Dukang

Dukang: According to an article highlighted on China Daily yesterday, sales revenue from white spirits is expected to grow from Rmb110.9b (S$23b) in 2007 to Rmb926.5b (S$190b) in 2016, according to Frost & Sullivan, a US-based market consultancy. The impressive growth potential is despite the present downturns caused by the government's crackdown on luxury banquets. The report attributed the robust growth potential to the following factors. First, the white spirit industry is closely associated with the macroeconomy and currently China is still at a stage of rapid economic development as well as rising disposable incomes. Second, multi-sales-channels marketing strategies have been vigorously used by domestic alcohol makers, such as group purchases and online sales, which have been greatly welcomed by younger customers. Although some alcohol brands are facing difficulties in the short term, the Chinese liquor industry is expected to have impressive growth potential in the future because the post-80 generation will gradually become major consumers. The drinking habits of the post-80 population will determine the future of the Chinese white spirit market. According to the China Alcoholic Drinks Association- in 2015, the number of primary white spirit customers who are between the ages of 30 and 49 will be 441m, and the post-80 generation will make up 22% of the population. In 2016, primary white spirit drinkers will number 444m and the post-80 generation will account for 48.5% of them.