·Jaguar Land Rover in China encounters cold winter: sales in 2015 increased only two months

As each car company releases its sales data for 2015, the performance of the top ten luxury brands in China is also in front of people. The data shows that the sales growth rate of most luxury brands in 2015 was lower than that in 2014, and brands such as Audi and Jaguar Land Rover even experienced different degrees of decline.

Audi's sales in China in 2015 were 570,900 units, down 1.4%. This is the first time that Audi has experienced negative sales growth in 26 years since entering the Chinese market. Jaguar Land Rover, which has been triumphant in the past few years, has also ended its high-speed growth for many years and entered a deep adjustment period. Last year, it sold 92,474 new cars in China, compared with 122,000 in 2014, a sharp drop of 24% year-on-year. The top ten luxury brands.

Jaguar Land Rover China Chery Jaguar Land Rover United Market Sales and Service Agency (IMSS) at the “Zhenzan-2016 China Auto Market Forum and Sina Car Awards Ceremony” jointly organized by Sina Auto, Ryukyu Motor and China Association for the Promotion of International Trade. Hu Jun, executive vice president, said that in 2016, Jaguar Land Rover will continue to increase its investment in the Chinese market, including Jaguar. “This year is a relatively large year in the Jaguar brand, regardless of brand promotion. There are differences in the delivery of new products, which will greatly help the brand awareness."

It is understood that in 2016 Jaguar will officially launch five new models in China, of which the first domestic Jaguar models will be launched at the end of the year.

Then, through strategic adjustment and new product launch, will Jaguar Land Rover resume its high growth in 2016?

Song Xin, a researcher at the Consulting Network, said in an interview with the Rule of Law Weekend that “Jaguar Land Rover’s relevant market strategy in 2016 can contain a certain degree of plunging, but it is difficult to recover the decline. This is a combination of internal and external factors. of".

"From the external situation, the current high-end brand car sales competition in China is very fierce, and it has shown a serious downward trend in 2015. From the perspective of Jaguar Land Rover itself, the Jaguar brand has been weakened, and it is not a short time to reshape the brand. It takes a long time to 'long-term experience' and 'accumulation precipitation'. In 2015, Land Rover experienced a relatively large product quality defect crisis, and the brand image appeared weakening trend, and it was difficult to 'fix it' in a short time." Song Xin added.

Only two months of growth in 2015

According to Jaguar Land Rover's recently released sales data, global sales in 2015 were 487,065 units, a year-on-year increase of 5%, creating a record high in sales. In the Chinese market, it suffered a “cold winter”, which plummeted 24% in 2014. Staged the rhythm of "Ice and Fire Two Heavens".

Judging from the public data, since entering the Chinese market in 2010, Jaguar Land Rover has been climbing all the way, ranking fourth in the Chinese luxury car market in less than four years. In particular, in 2014, Jaguar Land Rover sales reached 122,000 units, an increase of 28.10% year-on-year, becoming the fourth luxury brand after Audi, BMW and Mercedes-Benz to exceed 100,000 units.

However, in 2015, Jaguar Land Rover suddenly “stall”. Although still ranked fourth in luxury brands, the 24% decline has become the “worst transcript” for luxury brands, and Lexus, which was once behind Jaguar Land Rover (in 2014, the difference between the two was nearly 50,000) There are only 6,000 vehicles.

From the perspective of single-month sales, in the 12 months of 2015, only the two months of July and September showed year-on-year growth. In other months, there were different degrees of decline, and the number of months that fell by more than 30% reached 5 In June, it fell nearly half, reaching 46%.

Hu Jun admits that, in terms of quantity, Jaguar Land Rover is still a relatively small brand, Jaguar and Land Rover are in the process of growing up. In the past year, Jaguar Land Rover has experienced more than other companies. A challenging, more difficult year.

When talking about the performance of Jaguar Land Rover China market in the past year, Mark Bishop, president of United Markets and Services (IMSS), said: "Despite the challenges in 2015, we have further consolidated the foundation of Jaguar Land Rover's continued development. The establishment of IMSS has promoted the timely adjustment of our business in China. In addition, Jaguar XE and domestically discovered Shenxing and other important models that are highly concerned by Chinese consumers have been listed one after another. I am full of confidence in the future development of Jaguar Land Rover in the Chinese market."

Multi-factor Jaguar Land Rover's poor performance

Why is the Jaguar Land Rover, which is leaping all the way, suddenly "stall" in 2015?

Li Hu, a researcher at China Research Institute, believes that this can be analyzed from the following three aspects. On the product side, the “3·15” gearbox quality incident and the high localization price at the beginning of the year have affected the sales of the Jaguar Land Rover overall market to a certain extent; In terms of strategy, since 2015, Chery Jaguar Land Rover’s internal “power” struggle has been fierce, management has changed frequently, and the disorderly internal management has seriously affected the realization of Jaguar Land Rover’s sales target. In the market, since 2015, the domestic economy and the automobile market have entered new Normally, the government's anti-corruption policy has affected the overall luxury car market performance expectations, and Jaguar Land Rover is difficult to avoid in the big environment.

It is understood that the "3·15" party was exposed to the quality problems of the transmission, and it was directly affected by Jaguar Land Rover's original "going volume" main model - Range Rover Aurora. In the same month, Jaguar Land Rover sales in China plummeted 34.2% year-on-year.

The official website of the AQSIQ Defective Product Management Center also showed that Jaguar Land Rover’s car recall incidents caused by quality problems occurred one after another. In August alone, Jaguar Land Rover recalled the vehicle three times, and the reasons for each recall were different.

In Song Xin's view, Jaguar Land Rover's performance in 2015 was not so optimistic, the main reason is that the Jaguar Land Rover brand has insufficient influence and shows a downward trend. Especially compared with the positioning of Audi, BMW and Mercedes-Benz, the product, marketing and strategy seem to have insufficient management and management capabilities.

Auto analyst Zhang Zhiyong also said in an interview with the rule of law weekend that Jaguar Land Rover's quality problems frequently lead to sales decline, which is related to the rapid expansion of Jaguar Land Rover in the Chinese market.

“In the past, Jaguar Land Rover was a niche brand, and since 2014, Jaguar Land Rover’s sales have grown very large. It’s hard to imagine why Jaguar Land Rover sells more popular brands like Lexus and Volvo. 'The expansion of production and sales is a challenge for Jaguar Land Rover. It may cause Jaguar Land Rover's original management system and structure to be impacted. This kind of impact requires the company to make some adjustments. If the adjustment is not good, it may be There will be various problems," said Zhang Zhiyong.

"Of course, we can't say that the pursuit of sales is wrong. The key is to ensure the stability of quality while pursuing sales. This is something that any brand should pay attention to." Zhang Zhiyong further added.

Will increase the Chinese market

In order to increase sales, Jaguar Land Rover will continue to overweight the Chinese market in 2016.

It is understood that in 2016 Jaguar will have 5 new cars on the market. In addition to the new generation of XF, Jaguar's new XJ will be officially launched in April 2016. In June 2016, Jaguar's first SUV model, F-pace, will be officially launched. In addition, Jaguar will launch a modified F-TYPE, and at the end of 2016 Jaguar will launch its first domestic model.

Li Hu, a researcher at China Research Institute, said that from the market strategy of Jaguar Land Rover in 2016, it is still a temporary solution. So far, in terms of internal worries, the power struggle between China and foreign countries regarding IMSS has still not been resolved; in terms of external troubles, in the face of the new normal of the domestic auto market, the major luxury car brands have accelerated the launch of products that cater to a new generation of young consumers, and hope to develop through “exploitation” The young "group consumer market to achieve growth expectations, and Jaguar Land Rover still stay in the adjustment of dealers, outlets and other lagging marketing strategies, the future market prospects are confused.

"Jaguar Land Rover is currently the first problem to solve the problem of fighting in China, rationalize the power limit of the joint venture, and break the gap, forming a synergy to meet the market challenge." Li Hu said.

In the view of Song Xin, a researcher in the consulting network, the current Jaguar Land Rover needs to do the brand repair, strengthen the positioning of the Jaguar brand image, and repair the consumer trust in the Land Rover brand. Among them, to strengthen the Jaguar Land Rover brand car production and sales management, to ensure the quality of car production is the premise, sales must maintain a good market brand sales order, strengthen the supervision of dealers, and do the appropriate after-sales service.

“Audi, BMW and Mercedes-Benz entered the Chinese market relatively early. At that time, the luxury car consumer group was relatively large. After a long period of brand accumulation, it established a certain brand recognition before the localization. After the Jaguar Land Rover, etc. For the brand, not only lack of time accumulation, but also the current market demand is shrinking, the external environment is intensified, and production must be more effective than other competitors.” Zhang Zhiyong said

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