Remy Cointreau turns to AI, younger consumers to drive growth

The artificial intelligence-powered sales presenter for French spirits maker Remy Cointreau can introduce cognac and whisky to Chinese shoppers at 3 am, answering questions and recommending products long after her human colleagues have signed off.

The virtual host, Eve, introduced about 18 months ago, is part of the company's push to expand its digital reach and attract new customers, as China's premium spirits market shifts away from traditional business banquets toward more personal drinking occasions.

"There's very little overlap," said Sophie Phe, CEO of Remy Cointreau China, of the audiences reached by AI and human livestreaming presenters during an interview at the just-concluded ninth China International Import Expo in Shanghai.

Human presenters still account for about 80 percent of the company's livestreaming activity, compared with 20 percent for AI-powered sessions. While human hosts continue to deliver stronger commercial results, the technology allows Remy Cointreau to reach consumers around the clock, including those shopping late at night or early in the morning.

The initiative comes as Remy Cointreau seeks to strengthen its position in China, where changing consumption habits and uneven demand across sales channels are reshaping the market for imported spirits.

The company's latest financial results suggest its digital strategy is gaining traction.

Remy Cointreau reported first-half fiscal 2026-27 sales of 510.9 million euros ($566.7 million), up 2.9 percent organically, according to the results released on Oct 28. Sales in the Asia-Pacific region rose 14.3 percent, supported by stronger shipments to China ahead of Mid-Autumn Festival and continued growth elsewhere in Asia.

Cognac sales in China increased at a high-single-digit rate in the first half, including mid-teens growth in the second quarter, Chief Financial Officer Luca Marotta said during the company's earnings presentation.

The recovery was uneven across distribution channels. Direct sales channels drove growth. E-commerce sales rose more than 30 percent in the second quarter and accounted for about 30 percent of China sales, according to Marotta.

Phe said the company has spent more than a decade building its e-commerce capabilities in China, including dedicated teams, customer relationship management systems and directly operated flagship stores on platforms such as Tmall and JD.

Operating its own online stores requires greater investment but provides more direct access to consumer data and allows the company to manage pricing and promotional campaigns more closely, she added.

The digital expansion is only one part of Remy Cointreau's response to changing Chinese drinking habits.

Chinese consumers are increasingly prioritizing quality over quantity, exploring different categories of spirits and seeking more personalized experiences, Phe said.

"They are not drinking more, but they are drinking better," she said. "For us, it's more about the value strategy than the volume strategy."

The shift presents both opportunities and challenges for international spirits makers, which have traditionally relied on premium cognac sales associated with business entertaining and formal dining occasions.

"We see less and less business dinners and the type of big banquets," she said. "Now it's more personal or small-group enjoyment."

The changes are prompting Remy Cointreau, whose portfolio includes Remy Martin, Louis XIII, Cointreau and a range of Scotch whiskies, to broaden its appeal beyond traditional cognac customers.

While the company's established customer base in China remains relatively mature and loyal, younger consumers are increasingly interested in exploring different categories, flavors and drinking occasions.

Unlike previous generations, younger Chinese drinkers are less inclined to follow established consumption habits and more interested in discovering products that reflect their individual preferences, Phe said.

wangzhuoqiong@chinadaily.com.cn