Author | Jia Weizhong
Source | Car selection network
At present, the automobile industry is in a period of major changes that have not been seen in a hundred years. Most car companies take the transformation of intelligent electrification as the focus of their work in the next five years. However, some media have issued a call for "retaining old users is the main line of corporate strategy"!
Enterprise transformation and upgrading and retention of old users, who is the main strategic line?
Everyone is busy transforming
Although plagued by multiple factors such as the frequent occurrence of the epidemic, the shortage of chips, and the rise in raw material prices, the future planning of major car companies is ambitious.
"On December 9, 2021, Volkswagen updated its investment plan for the next five years, planning to invest 89 billion euros in electric vehicles and digitalization, becoming the global market leader in electric vehicles by 2025," according to the report. In 2025, Volkswagen will account for more than 20% of new energy in China, and in 2035, Volkswagen will transform from a traditional fuel vehicle manufacturer to a hybrid automobile manufacturer producing new energy vehicles and traditional models. ”
A week later, on December 15, 2021, Toyota announced: "30 pure electric models will be launched in 2030, with an annual global sales volume of 3.5 million units. Among them, Lexus sells 100% of pure electric vehicles in Europe, North America and China. The company plans to invest $35 billion in pure electricity by 2030. ”
In terms of Chinese brands, the sales targets of Great Wall, Geely and Changan in 2025 are 4 million, 3.65 million and 3 million units respectively. Among them, the proportion of new energy in the Great Wall in 2025 is 80%, Geely new energy vehicles account for more than 40%, and Changan new energy vehicles account for 35%.
In the final analysis, whether it is a representative of a foreign brand or a leading enterprise of a Chinese brand, the transformation to intelligent electrification in the next five years is the top priority of the company's strategy.
Ignore old users
In recent years, the Chinese market has been in a big wave, some second- and third-tier foreign brands have fallen into trouble, and the competition between German and Japanese first-line foreign brands and excellent Chinese brands that have won in the competition has entered a white-hot situation. In the future, the competition between the two sides is not only to see whose products are more advanced and excellent, but also to see who has stronger "circle fans" ability and whose fan loyalty is higher.
However, in the view of some media, some car companies have ignored the changes on the demand side to a certain extent when they are actively working on the supply side. Recently, after research, e-Car Research Institute released the "Brand Loyalty Survey Report (2022 Edition)" (hereinafter referred to as the "Report"). The "Report" proposed: "In the exchanges between the E-Car Research Institute and the majority of car companies, it is generally found that everyone's enthusiasm for researching how to retain old users and enhance loyalty is not particularly high. ”
Why are some brands "not particularly motivated to retain old users"? The "Report" believes: "In the past ten years, China's auto market has been mainly based on first purchases, brand loyalty is relatively low, and it is still in the cultivation period of old users. ”
At the moment of consumption upgrading in the automobile market, the shortcomings of first-line foreign brands are the lack of personalized products. Yiche Research Institute believes: "In recent years, the product layout of Volkswagen and Toyota has mainly revolved around the replacement car market, and it is extremely lacking in products that are more suitable for the purchase of additional car markets such as personality, sports, and hardcore, even if Volkswagen has launched individual models such as Tiguan X and Tanyue X, it is only to look at the personality point." Toyota was subject to double integration and directly discontinued the mid- to large-sized hardcore SUV Land Cruiser and Prado, which were ideal for the additional car market. ”
Compared with first-line foreign brands, Chinese brands with a short development time have a shorter development time, and their shortcomings are the lack of experience in maintaining old users. E-Car Research Institute believes: "Although Geely and Great Wall have launched products such as China Star and Tank 300, the focus of sales has shifted from the first purchase to the exchange. However, the upper volume of most mainstream Chinese brands such as Geely, Haval and Changan was concentrated during the "13th Five-Year Plan" period. During the '14th Five-Year Plan' period, some users who choose Chinese brands for the first time will enter the market on a large scale, which will theoretically provide new opportunities for overseas brands such as Volkswagen and Toyota who are good at competing for the car market, and Chinese brands will face a very severe and inexperienced 'old user defense war'. ”
To put it bluntly, in the past, China's auto market was in a period of explosive growth, and it was too easy for car companies to develop new users. Now that we have entered the stage of exchange and additional purchase, while snatching new users from competitors, stabilizing the old user base is a common issue for everyone.
It's about transforming, but also keeping old users
In the view of E-Car Research Institute: "During the '14th Five-Year Plan' period, it is important for car companies to actively layout electrification and intelligence, but 'retaining old users' is the strategic main line of the majority of car companies." ”
For "how to retain old users", Yiche Research Institute combined with big data to give a recommendation to keep an eye on "increasing and exchanging storm eyes".
What is the "Eye of the Storm"? E-Car Research Institute proposed: "In the past decade, the sales volume of China's automobile market has been highly concentrated in the car market with a wheelbase of 2600-2750 and a price of 10-15 million yuan, accumulating a large number of users. From 2013 to 2021, the brand ownership of the TOP10 is more than 5 million vehicles, and mainly from the above areas; the 2013-2021 model ownership TOP10, all from the above areas. During the '14th Five-Year Plan' period, old users in the above-mentioned areas will pour into the car purchase market in large numbers, which will become a key factor in the new competitive pattern of China's auto market. ”
Overall, the E-Car Research Institute found that some car companies "the enthusiasm to retain old users is not particularly high", and combined with the product price range and other factors to give suggestions, should be paid attention to by relevant enterprises.
But I personally believe that the active layout of electrification and intelligence by car companies does not conflict with retaining old users. For the German and Japanese car brands, their development of intelligent electrification should be relatively fast. The reason is that the Deri automobile brand is characterized by a longer history, stronger brand influence, a larger user base, and higher user loyalty, and their shortcomings are that most of the products are global, and the response to the demand of Chinese consumers in terms of intelligence is relatively lagging behind, and if the action is too cautious, it is easy to lose market opportunities. The reason is that even the most conservative users will inevitably have the need to follow the trend and "try the early".
Professionals pointed out: "The current saturation of China's automobile market is still very low, accounting for about 20% of the annual sales volume, nearly 80% is new sales, so the number of new customers is still very large, of course, there are many old customers." At the same time, Chinese brands are in the process of transformation, Geely focuses on the Lynk & Co brand, and the top priority of the Great Wall is the Wei brand. For Geely and the old products of the Great Wall, high-end brands not only have a grade of product quality, but also the price has increased by a large margin, while Chinese brands use new high-end brands to attract consumers to continue to stay on their plates, and promote consumption upgrades with product upgrades. ”
Therefore, the transformation and upgrading of car companies to intelligent electrification and the retention of old users are two sides of the same body from different angles of the supply side and the demand side, there is no primary and secondary, both must be taken into account.
(Image source: Internet)