On May 31, 2019 Chinese wine industry summit with theme of “Keep right and innovate for the future” was held in Maotai Town, Renhuai City, Guizhou Province. Wu Xiangdong, the Chairman of Jindong Investment Group Co., Ltd. attended the summit and talked about the changes in the consumer market of the white wine on the forum of “Consumption drives the good life”. He said that, with the capital entering and capacity expansion, the consumption of the white wine is experiencing the changes - just need RMB 200 to drink a bottle of good wine. 

Jindong Group will offer more while wine with “Good Quality and Favorable Price” for middle-class consumers

The annual capacity of Chinese while wine is about 8.5 million tons at present, wherein the real good wine is about 500,000 tons and the remaining is mainly for thelow-end market. 

With the expansion of the middle class and continuous upgrading of the consumption, the demands for the good wine in the future will be bigger and bigger. In the future, China will form an olive type consumer market, and most of the consumers tend to drink good wine. 

What is the threshold for drinking the good wine? Wu Xiangdong gives his professional guidance: With the entering of massive capital, the capacity continues to expand. You just need RMB 200 to drink a bottle of good wine. However, the capacity of the present good wine is not enough. In the future, Jindong Group will be devoted to offer more white wine with “Good Quality and Favorable Price” for the massive middle-class consumers. 

From “Buy You Expensive Wine” to “I Want to Drink Good Wine”

Wu Xiangdong expressed that, the consumption scene of the white wine is gradually evolving, the demands of voluntarily consuming good wine are vigorouscontinuously, and more and more consumers evolve from “Buy you expensive wine” to “I want to drink good wine”. 

Chinese consumption scene is changing with the development of the times, previously, the hospitable Chinese are willing to “Buy you expensive wine”. The price is the best embodiment for the value. Serving the distinguished guests with expensive wine making the host feels respectable and the guest is also courteously treated. This is also the key reason for the market flourishing for the famous wines such as Maotai and Wuliangye. 

Wu Xiangdong considered that, good wine is not always the famous wine or expensive wine. The middle-class consumers become more and more rational in the consumption of good wine. “Good Quality and Favorable Price” becomes the first selection. The large-scale wine corporate should lead and guide this market to thematurity. 

Promote Upgrading of Chinese Good Wine and Food Culture 

Wu Xiangdong introduced that, he is always observing the global consumer market of ardent wine. In addition to Vodka, the total market of the other ardent wine is smaller than that of Maotai. 

Why the Chinese market is so big? It is mainly due to Chinese delicious food and culture. The development of Chinese white wine is closely related with Chinese catering. It is suitable to adopt Chinese white wine for Chinese banquet. This is the thousands of years’ of cultural heritage for us and it has been blended into the genes of Chinese people. 

This consumption scene brings a great opportunity for Chinese white wine industry. Twenty years before, white wine was considered as the “sunset industry”. However, with the consumption upgrading and industrial development, white wine has become a fashionable drink and there is still huge development space in the future. Wu Xiangdong appeared that the white wine industry should develop with the catering industry coordinately. It makes Chinese catering industry more delicate and Chinese good wine and food culture upgraded.