GAC trumpchis sales fall behind the first-line Zhang yuesai

category:Finance
 GAC trumpchis sales fall behind the first-line Zhang yuesai


In 2016, the second year of trumpchi GS4s listing, according to the approval data of the China Automobile Association, at that time, its annual sales reached 327000, rapidly becoming the second highest shenche in the overall domestic SUV market.

As a result, GAC motor has opened the door of first-line Chinese brand automobile enterprises and successively launched new vehicles such as trumpchi gs8 and trumpchi GS3. At the initial stage of its listing, trumpchi gs8 was even in short supply as GAC Toyota Highlander, and consumers needed to raise prices to pick up their cars.

However, the success of GS4 is also the failure of GS4.

The weakness of trumpchi GS4 directly makes the profitability of its parent company, GAC passenger car, much lower than before. According to the 2019 annual report of GAC group, the revenue of GAC passenger vehicles decreased by 26.89% year on year to 40.722 billion yuan.

Trumpchi has grasped the SUV and other air outlets before, and achieved good response. On June 19, Luo Lei, deputy secretary-general of the Automobile Circulation Association, said in an interview with reporters that when the market has a certain scale, it is necessary to test the ability of an enterprise, including product strength, management ability and service ability.

In order to break the situation, GAC passenger vehicles have successively adjusted their commander-in-chief and capital increase since the second half of 2019, but no significant effect has been achieved for the time being.

Trumpchi GS4 is hard to find an advantage after being surpassed by competing products

Due to weak growth, the distance between trumpchi GS4 and its competitors is getting further and further.

As a direct competitor of trumpchi GS4, haver H6, Changan cs75, Geely boyue, etc. are positioned as 100000-150000 yuan domestic compact SUV. Among them, Changan cs75 and Geely boyue, like trumpchi GS4, launched new cars in the fourth quarter of 2019, but the above three competitive products all exceeded 20000 monthly sales in May, and the accumulated sales volume in the year was 76% - 115% higher than that of trumpchi GS4.

At the ongoing Guangdong Hong Kong Macao Bay auto show, the times weekly reporter learned from the dealers of GAC motor, hafe, Geely and Changan that the GS4 series of trumpchi is the second highest level in terms of terminal price from high to low, with a cash discount of at least 5000 yuan.

It is understood that, taking the engine most concerned by consumers as an example, trumpchi GS4 only provides a set of 1.5T engine, matching 6-speed manual or 6at or 7-speed double clutch gearbox.

Whether it is Haval H6, cs75 or Geely boyue, at least two engines with high and low power parameters are provided for consumers to choose. At the same time, the parameters of each high configuration engine are better than those of trumpchi GS4, which is not as wide and high as the competitors in terms of power options.

The product life cycle seems to be at the end of the maturity period, and the new product launch is not very bright. On June 19, Cao he, Secretary General of the auto chamber of Commerce of all China Federation of industry and commerce, told time weekly about the relationship between new products and sales volume of GAC trumpchi.

From new growth point of performance to burden

Data shows that from 2014 to 2017, the sales volume of GAC passenger vehicles increased from 134000 to 508600, with a rapid growth. Among them, in 2017, GAC passenger vehicles accounted for more than 25% of the sales of GAC group, and even sold 66000 more than Guangfeng, while its revenue increased by 54.46% to 54.576 billion yuan year on year.

In 2017s annual report, GAC passenger vehicles were named as the groups new profit growth point. Compared with many peers who rely on joint venture blood transfusion, trumpchi has taken the lead in realizing hematopoiesis.

However, with the fever abatement of SUV market, GAC passenger cars began to stall, with a year-on-year growth of 5.2% to 535000 in 2018.

As a comparison, SAICs passenger cars, which also broke through the 500000 mark in 2017, were outstanding, with sales exceeding 700000 in 2018.

In 2019, GACs passenger cars suffered even more. The annual sales volume fell to 384600. According to the annual report of GAC group in 2019, the revenue of GACs passenger cars dropped 26.89% to 40.722 billion yuan year on year.

If the company is unable to continuously develop and produce products with market competitiveness in the future, and fails to achieve a certain market share and scale effect within a reasonable time, it may not be able to achieve the established business objectives and have adverse effects on the business, financial situation and business performance of the group. GAC said in its 2019 annual report.

However, after a series of adjustments, GAC motor has not yet achieved Qi trace.

After Zhang yuesai took office last year, he not only failed to make efforts to complete the sales target in 2019, but also ironically, he always stressed reducing the burden for dealers. However, in April this year, the dealer inventory depth of GAC trumpchi reached 3.07 months, becoming the second largest high inventory brand.

In the face of the current predicament, there are not many cards in Zhang yuesais hands.

Take the new car as an example. According to GAC motor recently, the brand also plans to launch a new generation of ga8 and medium-term GS3. The former is positioned as a medium-sized car, while the latter is a small SUV. The two new cars belong to a general track record, which does not belong to GAC motors sales volume. In the past two years, the market downturn is a test for independent brands and a process of integration. Some of the competitiveness is weak and even faces the risk of annexation. Luo Lei told time weekly, trumpchis follow-up development still needs to continue to do a good job in product innovation, as well as in enterprise management and service capabilities. As Zeng Qinghong, chairman of GAC group, said in an interview recently, we have always stressed that the biggest competitor is ourselves. The key to GAC trumpchis recovery is to develop its own internal skills. Source: responsible editor of times weekly: Wang Xiaowu_ NF

Take the new car as an example. According to GAC motor recently, the brand also plans to launch a new generation of ga8 and medium-term GS3. The former is positioned as a medium-sized car, while the latter is a small SUV. The two new cars belong to a general track record, which does not belong to GAC motors sales volume.

In the past two years, the market downturn is a test for independent brands and a process of integration. Some of the competitiveness is weak and even faces the risk of annexation. Luo Lei told time weekly, trumpchis follow-up development still needs to continue to do a good job in product innovation, as well as in enterprise management and service capabilities.

As Zeng Qinghong, chairman of GAC group, said in an interview recently, we have always stressed that the biggest competitor is ourselves. The key to GAC trumpchis recovery is to develop its own internal skills.