Recently, it was reported in the market that the recommended retail price of Wuliangye Yibin Co.Ltd(000858) eighth generation puwu (hereinafter referred to as “puwu”) has been raised from 1399 yuan per bottle to 1499 yuan, which is the same as the recommended retail price of 53 degree flying Maotai.
The reporter inquired about the above rumors from Wuliangye Yibin Co.Ltd(000858) parties, but received no reply. An insider close to Wuliangye Yibin Co.Ltd(000858) told reporters that the news was true. ” Wuliangye Yibin Co.Ltd(000858) officials have not issued a price increase notice. The price increase at the retail end is mainly due to the decrease of inventory and the change of supply-demand relationship.” The person said.
The industry experts interviewed believed that the change of supply-demand relationship was only part of the reason. The price adjustment in the off-season was mainly to further highlight the determination of Wuliangye Yibin Co.Ltd(000858) products to be high-end and to increase the income of channel providers.
multiple considerations behind price increase
reporters found that at present, the recommended retail price of puwu has been raised from 1399 yuan per bottle to 1499 yuan in Taobao Wuliangye Yibin Co.Ltd(000858) official flagship store. But after the discount, the actual price is 1220 yuan per bottle
An insider close to Wuliangye Yibin Co.Ltd(000858) told reporters that puwu tastes soft, the quality has been greatly improved compared with previous products, and the market response is very good. After the new leadership represented by Zeng Congqin came to power, it paid great attention to the control of social inventory and began to carry out refined marketing management. The proposed retail price increase is mainly affected by the relationship between supply and demand.
In Baijiu marketing expert Xiao Zhuqing, the price adjustment at the retail end, the factory price has not changed, this can increase the channel business road price difference, thickening channel business income. It is reported that at present, the dealers of Maotai and Wuliangye Yibin Co.Ltd(000858) overlap to a great extent. When the ex factory price is similar to that of Feitian Maotai, the dealers can make huge profits by selling Maotai, but the price difference between selling Wuliangye Yibin Co.Ltd(000858) is very small and the profit is very small.
Baijiu industry analyst, general manager Cai Xuefei, said that in the context of the current downward trend of the whole industry, the proposed retail price increase in the off-season is a strong liquor business only, which has released the signal of Wuliangye Yibin Co.Ltd(000858) ‘s firm high-end brand strategy this year. It is also conducive to raising the confidence of the current less robust channel dealers and stabilizing the consumption sentiment of the market.
famous liquor price band of 1000 yuan
With the concept of “drink less and drink good wine” deeply rooted in the hearts of the people, the 1000 yuan price belt has become a “must compete” for major brands.
At present, there is a saying in the market: with the launch of Maotai 1935, Langjiu qinghualang, Xijiu Junpin and other products with a price of 1000 yuan are popular, and the competitive products of Fenjiu, Yanghe and other famous wines catch up, the Wuliangye Yibin Co.Ltd(000858) “pressure mountain” mainly attacking the price of 1000 yuan is high.
For this statement, Cai Xuefei believes that Wuliangye Yibin Co.Ltd(000858) is under great pressure, but it is not severe. For products with a price of 1000 yuan, the brand comes first. As a famous Luzhou flavor liquor, Wuliangye Yibin Co.Ltd(000858) has no rival in this price band. Nationwide, Wuliangye Yibin Co.Ltd(000858) has a huge consumption base, which is unmatched by other local brands.
“Maotai 1935 may squeeze Wuliangye Yibin Co.Ltd(000858) to a certain extent, but it is very limited, because one is Maotai flavor and the other is Luzhou flavor. The consumer groups are different and do not constitute a huge competition.” Cai Xuefei said.
Xiao Zhuqing also believes that there are many thousand yuan price belt products at present, but compared with Wuliangye Yibin Co.Ltd(000858) , Guojiao, the thousand yuan price belt products launched by Fenjiu, Langjiu, Xijiu, Jiugui Liquor Co.Ltd(000799) and others are only a supplement at present. Because in terms of volume, consumption frequency and consumption scene, they can not be PK with Wuliangye Yibin Co.Ltd(000858) and Guojiao.
“Maotai 1935 will mainly pose a threat to Langjiu qinghualang, Xijiu Junpin and other high-end brands of Maotai flavor.” Xiao Zhuqing analyzed.
In fact, Wuliangye Yibin Co.Ltd(000858) plus the price of 1000 yuan has already been signaled before.
on the afternoon of March 11, Wuliangye Yibin Co.Ltd(000858) held an online investor exchange meeting. Zeng Congqin, chairman of the company, said that Wuliangye Yibin Co.Ltd(000858) continues to be in an important window period and a period of strategic opportunities for a new round of high-quality development. The growth logic and fundamentals of Baijiu industry have strong support, and the price of 1000 yuan will continue to expand.
Wuliangye Yibin Co.Ltd(000858) said that the 8th generation Wuliangye Yibin Co.Ltd(000858) is the cornerstone of the company’s high-end product “two wheel drive”. In 2022, the company will continue to maintain the leading position of the 8th generation brand, its absolute leading advantage in market share and the leading role of the 1000 yuan price belt.
in addition, Wuliangye Yibin Co.Ltd(000858) has put into operation the phase I project of 300000 ton pottery altar aging wine warehouse; Special grain technology warehouse and milling automation transformation project under construction, wine storage warehouse project, finished wine packaging and intelligent storage and distribution integration project; It is planned to build phase I and phase II projects of ecological brewing, reconstruction and expansion projects of brewing in Jiangbei Park and expansion projects of koji making workshop
