Wine Distribution in China

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The wine market in China: Dynasty, Great Wall and Zhangyu, ASC Fine Wines, Summergate, French Wine Paradox, Torres, Mercuris, Aussino, H&L Fine Wines

The wine in China has a very long history dating from 2,000 years ago, although not in a style resembling western wines until the 20th century. With the influence of western eating and drinking habits, the wine market is a fast developing market in China. Wine is now becoming the favorite drink of the wealthy younger generations of urban Chinese, and the favored drink of China’s elites. As every market in China, it attracts investors from all over the world. About 90% of wine consumed in China is produced locally. Among the main producers of Chinese wines, these three brands are the most popular in China: Dynasty, Great Wall and Zhangyu. Many trade companies have added wine business import to their portfolio. Then they will sell wines to wholesalers, wine bars, hotels, restaurants, wine stores and supermarkets. The major foreign actors in Chinese market are ASC Fine Wines, Summergate, French Wine Paradox, Torres, Mercuris, Aussino, H&L Fine Wines. Still the red wine sales are expected to continue their acceleration, with stricter drink-driving laws in China also likely to push the customers to lower alcohol grape wines(less than 15 percent alcohol).

Distribution of Wine in China: Auchan, Lotus, Wal-Mart, Metro and City shop

Traditionally, there are two sales channels for wine- retail and Horeca(Restaurants, Cafes and Hotels). The leading distributors of imported premium wine are still foreign companies. The distribution channels include wholesalers, off-trade, on-trade and direct sales. The off-trade channel is composed of all the sales points where people can buy wines. Such as supermarket like Auchan, Lotus, Wal-Mart, Metro and City shop. In China, the distributors tend to mark-up imported wine as much as 100 to 200 percent and restaurants and hotels typically add 250 to 300 percent to the distributor price.

Online Wine distribution: WineNice.com, Jiuxian.com, Winekee.com, Wine9.com, Yemywine.com

In China, there are not many big wine distributors. But there are plenty of online wine distribution website, such as WIneNice.com, Jiuxian.com, Winekee.com, Wine9.com, Yemywine.com and so on. The website selling different kinds of wines ranging from the imported ones to domestic made ones with lower prices.

Images and graphs: Wine in China

About Distribution in China from Daxue Consulting China

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