Chinese luxury liquor maker Kweichow Moutai <600519.SS> will open a new e-commerce company this year after abruptly shutting its old one, as it pursues a revamp following the arrest of its former chairman.
The company's Moutai liquor is often served at official banquets and business dinners and has seen demand surge as China's burgeoning middle-class gets a taste for pricier drinks. Its fiery Feitian 53 baijiu sells for close to $250 per bottle.
In May of 2019, the company's former chairman Yuan Renguo was dismissed from his posts and expelled from the ruling Communist Party after being accused by the party's graft buster of offences including taking bribes.
Moutai's current chairman, Li Baofang, has launched a package of reforms with a focus on standardizing its extensive network of distributors at a time when demand for the company's liquor exceeds supply.
Local media outlets such as financial magazine Caixin have reported that Moutai's lucrative distribution business had been plagued with graft due to the high returns distributors could get from obtaining a license from the firm.
The company shut its e-commerce platform on 17^th Dec, without giving a reason.
In a meeting with distributors, Li said the company would relaunch a revamped version this year, according to local media such as the state-owned China Securities Journal.
Recent results reports show the liquor maker stopped cooperating with 607 dealers in 2018, and 597 more in the first half of 2019, cutting the total number of dealers to 2,415.
It also established a wholly-owned subsidiary sales office earlier in 2019 to sell directly to customers.
The Shanghai-listed firm has seen its share price almost double this year, making it one of the most expensive companies in China and the world’s most valuable spirits company.
Li said at another event with distributors that sales revenue had reached 100 billion yuan in 2019.
The company expects to sell 34,500 tons of Moutai in 2020, up 11% on 2019, according to a stock market filing.
 
茅台将重组电商公司
中国奢侈白酒生产商贵州茅台<600519.SS>在突然关闭旧的电子商务公司后，将在今年重新组建一家新的电子商务公司。
茅台酒经常在官方宴会和商务晚宴上供应，随着中国新兴中产阶级对高价酒品的喜爱，茅台酒需求激增。其53度飞天茅台每瓶售价接近250美元。
去年5月，茅台集团原董事长袁仁国因受贿被免职并开除党籍。茅台现任董事长李宝芳已经推出了一揽子改革方案，着眼于在茅台酒需求超过供应时标准化其广泛的分销网络。
据当地媒体报道，去年茅台利润丰厚的分销业务一直受到贪污的困扰，因为分销商获得公司的许可证后可以获得很高的回报。
2019年12月17日，茅台集团关闭了其电子商务平台。随后在经销商会议上，李宝芳表示，将在2020年重新组建电子商务公司。
最近的报告显示，茅台在2018年停止了与607家经销商的合作，在2019年上半年又停止了597家的合作，使经销商总数减少到2,415家。
它还在今年早些时候建立了全资子公司，直接向客户销售产品。
茅台2019年的股价几乎翻了一番，使其成为中国市值最高的公司之一，也是全球市值最高的烈酒公司。
李宝芳在全国经销商会议上宣布，2019年，贵州集团销售收入达1000亿余元。
预计2020年度销售茅台酒3.45万吨，相比2019年3.1万吨的销售计划约增加11%。