Summary of Key Points
The most significant change in this year's "618" liquor e-commerce promotion is the noticeable reduction in subsidy amounts. The past trend of competitive pricing, where prices were constantly driven even lower, has improved. This shift is the result of regulatory authorities cracking down on irrational subsidies and the liquor industry's self-adjustment (liquor companies controlling inventory to maintain prices, while platforms focus on efficiency competition). However, the industry still faces challenges: the first half of the year is a slow season for liquor sales, and traditional retailers struggle to profit from e-commerce and cannot find new opportunities in offline markets, so they are still in a phase of trying to figure out their next steps.
Detailed Analysis
#### 1. The End of the " Bargain Hunting" Era During This Year's 618 Promotion
In previous years, during e-commerce promotions, consumers could buy well-known liquors like Moutai and Wuliangye at prices significantly lower than market rates. For example, in 2025, a platform reduced the price of a famous liquor from 950 yuan to 750 yuan (a 200 yuan discount). This year, however, things have changed:
- Consumer Perception: Wang Hu, a consumer from Beijing, said, "There are no bargains to be had; most of the well-known liquors are now priced similarly to those in offline stores." The discounted price of Feitian Moutai was as high as 1579 yuan, which is even more expensive than the official iMoutai platform's price of 1539 yuan.
- Retailer Perspective: Guo Youchen, a retailer from Jiangsu, noted that this year's discounts for the same liquor were only 80-100 yuan, half as much as last year.
- Platform Reports: Platforms like JD.com are focusing less on low prices and more on authenticity verification (which led to a 45% increase in sales) and doubling of brand transaction volumes.
In short, e-commerce platforms no longer rely on heavy subsidies to attract customers.
#### 2. Two Main Drivers Behind the Reduction in Subsidies: Regulatory Intervention + Industry Self-Adjustment
Why is there less price competition this year? There are two main reasons:
- Regulatory Action: On May 25th, the Beijing Market Supervision Bureau met with 17 platforms and explicitly prohibited "irrational large-scale subsidies" during the 618 promotion, setting a clear limit on the amount of money that could be spent to attract customers.
- Industry Internal Changes:
- Liquor Companies: They have shifted from aggressively pushing inventory to distributors to control inventory and maintain prices. They have also introduced exclusive online products to avoid price discrepancies between online and offline sales.
- Platforms: Instead of spending money on subsidies, they are focusing on improving their supply chains, ensuring product authenticity, and enhancing the customer experience. Low prices are no longer a key competitive factor.
- Reconstruction of Relationships: E-commerce platforms are no longer just channels for liquor companies to clear excess inventory; they have become places to test brand strength.
Expert Tian Zhuopeng believes this is a form of "ecological protection" for the liquor industry, preventing online prices from undercutting offline markets and helping to create a more orderly market environment.
#### 3. The Consequences of Past Subsidies
The large-scale subsidies had several negative effects:
- Liquor Companies: Wuliangye and other brands have complained about unauthorized sales and counterfeit products sold by some e-commerce platforms, as the platforms purchased goods from the market instead of directly from the manufacturers, resulting in lost profits and damage to brand reputation.
- Scalpers: The price difference between online and offline markets allowed scalpers to buy liquors at lower prices and resell them at a higher margin, disrupting the market.
- Offline Stores: Lower online prices made it difficult for offline liquor stores to compete, forcing them to reduce prices and squeezing their profits.
These issues have forced the industry to make necessary adjustments.
#### 4. Retailers' Difficulties
With reduced subsidies, retailers are facing tough times:
- Slow Sales: The first half of the year is a slow season for liquor sales, and demand in many regions has been lower than in previous years.
- Alleviated Inventory Pressure but Low Profits: Although inventory levels have decreased, it remains challenging to sell products. For example, Wang Wei, a retailer from Tianjin, saw his sales volume for a second-tier liquor drop from 3 million to 1 million units, prompting him to switch to a more flexible purchasing model.
- E-commerce Cooperation: Cooperation with e-commerce platforms either results in low profits and high sales volumes (a 200,000 yuan increase per month, but only a few thousand in net profit, with additional work on customer service) or high profits but low sales volumes. As a result, he has decided to focus mainly on offline sales.
Most retailers believe that e-commerce is not a viable option, and traditional channels lack new strategies. They are currently struggling to find a way forward and are simply trying to survive.
#### 5. The Industry's Future: Moving from Price Wars to Competitiveness Based on Quality
Although the current situation is difficult, the industry is moving in a healthier direction:
- Platforms: Focusing on improving their supply chains, providing authentic products, and offering better services (such as fast delivery).
- Liquor Companies: Continuing to control inventory and maintain prices, using exclusive online products to differentiate their channels and protect the offline market.
- Retailers: Seeking new opportunities, such as providing personalized services (customized liquors, antique liquor collection) and engaging with local customers through community sales and membership programs. However, they are still in the process of exploring these options.
As Lao Sheng put it, "The industry's adjustment is not over yet. The most important thing now is to survive until market supply and demand reach a balance."
Conclusion
The reduction in subsidies during this year's 618 liquor promotion is a positive development as it makes the market more regulated. However, retailers still have a tough time ahead, as finding new growth strategies takes time. For consumers, while there are no major bargains, buying liquor from reputable platforms ensures product authenticity, which is a welcome change.