Gasgoo.com (Shanghai October 25th, 2016) Huge changes are taking place in auto market, but GM will embrace more changes in the future five years than in the past fifty years.” Mary Barra said.
“In the future five years, we will enrich Chevrolet’s product line in Chinese market with unprecedented efforts.” She said on October 19th.
Although Chinese market is facing a slow growth, with production and sales volume decreasing 4% and 2.2% respectively in 2015, but GM’s sales volume reaches a historical high. Mary Barra said that, “GM will increase its investments in Chinese market to ensure its leading position.”
However, the plan encounters Chevrolet’s growing pains. Chevrolet encounters setbacks in the first half of year, decreasing nearly 30% in terms of sales volume. Although the sales volume reaches 51,932 units this September, increasing 2.6% with the same period of last year, Chevrolet still faces the problems of lacking brand influence and low sales proportion of high-end vehicles in Chinese market.
GM plans to introduce more new models to consolidate its strength in Chinese market. Reporters learn that SUV models account for 30% of about 20 new models, which will be launched in China, and new models account for 50% of them.
Besides, Chevrolet plans to adopt a differentiation strategy. The lowering prices of luxury vehicles have a great negative impact on middle-and-high-end auto market, decreasing the sales volume of Chevrolet’s middle and high-end products. Middle and low-end models, including Sail and Cruze, are competed by self-independent brands.
“Chevrolet aims to be a top global auto brand, just like Coca-Cola, Apple and Google.” Richard Choi, Chevrolet’s global brand strategy director said that, “A good differentiated brand can make revenue growth of 128%-289%, reaching 2.5 times of competitors.”
