Auto makers poised to tap rural market
- Source: Ce.cn
- [08:28 July 21 2009]
- Comments
By Wang Weiwei
The "Auto Go-countryside" policy and detailed rules have been issued and implemented for a couple of months. Looking at the statistic data from China Association of Automobile Manufacturers, vehicle types listed in "Auto Go-countryside" had a great increase in sales volume in the first five months. The active effect of the policy could also be felt from the feedback of automobile enterprises and distributors.
The growth of vehicle sales volume in rural auto market is ecstatic, what's more important, with the driving of "Auto Go-countryside" policy, automobile enterprises make arrangements and develop rural market more carefully, and have long-term thinking of the huge market potential. Just like what the most enterprises have mentioned, the launch of "Auto Go-countryside" policy has provided a good opportunity for them.
For the rural consumers, price remains to be the dominant factor of their vehicle purchase decision. The subsidy policy of "Auto Go-countryside" just grasped the principal contradiction. The subsidy policy mobilized the potential initiation of peasants to buy vehicles, and also let automobile enterprises see the huge market opportunities. Improving products, accelerating channel building and reinforcing promotion have become the first choice of most automobile enterprises.
For example, Chery launched its sub-brand "Karry" this January, which primarily includes cargo passenger vehicles and is targeted at county, township and village market. Although it is a successor, Chery is fully confident. Wuling GM Shanghai and Chana Automobile, with solid base in rural market, are going full steam ahead and holding the development opportunities firmly.
Wuling Shanghai Qingdao and Liuzhou factory are speeding up production to ensure the market supply, and at the same time, they put forward such promotion policies as providing old users with free-test and new users with service voucher.
Before the launch of "Auto Go-countryside" policy, Chana Automobile had started promotion activities in rural market at the first at the year beginning by means of price subsidy and maintenance service. In the end of May, Chana declared that it would base on county and it would by the end of the year build 10,000 county networks all over the country, open 1400 mobile service lines, and conduct cruising service and emergency service.
"To make Yuejin village rich", an activity latest launched by Yuejin Light Truck, had furthered the concept of fostering rural market. "Only by helping peasants to increase revenue and improve their purchasing power fundamentally, could auto go-countryside not become a one-time deal", said Zhou Keng, Deputy General Manager of Nanjing Iveco Motor Co., Ltd.
Therefore, Nanjing Iveco started the activity named "make Yuejin village rich". It hopes that the old users of Yuejin could pass their experiences of getting rich to new users and help and guide new users to become well off quickly. It hopes to provide the farmers with total solutions of getting rich by using light truck and create "platformization" auto go-countryside new mode.
The activity "To make Yuejin village rich" takes a typical user as an example, centers on a regional distributor, and takes a business representative of the distributor as the tie, it covers independent administrative area (not bigger than township) or relatively independent transportation market (village level in northern areas and transportation market level in southern areas) with at least 20 Yuejin users.
Yuejin village is a platform for spreading policy, brand and activity information, a mobile sales service network, a space for interactive communication of Yuejin users, and a base of helping peasants and making them become rich.
