The China Automobile Dealers Association launched the "2021 National Automobile Dealers Survival Survey".
After investigation, more than half of the dealers will achieve profitability in 2021, and the proportion of profitable dealers will increase.
Among them, the contribution of the second-hand car business to the profitability of dealers has gradually increased, and the gross profit margin growth rate of used cars is higher than that of new cars and after-sales, and the second-hand car business has taken advantage of the momentum and has developed rapidly.
According to the survey, more than 80% of dealers will carry out second-hand car business in 2021, and the proportion of second-hand car employees will increase from 3% to 6%.
At the same time, more and more dealers are selling used cars by setting up dedicated used car booths in or outside the showroom.
Among these dealers, due to the implementation of the tax reduction policy for second-hand car distribution, more and more second-hand cars are sold through the distribution model, which also makes the proportion of dealers with second-hand car distribution qualifications continue to increase.
Among the dealers surveyed, more than 80% of the dealers said that the sales of used cars in 2021 will increase to varying degrees, and only a small number of dealers will decline due to the impact of the epidemic, capital, operation and other issues.
Dealers' used car business has achieved rapid growth with the support of favorable policies, and its contribution to dealer profitability is gradually increasing.
From the perspective of dealer revenue structure, the largest proportion of dealer revenue in 2021 is still new car sales, but the proportion of new car sales is declining.
The proportion of revenue increased only after-sales and used cars, of which the proportion of used car revenue increased more than after-sales, from 2.7% in 2020 to 5.5% in 2021.
From the perspective of the dealer's profit structure, the new car due to the shortage of chips and other factors led to product "short supply", the proportion of new car profits increased significantly; second-hand cars due to the current stage of small scale, sales are lower than new cars and other reasons, the proportion of second-hand car profits is not as high as new cars.
Although the proportion of used car profits is lower than that of new cars, from a profitable point of view, the gross profit margin growth rate of used cars is the highest. In 2021, the gross profit margin of new cars increased by 0.2 percentage points, used cars increased by 3.4 percentage points, while after-sales sales decreased by 4.4 percentage points.
Overall, the contribution of used cars to dealers' profitability is increasing, and according to dealer operating data, the increase in the proportion of retail used cars and certified used cars has contributed greatly to the growth of used car gross margins.
The source of used cars in dealers mainly comes from replacement, and the proportion of replacement car sources has reached more than 70%, which is much higher than the proportion of vehicle sources in other channels. This also reflects that the dealer's vehicle source is not rich enough, and it is also necessary to actively expand the source of vehicle channels to solve the problem of insufficient source of used car vehicles.
From the perspective of sales channels, dealers have the largest sales of second-hand cars through auction channels, accounting for 45%, although the proportion of store sales is not the highest, but the proportion of store sales has increased compared with the first half of the year, which is also the performance of dealers' emphasis on store retail.
The profit of retail vehicles is higher than that of batch sales, and the increase in the proportion of retail vehicles has also promoted the increase in the profit of used cars.