·Parts giants join hands in the aftermarket

The huge cakes that are growing in the automotive aftermarket are becoming more and more attractive, and the international auto parts giants are constantly fighting for them. On March 15, 2012, Delphi, Philips, Federal-Mogul and Tenneco, the world's top 100 auto parts giants, jointly held a large-scale market recommendation campaign in Shanghai for auto parts to the terminal, which has just opened the country. The prelude of 100 city events, it is expected that more than 50 international first-class brand manufacturers such as Bosch, Valeo, SKF, Mann, Hummel will join the event. The joint action of international giants indicates that the competition in China's auto aftermarket is becoming hot.


In 2011, the sales volume of the auto market declined, and the outlook for 2012 is still not optimistic. On the contrary, the car ownership is increasing year by year, which has become a new business opportunity. According to statistics, as of the end of 2011, the number of Chinese autos has exceeded 100 million, second only to the US's 285 million, ranking second in the world. Even after deducting 20 million three-wheel and four-wheel low-speed trucks (ie agricultural vehicles), China’s car ownership has surpassed Japan’s 70 million vehicles, still the second in the world. Therefore, more and more parts and components companies have turned their attention to the strong interest chain behind the vehicle sales - the automobile maintenance market, that is, the automotive aftermarket.


In the case of the rapid expansion of China's automobile after-sales market, not all powerful manufacturers share the opportunity for growth equally. The automotive aftermarket is different from the supporting market. In addition to the sales system capabilities, brand building for end users is one of the most critical factors. Facts have proved that if the brand strength of the terminal market is not rapidly increased in the past five years, a considerable number of enterprises will be quickly marginalized in the aftermarket. For example, the brand awareness of a certain brake company in China is about 30%, which drives its sales volume from 60 million in 2007 to 200 million in 2011. In contrast, a world-class brake pad company sells in the Chinese automotive aftermarket. It has been kept at 10 million for the reason, not because of the quality of the product, but because of the awareness of the brand. After investigation, the latter’s end-customer brand awareness is only 3%. The ever-expanding post-market capacity and relatively low corporate brand power have severely restricted the healthy development of China's automotive aftermarket.


The lack of brand power is not only reflected in the awareness of the brand, but also in the recognition of brand accessories. “3·15” has just passed, during which the whole society is paying attention to counterfeit and shoddy products, as is the auto parts market. The Chaoyang Branch of the Beijing Municipal Administration for Industry and Commerce seized more than 700 counterfeit generic brand accessories in the Wanghuaying Shenghua Auto Parts City of Chaoyang District, worth more than 400,000 yuan. Huizhou Industrial and Commercial Bureau Dayawan Branch and the Shell Company market counterfeiters seized 45 barrels of counterfeit Shell registered trademark lubricants totaling 418 kg. The reason why these fake and shoddy brand accessories can be popular in the market, on the one hand, is the profit-driven, on the other hand, the auto parts terminal, that is, the repair shop, the small and medium-sized auto parts retailer do not understand the brand accessories, and regard the counterfeit and shoddy accessories as brand accessories. In turn, the danger is passed on to innocent consumers, resulting in damage to consumer rights, and the entire auto parts industry is chaotic.


In the just-concluded China automotive aftermarket "authentic to the terminal, the 100-city tour" Shanghai station activities, the first-class parts companies participating in the event have expressed strong interest in the construction of the automobile aftermarket brand, Huimen, Internationally renowned companies such as Philips, Delphi, and Tenneco are all infringed by counterfeit and shoddy products. They all expressed their hope that through such "100-city tour" activities, their brands will sink and penetrate the channel terminals to expand the influence of genuine accessories. Finally, the purpose of purifying the channel and purifying the market is achieved. Therefore, under the new situation of China's auto market, doing a good job in building brand power has become the key to the foothold enterprise's foothold in the post-market and not marginalized. Don't let the lack of brand power become a stumbling block for the transformation and development of component companies.

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FEDTOOLS GROUP LIMITED COMPANY , http://www.fedtoolsgroup.com