Four-tier cities have become a development hotspot or a new lever to shake the auto market

With the introduction of a “restricted purchase order” in Guangzhou, it is an indisputable fact that all purchases in the North, Shanghai, and Guangdong have been suspended. The “Sword of Damocles” hanging above the automobile market seems to be even more shaky. In the car's purchase of "follow the trend" concerns, consumers in some places have become "restricted purchase" as "purchase", will be ahead of the car purchase plan.

Faced with the increasingly severe market environment in the first-line market, various car companies are targeting the third and fourth-tier markets have to make moves, hoping to seize this blue ocean market in the highlands. With the release of consumer potential in third and fourth tier cities and changes in consumer attitudes, the “internal and diplomatic” three- and four-tier market is expected to become a new lever to shake up the auto market.

Three or four lines into development hot spots

According to the China Automobile Industry Association’s recently released 2012 automotive market forecast report, if the macro economy improves in the second half of the year, the annual auto sales volume is expected to reach about 20 million vehicles, with a growth rate of about 8%. Compared with the growth rate of 7.08% in the passenger car market in the first half of the year, the forecast is optimistic, but it is not true for practitioners.

Since the auto market began in 2010, low-speed growth has continued to this day, macroeconomic turmoil and intensified first-tier urban congestion have caused people to continue to see declines in the growth rate of the auto market. Many companies have been disarrayed despite expectations.

Su Bo, deputy director of the Ministry of Industry and Information Technology, pointed out: "China's auto industry will not continue its explosive growth in the next 10 years, but the third-tier cities and rural markets will ensure a stable growth of the auto industry in the next 10 years or more." .

It can be seen that the domestic third and fourth tier cities will become the focus of competition in the future market of various auto brands.

The "gold rush" or "tree planting"

Huge development opportunities are already in sight, and for car companies, how to tap the potential of the third and fourth line market has become the primary issue. At present, the deep plowing of third- and fourth-tier markets by car companies is more in the “gold rush” phase and they hope to increase market share through local marketing practices. However, the third and fourth tier cities are different from the first and second tier cities in terms of economic development and consumption.

On the one hand, the traditional 4S store model has a high risk of investment in the third- and fourth-tier markets. On the other hand, the concept of consumption in the third and fourth tier cities is in the process of transformation. In the past, many people believed that most consumers in the third and fourth tier cities did not pursue “good cars”. They only liked those who were lean, low-cost, and cheap. Car. Today, such consumption characteristics are gradually disappearing. Facing the market in the development period, blindly “gold rushing” is obviously not conducive to long-term development. Dongfeng Nissan, which has always been good at innovation, has used the elite wealth-creating strategy to provide new ideas for the development of third and fourth tier markets.

The elite creation strategy is a new channel development model for Dongfeng Nissan to recruit wealth-creating elites for the entire society and the entire industry. In the strategy of creating wealth for the elite, Dongfeng Nissan will serve as an angel investor, helping the wealth-creating elite realize their dream of starting a business. Specifically, it means that Dongfeng Nissan will cooperate with the wealth-creating elite and set up a Dongfeng Nissan “Elite Store” with official brand authorization, making it the dealer of all products of Dongfeng Nissan’s products, making the elite’s dream of creating wealth. The reality is closer.

The launch of Dongfeng Nissan’s elite wealth creation strategy has provided new ideas for resolving talent issues and sales and service issues in the regional market. The brand-new model of "elite store" solves the problems of developing outlets in third and fourth-tier cities, and at the same time attracts talents to return to third- and fourth-tier cities. It can be said that it has planted a tree of hope for the third- and fourth-tier markets.

Create a win-win model

"As a leading company in China's automotive industry, Dongfeng Nissan has always hailed the industry as 'leading half step and dare to be the best in the world'. We are willing to be a 'pioneer army' to lead and promote innovation in the industry with innovation from Dongfeng Nissan. We have explored and tried to break through the channel model with our strengths and capabilities, and injected new strength into the next decade of prosperity for the Chinese automotive industry,” said Yang Lan, deputy head of sales of Dongfeng Nissan.

As this remarks, after entering the year 2012, Dongfeng Nissan accelerated the pace of advancement, and implemented the “Baicheng City doubling” and “majority system” measures to promote the development of the regional market, and achieved remarkable results.

Yang Lan pointed out that “100 cities in the 100-fold project are all three or four-tier cities. Their absolute volume accounted for 1/3 of the national total last year. Dongfeng Nissan is expected to increase by 200,000 vehicles this year, from January to May. The growth of these 100 cities accounts for about 65% of the country's total, which is equivalent to 1/3 of the inventory driving nearly two-thirds of the increase, and the project is expected to bring us a greater increase in the second half of the year."

It is not difficult to see that in the face of a micro-growth auto market, the entire automobile industry is accelerating into the third and fourth tier cities. We hope that under the leadership of the elite wealth-creation strategy, we can provide more development ideas for more companies and jointly build a forest for the development of the third- and fourth-line automobile market, so that the third- and fourth-tier cities will truly become the new leverage leveraging the auto market.