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There are a large number of red flag "quasi-new cars" in the second-hand market, with mileage of only a few thousand kilometers.

2024-09-17 Update From: AutoBeta autobeta NAV: AutoBeta > News >

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The general understanding of second-hand cars is that consumers replace the old models due to the replacement of new cars. In addition to the existence of the model for a certain year, its mileage also reaches a certain mileage. But recently, some media have found that a large number of red flag "quasi-new cars" have appeared in many used car channels on the Internet, and the mileage is generally 1 or 2 kilometers.

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As can be seen from Guazi, Youxin used car, Automobile Home and other used car websites, there are many quasi-new cars nationwide, such as Red Flag H5, Red Flag HS5, Red Flag H7 and Red Flag HS7, but most of them are Red Flag H5 and HS5 models. After all, these two models are currently with higher sales under the Red Flag brand.

Of course, it is normal for new cars to be eliminated when they reach a certain mileage and year, but it is worth noting that according to the sales information of many models recently posted on the website, most of them are less than 10,000 kilometers. there are even many models with mileage of only 1 or 2, 000 kilometers. Obviously, it can be sold as a quasi-new car. After all, compared with the models purchased by the new 4S store, the second-hand car market can not only achieve a certain total price discount because of the second-hand depreciation rate, but also reduce the purchase tax and other fees.

When it comes to quasi-new cars in the second-hand market, the main sources are accident cars, individuals or inventory cars. If it is said that there is a possibility that vehicles will be soaked during the summer rainy season, but the sales information of Red Flag models that can be learned online shows that they all come from different regions; and because individual sources are obviously not so large, these models are likely to come from inventory cars.

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According to the sales and planning of the Red Flag brand in the next 10 years, the brand will accumulate sales of 200000 vehicles in 2020, 400000 in 2022, 600000 in 2025 and 1 million in 2030, that is, the sales target will double.

Last year, Hongqi brand set a target of 100000 sales. Under the leadership of Xu Liuping, chairman of FAW Group, Hongqi brand has achieved great changes. Through the gradual increase of products, it has achieved reverse growth in 2019, with cumulative sales of more than 100000 vehicles, an increase of 200% over the same period last year.

In 2020, the decline of the domestic auto market is still unabated, coupled with the epidemic after February has aggravated the deterioration of the domestic auto market. But at the same time, the Red Flag brand still maintained a trend of growth against the trend, maintaining a year-on-year growth of 32.5% at a time when sales of all major car brands declined seriously in February. According to the data, the cumulative sales from January to August this year exceeded 108500, an increase of 108% over the same period last year, which can be said to be one of the most outstanding brands in China.

Therefore, in such a strong growth trend, a large number of second-hand "quasi-new" red flags appear in the second-hand market, which will inevitably be questioned. Generally speaking, in order to reduce the inventory of vehicles, many 4S stores will consider selling through lower prices. After all, manufacturers will increase the wholesale volume of models every month, which is bound to increase inventory.

At the same time, for dealers, manufacturers often give huge rebates to 4S stores to achieve monthly sales, so it is inevitable that 4S stores sell vehicles to other channels in order to get huge rebates.

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After all, for Red Flag brands, the sales target for the whole year still has no small challenge, so the sales pressure given by Red Flag manufacturers to dealers at all levels will not be small, especially in the environment of poor market performance this year. Any car company feels the difficulty of achieving the target this year. It is close to Hongqi's annual sales target of 200000 in 2020, and the completion rate is only 54% so far.

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