The war in the auto market continues to burn, but FAW-Volkswagen, as an important force in the domestic auto market, still maintains a strong momentum of development, with a total of 409,217 FAW-Volkswagen insurance units in the first quarter of 2024, a year-on-year increase of 14.3%, ranking first among joint venture automakers. In the first quarter, the cumulative number of fuel vehicles insured reached 391,197, and it was the only company in the industry with sales of fuel vehicles exceeding 300,000. Cumulative NEV sales totaled 18,020 units, up 15.2% y/y.
At the same time, according to the statistics of the Passenger Car Association, FAW-Volkswagen also sold a total of 395,266 vehicles, ranking first among joint venture car companies, of which 374,491 fuel vehicles were sold, ranking first in the industry. Although the statistical caliber is different, they all point to the fact that in the new era, FAW-Volkswagen is still a strong force in the automotive industry.
A number of models continue to sell well
In the hustle and bustle of the auto market, many car companies try to gain more market share by blindly cutting prices, but the marketing method is like drinking water to quench thirst, which is not conducive to the long-term healthy development of the brand. FAW-Volkswagen has a different style of play, not following the price war, but insisting on value marketing, and in this case, it has also achieved many industry firsts, which shows the high gold content.
The fundamental reason why FAW-Volkswagen's market sales have been able to achieve a steady increase is that the model design is attractive enough, and the market performance of many of its models is enough to prove this.
The cumulative number of insurance vehicles in the first quarter was 59,000, a year-on-year growth rate of 29.2%, ranking first in the market segment, and more than the second and third places combined. The total number of insured vehicles in the first quarter of the golf was 14,000, with a year-on-year growth rate of 16.1%, ranking first among fuel hatchbacks, accounting for 49.2% of the market segment, and dominating half of the fuel hatchbacks.
一汽-大众始终坚持油电并进战略，坚守燃油车领域的同时，也在大力发展新能源车，而以ID.4 CROZZ、ID.6 CROZZ、ID.7 VIZZION为代表的新能源车累计销售14,383辆，同比增长23.4%。
In addition to the attractiveness of the star model, FAW-Volkswagen's brand loyalty accumulated by virtue of its quality and technical advantages is also an important reason for its steady development. This can be seen in the market performance of its SUV business, with a total of 8,549 vehicles insured in the first quarter, a year-on-year increase of 112.2%, and a total of 14,000 units insured in the first quarter, a year-on-year increase of 29.5%.
It can be seen that although FAW-Volkswagen has set foot in the SUV field late, the huge appeal formed by the high-quality brand image has made it a good performance in this field.
Adhere to the strategy of oil and electricity
In recent years, with the rise of independent brands and the impact of new energy vehicles, the market share of joint venture brands has been declining. However, FAW-Volkswagen has always shown strong resilience, and last year it was the only joint venture production brand to achieve positive sales growth.
In the face of changes in the new energy market, FAW-Volkswagen can also adjust its strategy in a timely manner. According to the route, "oil and electricity together" will be FAW-Volkswagen's strategy in the future transition period to meet the needs of different consumer groups and launch products that adapt to different vehicle scenarios. From 2024 onwards, FAW-Volkswagen's main models will also usher in intensive replacements, including the new generation of Magotan, Golf A8, Audi A3 hatchback and sedan facelifts.
It can be seen from the model layout that FAW-Volkswagen still plans to deepen its cultivation in the field of fuel vehicles, which is related to the background of the times. Although the topic and popularity of new energy vehicles are rising, fuel vehicles are the main theme of market sales, so FAW-Volkswagen has not given up the fuel vehicle market, and continues to update its fuel models, so as to continue to consolidate its dominant position in the fuel vehicle market.
In 2024, FAW-Volkswagen will continue to fight on two fronts, strengthening the advantages of fuel vehicles, accelerating the implementation of electric and hybrid products and supplementing the existing product line. At present, FAW-Volkswagen is independently developing new electric models, and all existing fuel models will be equipped with new hybrid technology independently developed.
FAW-Volkswagen's market advantage will be further enhanced by the entry of more fuel vehicles and new energy vehicles, but the impact of local new energy vehicles, the challenges faced by joint venture car companies, including FAW-Volkswagen, continue to increase, and environmental factors cannot be ignored. At present, the market share of joint venture brands hovers around 40%, and the overall market demand is slowing, which makes the situation of joint venture brands more difficult.
In the context of increasingly diversified market competition, only relying on product-side changes cannot solve all market problems. Marketing, as a pioneer in the market game and the tentacles of user perception of the brand, cannot be ignored. Strong products, coupled with excellent marketing capabilities, will be the key for FAW-Volkswagen to lead the joint venture brand to win the counterattack of new energy vehicles.
In the first quarter of this year, all brands have joined the price war, and it is not easy for FAW-Volkswagen to have such a record without participating in the price war, and it is also more golden. Through this achievement, it can also be seen that FAW-Volkswagen's gasoline-electric strategy has begun to show sustained stamina. Because for Chinese consumers, the FAW-Volkswagen brand has been deeply rooted in the hearts of the people, successfully created the image of a national car, and seized the minds of users, so it still shows strong strength in the face of the uncertain auto market environment.