It is difficult to sort out the Chinese wine industry in 2004. Acquisitions in the beer industry are rising one after another, the battle over standards in the wine industry and the high-end trend are becoming more and more eye-catching, the rice wine industry is in bloom, and there is also a salvation movement in the liquor industry. Whether it is focusing on high-end or Wuliangye's strangulation of sub-brands, they all provide us with The theme was rich and difficult to choose from, and it also left an indelible memory for us in 2004. Great Wall, Changyujian Winery wins high-end event replay: In July 2004, COFCO Yantai Great Wall Winery with an investment of 138 million yuan and an area of ??more than 6,000 acres was officially launched. The winery will be located in Nanwang, Penglai, Yantai, Shandong valley. Asia's largest wine producer Changyu Company and French wine king Castel jointly invested more than 40 million yuan to build the Changyu Castel Winery with an area of ??more than 2,000 acres. It opened two years ago. Various wine producers have relied on wineries to improve their competitiveness in the high-end wine market. In October, Changyu announced that it would invest another 30 million yuan in the development of the Shelongzhu grape planting base. This is the largest investment in a single raw material by a domestic wine manufacturer to date. Another victory for its high-end strategy. Comment: Abroad, wineries are a symbol of the combination of traditional wine craftsmanship and high quality. Because the winery is a place for traditional viticulture, wine making, and wine sales. To own a winery, you must have suitable vineyards and first-class winemakers with rich winemaking techniques to ensure the quality of the wine. With the improvement of people's living standards in China, wine consumption has entered a virtuous pyramid cycle of both medium, low and high-end. The old wine production and sales management system has obviously been unable to adapt to development. Faced with the foreign wine corps and the hundreds of thousands of years of wine heritage behind them, Chinese wine companies have launched the "Westernization Movement" with Chinese characteristics to compete with them. Replay of the incident of the three major beer giants snatching Dongguan: On May 30, 2004, Kingway kicked off the "Battle for Dongguan" among the beer giants. On the same day, Jinwei signed an investment letter of intent with Dongguan Songshan Lake Science and Technology Industrial Park to build a Jinwei beer production base in Dongguan with a planned production capacity of 400,000 tons and an initial production capacity of 200,000 tons. On July 10, Guangzhou Zhujiang Beer Co., Ltd. signed a contract with the Changping Town Government of Dongguan. According to the agreement, Zhuhai Beer will invest 1 billion yuan to build a production base in Dongguan, with an annual output of 500,000 tons of beer. It is understood that the production base will be put into operation in the middle of next year and will become Zhuhai Beer's second important production point after Guangzhou. In just one month, on August 27, China Resources Snow Beer China Co., Ltd. also announced that it would invest 680 million yuan to build a new brewery in Dongguan, with a designed production capacity of 300,000 tons, and construction would start in November. Comments: The three major giants have invested heavily in Dongguan, which highlights the core position of Dongguan and even Guangdong in the domestic beer market. According to professional estimates, Dongguan's beer consumption reached 250,000 tons in 2004 and will become the second largest beer consumption market in Guangdong by 2008. At the same time, Dongguan has entered the hinterland of the Pearl River Delta and is an important position in the "Pan-Pearl River Delta" radiating Jiangxi, Hunan, and Guangxi. And in the domestic beer market after some land enclosure movements, the space for development is getting smaller and smaller, and profits are getting slimmer. According to relevant statistics from the Guangdong Provincial Beer Industry Association: Guangdong, where beer sales account for only 8% of the total national market, accounts for nearly 1/3 of the entire industry's profits. The profit per ton of beer in the Guangdong beer industry, represented by Zhu Beer and Jinwei, has always been as high as 300-400 yuan, which is 5 to 6 times the national average profit level. Replay of the acquisition war between AB and SAB Harbin Beer: In June 2004, Anheuser-Busch International Company (AB Company), the world's largest beer giant, invested HK$5.1 billion to fully acquire Harbin Beer Group Co., Ltd. on the Hong Kong stock market. It owns 99.66% of the issued shares and acquires the century-old Harbin Beer, a local brand. This acquisition has been full of twists and turns. On May 4, SAB announced in Hong Kong that it would fully acquire all issued shares of Harbin Beer for HK$4.30 per share in cash, a premium of approximately 33.3% compared to Harbin Beer’s stock price of HK$3.225 per share the day before the trading suspension on April 30. In response to SAB's comprehensive acquisition plan for Harbin Brewery, AB Company offered a higher counter-takeover price. It announced on June 1 that it would make a comprehensive acquisition offer to Harbin Brewery at HK$5.58 per share, which is a nearly 30% premium over SAB's proposed acquisition price of HK$4.30 per share.

On June 2, SAB stated that it was considering increasing its investment of 4.31 billion yuan to acquire Harbin Brewery. However, Harbin Brewery ultimately rejected SAB's acquisition proposal. In desperation, SAB announced on June 7 that it had withdrawn its proposal to voluntarily acquire Harbin Beer shares at HK$4.30 per share and accepted AB's proposal to acquire Harbin Beer at HK$5.58 per share. Comment: There is no doubt that AB’s sky-high acquisition will not only affect the industry structure of the domestic beer market, but also affect the future acquisition costs of several major domestic beer giants, making equity competition in the mainland beer market more intense. Harbin Beer has become an important member of the world's largest beer companies through equity transfer. After the successful acquisition of Harbin Brewery, AB has the opportunity to exchange part of Harbin Brewery's equity with Tsingtao Brewery, or form a strategic alliance to leverage Harbin Brewery's position in the Northeast market to help Tsingtao Brewery expand into the Northeast and compete with China Resources Beer. China Great Wall Dominates Guangdong Event Replay: On December 28, China Great Wall held a grand commemorative event at the Guangzhou Garden Hotel to commemorate its 15th anniversary of entering the Guangdong market. Guangdong is my country's largest wine sales province. The three major domestic wine brands - Great Wall, Changyu and Dynasty - have never stopped competing for this position. Huaxia Great Wall Wine, which was the first to enter Guangdong, has always occupied the top position. At the same time, 2004 was the year when tariffs on imported foreign wines were significantly reduced. Foreign wines aggressively attacked the Chinese market, especially the South China market, with a low-price strategy. In this decisive battle between Chinese and foreign wines, China Great Wall Wine played the most important role. Role. Lian Qing, deputy general manager of COFCO Wine Co., Ltd. and China Great Wall Wine Co., Ltd., said that in 1989, the first bottle of China Great Wall Dry Red entered the Guangdong market, and from then on, the wine began to form a relationship with the majority of Lingnan wine lovers. For 15 years, in the fashionable combination of bustling cities, China Great Wall has been playing the leading role on the stage of Guangdong dry red wine, becoming the darling of the modern era of red wine. In 2004, China Great Wall dry red sold more than 3 million boxes in the national market, and sales in Guangdong exceeded 1 million boxes. Export sales ranked first in the country for 15 consecutive years. "Looking back on the 15 years since China Great Wall Wine entered the Guangdong market, it was the 15 years in which it competed for market initiative in areas where foreign wines are most concentrated, and the first 15 years in which the Great Wall brand established a model window in the national market." General Manager of COFCO Wine Industry Qu? said that the Guangdong market is indispensable for the Great Wall of China to achieve today's results. Comment: Talking about Great Wall cannot be separated from its aircraft carrier-level group background - COFCO. COFCO Liquor is a wholly-owned enterprise responsible for the management of the liquor sector under COFCO Group, a Fortune 500 company. Over the past half century, the company has been the first to successfully enter the international market with Tsingtao Beer, Guyue Longshan and Ta Brand Shaoxing Wine through its overseas market network. At the same time, many world-famous wines have been introduced into the domestic market one after another, building a golden bridge between the domestic and international wine markets. For the progressive investment and construction of the Great Wall brand, COFCO Winery has followed a strategic trajectory of distinctive features, complementary advantages, and mature development one by one. Replay of the incident of half-juice wine withdrawing from the market: Starting from July 1 this year, half-juice wine products will no longer be circulated in the market. Because this wine does not meet the international standard that wine must be made from pure grape juice through fermentation, according to relevant national regulations, all production companies are required to stop producing this wine after May 2003, and its circulation time on the market will end in 2004. June 30, year. In addition to the original grape juice, half-juice wine also adds water, sugar, essence and other ingredients. This is what people call "three essences" plus one water. Since the juice content in semi-juice wine cannot be accurately measured at present, some producers resort to fraud, arbitrarily reduce the content of grape juice, or even use no grape juice at all, resulting in disorderly competition in the wine industry. Comment: Banning half-juice wine will accelerate the reshuffle of my country’s wine industry. According to statistics, half-juice wine accounts for 2/3 of the market share in the Chinese market. The implementation of the new regulations will make the huge market that originally consumed half-juice wine suddenly vacant. Moreover, as the standards of the wine industry continue to be standardized, some small and no-name factories that cut corners in the past will find it difficult to survive due to the increase in production costs, which also provides good opportunities for my country's large wine companies to continue to grow bigger and stronger. Replay of the event: As early as 2001, Moutai used "Drinking to Protect Liver" as its important promotional slogan. It was also the first company to play the health card in the domestic market. In 2004, Moutai's liver-protecting scandal became more publicized.

The relevant introduction article about Moutai said: "Scientific verification has shown that Moutai is good for health - people who drink Moutai correctly and moderately will not only not cause liver fibrosis and secondary cirrhosis, but also have the health-care effect of protecting the liver. This conclusion It has been affirmed by an appraisal committee composed of nine well-known liver disease experts in China. "On the corporate website of Moutai, there is also a promotion that drinking Moutai is beneficial to health. In October 2004, this propaganda was strongly questioned. A domestic media published a report titled "Liquor to Protect Liver Accused of Commercial Hype, Moutai Liquor Questioned by Experts", stating that at the 13th National Academic Conference on Integrated Traditional Chinese and Western Medicine for Liver Disease, some experts strongly questioned "drinking to protect liver" ", which is considered to be suspected of academic commercialization. After this article was published, many domestic media and scholars raised questions about Moutai's health issues. Comment: In the food industry, conceptual marketing methods are common and understandable. Health is a very important point when people choose food, so it is naturally particularly favored by food promotion slogans. Can liquor protect the liver? Moutai's health promotion pales in front of common sense, let alone some medical experts. We do not doubt that there are opponents of Moutai behind these doubts, but what companies need when promoting is scientific, objective and responsible attitudes and principles. Guyue Longshan wins 60 million for CCTV prime segment advertising rights Event replay: On November 18, 2004, Guyue Longshan, Zhejiang Zhizhonghe Liquor and other rice wine companies won large bids in CCTV’s 2005 advertising bidding. Zhejiang Zhizhonghe Liquor Co., Ltd. spent 45.93 million yuan to win the six-month advertisement broadcast rights for 15 seconds before the news broadcast, 10 seconds before and after the focus interview, and 5 seconds each. Last year, the company’s total advertising investment was only more than 3,000 yuan. Ten thousand yuan. Zhejiang Guyue Longshan Shaoxing Wine Co., Ltd. also made great gains in this bidding, winning a set of prime segment advertising rights from CCTV at a price of more than 60 million yuan. It is understood that China's rice wine production and sales in 2003 were 1.6 million tons, and last year's annual production and sales probably exceeded 1.8 million tons. In the first half of last year alone, rice wine sales increased by 39% year-on-year. As early as October 15, Guo Zhenxi, director of the advertising department of CCTV, revealed to the outside world that the key support targets for the 2005 "Biaowang Target" and advertising loans are automobiles, tires, financial insurance and rice wine industries. CCTV will unite people's livelihood and investment promotion. A bank launched "advertising loans" for companies in key industries. However, the industry has raised great doubts about whether rice wine can be popularized nationwide, because rice wine has been mainly sold in Jiangsu and Zhejiang regions and some foreign markets. Comments: The "troika" of beer, red wine and liquor has always dominated the development of the alcohol industry. In the past two years, rice wine has quietly emerged as the "fourth force" in the alcohol market. This time, the rice wine industry won a large bid from CCTV, which will be another important opportunity for the development of the rice wine industry. In the near future, rice wine is likely to become a new engine driving the development of the wine industry.