Venture(US:VEMLY) Bei Jing Shang Bao·2026-01-20 10:52Core Insights - The article highlights the challenges faced by the liquor industry in 2025, particularly the high inventory turnover days and the pressure on both manufacturers and distributors [1][3] - It discusses the unique approach taken by Xiaofang Bottle (Beijing) Liquor Co., Ltd. under Chairman Zhang Chengguang, focusing on supporting distributors and innovating products to engage younger consumers [1][5] Industry Overview - The liquor industry is experiencing a significant downturn, with an average inventory turnover of 900 days in the first half of 2025, a 10% increase year-on-year, indicating that it takes approximately two and a half years to sell existing stock [3] - The total inventory of 20 A-share listed liquor companies increased by 11.32% year-on-year, exacerbating the inventory "dam" problem due to weak terminal sales [3] Company Strategy - Zhang Chengguang made a counterintuitive decision to focus on helping distributors reduce inventory rather than pushing sales, which stemmed from his keen market insights [3][4] - The company adopts a long-term strategy of "factory-merchant integration," where it covers all terminal channel costs, allowing distributors to focus on customer service and market maintenance [4] Young Consumer Engagement - Recognizing the shift in consumer demographics, the company aims to connect with younger consumers by making liquor more appealing and fun, moving away from traditional perceptions [5][6] - In September 2025, the company established a new retail department to innovate product offerings and engage with younger audiences through content and product development [5][8] Product Innovation - The new product strategy focuses on "fruit-flavored, beverage-like" offerings, including sparkling and mixed drinks, to attract younger consumers [5][12] - A new product line is set to launch in January 2026, featuring various flavors and innovative formats to meet evolving consumer preferences [12][14] Distribution and Marketing - The company employs a "first online, then offline" strategy for product distribution, initially promoting products through online channels before expanding to traditional retail [13] - The marketing approach emphasizes quality, emotional connection, and versatility of the product, aiming to redefine the consumption scenarios for liquor [14][15]