I never thought that the blast furnace family would come to this?

Mondo Entertainment Updated on 2024-01-31

Unexpectedly, the former "Brother Huijiu" could not pay his salary, and the well-known investors could not save the blast furnace family

Produced by丨Yunjiu headlines.

never expected that at the end of 2023, the former "first brother of Huijiu" would return to the public eye in such a form.

Since December 26, the news of Huijiu Group's salary arrears has gradually spread, and the official Weibo of Huijiu Group has not been updated for many days, staying on the day of "heavy snow" on December 7. Chairman Lin Jinfeng's circle of friends last ** company-related content was on December 8, and the subsequent content is mostly related to actor Bai Ke.

Bai Ke, who once starred in the online miniseries "Never Expected".

I never thought of it", and now it has become the regret of many onlookers for Huijiu Group and the blast furnace family. Yunjiu Toutiao tried to communicate with Lin Jinfeng about the relevant situation through WeChat, but did not receive a reply as of press time.

I have been at the distillery for more than four years, almost five years, and the goal I set for myself to retire from the distillery within ten years is nearly half", as Lin Jinfeng mentioned in August 2022 in the "Letter to the Shareholders of Huijiu Group" (click the link to learn more), now, there may be not much time left for him to save the situation.

The former "Brother Huijiu" couldn't pay his salary

Blast furnace home?In the past 5 years, it has been difficult to see in the market. A veteran of the Anhui wine industry said of his impression of the blast furnace family.

In his impression, the blast furnace wine is a famous wine in Anhui, which once performed well in the Anhui market, but due to various reasons, it has taken a sharp turn, even after being acquired by capital, it is still the same.

Other people in the industry feel the same way.

On December 26, a ** of "Huijiu Group owing wages to workers" went viral on the Internet, and the blast furnace home regained the public's attention.

Huijiu Group has been out of production for several months, not only in arrears of employees' wages, but also in arrears of business payments.

Huijiu Group Blast Furnace Distillery (**Weibo @ Blast Furnace - Huijiu Group).

According to the data, the predecessor of Huijiu Group is Anhui Blast Furnace Distillery, which was founded in September 1949 and is the first state-owned distillery in Anhui Province.

Among them, Shuanglun had an annual sales of 1.3 billion yuan in the 90s of the last century. Entering the 21st century, the blast furnace wine launched in 2000 was also prosperous, and the sales volume in Anhui reached 400 million in 2003, of which only Hefei City was 1600 million yuan, accounting for six or seven percent of the sales of the same grade of liquor, in 2004 sales of more than 500 million, for four consecutive years to occupy the first place in Anhui liquor sales, known as the "blast furnace phenomenon" in the industry.

In 2006, with the imprisonment of Liu Junqing, the former helmsman of the blast furnace family, the blast furnace family immediately slipped and was once on the verge of bankruptcy.

On September 19, 2009, the 60th anniversary of the establishment of the blast furnace distillery, the blast furnace family ushered in a new owner, Yingxin Investment Group, an investor involved in liquor, real estate, finance, home retail and other fields.

So, did investment save the blast furnace family?

A well-known investment leader can't save the blast furnace family

Lin Jinfeng, the first person of Yingxin Investment Group, is an investment veteran.

Lin Jinfeng (** enterprise).

By investing in Moutai and Wuliangye to obtain several times the income, Lin Jinfeng once earned the first pot of gold. In 2015, he publicly said that the liquor industry had not yet bottomed out and that the coming year could be even colder. But in 2016, the liquor industry recovered, and liquor companies were happy.

However, this does not seem to have affected Lin Jinfeng's enthusiasm for investing in liquor. He once publicly said, "In fact, we (Yingxin Investment) have been quite optimistic about the liquor industry since 2003."

Warren Buffett once famously said: I am greedy when others are afraid, and I am afraid when others are greedy. Lin Jinfeng, who has always regarded Warren Buffett as his idol, also maintains this style. When others wanted to stand on the wind, he wrote a book "Away from the Wind";When others reminded him not to put his eggs in the same basket, he insisted on "putting his eggs in the same basket".

Such a maverick may be able to succeed in **, but it is not smooth sailing in reality.

Lin Jinfeng's personal ** update in September this year shows that Yingxin Investment Group has invested a total of 61.8 billion yuan;Since the restructuring in 2009, Huijiu Group has paid more than 1.8 billion yuan in taxes, paid more than 1 billion yuan in salaries, and paid more than 2 billion yuan in bank interest500 million yuan, and said that Huijiu Group is "the largest investment of Yingxin".

Since Lin Jinfeng became the owner in 2009, although the blast furnace has had a short period of improvement, it is still in the downturn for more time, the market has gradually shrunk, and the liquor industry has missed the "first decade".

Lin Jinfeng may also know his weaknesses, and once introduced professional managers, but changed professional managers several times, and then simply took the chairman, president and CEO on his own.

Huijiu Group Equity Penetration (**Tianyancha).

On October 19, 2017, Huijiu Group announced the "Huijiu Group Shares Organizational Adjustment and Personnel Appointment Decision", Lin Jinfeng served as the president and CEO of Huijiu Group, and the outside world described this comeback as a "change" from an "investor" to an "industrialist".

The transition proved to be quite difficult.

According to the data, in 2021, Huijiu Group's revenue will be 40.4 billion yuan, with a loss of 47.51 million yuan. In terms of products, the development of soy sauce wine products is not effective, the 100-year-old products are unsatisfactory, and the 5-year-old, 6-year, 8-year, and 10-year Harmony Vintage series have suffered systematic losses.

During the same period, the Anhui liquor market developed rapidly, Gujing Gongjiu has been firmly in the "10 billion club", Yingjiagong Liquor and Kouzijiao have revenues of around 5 billion yuan, and Golden Seed Liquor is also stepping up its sprint.

In 2015, Lin Jinfeng told China ** Daily that Huijiu Group is a holding platform, and "platformization, entrepreneurship, and collectivization" are the main business strategies, and hopes to achieve IPO listing in the A** market in 2018.

Now, the dream of going public has come to naught, and Lin Jinfeng has lost the ambition he had back then.

Public relations first, first, culture first, these three first mentioned for nearly five years, although the implementation is not ideal, but I realize the power of concentricity, go hand in hand, will inevitably harvest. In the aforementioned "Letter to the Shareholders of Huijiu Group", Lin Jinfeng summarized the changes and difficulties in the past five years at the helm of Huijiu Group (click the link to learn more).

Huijiu Group (**Lin Jinfeng).

An industry insider familiar with Lin Jinfeng in Anhui Liquor Industry said vaguely that Lin Jinfeng should be in a dilemma now: he wants to retreat, but it is difficult to retreat, and the reason is nothing more than the word "interests".

This kind of predicament may also be what Lin Jinfeng never expected when he became the head of the blast furnace family.

The "blast furnace phenomenon" has once again triggered the thinking of the industry

Han Lei, chief knowledge officer of Counseling Consulting, believes that the introduction of investment has not yet achieved a strong return, and there are three problems in the operation of blast furnace homes.

First, the product problem, Huijiu Group did not seize the first period of product upgrading. In order to cope with the fierce competition in the Anhui market, Huijiu Group frequently launched new products, but the products were piled up at the public price point, ignoring the cultivation of the 100 yuan price, resulting in a low-end brand. When the opponent occupies the high-end market, it is difficult for Huijiu Group to turn over.

The second is the market problem, which is prominently reflected in the channel. Cross-regional, cross-channel channeling is frequent, and even the combination of internal and external, which eventually leads to the collapse of the product.

The third is a strategic issue. From the earliest harmonious vintage series, to the cellar age series, to the Baopu series, to the sauce fragrance series, and then back to the harmonious vintage, in just a few years, the product strategy has taken several big turns. Enterprises and distributors have always been in a vicious circle of "new product cultivation and digestion inventory", and rarely can enjoy the dividends of product maturity.

The problems of products, markets and strategies eventually lead to a series of vicious circles in the first-chain system. This actually reflects the problems in the management of the company, Han Lei concluded.

Han Lei suggested that after the capital enters the wine company, it should be gradual and not rushed, and wait until the enterprise is on the right track before taking over.

In recent years, mergers and acquisitions have been staged repeatedly in the wine industry, and the "blast furnace phenomenon" reminds people that attracting investment may only be the first step in a long journey, and does not mean that everything will go smoothly.

According to the data, from 2012 to 2023, a total of 73 investment and financing events occurred in the liquor industry, and the overall investment and financing activity showed an upward trend, with 17 investment and financing events in 2022, with an amount of 63200 million yuan.

In a series of major wine industry investment events, China Resources Group's integrated operation of "three bottles of liquor" (Jingzhi Baijiu, Golden Seed Liquor, Jinsha Liquor) is eye-catching, among which Golden Seed Liquor is also a famous enterprise in Anhui. After China Resources took a stake in Golden Seed Liquor, it helped it find its market positioning, equipped it with a professional team, and defined Golden Seed as "the first sip of liquor for young people", which received good market feedback.

How to seize the opportunity and meet the challenge?The "blast furnace phenomenon" will lead to a new understanding of wine investment. If an enterprise wants to develop healthily and long-term, it is still necessary to have a clear strategy, an effective strategy, a professional team, or to practice internal skills and work hard in management.

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