KWEICHOW MOUTAI(SH:600519) Sou Hu Cai Jing·2025-12-14 00:10Price Decline - The wholesale reference price of Feitian Moutai has dropped to 1485 yuan per bottle, marking a decline of over 30% compared to the beginning of the year, with the price falling below the official guidance price of 1499 yuan for the first time [1][3] - The price has seen a significant decline from over 2200 yuan per bottle at the start of 2025, with a drop of more than 700 yuan [3] Market Reaction - The continuous price drop of Feitian Moutai has garnered widespread attention, with some consumers shifting to mid-range wines due to the steep decline [5] - Online price wars have intensified, with promotional activities leading to prices as low as 1399 yuan per bottle on platforms like Pinduoduo [5] Causes of Decline - The decline in Feitian Moutai's price is attributed to a rational shift in consumer demand for high-end liquor, with a 30% year-on-year decrease in high-end liquor business consumption in Q3 2025 [7] - High inventory levels have also contributed to the price drop, with an average inventory turnover period of 900 days in the first half of 2025, indicating a significant backlog [7] Company Response - In response to the downward price pressure, Moutai Group is implementing measures to stabilize the market, including collaboration with major e-commerce platforms to combat unfair competition [9] - The company is also focusing on transformation efforts, such as launching smaller bottle sizes and collaborating with brands like ice cream to reach younger consumers [9][10] Industry Impact - As a price benchmark for high-end liquor in China, the decline in Feitian Moutai's price is expected to exert pressure on the entire high-end liquor pricing system, prompting other brands like Wuliangye to adjust their pricing strategies [12] - The price drop is likely to compress the market space for high-end liquor, affecting other brands in the industry [12] Future Outlook - Industry experts predict that the adjustment period for the liquor sector may continue for some time, with a potential recovery linked to economic improvement and genuine consumer revival around the 2026 Spring Festival [14] - Despite the price pressures, Moutai's fundamentals remain strong, with a reported revenue of 1309.04 billion yuan and a net profit of 646.27 billion yuan for Q3 2025, reflecting year-on-year growth [14]