The pattern of the wine market quietly changed

Although there are opinions in the industry that the reduction in China's import tariffs for wine and the rising prices of domestic wines have made imported wines more cost-effective, they have had a greater impact on domestic wine consumption. However, the decline of foreign wines in the global market has made the wine market hazy.

According to industry insiders, the market competition will change after the Turkish Ocean wines encounter the “cold stream” at the same time.

The “myth” of Mingzhuang wine was shattered and the famous wines represented by Lafite “fell”. At the same time, the domestic wine market is undergoing subtle changes.

"In 2004, Lafite only sold more than 2,000 yuan/carton. By 2009, it would have sold 18,000 yuan/carton. What's even more frantic is that in 2000, the year 2000 Lafite had been hoarded by a dealer. 86,000 yuan/carton, all the way up to nearly 20 million yuan/box at the end of 2010. After reaching historical highs, the price of small Lafis began to stagnate, and then entered the down channel, with some products falling more than 50%." Foreign wine dealers said.

Reporters interviewed a number of foreign wine dealers were informed that in the second half of 2012, the price of the famous wines in the international market generally fell, a drop of 30% to 50%. At present, the sales volume of high-end products of Shenzhen local wines has declined to varying degrees, with a decline of 20% to 40%. “The high-end brands have more channels to buy and buy. Due to various bad market attacks, group purchases have been greatly affected.” The ocean wine dealer said frankly.

According to Jiang Zumao, Secretary-General of the Shenzhen Liquor Industry Association, the gradual rationality of consumers has also become one of the factors for the decline of Mingzhuang Liquor. Rafi operates in the domestic market with luxury brands, whose prices do not fully reflect quality and cost-effectiveness. With consumers gradually rational, no longer blindly sought after the high-end brand wine, but according to their own actual situation to buy foreign wine, pay more attention to cost-effective, is straddling the "read packaging judgment grade" stage.

Domestic wine encounter "Waterloo"

Just when the name of the wine was cold, domestic wine was not as good as the scenery. On February 4th, Dynasty Wines issued a profit warning, and it is expected that the Group's annual results as of December 31, 2012 will turn profitable. This will be the first time that the Dynasty has landed on the Hong Kong Stock Exchange for the first time in eight years. Dynasty wines attributed the loss to falling sales and increased distribution costs. The poor performance of China's economic environment and competition in imported wines caused sales of domestic wine products to decline.

Three days later, the “Great Wall” wine producer and China Foods’ China Foods Group issued a similar profit warning on the Hong Kong Stock Exchange, saying that their wine business has fallen. Less than a week later, Tongtian Liquor also issued a profit warning, saying that due to fierce competition and rising costs, annual net profit fell year-on-year.

In the mid-range market of foreign wines, with the bursting of high-end ocean wine price bubbles and the return of rational consumption, affordable ocean wines are gradually placed on the public table, and mid-range wines have coincided with being the main source of profit for domestic wines. The narrow road meets and the dispute between earth and ocean is already on the strings.

The reporter visited the market and discovered that, after years of development, foreign wines have optimized their product mix based on changes in consumption in the domestic market. At present, in the market, the main products of foreign wines have changed from high-end products of more than 500 yuan to mid-priced wines of around 200 yuan.

“At present, the most sold are low-end wines with retail prices ranging from 70 yuan to 80 yuan, and mid-range wines with prices ranging from 100 yuan to 200 yuan and 200 yuan to 300 yuan. For example, the European Union and France’s table wine are their The sales volume of the lowest level of daily meal wine is increasing, while the sales volume of high-end castle wines and famous wines are falling,” said Mr Zhang, a French brand wine agent.

People in the industry believe that domestic wines have been suppressed by foreign wines in the high-end market for many years and it has been difficult to win more market share. Therefore, domestic wines generally focus on the mid-range and mid-to-low markets. Today, foreign wines cut into the mid-range market is undoubtedly the bottom line to challenge domestic wines. In the future, there must be some "bloody" between the two.