Foreword:We often talk about cheap cars or low-priced cars, and we can often hear the view that "China brand is synonymous with low-priced cars", but what is the state of low-priced cars, what are their future trends, and what challenges and opportunities they have for car companies … In order to have a clearer and more intuitive understanding of low-priced cars, after several weeks of data collation, writing and revision, the "Analysis Report on Market Competitiveness of Low-priced Cars 2017 Edition" finally has some eyebrows. This is an attempt. I hope you can give me more advice and criticism on the shortcomings. I hope more discoveries can be made in the future to continuously enhance the value of the report.
[car home News] There are many criteria for classifying low-priced cars (passenger cars). Considering the factors such as consumption upgrading and transfer in the automobile market, this report uniformly classifies the models with a guide price of less than 90,000 yuan as low-priced cars. The analysis data mainly comes from car home’s clue big data, and the total sample size in 2014-2016 exceeded 200 million.Clue dataNot the user’s web browsing data, nor the sales data,It is the number of inquiries and orders placed by users through the telephone system in car home. This data can effectively reflect the current situation of the automobile market and effectively predict the future trend of the automobile market.This report has three core purposes: one is to explore the overall evolution trend of low-priced cars, the other is to explore the internal evolution trend of low-priced cars, and the third is to explore the challenges and opportunities of major car companies.
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■ The user scale and share of low-priced cars have shrunk.
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In 2016, the clue index of low-priced cars decreased compared with 2015, which means that the user scale is decreasing. At the end of 2017, if the discount of 2.5% for purchase tax of 1.6L and below is completely cancelled, the scale of users entering low-priced cars in 2018 may be further reduced. In addition, the rise of consumption of compact SUVs and medium-sized SUVs has greatly boosted the overall consumption level of China auto market, and the market share of low-priced cars within 90,000 yuan has slightly shrunk. The clue proportions in 2014-2016 were 25.42%, 24.22% and 24.05%, respectively, which was less than one point in three years, not too much, but I was afraid that many a mickle makes a muckle.
The growth of low-cost car users has stagnated or declined, which means that the market may enter a saturated state and the competition will become more intense. The user share of low-priced cars in the broader market has declined, which meansThe market weight of low-priced cars is decreasing, and it is getting farther and farther away from the core consumption area of the market.. Nowadays, low-priced cars are facing a "double decline" in user scale and share, and the market competition will naturally be more cruel, and it is very likely that a vicious price war will occur; But objectively, it is conducive to market integration, accelerating the emergence of strong brands, promoting the transformation of low-priced cars from price war to quality war, and also helping to form new market segments.
■ Low-priced cars are getting more and more expensive, and users are increasing by 60,000-90,000 yuan.
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The phenomenon of "consumption upgrading" of low-priced cars is becoming more and more obvious. In 2014-2016, the clue growth of low-priced cars within 60,000 yuan is stagnant or declining, and the clue growth of low-priced cars with 60,000-90,000 yuan is in a state of growth, with the strongest growth being in the price range of 80,000-90,000 yuan. The driving force for the growth of clues in the price range of 80,000-90,000 yuan mainly comes from compact SUVs. In 2014-2016, the proportion of clues in low-priced cars was 2.97%, 5.7% and 17.38% respectively, which soared all the way.
■ The emerging new force intensifies the competition for low-priced cars.
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Although the scale of users of low-priced cars is shrinking, new recruits are constantly emerging. In 2014-2016, the clues of low-priced cars of Volkswagen, Baojun, Geely, Honda, Zotye, Changan Commercial, Magic Speed, Scenery and other new recruits all increased significantly, and the proportion of total clues increased from 27.41% in 2014 to 49.06% in 2016, which is very important for traditional strength groups such as Changan and BYD.
■ The core price range of low-priced compact cars has declined.
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The price war of low-priced compact cars has intensified, and the core price range has dropped from 80,000-90,000 yuan to 70,000-80,000 yuan. The clues of the latter have continued to grow, accounting for 19.7%, 20.64% and 26.36% in 2014-2016 respectively. German and Japanese contributed the most to the clue growth of compact cars with 70,000-80,000 yuan, and their clue share increased by three or four times in the past three years. The share of China brand was greatly squeezed, and the clue share in 2014-2016 was 81.51%, 68.73% and 46.22% respectively.
■ Low-priced car consumption shifts from cars to SUVs and MPVs.
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At present, the main consumers of low-priced cars are still small cars and compact cars. In 2016, the clues of the two accounted for nearly 60%, but they were significantly reduced compared with 2014 and 2015. In recent years, a large number of low-priced SUVs have flooded in.The consumption heat of low-priced cars began to shift from cars to SUVs and MPVs.Among them, the low-cost compact SUV has the strongest growth.In 2014-2016, the lead share was 2.66%, 4.7% and 10.71% respectively, which became an important force to reverse the traditional competition pattern in the low-priced car market.
■ Compact SUV will become the core market for low-priced cars.
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The market popularity of low-priced compact cars is somewhat sluggish, while low-priced compact SUVs are in full swing, and the higher the selling price, the more popular they are. In 2014-2016, the proportion of compact SUVs in the price range of 80,000-90,000 yuan was 32.14%, 38.79% and 58.94% respectively. In 2017, changan CS55, Haval H4 and other entry-level heavy vehicles will flood in, which is bound to continue to increase the popularity of low-cost compact SUVs.The competition pattern of low-cost compact SUV has also changed greatly, and Geely, Baojun and Haval have risen strongly.There are no overseas brands listed in the TOP10.
■ China brand is synonymous with low-priced cars.
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At present, China brand is synonymous with low-priced cars, and the proportion of low-priced cars in its own clues is still above 50%. However, the progress of China brand is obvious to all. In the past three years, the proportion has shown a downward trend, with 57.44%, 53.82% and 50.33% in 2014-2016 respectively. In the past three years, the market share of low-priced cars has been shrinking, but the proportion of China brands has been increasing slightly, with 58.07%, 57.33% and 60.80% in 2014-2016 respectively.China brand is facing two arduous battles: one is to continue to strengthen the low-priced car market, and the other is to try to get rid of the synonym of low-priced cars.
■ China brand monopolized the transformation of low-priced cars to SUVs and MPVs.
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At present, the trend of low-cost car consumption changing from cars to SUVs and MPVs is very obvious. In 2014-2016, the user share of low-cost cars was 82.24%, 72.82% and 62.84% respectively, which declined all the way, with a staggering 10 percentage points each time, and may drop to about 50% in 2017. In the process of users’ transformation to SUVs and MPVs, China brand has almost become the only beneficiary. From 2014 to 2016, the clues of China brand low-priced SUVs and MPVs accounted for nearly 100%.
■ China brand low-priced compact car was squeezed by German/Japanese.
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China brand has absolute advantages in SUV and MPV, but it is facing great challenges in the low-priced car market, among which the clue of compact cars has the largest decline. From 2014 to 2016, the clue proportion of China brand in low-priced compact cars was 63.32%, 54.86% and 44.49%, respectively. During this period, the proportion of German and Japanese gradually increased, while that of Jetta, Santana, Sunshine and Japan increased.
■ China brand low-cost compact car users are obviously losing.
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The competitiveness of China brand low-priced compact cars is worrying. In 2016, the number of users of China brand low-priced compact cars in different price areas declined, especially in the price range of 60,000-70,000 yuan. In the past three years, the TOP10 of China brand’s low-priced compact car has changed greatly. In 2014, BYD led the way, accounting for 15.19% of the clues. In 2015, it became Changan, accounting for 12.38% of the clues. In 2016, it was Geely, accounting for 11.99% of the clues. It is urgent for strong brands to boost the market confidence of China brand’s low-priced compact cars.
■ China brand low-priced cars should be alert to the public counterattack
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Volkswagen is the most important thing for China brand low-priced cars.First, Volkswagen’s low-priced compact cars and low-priced small cars performed strongly, and the proportion of clues continued to increase, which put great pressure on China brands; Second, with the strong performance of low-priced compact cars and low-priced small cars, Volkswagen has surpassed Chang ‘an to become the first low-priced brand in China auto market. In 2018, Volkswagen will also launch independent low-priced brands, which will also focus on SUVs and MPVs, and will directly take food from China brands.
■ Full text summary
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By the end of 2016, the low-priced car clues of China brand still accounted for more than 50%, and they have not got rid of the shackles of low-priced cars. High-end brands such as FAW Hongqi, Great Wall WEY and Geely Link have a long way to go. In 2014-2016, low-priced car users quickly transferred from cars to SUVs and MPVs, and the clues of China brands in low-priced SUVs and MPVs accounted for nearly 100%, among which the clues of low-priced compact SUVs increased rapidly, which meant that the market opportunities of China brands would be greater and greater in the process of upgrading and transferring the consumption of low-priced cars. At present, Baojun, Geely Vision Family and Changan Auchan are rapidly becoming strong brands in the low-priced car market. In 2017, Baojun’s sales volume may exceed 1 million. In addition, Great Wall Fengjun and others have also entered the low-priced SUV and MPV markets, and the "clearing movement" of the low-priced car market will begin.
Opportunities and challenges coexist. Through the price war of low-priced compact cars and the launch of new low-priced compact cars, the share of Volkswagen and Honda in the low-priced car market has improved. At present, Volkswagen has become the first brand in the low-cost car market. In 2017, Volkswagen will also launch independent low-cost car brands, and will also focus on the low-cost SUV and MPV car market. At that time, it will directly compete with the China brand to upgrade and transfer users of low-cost cars. This article focuses on the industry, and the next article will focus on enterprises, specifically analyzing the performance of Geely, Changan, Volkswagen and Honda in the low-cost car market. (Text/car home Zhou Lijun)
[car home News] It is difficult to build a car, it is even more difficult to build a low-priced car, and it is even more difficult to build a national car with good quality and low price. In the last article "China brand low-priced cars begin to" clear the field ",we introduced the development status of China low-priced car market from the perspective of industry. This article will start from the perspective of enterprises and specifically introduce the development status of low-priced cars of some car companies. I hope you can give me more advice and criticism on the shortcomings of the report, and I hope more discoveries can be made in the future to continuously enhance the value of relevant reports.
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There are many standards to classify low-priced cars (passenger cars). Considering the factors such as consumption upgrading and transfer in the automobile market,In this report, the models with a guide price of less than 90,000 yuan are uniformly classified as low-priced cars.The analysis data mainly comes from car home’s clue big data, and the total sample size in 2014-2016 exceeded 200 million.Clue dataNot the user’s web browsing data, nor the sales data,It is the number of inquiries and orders placed by users through the telephone system in car home. This data can effectively reflect the current situation of the automobile market and effectively predict the future trend of the automobile market.This series of reports has three core purposes: one is to explore the overall evolution trend of low-priced cars, the other is to explore the internal evolution trend of low-priced cars, and the third is to explore the challenges and opportunities of major car companies.
■ In 2020, the sales volume of low-priced cars will exceed 7 million.
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Among all the sales leads in car home in 2016, low-priced cars with a guide price of less than 90,000 yuan accounted for 24.05%. For every four leads, low-priced cars can contribute one. In 2016, the sales volume of passenger cars in China exceeded 24 million, and it is expected to exceed 30 million in 2020, when the contribution of low-priced cars may exceed 7 million. In 2016, the sales volume of Indian cars was nearly 3.7 million, which means that the scale of China’s low-cost car market may have room for two Indian car markets. China’s low-cost car market is by no means a dispensable "small market" or a tasteless "chicken rib". It not only has the ability to cultivate two or three low-cost car companies with annual sales of over one million vehicles, but also adds icing on the cake to the sales promotion of mainstream car companies.
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Changan Auchan, Baojun, Chery, Dongfeng Scenery, Jianghuai and Beiqi Magic Speed account for more than 80% of the low-priced car clues of mainstream China brands. Among them, Changan Auchan, Baojun, Dongfeng Scenery and Beiqi Magic Speed are typical low-priced car brands, and their performance in recent years is very strong. In 2017, Baojun’s sales volume is expected to exceed 1 million. Chery and JAC are both traditional mainstream car companies. They have been trying to raise the price of bicycles and enhance their own brand value. But at present, they are falling into the quagmire of low-priced cars step by step, and their struggle in the past year or two is almost useless.
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"Cheetah CS10』"
Roewe, Cheetah and Chuanqi, which are the low-priced car clues of mainstream China brands, account for less than the overall level. Among them, the listing of Cheetah is expected to surprise many people. This car company is particularly "mysterious" in recent years, and hardly publicizes any achievements of Cheetah CS10 and other models (CS10 has a high guiding price and good sales). The achievements made by Roewe and Chuanqi in their "upward" efforts in recent years have created a good environment for them to launch small SUVs and entry-level compact SUVs in 2017-2018, and also created rare strategic opportunities for the transformation of low-cost car markets such as SAIC Chase and gac gonow. Geely and Harvard, which have performed well in recent years, account for 44.49% and 24.30% of the low-priced car clues respectively. Geely wants to increase the price of bicycles and has to accelerate the integration of the low-priced car system; At present, Harvard’s low-priced car clues account for a reasonable proportion. As for whether Fengjun, another brand of the Great Wall, will discuss the transfer and enter the low-priced car market, it is still worth looking forward to.
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Except Suzuki and Chevrolet, the clue proportion of most overseas brands is lower than the overall level, among which Nissan, Buick, Peugeot and Mazda account for less than 10%. Buick has reduced the clue proportion of low-priced cars due to the suspension of Excelle production, while Nissan, Peugeot and Mazda have affected the clue proportion of low-priced cars because of the "dying" of mini cars and small cars. Volkswagen, Honda, Toyota, Ford and other low-priced car clues account for between 10-20%.
In order to balance the sales volume and income, it is not good that the proportion of low-priced cars is too high or too low. Personally, it is ideal to maintain it between 20-30%.In recent years, the car market of mini-cars and small cars has shrunk dramatically, which has squeezed the living space of many overseas brands’ low-priced cars. However, in order to establish a new balance between sales volume and income, after Volkswagen, some overseas brands may announce the launch of independent low-priced car brands in China in the future.
■ Geely’s low-priced car focuses on the "vision family"
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"Vision; Vision SUV』 "
In 2016, Vision Car accounted for 32.22% of Geely’s low-priced car clues, replacing Emgrand as the model with the highest proportion of low-priced car clues. In the future, if we continue to launch Vision MPV and Vision Car Cross, the "Vision Family" will grow stronger. Geely streamlined its models and focused on the "prospective family", which is essentially a transformation and upgrading of low-priced cars. In 2016, the clue proportion of its models within 60,000 yuan fell from 53.27% in 2015 to 37.04%, and the clue proportion of low-priced cars within 90,000 yuan was 44.49%, which was as high as 70% in the previous two years.
■ "Vision Family" helps Geely to contain rivals such as Baojun Volkswagen
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Volkswagen Jetta, Santana and other models are accelerating their penetration into the field of low-priced cars. In 2018, Volkswagen will also launch independent low-priced car brands, leaving Geely with little time to "prepare for war"; With its excellent cost performance, Baojun quickly gained an advantage in the low-priced car market, and its sales volume may exceed 1 million in 2017 … In 2016, the proportion of low-priced cars within 90,000 yuan of Geely Automobile accounted for 44.49%, which was as high as more than 70% in the previous two years, which created a strategic space for the transformation of low-priced cars such as Geely’s "Vision Family" from price war to quality war.
■ "Changan Auchan" will carry the banner of Changan low-cost car.
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"Changan Auchan A800』"
Changan low-cost car system includes Changan Passenger Car and Changan Auchan, among which the clue quantity of Changan Passenger Car focusing on cars has declined across the board, and the Changan Auchan plate focusing on SUV and MPV is in a good situation. At present, the consumption of low-priced cars is shifting from cars to SUVs and MPVs, which means that Changan Auchan will have more room for development in the future. At the beginning of 2017, Changan Commercial changed its name to Changan Auchan, which not only showed the determination of the enterprise to "transfer from business to business", but also set off the banner of Changan low-cost cars. Personally, I hope that Changan Auchan can fight a counterattack with technical content.
■ In 2017-2020, Chang ‘an low-priced cars will compete for Baojun.
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In the field of low-priced cars, Chang ‘an is the representative of the traditional strength school, and Baojun is the representative of the new strength school. Both of them have tit-for-tat layouts in the fields of small cars, small SUVs and MPVs, and the war will spread to the field of compact SUVs. At the beginning of 2017, Changan Commercial changed its name to "Changan Auchan", which will set off the banner of Changan low-cost cars. From 2017 to 2020, Changan low-cost cars are bound to fight for Baojun. However, Baojun is not afraid to wear shoes barefoot, but Changan has worries. The aggressive price war of low-priced cars will make Changan’s brand building fall into a "low-price quagmire".
■ In 2017, Baojun’s sales volume hit one million vehicles.
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Baojun 510
In the first half of 2017, Baojun made three arrows, and 310, 510 and 310Wagon (with the size of compact car) were aimed at small cars, small SUVs and compact cars respectively. In the first quarter of 2017, the car buying enthusiasm of Baojun 310 and Baojun 510 was very high. If the popularity of Baojun 510 can be sustained, its monthly sales in 2017 may exceed 30,000 vehicles. In 2017, Baojun will build a new strategic highland in the price range of 40,000-70,000 yuan. In the second half of the year, it will also launch a medium-sized SUV to consolidate the price range of 60,000-80,000 yuan, helping Baojun’s sales hit the million mark.
■ After Wuling, Baojun is a piece of "Tang monk meat"
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Baojun’s sales are mainly concentrated in the past three years, and the sales in 2014-2016 were 181,600, 502,900 and 760,600 respectively. In 2017, Baojun’s sales volume is likely to exceed 1 million vehicles, and it will become another China brand with annual sales volume exceeding 1 million vehicles after Wuling and Changan. Plus the car replacement cycle is concentrated in 3-6 years, which means that Baojun is becoming a genuine "Tang monk meat". In the first quarter of 2017, the proportion of intentional replacement of Baojun users to Honda, Geely, Volkswagen and Haval was not low.
■ Great Wall Motor urgently needs a solid low-cost car market.
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Old Haval H6
In recent years, Great Wall Motor has been busy exploring the brand and price, and has neglected the low-priced car market. In 2016, Haval brand only ranked tenth in the low-priced car clue, greatly lagging behind rivals such as Geely and Changan, and the Great Wall brand has plummeted, which means that it is difficult for Great Wall Motor to obtain a large number of replacement users from its low-priced car system in 2017-2020. In addition, within the Great Wall, the clues of its low-priced cars continue to rise. In 2016, Haval H6 contributed more than 30% to the clues of low-priced cars. I believe this is definitely not what Wei Jianjun wants to see.
■ There is a lot of room for pickup truck to transform into SUV/MPV.
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Great Wall Wind Jun 6
The sustainable development of the Great Wall urgently needs a large number of low-cost car users. If the Haval brand is used to consolidate the low-cost car market, some of them are not worth the candle. The Great Wall brand has been hidden in the snow. At present, the only one who can undertake the heavy responsibility of the low-cost car market of the Great Wall is Feng Jun.. In the past seven years, the sales volume of pickup trucks has been hovering at 300,000 to 400,000, and it is difficult for Feng Jun to make greater achievements. However, Fengjun’s reputation of "durable leather" has been deeply rooted in the pickup market. Low-priced SUVs and low-priced MPVs also need such core selling points. In addition, Changan, Dongfeng and Wuling are all accelerating "business transfer", and Fengjun has a lot of room to transform SUVs/MPVs.
■ The proportion of clues of Chery’s low-priced cars continues to expand.
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Tiggo 7
From 2014 to 2016, the proportion of clues of Chery low-priced cars continued to expand, accounting for 67.39%, 74.28% and 83.48% respectively. The penetration rate of Chery’s low-priced cars in the market also showed an expanding trend, which was 4.23%, 3.48% and 4.72% in 2014-2016 respectively. At present, the market of low-priced cars is shrinking, and the increase in the proportion of clues of Chery’s low-priced cars will pose more severe challenges to itself and also affect the promotion of its brand value. After the listing of Tiggo 7, we can clearly feel that it has been endowed with a major mission.
■ Arrizo 5 lowers the overall price of Chery Automobile.
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"Ariza 5"
Chery’s clues are increasingly concentrated in compact cars, and the proportion of clues in 2014-2016 is 18.06%, 23.27% and 38.70% respectively. Among them, the price range of 60,000-70,000 yuan surpassed the price range of 70,000-80,000 yuan and became the price range with the largest number of clues for Chery. In 2014-2016, the proportion of clues for Chery compact cars was 23.32%, 21.37% and 43.64% respectively. Arrizo 5 contributed the most to the clue quantity of Chery in the price range of 50,000-60,000 yuan, which improved the clue penetration rate of Chery compact car in the market, but hindered the progress of Chery’s transformation to SUV.
■ The clue penetration rate of BYD’s low-priced cars continues to decline.
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During the transformation of BYD’s strategic center from traditional fuel vehicles to new energy vehicles, the proportion of clues of BYD’s low-priced vehicles declined, reaching 67.15%, 57.41% and 54.7% in 2014-2016 respectively. This part has witnessed the success of BYD’s transformation. It should be noted that the penetration rate of BYD’s low-priced car clues in the broader market has declined, and the extent is even greater, with 7.89%, 6.14% and 4.15% in 2014-2016 respectively. At present, low-priced cars are still the bulk of BYD’s sales. If the penetration rate drops sharply, it will inevitably lower BYD’s overall sales.
■ BYD’s low-priced car strategy from the mid-level auto market was blocked.
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In 2014, the lead penetration rate of BYD’s medium-sized cars and SUVs exceeded 60%, but the share of low-priced medium-sized cars has been very small, and a large number of competing products such as Zotye T600 and changan CX70 have flooded into the medium-sized SUV market. By the end of 2016, BYD’s lead penetration rate in the two medium-sized car markets has dropped to less than 15%, and the decline rate may be even greater in 2017, which means that BYD’s efforts to subvert the traditional pattern of medium-sized cars and medium-sized SUVs from the low price level have basically ended in failure.
■ Jianghuai seems to put all the eggs in a small SUV basket.
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"Ruifeng S3"
In 2016, low-priced cars accounted for 81.40% of JAC’s clues, among which small SUVs accounted for 83.10% of JAC’s clues. JAC has fallen into the quagmire of low-priced cars, and generally put all its eggs in the small SUV basket. In 2017, the small SUV market is gradually showing signs of saturation, and then the price war in the auto market will intensify. In 2017, the clue penetration rate of Jianghuai in small SUVs may continue to decline, which invisibly further enhances the missions of Ruifeng S5 and Ruifeng S7.
■ Volkswagen brand has become the first brand in the low-cost car market.
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"Jetta; POLO』
For a long time, China brand has been synonymous with low-priced cars, but in 2016, Volkswagen brand became the first brand in the low-priced car market, and the clue ratio surpassed Chang ‘an by 12.47%, which was in a far leading position. Jetta and POLO are the mainstay of Volkswagen in the low-priced car market. In 2016, Jetta became the first low-priced car, and the clue ratio surpassed Hyundai Renata by 4.38%, ranking first. POLO rose rapidly in the low-priced automobile market, ranking outside the TOP10 in 2014, ranking ninth with 2.26% of clues in 2015 and third with 3.56% in 2016.
■ Japanese low-priced compact cars quickly rise.
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"Nissan Sunshine"
Japanese low-priced cars are mainly concentrated in mini-cars, small cars and compact cars, among which the clue penetration rate of mini-cars is the highest, the clue penetration rate of small cars is the largest, and the clue penetration rate of compact cars is the fastest, with 3.88%, 5.25% and 11.73% in 2014-2016 respectively. In 2014, Japanese low-priced compact cars were the biggest share of Nissan Sunshine. In 2015, the share of Honda’s new Fengfan and Gori began to increase, but it was still the biggest sunshine. In 2016, Sunshine, Xinfengfan and Gori formed a three-legged pattern.
■ Honda leads Japanese low-priced cars
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"The picture above shows Fit; The picture below shows Feng Fan and Ge Rui.
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Japanese low-priced cars include Honda, Toyota, Nissan, Suzuki, etc. Among them, Honda’s clue share is the fastest growing, with 20.30%, 27.30% and 39.72% in 2014-2016, respectively. The share of Toyota and Suzuki has decreased, and Suzuki is accelerating to withdraw from the stage of low-priced cars in China. The rise of Honda’s low-priced cars is inseparable from compact cars. In 2014, Honda’s low-priced cars were mainly two small cars, Fit and Fengfan Classic. In 2016, two compact cars, Xin Fengfan and Gori, and the Fit of small cars formed the main body of Honda’s low-priced cars.
■ Korean low-priced cars are being marginalized.
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"Beijing Hyundai New Yuedong"
The breakthrough of joint venture car companies’ low-priced cars relies more and more on compact cars, but Korean low-priced cars mainly rely on small cars. In 2016, low-priced small cars accounted for 75.10% of the Korean clues. In addition, while German and Japanese low-priced compact cars are rapidly emerging, Korean low-priced compact cars have been shrinking, and the clue penetration rate in 2014-2016 was 5.76%, 5.09% and 4.48% respectively. If New Elantra fails to make a breakthrough in 2017, Korean low-priced cars will be marginalized.
■ American low-priced cars stick to the compact car market.
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In the process of transferring the low-priced car market from cars to SUVs and MPVs, the American department has fallen behind, and the clue penetration rate of its low-priced small SUVs is getting lower and lower, and at the same time, it has encountered the challenge of the sharp shrinkage of low-priced small cars. Two low-priced compact cars, Furuis and Cavalier, which went on the market in the past year or two, slowed down the downward trend of American low-priced cars. In 2017, Yinglang and Cruze will continue to cut prices, and some models may participate in the competition in the low-priced market.
■ Full text summary
There is still a lot of room in China’s low-cost car market, and the sales volume may exceed 7 million in 2020, which is similar to two Indian markets. Opportunities are always reserved for prepared car companies. In recent years, China brands such as Haval, Geely and Chuanqi have significantly improved their car-making strength, and the prices of compact cars of overseas brands such as Volkswagen, Chevrolet and Ford have been greatly reduced … These car companies with certain competitive strength are accelerating to flood into the low-priced car market, which will not only stimulate the "consumption upgrade" of the low-priced car market, but also reverse the traditional competitive pattern of low-priced cars. In 2017-2020, low-priced cars will experience five major events. Second, the "competitive market" of low-priced cars will accelerate the transformation from a regional market to a national market, and there will be fewer and fewer local car companies; Third, the "main models" of low-priced cars will accelerate the transformation from small cars to compact cars, small SUVs, compact SUVs and MPVs, and the market segments will become more and more diversified; Fourth, the "main price area" of low-priced cars will accelerate the transformation from 50-70 thousand yuan to 70-90 thousand yuan, creating space for the improvement of quality and configuration; Fifth, the "mainstream play" of low-priced cars will accelerate the transformation from price war to quality war, brand war and service war, which will increasingly test the comprehensive competitiveness of car companies.
The "consumption upgrade" of the low-priced car market is conducive to attracting large and medium-sized car companies to enter, improving the overall configuration level of ESP system, automatic transmission and other components, speeding up the elimination of "low-quality and low-price" brands, and is more conducive to building dreams may come as a national car. Finally, I sigh with emotion: it is difficult to build a car, it is even more difficult to build a low-priced car, and it is even more difficult to build a national car with good quality and low price. How many years have Geely, Great Wall and other car companies not mentioned the concept of "national car"? (Text/car home Zhou Lijun)