The price increase of Moutai is not because of the fact that there is a lot of liquor bought in the market, but because it keeps the liquor in the hands of the distributors in order to let the distributors get more goods.
Sometimes many liquor listed companies, its annual performance is growing, but behind this growth, in fact, more of it is pressuring dealers, the economic data of previous years is better, the environment is better, and the purchasing power is relatively strong, so for liquor, it has gone through a good period, and dealers are willing to take it, because the annual income is still considerable, and the dealers have taken it, so the best routine of liquor in previous years, we can see it clearly.
In the current environment, Moutai stubbornly pulled the ex-factory price, in this case, the dealers originally bought less goods, it is this measure to enhance the enthusiasm of dealers, a little more, so that the growth rate of Moutai's sales and profits can be improved.
In the industry, price increases can boost market confidence to a certain extent, improve market value-added expectations, thereby stimulating consumption, and even increase the behavior of wine storage and storage, so as to achieve the purpose of destocking.
There is also a ** also said that after each round of price increases, Moutai can give dealers enough profit margins, and the profit margins of dealers after the price increase in 2008 are more than 20%. There is a large distance between the ex-factory price, the market guidance price and the channel batch price of Moutai, and the dealers are profitable, so the ex-factory price of Moutai also has the best space, and it will not affect the enthusiasm of the dealers.
When the liquor is up, the distillery raises the price, and the market may respond relatively quickly and the price increase is obvious. However, when the liquor ** goes down**, the distillery raises the price, the market reaction will be a little slower, and there may even be a situation of 'not rising but falling', but it will eventually rise slowly. A Moutai dealer said.
In fact, in the eyes of many dealers, Moutai is underestimated in essence.
A Moutai shareholder believes that the 20% price increase of Moutai is mainly limited to the first-class business channel, which does not mean that the performance of Kweichow Moutai can be increased by 20% as a whole with this move, so Kweichow Moutai still needs to work hard in other aspects, but this action will directly bring about the improvement of performance in the fourth quarter.
Some experts reported that Kweichow Moutai's price increase exceeded expectations, which would lead to a double increase in revenue and profit. According to the brokerage's calculations, this price increase will increase the revenue by about 6.2 billion yuan and the profit by about 4.1 billion yuan. The price increase of Kweichow Moutai this time also means that the pricing space of high-end liquor is further opened.