On May 6, 2022, the China Automobile Dealers Association and Jingzhen Estimation jointly released the "April 2022 China Automobile Retention Rate Research Report". Through the retention rate research, it aims to reflect the comprehensive strength of the brand's product strength, recognition, reputation, etc., and provide important data references for future repurchase, replacement, leasing, finance, new car pricing reference and other related businesses, thereby reducing business risks and improving operational efficiency.
The policy direction >
The national unified large market
In the field of used cars, cross-regional circulation has always been a pain point in the industry. Unlike new cars, used cars are not subject to the "channel management" of OEMs, and there is no problem of collusion, but used cars are restricted by local policies in terms of product standards and vehicle registration systems. The national unified large market and the simultaneous breakthrough will significantly release the vitality of the second-hand car market.
Hotspot event >
Unlock consumption potential
From May 1, the newly revised Regulations on the Registration of Motor Vehicles came into effect, which contained the content of "promoting the electronicization of application materials and files", which significantly improved the consumption environment of the second-hand car market. With the removal of resistance in terms of relocation restrictions, taxes, property rights registration systems, etc., a number of blockages have been opened, and the consumption potential of second-hand cars will also be released in the near future. In terms of new cars, according to the latest information, Guangzhou and Shenzhen have increased the passenger car indicator and implemented the "Opinions" of the State Council. In addition, with the landing of the "passenger car registration national one-card general office", the consumption potential of Beijing is also expected to radiate to the surrounding areas.
Vehicle supply continued to decline sequentially
Replacement subsidies used to be the main means of driving the replacement of used cars, but also stimulating the purchase of new cars. With the construction of a unified national market, relocation subsidies also appear frequently, becoming a common means to stimulate consumption and alleviate congestion and environmental pressure. In addition to being a barometer of resident consumption, used cars are often linked to production, and the price and circulation of vehicles as a factor of production also reflect the production costs of specific industries. So the used car market is waiting for a bigger positive stimulus.
The retention rate has decreased significantly
Usually, the price of used cars that are three years old does not change frequently and significantly, and the large decline in April is mainly due to the impact of the epidemic. The price increase that had appeared in the previous quarter has ended, and the price of used cars has returned to rationality.
The value of vehicles as consumer goods will continue to decline over time, and it is difficult to sustain the phenomenon of price increases through speculation for a long time. The phenomenon that old cars are more expensive than new cars will not exist for a long time, and the risk of speculation is very large.
Luxury brands differentiate
The price of BMW's new car has risen overall, but the market of different models is also inconsistent, and the phenomenon of price increase and no existing car is more common, but there is also a phenomenon of preferential treatment for some models of the 3 series and X3. Dealer quotations are also different from the official price increase attitude of manufacturers. It can be found that even within the same brand, price movements are difficult to keep pace. The release price of used car sellers this month was obviously affected by the price adjustment of various brands. As a luxury brand, the price of used cars has a brand premium "bottom", and even in difficult times, the price will not dive.
Each brand is affected to varying degrees
The negative factors of the epidemic and the "supply cut" have affected both manufacturers and dealers, while different brands have different degrees of influence, and the used car transactions of brands such as Honda are obviously less affected. Manufacturers can alleviate the pressure on the supply chain through some "supply guarantee" measures in the production process, but the business of automobile dealers in areas with serious epidemics has completely stagnated, which makes it difficult to release consumption. Specific to the impact of used cars is the stagnation of replacement and relocation.
The performance of independent brands is different
Although the sales volume of Baojun, Chery and other brands is lower than in previous years, it still performs well in the retention rate indicator. Models with lower pricing have inherent advantages and low cost of use. The retention rate of new energy vehicle brands has stabilized in the upstream position of the market. The retention rate of traditional manufacturers such as Roewe and BYD is currently higher than that of Weilai.
300,000 to 500,000 domestic luxury SUVs retention rate ranking
In the SUV range of 300,000 to 500,000, domestic luxury cars have become a popular choice for consumers. This type of SUVs generally have a comprehensive product power, no obvious shortcomings in all aspects of performance, and unique highlights in terms of comfort and space. Because the pricing is lower than that of imported cars, and it has the advantage of localization in terms of vehicles and machines, the practicality of the products is even stronger than that of higher-level luxury cars. Among them, it is worth mentioning that the ideal ONE, with convenient riding space, electric and oilable endurance freedom, humanized configuration, makes the ideal ONE retention rate perform brightly, and the three-year retention rate is second only to Mercedes-Benz GRC and BMW X3, ranking third in the list.
Construction of safety system for new energy vehicle enterprises
In order to improve the efficiency of the monitoring platform, the Opinions also propose that enterprises should build or entrust a third party to establish a monitoring platform for the safe state of operation of new energy vehicle products. The data from the enterprise monitoring platform will be used for analysis and mining. In addition, the enterprise monitoring platform facilitates real-time assessment of vehicle conditions.
New energy vehicles are affected by "supply cuts"
Compared with the price of new cars, used cars are mainly C2C transactions between consumers, even if car dealers participate in them, the price is almost unaffected by production factors such as production capacity and cost, so the used car trade is a real "market economy". In this context, the transaction price of used cars is mainly affected by the "expectations" of buyers and sellers. Buyers are "bullish" or "bearish" on the future price of the vehicle, which directly affects the purchase decision of the second-hand car. When automakers don't participate in the deal, their every move also affects consumer expectations. Some new energy manufacturers have seized the opportunity to create price increase expectations.
Retention rate of major models
The overall retention rate of new energy in one year has risen slightly, many models under Tesla have risen, and the continuous price increase of new cars has a greater impact on quasi-new cars. In addition, the overall performance of new energy mini vehicles is eye-catching, and many car series occupy the forefront of the list.