Langjiu, a “one tree and three flowers”, leads the development of the company with the sauce as the core. Wang Junlin, Chairman of Langjiu Group: Positioning is the law of the enterprise. Once positioned, all actions of the company must be centered around.

Targeting and Leading Strategy China’s Enterprise Practice Enlightenment 11 Wang Junlin, Chairman of Langjiu Wine: Strategic Thinking behind “One of China’s Two Great Sauces”

There is data showing that in 2016, the proportion of sauce wine in the total liquor production was only 1.5%, but by 2017, the proportion had reached 5%, and 40% of the profit of the liquor industry was obtained. The 49-kilometer valley of Gulang Erlang Town in Sichuan Province and Maotai Town in Guizhou Province is known as the “Golden Region of Sauce-flavored Liquor”. The market value of wine production can reach 200 billion yuan.

In 2017, Langjiu Group and Trout reached a partnership to position the high-end sauce fragrant green broccoli as one of the “China’s two major sauces.” In 2018, Langjiu achieved rapid growth, with sales exceeding 10 billion yuan and returning to the high-speed development track.

“10 billion is just the basis for Langjiu’s return to 2012.” Wang Junlin, chairman of Langjiu, mentioned that “the ‘two big sauces’ are the positioning of Langjiu, and they are always urging the company to concentrate all resources and make consumption. The commitment of the people can stand the test of history, consumers and all walks of life.”

At present, Langjiu is investing 20 billion yuan to build Langjiu Manor. This manor located in Erlang Town, covering an area of ​​10 square kilometers, has the largest alpine wine storage valley in the world. Wang Junlin said: “The construction of Langjiu Manor is to let all consumers see a real Langjiu, from food procurement, to every aspect of production, to storage, decontamination, and cave, they can accept consumer supervision. .”

“The National Sommelier Review in 1984, when the 13 famous wines were selected, Langjiu and Maotai were of an order of magnitude in terms of quality, price, and output.” Deng Delong, Global President of Trout Partners In a previous interview, he said, “The strategic positioning of ‘one of the two major sauces in China’ is not specific to Special, but from the history and genes of Langjiu itself.”

With the sauce as the core, the layout is rich and fragrant, and the development, the “one tree and three flowers” Lang wine, not only gives consumers another choice than Maotai, more willing to spend ten Years have been practicing their position.

Here are the videos:

Deng Delong, global president of Trout Partners, commented:

The judgment and determination of Chairman Wang Junlin is admirable–abandoning the red flower lord that was originally invested in tens of billions of dollars, and choosing the green flower lang with higher quality but lower visibility as the leader of the whole enterprise. “Shoulang”, to re-create the Langjiu Group.

The strategic thinking behind this re-engineering is the awe and respect for the order in the minds of consumers. In the liquor industry, Maotai rides on the dust, and the sauce is raging, but no other company can make a choice to replace Maotai. Such an industrial structure is less valuable for customers. Langjiu saw this value missing in the industry, and Langjiu’s products have exactly one high-quality Qinghualang brand, which can create this value, so Langjiu conforms to the order in the mind of the consumer and takes the user’s mind as the main body. To transform the industry structure that does not conform to the users, the Qinghua Lang will be upgraded to the first glory, and its positioning of “one of the two major sauces in China” will be determined, thus leading the rapid development of the entire enterprise.

Next, in order to further solidify the positioning of the “two big sauces”, Langjiu is investing 20 billion yuan to build Langjiu Manor to ensure the production of higher quality and different characteristics of Maotai. Consumers create greater value. As Chairman Wang said, positioning is the law of business operations, and positioning is the commitment to consumers.

The biggest inspiration for the Langji case is that the blueprint in the mind of the user will reconstruct the structure of the entire economy, which is the most fundamental driving force for economic development in the coming decades. Any enterprise that ignores this power will soon decay. All the resources of the enterprise must be based on the order in the mind of the user to find a place and a home of existence.

The current economic structure is mostly built by companies from the inside out. In the next few decades, in more and more industries, the economic structure will have a complete flip of the Copernican style. First, establish a position in the customer’s brain, and then reconstruct the industry order. Langjiu follows this trend and walks in The forefront of the times.

Principal Content Officer Li Yang Comments:

When people think of liquor, they often think of Maotai first, followed by Wuliangye, and Trout helps Langjiu to establish a category link that can be associated with the ranking of Maotai: China has only two sauces. One is Maotai and the other is Langjiu (Qinghualang). Moutai itself has limited production and cannot fully occupy the corresponding market share. The positioning of Langjiu and its constant emphasis on quality will consolidate the consumption mind as its second choice as “the second choice for Maotai Liquor outside Maotai”. Impression, so you can use Moutai’s strength in the user’s mind to achieve great development.

Video text recording

Wang Junlin, Chairman of Langjiu Group:

Positioning is a commitment to consumers, this promise, you (enterprise)Say it, you must do it. Consumers will trust you and will save money. Positioning is also the law of the enterprise. Once positioned, all actions of the enterprise must be done around positioning.

The two major sauces are the positioning of Langjiu, and they are urging us at all times. Is it to concentrate all the resources and achieve the “two big sauces”? Our brands must stand the test of history, stand the test of consumers, and stand the test of all walks of life.

How is the positioning of “one of China’s two major sauces”?

In 2007, Langjiu resumed growth and grew rapidly. At that time, we called the sauce fragrant wine “the sauce-flavored paradigm”, which is definitely the best in the sauce liqueur. In 2017, we cooperated with Trout Company. Deng always had more wisdom. The real situation of Langjiu was clearly and clearly expressed by the positioning of “one of China’s two major sauces and white spirits”.

The reason for the rapid growth of Qinghualang is that the “two big sauces” give consumers a clear understanding of its positioning.

When the “two bigs” were proposed, there were many controversies in the society: Is Langjibi two? But I think that the positioning of any product is first and foremost the same as the identity. It is real. If Langjiu does not have two major genes, or the quality is far away, and other aspects are far away, consumers do not trust you.

The two major Chinese sauces, namely Langjiu and Maotai, have their own characteristics and make a big high-end sauce. Therefore, we propose that the two major sauces are not only slogans, we compare the positioning of the two major sauces, compared with Maotai, what gap do we have, in terms of scale, sales, quality, there are still gaps in all aspects.

In fact, to do the manor is to make up for the gap with Maotai, we have invested 10 billion in the manor, but also to invest 10 billion. The purpose of the manor is to ensure the production of the best quality Langjiu, but also to make Lang wine different from Maotai, with the characteristics of Langjiu.

After the “two big sauces”, our sales have grown further. At present, the retail price of Maotai is close to 2,000 yuan, and Qinghualang is more than 900 yuan. We will soon break through 1,000 yuan. The price of Qinghualang should be 1,500, 1,600 yuan to reflect the true quality and connotation.

What are the strategic fits for Langjiu around the positioning of the two major sauces

The slogan, “Qinghualang, one of the two major sauces in China”, this is just the beginning of the positioning, the company must concentrate all the resources to match this positioning, to make the two sauces true and reliable, to be “righteous” Zhengde, respecting nature, advocating science, brewing good wine.”

The first is “righteousness and integrity”, and one heart and one mind to do the wine. From the top of the enterprise to all personnel to regulate behavior, we must adhere to the bottom line of law and morality. If today we only want to make more money with Langjiu and only want to maximize profits, there will be problems.

The second is “awe-inspiring nature”, why is it in Chishui River?Is this wine particularly good? It’s not that we have a lot of rum, but the microbes in the environment are brewing wine. We can’t destroy the natural environment, we must respect nature and do environmental protection. At the same time, our wine researchers are also studying what conditions can make microbes better, new wines and old wines, why old wines are very comfortable to drink, what changes in old wine ingredients are caused by which microorganisms, and then scientifically discovered which microbes are Ok, what is not good, inhibit and reduce bad microbes, and cultivate a little better, this wine is very good.

Light production is not enough, and storage is also important. Put the brewed wine into the open-air pottery, put it on for a year, speed up the molecular movement, let the wine ripe, and let the bad ingredients evaporate and leave better. A year later, we put the wine in a large can, its molecular motion slowed down, and some ingredients slowly stabilized. Then put it in a small can and put it in the house, so the wine is more stable, this time is already good wine.

The best wine is to be placed in Tianbao Cave. Tianbao Cave is like a person. When people reach a certain age, they need to be quiet. They can calm down and think, and they can go far, and the wine is the same. In fact, our manor around the four stages of “raw, grow, raise, and hide” to show the production process and wine storage process of our Langjiu. After four stages, this wine is different.

In recent years, the sauce is very hot. Many capitals outside the industry have entered the market of sauces. They all think that they will make money tomorrow, but they are now gone. To make a fragrant wine, it can’t be sold. It needs strength, time and patience. This kind of wine has been in Tianbaodong for 20 or 30 years. Good wine takes time. Without time, there is no sauce.

Lang has a unique natural resource, and God gave us three holes, Tianbao Cave, Dibao Cave and Renhe Cave. “Heaven and earth people have”. God has given us such a good resource, we must work hard and be worthy of the resources given by God. We really did the best of the wine, and it was no different from Maotai. The two sauces were made.

How the most distinctive “One Tree, Three Flowers” of Langjiu is laid out

Our Langjiu is called a tree and three flowers – with the sauce as the core, and the layout is rich and fragrant, and it is developed.

This “one tree, three flowers” is geographically formed. It is from Maotai Town to Erlang Town. This dozens of kilometers of sauce liqueur is better, but not elsewhere. Moutai, Langjiu and Xijiu are all in this small area and have formed a good sauce.

Cangzhou, everyone knows that it is the birthplace of Luzhou-flavor liquor. We have a production base in Luzhou that is a strong liqueur, so we have the ability to produce sauce and aroma. At the same time, we have innovated in the past few years, combining the Luzhou-flavored wine and the sauce-flavored type to produce a fragrant white liquor – such as Xiaolangjiu. Xiaolang wine is the fastest growing wine, except for Jinjiu, and the best in sales. The price is also the highest.

Our basic layout is already very good, but these old days give meThey are not enough, but we must work hard.

Why do you say that the revenue of over 10 billion is just the beginning of Langjiu

The revenue of 10 billion is just the basis for the return of Langjiu to 2012. In the past, we have also gone through some detours. In the past few years, we have re-established the foundation. We regard 2019 as the first year of the rapid, high-quality development of Langjiu.

The segmentation of China’s regional market is quite obvious. Of course, I think this is caused by the underdeveloped market economy in the past. Now that China’s economy is developed, such closure is quickly broken. I believe that in the next five or ten years, China’s best and most quality wineries will monopolize the Chinese market.

We have to use 5 to 10 years to achieve the strategic goal of Langjiu: it plays an important role in the liquor industry. Now Maotai is 100 billion yuan, Wuliangye may be 400 to 50 billion this year, and there is no 50 billion yuan. 30 billion is not important.

We built Langjiu Manor, so that all consumers can supervise us on the spot, from food purchase back to every step of production, to storage, tweaking, and cave, to let consumers see a real Langjiu . Our quality is real, we just have this emboldened, and let all the consumers in their homes see clearly.

With a period of about 3 years, we will have a capacity of 50,000 tons of soy sauce, and about 40,000 tons of sorghum in the local area, 40,000 tons of wheat will drive hundreds of thousands of people, and even millions of farmers will increase their income. Benefits and economic benefits are combined to give the best quality to consumers, while at the same time driving the development of the surrounding people.

So “one of the two big sauces and white spirits”, we will use 5 to 10 years from now on, and we will hope to achieve it with one heart and one mind.

Soy-flavored wine, if there is only Maotai, the price may be high. Including Langjiu and Xijiu, we have three big scales, we all have the responsibility to make the sauce better, give consumers more choices, make the quality first, and make the scale to a certain extent, so that consumers have A reasonable price range can be chosen for a long time.

In the past many years, some Chinese companies have experienced rapid growth in funds. I feel that this stage has passed. We should calm down and do things, and it is important to do things to the extreme.

Blessings for the 50th anniversary of the birth of positioning theory

We are the beneficiaries of positioning theory.

I think that even the best companies, positioning is very important. We must always remember the commitment to consumers, what we promise to consumers, we have to do.

Deng always gave us a lot of help, and thanked General Deng for bringing his position to China. I believe that it will play an invaluable role in the future development of China. I hope that this group of entrepreneurs in China can truly practice the principles and practices of positioning. It is not simply to be a slogan, but to actually implement the real content of positioning. This is us.To be blessed.

These two have been done. I believe that Chinese companies will become more and more powerful in the world. In the future, instead of Chinese people going abroad to buy things, foreigners will go to China to buy things and bring them back. We hope to see them. This day is coming soon.