Small cars or have already moved to the second and third line markets

In the developed automobile market in Europe and America, the larger the cities are, the more cars there are; in China, the cars gradually start to stay away from the first-line markets...

Once upon a time, small cars (A0 and A00) were the absolute main products in the first-line market. Xiali and Fit, these familiar names have been shuttled through the streets of the city. According to data released by the CLUCC, 2005 to 2008 During the period, China’s A0 A00 market share was 38.1%, 36.2%, 32.4%, and 29.7%, respectively. Until 2009, the market share was stable at 22.8%, and this also benefited from the government’s relevant subsidy policies. After 2010, the A0 class, especially the 1.3L model market continued to decline. As of the first half of the year, market share dropped to 21.6%, and there is a gradual decline. Not only that, but the share of A0 A00 in the first-tier cities was also The A-class car with a small price difference is squeezed. With the rapid increase in spending power in the front-line market, spending more than 10,000 yuan, you can buy a larger-displacement, larger-scale, more stylish A-Class sedan. Driven by the concept, small cars began to conquer the sales of the first-line market, and they turned to the second and third-line markets for change.

Taking the most famous small car Xiali as an example, in 2009 Tianjin FAW launched a new generation of Xiali products - Xiali N5. This new car gets rid of the consumer's inherent awareness of the Xiali brand, a new stylish shape design, more powerful power. Equipped with more precise control capabilities, these make the N5 the strongest product in the Xiali brand, while allowing Xiali to compete with the joint venture brand.

In fact, the Xiali N5 was successful. The China Association of Automobile Manufacturers announced the sales statistics of small cars in the first half of 2010. The Xiali N5 produced by Tianjin FAW Motor Co., Ltd. sold nearly 100,000 vehicles to become the champion of small vehicle market sales in the first half of 2010.

From a technical point of view, the gap between Xiali's N5 and its joint-venture brands is already very small. Therefore, cold weather in Tier 1 cities is not a technical factor. Moreover, it has a good brand reputation. According to the experience of developed markets in Europe and America, the size of the N5 is small. The car is precisely the main model in the city, small in size and relatively powerful in power. It can be parked in a crowded city and can be easily shuttled into traffic. However, why is it that in China's big cities, products with large volumes dominate? ?

The Chinese people's "great happiness" and "face to face" may be the main reason why a car like the N5 has been marginalized in the first-line market. At the same time, the government has implemented a policy of eyebrows and whiskers when encouraging small-displacement products. 1.6L and 1.3L enjoy the same Preferential policies, which undoubtedly also indirectly encourage the development of A-class vehicles.

N5 wants to survive, but what to do? Based on the analysis of the current market environment, we will stabilize the current sales in the frontline market and strive to expand the market share of the second and third lines. In fact, in the second and third line markets, the consumption capacity is far from the first-line market, and their Consumer demand is much more simple than the first-line market - a means of transport. For consumers in the second and third-tier markets, like the Xiali N5, brand reputation is naturally a major advantage over other brands, and in addition to many other mainstream Technology deployment and brand-new driving experience have brought unprecedented benefits to consumers. A good brand, a low price, a configuration and driving experience beyond people's expectations, Xiali N5 second and third line market must have very objective Consumption base.

Does this mean that small cars such as the N5 will be completely marginalized by the front line market over time? Taking Beijing as an example, by the end of 2010, Beijing’s motor vehicle population is likely to exceed 5 million vehicles. In other words, even if the tail number limit line is enforced, the total number of vehicles on the road is also in line with that in 2007. The pressure of such a large traffic flow on road traffic can be imagined, and exhaust emissions also seriously affect people's quality of life.

Cars with lower carbon emissions and exquisite figure will inevitably once again gain the attention of people who have conquered, but by then, the return of the car will eliminate many of the current sloppy leaves, leaving only fine.