Slowdown in self-owned brand growth, new cars and promotions to stimulate the market

In the automobile market in the first half of this year, the growth of self-owned brands slowed down and the luxury car market was booming.

On July 26, the Chery E5 Guangdong IPO will be held at the Guangzhou Changlong Hotel. The site has invited almost all the dealers and media of the Pearl River Delta. Zheng Zhaorui, general manager of Qiyun Automobile Sales Co., Ltd. of Chery Automobile Co., Ltd. holds high expectations for this car. Under the background of the general market share decline of independent brands in the first half of this year, this guidance price is compact between 59,800 and 181,800 yuan. Type Jiajiao bears the sales pressure of Chery in the second half of the year.


According to the wholesale and sales data released by the Federation of Travel Unions, the sales of passenger cars by 21 major self-owned brand enterprises in China in the first half of 2011 amounted to 1.97 million units, an increase of 7% over the same period of last year, and the growth rate was slightly lower than that of the narrowly defined passenger car market. The average growth rate of %. Compared with the growth rate of Great Wall Motor’s 46.5 percent in the first half of last year, Chery’s sales in the first half of this year only increased by 5.4 percent year-on-year. However, in terms of the overall sales volume, Chery’s sales ranked first in its own brand, with a total of 29,264,800 units sold in the first half of 2011.

A distributor at the Chery E 5 conference site told reporters: Great Wall Motors relied on Haval SUVs to achieve rapid growth in China, but Chery’s exports were ranked first. Li Peng, general manager of Shenzhen Northern Chery, said in an interview earlier this year that the growth rate was slow in the first half of this year and that sales were a bit worried in the second half of the year. It can be inferred that Chery’s sales rank first and it is not unrelated to its positive growth in export volume. This year's domestic market growth is still slow.

The slowdown in growth pushes new vehicles to stimulate the market to withdraw from policies such as purchase tax concessions this year. The stimulus effect of energy-saving subsidies implemented since June last year has also subsided, and the small car market represented by independent brands has been greatly affected. Mr. Wen, the general manager of Chery Dongguan Dongrui, told reporters: From September to December last year, the Chery models were sold very crazy. First, because they do not know whether the preferential taxation policy for purchase will exit the market, everyone is eager to get to the car in the premise of the Spring Festival. Second, it is because of the stimulation of the 3,000 yuan energy saving subsidy that was implemented in June last year. However, sales began to show signs of weakness this year. In the first half and the same period of last year, there was no growth at all.

“In the second half of the year, several new models will be launched one after another. In addition to the Chery E 5 listed this month, Fengyun 2 and Dong Fang’s son have all introduced new models. The auto market promotion has been launched in conjunction with the launch of new vehicles. Together with August, Chery Finance may For the auto loan financing program launched in the terminal market, it is believed that the completion of the annual sales volume in the second half of the year should be no problem.” Li Peng, general manager of Northern China Chery, felt “stressed” in sales in the first half of the year, but was still full of confidence in the market trend in the second half of the year. He believes that the auto market in the second half of the year must be better than the first half.

Impact of subway opening on sales According to public statistics, the “Development Policy for the Automotive Industry” promulgated in 2004 clearly stated that it is necessary to cultivate the automobile market with private consumption as the main body and encourage the development of small-displacement vehicles. This spirit of policy was also implemented in the "Auto Industry Adjustment and Revitalization Plan" in 2009. However, after Beijing introduced the automobile purchase restriction policy at the end of 2010, small-displacement cars and self-owned brand cars have been severely hit. Not only has Beijing’s scarcity of car metrics indirectly led to a rise in the luxury car market, but cities such as Shenzhen in the PRD have also faced “maybe The prospect of purchasing restrictions has led local consumers to prefer to raise the threshold of the first car before the final policy is introduced.

Shen Wanhao, general manager of Shenyi Hao, said: If Shenzhen also purchases, the situation of independent brands will be even more difficult. The current market situation is that the luxury car market is booming and the self-owned brand market continues to be sluggish. Any non-stimulating automobile market introduction can be a blow to the auto brands whose models are still immature and whose brands have yet to be upgraded. Take Shenzhen as an example, many subway lines in Shenzhen were opened before the August Universiade. This is a mixed news for many independent brand dealers. However, most dealers still feel that not only self-owned brands, but also the small scooter in the entire Shenzhen auto market will be more or less affected. However, there are also different views. Li Peng, general manager of Northern Chery, believes that the opening of the subway will make the ground traffic more smooth. People who used to think that traffic jams do not want to buy a car will feel that this time is a good time to buy a car. He also said that recently there were customers in the store who had touched the car for this reason.

Finding new partners for sustainable development Most dealers in Shenzhen stated that it is difficult to estimate the trend of the market in the second half of the year, but there is no reason to have an expectation that the second half will be better than the first half. At the same time, regional distributors have also taken various measures to promote sales growth. For example, the Emgrand brand will strive to promote automotive financial services in the second half of the year, provide end-consumers with a variety of car loan programs to drive sales, and Chery will also launch auto finance businesses that can quickly boost sales in August.

According to statistics, the growth rate of luxury cars in the first half of the year was 33.5%, far exceeding the increase of 8.3% in ordinary passenger cars. In addition to the fierce increase in the growth rate of luxury cars and the squeeze of space for self-owned brands, the recently emerged "joint venture brands" have also exposed the original independent brands to a crisis of market share squeeze.

In 2011, Chery joined hands with Subaru, and the cooperation projects of the two brands are pending approval by the National Development and Reform Commission. Changan and PSA's cooperation projects have also been approved by the National Development and Reform Commission this month. As the joint venture brands emerged, the original independent brands also had “nets”. "Joint venture projects to cope with the more severe market competition in the future. As Chery E 5 launch conference, a dealer with more than half a year said: Chery's cooperation with Subaru is a good thing for our dealers. After selling the model at a higher end, the profit will be higher.