Group Dynamics

Wu Xiangdong Put Forward Seven Business Philosophies for “Yitanhaojiu”

2017-06-12

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On June 12, “The 5th Meeting of Global Partners for Yitanhaojiu (meaning “A Jar of Good Liquor”)” was convened in Hotel Turandot in Liling Ceramics City in Hunan and more than 80 agents and responsible persons of offices of Jinliufu around the country gathered at the meeting. Wu Xiangdong, chairman of the Group, delivered an important speech and put forward seven business philosophies for “Yitanhaojiu”. He said that the product we operated has gone beyond the liquor category to deliver the best culture of Chinese history, the best culture - the sincerity culture.
 
1. Sincere liquor body
 
The key for Yitanlaojiu to be widely recognized lies in its excellent quality:mellow liquor body, comfortable feeling, and a high proportion ofold ingredients. If it is new liquor, it will taste particularly spicy. Yitanlaojiu is comparable tocommercially available high-end liquor sold at about RMB 1,000, but we do not sell at that high price, not because the quality of the liquor is not good, but because our brand value needs to improve.
 
Yitanhaojiu is made from base liquor brewed for four and a half years plus 20% of the flavouring liquor kept for nine years which are stored in a pottery jar for more than six months before it is sold to consumers. Without the old flavouring liquor and the base liquor, it would not have such good quality. What’s more, Qionglai has always been the home of good liquor. 20 national liquor judges and a young assistant born in the 1990s from Sichuan Jinliufu were dedicated to the development and research and have done thousands of experiments to produce this product.
 
It is very rare to find mellow, elegant and delicate quality all in a liquor product. So, the majority of agents can be assured about the liquor body of Yitanlaojiu. We would rather have nothing to sell than introduce shoddy base liquor to consumers. 
 
2. Sincere package
 
The package can make you love it at first sight - this is an important reason why Yitanhaojiu has been so well received since it was introduced to the market. Many consumers have been deeply attracted by its package before they actually tasted it. For this reason, I visited Shenzhen to thank the design team led by the designer Fu Muqiang personally. The package was created by three designers. Pottery was originated in China and the designers made full use of this oldest element to design a pottery jar specifically for liquor storage; there is a sack outside the packageto provide very good moisture discharge and ventilation; the logo on the bottleis made of purely handmade paper. The overall design is simple and beautiful as well as practical.
 
The pottery jar of Yitanhaojiu is produced in Liling Ceramics City and is purely handmade. Due to the limited production capacity, even 10 plants cannot meet the needs. At present, we are improving the anti-counterfeiting technology.
 
It can be said that we are one of the few enterprises that are bold enough to produce our package in this way in China. 
 
3. Sincere participants
 
Having been engaged in business for twenty or thirty years, I have not received any expressed or implied complaint about my conduct. I always believe that only sincerity can gather team strength to build a team that can win any battle, no matter how hard it is. Imagine, if a boss is not sincere and acts with two faces, his team must be loose and futile.
 
Now, there are many ways to make money. One can be opportunistic or honest, but in the long run, a lack of honesty now will surely lead you to a hard path in the future. 
 
Why does Maotai do so well as a benchmark in the liquor industry? That’s because Maotai promotes the culture of sincerity from top to bottom. Its clients never sell fake products and do not fight with each other; they support and help mutually instead.
 
I hope that all the participants of Yitanhaojiu are honest and move forward step by step instead of being radical or aggressive. Although it seems that we go very slowly, we are steady and secure. We can unify our thinking and pace and work hard toward a common goal.
 
4. Sincere marketing strategy
 
The future marketing strategy must be sincere marketing strategy.
 
We first have to get the consumers and then golden points of sale. You need to show a sincere attitude to the points at any level and no problem will matter.
 
When agents go back to the market, they must visit clients and group purchasers with traders. Do not talk about the deal when you just meet. If they ask, you may give a brief introduction; if they do not ask, make some greetings and leave. If the clients are interested in our products, they will certainly take the initiative to contact us.
 
In the future, the winery will deliver a bottle of Yitanhaojiu to an important client and he will find his name engraved on it. We simply win clients’ affection in this silly way. “Tasting banquets” should be reduced in the future as no one now cares about a meal. 
 
In short, all marketing strategies must be “sincere”.
 
5. Sincere competition concepts
 
We should feel awe towards our market and competitors and do not always think about “eliminating” competitors. Aggressive policies won’t take you long. The future of Yitanhaojiu won’t come until three to five years, or even eight to ten years.
 
Making quick money is terrible. Why do we choose clients who are not in need of money to be agents of Yitanhaojiu only? We are afraid that those in need of money may try to make quick money by taking advantage of Yitanhaojiu. The agents we are now signing contracts with are clients who are not desperate for money or business.
 
It takes time to operate Yitanhaojiu. We will not impose any sales pressure on the agents. Never rush to open channels (or get market shares) before you finish the fundamental work, win the recognition of consumers and fully open the market; or, you will be excluded.
 
Our aim is to make Yitanhaojiu the “second Maotai” in China in order to occupy the market for a long time. We want customers to think of Yitanhaojiu when they want to drink liquor. This is the success we pursue.
 
6. Sincere management of goods flow
 
We will stop the supply to any agent who fails to manage his goods and terminate the cooperation.
 
7. Sincere messenger of brand culture value 
 
Everything we do must start from the “sincere” culture. We are sincere about this business, about partners around the country, about consumers. In the future, our more than 1,000 agents must keep the word “sincere” in mind.
 
We do not need to worry about strategy for selling liquor. What matters is whether we can unify thinking and believe in the same concept and value - sincerity.
 
Without the support and endorsement of the integrity culture, how could Maotai develop so well now? Therefore, we have to be a messenger of a sincere brand culture value.