The Cognac Market in China

In this article we are going to find the key factors of success for cognac brands in China for 2025

The Cognac Market in China: A Growing Opportunity for Premium Brands

China’s love for luxury products and a burgeoning middle class with an appetite for premium experiences have made cognac a star player in the country’s alcohol market. Whether it’s for celebrations, gifting, or personal indulgence, cognac is more than just a drink—it’s a symbol of status and taste.

For small Cognac Wineries and established brands looking to crack this market, here’s the no-fluff, Olivier VEROT (Founder of GMA) 

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Why Cognac Is Thriving in China? 

1️⃣ Luxury Is a Lifestyle
“Cognac in China isn’t just consumed—it’s showcased “

Owning a premium bottle signals sophistication and success, aligning with Chinese consumers’ desire for status symbols.

2️⃣ Gifting Culture
High-end alcohol, particularly cognac, is a popular choice for gifting in China. Whether it’s during Chinese New Year, business meetings, or weddings, a branded bottle speaks volumes about respect and goodwill.

3️⃣ Consumer Shift to Premiumization
China’s middle and upper classes are moving beyond mass-market spirits to explore premium offerings. Cognac’s craftsmanship, history, and exclusivity make it the ideal choice for this audience.

4️⃣ Versatility in Occasions
From high-end banquets to private gatherings, cognac fits seamlessly into various social contexts in China, boosting its appeal across demographics.

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How Brands Can Succeed in the Cognac Market

Here’s how to position your brand to capture a piece of the rapidly growing cognac market in China:

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1️⃣ E-Reputation: Build Credibility Online

Your online reputation is everything in China. Here’s how to strengthen it:

• Chinese Website and Baidu SEO:
  • Create a localized website showcasing your brand’s heritage, craftsmanship, and product range.
  • Optimize for Baidu SEO with keywords like “premium cognac,” “luxury alcohol,” and “cognac gifting ideas.”

• Social Media Presence:
  • Be active on platforms like WeChat, Douyin (TikTok in China), and Little Red Book (Xiaohongshu).
  • Share content like how-to guides on serving cognac, pairing tips with Chinese cuisine, or behind-the-scenes production stories.

💡 Pro Tip: Highlight your brand’s history and exclusivity to differentiate it from competitors.

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2️⃣ Leverage the Power of KOLs (Key Opinion Leaders)

“In China, KOLs are the gate to consumer trust.”Explained Marcus Zhan 

• Collaborate with influencers who specialize in luxury goods, lifestyle, or food and drink.
• Have them create content showcasing your cognac as part of high-end celebrations or exclusive events.
• Use Douyin for short, engaging videos featuring KOLs demonstrating how to enjoy cognac in modern and traditional settings.

💡 Pro Tip: Work with both macro-influencers for visibility and micro-KOLs for niche, highly engaged audiences.

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3️⃣ Capitalize on Social Media Trends

• Douyin (China’s TikTok):
  • Create eye-catching videos about your brand’s legacy, production methods, and tasting notes.
  • Host live streams with sommeliers or brand ambassadors to engage directly with consumers.

Douyin is THE social media to be in 2025 in China explained Philip Chen GMA.

• Little Red Book (Xiaohongshu):
  • Post aspirational content like “Top Cognacs for Luxury Gifting” or “How to Enjoy Cognac Like a Connoisseur.”
  • Highlight user-generated content showing your cognac in elegant settings.

💡 Pro Tip: Use hashtags in Mandarin to increase discoverability, such as #尊享干邑 (Luxury Cognac) or #高级饮品 (Premium Drinks).

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4️⃣ Elevate the Gifting Experience

Chinese consumers love beautifully packaged gifts. Make your cognac gift-ready with these strategies:

• Luxury Packaging:
  • Incorporate culturally relevant elements like red and gold for festivals or minimalist designs for upscale appeal.
  • Offer personalized options, such as engraved bottles or custom gift boxes.
• Festive Campaigns:
  • Create limited-edition cognacs for Chinese New Year, Mid-Autumn Festival, or other significant holidays.
  • Use WeChat ads and JD promotions to highlight these products during gifting seasons.

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5️⃣ Integrate E-Commerce Seamlessly

E-commerce is the backbone of China’s consumer market.

• JD and Tmall Flagship Stores:
  • List your products on major platforms with detailed descriptions, professional photography, and positive reviews.
  • Offer limited-time discounts during shopping festivals like Singles’ Day (11.11) to boost visibility and sales.

• WeChat Mini Programs:
  • Enable direct purchases through WeChat, offering convenience to your followers.
  • Use QR codes to link social media campaigns to your online store.

💡 Pro Tip: Bundle your cognac with luxury accessories, like branded glasses or decanters, to increase perceived value.

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6️⃣ Partner with High-End Venues

To cement your brand’s premium image, collaborate with:

• Luxury hotels to feature your cognac on their menus.
• Fine dining restaurants to offer exclusive cognac-pairing menus.
• Nightlife venues for premium bottle service experiences.

💡 Pro Tip: Host private tastings or events at these venues to create buzz and strengthen your relationship with high-net-worth individuals.

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7️⃣ Educate Your Audience

Cognac is still new to many Chinese consumers. Education can drive loyalty and repeat purchases.

• Tasting Notes: Create videos or guides explaining your cognac’s aroma, flavor profile, and production process.
• Food Pairing Tips: Show how cognac complements Chinese dishes like Peking duck or braised pork belly.
• Workshops: Host virtual or in-person workshops to teach consumers about the art of cognac appreciation.

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Case Studies: Cognac Brands Winning in China

1️⃣ Hennessy:

• Leveraged partnerships with high-end hotels and luxury events to build its brand image.
• Used KOLs to create viral campaigns on Douyin, making cognac relatable to younger consumers.

2️⃣ Rémy Martin:

• Focused on storytelling through social media, emphasizing their heritage and craftsmanship.
• Created exclusive gifting packages for Chinese New Year, driving significant sales.

3️⃣ Martell:

• Hosted live-streamed tastings on JD.com and integrated e-commerce seamlessly into their campaigns.

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Cognac consumption is booming in China. Between 2009 and 2010, the market growth was  71% in China. China is now the third-largest importer of cognac after the United States and Singapore.

The increase is so attractive that producers are not able to deal with the demand of premium cognacs (XO). Especially in the late 1990s, while Cognac was undergoing a crisis when China ordered a large number of aging XO.

Cognac is regarded in China as a drink for celebration. It is also seen as a symbol of power in the business world. Cognac is mostly consumed in bars and nightclubs.

Cognac is a luxury gift that the Chinese like to buy and give others as gifts for the Chinese New Year.  This is a great opportunity for the cognac industry! The turnover during Chinese New Year represents 30% of their annual turnover in China. Companies who want to share the cake seek to innovate in packaging and communication.

– The fuerdai (18-25 years): buy to show they belong to the international higher social class

– The Baofahu: new rich who will buy cognac in order to gain some  “face”

– The Connoisseur (49 + years): consume for the taste of cognac

In general the Chinese consume mostly high quality cognac (XO) unlike the Anglo-Saxon  who drink mostly lower grades cognac (VS, VSOP). Imports of cognac XO (cognac with a brandy used in the assembly of at least 6 years of age) increased by 22% against the 8.6% for VSOP (aged less than 4 years of age) .

The four major brands of Cognac distributed in China are:

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The cognac brand of LVMH Group is a kind of Moët & Chandonwhen it comes to cognac. Its communication is quite the same with focus on glamour, strars and strass. The brand organised the Hennessy artistry awards which is a reality show aimed at creating a boys band. Many young talents competed. The TV show was surprisingly a tremendous success even if many other reality shows like this already existed.Hennessy artistry dedicated website:  

To maintain the status as an international brand, Camus has chosen not to  include Chinese character on the packaging. However, in order to facilitate the readability of a foreign brand, Camus chose to add a logo known by Chinese as the “golden flower.”

The colors of its packaging are red and gold which are two symbols of good fortune.

The brand has played the “chinese card” and has chosen to use Chinese characters. In addition, to enhance the status of its product, it has fostered a co-branding partnership with a premium tobacco brand  namely “Chunghua”.  This operation gave birth to XO Chunghua cognac, which fits Chinese taste.

When it comes to its distribution, most brands are present in bars, fashionable restaurants and KTV which are the places suited to its target customers.

Concerning communication it seems that currently television is the medium that has the greatest influence. But since TV campaigns are expensive, many brands then turn to other solutions.

First, it has increased its point-of-sale display in supermarkets, bars and hotels who are the best places cognac is consumed in China. By association with Chinese chefs, brand has chosen creative promotions around this topic.

The brand also paid great attention to its packaging. Indeed, packaging is very important for cognac in China. The bottle is considered as a sign of wealth. Consumers of alcoholic beverages such as expensive Cognac pay attention to the value of ornaments bottles. It also responds to a pervasive culture of gift in China and in this context, the bottles can be kept on display in a showcase.

Remy Martin used a communication based on glamour and star. In 2012 Remy Martin was the official partner of the French cinema festival of Cannes.

Remy Martin has also chosen a good brand ambassador with  Jolin Tsai. She is a well known Taiwanese singer and actress and will fit for both Chinese and western consumers. A feminine red bottle was designed especially for her. This will be perfect for gift in China whose desgin appeals to rich girls very much.

The new “Martell Cordon Bleu” became known through the topic of art. Luxurious displays and advertising campaigns in major airports in China were introduced.

Since 2005, the brand strategy is to go upmarket. Thus, it has reshaped the image of “Martell XO” so that there is a link between tradition and tastes and lifestyles of today. Regarding the “Martell Noblige”, it is intended for businessmen who are successful and have a strong entrepreneurial spirit. A campaign called “Martell Only a few can tell” was launch in 2006 to create a privileged relation between consumers and the brand. The other objective of Pernod Ricard was to make Cordon Bleu the icon of the brand.

Last but not least, in order to get closer to its customers, Martel created a Martel Business club: “Martell Elite Club.” It is now the best means of communication for the brand. This club allows to catch the attention of sophisticated consumers hardly accessible by using other means of communication.

The first club was created in Shanghai. Today, there is another one in Guangzhou and one in Hong Kong.

The concept of this club is to target cognac connoisseurs who appreciate the pleasure of modern life. Club members are between 30 and 50 years old and mainly private entrepreneurs, executives in large international companies and  some expatriates.

Members regularly receive news from the company and are invited to tasting seminars or private parties. In addition, to reach more potential members, Martell has partnered with major banks and Chinese luxury department stores.

The club can also order products Martell which are not on the domestic market and enjoy exclusivity. In addition, a close relationship is established with each member who is called the day of his birthday and receive a gift.

The club contributes to the success of the company and 44% of the members buy more than two bottles per month.

It should also be noted that the brand wishes to be part of a sustainable development  approach. This is a growing fashion in China where the elite like to speak of a need for an “harmonious development”. It has signed a partnership in 2005 with the RTSAC (Road Traffic Safety Association of China) in order to give an image of responsible firm as anti-drunk-driving. A slogan was created: “Do not drink and drive”, “do not drink if you are underage.” The brand also created the  website  nodrinkdrive.com to prevent road accident.

Cognac is a great success in China because of the Chinese economic boom but also thanks to its image of French symbol of luxury. Finally, Cognac brands have managed to succeed in China through a marketing mix tailored to the Chinese market. These brands have kept their French values (product, price), but were good in adapting their communication and distribution to the Chinese market. They perfectly followed the motto: “think global, act local”.

And you what do you thing ? Is this golden age of cognac in China going to last ?

Final Thoughts

The cognac market in China is a sparkling opportunity for brands that know how to navigate the country’s digital ecosystem and resonate with its culture. By focusing on e-reputation, leveraging social media trends, and tapping into China’s gifting culture, you can establish a strong foothold in this lucrative market.

The Chinese consumer is ready for luxury and premium experiences—are you ready to deliver?