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Lack of product power, GAC MOTOR's development will slowly move towards the abyss.

2024-09-08 Update From: AutoBeta autobeta NAV: AutoBeta > News >

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AutoBeta(AutoBeta.net)07/25 Report--

According to the June statistics of the Federation of passengers, sales of narrow passenger cars reached 1.766 million, an increase of 4.9%. This is the first time that China's passenger car market has rebounded after 12 consecutive months of negative growth.

GAC MOTOR has already drawn up three good news reports. The first one is that GAC MOTOR sold 44124 vehicles in June, an increase of 18.92% over the same period last year. The second is GAC MOTOR's terminal sales of 54534 vehicles in June, up 57.6 per cent from a year earlier. The third is an increase of 5.6 per cent against the trend of 220880 vehicles in the first half of the year.

Between the switch of the sixth grade, what the car market can achieve against the trend is the promotion of price reduction and inventory removal, while according to GAC MOTOR's internal information, in order to reduce the inventory pressure of dealers and increase terminal sales, the discount range of each model is up to 40% to 20% discount. Obviously, although this approach can increase GAC MOTOR's sales, it also exposes a potential crisis.

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Take Chuanqi GS4 as an example, the reason why Chuanqi GS4 is able to roll up depends on the amazing appearance of the four seats at that time. Of course, the image of the new car is also very effective now, but it is indeed a lot of new ideas, which inevitably lead to aesthetic fatigue.

Since it was launched in April 2015, it has not been replaced for four years. Compared with the continuous minor modifications of the same level of Harvard H6 and Changan CS75 models, it also reflects the conservative treatment of GAC MOTOR.

In addition, GAC MOTOR does not show a good performance-to-price ratio when the new car comes on the market every year, such as the upcoming GA6 model, the pre-price range is between 116800 and 169800, although it is similar to the statistical incentive Borey, but it is still slightly inferior in the specific configuration. It is worth mentioning that the new car's price range covers so many optional models that it has already put pressure on the GA6.

In the early years, GAC MOTOR put forward the three "8" strategy, its purpose is to achieve brand upward, but the pursuit of too high-end, resulting in "the poor can not afford, the rich do not like" the situation. Over time, whether to increase the price to buy a car or the pursuit of high-end, has become Chuanqi cost-effective label.

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In fact, GAC MOTOR's product layout is already quite mature, but only GS4 can support it. In addition to the GA6 to be listed, GS8 is limited by peer Lecker 01 and WEY VV7, while the price of joint venture cars is also suppressed in the downward environment of the market. There is a slight overlap between the positioning of GS5 and GS4, while the comparison between the two directly highlights the high pricing and low product power of GS5, which leads to serious internal friction, which leads to the listing not as expected. With regard to GM6 and GM8, the MPV series, which is already unpopular, has a relatively high positioning range, so it is difficult to effectively compete with deep-rooted joint venture cars. As for the old GA8 and GA4 models, the weakening of product value will not be recognized by consumers after all.

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As the main force of GAC MOTOR, GS4 as the classic representative of Chuanqi brand, its quality control is also seen by consumers is particularly important. However, in contrast to the independent brand complaint statistics in June, Chuanqi GS4 ranked first with 56 complaints. Among them, the main problems focus on the core faults such as abnormal engine noise, oil leakage and gearbox setbacks, which are the common faults of 2015, 2016 and 2017 models, which have not been effectively solved.

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From this point of view, this not only reflects the backwardness of their own technology, but also a wake-up call to the car-building attitude, if GS4 continues, it will eventually be abandoned by consumers.

GAC MOTOR's gradual decline is inseparable from his own expansion. From 2015 to 2019, he participated in the North American auto show five times and changed the launch time in North America three times. In the eyes of the outside world, GAC MOTOR's slogan of "marching into North America" is more like decorating brand value, but the product deficiency caused in the later stage will only send himself to the abyss.

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