On the eve of the two sessions of the National People's Congress, people began to focus more on the planning for the revitalization of various industries. For the Chinese economy to "preserve growth and promote development", it will be the most immediate effect. The “Automobile Adjustment and Rejuvenation Plan†is the most concerned about “cars going to the countrysideâ€. From March 1 to December 31, 2009, the state arranged a total of RMB 5 billion to buy three-wheeled vehicles and low-speed trucks for peasants to buy light vehicles. A one-time financial subsidy is provided for trucks and minibuses with a displacement of less than 1.3 liters. According to analysis by the automotive industry, the “car to the countryside†policy will at least drive 1 million automobile consumption within this year.
However, whether the top-down “down the mountain to the countryside†campaign will be as beautiful as it looks. In the actual operation, what problems have companies encountered? Or let us go with the "China Business" reporter to experience it.
Policy articles
There are four problems to be solved in the “Going to the Countryside†Rules
An agricultural tricycle full of empty oil barrels quickly passed through the South Second Ring Road of Baoding City. The staff of the Great Wall Motors who witnessed this scene can not help but mutter: “This is the car that farmers need.†What car do the farmers need? What kind of car is needed in rural areas? The “Vehicle Industry Revitalization Plan†that was launched on January 14 did not explicitly reply; the “Cars Going to the Countryside†rules that were already in full swing were repeatedly introduced.
Suspense 1: How much is the subsidy?
“We just participated in the discussion. You still asked the Ministry of Finance.†“We are not aware of this.†Both the Ministry of Industry and Information Technology and the China Association of Automobile Manufacturers have given the results to the Ministry of Finance. The Ministry of Finance’s reply is also very clear. “After the rules have come out, they are all clear.†In the winter of the auto market, the introduction of “Planning†is not unlike the warm spring breeze. For a time, the prediction that RMB 5 billion will instigate 1 million rural markets and will boost the growth rate of more than 10% of the auto market in 2009 will quickly spread to the private and car industries. After a good fight, the reality is in front of us. Perhaps the 13% subsidy rate for “Home Appliances to the Countryside†starting at the end of 2007 can be used as a reference. Therefore, based on this, some people calculated the “car to the countryside†according to the current market price frame for light commercial vehicles and minivans. The subsidy rate should also be between 10% and 13%. However, the issue is now before the Ministry of Finance. More than one year of "Home Appliances Going to the Countryside" project has been implemented, and a total of 5 million home appliances have been sold. As a result, the central government has used nearly 10 billion yuan (local financial support of nearly 2 billion yuan) for this purpose. . At present, there are two kinds of loud voices in the subsidy program: one is the subsidy amount of about 3,000 yuan per vehicle, and the other is that the subsidy per vehicle is not expected to exceed 10%. Unless the Treasury Department is determined to “use the most aggressive fiscal policiesâ€, the subsidy used in 2009 for the car to the countryside can only be a stone thrown into the sea.
Suspense II: Policy Promotion?
“If there are loopholes in the subsidy and details, etc., we cannot finally obtain concrete benefits for the farmers, but ultimately allow some of the benefits to be obtained. This is certainly contrary to the original intention of the government to introduce policies.†Xinhuaxin International Information Consulting ( (Beijing) Co., Ltd. deputy general manager Lang Xuehong is quick and quick. According to sources, the government will use the bidding method to determine "qualified" companies and products for the purpose of ensuring the interests of rural consumers. This can not help but think of the new type of "rent-seeking" derived from home appliances to the countryside. Since the “access†system was set up in the home appliances market, it actually provided home appliance manufacturers with the opportunity to “rentâ€, that is, “dumping†inventory products and products above the market retail price to the rural market. Compared with home appliances, automotive products are more involved, not only involving vehicle safety and reliability, but also extending to after-sales service, maintenance and repair. At the same time, the rural market is far less competitive than the urban counterparts, which makes it possible for car dealers to have a single voice. After the vehicle purchase tax was halved on January 20, it is inevitable that car dealers will raise prices in unison.
Suspense three: local protection?
Shortly after February, the first document for 2009 titled “Several Opinions on Promoting the Steady and Rapid Development of Industrial Enterprises†in Hunan Province was placed in the name of Li Jianxin, Chairman of Changfeng Auto (7.70, -0.86, -10.05%). Desk. In this document, the Hunan Provincial Government has incorporated local passenger vehicles into government procurement sequences to encourage preferential procurement. Before this, Hunan's auto pilot work in the countryside was started in Changsha County. Today, more than 30 peasant consumers ordered Changfeng Cheetah pickup trucks and multi-function cars. Li Jianxin said, “provincial cars are not a local protectionism, because our provincial cars are in the same kind of products, either nationally or internationally, and they are competitive.†However, Changfeng defended this movement. At the same time, other local governments have successively introduced the "priority purchase of local products" policy, which has also made some companies uncomfortable. Changchun City, Jilin Province has recently issued documents to support local enterprises, such as encouraging government procurement and the purchase of vehicles and scrapping of new vehicles by counties (cities) and districts. FAW Group's products are the preferred standard for new purchases of FAW products and fall within the city of Changchun. The user of the membership is exempted from the new automobile inspection fee and verification fee. Will the automobile-to-country policy form a new round of local protectionism? At least from the current point of view, Hubei Province, Anhui Province and other provinces have introduced "conservation growth" documents, but also have priority to purchase the content of the province's cars.
Suspense IV: Abandon the car?
In January 14th, the “Industrial Revitalization Plan†only mentioned the subsidy for the replacement of agricultural vehicles and micro-customers with a displacement of 1.3 liters. This made the sales boss of a self-owned car manufacturer who only produces cars a big disappointment. “Beijing (referred to as the competent authority) also sent people to seek our opinions, but now it seems hopeless.†Cars go to the countryside, light commercial vehicles and minivans duty-bound. According to the sales figures for 2008, the most profitable light truck manufacturers will be Futian Automobile (8.62, 0.00, 0.00%), Dongfeng Motor (3.74, -0.40, -9.66%), and JAC (3.92, -0.44, -10.09). %) The biggest micro-card manufacturers that benefited were Changan Automobile (6.44, -0.71, -9.93%), SAIC-GM-Wuling, and Chongqing Lifan. It is an undeniable fact that most of these vehicles with more than 10 million possessions are used for agricultural production, that is, they are used as production materials. The essence of autos going to the countryside is to encourage consumption. If the micro-cars are excluded, they will not only deviate from the policy intention, but will also fail to achieve the implied purpose of stimulating the rural market to revitalize its own brand and adjust its industrial structure (developing small-displacement cars).
where is the road?
During this time, 58-year-old Li Yihui felt quite faceful.
Although his tender green QQ can only stop at a distance of 500 meters away, on the dirt road near the mouth of the village mouth, but with this car, his distance from the home to Shiquan county was shortened to about an hour and a half. Previously, sitting next to Lao Wang's family, the "three-sisters", all the way to dust, but also took three or four hours, to the county is a gray head.
Dongshahe Village, Zhongchi Township, Shiquan County, Shaanxi Province, about four hours by train, one and a half hours by car and thirty minutes walk from Xi’an City, is a mountain pass that faces the river on three sides. Right now, only Li Yihui and his wife are working at home. His two children have already gone out of the mountains and are admitted to Xi'an's key universities. Half a year ago, the daughter who had graduated from the university for more than three years proposed to make money to buy a car at home. Li Yihui said that people in the village had already bought Jetta and Changan Stars. So at a trade fair in Shiquan County, they took a Chery QQ with a starting salary of 30,000 yuan. "Now the family has money. Everyone has the idea of ​​buying a car."
According to relevant statistics, there is a gap of about 10 years between the economic development of rural areas and cities in China. In 2007, the final consumption expenditure of rural GDP was about 2.3 trillion yuan, roughly equivalent to the level of the city in 1997; the per capita net income of rural households was 4,100 yuan, roughly equivalent to the level of disposable income of urban residents in 1995. If the urban automobile consumption has been in full swing, then China's rural automobile consumption is just at the initial stage.
As the introduction of automobile-to-country policies has further driven the demand for cars in rural areas, Li Yihui said that there are many “new faces†in Shiquan County. Dongfeng Pan’an, Chang’an Star, SAIC-GM-Wuling, and Chongqing Lifan are all engaged in “ "The countryside tour", during which there are also many people in the same village to ask him the performance of QQ.
However, compared with home appliances to the countryside, the automotive industry is facing greater challenges, such as road issues, supporting services and so on. Li said that there is still more than half an hour's drive from the next national road to the entrance of the village. It was almost all dirt roads. Once there was a heavy rain, QQ had extinguished the fire in the mud pit and had to be dragged to Shiquan County for repairs by the tractors in the village. And since there are no regular car sales in the county, most of the time they are helping a knowledgeable friend.
"However, there are cars that are better than no cars," said Li Yihui. The state's policy of encouraging cars to go to the countryside is a good thing to benefit the people. He often dreams of driving a car to his doorstep.
SAIC-GM-Wuling: Refused to Advance
Infrastructure support does not follow how to do?
SAIC-GM-Wuling’s strategy for going to the countryside may seem conservative. However, in the eyes of enterprises, some problems have not been solved. At present, many rural roads are not suitable for micro-vehicle sales. Before the relevant basic supporting measures are introduced, there are still problems in how to really open the rural market.
On February 24, when the northern region warmed up, the temperature in Liuzhou, which had just entered the spring, quickly rose to 30°C. However, in the factory of SAIC-GM-Wuling, there was no imaginative scene of swiftness and enthusiasm caused by good policy stimulus.
SAIC-GM-Wuling General Manager Shenyang, because of the internal meeting’s relationship, “had come lateâ€. He explained to the “China Business†reporter that recently he frequently participated in the car-to-township policy seminar and continued to interview the media. , Continuously adjust the market strategy under the policy factors. "However, this circle has been busy and my understanding of the policy has gradually turned calm from the beginning of excitement."
In Shenyang's view, the automobile-to-country policy will not cause drastic changes in the mini-vehicle market. It is precisely because of this that the Wuling people are prepared to choose to use flexible methods to refuse to advance.
“This is a production line that was opened just three days ago. It was shut down due to relatively low efficiency. Now that the car-to-country policy is in sight, we are relaunching it to deal with new sales.†General assembly plant in SAIC-GM-Wuling East District The person in charge, Mr. Huang, told the China Business News reporter with a proud face.
According to Huang, the newly-opened production line is currently undergoing only a one-shift production process, with a daily production volume of approximately 200 vehicles. It will be decided whether the two-shift or even three-shift system will be implemented when the future policy is favorable. "If the 'full horsepower' is started, the production capacity of this production line will reach more than 600 vehicles per day, which is more than 200,000 vehicles a year. In forecast, this will be sufficient to cope with the new sales volume brought by the policy."
“SAIC-GM-Wuling sold 650,000 vehicles in 2008, a year-on-year increase of 7%, of which micro-car sales accounted for nearly 94%.†Shenyang told reporters, “We believe that the sales of SAIC-GM-Wuling will increase by 10% About %, that is to say total sales can reach more than 700,000."
In fact, the forecast given by Shenyang is relatively conservative. Because there was no policy expectation in early 2009, SAIC-GM-Wuling’s sales target for 2009 was already 700,000 units. Shenyang smiled and said: "We don't want to put too much pressure on the sales team." And Mr. Huang's argument is: "We don't advance, we still have to run in small steps."
In fact, when the policy was first started to solicit opinions from enterprises, Shenyang was really excited. “At that time, micro-vehicles were considered to be in the subdivided areas of the Chinese automotive market and they finally received attention. Its market will also be amplified by the arrival of policies.†But after calm analysis, Shenyang believes that the ultimate goal of the policy It is not to increase the sales of mini vehicles, but to increase the confidence of the entire automotive industry.
Referring to the subsidy standard of the "Home Appliances to the Countryside" policy, the industry generally believes that the subsidy rate for the "car to the countryside" policy is about 10% of the vehicle price. Calculated at the current price of 30,000 to 50,000 yuan for each mini-vehicle, the industry generally believes that the 5 billion yuan in financial subsidies will drive about 1.5 million to 1.6 million micro-car consumption. In 2008, the sales volume of the micro-vehicle industry has already reached 1.3 million, and the new 200,000 to 300,000 units under the policy has been allocated to companies such as SAIC-GM-Wuling, Chang'an, Changhe, and other manufacturers of micro-vehicles. There is actually not much to say.
Shenyang said that since 2004, we have focused on attacking the second and third tiers as well as the rural market. In recent years, we have gained a share of leadership while also found some problems. “Mini-vehicle consumption is mostly achieved through user word-of-mouth communication. If there are some key issues in the product, the impact will be extremely large. After all, the market capacity is limited. We don’t want to be the second Sanlu.â€
“In recent years, SAIC-GM-Wuling’s number of dealership stores has remained stable. There are now a total of 1,006 sales outlets, including 4S stores and their established sales branches.†Yang Jie, SAIC’s Wuling Markets and Network Director, told the “China Business News†“Reporter, there is currently no special amendment to the channel based on the “car to the countryside†policy, but only adjustments. “SAIC-GM-Wuling has been doing network construction at the county level. At present, the average county-level coverage of our network has reached 30%, that is to say, 3 counties in 10 counties have our sales stores, and this figure has reached 50% or even 60% in developed regions. According to Yang Jie, these county-level networks are all 4S stores. The dealers built their own investment as needed.
“In the future, we hope that the service system will gradually infiltrate into county-level or even lower-level sales outlets.†Yang Jie said that next step, SAIC-GM-Wuling is ready to issue free vouchers to rural users for maintenance that they did not care about before. In the field of maintenance, SAIC-GM-Wuling has completely taken root in rural areas.
Changan Automobile: Hundred Regiments Offensive
What can I do if I can't provide satisfactory service?
Micro-vehicles go to the countryside in addition to the auto companies' own efforts, but also closely related to the rural road construction, service network and other factors. In remote rural areas, how microcar companies provide services to users is also a difficult problem. The slogan shouted louder again, and the peasant brothers would not vote for their high quality service.
Running large clients, engaging in exhibitions, and building networks, the Pakistani man of the Northwest China has never been so busy. “As long as business policies are in place, we have confidence to go back to the steps.†On February 24th, Changan Automobile (000625) sales service Ba Luliang, the deputy general manager of the Xinjiang Region of the Western Region, was full of expectations for the mini-vehicle to the countryside.
On December 21, 2008, after Premier Wen Jiabao visited Changan Automobile, Chang'an Automobile took the lead in offensives in the micro-vehicle field. Once Chang’an Automobile, which was once seized by SAIC-GM-Wuling, intended to perform “The Return of the Kingâ€.
Xu Liuping, who has studied quite a lot of martial arts novels, is well aware of "one step ahead and one step ahead." When Premier Wen Jiabao visited Chang’an, the Chang’an Marshal lost no time in proposing a micro-car to the countryside. After Premier Wen Jiabao’s approval, Xu Liuping immediately began preparations for the mini vehicle to go to the countryside.
On January 14, the meeting of the State Council reviewed and approved in principle the "Reinvention Plan for the Automotive Industry." Changan Automobile immediately threw out a well-prepared "Winning the Rural" plan. Changan proposed a subsidy program: "Changan micro-vehicle subsidy" program. The plan gives the purchase of Chang'an mini-car consumers a limited time limit of 2000 to 5,000 yuan. "China Business" reporter learned that the current plan will be implemented until March 30, so that before the national policy came out on March 1, Changan can achieve a seamless connection. This investment also substantially promoted Changan mini vehicle sales to increase by more than 30% in January.
Not only that, Chang’an also explored another blue ocean. Before the car went to the countryside, home appliances and motorcycles have been approved. At this time, Changan Automobile’s old partner, Jiangsu Sunyu Group, is launching activities such as home appliances to the countryside to target the new rural market. Chang’an quickly felt the demand from Jiangsu Solar Rain Group and quickly reached 10,000 micro-cars with the solar rain group. Sales agreement.
The support of the brawny brothers is to make Changan Automobile taste the taste of happiness. On February 17, Changle Automobile Chairman Xu Liuping held a strategic promotion summit with the Jiaan, Jianshe, Jinan Qingqi, Yamaha, and Luobei enterprises. At this strategic summit, it was determined that Changan Automobile tailored tens of thousands of micro-vehicles for the five motorcycle brands owned by the CNG Group as a vehicle for the promotion and service of county-level networks after the motorcycles went to the countryside.
“To further expand market share, business policies and network construction are very important.†Ba Zeliang, who had been in Xinjiang for more than two years, said. In fact, Chang’an Automobile has not been as aggressive as dealers’ business policies in the past few years. A person from Changan Automobile disclosed that: “The sales of Changan mini-vehicles have not made much money in the past few years, and many dealers are under great pressure.†Analysis by industry insiders, after 2004, Chang’an Automobile Co., Ltd. “mainly focuses on mini vehiclesâ€. After the transfer of "based on sedan and micro-based", it directly affected the mini-vehicle business. With the shift of focus, the construction of the mini-vehicle network has also fallen into a relatively stagnant state, which has directly caused SAIC-GM-Wuling to surpass Chang’an in 2006.
Due to the special nature of the rural market, services must be as much as possible to meet the needs of users. In this regard, Changan Automobile related sources revealed that when the product goes to rural areas, Changan strives to build 1,000 "Changan affection homes" on the basis of more than 1,260 service outlets in 2009 to facilitate user maintenance.
It is reported that Changan Automobile (6.44, -0.71, -9.93%) proposed to establish a service network in each township in the country within three years to resolve 35,000 township and township services in order to regain the lost throne. Of course, Aijian Securities Longchun also questioned: "Changan Automobile has a relatively low profitability. If the network and service system are built on a large scale, can its own funds support it?" For these questions, Changan Automobile is not Willing to explain too much, perhaps the infinite temptation of the rural market has already blinded all car companies. When happiness is too sudden, not everyone can stay awake.
JAC (3.92, -0.44, -10.09%): "Self-operative" to the countryside
How to do if the replacement model price increases? On July 1, 2008, the National III emission standards were formally implemented in China. Among them, N1 products for light trucks (with vehicle quality below 3.5 tons and vehicle length not exceeding 6 meters) were extended for one year starting from July 1, 2009. Implementing State III standards. If the price of the entire vehicle is to be increased by more than 10,000 yuan due to product upgrades, how will the farmers bear?
Although Shenqiu County of Henan Province has a critical border with Anhui Province, driving in the past was also bumpy for four or five hours. The Cui Yizhang, Minister of Marketing of Anhui Jianghuai Automobile Co., Ltd. (hereinafter referred to as Jianghuai Automobile Co., Ltd.) has just rushed to investigate and come back with joy and worry.
Among the many county-level districts in Zhoukou City, Shen Qiu has a population of more than 1 million, ranking 10th. Shen Qiu, once a poverty-stricken county, jumped into the ranks of the province's 10 fast-growing counties in the 2007 competition in the province. In 2008, the county sold more than 1,000 commercial vehicles (including micro-cards). “We have seen that the rural market is still very big. We just want to extend the sales from the central city to the development of the second-third or even the fourth-level market.†Cui said with emotion.
Jianghuai Automobile has already chosen a good location in Shenqiu County. At present, a store similar to the “car supermarket†is under construction. It will sell all of JAC’s products (including heavy trucks, light trucks, cars, passenger cars, etc.), which are expected to include leasing and decoration. Less than 100,000 yuan a year.
"The funds are invested by ourselves. We will also send a manager from JAC to management. According to the actual situation in the local area, we will choose to display several models that the market needs. This is a new attempt." Choi said that the first batch of Jianghuai Automobiles In the 11 provinces of Henan, Hebei, Shandong, Hunan, Hubei and Jiangsu, 50 county-level regions were selected as pilot sites. If the promotion is successful, Jianghuai Automobile will extend this model to 200 counties.
In 2007, Jianghuai Automobile put forward strategies such as “network sinking†and “getting closer to the countryside†for sales, and asked dealers in the center area to develop automobile sales to county-level cities, but encountered some problems. The consumption capacity of county and township-level areas is not large. Dealers face the pressure of operating costs. Some dealers have made it clear that there is no way to operate in the “underneath†for a long time. Who will lose compensation?
This year, Jianghuai Automotive has rethought about how to solve the problem of dealers' operating costs and adopted an alternative approach. "Car supermarket" is funded by Jianghuai Automobile. Dealers can go to supermarkets to display and sell cars. The management costs are also shared by manufacturers and distributors. Cui Yizhang said that they can publicize through trade fairs, wall advertisements, horn broadcasts, etc. As long as they are suitable for farmers, we can all take it. “By doing so, the cost of propaganda is also very low.†If we calculate roughly, if we build 50 pilots One pilot rented 100,000 yuan. This time, Jianghuai Automobile also spent 5 million yuan.
Since February, Cui Yizhang has passed nearly 10 counties and realized the bottleneck that the car really has to “go to the countrysideâ€. “Currently, in the county and township, there is no license plate for the car. If the peasants buy a car, they must drive the car to the nearest city to get a license.†Choi said with a little helplessness.
The other thing that puzzled him was that in rural areas, there were very few cars that could meet Euro II standards, basically Euro 1 or even Euro 0. “After July 2009, the state will implement the Euro III standard for light-emissions, which means that the price of each light truck will increase, and how the farmers’ spending power will bear.â€
After the implementation of the National III emission standards, domestic automobile enterprises have successively introduced the National III products and at the same time increased the price of the models. In 2008, there were dealers who said that due to price increase, actual sales were not ideal. Taking Jianghuai Automobile as an example, the cost of the engine is upgraded to China III's light truck, and the cost of the engine is about RMB 10,000 more than that of Euro II. In other words, the price of the entire vehicle must be increased by at least RMB 10,000. "If the country does not give subsidies to rural areas if it is in terms of environmental protection, then rural cars cannot be fundamentally upgraded," said Cui.
Dongfeng Junan: "Magic Action"
What is the difference between the development of the various villages and towns? Dongfeng Junan found that the economic development in urban and rural areas in each region is unbalanced, and the policy of car-to-country does not implement specific “subsidy at different levels†according to specific township development conditions. Xia Fangguo believes that “rich rural market subsidies are 20%, and poor townships are subsidized by 30% in order to ensure the direction of the policy.â€
Relying on the coverage of nearly 800 domestic service networks and more than 90% of prefecture-level cities in the country, Dongfeng Luan Automobile Co., Ltd. (hereinafter referred to as “Dongfeng Luanâ€) has already formed the layout of microcars to the countryside.
However, in the actual operation of the network layout, due to the immaturity of the township and township markets, Dongfeng Junan's outlets in rural market segments may still rely on existing commercial circulation areas in the integrated township and wholesale markets.
"From February 21st to June 20th 2009, we planned an event named '2009 Magic Action'. Xia Fangguo, manager of Dongfeng Chun'an Guang'an Propaganda Department, who is busy with the next large-scale parade exhibition, told China Business newspaper reporter. The goal of Dongfeng Junan is to strive to realize the "fixed-point zone" for the countryside and reach the "thousand-county town." At present, Dongfeng Junan is doing some preliminary preparation work. “After the formal implementation of the car-to-country policy, our outlets will be formally implemented.â€
According to reports, Dongfeng Xiaoan K07II is the main model of Dongfeng Pan’s “Downtownâ€. The car's "large space and low cost of use" is very much in line with the needs of the rural market.
In this car to the countryside, the Dongfeng Panan model adopted the "subsidy, vouchers" measures, the overall model of the preferential range of 5,000 to 8,000 yuan. For example, the main model Dongfeng Xiaokang K07II market price is 38,888 yuan, in the "car to the countryside", the farmer friends will enjoy a preferential subsidy of around 3,000 yuan, in addition will be provided with around 1,000 yuan for accessories vouchers, maintenance of work-time fees 3,000 yuan, etc. The final sale price to the farmers is about 300 million yuan.
It is understood that the main points of this countryside laid by Dongfeng Luan are mainly in Shandong, Hebei, Henan, Guangdong, Zhejiang, Chongqing, Sichuan, and Yunnan. “From February 20, 2009, Dongfeng Junan has already begun. We will provide relevant training for sales outlets in major regions, and send relevant personnel to the local authorities for supervision and implementation."
In fact, although Dongfeng Pan’an’s share in the micro-vehicle market has already accounted for about 8% to 9%, the sales outlets closest to the rural market are still located in prefecture-level cities. Because of this, Dongfeng Junan is currently expanding the expansion of rural sales outlets, in the township-level market mainly rely on integrated markets and wholesale markets.
“Although relying on the rural comprehensive market to facilitate the construction of outlets, one problem encountered is that a single brand cannot achieve the effect of a store. If brands such as Chang’an and Wuling are gone, it will create an atmosphere that is more conducive to the formation of stores. An insider of Dongfeng Chunan said. In addition, in the construction of corresponding maintenance service outlets, Dongfeng Junan is also currently stepping up its expansion efforts. “Our goal is to strive for a maintenance network within 100 kilometers,†said Xia Fangguo.
“However, in the specific implementation process, we have also found a problem. The economic development of urban and rural areas in each region is unbalanced. For example, the level of economic development in urban and rural areas in Jiangsu and Zhejiang is lower than that in Shandong, but the policy of automobile to the countryside is not based on specific The development of the township and township adopts specific sub-level subsidies,†said Xia Fangguo. “For example, the subsidy for the wealthy township market is 20%, and for poor townships, it is subsidized by 30% in order to ensure the direction of the policy.â€
Another problem is that the outlets of some counties and towns have not yet been formed. At present, more outlets have remained in prefecture-level cities. “In our actual investigation process, there are more outlets in prefecture-level cities, and there will be more choices for rural car buyers.†The small-scale automobile comprehensive market in the rural market is currently unable to transfer such selling points.
"There is no time to go to townships to go to townships. This point also requires more time and process." Xia Fangguo said that the existing policies for car-to-country affairs can only play a role in stimulating farmers' consumption, and realizing the car to the countryside. It is still too early.
Teng Bole, Secretary General of the Advisory Committee of the China Association of Automobile Manufacturers, also expressed the same opinion. “Cars go to the countryside†is definitely a good policy for the people. However, no matter what specific regulations are in place, there is inevitably a three-agricultural market. The cultivation process, "One is the issue of the three farmers' own demand, and the other is whether the company can take the alternative models of agricultural vehicles such as tricycles and low-speed vehicles that are currently popular in the rural market."
Lifan Motorcycle: Spring Story
What should I do if I don't have a marketable product? It is not that easy for farmers to save money to buy motorcycles. They will put forward quite high demands on the cost-effectiveness and practicality of motorcycles. Now, motorcycle companies are hurrying to design products that are suitable for the rural market and expanding the functions of motorcycles according to the characteristics of rural areas. These are all beneficial attempts.
Yin Mingshan, the 71-year-old chairman of Lifan Group, breathed a sigh of relief and spent a full 15 days. Yin Mingshan and his 80-odd subordinates compiled 14 volumes and had more than 5,000 pages of "motorcycle going to the countryside" tender documents. .
On February 24, the tired old man stroking his hand gently to produce exquisite tenders told the “China Business†reporter: “To compile this bid, I have not left the office for five consecutive days and have spent two full nights! â€
However, these efforts are worth it! The life and death of the motorcycle industry is about to win vitality under the support of motorcycles to the countryside. Yin Mingshan, who also serves as the president of the China Motorcycle Trade Association, said: “When the motorcycle industry is struggling, the care of the party and the government has brought three positive effects: the benefits for the farmers, the market for the enterprises, and the government’s popularity among the people!â€
In December 2008, when Premier Wen Jiabao visited the Lifan Group, he encouraged motorbike companies to “fight the difficulties, go against the trend and innovate.†Yin Mingshan recalled the situation at the time: "Premier Wen explicitly told us that he will give policy support to enterprises and ask if companies would go to the countryside, what would the company do?"
In fact, the relatively vague promise of the Prime Minister soon was fulfilled in the form of a New Year's gift. The General Office of the State Council promulgated the "Opinions on Invigorating Circulation and Expanding Consumption" on December 31, 2008, and incorporated motorcycles into the subsidy range of the government in the countryside. Subsequently, the China Electronics Import and Export Corporation was entrusted by the Department of Economic Development of the Ministry of Finance and the General Affairs Department of the Ministry of Commerce to openly invite domestic public bidding for the “National Promotion of Home Appliances to Countryside Products (Motorcycle) Projectâ€. According to an official from the Ministry of Commerce, for the motorcycle products purchased by the local farmers in the implementation of the bid, the state finance will provide subsidy at a rate of 13% of the sales price of the products (up to a maximum of 650 yuan). It is reported that the state will continue to provide financial subsidies for motorcycles to the countryside for four consecutive years. The first-year subsidies are expected to exceed 4 billion yuan.
Yin Mingshan calculated an account: “Motorcycles are the products most needed by farmers besides color TV. The 650-yuan subsidy is a year's income for some farmers and will inevitably stimulate their consumption. It is expected that motorcycle products will at least be able to grow. 20%.†In order to “please†farmers, Lifan also started to manufacture some marketable products. "China Business" reporter saw Lifan's latest products, motorcycles are not just vehicles, but also according to the characteristics of rural areas with both pesticide spraying, pumping function.
Of course, after the introduction of the motorcycle-to-country policy, there are also second and third-tier motorcycle companies that are very nervous. They think that motorcycles will launch a new round of motorcycle knock-out matches in the countryside. The director of the Chongqing Motorcycle Research Institute said to the elite: "If the second and third tier companies can't be selected, their market will inevitably shrink further."
For the difficulties faced by the second and third tier companies, Yin Mingshan, who is the president of the China Motorcycle Trade Association, believes that during the revision of the tender text, they emphasized that the SMEs should be taken care of. The threshold for entry into the market is actually lower and lower, at least 80%. The above SMEs are eligible to bid. “If some second- and third-tier companies do not make finalists this year, they will still have to strive for the next year, but they must also prepare for OEM production for large-scale motorcycle companies. There are also 10 provinces (cities) in Guangdong, Shandong and other provinces that did not conduct tenders. There is also a vast space for these important markets."
Geely Automobile: Qianxian Qiandian
What if the sales staff has no experience? The risk of cars going to the countryside is uncontrollable. Some county-level dealers were either previously “slotted†or simply sold. In addition, there are many cases of non-compliance, counterfeit parts, and counterfeit brands.
Carnivals were given to new cars and firecrackers were fired for owners... Sun Minggang, manager of Geely Automobile Sales North China Region, suddenly became a folk expert. The southerner, who had been a regional manager from the grass-roots sales consultants, joined Geely’s growth and moved to the Shandong and Hebei markets. However, with the advancement of Geely's “Thousands of Thousand County Thousands of Stores†plan, frankly saying that he is not drinking much now, he may once again face the “alcohol†test.
According to the plan, before the end of June this year, Geely Automobile will complete the distribution of “Thousands of Thousand County Thousands of Storesâ€, that is, based on the current more than 500 sales outlets in Geely, and then increase in third- and fourth-tier cities (county-level administrative regions). 1,000 dealerships. At the same time, Geely also introduced a corresponding business policy to encourage the distributors in these county-level administrative regions.
In fact, this model of Geely relies to a large extent on its already-operated 4S stores, from each 4S store to the county-level administrative region to establish more than two directly-operated stores, in order to distinguish it from the original 4S model. Geely internally called this newly-built network “second network†and called the newly established direct-operated stores “small mini4S storesâ€. In order to encourage 4S stores to build their stores in county towns, Geely will provide additional rebates for vehicles sold in county-owned stores.
“There are about tens of millions of this plate (pointing to the dealer rebate point).†Liu Jinliang, general manager of Geely’s sales company, did not disclose the detailed amount, but according to the reporter’s understanding, the fee is at least 50 million yuan; With the subsidies from merchants, the total investment of Geely's “Thousands of Thousand County Thousands of Stores†plan is nearly 100 million yuan.
"Although there is no list of cars in the countryside in the "Industrial Revitalization Plan", it will still help cars." Liu Jinliang predicts that consumer upgrading will further stimulate the sales of cars in the rural market. This will become the key to the long-term plan of Geely.
Sun Minggang, who is far from the company's decision-making layer, may not be aware of the grand blueprint of the company. However, the company's proposal for the "1000 County Thousand Stores" program has indeed been inspired by his region. “The chairman (Li Shufu) may visit the Hebei market during the two sessions.†Geely insiders disclosed to reporters that the increase of more than 30% in the Hebei market last year was of great interest to Li Shufu. He decided to use the gap between the two parties to personally go and see.
In 2008, Hebei province, which is not Geely's traditional sales focus, sold more than 13,400 Geely vehicles, which was the result of the "one-for-one N" model that preceded the Hebei market.
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“æ¯ä¸ªåŸŽå¸‚éƒ½æ˜¯è¿™æ ·ï¼ŒåŸŽä¹¡ç»“åˆéƒ¨æ¯”市区(销售)好。â€å¦‚今，å‰åˆ©æŠŠè§¦è§’伸å‘了更低一级的县城，“今年我们争å–(在河北)å†æ高五å…个百分点。â€å™æ˜Žé’¢æˆ–许åˆè¦å¼€å§‹å–酒了。
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