Overwhelmed cocktail industry

The pre cocktails after last year’s triumph, then ushered in the market has shrunk dramatically. Mother Bairun company shares released a quarterly report, according to the announcement, this year 1 – 3 months achieved revenues of 2.16 billion yuan over the same period last year was 8.1 billion yuan, compared to the same period plummeted 73.3%; net loss of 6357 million yuan, a loss of up to 850 million yuan, decline rate is as high as amazing 741.16%. Not only that, the earnings report, the company expects 1 – June will be a loss of 50 million yuan – $100 million. Insiders pointed out that the pre adjusted cocktail market to follow the trend of serious, serious excess capacity of the market, the homogenization of competition, the industry’s gross profit fell fast, which led to a rapid decline in performance. In addition, experts have questioned, last year Bairun acquired the main Bacchus wine. During Bairun shares achieve net profit of 315 million yuan, and only a year later. Bairun results in the face, probably is a result of capital operation.
Big dive
Following last year fourth quarter net profit of the huge loss of 2 billion yuan, Bairun shares once again into a loss, according to a quarterly earnings report shows, this year 1 – 3 months achieve operating income of 216 million yuan, decreased 73.3% compared to the same period last year; attributable to shareholders of the company’s net profit of 6357 000000 yuan, than the same period last year reduced 120.18%. Not long ago, announced the launch of a high-profile 2 series of new products, the bartender for the upcoming season full of confidence. However, the mother of the shares of the company is clearly the judgment of the market appears to be more rational.
Statistics show that the relevant information, 100 run is expected this year 1 – June will be a loss of 50 million yuan – $, which means that the company’s loss in the two quarter of this year, or will expand.
For Bairun’s performance a year like a waterfall of the initiator, the earnings report pointed out that the company’s operating income decreased mainly Bacchus wine main business income compared with last year decline in the same period due to a significant reduction in.
In this regard, the industry analysis, as one hundred run the main business segment, its market performance can directly reflect the profitability of the parent company.
Imbalance of supply relation
It is understood that the same period last year, the pre tune of the peak period, the industry development momentum is fierce, a number of beverage giants and wine prices have launched their own products. However, the pre tune cocktail industry is still in the introduction and consumer education and training stage, is now over development, industry capacity has been close to the critical point, leading to fierce competition. Pre tune the cocktail industry not only did not expect the formation of rapid growth, but also shrinking trend. Yanghe, Shanxi Fenjiu, Luzhou and other enterprises have suspended the project pre cocktails, black food even at a public auction of the way of the transfer of pre cocktails production line.
? Brand Research Institute of food and beverage industry researcher Zhu Dan Peng said, the market launch of the pre cocktails products mostly for soup do not change, product homogenization serious intermingled, resulting in gross margin speed decreased, but also affect the performance.
Dealer overwhelmed
Market suddenly turns cold, once triumph also suffered a dynamic sales are sluggish, channel inventory tall look forward to of the embarrassing situation, in this regard Bairun shares in earnings admit, dealer inventory digestion is still required for the second quarter of this year, is expected to in the second quarter to gradually recovered to the normal level of sales.
It is understood that the dealer to take a revolving fund policy, dealers need to pay in advance for a month, the manufacturer according to the predetermined amount of production. However, due to the early market overheating, many dealers blindly into the market, or overestimate the market potential, resulting in a large number of dealers to produce pressure. Insiders pointed out that enterprises for presetting cocktails market overly optimistic estimates, was originally formulated the strategy and the actual market situation offset; and dealers look for market Huopu, in order to complete the sales task large speculative pressure goods, once the sales slowdown, will directly lead to the excessive expansion of deposits and Qu Daoku, affected corporate performance.
?? A reluctant revealed name dealers broke the news, in fact before the stock is not caused by the rapid expansion of market and rapid development of dealer team relationship. 2015 national dealer team from more than 400 before the development of more than 1000. Dealer’s rapid growth rate is much faster than the growth rate of market share. That is, before the prosperity of the scene, which is not a false prosperity of the factors.
At the same time, the liquor marketing expert Jin Yufeng pointed out that the speed of moving sales slowed, forcing the cost of the regular channels outside the cost of additional subsidies to the dealer promotions, which is one of the reasons for the decline in net profit.

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