KWEICHOW Moutai Co. Ltd., an iconic high-end spirits maker in Southwest China’s Guizhou Province, has teamed up with Mengniu Dairy Co. Ltd., a major dairy producer based in Inner Mongolia Autonomous Region, to launch three flavors of prepackaged ice cream in Guiyang, Guizhou’s capital.

After launching its first product outside of its portfolio of alcoholic beverages, Moutai said it wants to attract more young consumers, or Generation Z, with enriched offerings.

The three flavors, plum, vanilla and milk, come in small-sized tubs of 75 grams each, are spiked with 2% alcohol, and retail for between 59 yuan (US$8.85) and 66 yuan each. Moutai said minors, pregnant women and people who are allergic to alcohol should not consume it and drivers should enjoy it with caution.

“With the launch of ice cream, Moutai has realized its aim of enriching its product portfolio,” said Li Jingren, general manager of Moutai.

The distiller started to trial its ice cream in late May on its official mobile app, iMaotai, with deliveries restricted to Guiyang at the moment. Within one hour of the launch, more than 40,000 servings were bought online. The app is expected to help Moutai gain an additional annual income of more than 12 billion yuan, according to a research report of CITIC Securities.

Soon, the ice cream will be sold in seven domestic cities such as Nanjing, Hangzhou, Changsha, Guangzhou and Shenzhen.

Lu Minfang, president of Mengniu Group, said the ice cream is a top combination of baijiu and milk and serves as a trans-boundary innovation of food.

“The launch of the ice cream isn’t an impulsive move for Moutai but a well-thought-out strategy to foray into a new field. The distiller has been aiming to develop more products to meet the demand of young and fashion-conscious consumers,” said Dai Shijin, an alcohol industry researcher.

“For people who like drinking baijiu of Moutai, the product is expected to provide them another surprise. For those who are not very familiar with the spirit, the ice cream can satisfy their curiosity about the taste of Moutai in a comfortable way,” Dai said.

“The launch of the ice cream serves as the first breakthrough of Moutai’s initiative to approach young people. We hope Moutai will produce more products that are favored by consumers and cooperate with more companies in wider areas,” said Liu Lisha, head of the Guiyang Bureau of Commerce.(China Daily)