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Sharing the fast-growing imported car market in China, it is generally believed that imported cars can enhance the brand image, so imports have become the best way for Dodge to enter China with such a strange brand.
Thrilling roller skating, young and stylish hip-hop, and masculine masculine fights, Dodge’s cool fight went public in Beijing on February 26. Obviously, Owen, general manager of the marketing department of Chrysler (China) Automobile Sales Co., Ltd., hopes to create a youthful, dynamic and fashionable representative, and the listed location has also quite meaningfully selected the famous 798 factory in Beijing.
Perhaps Irving hopes to find his own customers among artists who are pursuing personality, and thus open up the market. At the Guangzhou Auto Show, Chrysler exhibited the Dodge Kay, an MPV model that cooperates with Southeast Automotive. In January this year, Dodge just introduced a medium-sized model in China's imported car channels, Feng Zhe. The problem, however, is that few people who come and go to the 798 plant understand what that ram's head sign means.
Imported car test water
Dodge seems to have an extra preference for import channels, which may be able to find the answer from 2007 China's imported car sales data. According to customs statistics, in 2007, China’s annual import of automobiles (including SKD's complete spare parts) reached 313,000 units, an increase of more than 37.9%, which was higher than the increase of domestic vehicle sales of approximately 22%.
Dodge, of course, hopes to gain a share in this booming imported car market, and generally believes that imported cars can enhance the brand image, which has become the best way for Dodge to enter China as a strange brand. Another obvious fact is that imported cars can make transnational corporations get more profits, which is one of the reasons why multinational companies love to import.
Erving from behind the scenes to the chairman's (picture forum) speech, Irving emphasized that this is a muscular car with excellent safety performance. Owen said: "In China, compact cars are becoming more and more popular. This is the reason why we put this cool-throw product." One of the embarrassing facts is that in China, the import of cars in 2007 was dominated by Germany, accounting for 42%. Imported SUVs are dominated by Japan, accounting for 48%; MPVs are dominated by Japan, accounting for 48%; and trucks are mainly Japan, accounting for 65%. It is particularly difficult for Dodge to learn how to use muscles to overcome the oriental aesthetic represented by Japanese cars.
At the listing ceremony, Dodge did not give a clear and clear opponent. After the listing ceremony was over, Owen talked about competing models and he mentioned Subaru. In fact, selling a compact car at a price of 230,000 yuan has already opened up the distance between the market and competitors.
According to briefings, Chrysler conducted a survey of potential customer groups before the launch of Coolbuy. The pricing of 230,000 yuan made Irving think it was very attractive to the market, and most of the CROSS models sold in the Chinese market were priced below 200,000. Dodge, which was originally a weak brand, has become difficult to win in the Chinese market.
Domestically, it is undoubtedly an effective way to reduce costs and prices. Whether or not there is a domestically-made plan for Okio, Owen said: "If Okubo's sales in the import channel reach a certain amount, we will consider making it in China."
A key issue to achieve Irvine’s desired sales volume is the construction of a sales network. Since last year, Chrysler has expanded its sales network in China. It is understood that in 2007 Chrysler built 70 dealership stores, according to Chrysler’s plan, in mid-2008, Chrysler and Jeep will increase their dealership network to 140.
This is an ambitious plan for network development. In the United States, Chrysler is doing the opposite of China—integrating the sales network.
Chrysler homegrown puzzle
Chrysler recently announced a plan for a distributor named "Genesis." In this plan, Cerberus, which owns 80.1% of Chrysler's shares, will help it to reduce its sales network in the United States, in order to change the problem of too many low-profit dealers.
At the same time, Cerberus is not satisfied with Chrysler's product line, and will also make substantial adjustments: In the next three years or so, it will cut nearly 30 kinds of current models nearly half. The plan said that currently the Chrysler product line includes a number of similar models of cars, multi-purpose commercial vehicles and trucks, only different brands. Therefore need to make adjustments.
In Dodger's frequent introduction of new products, Feng Zhezhe's differentiation from the upcoming Chrysler-made platinum sharp is obviously a problem. Chrysler Vice Chairman Jim Price said in an interview that Chrysler hopes to maintain stable output by increasing market sales in overseas developments such as China, India, and Eastern Europe, and that its products will eventually remain in the next three to four years. 15 to 20 models.
However, China has also been affected by this adjustment, it is understood that Chrysler has planned to introduce a number of models in China this year, and this time Owen said in an interview: "Borui production of BBDC will be listed next week, in addition to the import channel will also Introducing the Jeep brand Wrangler (Gallery Forum), there are no Other product introduction plans after this, but please keep looking."
Unlike pricing in China, Chrysler has made deep adjustments to product prices in the United States. According to foreign media reports, Chrysler announced that it will launch a new special offer, which includes sales of 12 models. Chrysler’s Deputy Deborah Meyer, who was recruited from Toyota, hopes to transform the image of American consumers.
In the case of price reduction models, take the signature version of the Chrysler 300C as an example: The original price is 4330 US dollars, and now it is sold for 2580 US dollars. In addition, it will also provide a free navigation system, MyGIG hard disk multimedia system and two-color seats.
A series of adjustments of Chrysler in the United States will inevitably affect China, and at the same time it can be seen that Cerberus does not rule out the possibility of selling Chrysler again in the next few years after a series of adjustments on profitability. Chrysler, which is currently focusing on local market adjustments, apparently has not yet formulated a clear Chinese plan: Some profitable good-jip products are sold on the import channel, and they bring their own short-board cars to China.
Whether or not Chrysler’s turbulent pace in China has changed after the local adjustment can only wait and see. After all, the cost of losing the Chinese market will be heavy.