laitimes

Chinese brands think upwards

In recent years, the rapid development of Chinese brand cars, the market share has increased year by year, under the trend of electrification and intelligence, the pace of Chinese brands to build high-end intelligence has become increasingly stable, boosting the overall transformation and upgrading of Chinese automotive products.

The attempt of Chinese auto brands to develop at high-end is an opportunity to "break through the cocoon and become a butterfly". So, what motivates Chinese brands to seek living space upwards? What has happened to this? How do we move forward? Today we will discuss the upward development direction of Chinese brands and the challenges facing the structure.

Chinese brands think upwards

30 seconds quick reading

1. Under the role of policy, market, user, culture and other aspects, to provide assistance for the high-end of Chinese brands, Chinese brands are the general trend

2. Throughout the development process of Chinese brands, there have been a number of explorers of the high-end path of brands such as Lynk & Co, WEY, Weilai, and Ideal, and the upward path is inseparable from the product promotion and marketing service concept of the user center

3. Thinking on the upward path of Chinese brands: it should be improved from the diversification of marketing power, product power and service force

#01

The upward trend of Chinese brands is the trend of the times

The overall demand of China's passenger car market tends to be saturated, and the market share of Chinese brands has returned to the upward channel

In recent years, the domestic passenger car market has been relatively sluggish, since 2018, new car sales have continued to grow negatively for three years, which undoubtedly exacerbates the fierceness of market competition, so that the overall automotive industry is unprecedentedly "inward-volume".

In the face of such severe market competition, Chinese brands have grown against the trend, the market share has returned to the upward channel, and it is even more important to break through the price ceiling in the high-end market. In 2021, the annual sales volume of vehicles with more than 200,000 Chinese brands exceeded 900,000, an increase of 92.3%. In the field of new energy vehicles, it can be described as "rapid progress", and the sales of more than 200,000 models have increased by 1.6 times. In the past, 100,000 yuan was considered to be the "price ceiling" of China's auto independent brands, and now this recognition has been completely reversed.

Chinese brands think upwards
Chinese brands think upwards

Chinese auto brands have achieved such good results, which is naturally inseparable from the results of the interaction and interaction between "policies, markets, users and cultures"

In terms of policy, our country from the "13th Five-Year Plan" to the "14th Five-Year Plan" adhere to the measures of scientific and technological innovation and quality improvement, actively promote the development and application of automobile electrification and intelligence, and strive to create a good image of Chinese quality and brand, so that the quality of domestic brands has been greatly improved, and provide a solid foundation and guarantee for Chinese automobile brands to achieve upward mobility.

In terms of the market, under the guidance of national policies, the domestic automotive industry has accelerated its switch to the new track of competition, And Chinese brand car companies have accelerated their transformation to new energy and intelligent vehicles, and a number of leading enterprises with independent intellectual property rights and brand effects have been born in the field of new energy vehicles. As a result, China's new energy automobile industry started early, has a complete industrial chain, large industrial scale and other large industrial advantages, and has created a number of excellent Chinese brand car companies in the field of new energy vehicles.

In terms of users and culture, the current post-90s have long become the main group of consumers, and their acceptance of domestic products and enthusiasm for consumption are unprecedentedly high. Under the guidance of the "national tide" wind, buying domestic goods, using domestic goods, and drying domestic products have become a new way of daily life for "national tide youth". Nowadays, the old brands of the national brand have begun various cross-border cooperation, and more and more Chinese brands have entered the forefront of international fashion.

Baidu search index report shows that the proportion of "domestic products" followers in 2021 has increased significantly, showing the extraordinary strength of domestic products in terms of design, texture, quality and performance, reflecting strong cultural self-confidence and Chinese brand confidence.

Chinese brands think upwards
Chinese brands think upwards
Chinese brands think upwards
Chinese brands think upwards

#02

Explorer of the high-end path

In the process of realizing high-end, Chinese auto brands have continuously explored, and a number of high-end brand pioneers have emerged

Since 2009, the high-end of Chinese brands has experienced three stages of development. First of all, Chinese brand car companies have entered the stage of "buying, buying and buying" model. After 2015, Lynk & Co and WEY were successively launched, with the application of advanced automatic driving and intelligent technology, with core technology and product quality leaps and successfully attracted consumers' favor, and successfully entered the joint venture brand competition circle.

Now that the automotive industry has entered the era of electrification and intelligence, we can find that the market competitors are more diversified, Internet companies are building cars, and new brands are emerging. At the same time, traditional OEMs are also actively brewing new sub-brands, diluting the label of the parent brand in the minds of consumers, and facing consumers with a new attitude and positioning.

Chinese brands think upwards

Starting from BAIC's acquisition of Saab in 2009, Chinese brand car companies have opened a "buy, buy, buy" based on the take-ism model, hoping to introduce foreign technologies and brands, and use this as a selling point to create high-end product positioning and try to fill the gap in the market. However, due to the lack of technology, it lacks product iteration ability, can not maintain vitality in the rapidly changing market and eventually disappears from people's vision.

Chinese brands think upwards

After this battle, Geely and the Great Wall are obviously much more stable, the two car companies attach great importance to the research and development and application of independent intellectual property rights, focus on product quality improvement, and launch the "Lynk & Co" and "WEY" brands respectively under the condition of practicing the basic skills. From product positioning, new technology application, to the speed of upgrading iteration, iterative speed is very good with the parent brand gradient, successfully shaping the high-end positioning, is conducive to entering the joint venture brand competition circle. It can be seen from this that excellent research and development capabilities and the application of advanced technology are important to a car company.

Chinese brands think upwards

In the era of electrification and intelligence emerging from the newly created brands, product quality and advanced technology application are still the core and foundation for enterprises to participate in market competition, while extending to services, experiences, lifestyles, business models and other aspects, creating product advantages and service concepts with user-centeredness, through meticulous service and multi-touch user operation, while realizing user stickiness, through the reward mechanism, driving users to self-disseminate and obtain high-end market recognition.

Chinese brands think upwards
Chinese brands think upwards

#03

Inspiration for Chinese brands

By studying the upward path of Chinese brands, we can find that improving product quality, mastering advanced core technologies and independent intellectual property rights, and having the ability to rapidly iterate are the core of a company's long-term competitiveness and vitality.

At the same time, with the diversification and extension of competition methods, in the dissemination of products, car companies should focus on how to better combine brand positioning, grasp the target group with the help of cross-border IP cooperation, and resonate with consumers, so as to obtain better communication results. In terms of service, while improving service quality and achieving satisfaction, car companies must also extend the extension of services, consumers are not only users of products, but also product promoters, and also product experience officers, determining the direction of product improvement. In this way, consumers become "fans", grow together with enterprises, and make marketing achieve double results with half the effort.

Chinese brands think upwards
Chinese brands think upwards
Chinese brands think upwards

summary:

At present, China's economy has entered a stage of high-quality development, with the gradual advancement of economic transformation and industrial upgrading, Chinese brand cars have been greatly improved in design, technology, quality, intelligence, culture, brand, etc., and Chinese car companies are climbing from the low end of the value chain to the high end.

Chinese brand car companies to maintain a sustained upward momentum, but also need to make more efforts in products, marketing, services and other aspects, not only to cultivate internal strength, master the core technology, in the power battery, motor technology, 5G communications, human-computer interaction and other "electrification" and "intelligence" to maintain a leading position, but also pay attention to brand construction and dissemination, through cross-border IP cooperation, it is easier to find common topics with consumers in IP, establish resonance.

In addition, with consumers as the center, we continue to extend the scope and boundaries of services, pay attention to word of mouth and car experience, and through meticulous service and online and offline multi-touch user operations, let consumers have more sense of participation and achievement, and drive users to spread themselves, so as to gather more consumers to fall in love with Chinese brands and become the source of power for Chinese brands to rise.

Read on