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Liquor companies have raised prices in response to slowing profits

   Date:2019-11-19     Source:第一财经    Browse:25    
Core tips:A new round of liquor prices are intensive. How to look at the wine companies intensive price action? Although it is in the fourth quarter of the peak season approaching, but different from the past, this year's liquor industry has revealed a silk ad
A new round of liquor prices are intensive.
 
 
 
The latest price increase is reported by luzhou laojiao (000568.sz). The company has announced that the quota settlement price for 1573 classic bottles of luzhou laojiao will be increased to 850 yuan per bottle since December 10.
 
Shuijingfang (600779.sh) announced on November 12 that it will adjust the suggested retail price of its 52-degree 500ml classic master edition and zhenniang no. 8, among which the suggested retail price of classic master edition and zhenniang no. 8 will be raised by 60 yuan per bottle.
 
 
 
Almost at the same time, the price of jiujiu wine (000799.SZ) in hunan province was also reported to increase. According to media reports, jiujiu will raise the strategic price of 52-degree 500ml ginseng by 50 yuan per bottle from January 1, 2020. Chinese ginseng wine is a high-end wine owned by jiujiu wine. Reporters tried to confirm the price increase to the drunk, but the other side replied that the price has not received information.
 
 
 
Earlier, in October, jiannanchun, another wine company, was the first to release the news of the price increase of jiannanchun's collection of large single products, with a range of 40 yuan/bottle. After the price increase, the price exceeded 700 yuan.
 
 
 
How to look at the wine companies intensive price action? Although it is in the fourth quarter of the peak season approaching, but different from the past, this year's liquor industry has revealed a silk adjustment signal. For example, in the recent three-quarter report not long after the close, nearly 70% of the 18 a-share listed wine enterprises attributed to the shareholders of listed companies saw their net profit growth rate no longer match that of last year, and even some wine enterprises saw A decline in the third quarter, which once disturbed the capital market. Liquor companies channel channeling goods are also full of rumors in the industry.
 
 
 
At this time, the price of liquor behavior, the end is "preserves" or "arsenic"? From the current point of view, the price of wine companies into two categories, one is to increase the factory price, one is to increase the retail price. Compared with the latter, the former attitude will be stronger.
 
 
 
"The suggested retail price is for market reference only, and the specific sales price shall be determined by each merchant according to its actual business conditions. Price changes are based on the development of the market, we will closely observe the market situation and make corresponding actions. For shuijingfang, we attach great importance to the reasonable profit level of channel partners, and the product price increase is the optimization of the value chain. Shui jing fang respect expresses to the reporter so.
 
 
 
Another wine company told reporters, the whole industry is rising, you do not rise will miss the opportunity to increase prices, resulting in the brand image dropped.
 
 
 
"With the slowdown in macroeconomic growth and the gradual expansion of high-end wine producers, the price of high-end wine may not rise as fast next year as it did in previous years," luzhou laojiao said in an agency survey.
 
 
 
"Nowadays, many wine companies increase their prices, which is accompanied by the promotion of brand image. At the same time, they often control the goods, which can increase the value and profit of the goods in the channels and stimulate the enthusiasm of channel sales to a certain extent. For the current famous liquor, the price upgrade at this time is more of a brand occupation strategy. As China's liquor consumption continues to divide and squeeze, the opportunity for the price increase of liquor is becoming less and less." Liquor analyst CAI xuefei told reporters.
 
 
 
Xiao zhuqing, general manager of shandong wenwen liquor industry, told reporters that the latest price hike is a technical move aimed at squeezing goods, preempting dealers' accounts and forcing them to return the money to the distillery. Because many dealers, agents may not only a liquor brand, but multiple liquor brands. Who grabbed the dealer's hand in advance, who the Spring Festival sales are guaranteed.
 
 
 
The accounts received in advance are regarded as the reservoir of liquor enterprise profits. Faced with the slowdown of macroeconomic environment, the difficulty of obtaining distributors' advance payment for liquor enterprises is also increasing. According to statistics, by the end of the third quarter of this year, 7 of the 18 listed wine enterprises, including yanghe shares (002304.sz), gujinggong wine (000596.SZ) and laobaigan wine (600559.SH), had lower prepayment than the same period last year.
 
 
 
"In addition, the increase in the price of liquor and marketing costs are also considered, with the rent skyrocketing, now large and small shops are in charge of display fees, in the past it was big shops and supermarkets in charge, now small to small shops are in charge. If you don't pay for display, you don't pay for display. As far as I know, the display cost of a famous brand in a township supermarket is as high as 90,000 yuan a year. Now a lot of liquor brand, is not promote not sell." Xiao zhuqing said.
 
 
 
However, for wine companies, the price rise, the market can accept, remains to be tested.
 
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