terms of marketing, famous wine companies must always follow the commercial logic of consumer sovereignty, Restructure the organization and marketing system centered on consumers, and recommend building a modern market system that is unified, open, and competitive.
(Editor Liu Yan)