TU-TESL

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At present, there are two potential demands in China's automobile market, namely "luxury brand entry" and "Chinese brand up". The joint effect of the two trends makes the competition between the originally relatively independent brand level markets (luxury brand, joint venture brand and Chinese brand market) increasingly fierce. In the past two years, the joint venture brand which is in the upper and lower attack has not been eroded in the market share, but also slightly increased through product structure optimization and market strategy adjustment. Today, let's talk about how the joint venture brands win the market share defense war, and how the Japanese and German brands can rise against the trend. "Car circle big data" is a column created by car home for industry end users. It analyzes the macro environment, market trends and hot events of the automobile industry by combining the big data of car home with the traditional statistical data, and makes in-depth analysis of the phenomenon of the automobile industry. 30 seconds quick reading: 1. Face the downward pressure of luxury brands, the joint venture brands choose to reap the market share of Chinese brands; 2. The joint venture brands have a double sky of ice and fire, with unlimited scenery in Japan and Germany, and the share of the United States and France has declined rapidly; 3. Focus on users, increase products, adjust structure, and strive to increase the share of Japan. Data shows brand grade: luxury brand, common joint venture brand (hereinafter referred to as joint venture brand, such as, etc.) and Chinese brand. Model level standard: the model level mentioned in this paper is divided according to the standard of the product library of the home of automobiles. Description of sales volume data: the terminal sales volume data involved in the analysis of this paper comes from the insurance volume data of China Insurance Regulatory Commission (CIRC) compulsory insurance, which is sorted out by car home. In the first three quarters of 2019, the terminal insurance volume of China's passenger vehicle market was 15.142 million, down 2.9% year on year. Among them, the terminal insurance volume of joint venture brand is 8.083 million, accounting for 53.4% of the total, down 1.8% year-on-year, which has won the market for the first time in recent years. Compared with the market share of passenger vehicles by brand level in the past three years, it can be found that the joint venture brand market is still the largest share of China's passenger vehicle market (53.8% from January to September 2019, an increase of 0.2% compared with 2017); the market share of luxury brands increased by 4.3%; and the market share of China's brands decreased by 4.4%. Obviously, in the face of pressure from luxury brands, joint venture brands choose to transfer this pressure to Chinese brands. From the perspective of specific model level market, on the one hand, luxury brands have further strengthened their dominant position and expanded their share advantages in their traditional advantageous markets (large cars, large SUVs, medium and large SUVs and markets); on the other hand, they have taken offensive strategies in medium-sized cars and medium-sized market segments to directly impact joint-venture brands; moreover, this trend may further spread Extended to the compact market. In the face of this pressure, the joint venture brands not only fight hard in the traditional leading market (medium-sized and below car market and medium-sized SUV market), but also make full efforts in the SUV market, directly challenge the leading position of luxury brands in the medium and large SUV market, and compete downward for the leading power of Chinese brands in the compact SUV and small SUV market. So we can't help but ask, what is the way for joint venture brands to achieve such achievements? 1、 In recent two years, China's passenger car market has experienced a continuous decline after the sales volume reached a historical peak in 2017. In this context, the joint venture brand still has full confidence in the market prospect, increasing the number of new products launched against the trend and improving the update speed of existing products, so as to accelerate the promotion of product strength. According to the big data monitoring of auto home, in the first three quarters of 2019, the number of newly launched joint venture brands reached 169, which exceeded the annual product launch volume of the previous two years. Seen from the number of vehicles, the growth is more obvious. In the first three quarters of 2019, the number of new vehicles on the market reached 1277, an increase of 26.1% compared with the whole year of 2018, greatly enriching the product quantity. 2、 Adjust the product structure to adapt to the trend of consumption upgrading. From the change of the model level structure of the passenger vehicle market in the past three years, it is found that although the market share of the compact market has declined slightly, it is still the largest market share of the passenger vehicle market (accounting for 53.4%); the small SUV market with unlimited scenery in the past few years has slipped from the second share to the fourth in this year; the medium-sized market has risen rapidly (accounting for 21.8%) , and the market share continues to expand, which shows that the consumption upgrading trend of China's passenger vehicle market is obvious. The top five new models of the joint venture brand are compact cars, compact SUVs, medium-sized cars, medium-sized SUVs and small SUVs. The product structure is very similar to the overall sales structure of passenger cars. On the one hand, this strategy ensures that the product competitiveness of the original competitive market of the joint venture brand (compact car, medium-sized SUV, medium-sized car market, etc.) continues to improve, effectively withstanding external pressure; on the other hand, it increases investment in the market of compact SUV and small-sized SUV, seizing the market share of the leading market of Chinese brands. 3、 Increase the margin of terminal preference to offset the sinking pressure of luxury brands. According to the latest findings of big data monitoring of automobile home, luxury brands adopt the strategy of price exploration to effectively increase market share in the market of medium-sized cars and SUVs, and squeeze the joint venture brands. The joint venture brand is "taking the medicine according to the prescription", not only actively responding to the medium-sized SUV and compact car market, greatly improving the margin of terminal preference to resist tenaciously, but also leading the margin of profit giving in the compact SUV market, squeezing down the market share of Chinese brands to make up for their losses. In a word, it has become a normal phenomenon that high-grade brands are gradually pushed down to low-grade brands. By means of increasing product delivery, adjusting product structure and increasing the margin of terminal preference, the joint venture brand has not only kept more than half of its original market share, but also won a favorable position for more fierce market competition in the future through product structure optimization under the situation that the overall sales volume of passenger vehicles fell in the first three quarters of 2019.