Analysis Report on the Impact of Rising Direct Sales Proportion via Kweichow Moutai's iMoutai Platform on Its Dealer System

I will now prepare an in-depth analysis report for you based on the comprehensive data collected.

---

On January 1, 2026, Kweichow Moutai launched the 53% ABV 500ml Feitian Moutai Liquor on its official digital marketing platform, the “iMoutai” APP, for the first time, implementing the official guidance retail price of RMB 1,499 per bottle [1][2]. This initiative marks the official entry into the deep-water zone of the most profound channel transformation for Moutai since it established its dealer distribution system in 1998. Data shows that tens of millions of users flooded the platform on the launch day, all quotas were sold out within half an hour, the platform was “sold out in seconds” for consecutive days, and iMoutai rose to the top of Apple App Store’s Free Shopping Chart [3][4].

Moutai’s new chairman, Chen Hua, clearly proposed the core strategy of “adhering to a consumer-centric approach and comprehensively promoting the market-oriented transformation of Moutai liquor marketing” at the National Dealer Fellowship Conference held on December 28, 2025, and announced that starting from 2026, the original distribution model will be fully abolished, shifting to a flattened sales system of “direct factory supply to end-users” [5][6]. The fundamental drivers of this strategic shift lie in solving two core contradictions: first, the issue of spread profit distribution - the huge spread between Feitian Moutai (with an ex-factory price of RMB 1,169) obtained by dealers through the quota system and the end-user retail price was captured by intermediate links, damaging shareholder interests; second, insufficient channel control - traditional distribution led to price out-of-control and data fragmentation, weakening Moutai’s direct control over the market [7].

Since its trial operation in March 2022, the “iMoutai” platform has evolved from an initial testing platform for non-standard products such as zodiac edition liquors and premium edition liquors to the core carrier of Moutai’s digital direct sales. The platform has over 80 million registered users and 11.7 million monthly active users, becoming the largest private domain traffic pool for high-net-worth liquor consumers in China [8]. In terms of revenue scale, the platform achieved sales revenue of RMB 44.274 billion in 2023, accounting for 29.3% of the annual total revenue; sales revenue in 2024 was RMB 20.024 billion; and sales revenue in the first three quarters of 2025 reached RMB 12.692 billion [9][10]. To date, the cumulative sales revenue of iMoutai has exceeded RMB 60 billion [11].

On January 1, 2026, Moutai simultaneously established a wholly-owned subsidiary “Guizhou AiMoutai Digital Technology Co., Ltd.” with a registered capital of RMB 600 million, led by core management personnel from the group’s digital information department and sales company. This marks that Moutai’s channel transformation has upgraded from a short-term sales strategy adjustment to an in-depth digital transformation and direct sales system construction [12].

---

According to the third quarterly report of Kweichow Moutai in 2025, the company’s main business revenue presents a dual-track pattern of direct sales and wholesale & agency:

Channel Type	Revenue Scale (CND 100 million)	Proportion	Gross Profit Margin
Wholesale & Agency Channel	728.4	56.7%	89.42%
Direct Sales Channel (including iMoutai)	555.6	Over 43%	95.33%
Of which: iMoutai	126.9	9.9%	—

From the above data, it is clear that although the direct sales channel (including iMoutai) is growing rapidly, the traditional dealer channel remains the main force of Moutai’s sales, accounting for over 56.7%. However, the gross profit margin of the direct sales channel is 95.33%, significantly higher than the 89.42% of the dealer channel. This structural difference constitutes the internal economic driver for Moutai to promote channel transformation - for every RMB 1,000 of products sold, the direct sales channel can contribute approximately RMB 60 more profit than the dealer channel [13].

The development of Moutai’s direct sales channel has experienced a significant growth curve:

Year	iMoutai Sales Revenue (CND 100 million)	Proportion of Total Revenue	Total Direct Sales Proportion
2022	Approximately 100 (trial operation)	Less than 10%	—
2023	442.74	29.3%	—
2024	200.24	—	—
Q1-Q3 2025	126.92	9.9%	Over 43%
2026 Target	—	—	Over 40% (iMoutai alone)

It is worth noting that iMoutai’s sales revenue decreased by approximately 10.5% year-on-year in 2024, which is mainly related to Moutai’s active adjustment of the launch rhythm of non-standard products in preparation for the launch of the core product Feitian Moutai in 2026 [14]. Moutai’s management has clearly set a target of achieving a direct sales proportion of over 40% via the iMoutai platform in 2026, which means that the dealer system will face a larger-scale share transfer [15].

As of the third quarter of 2025, the total number of Moutai dealers is 2,446, including 2,325 domestic dealers and approximately 121 overseas dealers [16]. These dealers have played an important role in Moutai’s development - in 1998, Moutai launched the distributor policy, distributing to agents at 90% of the market suggested retail price, helping Moutai quickly establish a nationwide sales network. However, with the rise of the iMoutai platform, this traditional channel system is facing a fundamental restructuring.

---

The most direct impact of the rising direct sales proportion on dealers is the compression of profit margins. Taking Feitian Moutai as an example:

Price Type	Price Level	Description
Ex-factory Price (Dealer Purchase Price)	RMB 1,169 per bottle	Cost price for dealers to purchase from Moutai
iMoutai Direct Sales Price	RMB 1,499 per bottle	Official unified retail price
Wholesale Price (Current)	RMB 1,490 per bottle	Secondary market wholesale price
End-user Market Price (Historical High)	Over RMB 3,000 per bottle	Previous market transaction price

Under the traditional model, dealers purchase at the ex-factory price of RMB 1,169 and sell at the guidance price of RMB 1,499, earning a spread profit of approximately RMB 330 per bottle. However, the current market wholesale price has dropped to RMB 1,490, only RMB 321 higher than the ex-factory price, significantly compressing the actual profit margin of dealers [17]. More critically, iMoutai sells directly at the official price of RMB 1,499, directly intercepting the spread income that originally belonged to dealers.

From the perspective of gross profit margin comparison, the gross profit margin of the direct sales channel is nearly 6 percentage points higher than that of the dealer channel (95.33% vs 89.42%). This means that for the same sales volume, Moutai can achieve higher profit contribution through the direct sales channel [18].

After Feitian Moutai was launched on iMoutai, the market showed an obvious differentiation of “booming direct sales, sluggish dealer channels”. Data shows that from January 1 to 3, 2026, over 100,000 users successfully purchased liquor via iMoutai; while the market price of Feitian Moutai continued to decline during the same period, and the wholesale price of loose bottles dropped to RMB 1,490 per bottle on January 4, falling continuously from the previous level [19]. The essence of this channel conflict lies in:

: As an official authentic channel, iMoutai provides real-name authentication and authenticity guarantees, attracting a large number of consumers who originally purchased through dealers or scalpers. Consumers’ trust in the official channel has significantly increased, diverting customers from traditional channels.

: Moutai directly releases Feitian Moutai via the iMoutai platform, with daily limited sales (such as a maximum of 12 bottles per person initially, later adjusted to 6 bottles per person), directly squeezing the shipment space of dealers. Some dealers began panic selling, exacerbating downward price pressure [20].

The core of Moutai’s channel transformation lies in restructuring the relationship with dealers - shifting from “bundled symbiosis” to “coexistence of collaboration and game”. The new chairman Chen Hua clearly put forward the transformation requirement of “sitting dealers must become active dealers”, emphasizing that dealers should shift from the traditional model of relying on quotas and waiting for customers to an active dealer model of proactive service and intensive market cultivation [21].

Specifically, Moutai’s expectations for the role of dealers have undergone fundamental changes:

Traditional Role	Transformation Direction
Quota-dependent Distributor	Service-oriented End-user Operator
“Sitting Dealer” Waiting for Customers	“Active Dealer” Proactively Expanding
Profiting from Spread	Profiting from Service Fees and Value-added Services
Focus on Wholesale	Focus on Special Channels such as Group Purchases, Corporate Direct Supply, and High-end Catering

Moutai clearly stated that it will focus on assessing dealers’ end-user reach capability, group purchase development capability, localized service quality, and other indicators, rather than just the volume of goods picked up [22]. This means that dealers who fail to transform in a timely manner will face the risk of marginalization or even elimination.

Under the traditional model, dealers served as the “reservoir” for Moutai, stocking up in advance during peak seasons and digesting inventory during off-seasons. However, with the rising direct sales proportion and changes in price expectations, the inventory risks of dealers have increased sharply. According to industry insiders, the total inventory of dealers in 2025 may reach as high as 70,000 tons, equivalent to more than one year’s production of Moutai [23].

In a downward price channel, this huge inventory faces severe impairment pressure. Some dealers have to sell at a discount to recoup capital, further exacerbating the imbalance between market supply and demand. Although Moutai stated that “it will not let channel partners lose money” and may provide support through methods such as acceptance bill interest subsidies with reference to the industry trough in 2014, the capital pressure on dealers cannot be relieved in the short term [24].

---

The direct driver for Moutai to promote channel transformation is to cope with the pressure of slowing performance growth. In the first three quarters of 2025, the company achieved operating revenue of RMB 128.454 billion, with a year-on-year growth rate of only 6.36%; net profit attributable to shareholders was RMB 64.627 billion, with a year-on-year growth of 6.25%. More notably, the performance growth rate in the third quarter hit a 10-year low - single-quarter operating revenue was RMB 39.064 billion, with a year-on-year growth of only 0.56%; net profit was RMB 19.224 billion, with a year-on-year growth of only 0.48% [25].

Under the traditional dealer model, the channel growth of Moutai has nearly reached a ceiling. Reaching consumers directly through direct sales platforms such as iMoutai can not only improve profit margins and market control, but also obtain first-hand consumer data to support product research and development and precise marketing.

Since 2025, the market price of Feitian Moutai has shown a one-sided downward trend, with the end-user retail price dropping from RMB 2,600 per bottle at the beginning of the year to around RMB 1,700 per bottle, and the market wholesale price once approached the official guidance price of RMB 1,499 [26]. This price out-of-control not only erodes Moutai’s brand value, but also disrupts market order.

The normalized operation of the iMoutai platform provides Moutai with a “price anchor” - daily limited sales at RMB 1,499 establishes an official psychological price for Feitian Moutai, weakens the premium space of dealers, and forces the wholesale price to return to a reasonable range [27]. At the same time, the platform realizes full-link visibility of “bottle-by-bottle scanning, reservation-pickup-opening”, providing Moutai with a real demand heatmap for the first time, enabling “algorithm-based inventory control”.

From a more macro perspective, Moutai’s channel transformation is a typical case of digital transformation for traditional liquor enterprises. The iMoutai platform is not only a sales channel, but also the core carrier for Moutai to build a private domain traffic pool, deepen C-end reach, and achieve precise marketing. The data asset of over 80 million registered users on the platform provides strong support for Moutai’s product research and development (such as 33% ABV Feitian Moutai adapting to the young market), launch strategy optimization, and activity effect monitoring [28].

As renowned investor Duan Yongping commented, against the background of the highly developed logistics network in China, relying on Moutai’s brand influence, it is fully capable of building an operating system dominated by direct sales model. This model conforms to the business principles of “conscientious operation” and “consumer orientation”, and can promote the enterprise to return to the business essence of “providing high-quality products to real consumers with reasonable profits” [29].

---

Facing channel transformation, some dealers have begun to actively adjust their strategies to respond to market changes. For example, Chengdu Chuantang Supply Chain Management Co., Ltd. launched a pre-sale activity for 2026 Feitian Moutai (full cases) at RMB 1,499 per bottle on January 4, 2026, with a maximum of 5 cases per person, and 1,000 cases were sold out within 2 hours [30]. This strategy of actively following the price reduction and exchanging price for volume, although compressing profit margins, helps accelerate inventory turnover and maintain cash flow.

Moutai clearly proposed that dealers should transform to a service fee model such as “banquets, tastings, instant delivery”. Specifically including:

• Cultural Presentation Capability
  : Cultivate “four specialists” (cultural presenters, tasters, sommeliers, mixologists) to provide consumers with professional Moutai cultural explanations and product tasting services
• Scenario-based Operation
  : Deeply cultivate scenarios such as banquets, business dinners, and high-end catering, providing customized recommendations and services
• Instant Delivery Capability
  : Establish localized delivery networks to meet consumers’ immediate needs

Moutai encourages qualified dealers to open authorized stores online to form a synergy with iMoutai. This provides dealers with a new traffic entry, but also means that they must align with the official platform in terms of price, service, etc., shifting their role from “independent operator” to “service provider”.

---

In the short term, channel transformation will inevitably bring pains such as price fluctuations, compressed dealer profits, and elimination of some backward capacities. Moutai’s stock price fell by 6.53% in 2025, with a market value evaporation of approximately RMB 120 billion, reflecting the market’s concerns about short-term uncertainties [31].

However, from a long-term perspective, returning Moutai to its consumption attribute and building a new channel relationship of “manufacturer-dealer collaboration, benefit sharing” is conducive to the sustainable development of the brand. As emphasized by Moutai’s management: “The era of earning huge profits from a single bottle of liquor has ended, and the focus is on obtaining long-term reasonable profits through the efforts of the channel system” [32].

Moutai’s channel transformation has a demonstration significance for the entire liquor industry. Against the background that the liquor industry has generally entered the stage of “stock competition”, and end-user sales sluggishness and channel inventory backlog have become common challenges, Moutai’s “de-intermediation” attempt provides a reference sample for the industry in terms of digital transformation, deepening C-end reach, and reconstructing channel value chains [33].

The effectiveness of Moutai’s channel transformation in the future can be tracked through the following indicators:

Observation Dimension	Key Indicators
Direct Sales Proportion	iMoutai sales revenue and its proportion of total revenue (target: over 40%)
Price Stability	Fluctuation range of Feitian Moutai wholesale price
Dealer Dynamics	Changes in the number of dealers, survival rate
Performance	Gross profit margin of direct sales channel, overall revenue growth rate
Consumer Experience	iMoutai user activity, repurchase rate

---

The continuous rise in the direct sales proportion via Moutai’s iMoutai platform is having a profound impact on the traditional dealer system. The essence of this channel transformation is Moutai’s strategic shift from “dealer-driven” to “consumer-driven”, which is an inevitable choice for traditional liquor enterprises to achieve digital transformation, grasp end-user pricing power, and acquire data assets.

: The rise in direct sales proportion will bring multiple benefits such as improved gross profit margin, enhanced channel control, and accumulated consumer data, but it will have to bear performance fluctuations and stock price pressure in the short term.

: The era of earning money without effort has ended. Only by actively transforming, focusing on services, and embracing digitalization can they find a survival space in the new channel ecosystem.

: They should closely monitor the progress of rising direct sales proportion, wholesale price trends, dealer stability, and the company’s performance. Moutai’s channel transformation is a “self-revolution”, and its success or failure will determine Moutai’s development pattern in the era of industry stock competition.

---

[1] National Business Daily - Feitian Moutai Launched on “iMoutai” for the First Time, Sold Out in Half an Hour

[2] Blue Whale Finance - Moutai’s 2025 Final Battle: Feitian Moutai Launched on iMoutai at RMB 1,499

[3] The Paper - “iMoutai” Parity Feitian Moutai Sold Out in Seconds for Consecutive Days

[4] Phoenix Net - iMoutai Announces Adjustment: Maximum 6 Bottles of Feitian Moutai per Person per Day

[5] Xinhua News Agency - Moutai Anchors a New Journey of Market-oriented Transformation Centered on Consumers

[6] BT Finance - Why Moutai, Which Could Earn Money Easily, Decided to Say Goodbye to Distributors Completely?

[7] Xueqiu - Interest Balance Strategy After Moutai Abolishes Distribution Model in 2026

[8] Shenzhen Business Daily - Sold Out Daily, Frequently Trending: iMoutai Will Become a Sharp Weapon for Kweichow Moutai’s Channel Transformation

[9] Flush - Kweichow Moutai 2024 Annual Report

[10] East Money - Kweichow Moutai 2025 Third Quarterly Report

[11] Sohu Finance - iMoutai’s Cumulative Sales Revenue Exceeds RMB 60 Billion

[12] The Paper - “iMoutai” Parity Feitian Moutai Sold Out in Seconds for Consecutive Days

[13] Flush - Comparison of Kweichow Moutai’s Channel Gross Profit Margins

[14] Sohu Finance - Analysis of iMoutai’s Annual Sales Revenue Trend

[15] Blue Whale Finance - Moutai’s 2026 Direct Sales Proportion Target: Over 40%

[16] East Money - Dealer Data in Kweichow Moutai 2025 Third Quarterly Report

[17] Today’s Liquor Price - Feitian Moutai Wholesale Price Trend

[18] Flush - Kweichow Moutai’s Financial Data