Self-owned brand sales fell across the board in 2012

In 2011, the overall growth rate of the auto market fell, making vulnerable self-owned brand companies more seriously injured, and the sales volume declined in an all-round manner. The market share also gradually decreased and fell to 27.5%. The joint venture's own brand will extend its tentacles to the 60,000 yuan range, directly stinging sensitive nerves of independent brands. How to break through the self-owned brands, including the diplomatic difficulties?

Distressed sales of own-brands and rankings fell across the board From January to May in 2012, automobile production and sales reached 8.003 million units and 802.35 million units, which represented a year-on-year increase of 3.19% and 1.70% respectively. Passenger car production and sales amounted to 6.40700 and 6.33 million, an increase of 7.05% and 5.48%, respectively.

Among them, the sale of self-owned brand cars was 1,193,300, down 8.3% year-on-year, accounting for 27.5% of the total sales of cars, and the occupancy rate was down 3.9 percentage points year-on-year. Compared with the same period of last year, the brands of cars entering the top ten, except Changan Ford Mazda and Chery, declined, and other companies maintained steady growth.

When the growth rate is lower than the average industry data and evolved into a normal state, it is a dangerous signal, and the self-owned brands are not only below the average level, but also have experienced an overall decline, indicating that the crisis has occurred.

The reporter reviewed the sales and ranking changes of self-owned brand sedan from January to May released by the China Association of Automobile Manufacturers from 2010 to 2012. It was found that out of the top ten brands, sales of Chery, Geely, and BYD declined, among which BYD declined most. Seriously, from 253,600 vehicles in 2010, it dropped to 175,300, and Chery also dropped to 173,300 from 195,000 in 2010. From the rankings, except for Geely’s slight increase, Chery and BYD all declined, and BYD even missed the top 10.

These data all indicate that the market competition pressure of self-owned brand passenger cars is gradually increasing.

Sales/ranking of self-owned brand cars from January to May of 2010-2012 (10,000 units/name)

Car prices 2010 2011 2011 Chery 19.5/7 19.85/6 17.33/10

Geely 17.3/8 18.3/8 17.8/7

BYD 25.36/4 19.65/7 17.53/11

Domestic and foreign joint ventures have jointly squeezed their own "joint autonomy." Such as overnight, they entered the Chinese auto market and formally started a battle against the joint venture brand "Beggar".

Guangzhou Automobile Honda Concept S1, SAIC-GM-Wuling Baojun 630, Dongfeng Nissan Kai Chen D50, Dongfeng Honda Siming, currently have four joint venture models of their own brands to enter, followed by their pace, FAW-Volkswagen, Beijing Hyundai, Changan Ford, etc. The "multinational force" consisting of 10 joint ventures is eager to try.

The market of 80,000 yuan or less has always been the place where independent brands depend on. They have kept their "self-retained land" firmly with high price-to-price ratio. The joint venture car companies that firmly control the high-end market in China and the independent brands have been “behaving” under this market. The emergence of the joint venture's own brand, the car price is approaching 60,000 yuan in the low-end market, direct bayonet see red, the survival of the independent brand is greatly squeezed.

In fact, it is not the prices of joint ventures that are anxious for independent brands, but the control of their brand strengths and product quality. At present, China's own brands have a large gap between the core technologies and foreign technologies in engines, transmissions, and chassis. At present, independent brands do not have the brand appeal. This is also doomed to take the high road and is full of twists and turns.

In recent years, Geely, Chery, Aeolus and other independent brands have made attempts to enter the high-end car market. However, there are not many successes. Only the Emgrand EC7, BYD S6, and Haval H6 have won recognition from the market.

In addition, a series of auto consumption incentives, such as a halve of purchase tax, automobile out of the countryside, trade-in replacement, and so on, will undoubtedly further exacerbate the sales pressure of independent brands this year.

Change 1

What are the most important needs of a self-owned brand to promote a boutique model SUV? A good product. Although the current independent brands also have sales of tens of thousands of models, but really can be said to have a reputation for products, almost one of the few. Under internal and external problems, every product that is refined is gradually valued by them.

This idea of ​​promoting quality consciousness emerged in 2011. BYD S6, Chery E5, China H530, Great Wall Tengyi C50, SAIC MG3, SAIC Roewe W5 and other models, have made significant progress. This year, self-owned brand models will be upgraded. Such as Chang'an Yidong, Fengshen A60, FAW Oulang, Lifan new 520, the new Roewe 750 and many other models will be listed. In addition, the SUV market is still gaining momentum in the current downturn in the market. Naturally, independent brands do not miss this opportunity. Including Roewe W5, Emgrand EX7, BYD S6, Huatai B35, Haval H6, Lifan SUV, King Yi SUV and other quietly listed, which also provides a new world for independent brands.

2

New Energy Vehicles Curve Overtaking With the continuous rise in oil prices and people’s attention to air pollution emissions, people’s awareness and acceptance of new energy vehicles have greatly increased.

At present, new energy vehicles have become "hot" in China. From the country's formulation of strategic emerging industries planning, to the local government to vigorously build new energy vehicle bases, and then to the car enterprises to upgrade new energy vehicles to a strategic height, new energy vehicles are entering the critical period of industrial development.

The “Energy Conservation and New Energy Vehicle Industry Development Plan (2012-2020)” was approved by the State Council, which clarified the main strategic orientation of the transformation of pure electric vehicles into the automobile industry, promoted the industrialization of pure electric vehicles, and promoted the overall technical level of the domestic automotive industry. . For the Chinese auto industry, new energy vehicles are likely to become a powerful starting point for transforming development methods, implementing their own brand strategy, or even turning from strong to strong. After all, under the background of the traditional internal combustion engine vehicles being controlled by people, by vigorously developing new energy vehicles characterized by “energy conservation and environmental protection”, it is not only in line with the development trend of the world’s automotive industry, but also in line with the direction of domestic auto companies to enhance their independent innovation capabilities.

3

In recent years, domestic brands have begun to “big money” and their brand image has greatly improved.

The marriage between Geely and Volvo created the first move. Currently. Geely and Volvo also reached an agreement to transfer technology. The two sides also agreed to establish a joint venture company to achieve Volvo domestic production. The two parties stated that they must jointly develop small-displacement, high-performance, green-environmental series engines, environmentally-friendly compact car platforms and new energy vehicle assembly system technologies.

Chery and Land Rover jointly announced that they will invest 17.5 billion yuan to establish a joint venture company in China to produce whole vehicles and engines, and will launch a joint venture own brand. The electric vehicles jointly produced by BYD and Daimler also appeared at the Beijing Auto Show. The car was led by the Daimler design team to shape, body and chassis. BYD was responsible for the development of the electric drive system.

At this point, the three domestic automotive companies, most of whom are expected by consumers to develop their own brands, have chosen to rely on foreign brands to achieve technological, brand, and even profit enhancements. In addition, Great Wall Motor once discussed the joint venture with Jaguar Land Rover. Jianghuai Automobile had also been in contact with Subaru Motors. Young cars have been trying to acquire Saab. Through joint ventures with foreign car companies to upgrade brand technology, it is no longer a patent of FAW, Second Automobile, SAIC, BAIC and other large state-owned enterprises.

4

In the face of huge market pressure, some independent brands began to adjust their expansion pace and started to pay attention to the quality of distributors. It is reported that based on the existing network of more than 600 dealers, Chery Automobile will no longer add new dealers this year, and will instead support the development of existing dealers, improve service quality and improve profitability.

At present, the most healthy self-developed brand in the market is Great Wall Motors. In the Guangzhou market, there is currently only a large distributor in Guangdong Youdao. This is a monopoly operation, which gives dealers control of market segments and guarantees profit to support them well.

This year, Great Wall Motors will also focus on improving the distribution structure. It will eliminate 20% of dealers' outlets that are not up to standard to improve service quality. According to Great Wall Motor's calculation in 800 domestic distribution outlets, eliminating 20% ​​of its outlets means that 160 dealers will be liquidated during the year.