Although the Beijing auto market began to warm up with a year-on-year increase of 33.2% in July and a 7.3% increase from the previous period, for dealers, the days in the second half of the year did not seem to be better than the rapid growth in inventory in the first half of the year, allowing “destockingâ€. Become the first problem solved by dealers.
Yan Jinghui, deputy general manager of the Beijing Asian Games Village Automotive Trading Market (hereinafter referred to as “Asian Cityâ€), stated that dealers will certainly increase their marketing efforts if inventory levels do not decrease. How to quickly digest inventory will be an annual theme for some dealers.
High inventory alert line
The China Automobile Dealers Association recently released information that since the beginning of March this year, the inventory coefficient of automobile dealers has been on a significant upward trend, rising to 2.09 in June, far exceeding the warning level of stocks. In the first half of the year, the association surveyed more than a thousand 4S stores owned by the top 100 dealer groups in China, covering 41 major automobile brands for mass production and sales in the domestic market, including 11 imported brands, 23 joint venture brands, and 7 independent brands. The survey results show that in May of this year, the inventory coefficients of auto dealers with independent, joint venture, and imported brands were 3.54, 1.47, and 1.34, respectively.
According to the prevailing practice of the same industry in the world, the coefficient is between 0.8-1.2, reflecting the inventory is in a reasonable range; the coefficient is greater than 1.5, reflecting the inventory reached the alert level; the coefficient greater than 2.5 reflects the high inventory, operating pressure and risk are very large .
The supply and demand imbalance has also been proved in the terminal market. According to the statistics of Asian cities, domestic auto dealers experienced painful July, and in August, the domestic auto model's tightness index was 6.05, and the index rebounded from that in July. With the impact of manufacturers' sales of warehouses in the middle of the year, the inventory pressure of domestic car dealerships increased significantly in July, and the proportion of domestic car dealers that reflected excessive inventory in the month reached 42.1%.
“Three highs and one low†(high index, high inventory, high risk, low profit) continue to plague the terminal market, dealers are suffering from imbalances in supply and demand.†Yan Jinghui told reporters that July and August have always been the end of the off-season, Although manufacturers have adopted various price-limiting measures for dealers, in the face of high inventory pressure, dealers can only rack their brains to digest stocks. This has also increased the incentives for auto market terminals, and dealers have also quickly withdrawn funds. the process of.
Manufacturers hit hard to sell cars
In fact, since the beginning of this year, the overall price discount for the Beijing terminal market has exceeded the level of the same period of last year. Su Hui, an automotive market expert, said that dealers are struggling to impact sales and increase after-sales inventory. At the same time, they only seek ways to get more sales subsidies, sales rebates, and active financial support from manufacturers to make up for sales losses and maintain normal business operations.
For the recent period, dealers in Beijing have been selling cars at a high price, and the supervision of manufacturers has also been increasing. In particular, some brands with large inventories have been reported with high fines.
Not long ago, a legal brand dealer sold a stock car at a price that was a few thousand yuan less than the factory's price limit. After being discovered by unannounced visits by manufacturers, the dealer was fined 100,000 yuan. “The manufacturers have very strict control on prices, but do not increase consumer prices.†According to a relevant person in charge of the store, since the beginning of this year, manufacturers have not stopped the unannounced visits to dealers selling car prices. The situation is known to all dealers.
"Although no one at the time of telephone consultation can dare to discuss the price with the customer, but encounter those consumers who really have the intention of buying shop bargain, most stores will give the lowest price in order to deal." The above-mentioned person in charge said that the current market The situation is "no one will be arrogant for other homes," and there will always be "brave" salespeople who continue to report lower prices, while consumers are very realistic. Whoever wants to buy someone's car As a result, the price of cars has repeatedly hit new lows.
A person in charge of the Beijing area of ​​an automobile company revealed that the pressure on distributors' stocks has recently increased, and that losing money to sell cars is by no means an isolated phenomenon. Most dealers’ promotional activities will not exceed the bottom line of the manufacturer's price, and manufacturers will only close one at a time. Only one eye, but if you find that the scope of the discount exceeds the bottom line, you will certainly be punished.
It is understood that regardless of whether it is an independent brand or a joint-venture brand, a strict penalty system has been adopted for the phenomenon of dealers losing money and selling cars. Fines range from 20,000 yuan to 100,000 yuan per vehicle, and Beijing dealers can only make profits. Find the balance of survival in the gap between sales and sales.
Dealers descend to survive
In August, under the pressure of increasing inventory, the 4S shops that were originally "accurate" began to "strangle."
Recently, the reporter visited the auto market and found that although many manufacturers have banned dealers from selling their cars at a significant price cut, and once they are discovered, they will give them severe punishment, but they cannot stop the price of cars from falling again and again. In order to avoid the high fines imposed by manufacturers, dealers are still racking their brains to think of ways to sell cars in the name of “buy†at ultra-low prices, including sending all-life insurance, sending decorations that cost more than 10,000 yuan, and sending free maintenance for several years. ... Various types of promotional tools have been introduced.
A 4S shop with its own brand has launched a promotion package for car packages, delivery purchase tax, and maintenance spree in the “group purchase†organization recently organized. "As early as July, we have no longer taken the initiative to enter the car, but the previous inventory has not been digested. Now the Beijing V emission standard will be implemented. The remaining time is not much, if you do not sell this stock car quickly After the arrival of new models, the sales pressure will be even greater." The manager of the store's marketing department revealed to reporters that now the sales in their shop is to sell one car, and a car worth tens of thousands of dollars will lose a few thousand dollars.
Dealers of joint-venture brands have also stepped up promotional efforts to reduce prices, in order to digest stocks as soon as possible. The CEO of a distributor group frankly stated that the joint venture brands under its current portfolio are at a loss, and individual stores may even be less profitable than their own brands.
"Cleaning out these stock cars is a death order given to me by the leadership. There are ways to sell them. There is no way to find a solution but also to sell." A sales manager of a 4S joint venture brand told reporters that the shop is currently only a car. To make money, the rest of the models are in a state of losing sales.
According to reports, before the implementation of the Beijing V standard, the shop has stopped picking up the goods from the manufacturers. Only after cleaning up the existing stocks can the follow-up work be carried out. “Now, it can only rely on the activity of organizing group purchases to clean inventory in large quantitiesâ€. The above sales manager said.
Beijing V or into the straw
Fortunately, the Beijing V emission standard to be implemented in Beijing will become a life-saving straw for dealers. “According to past experience, the majority of dealers' dumping behavior will end before the implementation of the new emission standards.†Yan Jinghui predicts that up to the end of this month, the clearance of most brand dealers in the market will end, 9 After each month, Beijing V models will gradually replace old models.
It is reported that Beijing will implement a stricter Beijing V emission standard in September, and that models that do not meet the emission standards will not be able to be sold in the Beijing market. After investigating the reporter's investigation, it was discovered that after the recent loss of sales, even if the inventory of the most independent brands, the old models of the inventory are also sold in most, and the joint venture brand dealers selling well, the pressure of the national IV inventory car is also gradually reduced . Some brands have already prepared for this. The reporter learned from the relevant person in charge of Dongfeng Peugeot that in the next two years, Dongfeng Peugeot will soon launch six models, not only complying with the Beijing V standard, but also having room for upgrading. Obviously, companies that respond quickly to the market like this can take the initiative.
According to Yan Jinghui, inventory pressure has improved significantly in August under various promotional clearance measures. Although China IV car clearance promotion was favorable to the sales in the third quarter and the profitability of dealers has been restored, dealer sales losses have become the norm this year. Sales prices are difficult to maintain profitability under competitive pressure.
The reporter learned that the number of models that are currently eligible for the Beijing V emission standard for environmental protection filings has reached 366, and are increasing. However, due to incomplete models that comply with the Beijing V standard, the favorable correction may have a certain impact on sales in the fourth quarter's impulse season.
Yan Jinghui, deputy general manager of the Beijing Asian Games Village Automotive Trading Market (hereinafter referred to as “Asian Cityâ€), stated that dealers will certainly increase their marketing efforts if inventory levels do not decrease. How to quickly digest inventory will be an annual theme for some dealers.
High inventory alert line
The China Automobile Dealers Association recently released information that since the beginning of March this year, the inventory coefficient of automobile dealers has been on a significant upward trend, rising to 2.09 in June, far exceeding the warning level of stocks. In the first half of the year, the association surveyed more than a thousand 4S stores owned by the top 100 dealer groups in China, covering 41 major automobile brands for mass production and sales in the domestic market, including 11 imported brands, 23 joint venture brands, and 7 independent brands. The survey results show that in May of this year, the inventory coefficients of auto dealers with independent, joint venture, and imported brands were 3.54, 1.47, and 1.34, respectively.
According to the prevailing practice of the same industry in the world, the coefficient is between 0.8-1.2, reflecting the inventory is in a reasonable range; the coefficient is greater than 1.5, reflecting the inventory reached the alert level; the coefficient greater than 2.5 reflects the high inventory, operating pressure and risk are very large .
The supply and demand imbalance has also been proved in the terminal market. According to the statistics of Asian cities, domestic auto dealers experienced painful July, and in August, the domestic auto model's tightness index was 6.05, and the index rebounded from that in July. With the impact of manufacturers' sales of warehouses in the middle of the year, the inventory pressure of domestic car dealerships increased significantly in July, and the proportion of domestic car dealers that reflected excessive inventory in the month reached 42.1%.
“Three highs and one low†(high index, high inventory, high risk, low profit) continue to plague the terminal market, dealers are suffering from imbalances in supply and demand.†Yan Jinghui told reporters that July and August have always been the end of the off-season, Although manufacturers have adopted various price-limiting measures for dealers, in the face of high inventory pressure, dealers can only rack their brains to digest stocks. This has also increased the incentives for auto market terminals, and dealers have also quickly withdrawn funds. the process of.
Manufacturers hit hard to sell cars
In fact, since the beginning of this year, the overall price discount for the Beijing terminal market has exceeded the level of the same period of last year. Su Hui, an automotive market expert, said that dealers are struggling to impact sales and increase after-sales inventory. At the same time, they only seek ways to get more sales subsidies, sales rebates, and active financial support from manufacturers to make up for sales losses and maintain normal business operations.
For the recent period, dealers in Beijing have been selling cars at a high price, and the supervision of manufacturers has also been increasing. In particular, some brands with large inventories have been reported with high fines.
Not long ago, a legal brand dealer sold a stock car at a price that was a few thousand yuan less than the factory's price limit. After being discovered by unannounced visits by manufacturers, the dealer was fined 100,000 yuan. “The manufacturers have very strict control on prices, but do not increase consumer prices.†According to a relevant person in charge of the store, since the beginning of this year, manufacturers have not stopped the unannounced visits to dealers selling car prices. The situation is known to all dealers.
"Although no one at the time of telephone consultation can dare to discuss the price with the customer, but encounter those consumers who really have the intention of buying shop bargain, most stores will give the lowest price in order to deal." The above-mentioned person in charge said that the current market The situation is "no one will be arrogant for other homes," and there will always be "brave" salespeople who continue to report lower prices, while consumers are very realistic. Whoever wants to buy someone's car As a result, the price of cars has repeatedly hit new lows.
A person in charge of the Beijing area of ​​an automobile company revealed that the pressure on distributors' stocks has recently increased, and that losing money to sell cars is by no means an isolated phenomenon. Most dealers’ promotional activities will not exceed the bottom line of the manufacturer's price, and manufacturers will only close one at a time. Only one eye, but if you find that the scope of the discount exceeds the bottom line, you will certainly be punished.
It is understood that regardless of whether it is an independent brand or a joint-venture brand, a strict penalty system has been adopted for the phenomenon of dealers losing money and selling cars. Fines range from 20,000 yuan to 100,000 yuan per vehicle, and Beijing dealers can only make profits. Find the balance of survival in the gap between sales and sales.
Dealers descend to survive
In August, under the pressure of increasing inventory, the 4S shops that were originally "accurate" began to "strangle."
Recently, the reporter visited the auto market and found that although many manufacturers have banned dealers from selling their cars at a significant price cut, and once they are discovered, they will give them severe punishment, but they cannot stop the price of cars from falling again and again. In order to avoid the high fines imposed by manufacturers, dealers are still racking their brains to think of ways to sell cars in the name of “buy†at ultra-low prices, including sending all-life insurance, sending decorations that cost more than 10,000 yuan, and sending free maintenance for several years. ... Various types of promotional tools have been introduced.
A 4S shop with its own brand has launched a promotion package for car packages, delivery purchase tax, and maintenance spree in the “group purchase†organization recently organized. "As early as July, we have no longer taken the initiative to enter the car, but the previous inventory has not been digested. Now the Beijing V emission standard will be implemented. The remaining time is not much, if you do not sell this stock car quickly After the arrival of new models, the sales pressure will be even greater." The manager of the store's marketing department revealed to reporters that now the sales in their shop is to sell one car, and a car worth tens of thousands of dollars will lose a few thousand dollars.
Dealers of joint-venture brands have also stepped up promotional efforts to reduce prices, in order to digest stocks as soon as possible. The CEO of a distributor group frankly stated that the joint venture brands under its current portfolio are at a loss, and individual stores may even be less profitable than their own brands.
"Cleaning out these stock cars is a death order given to me by the leadership. There are ways to sell them. There is no way to find a solution but also to sell." A sales manager of a 4S joint venture brand told reporters that the shop is currently only a car. To make money, the rest of the models are in a state of losing sales.
According to reports, before the implementation of the Beijing V standard, the shop has stopped picking up the goods from the manufacturers. Only after cleaning up the existing stocks can the follow-up work be carried out. “Now, it can only rely on the activity of organizing group purchases to clean inventory in large quantitiesâ€. The above sales manager said.
Beijing V or into the straw
Fortunately, the Beijing V emission standard to be implemented in Beijing will become a life-saving straw for dealers. “According to past experience, the majority of dealers' dumping behavior will end before the implementation of the new emission standards.†Yan Jinghui predicts that up to the end of this month, the clearance of most brand dealers in the market will end, 9 After each month, Beijing V models will gradually replace old models.
It is reported that Beijing will implement a stricter Beijing V emission standard in September, and that models that do not meet the emission standards will not be able to be sold in the Beijing market. After investigating the reporter's investigation, it was discovered that after the recent loss of sales, even if the inventory of the most independent brands, the old models of the inventory are also sold in most, and the joint venture brand dealers selling well, the pressure of the national IV inventory car is also gradually reduced . Some brands have already prepared for this. The reporter learned from the relevant person in charge of Dongfeng Peugeot that in the next two years, Dongfeng Peugeot will soon launch six models, not only complying with the Beijing V standard, but also having room for upgrading. Obviously, companies that respond quickly to the market like this can take the initiative.
According to Yan Jinghui, inventory pressure has improved significantly in August under various promotional clearance measures. Although China IV car clearance promotion was favorable to the sales in the third quarter and the profitability of dealers has been restored, dealer sales losses have become the norm this year. Sales prices are difficult to maintain profitability under competitive pressure.
The reporter learned that the number of models that are currently eligible for the Beijing V emission standard for environmental protection filings has reached 366, and are increasing. However, due to incomplete models that comply with the Beijing V standard, the favorable correction may have a certain impact on sales in the fourth quarter's impulse season.
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