China became the world's second largest with

The pace of luxury consumption country, kicked Maotai liquor and other Chinese high-end luxury goods into the hall, in the full range of wine giant tube hit the brand to seize the commanding heights of liquor market, innovative business model. Behind this, not only for the Chinese liquor market, stick to 550 billion yuan, is also a high-end liquor market competition for the right to speak, is pulling in the low-end brands and the counsel of his other varieties of wine sales. When China began high-end liquor brands from the stature of ordinary consumer goods to luxury goods as continued fighting arena, will undoubtedly rewrite the rules of the game, and to promote the history of the liquor industry into the inter-industry upgrading stage. Can be expected, the high-end liquor market competition, not only enterprise scale, management of the Competition, but also other aspects of brand marketing is not only a contest of soft power, is led by innovative business models brand competition. Learn to high-end liquor businesses more operational.

2010, the global wine giant Diageo (Diageo) holdings again Quanxing 4% of the shares, the shares will increase Quanxing Group 53%, and further holding Shuijingfang only other legal approval. As early as in 2006, to 517 million Diageo to buy the parent company Shuijingfang 43% stake in GSK Group. Since then, many foreign giants to Chinese brands of liquor in the bag. In 2007, the world's largest luxury goods group Louis Vuitton - Moet Hennessy (LVMH) shot Jiannanchun; 2008, on behalf of Goldman Sachs to finance the investment, funding the acquisition of $ 52,000,000 25% stake in Anhui hole in the pit, Diageo on GSK Group's share holdings to 49%; 2009, Moet Hennessy (Moet Hennessy) worldwide debut winery's first wine Zhuangyuan Wen-jun, the price of 1,500 yuan for new liquor synchronization market. In this, the most potential to take the lead or train a local luxury brands in the industry (see publication in February 2008 number local elements and luxury wine marketing to create the intent all too clear liquor.

wine giants saw in the first qualification in itself is naturally white, followed by a huge Chinese liquor market. In 2009, despite the financial crisis, China's wine industry still maintained a strong momentum of development, the growth rate higher than that of beer and wine sales volume reached 480 billion yuan in 2010, this figure increased to 550 billion yuan. Although the wine are now targeting high-end liquor market is limited, but high-end brand awareness built up, occupy the market after its marginal cost can be lower or even into the low-end mid-market brand in the form of echelon get real fame and fortune.

wine giant's ambitions do not stop there. Find the right home in China, brand, acquisition, re-packaging, the introduction of new products in the process, to the foreign brands provided an insight into the Chinese market and Chinese consumers the opportunity, no doubt pulling our other alcoholic products sold in China will have a positive effect. This Diageo and Pernod Ricard (Pernod Ricard) of these

Today, foreign liquor have spotted a high-end liquor brands behind the huge development potential and the pulling effect, resort to force to seize the high ground. Liquor industry in this regard will expedite the pace of integration of capital and resources, on the other hand can lead to intense competition in the high-end liquor market. This competition is not just the scale of enterprises, management of the Competition, it is not only soft power of brand marketing, and many other contest, it is brand led business model innovation and competition.

the other hand,Chanel 2.55 Bag, foreign giants operating system, whether it is brand building, marketing channels and so extravagant a set of interlocking form, an effective system. Maotai, Wuliangye, National Pits 1573 the palace of one foot in China's luxury high-end liquor, to a fight and compete with foreign giants, how to improve their own brand of luxury features, the use of M & A big advantage of the existing capital, building relatively modern concept of luxury consumer access business model, is to learn the three required course.

Lesson: Improving the brand of luxury properties

Diageo and Remy Cointreau, brand value, intangible assets, goodwill among the proportion of the sum of total assets were close to 35% and more than 25%,Jimmy Choo Shoes, while the other hand, Maotai and Wuliangye, its goodwill and intangible assets add up to total assets ratio are less than 3%. This is an indirect proof, entering the

high-end liquor brands in China, to finding a permanent seat in the temple of luxury, first priority is to reshape its brand story behind the brand to consumer awareness of its unique cultural symbols and historical connotation.

2007 year, the two cities first That time, almost entirely by the high price of Maotai production capacity, supply and demand imbalance led. One year later, Maotai climbed 230 yuan / share the highest price to date, has thus opened up the imagination of its capital circle: Maotai The bottle may be more than just wine. In fact, what foreign brands of the In the past,Coach Shoulder Bags, liquor consumption has been confined to the basic functions of drinking, competitive prices and main channel, ignoring the connotation of the brand and the promotion of cultural heritage.

liquor business is completely foreign to the brand building as the core, either their own or participate in trade shows for product launches, are focused on building brand image. Wine of the importance of brands in the wine gains a, as Diageo chief executive said, Data as evidence, the effect of this move is outstanding. Diageo and Remy Cointreau (Rémy Cointreau), brand value, intangible assets, goodwill among the proportion of the sum of total assets were close to 35% and more than 25%, while the other hand, Maotai and Wuliangye, in accordance with the requirements of the domestic financial criteria a separate list of goodwill, and intangible assets but after adding the proportion of total assets are less than 3% (Table 1).

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common practice even in cost control in 2009, still continues the luxury brand has always been high-profile marketing campaign in order to maintain the high-end brand image (see publication in February 2010 number Marketing people Diageo marketing expenses increased steadily since 2005, the proportion of total sales are about 11% of basic financial crisis does not change the pace of increase in nearly three years of its marketing expenses remained at 7% in 2010 close to 1.42 billion pounds of total expenditure (Table 2). More important in the status of the Asia-Pacific market, its marketing expenditure Gengshi Bi previous fiscal year increased by 12%. Obviously, to build a luxury wine, the Chinese

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build China's high-end liquor brand Hennessy the way, appears to be simple, but it also reflects the brand and cultural factors mining skill and sophistication. In 2009, Wenjun new wine market at the same time, Wenjun winery in the Hennessy opened up a special Wine Culture Museum, on display since the Tang Dynasty to the Qing Dynasty folk wine, wine Wenjun promote the cultural connotation. In fact, the high-end wine is the story of the good at marketing and branding of local wine culture in China combined with a step by step in China's high-end liquor market capture. Wine giant to build the light of the experience of luxury wine, the first layer is the wine itself, the second layer of culture, and the third layer is the storyteller - the quality is the foundation, history is the selling point, packaging means. Consequently, with excellent quality liquor brands in China turned the primary task of luxury (Table 3), is re-branding of the historical and cultural factors, all-round system to build and improve the brand and enhance brand value.

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multi-level building brand meaning, brand value and influence

unique as the traditional Chinese drink liquor in China's traditional culture and heritage of Chinese psychology, occupies a special position, while the liquor itself formed its own cultural ecology. A history of Chinese literature, it is almost wine exudes Page. And born to the cultural genes can only pass on, not fiction, but also from other sectors of Chinese liquor, luxury goods into the first ranks of the greatest advantage. Maotai national identity and political aura of the wine, National Pits 1573 As one of the important luxury goods scarcity, the high-end liquor has always been in short supply, Maotai, Wuliangye, 1573 and pits the country, including such high-end liquor Shuijingfang capacity of not more than 7 million tons, is this scarce species, leading since 2006, Maotai an ex-factory price increase each year, annual price increases have the luxury of physical conditions. Among the auction is the highlight Maotai as the value of investment goods, while, for creating a rapid increases in brand value to enlarge the stage.

In fact, awareness of the issue through a limited edition collection to create investment value, try to brand and combine elements of art and culture, China has used high-end liquor identity, culture, symbols and values ​​to fill the high price and high end of the gap between. From the 90 years since the last century, Maotai has launched a series of return of Hong Kong and Macao to the theme of the collection type of wine. In 1999 the 50th anniversary of the founding of the Chinese Museum of History has also worked for a bottle of 50 years held a grand collection of Maotai ceremony. But these moves only insiders know more, did not play its due role in enhancing reputation and brand momentum. Past two years, introduced the theme of limited edition Maotai significantly faster, Maotai Olympics, World Expo and the Zodiac Maotai wine, and using the auction approach will put to the greatest influence. Known as the integration of the national drink, national treasures, arts and culture, including the Zodiac Quintessence Maotai, Chen not only the use of special wine, and bottles by the artist a national treasure, Beijing Chan Jiaosuo for online auctions.

2010 years to Maotai as the representative high-end liquor is put on a brilliant show. Another price increase is not news, is the introduction of the policy limit sales. Session has been rare auction, the hammer was enough to make millions of eyebrows. Near the end of the transaction price is often the time record, a bottle of 1958 Poly annual autumn auction of five-star brand of Guizhou Maotai 54 degrees at 112 million yuan turnover, and Xiling Seal Society of China famous special vintage, the bottle of 1958 annual output to 1.456 million yuan earthenware bottles Maotai domestic auction prices hit record Maotai (Table 4). Despite 300 years of history with the existing wine collection, compared with the auction, the high-end liquor is still in the field, Financial markets, liquor and other financial products often come out trust, but also a large consumer stocks Maotai support the theme of the end of November 2010, under the re-washed 222 yuan / share the highs, unfortunately, these also can not resist the Maotai

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All these indicate that China's mining and dissemination of high-end liquor cultural symbols of their own history has been fully awakened consciousness, however, from general consumer goods, build a luxury brand is a systems engineering, it is a long-term project, and must in a day. How to focus on the core brand, through the appropriate carrier and forms continue to be conveyed to consumers their own brand content, and perhaps now we are herd foreign brands

by way of experiential marketing, brand communication

newcomer as a luxury, high-end wine market in China is still a single marketing tool. In contrast, overseas wine giants not only came out on top, and the focus gradually shifted as the market and consumer preferences change in the composition and timely adjustment of marketing strategy. In the Chinese market, wine brand from a high-end fashion magazine Focus-based communication, television and newspapers began to shift to play-based mass communication. And its strong sales growth in China, behind a field equipped with a Visible, even in the

how to change regardless of the form, wine has always been around the core of marketing push of its cultural symbols. Wine brand in the overseas markets in recent years, a variety of marketing activities, in addition to organizing media campaigns and ultra-luxurious banquets, Hennessy, Remy Martin (Rémy Martin) and Martell (Martell) and other well-known wine brands will be organized from time to time classical concerts and other activities of high art in the world tour, and often carried out in various tastings, teach the bartenders how to appreciate wine. Hennessy and Remy Martin's And, this experiential marketing activities have been down to the different series, different grades of product lines, further magnified the effectiveness of such activities.

2011 year, a Water for Life The scene of Remy Martin glasses are printed on the brand identity, guests can not only be modulated Cognac signature chief bartender, but also obtaining the personal evaluation, and have each guest will receive a cognac with self-adjusting and bartenders photo as a memento. Tasting similar activities are usually small, Shenzhen, this match was only 60 people attended, but the high-end customers are targeted, and only in such as Remy Martin XO, 1898, and Louis XIII and other high-end series will be in Hotel at a similar size and tasting dinner event. The Club VSOP and the two lower-level series, for they face the 25-30 year old young consumers, such as Remy Martin will be selected in the bar at the night market, Party

Experiential Marketing in achieving the purpose of brand promotion,Prada Sport Sunglasses, but also brings real money for the giants. With Remy Cointreau in 2009 (Rémy Cointreau) took back from the dealer channel for the Asian market, the right to operate in fiscal year 2010, China first emerged as the single largest market for Remy Martin cognac, even with the whole of Asia and other markets income beyond the Americas, accounting for 52.6% of Group revenue Cognac (Figure 1). Asia and other regions have also been with the European and American market, the two formed a third of the traditional pattern of world.

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have pointed out that if just from the ability to analyze corporate profitability, perhaps Maotai, Wuliangye they do not need to make great efforts to promote themselves, because of its operating margin and net profit are much higher than the Diageo , Pernod Ricard and Remy Cointreau Group (Table 5). However, burdened with the arena in the world famous Chinese cultural symbols engraved on the high-end liquor brands, invest more money and effort that learn to speak on In particular, the capacity expansion Maotai not in a day, regardless of scale or out of the need for stable profit level, proceed from the fundamental value of the products found to improve the long-term interests.

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Lesson: do large scale around the core objectives

palace after successfully entering the Chinese high-end luxury liquor, wine directly facing the giants in the domestic and overseas markets as well as a comprehensive international contest. And to do large-scale battle with them not only the need for more diversification, the risk is their own business development needs. The world's largest wine group Diageo's history shows that M is a large-scale and visibility to do the fast track.

a luxury for any company, the brand is an integral aspect of the banner, but without a strong system of commercial support, the story speaks of the brand will become attractive again without the s at the end. How to use existing capital advantage and recognition of institutional investors, through mergers and acquisitions and other appropriate means to expand the scale is placed in the high-end liquor Maotai and other Chinese companies an important subject.

Back in 1997, Guizhou Maotai study annexed distillery, its good at, In 2009, for the introduction of health wine moves Wuliangye, Maotai to health wine products While this approach caused a lot of market disputes, it is expected that the product sales income in 2010 over 100 million yuan. In addition, beginning in 2009 earnings Maotai red, and Maotai beer production in 2010 is also expected to reach 5-6 million tons. In recent years, operating margin and net profit was significantly below the trend of decline (Figure 2), the scale of Maotai began frequently to be effective, try to enter other wine markets. Once outside, general manager of Yuan Renguo Maotai confirmed that Diageo is very optimistic about its diverse range of model wine, and Maotai also moving in this direction.

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of Diageo's acquisition of skills, and perhaps allow us to understand the tricks of liquor where big mergers and acquisitions.

merger success

review the history of the Global Wine Group, the largest liquor group before the two are the expansion through acquisitions, even if the main high-end market, the relatively small size of Remy Cointreau Group, is also M & A integration gradually grow up. Pernod Ricard Wine Group in 2005 won the United Kingdom - Channel Michael (Allied Domecq), 2008 年 acquisition of Absolut vodka (Absolute) parent company of the Swedish liquor brand Vin & Spirit, thus more than 70 billion euros in sales revenue to sit stable global wine second place. In 1997, Diageo was merged is through mergers and acquisitions in a short period of time more than ten years the achievements of the world's first , is 13 times Maotai, a Fortune 500 company.

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CEO of Diageo has bluntly: , Simi Nuo vodka (Smirnoff), Johnnie Walker Scotch Whisky (Johnnie Walker) and Baileys (Baileys) Dengjun disconnect in their respective fields to hold the event. Today, Diageo is the world's only company not only operating spirits, wine and beer group, but accounted for nearly 30% of the global wine market share (Figure 4), is a typical

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brand-oriented

study found that Diageo is not simply to expand the scale of mergers and acquisitions, in fact, all of its acquisitions are based on the behavior of the brand's capital, used to select the segments to strengthen its leading brands in the field strength, and pick the time machine, shot in stages, eventually to the bag. According to the 2010 financial report from July 2007 -2010 In June, Diageo was seven the deal together,Gucci Online USA, including the holdings of shares in GSK Group, every single purchase followed the same strategy.

2008 years, Diageo and the Nolet family of the Dutch joint venture, a Ketel One vodka to obtain exclusive worldwide distribution rights. Despite its own before the first vodka brand in the world, but taking into account the same year, Pernod Ricard, Mid-2009, when the financial crisis was going on when the sudden drop in the consumption of the night games, the North American consumers to switch from drinking from the music at home, saw the opportunity of winning Stirrings Diageo remaining 80% stake in the company, which is cocktail dosing is the market leader brands. Overall, in July 2008 to June 2009 period, Diageo's sales of M & A activities will be pulled up by 1.51 billion pounds, operating profit over the same period increased by 43 million pounds in the last five years, the size of the height (Fig. 5 .)

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Shuijingfang Diageo's acquisition of the M & A strategy is also on the interpretation. China in the hard to reach under the premise of first-line liquor brands, and its turn has a rich cultural heritage by way of the same, easily packaged into a luxury Shuijingfang. More importantly, through the gradual absorption of shares until the full control (Figure 6),Tory Burch Shoes, Diageo in China, the fastest growing and profitable category of outstanding spirits seize a favorable platform. The huge wine export market, and perhaps willing to take the high price of Diageo's another important reason for the acquisition of Shuijingfang - public information, if the acquisition is approved, will expand Diageo Shuijingfang coverage and market share in China while promoting Shuijingfang in Europe, North America related to quality testing, and use their own channels in the international market resources to Shuijingfang to the international market.

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Despite being a wine in the The end of 2010, the market rumors Diageo eyeing Turkey, occupies more than the local share of the Qicheng Wine Group, tried to enter the local market as a springboard. The other person is more startling is that there are mass Louis Vuitton - Moet Hennessy Group financing for the acquisition of Hermes, will sell its shares of Hennessy liquor, and since 1987 to have a 34% stake in the latter into Diageo the most likely successor hand. Although not yet reached by the news of Louis Vuitton - Moet Hennessy confirmed, but think Diageo holding a long list of independent operators in the brand list of missing a class of Cognac, Hennessy Cognac luxury brand that seems completely out of its holding operation brand-oriented mergers and acquisitions strategy.

Lesson: Building a brand under the guidance of the business model

, of course, have the scale is one thing, a scale is another matter. From the management difficulty and give full play to Support regional wine sales model may be more suitable for Maotai.

like Diageo and Pernod Ricard this Group of the resource sharing advantages, it also can spread the risks. Maotai all the moves from the current point of view, it is also copied this model. However, one should not be ignored is that the name may be through Maotai wine, beer, certain areas such as open markets, expand the income scale, but the merger of assets and how to achieve an organic integration of the existing product line, how many management all kinds of brand categories, apparently for their own operations demands a higher level, which is absolutely Maotai is no small challenge.

from this level to analyze, Baron de Rothschild Group (Domaines Barons de Rothschild) adhere to Portugal

wine-a way to go in the end the strategy may be more suitable for Maotai. Most common is that both have a marquee name, sit tight in the top spot in their respective fields. Dependent flagship product reputation, Maotai can focus on their own liquor products are good at and open up the liquor tastes different location or series. Compared to

1855, the Lafite wine castle in 波尔多梅多克 classification system in the region ranked first in a winery. August 1868, Baron de Rothschild Lafite bought at auction the castle. As a result, the Rothschild family's With Rafi's famous, originally identified as a family, expansion of the base: Rafi compete with genuine fame, by

the early 80s of last century, only with Rafi and are Xiamei Long (Duhart-Milon) two of the Rothschild family winery, annual output of only 7.5 million cases of wine (each box of 12 750ml) . Since then, through a series of acquisitions and partnerships, the Rothschild family in France have its seven wineries, of which six are located in the Bordeaux region, while in Chile,Gucci Messenger Bags, Argentina also has its own vineyards. In 2009, the Rothschild family, the

these areas, without exception, the wines are marked with fully demonstrated the genetic relationship with Rafi. On the other hand, in order to ensure the quality of Rafi genuine wines, only the most suitable age, the best-quality wine grapes will be used for brewing authentic, slightly lower grade will be divided and sub-licensing as well as wine and other grades of wine. For example, from the 80 years since the last century, the grape harvest Rafi castle only 1 / 3 will be used for brewing great Rafi level of French wine country of origin.

Since 1995, Rothschild gain another victory,Louis Vuitton Outlet Online, the introduction of the same labeled the In addition to differences on the level of grape, this series is actually part of the wine based on wine by the co-Rafi Group, made the standard brewing deployment. And easily hundreds of thousands of euros a bottle of Lafite large compared to the positioning of the more low-end to make it more vulnerable to public consumers. It is also

its first year, , amounting to approximately 3 million, accounting for the Group's total annual output of 1 / 4. Over the past decade, the castle is really out of Rafi, Rafi, the average annual production of the cards, but 4.5 million cases, the annual production of more authentic only 1.5-2 million cases (Table 6). Rafi great reputation in the umbrella, the other three Bordeaux wines share their brokers, and to accommodate more dealers come here especially to make the other labeled unhappy marriage. Rothschild family to a

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