Three major problems in the used car market


Question one: The used car market needs to quickly establish a scientific second-hand car price evaluation system. The sale and purchase of any product requires a price evaluation system that can be used and referenced by the market. For China's used car market, if there is no unified and scientific price recognition standard, the use of used car transactions and the rise of the market will be greatly hindered. The establishment of a standard has two basic driving forces: national promotion and market promotion. At the same time, the formation of a standard system must also have three major elements: scientific, widely accepted and widely used. If viewed from the perspective of market promotion, this decentralized and small-scale used car transaction in China cannot yet form a widely accepted second-hand car transaction price system. Although some used car trading markets have established a corresponding price evaluation system, due to their lack of strength, it is difficult to market this system and is recognized by consumers. The author believes that the entry of branded used cars will help establish, identify and use the domestic used car evaluation system. We should further open up the used car market and allow some powerful and experienced companies to enter in order to increase the concentration of used car transactions. Allowing used cars to be managed and traded under several major companies will greatly facilitate the formation and improvement of price evaluation systems. Although there are several sets of different price systems and standards in the domestic used car market, their respective solutions can still form a wide range of awareness and use. Question 2: The problem of residual value management caused by multi-brand replacement is currently at home, and the proportion of second-hand cars in the auto sales market is still very low. However, in foreign countries, the sales volume of used cars in the automotive sales market is three times that of new cars. In the future, sales of used cars are very important to manufacturers. At the same time, after the new car enters the used car market price after normal use, the residual value management of the used car also has great significance and effect on the manufacturer: 1. The new car price of the auto plant is closely related to the used car price, and the used car residual value management Provided a guarantee for the stability of the new car price for the automaker. 2. Satisfaction of the users of the vehicle manufacturer provides a way for the user to withdraw the old car. 3. The results of used car sales will also have an impact on the brand image. Reasonably managing the residual value of used cars will effectively enhance the brand image. Who is pricing the used car's residual value? At present, some powerful vehicle manufacturers are intervening in the used car market. The used car replacement business mainly includes two aspects: replacement of the same brand and replacement of multiple brands. Replacement of the same brand For the manufacturer, the brand's used car price is managed by the manufacturer. At present, when certain automobile brand franchise stores operate second-hand car businesses, the replacement of different brands will affect the prices of Other brands and indirectly “manage” the residual value of used cars of other brands. Multi-brand replacement also brings a core problem. When carrying out replacement of used brands of different brands, can a brand dealer be able to price other brands of used cars in a fair and objective manner? The author believes that the answer should be affirmative. The problem faced by manufacturers is that if they buy used cars of other brands at low prices, they will cause consumer dissatisfaction and they will not be able to replace their brands with other brands; at the same time, if they sell different brands of used cars at below the purchase price , will certainly cause the loss of the company. The most basic principle of the price evaluation principle of multi-brand replacement is whether consumers are satisfied with the replacement prices set by the manufacturers. It can be said that the market rules will allow manufacturers to objectively manage the remaining value of used cars of other brands. Of course, brand dealers of various auto makers will also try their best to follow their own used car valuation management systems and policies when conducting used car business. It is not always a matter of reassurance that the residual value of your used brand is used by other manufacturers. Therefore, major auto manufacturers will develop their own used car business in their brand franchise stores to ensure that they establish themselves in the market. The used car valuation criteria. In addition to this, we all know that the parts of the car are universal and there are original ones. If a certain branded store will repair, refurbish, and sell the other brands it purchases, it will lead to a more controversial topic: Where are the parts used to repair other brand cars? Therefore, I predict that the use of multi-brand replacement of used cars will also lead to parts of the "factory parts" and "with factory parts" dispute. Question 3: Brand franchise, manufacturers develop new game rules The practice of vehicle manufacturers entering branded used cars has injected new marketing models for China's used car market and will trigger changes in the used car market. The vehicle manufacturers will establish new trading standards for used cars and re-establish the game rules for the domestic used car market. The sales model of branded used car transactions established by OEMs in the brand franchise system is equivalent to the establishment of a brand franchise in the automotive sales field in the past year, and may become a new benchmark for used car sales models. (Lin Lei Xinhuaxin Market Research Consulting Co., Ltd. President)

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