泸州老窖20250919

Summary of the Conference Call for Luzhou Laojiao Industry Overview - The high-end liquor market is under pressure due to the impact of the alcohol ban, with slow recovery in business banquet scenarios affecting high-end products like Guojiao 1573 significantly. However, mid-to-low-end products such as Luzhou Laojiao Tequ and Erqu are performing relatively stable in rural markets [2][4][5]. Key Points and Arguments - Market Performance: Since June, the liquor industry has faced challenges due to macroeconomic conditions and weak consumer demand, particularly in high-end business banquet consumption, leading to a sales decline of approximately 30-40% in June and July. A slight improvement was noted from late July to early August, continuing into September [4][5]. - Product Strategy: Luzhou Laojiao is optimistic about the low-alcohol liquor market, adjusting its product structure based on market demand without strictly differentiating between high and low alcohol content. The low-alcohol Guojiao is performing well in regions like North China and Jiangsu-Zhejiang [2][7][12]. - Youth Market Engagement: The company is actively targeting younger consumers by opening "liquor cafes," developing low-alcohol and craft beer products, and sponsoring sports events to create a youthful brand image [9][19]. - Pricing Strategy: Luzhou Laojiao is committed to maintaining stable pricing for Guojiao 1573 to avoid price wars and protect brand image, preparing for future price increases [17][18]. - Channel Expansion: The company is increasing investments in emerging channels such as instant retail, online sales, and membership supermarkets, collaborating with partners like Pang Donglai for flexible customization [19][20]. Additional Important Insights - Sales Distribution: The revenue share between high and low alcohol products for Guojiao 1573 is nearly equal, with a long-term trend towards lower alcohol content expected, although the exact changes in proportion remain to be seen [11]. - Market Potential: Luzhou Laojiao sees significant growth potential in low-alcohol products, particularly in regions where market share is currently underperforming, such as East China and Jiangsu-Zhejiang [13][16]. - Competition Management: The company is adopting a flexible channel strategy, including direct sales and enhanced management of distributors to ensure market stability amid competition [3][23]. - Impact of Alcohol Ban: The company acknowledges that while the most severe effects of the alcohol ban have passed, the overall consumption demand has not yet improved significantly, posing ongoing challenges for the industry [24]. - Sales Forecast: The company is cautious about predicting sales performance for the upcoming Mid-Autumn Festival and National Day, noting that consumer behavior may be affected by travel plans [5][25]. This summary encapsulates the key insights and strategic directions of Luzhou Laojiao as discussed in the conference call, highlighting the challenges and opportunities within the current market landscape.