MOUTAI JOINED LUCKIN TO LAUNCH BAIJIU COFFEE TO WOO YOUNG CONSUMERS
By Tony Zhu
Source: Luckin Coffee
Leading Chinese baijiu producer Kweichow Moutai has teamed up with a popular coffee chain to launch a liquor coffee product to reach out to China’s young consumers.
Teaming up with Luckin Coffee, Kweichow Moutai launched the "sauce-flavoured latte" earlier this week in Luckin’s coffee shops around the country.
The companies said the alcohol content of the "sauce-flavoured latte" is lower than 0.5 percent of its volume.
This is the baijiu maker’s second such product after having introduced a liquor ice cream range last year.
Priced at RMB38 (USD5.23), which Luckin discounted to RMB19 on the first day of sales, the coffee immediately attracted a lot of attention on China’s social media platforms.
Baijiu is a colourless fiery liquor distilled from grains with sorgham as the most used ingredient. As the leading baijiu brand, Kweichow Moutai represents a style which is the most complex among the dozen styles currently available displaying robust soy sauce aroma thus is called “sauce style”.
The expression of the Kweichow Moutai being used has abv of 53 percent with recommended retail price of RMB1,499.
As soon as the new liquor latte is available at Luckin coffee shops, Chinese social media users posted videos of themselves picking up cups of the drink and being reminded by barista that they should not drive after consuming the coffee.
By afternoon on launch day, Luckin's app showed that the drink had sold out at many shops in Beijing and Shanghai.
Luckin Coffee said more than 5 million "sauce-flavoured latte" worth over RMB100m were sold on the first day of launch.
Chinese analysts said the collaboration between Kweichaw Moutai and Luckin will benefit both brands.
On Kweichaw Moutai’s part, it has been working hard to draw young consumers to their client pool which is traditionally dominated by matured male.
While Luckin is a young brand with many shops up-and-down the country and is competing with the likse of Starbucks for market share in China.
The collaboration with Kweichow Moutai, which is by far the world’s most valuable spirits brand, will certainly help Luckin boost its brand influence.
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