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Moutai targets 9% sales growth

By Lyu Chang and Yang Jun (China Daily) Updated: 2014-03-06 07:18

Moutai targets 9% sales growth

An employee shows a bottle of Kweichow Moutai liquor at a store in Lianyungang city, east Chinas Jiangsu province, 27 September 2013. [Photo/Agencies] 

But the high price tag, which made it an easy target for the government spending campaign, has been slashed. A bottle of Kweizhou Moutai, which cost close to 2,000 yuan in 2011, can now be had for less than 1,000.

How quickly fortunes can change. In 2013, Moutai raked in 40.2 billion yuan in sales, an increase of 13.8 percent year-on-year.

Moutai targets 9% sales growth

Moutai targets 9% sales growth

To battle the hard times that the entire distilling industry has endured, Moutai launched a customization marketing company last year, shifting its focus away from the government and the military to the wealthy and the top 500 companies, both international and domestic.

Meanwhile, Moutai - which is China's top brand for baijiu, a sorghum-based spirit of various "fragrances" - is also planning to expand its overseas network to Europe, North America, Australia and major duty-free ports in China.

The company bought a property in Paris for about 8.79 million euros ($11.8 million) as its focus on the European market for business development.

"With the alcohol content of 52 to 54 percent, we will adjust our products and sell customer-made spirits for foreign consumers who prefer low-alcohol liquor," Yuan said.

The company exported nearly 1,000 tons of Moutai liquor in 2013 with sales revenue of more than $160 million.

Ma Yong, deputy secretary-general of the China National Food Industry Association, said Moutai had a good performance last year and should continue to maintain its position as industry leader with its new strategies.

The inventories of 14 listed enterprises involved in the white spirits industry surged 23.6 percent to 35.6 billion yuan in the third quarter of last year, while revenue dropped 12.25 percent to 5.72 billion yuan.

Moutai targets 9% sales growth

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Moutai targets 9% sales growth

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