Memorabilia of the Peugeot brand
1810: The Peugeot family established a steel foundry in France.
1820: Peugeot begins the business of metalworking (saws, tools, springs, etc.). In 1840, Peugeot introduced a grinder for salt and peppers, as well as an artisanal coffee machine. In 1850, Peugeot began producing women's petticoats.
1885: The experience of producing metal parts and frames led Armand Peugeot to start building bicycles and tricycles. The production plant was transferred to Beaulieu-Mandeure, where it is still the manufacturing plant for Peugeot motorcycles to this day.
1898: Armand Peugeot created the first moped by installing an engine on his bicycle. This makes Peugeot Motorcycles the oldest motorcycle brand in the world that is still in continuous operation.
50s of the 20th century: Peugeot Motorcycles develops the S55, a retro scooter that was an instant worldwide success upon its release.
1970: The Peugeot 103 is born, becoming a symbol of a generation's quest for freedom and liberation. At that time, the annual production capacity could reach 1 million units.
1983: Peugeot Motorcycles invented the world's first scooter with a plastic body.
1996: The world's first electric scooter came from the Peugeot motorcycle factory.
2006: Peugeot Motorcycles and Jinan Qingqi established a Chinese joint venture in Jinan, Shandong Province to supply motorcycle products to the international market and the Chinese market. Today, Peugeot Motorcycles has 200 car dealerships in China and more than 6,000 club members.
2023: Peugeot Motorcycles celebrates its 125th anniversary.
Today, Peugeot supplies cars, motorcycles and bicycles to global mobility, covering the two-, three- and four-wheeled segments. Compared to its well-known popularity in the automotive field, other categories don't seem to stand out. In fact, motorcycles are one of the earlier product lines of Peugeot, the oldest motorcycle brand in the world still in operation today.
In China, most people's perception of the term "Peugeot" is also more biased towards the automotive field, and less associated with motorcycles. Laurent Ogier, general manager of Jinan Qingqi Peugeot Motorcycle Co., Ltd., said that the main reason is that Peugeot motorcycles entered the Chinese market later than cars, and due to the differences in traffic management in various cities in China, some urban motorcycles are prohibited from driving in the city center. "The world of two-wheelers is very different from four-wheelers, and consumers who drive cars versus motorcycles are largely different types of customers. Therefore, while integrating into the overall business of the Peugeot Group, Peugeot Motorcycles is also trying to find a balance and create a unique visual identity to shape its brand image. The Peugeot Motorcycle brand shares the same values as Peugeot Cars, namely 'sportiness, beauty and texture'. At the same time, Peugeot motorcycles have their own style, strategy and vision. ”
In 2023, on the occasion of Peugeot Motorcycle's 125th anniversary, the brand has also changed its slogan to "An Ambition For Every Road", demonstrating its determination to become a global leader in the two-wheeler category.
From a differentiation point of view, what sets Peugeot motorcycles apart in particular is their style. It symbolizes the elegance and lifestyle of the French people and triggers emotional resonance with a unique design. Currently, Peugeot Motorcycle's brand ambassadors are French actors Audrey Flelot and Gregory Fitosi.
Reinventing the brand's cultural heritage: heritage and innovation in retro style
Creating new products by maintaining the spirit of a classic product is precisely the retro style that Peugeot Motorcycles has always practiced. TAKE, FOR EXAMPLE, A SCOOTER CALLED DJANGO (THE MODEL IS NAMED AFTER A FAMOUS GUITARIST) WHOSE DESIGN IS INSPIRED BY THE S55, A MOTORCYCLE LAUNCHED BY PEUGEOT IN THE 50S OF THE 20TH CENTURY. Although it is different from the previous ones, it still retains a retro style and classic charm. It sells well in the Chinese market and can be seen on the streets of many first-tier cities such as Beijing, Shanghai, Guangzhou and Shenzhen. AT THE ITALIAN INTERNATIONAL TWO-WHEELER EXHIBITION 2022 AND THE CHONGQING INTERNATIONAL MOTORCYCLE EXHIBITION 2023, DJANGO EVO WAS LAUNCHED, INTERPRETING ANOTHER MORE MODERN STYLE BASED ON DJANGO: MODERN RETRO.
2022 Italian International Two-Wheeler Exhibition
Chongqing International Motorcycle Exhibition 2023
WHEN DJANGO WAS FIRST INTRODUCED, THERE WERE FEW SUCH RETRO-STYLE MOTORCYCLES ON THE MARKET. In the past ten years, Peugeot Motorcycles is a unique brand in the Chinese market that pursues retro style, and has become the vane of retro products in China's motorcycle industry. However, since 2022, the situation has changed, and many manufacturers have jumped into the retro field and emulated DJANGO. "That's why we decided to launch a new vintage collection." Laurent Ogier explains to us. Another example is the 70s of the 20th century, a famous model of Peugeot motorcycles, the "Peugeot 103", came out and achieved great success, with an annual production of tens or millions of units. Recently, at the Lyon Motor Show in France, Peugeot Motorcycles launched a 103 concept scooter called SPX, which is an electric scooter designed based on the 103 style. The brand expects to start production of the model by the end of 2025. The model is still in the concept car phase and therefore does not represent its final design.
Competing brands and fashion trends are "rivals"
China is one of the toughest, most competitive, and most complex markets in the world. The main difficulties and challenges faced by Peugeot Motorcycles in China are not only the large number of international and local competitors, but also the rapid change of fashion trends, the changing habits of consumers, and traffic restrictions. Having lived in China for 16 years, Laurent Ogier is well versed in the culture and consumption habits of the region.
At present, his team size is about 300 people, who are responsible for production, sales, marketing, R&D, purchasing, etc., and are committed to meeting the needs of the Chinese market and export markets.
Laurent Ogier's impression is that Chinese consumers are not the same as those in other countries. They are passionate about lifestyle and look forward to experiencing something different and feeling different about the brand. Because of this, DJANGO is growing in popularity in China: it brings users a unique sense of freedom and romance, becomes a social tool and a partner for leisure and entertainment, and users can customize DJANGO motorcycles with their family or friends, DIY body colors, change the appearance to show their personality, and become a status label. Peugeot Motorcycles tries to convey a French romantic and freedom-seeking lifestyle through its products.
For Peugeot Motorcycles, it is a mandatory action to update the product once a year, including following certain trends and changing the vehicle to a new color to meet the fashion needs of the market. "LAST YEAR, WE LAUNCHED A SPORTIER DJANGO MODEL. It presents both a retro style and follows a modern design concept. We found that this car has performed well in the Chinese market and is very popular with consumers, especially the combination of orange and silver. ”
Consumers today are more likely to save than they were two years ago, which means businesses must be competitive in terms of price and features. Of course, it's also important to provide quality service. Laurent Ogier knows that the key is to feel and experience the customer through its products, and at the same time, to convey positive, positive values that make people feel dreamy, peaceful and happy. This kind of lifestyle advocacy is not something that can be easily achieved simply by adding product functionality or replacing plastic parts. "We are always in close contact with the market, distributors and customers to keep abreast of and respond to changes in management policies. Our distributors need to be highly sensitive and flexible in the market, and sometimes have to deal with store changes. Against this backdrop, we must maintain a constant focus on the market and be flexible in adjusting our business strategies. ”
Take the localization strategy to the extreme
At present, the sales department of Peugeot Motorcycle includes a customer relations team, a digital marketing team, a sales operation team, and an after-sales service team, with a total of about 30 people. Starting from this year, the position of customer relationship manager has been adjusted and added, and he is responsible for connecting with club members, and the more complete team is very consistent with the brand idea of providing value to customers.
In China, Peugeot Motorcycles has around 6,000 club members, who are the most active and loyal fans in the world, independent and actively involved in club activities. By meeting in person, gathering feedback, and understanding preferences, needs, and expectations, brands are able to refine or adjust their strategies to better meet needs. Every time there is a big marketing event or celebration, we try to invite club KOLs to attend to give them an insight into the inner workings of the brand and how it works. According to Laurent Ogier, Peugeot Motorcycles is developing its own CRM management application, aiming to create a community where club members can communicate, connect and organize events together, and plan to launch a mobile app in the summer of 2024 to better achieve this.
In production, supply chain, quality control and testing, Peugeot Motorcycles also strives to maximize local efficiency. In 2022, the brand set up a R&D center and launched a comprehensive cooperation with the French R&D headquarters. At the same time, in terms of market demand and product specifications, we have adhered to the localization strategy and launched a variety of limited editions with specific configurations and colors as well as special colors for the Chinese market. Breathe life into product updates with frequent iterations.
The Chinese market is the most critical strategic location for Peugeot motorcycles in the international market. In China, the main market for Peugeot motorcycles is first first-tier cities such as Beijing, Shanghai, Guangzhou and Shenzhen, accounting for about 20% of total sales, followed by economically developed provinces. "As a French brand, Peugeot Motorcycles is positioned at high-end products and users, and consumers in these markets usually have higher spending power and more active consumption concepts."
At present, Peugeot Motorcycles has more than 200 stores in China, covering China's major first-tier cities, provincial capitals and regional center cities, and has also established good cooperative relations with dealers in satellite cities around these cities. However, in third- and fourth-tier cities, although the current passenger flow is not ideal, there is great potential for future development, and it still needs continuous attention and intensive cultivation.
"Her" sea of stars: a rising female customer base
Feedback from dealers shows that the proportion of women buying Peugeot motorcycles is increasing year by year. In China, female motorcyclists are indeed more common than in Europe. In many cases, wives decide which model their husband buys, so it's not uncommon to hear customers say they bought a certain DJANGO because it was his wife's choice. In order to cater to the growing Chinese female customer base, Peugeot Motorcycles is actively developing more colors, and the two new colors launched in 2024 - mint green and star purple - have received an enthusiastic response from the market.
Most of the customer base belongs to emerging riders. To stand out in today's new economic and social environment, brands must pay close attention to the "voice of the customer", tailor their global campaigns to their needs, and carefully select the right influencers (KOLs) to deliver the right brand message.
The way China's younger generation consumes, browses and makes purchasing decisions is undergoing rapid and significant changes. With the development of social media platforms, the form of user-generated content is also changing, from the original text and image to the video-based. Even video content needs to be shortened to match the current Chinese users' preference for short video browsing habits, such as the popular short video format on platforms such as Douyin.
However, while pursuing short video traffic, brands still need to maintain the depth and professionalism of their content to satisfy those users who have in-depth knowledge of the motorcycle field and are eager to acquire more professional knowledge, so as to prevent traffic from drooling and brand generalization. For this purpose, Peugeot Motorcycles has produced a series of long videos focused on imparting vehicle knowledge and introducing the details of the vehicle. "We've found that videos of 10-30 seconds are the most engaging for viewers. In order to engage with users more effectively, we have made full use of multiple social media platforms, including Douyin, Xiaohongshu and WeChat, to establish official accounts to provide services. In addition, we have also set up a special service organization on the WeChat official account, aiming to provide users with more comprehensive information and strengthen after-sales service to continuously improve user satisfaction. ”
With the number of fans growing, Peugeot Motorcycle's digital strategy has paid off. When it comes to sales operations and marketing, KPIs are not only about numbers, but also about the quality of the content they provide. As a result, brands are paying more attention to optimizing their communication methods to get more valuable feedback. In fact, the key to success is to produce the right content with the right message, not simply the number of posts. In this way, the number of leads and the proportion of those leads that translate into actual purchase behavior can be more accurately measured.
Linkage brand cross-border to help competitive events
Collaborations with other well-known French brands are part of the Peugeot Group's marketing strategy. IN THE EARLY 80S OF THE 20TH CENTURY, PEUGEOT MOTORS WORKED WITH LACOSTE TO LAUNCH THE PEUGEOT 250S PASSENGER CAR. In 2014, Peugeot launched a limited edition of Peugeot cars and Peugeot motorcycles in conjunction with the famous Roland Garros Tennis Open in France. Establishing brand partnerships with various French brands or high-end brands is also a marketing method that Peugeot Motorcycles has used for many years. This not only provides customers with a unique product, but also brings them rich content, excellent service, and delightful emotions. At the same time, it will also enhance the value of the Peugeot Motorcycle Club members and benefit many parties. For example, on March 11, 2024, at Club Med at the foot of the Yulong Snow Mountain in Lijiang, Yunnan Province, the Peugeot Motorcycle XP400 and 2024 product launch were successfully held, which was a successful linkage and two-way journey between the two French brands. China is a market of opportunity, and many brands are looking for newer strategies and business models in different sectors. Therefore, we hope to achieve complementary advantages and common development together with co-brands through the establishment of rich partnerships. The French way of life and its unique charm are key factors in our quest to achieve synergies with our partners. Laurent Ogier explains.
Peugeot has closely followed the rapid development of motorsports events in China and has noticed a strong interest from Chinese consumers who are keen to explore new and exciting racing experiences. Races such as the Moto GP, F1 GP, E-F1 GP and Dakar China are the focus of Peugeot's attention and efforts.
Although it is not yet possible to set up a Peugeot museum in China like France, Peugeot Motorcycles still attaches great importance to the inheritance of culture. In recent years, Peugeot Motorcycles in China has been committed to collecting and sorting old photos, objects, stories and models of the brand, as well as sorting out Peugeot works from clubs and dealerships around the world. Through marketing activities, exhibitions, etc., these brands and motorcycle culture will be passed on. For example, on the occasion of the 60th anniversary of the establishment of Sino-French diplomatic relations, Peugeot Motorcycles and Alliance Francaise joined hands with the French Cultural Center (CCIFC) to launch the 2024 French Poetry Recitation Competition; During the French Industrial Exhibition held at the same time, Peugeot Motorcycles focused on the development history and innovative spirit of the brand, and introduced the history of French industrial development represented by Peugeot through physical objects, videos, pictures and exhibition panels, and interpreted the charm of Made in France boutique. Let Chinese users know more about the glorious success story of Peugeot motorcycles, and hope to promote such exhibitions to all parts of China.
postscript
Classic, nostalgic, stylish, adventurous, attitude, elegant, excellence. What Peugeot Motorcycle represents is never a certain spirit, but diversity and abundance. During the nearly two-hour conversation, the long history of the brand, wonderful marketing anecdotes, and flexible localization strategies revisited the classic leap of this French brand, all of which made people excited. While paying tribute, we sincerely hope that Peugeot Motorcycle, a century-old brand, can continue to be classic and innovative; This charming flower of France, in the tempering of the years, retains its personality and is renewed.
*Special thanks to Business & Investment Section of the Embassy of France in Beijing for its assistance and support for this interview