Born in the late 1980s, Jia Pei is a female entrepreneur navigating China’s evolving alcohol industry. In 2016, she opened her first liquor store in Wenjiang, a suburban district of Chengdu in southwestern China, with a clear focus on wine.
At the time, wine consumption in China was already showing signs of fatigue, but that didn’t stop a new wave of investors and young entrepreneurs from entering the field. Jia, then in her twenties, was one of them.
Inheriting the Business—But on Her Own Terms
Jia refers to herself as a “jiu er dai”—a second-generation liquor retailer. “My parents owned a liquor store, and I grew up helping out,” she recalls. “But I always wanted to break away and prove I could run my own business.”
The opportunity came when her parents purchased a retail space in Wenjiang. “I suggested using it to open my own store,” she said. “My father disagreed—he thought it was a waste to experiment with a property that could fetch over RMB 200,000 in annual rent. But my mother supported me. She figured even if it failed, we could resell it for a profit. Since we were already in the business and could share inventory, there wasn’t much to lose.”
And so, at the base of a new residential complex in 2016, Yipin Wine Store opened its doors.
Wenjiang, once a sleepy outpost of Chengdu, had started to hum with new life. With a population of over 1 million, Wenjiang reported a GDP of RMB 77.08 billion (US$10.78 billion) in 2024, and retail sales of consumer goods totaling RMB 4.72 billion (US$654 million). Its per capita retail consumption is on par with greater Chengdu. Thanks to its pleasant environment and agricultural resources, Wenjiang is often dubbed “Golden Wenjiang” and “Chengdu’s Back Garden.”
Emerging communities brought in new residents—and with them, fresh business opportunities. Yipin Wine Store was built for this emerging middle class.
Unlike many traditional stores that focus on baijiu and sell obscure, untraceable wine labels, Yipin targeted the mid-to-high-end wine segment. Jia focused on globally recognized brands like Cono Sur and Montes from Chile, and Bolla from Italy – brands that offered pricing stability, territory protection, and genuine value, without the cutthroat margins of internet wines. Yipin’s curated approach underscored Jia’s professional insight.
“Wine penetration in Wenjiang is nowhere near what it is in coastal cities,” Jia explains. “Local consumers prefer sweeter wines—something you can clink glasses with and drink freely.” That’s partly why she leaned toward Chilean wines.
To boost foot traffic and stabilize revenue, Yipin also sells beer, soft drinks, and cigarettes. During a store visit, the steady stream of regulars buying daily necessities and Jia’s casual rapport with them revealed a business rooted in familiarity and trust.
“Those Were the Crazy Wine Years”
Jia still vividly remembers Yipin’s early days. Those times were electric.
“When we opened in 2016, we held multiple tastings in Wenjiang and even brought in Cono Sur’s brand ambassador and their Chilean team,” she said. “We sponsored local business events and pushed our brand hard online. It didn’t take long for people to associate us with trustworthy, imported bottled wines.”
Clients put full faith in her recommendations. “Business owners here trusted me—if I promoted a certain wine, they’d buy it. Even if our prices were slightly higher, they preferred shopping with me because they trusted the quality and authenticity.”
Between 2017 and 2019, sales soared. Jia said quarterly payments to Fond Wine, the importer of Cono Sur, reached RMB 500,000—nearly RMB 2 million a year—just from a few brands. It was a strong sign of the business’s scale.
From Running a Store to Managing a Chain
By 2019, Jia began expanding. One reason was the realization that Wenjiang’s spending power had a ceiling. “Most residents are middle class. Many moved here because downtown housing prices were too high. We used to have some high-end clients, but many have since moved away. Group purchases dwindled, and retail became the focus. It’s tough to sell high-ticket wines now.”
While suburban housing is cheaper, limited educational resources mean families often move back to the city as children reach school age.
Yipin soon expanded into Chengdu’s urban core and into Shuangliu, a more industrialised district. All stores are company-owned—none are franchised.
Another goal of expansion was to qualify for distributorships with mainstream baijiu brands. “To become a baijiu distributor, you either need strong channels or a chain operation. We went with the latter,” Jia explains.
But growth brought growing pains. COVID-19 slammed the brakes on sales, leaving warehouses full of unsold wine. Staffing proved equally challenging—some clerks offered unauthorised discounts, others alienated customers.
Adding to the strain, her father’s declining health meant Jia also took on more family responsibilities, reducing her time on the front lines. “Sometimes I feel like the stores are just scattered sand,” she admits.
Wine sales plunged. “Our wine sales dropped by half last year. During this year’s Spring Festival, our flagship store’s wine revenue barely reached RMB 50,000. Much of the inventory was purchased before 2019 and is now close to expiring.”
External factors hurt—weak consumer confidence, aggressive e-commerce pricing. “On Douyin, you can get a bottle, glass, and corkscrew for a little over RMB 100. The quality’s questionable, but people still buy. Once they’re used to that, it’s hard to win them back.”
But she also blames herself. “I lost touch with the front lines. I forgot that this isn’t the era of 50% wine margins anymore.”
“No Matter How Hard It Gets, I Still Want to Sell Wine”
To reverse the slide, Jia plans to “return to her roots”—refocusing on wine and on Wenjiang.
“We need to host more tastings and get people drinking again. Let our VIPs bring their friends—maybe that’s how we’ll get new customers,” she says.
She’s also planning to sponsor more business events. “Say a client buys half, and I gift the other half. But my team has to be hands-on—adding guests on WeChat, and actively managing each event.”
She’s also working to clear old stock, bundling older vintage bottles as gifts to boost engagement.
Yipin recently launched a store on Meituan, entering the instant retail game. Two alcohol-free sparkling wines are already gaining traction, selling over 10 cases per month. “Now I encourage smaller buyers to order through Meituan. The more platforms we’re on, the more visibility we have,” she says.
Compared to baijiu, where profits are often upside-down, Jia still believes in wine’s sustainability. “Take Guojiao 1573—our cost is RMB 950 per bottle, but the retail price is only RMB 910. That’s a loss of dozens of yuan per bottle. Profitability depends entirely on next year’s rebates. With wine, margins are lower than before, but we can still earn around 30%. That’s a healthy sign.”
“Wenjiang Is Still My Home Base”
Looking ahead, Jia is more cautious about expansion. “Most of our stores are still profitable. But if any store keeps losing money, I’ll shut it. Running a chain is exhausting.” Today, Jia operates 12 stores.
In Wenjiang, she says, the business is stable even without her direct oversight. That’s not the case in Chengdu. “I never worked at those stores personally, and that’s why they’re not doing well.”
Yipin’s most successful new stores are still in Wenjiang, including one just 200 meters from the flagship. Some customers even take photos of the storefront to share with her. In Wenjiang, Yipin has become a recognizable local brand.
“If I ever have to downsize, I’ll close the Chengdu locations and pull everything back to Wenjiang,” she says. “Yipin started here. After all these years, this is where our roots are.”
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