Core Viewpoint - The trend of "lower alcohol content" in the Chinese liquor industry is a response to the structural changes in consumer demographics, particularly among younger generations, and is seen as a necessary adjustment for companies to remain competitive in a changing market [3][4]. Group 1: Industry Trends - The low-alcohol liquor segment has seen rapid growth, with its production share increasing from approximately 15% in 2022 to over 25% by 2024 [4]. - The consumption patterns of younger generations (post-90s and post-00s) show a significant decline, with their liquor consumption being only one-third of that of their parents' generation [3][4]. - Major liquor companies are launching lower-alcohol products, such as Wuliangye's 29-degree "Yijian Qingxin" and Gujinggong's 26-degree "Light Gu 20," to attract younger consumers [3][4]. Group 2: Company Strategies - Jinshiyuan adopts a strategy of "super low alcohol + old liquor," creating a 22-degree product that emphasizes quality and appeals to younger consumers through innovative storage techniques [5][6]. - Shede Liquor positions its 29-degree "Shede Zizai" in the mid-range low-alcohol market, filling a price gap and utilizing a dual strategy of "next-high-end + mass-market" to expand its product matrix [5][6]. - Jinshiyuan focuses on regional market penetration, particularly in Jiangsu, to cultivate a new consumer base, while Shede Liquor employs a national distribution strategy to broaden its reach [5][6]. Group 3: Market Challenges - The low-alcohol segment faces challenges in market positioning, as younger consumers are more attracted to new-style beverages like RIO cocktails rather than diluted traditional liquors [8][9]. - There is a risk of alienating traditional consumers who may view low-alcohol products as a betrayal of liquor culture, leading to a potential loss of both new and existing customers [8][9]. - Companies must navigate channel conflicts and pricing issues as they manage both high and low-alcohol product lines, which can create resource allocation challenges [9][10]. Group 4: Technical and Cultural Considerations - The production of low-alcohol liquor presents technical challenges, including maintaining the quality of base liquor and managing flavor profiles, which can be adversely affected by the reduction in alcohol content [10][11]. - The shift towards lower alcohol content is not just a technical adjustment but also a cultural transformation that requires companies to innovate in branding and marketing to resonate with changing consumer preferences [11].

Core Insights - Wuliangye, a leading Chinese liquor company, recently achieved the highest score in EFQM assessments, earning the EFQM Global Award (7 Diamonds) and a special award for excellence in sustainable development, highlighting its balance between tradition and innovation [11][17]. Group 1: Traditional Craftsmanship - Wuliangye's commitment to traditional brewing techniques is foundational for its high-quality development, reflecting respect for natural laws and the value of time [11][12]. - The company’s traditional brewing process, recognized as a national intangible cultural heritage, involves complex and time-honored methods that ensure the unique flavor and quality of its products [13][14]. Group 2: Innovation and Technology - Wuliangye embraces innovation by integrating modern technology with traditional practices, establishing leading research platforms and utilizing modern microbiological techniques to enhance production [14][15]. - The company has discovered four new yeast strains named after Wuliangye and published a flavor fingerprint map of over 3,000 compounds, revealing the scientific secrets behind its liquor [14]. Group 3: Brand and Product Development - Wuliangye maintains a balance between traditional culture and innovative product development, launching new products like the 29° Wuliangye and cocktails to attract younger consumers [16]. - The company actively promotes its brand globally, showcasing Chinese liquor culture in various countries, thereby enhancing its market presence [16]. Group 4: Sustainable Development - Wuliangye incorporates ESG principles and zero-carbon goals throughout its value chain, focusing on environmental sustainability and resource recycling in its production processes [17][18]. - The company fosters a culture of harmony and cooperation, enhancing the resilience of its supply chain and promoting sustainable practices among suppliers [18]. Group 5: Recognition and Impact - The accolades received by Wuliangye in the EFQM Global Award evaluation underscore its effective balance of tradition and innovation, providing a model for sustainable development in the industry [18].

Core Insights - Wuliangye has achieved significant global recognition by winning the EFQM Global Award (Seven Stars) and the "UN Sustainable Development Goals Implementation and Corporate Performance Excellence Award," marking it as the only Chinese company to receive such honors in this edition [1][2] - The EFQM Global Award is a prestigious recognition in the quality management field, alongside the Deming Prize and the Baldrige Award, emphasizing the importance of sustainable performance in corporate strategy [2][3] Group 1: Quality Management and Sustainable Development - Wuliangye's success in obtaining the EFQM Global Award reflects its deep integration of quality management systems with the EFQM model, showcasing its management level at a global top standard [2][3] - The company has made substantial advancements in sustainable performance, with its ecological development index rising from 72 to 83.5 points from 2020 to 2024, and significant reductions in greenhouse gas emissions and water consumption per hundred million revenue [3][4] - Wuliangye has proactively utilized the EFQM model as a tool for continuous improvement, leading to initiatives such as the construction of a centralized wastewater treatment plant and the expansion of biogas power generation [3][4] Group 2: Cultural Promotion and Brand Value - The "He Mei Global Tour" in Spain serves as a key platform for Wuliangye to convey its cultural values, integrating local culture with its brand message through innovative events [5][6] - The activities in Spain, including the "Wuliangye Barcelona Night" and the "He Mei Feng Tu" forum, aim to deepen the understanding of Chinese liquor culture among international audiences while aligning with the EFQM's sustainable development principles [5][6] Group 3: Global Strategy and Market Positioning - Wuliangye's recent activities in Spain represent a significant step in its globalization strategy, with the EFQM Global Award providing a solid foundation for its international market penetration [7][8] - The company has announced its role as an official partner for the 2026 FIFA World Cup, leveraging sports marketing to enhance its brand influence in Southern Europe [7][8] - Wuliangye's approach emphasizes a long-term vision, focusing on quality management and cultural value transmission to establish itself as a benchmark for Chinese quality and a global cultural symbol [7][8]

Core Insights - Wuliangye has recently won the EFQM Global Award (7 Diamonds) and the "United Nations Sustainable Development Goals Implementation and Corporate Performance Excellence Award," becoming the only Chinese company to receive such honors at this event [1][3] - The EFQM Global Award is a significant recognition of Wuliangye's quality management and sustainable development capabilities, highlighting its clear path towards globalization [3][6] Quality Management and Sustainable Development - The EFQM Global Award is one of the three major quality awards globally, alongside the Deming Prize and the Baldrige Award, emphasizing its authority and influence [4] - Wuliangye's achievement of the EFQM Global Award reflects its deep alignment with the EFQM model, showcasing its management level at a global top standard [6] - The company has integrated economic, environmental, and social dimensions into its core strategy, establishing a comprehensive and sustainable operational framework [6][8] Environmental Performance Metrics - Wuliangye's ecological development index improved from 72 to 83.5 from 2020 to 2024, with greenhouse gas emissions per 100 million revenue decreasing by 43.4% and water consumption by 30.1% [8] - The company's environmental investment increased from 217 million to 690 million [8] - Wuliangye has transformed the EFQM standards into a tool for continuous improvement, enhancing resource recycling and achieving 100% energy self-sufficiency in its wastewater treatment plant [8] Cultural Promotion and Brand Value - The "He Mei Global Tour" in Spain served as a platform for Wuliangye to convey its cultural values, integrating local culture with its brand [9][11] - The event featured a maritime party and a forum that connected Chinese philosophy with European cultural concepts, enhancing the understanding of Wuliangye's brand among international audiences [11][12] Global Strategy and Long-term Vision - The recent activities in Spain mark a significant step in Wuliangye's globalization strategy, with the EFQM Global Award providing a solid foundation for entering international markets [12][15] - Wuliangye's partnership with the 2026 FIFA World Cup as an official co-branded product reflects its strategic marketing efforts to expand brand influence in Southern Europe [12][15] - The company emphasizes a long-term approach to globalization, focusing on quality management and cultural value transmission rather than short-term market trends [14][15]

Industry Overview - The liquor industry is undergoing a deep adjustment period, with the white liquor sector facing high channel inventory and price inversion, while leading companies like Moutai and Wuliangye continue to grow [6][11] - The beer industry is performing well, with major players like China Resources, Tsingtao, and Yanjing showing revenue and profit growth, driven by high-end products [5][6] - The overall liquor market structure remains largely unchanged, with leading companies gaining more advantages while different liquor categories face unique challenges and opportunities [6][10] Key Insights on Liquor Segments - The second and third-tier sauce liquor brands are struggling with inventory buildup and price inversion, necessitating a shift from scale competition to value competition, focusing on brand positioning and quality upgrades [3][4] - The beer industry is experiencing a transformation with a focus on high-end products, craft beers, and innovative distribution channels, which are becoming key profit growth points [5][6] - The low-alcohol liquor market is projected to reach 74 billion yuan by 2025, with a compound annual growth rate of 25%, as younger consumers drive the trend towards "light drinking" and social consumption [13][14] Brand Dynamics - Wuliangye reported a revenue of 52.771 billion yuan in the first half of 2025, reflecting a year-on-year growth of 4.19%, showcasing the resilience of industry leaders [16] - Luzhou Laojiao achieved a revenue of 16.454 billion yuan and a net profit of 7.663 billion yuan, focusing on market penetration and product innovation to adapt to changing consumer demands [20] - Moutai is launching new products to enhance market reach, emphasizing consumer needs and personalized offerings during the adjustment period [7][8] Consumer Trends - The industry is witnessing a shift towards lower alcohol content and personalized products, with companies like Wuliangye and Luzhou Laojiao introducing low-alcohol options to cater to younger consumers [13][29] - The focus on emotional value and social attributes in consumption is becoming increasingly important, as brands adapt to the preferences of younger demographics [9][21] - The online sales of aged liquor are growing, with the market expected to exceed 130 billion yuan by 2024, driven by younger consumers and the demand for unique experiences [14][19] Strategic Initiatives - Companies are increasingly adopting cross-industry strategies to attract younger consumers, with brands like Moutai and Luzhou Laojiao exploring collaborations with non-alcoholic sectors [11][12] - The emphasis on cultural experiences and community engagement is becoming a key strategy for brands to build loyalty and enhance consumer connections [25][26] - The introduction of innovative products and marketing strategies is essential for brands to navigate the competitive landscape and meet evolving consumer expectations [22][30]

Core Viewpoint - The Chinese liquor industry is experiencing a trend towards "low-alcohol" products, with major companies launching new products with alcohol content between 26 to 29 degrees as a strategy to attract younger consumers [1] Industry Summary - Notable companies such as Wuliangye, Luzhou Laojiao, Gujing Gongjiu, and Shede Liquor have introduced ultra-low alcohol products like "Wuliangye·Yijianqingxin," "28-degree Guojiao 1573," "Nianfen Yuanjiang·Gu20," and "Shede·Zizai" [1] - The move is seen as a proactive attempt by the industry to adapt to changing consumer preferences and seek a breakthrough in appealing to younger demographics [1] Expert Opinion - Song Shuyu, Chairman of the China Alcoholic Drinks Association, stated that the low-alcohol trend cannot yet be classified as a definitive trend [1] - He identified that the liquor industry has entered an era of "three rationalities": rational attitudes towards drinking, rational consumption, and rational drinking behavior [1] - Song emphasized the need for the industry to develop new strategies in response to these profound changes and highlighted the lack of systematic research on the drinking habits and behaviors of younger consumers [1] - He urged liquor companies to engage more deeply with the younger demographic to understand their genuine needs [1]

Group 1 - The Chinese liquor industry is undergoing a deep adjustment, prompting companies to reflect on how to appeal to the new generation of consumers [1] - Major liquor companies, including Wuliangye and Luzhou Laojiao, are launching low or ultra-low alcohol products in response to changing consumer preferences [1] - The president of the China Alcoholic Drinks Association, Song Shuyu, stated that the current low-alcohol trend cannot yet be considered a true trend, emphasizing the need for deeper understanding of young consumers' preferences [1] Group 2 - Luzhou Laojiao announced the successful development of a 28-degree liquor product, while Gujing Gongjiu launched a 26-degree product, and Wuliangye and Shede Liquor introduced 29-degree products [1] - The industry is entering an era characterized by rational attitudes, consumption, and behavior regarding drinking, necessitating new strategies for engagement with younger consumers [1] - The upcoming 23rd China International Wine Expo will shift focus from product display to consumer interaction and exploration of new consumption scenarios, including the introduction of trendy drinking culture [2]

Group 1 - Wuliangye deeply integrated into the second Golden Panda Awards, which took place in Chengdu on September 12-13, promoting cultural exchange through the "liquor + film" cross-industry collaboration [1][2] - The Golden Panda Awards received submissions from 126 countries and regions, totaling 5,343 works, with 3,910 overseas entries, accounting for 73.2% [2] - The event featured various activities, including the Golden Panda Night and the Golden Panda International Cultural Forum, aimed at fostering communication among cultural figures [1][2] Group 2 - The Golden Panda Night showcased traditional Sichuan opera performances and highlighted Wuliangye's products, emphasizing the blend of Chinese liquor culture and film art [3] - The event included the unveiling of the Golden Panda commemorative liquor, designed by a prominent artist, symbolizing the elegance of Eastern aesthetics [4] - The awards ceremony recognized outstanding works in film, television, and animation, with notable winners including "Nezha 2" for Best Animated Feature and the Italian film "Tomorrow" for Best Film [6] Group 3 - Wuliangye's cultural initiatives align with the Golden Panda Awards' mission to promote a shared human destiny, enhancing its international presence through various global cultural events [5] - The company has been actively involved in promoting Chinese liquor culture on international platforms, including hosting cultural exchange activities in Hong Kong and Tokyo [5] - The collaboration between Wuliangye and the Golden Panda Awards is seen as a significant step towards fostering cross-cultural dialogue and mutual understanding [6]

Group 1 - The core viewpoint of the article highlights the anxiety within the liquor industry regarding new growth opportunities, leading to a collective shift towards lower alcohol content products by major brands like Wuliangye and Luzhou Laojiao [1][5] - The introduction of lower alcohol products, such as Luzhou Laojiao's 28-degree Guojiao 1573 and Wuliangye's 29-degree "Yijian Qingxin," reflects the industry's response to changing consumer preferences, particularly among younger generations [1][5] - The China Alcoholic Drinks Association's chairman, Song Shuyu, emphasizes that the trend of lower alcohol content is not yet established, and companies need to better understand the preferences of younger consumers [5] Group 2 - The liquor industry has entered an era characterized by "three rationalities": rational attitudes towards drinking, rational consumption, and rational drinking behavior, necessitating new strategies to engage younger consumers [5] - Some companies are exploring new consumption methods and scenarios centered around younger consumers, such as trendy drinking and low-alcohol options, but research on young people's drinking habits remains insufficient [5] - The upcoming 23rd China International Alcoholic Drinks Expo will shift its focus from product display to consumer interaction and exploration of new consumption scenarios, including the introduction of trendy drinking culture to attract younger audiences [5]

Core Insights - The 2025 China International Service Trade Fair (CIFTIS) opened on September 10, with Wuliangye (000858) participating as the "Global Partner" and "Designated Liquor" [1][2] - Wuliangye showcased an immersive exhibition experience, combining product tasting, intangible cultural heritage interaction, and fun activities to engage visitors [1][4] - The company aims to innovate and embrace new consumption trends, transforming traditional liquor into a medium for expressing lifestyle attitudes among younger consumers [1][5] Group 1: Event Participation and Brand Strategy - Wuliangye has been a continuous participant in CIFTIS for three years, highlighting its commitment to global service trade and brand strategy [2][9] - The exhibition featured dual storytelling, showcasing Wuliangye's historical journey and its evolution alongside Chinese society [2][3] - The brand's cultural depth and international vision were emphasized through innovative interactions to enhance brand recognition and emotional connection [2][3] Group 2: Product Innovation and Consumer Engagement - The newly launched 29° Wuliangye "Crush on You" cocktail has gained popularity, reflecting the brand's focus on appealing to younger consumers [3][6] - Wuliangye's outdoor interactive experience area combined wine tasting, food, and cultural elements, attracting significant visitor participation [4][5] - The company is actively pursuing product innovation, including low-alcohol options to cater to younger demographics and international markets [6][7] Group 3: Cultural Integration and Global Influence - Wuliangye is leveraging its "Harmony and Beauty" culture to connect with global consumers and enhance its international brand presence [8][9] - The brand has participated in high-profile international events, promoting Chinese liquor culture and its own products [8][9] - Wuliangye's brand value and international influence have been recognized, ranking 73rd in the 2025 Global Brand Value 500 list [9]