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Maotai, the king of Chinese liquor, launched its own e-commerce app

Maotai, the king of Chinese liquor, launched its own e-commerce app

Maotai l OctoPlus Media

Can you believe that there is a dark horse in the Chinese e-commerce shopping app rankings, and it instantly ranked ahead of Taobao and JD.com, the e-commerce giant, second only to Pinduoduo. It also ranks high in all categories of the apps. “Maotai” or “Moutai”, China’s “King of Liquor”, has recently launched its self-operated e-commerce app, and on the first day of launching, it has more than 2.29 million people participating in the subscription and 6.22 million visits.
 
Maotai has a very high status among Chinese consumers, and it is not easy to buy in the market. The price of scalpers is usually 2-3 times as high. Therefore, Maotai’s app received a lot of attention as soon as it was launched. There is a specific rule that consumers that need to subscribe/purchase must first be authenticated by their real name. The daily subscription is only available for 1 hour and is open from 9am to 10am every day. Users need to participate in the given time and then select the self-pickup store. They can check the results of the subscription after the announcement time is reached. If the subscription is successful, they need to pay the price of the product.
 
In fact, this is not the first time Maotai has tried to operate its own e-commerce platform. Maotai tried to launch its e-commerce platform as early as 2014. It was originally intended to give consumers an additional purchase channel, but many scalpers have turned it into a “hoarding” channel. Instead of providing consumers an additional purchase channel, it helped increase the price of Maotai all the way. Since then, the e-commerce company was forced to close in addition to the serious corruption issue within Maotai enterprises. In 2018, the chairman of Maotai was jailed for accepting bribes and was sentenced to life imprisonment.
 
This time, Maotai is determined to try the e-commerce platform again. It is indeed a great determination to try and solve the problem of Maotai’s dealers relying on channel advantages to gain profit all the year round and disrupting Maotai’s pricing. The decision is also to maintain Maotai’s brand value and avoid long-term dissatisfaction from the consumers (because consumers can’t purchase it due to the price being too expensive, caused by the scalpers, and all the money is earned by the dealers and scalpers). Therefore, as soon as the Moutai app was launched, the prices of all Moutai products dropped to a certain extent, and the overall price of all products fell by 8.5%, compared with the beginning of the month.
 
Maotai set an example for the online sales of alcoholic products. China’s old liquor brands such as Wuliangye, Luzhou Laojiao, Yanghe, etc; new liquor brands such as Jiangxiaobai, Guxiaojiu, Liang Daxia, etc are also planning or already have a very mature e-commerce kingdom.

Maotai l OctoPlus Media
Maotai l OctoPlus Media
Maotai l OctoPlus Media

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