In Chengdu, a Sommelier Faces the Reality of Running a Wine Bar

In Chengdu, a key wine hub in southwest China, sommelier Yang Hang is a familiar name.

Over the past 15 years, he has worked across nearly every corner of the trade from sales at local importers to on-trade roles at multinational firms such as Summergate, as well as stints as a sommelier at high-end clubs and the city’s well-known fine dining restaurant The Bridge. He has also advised a number of restaurants on their wine programmes.

During the pandemic, Yang set out to build something of his own. He opened Hō wine bar & Eatery, a wine-focused bistro that has since become what many in the trade call a “must-visit” in Chengdu.

He entered the industry 15 years ago out of pure interest, he says among the first in the city to pass WSET Level 2, and someone who “forced himself” to learn English just to stay in the game.

But when he talks today, it is not passion he dwells on. It is survival.

Falling consumer spending, an underdeveloped wine culture, and relentless price competition are reshaping the economics of small wine bars, a format that once carried a sense of attainable luxury.

To endure, Yang says, passion alone is no longer enough.

“You have to dial down the romance,” he says. “Focus on what people actually need and what makes money.”

The last one standing

When Hō first opened, Chengdu was in the midst of a wine bar boom. New venues appeared in quick succession — from branded concepts like Wine Universe to oyster-and-wine bars and natural wine spots.

“At one point, seven or eight opened around the same time, and business was good,” Yang recalls. “Even during the pandemic, in 2021 and 2022, it actually felt stronger than it does now.”

A few years on, most of those early entrants have disappeared. Hō remains one of the few still operating. While new wine bars continue to open, they tend to be recent ventures rather than survivors of that first wave.

Yang attributes his bar’s longevity to a hands-on approach and a steadily built base of regulars.

Food, not wine, drives survival

Even so, survival has come at a cost.

“In a market like Chengdu, where wine consumption is still developing, it’s very difficult to run a pure wine bar,” Yang says. “Hō today is essentially a restaurant with a strong wine offering.”

At its peak, wine accounted for around 70% of revenue. That share has since declined, though it still stands at roughly half.

More striking is the shift in customer intent. In recent years, Yang has seen a clear change: guests are no longer coming primarily for the wine.

“They come for the food,” he says.

The response has been pragmatic. Expand the menu, make the food more compelling, and give people a reason to walk in.

“That’s how we survive. The wine stays, but food has become essential.”

Across Chengdu, newer wine bars are following the same path, with wine often contributing just 20% to 30% of revenue.

A mainstream, female-led customer base

After years of persistence, Hō has become a fixture in Chengdu’s wine scene, even a stop for visiting industry professionals.

Yet Yang is clear: wine bars should not be built around insiders or enthusiasts.

The real audience, he says, is the broader group of consumers who are curious about wine but come for the overall experience.

Yet Yang is clear: wine bars should not be built around insiders or enthusiasts.
The real audience, he says, is the broader group of consumers who are curious about wine but come for the overall experience.

“They want someone to guide them through the wine, good food, and a nice atmosphere,” he says. “Many have lived abroad, are used to this lifestyle, and have some spending power.”

This group accounts for around 70% of his customers.

Women make up a similar share, typically around 30 years old — a demographic with disposable income and an appetite for a more refined, lifestyle-driven experience.

Their preferences shape the list. Easy-drinking white wines dominate, making up about half of total sales. New Zealand Sauvignon Blanc, German Riesling and white Burgundy are among the most popular — in line with broader shifts among China’s emerging wine consumers.

A shrinking customer pool

Yet, if anything, this core audience is under pressure.

“People in their early 30s are facing both financial and personal pressures,” Yang says. “Many are earning less than before, so they go out less often. What used to be once every one or two weeks is now once a month.”

Spending has softened as well.

“Many still want to come, but they don’t want to spend as much,” he says. “If a bottle is just over RMB 100, plus a reasonably priced meal, around RMB 300 for two people feels acceptable.”

In response, Hō has introduced more wines in the RMB 100 range.

“There are plenty of wines at that price,” Yang says. “Our job is to find the ones that still taste good — to pick the right bottles out of a very crowded market.”

Price transparency cuts both ways

At the same time, intensifying price competition is reshaping expectations.

Retail platforms such as Sam’s Club, Freshippo and Pupu have expanded their wine selections while keeping prices low, lowering the barrier to entry for consumers. But rather than benefiting wine bars, this has reinforced price sensitivity — and, in some cases, a willingness to bring one’s own wine.

“China’s market is extremely transparent when it comes to pricing,” Yang says. “Consumers understand how prices are structured, but their habits are still different from mature markets.”

“In some cases, people assume they can bring their own wine anywhere.”

For restaurants trying to build a wine-driven experience, this creates tension.

“We’re trying to move towards a more mature dining model, but consumer behaviour hasn’t caught up,” he says.

Margins have compressed sharply. A decade ago, on-trade mark-ups of three times or more were common. Today, many wine bars operate on margins of less than one time.

“With labour — chefs, sommeliers — and rent taking up around 30% of revenue, and limited room to raise prices, it’s hard to see how the numbers work,” Yang says.

Think twice before entering

For those considering opening a wine bar, Yang offers a blunt assessment.

“It looks attractive, but it’s a bubble,” he says. “If you haven’t spent years in this industry, don’t rush in.”

“This is a tough business. You have to lower your expectations. Don’t assume each year will be better than the last — survival comes first.”

If a business can stay open, he adds, that alone is proof it still has a place in the market.

Beyond that, there is little room for idealism.

“Unless you don’t depend on it for a living, passion has to take a back seat,” he says. “You prioritise what people need and what makes money. Passion comes later.”