Japanese car giant stuck dilemma in China: Bicycle hopes to sell at a loss of hunger Marketing
car sales Dongfeng Honda are a phenomenon "rainbow of the night" on the one hand, it is the distributor of Goree "not active" talk about cars and the other is the increase in sales of the new Civic.
Six months after the list, the first entry level sedan Dongfeng Honda - Goree part of banking "tasteless product." After "Do not take the initiative to have a factory set Goree." May 24, Dongfeng Honda, a dealer in Beijing, responsible for the reporter "Daily Economic News", said the reason is that the basic car performance is finally losing money selling cars.
According to the "Daily Economic News" to understand, this situation occurs more than in Beijing in the north and center of the 4S shop, but also a "not active" mention the phenomenon of the car above.
On the other hand, Dongfeng Honda most important strategic models this year - the tenth generation of the Civic, now there are cases increase to mention cars. Although Dongfeng Honda believes this is the production of unpreparedness, but in the industry view, this is more like a "hunger marketing" and does not want to repeat Gorée "lose money selling cars," the vicious circle, to ensure that increased sales through and increase profits.
Dongfeng Honda sedan shortboard has been a "persistent" problem, once the truck had spread to the way car prices, hoping to increase sales in return, but he did not. Today, the "starvation diet" makes the tenth generation car sales Dongfeng Honda Civic bit confusing, but it is necessary to get rid of excessive dependence on Dongfeng Honda SUV, which could be a new attempt.
Car sales have "abnormal"
"Goree no current car, a car for shopping, which we call notifications to mention cars." Recently, the central region of the distributor Dongfeng Honda a sales staff reporter's "Economic Daily News" said, "can not guarantee how long can get a car, do not have the basic set the car up to manufacturers, sometimes a few sporadic ".
However, this situation is not the case. "Currently, the supply of Goree is 7,000 to 10,000 yuan." May 24, a person in charge of Beijing Dongfeng Honda dealer told reporters, "We are all sold at a loss, so do not make it to order manufacturers." Goree discount rate and the manufacturers price calculated based on the current discount rate of the vehicle has reached 10% to 12%.
However, on the same platform performance and market Goree Honda front range is different.
A head of Honda dealerships Beijing told reporters, "rank against the discount rate of 4000-7000 per month." At present not only the range compared to less than the discount rate Goree, sales have exceeded the time of Goree.
China Honda statistics show that in the first four months, the front range sold 26,000, an increase of 120%. While sales in the same period of Goree is less than 14,000, only 54% of the front range.
Dongfeng Honda, in an awkward position, not only of Goree car. According to official statistics Honda, the previous generation Civic only 33,000 sold in 2015. In fact, in 2011, was released, the civic monthly sales earlier generation had reached the peak of 10600, and then decreased gradually with the size of monthly sales from 2000 to 3000, and hovering outside the mainstream car a class.
In addition, Dongfeng Honda has been considered to bear the heavy responsibility to enhance the brand and sales of Platinum Rui, as the market has been on a low monthly sales of one thousand or so, even after some adjustments, but sales this year in April 1689. The failure of these products is seen as Dongfeng Honda car policy mistakes leads directly.
However, changes in market performance of the new Civic is happening. "The new Civic 5000 yuan to increase to mention cars in a month." The person in charge of Beijing Dongfeng Honda dealer representation.
Dongfeng Honda started, which has resulted in the insufficient preparation production. "Last month, the Civic backlogs has reached 20,000, but actually only delivered 4000. We have now introduced nine hours of work, but the daily production of only a few hundred cars."
In the industry view, the new Civic mention cars increased media marketing as "hungry" Dongfeng Honda. In the "pioneers" distributor Gorée meeting "negative" sales, in order to ensure that the benefits of the distributor, intends to control the pace of production.
But the opinion of Dongfeng Honda executive vice president Chen Binbo, a tenth generation Civic, Goree and other automotive products sales are classes, which not only reduce the risk of relying on this SUV unipolar model of development, but also the realization of this year, Dongfeng Honda 450,000 sales target of important initiatives vehicle.
policy SUV car can not compensate for the shortboard
A person in charge of the marketing department of Dongfeng Honda admitted to reporters: "market Dongfeng Honda SUV is still not out of the game set Dongfeng Honda are based on profitable sales model update in the SUV market, the market does not work in the car .."
It is understood that in recent years, the market performance of Dongfeng Honda has not been satisfactory, but in 2015, to reverse the slowdown in 2014, the main reason is the kingpin of this model SUV has been a significant reduction in prices.
Dongfeng Honda Beijing, according to the relevant distributors, CR-V cut in current 2 million to 3 million, preferential 12% to 15%. The discount rate has been higher than the overall SUV market price level.
By the Secretary General of the Federation Choi Dong-tree with the reporter "Economic Daily News" said: "promotional rate market compact SUV is only 8%, CR-V as high as 12% to 15% of the efforts promotion to be able to get a price advantage in the SUV market. "
Statistics show that as the CR-V by force late last year, annual sales grew 7%, Dongfeng Honda contributed 41.7% of sales. In his advantage last year, Dongfeng Honda also achieved sales growth of 32%, increased to 406,500.
But the CR-V SUV, the sales growth and other "secret" does not apply to cars.
Like a car most market segments free competition, "I calculate the price of the terminal segment of the average discount rate has reached 15%. According to this preferential margin sales almost unprofitable distributors." He said Choi Dong-tree. Therefore, after the list of Goree, very difficult to discount the rate of more than 15% to win the market.
And if the rate increase means the Civic mention car market sale tenth generation will win? Not good judge, but the models sold in April 4183, annual sales of 10 million units, the average monthly sales target of more than 8000, is still incomplete.
Therefore, although the second half of last year, Dongfeng Honda began to force car field, but still rely on product SUV "leg" ride. In the first four months, sales XRV 4.6 million, an increase of 76.5%; CR-V sold 53,000, an increase of 9%, Dongfeng Honda is still the best selling model, selling two occupied east Honda cars 63.9% share.
In April, car sales fell 2.6% market fund, Dongfeng Honda car would not otherwise strong product even more passive mode. In the current market environment, you want to achieve rapid progress cars strategy blindly rely on price cuts is not a viable movement, how to implement innovation in marketing, marketing is crucial. Dongfeng Honda Civic is the product line of car tenth generation of "saving" it? market closer examination is also required.