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Fierce Competition Among Independent Top Three: Market Share Concentrated To The Head

2020/10/13 12:20:00 64

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Entering the "golden nine silver ten", China's auto market continues to recover. From the recent September sales data released by various auto companies, most of the major auto companies have achieved growth.

Among them, Geely, Chang'an and the great wall are the three independent powers. The sales volume of Geely Automobile in September was 126400, with a year-on-year increase of 11%; the sales volume of Great Wall Motor in September was 117800, with a year-on-year increase of 18%; the sales volume of Chang'an series of Chinese brand cars in September was 153000, with a year-on-year increase of 31.9%.

The 21st century economic reporter learned from the passenger Federation that the sales of passenger cars in China increased by about 9% in September. In other words, the three independent powers have all won the market. However, on the whole, China's own brand cars are still facing a lot of challenges.

"It's still very difficult for independent brands this year. From the perspective of price range, the low-end car market below 80000 yuan has been greatly impacted this year, and many independent brands have also been affected. " On October 12, Cui Dongshu, Secretary General of the all China Riding Association, said in an interview with the reporter of the 21st century economic report.

However, from another point of view, the pattern adjustment is also taking place within Chinese brands. The pace of market recovery of head enterprises is obviously faster than that of second and third tier enterprises, and the differentiation between automobile enterprises is gradually intensified. Although the independent top three maintain a good growth momentum, they also face many development problems.

Independent top three brands want to seize the market cake, full of challenges. Visual China

The autonomous share is concentrated to the head

Under the influence of multiple factors such as the downturn of China's auto market and the epidemic situation, China's auto market is undergoing structural adjustment. Among them, one of the most obvious characteristics is the upgrading of consumption, the share of luxury car market is increasing, and the share of self owned brand cars mainly focusing on the middle and low-end market is squeezed.

On the whole, China's auto market has begun to pick up since April, and mainstream independent brands have also begun to recover gradually. However, within China's independent brands, the market performance of head enterprises is obviously better than that of second and third tier enterprises.

According to the data in September, the market growth rate of the three independent strong companies exceeded 10%. Although the second echelon automobile enterprises have basically achieved year-on-year growth, the growth rate is obviously lower than that of the top three. According to the data, the sales volume of SAIC passenger cars was 60400, with a year-on-year increase of 5.8%; that of BYD was 42200, with a year-on-year growth of 3.6%; and that of GAC was 38000, with a year-on-year growth of 12.82%.

As for the third tier enterprises, sales have not improved much in the case of the overall recovery of the car market, and most of them are still struggling on the edge of life and death.

In this case, the gap between the top three and the second echelon is also widening. "There are obvious differences between joint venture and independent consumers. Independent brands are still in internal competition, and direct competition between leading enterprises is very fierce. The growth of sales volume of head enterprises is more market share from other independent automobile enterprises. " Cui Dongshu told reporters of the 21st century economic report.

A self owned brand car dealer told the 21st century economic report that the internal friction among independent brands is very fierce. In fact, the quality and positioning of each enterprise's cars are similar, and the prices are also very similar. All of us are grabbing the same group of consumers.

"In the past, when the market grew rapidly, independent brands could be sold as long as they were cheap. However, as factors such as quality and word-of-mouth gradually emerge, these consumers are also more willing to buy the cars of the top brands. The quality of some "Shanzhai brands" is really not good, and the cars can't be sold without improvement. " The above dealers told reporters.

It is worth mentioning that among the top three independent brands, the performance of Chang'an automobile is the most outstanding this year. Since the second half of 2017, the sales volume of Chang'an automobile has declined significantly. After two years of dormancy in the trough, the sales volume of Chang'an Automobile in September this year surpassed that of great wall and Geely, and returned to the champion of independent monthly sales.

The strong recovery of Chang'an Automobile benefits from the joint efforts of several main models. Specifically, the sales volume of cs75 series was 26000 in September, which has exceeded the 20000 vehicle mark for several consecutive months; the sales volume of Eason series has reached 18000, and the sales of cs55 and newly listed uni-t have also exceeded 10000.

During the Beijing auto show, Zhu Huarong, chairman of Chang'an Automobile Co., Ltd., said in an interview with the 21st century economic report reporter that the reason why Chang'an automobile has made such achievements this year is closely related to its long-term adherence to technology investment and the initiative to transform into an intelligent travel technology company.

Since 2017, Chang'an Automobile started its third venture. In three years, although Chang'an automobile was in a low ebb, some achievements after transformation began to appear from this year.

From the perspective of modeling design, Chang'an automobile has got rid of the previous external label of "Shanzhai" and created its own family design language; in terms of power system, the self-developed blue whale engine is an important support for popular models such as cs75 plus; in addition, the high R & D investment of Chang'an Automobile in the field of intelligent network connection for many years is also reflected in the model.

"The original long-term adherence to technology investment, intelligence, networking, and transformation to technology companies, this strategy has been gradually strengthened in the implementation process. From technological innovation to product innovation. " Zhu Huarong said.

The common challenge of the independent top three

Although China's top three brands maintain a good growth momentum, but the three enterprises have shown a strong sense of crisis.

"Will Great Wall Motor survive next year? Life is on the line. " In July this year, Wei Jianjun, chairman of Great Wall Motors, used such an anxious self question and answer in a micro Film Promoting the 30th anniversary of Great Wall Motors.

Zhu Huarong also told reporters of the 21st century economic report that only a few independent brands will survive in the future. First, there is no need to use so many brands in the world. According to the 28 principles, 80% of enterprises will sacrifice themselves on the way forward. At the same time, the epidemic has accelerated the economic downturn, and the economic situation and competition pattern have accelerated the speed of market elimination.

An Conghui, President of Geely Automobile, also told reporters of the 21st century economic report during the Beijing auto show: "this round of global auto industry adjustment must be a big reshuffle. You may not have me, because the market is so big. Some enterprises have a heavy historical burden on their transformation. If they do not have the capital and ability to invest in the transformation, they may gradually go down the road. "

The elimination of the market, will let some players out, but also will provide opportunities for some enterprises, the key lies in whether to consolidate the market position and seize new opportunities. At present, the pace of transformation of the three leading enterprises is obviously faster than that of other independent brands, and the independent top three also shoulder the responsibility of representing the positive competition between Chinese automobile and joint venture enterprises.

The strategies of the three enterprises are basically similar, mainly focusing on seizing the opportunities brought by the development of automobile intelligence, and have achieved brand renewal and brand upward.

At the just past 2020 Beijing auto show, Chang'an, Geely and Great Wall tried to show a completely different brand image to the outside world, and put great emphasis on the layout of automobile "software". For example, Geely Automobile has released a new "vast" architecture, emphasizing the ability of software development; Great Wall Motors is also focusing on the development of lemon, tank and coffee intelligent technology platforms.

"It's hard to surpass the history that we used to define cars based on hardware functions. However, in the new round of industrial reform, the rapid development of scientific and technological progress, chip technology, cloud computing, big data, Internet technology, etc., will restructure the pattern of the entire automobile industry. In the new restructuring pattern, there may be backward to advanced, and the advanced may become backward. " Zhu Huarong said.

However, the short board of the head independent three strong is also very obvious. In the field of new energy vehicles, Geely, Chang'an and great wall are not developing smoothly at present, which are quite different from their positions in the fuel vehicle market.

Although Geely and great wall have set up geometry and Euler two pure electric brands respectively, sales have not improved much. Although Chang'an new energy started early, its volume in the market in the past two years is getting smaller and smaller.

Zhu Huarong said frankly that Chang'an Automobile did encounter some difficulties in the process of electric transformation. Chang'an automobile is faced with the index pressure of listed companies, which needs to coordinate the relationship among current economic pressure, finance, income and long-term development investment.

"In the past two years, China's automobile market has declined, and the three enterprises themselves have faced great business challenges. They may have put more energy into fighting for market share of fuel vehicles, and the pace of electric transformation has been affected to some extent." Some people in the automobile industry told reporters of the 21st century economic report.

For Chinese traditional automobile enterprises, in the process of transformation of new energy vehicles, they generally carry heavy burdens. Therefore, the pace of building a new generation platform, electric brand and business model is slower than Tesla, Weilai and Xiaopeng. In addition, with the entry of joint ventures such as Volkswagen, the market share of local new energy vehicle enterprises may be further eroded. It is full of challenges for the independent top three to seize the market cake from them.

 

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