Changan Automobile's "Upper" Sample: When the National Team Rise


As an old state-owned enterprise with a background of 150 years of military service, Changan Automobile is playing a thick and thick drama. Whether it is the independent or joint venture sector, the explosive growth in the last three years undoubtedly made it a dark horse. “Changan Automobile's target for this year will be set at 2.5 million vehicles.” A few days ago, Zhang Baolin, president of Chang’an Automobile, said in an interview with reporters, “In 2014, sales of self-owned brand cars of Chang’an Automobile will reach 600,000 units, an increase of 50% over last year. "This kind of confidence comes from its market performance in the upward trend. In the situation that the market share of self-owned brand passenger vehicles has continued to decline for seven consecutive months, Chang’an Automobile has delivered a quite dazzling result: In the first quarter of 2014, cumulative sales reached 670,000 units, a year-on-year increase of 22%. , higher than the industry by 13%; of which, self-owned brand passenger cars sold 190,000 units in the first quarter, an increase of 37%.

Changan Automobile, which has been involved in passenger cars for 6 years, has begun to make further efforts. At the Beijing Auto Show, Changan Automobile's first mid-to-large SUVCS75 was announced and it showed its ambitions in the mid-size car market. At the same time, the announcement of the new brand slogan “Progressive and closer to you” also means that Changan Automobile has entered the stage of practicing the internal strength of the brand.

In an environment in which the overall survival of the independent brand continues to deteriorate, there is no pessimism and no embarrassment. The veteran is quietly changing.

As a mid-size car <br> <br> stick to the central level, in a very long period of time and Changan Automobile seem commonplace in the passenger area. The lack of growth in the joint venture segment and the lack of self-sufficiency in the business of autonomous sedans have led to the rapid catch-up of the micro-vehicle business market by SAIC-GM-Wuling.

In addition to the rise of Changan Ford, a joint-venture segment, Changan Automobile, which has launched Benben, Yuexiang, and CX20 series products, has initially established a market awareness of its passenger car segment. Since 2012, with the launch of Yidong, CS35, Zhishang XT and other models, Changan Automobile has expanded its market share in the passenger vehicle market. In just three years, Chang'an Automobile has become a sample of domestic auto companies' breakthrough. Analysts believe that this is mainly based on the three major models Changan Automobile currently sells, namely Changan CS35, Yuexiang V3 and Yidong. Obviously, the product layout of these major models alone cannot clearly support the annual sales target of Changan Automobile's 600,000 cars. Changan Automobile began to realize that the mid-level car market must be heavily armed for the military’s battleground.

The CS75 is a model that came into being like this. Previously, the CS75 had been launched globally at the Frankfurt International Motor Show and received market attention. In an interview with reporters, Gong Bing, vice president of Changan Automobile and general manager of Chang'an Car Sales Division, said that among the many new models displayed at the Beijing Auto Show, the CS75 has become the most popular SUV model. As a strategic product, CS75 will help Changan to deploy the large-scale SUV market. Changan Automobile related persons said: "CS75 will further improve the Changan automotive product lineage, and at the same time, it will play an active role in Changan Automobile's expansion in the mid-to-high-end car market."

Gong Bing revealed that as a strategic brand, Changan Automobile expects the CS75 to have an annual production and sales of more than 150,000. This year, there is still a climb in the market. In 2020, it will reach an annual sales of 250,000 vehicles.

In order to achieve ambitions in the mid-level car market, Changan Automobile is beginning to compete in the market with unprecedented new product launches. In the future, the CS95, a new model of the Changan SUV, and the extended version of the commercial model, Corel, will rank the top of the SUV spectrum lineup and will improve the product front line of Changan Automobile with a breakthrough in the product and become the basis for Changan brand promotion.

With the filling and upgrading of product lines, Changan Automobile is working to build a million-level independent brand sales network. Zhang Baolin disclosed that on the basis of ensuring the completion of the 2014 mission, it is necessary to build a 1 million-level marketing service system. We need to make joint efforts in improving single-store sales, marketing, service guarantees, and full-time personnel training. In Zhang Baolin's logic, self-owned brands can only achieve brand competitiveness if they reach the scale of millions of cars.

<br> <br> brand to go up despite high morale, but still admitted Zhang Baolin, how independent brand car out of the joint venture "surrounded" sometimes the weight of this issue on their breath, "but does not explain its own brand cars There is no chance.” According to Zhang Baolin, president of Chang’an Automobile, the key to Chang’an’s own brand’s ability to make breakthroughs under various pressures is technology.

Changan once invested heavily in the introduction of high-level R&D talents. More than 70 senior experts from Toyota, BMW, Ford and other auto companies have become part of the Changan Auto Talent Think Tank. In state-owned auto companies, there are few such investments. In terms of the establishment of a global innovation base, Changan has adopted the layout of the “Five Countries and Nine Lands” R&D center. Relying on overseas R&D centers such as Turin, Italy and Yokohama, Japan, Changan Automobile has established a unique global R&D system and explored a set of effective management models.

After such cultivation, the results began to show. In terms of innovative features, the Changan Automobile's modelling and safety aspects have all gained market recognition. For the CS75 model that has just been listed, the industry believes that the vehicle is at the level of a joint venture brand in terms of design, interior and exterior decoration.

However, the success of the company's one or two products does not mean that the brand has made great progress. Although it is a state-owned enterprise, the brand strength of Changan Automobile, which is a micro-car brand, is still a bottleneck that it is difficult to break through. In order to compete with the joint venture products, Changan Automobile had to put forward the concept of “experienced marketing” to make up for the shortcomings of its brand power. Zhu Huarong, vice president of Changan Automobile, believes that "in fact, many of our models are now decided to buy after the user experiences in the terminal."

For this reason, Changan Automobile officially released the new passenger vehicle brand “SLOGAN” at the Beijing Auto Show. It intends to use the new brand to make differentiation a breakthrough for Changan Automobile to create brand appeal. Jia Xinguang, an analyst in the automotive industry, said, “The timing for the release of the new slogan of Chang’an Automobile is well understood. At present, its strength in independent research and development is very strong and it is imperative for the brand to be high.”

At present, the route of Changan Automobile's R&D and scale expansion will continue. It can be seen from outside that this company that has barely grown up in the environment of the southwestern hinterland is on the way to “break through”.



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