Changan Automobile Deny Building Another High-end Brands and the Sales Experience Ups and Downs

During the Guangzhou auto show, the first large-scale SUV Changan CS95 made its first appearance. "High-end brand" has become the development prospects which Changan automobile is anticipated to be.

However, during the process of building high-end vehicles, the present models are still faced with frequent fluctuations of annual sales, difficulties of product vitality and other problems.

Denying building another high-end brand

Though some independent brands have set up the high-end brand frequently, Changan indicates that they will not do that. "Independent brand has accumulated for many years and has ushered the best opportunity for upward breakthrough. Whether from the level of customer demand or the ability of independent brand itself, it is prime time now" Zhu Huarong said.

When it comes to the process of independent high-end brand , almost all the heads of the independent brands think it is the only way to keep benign development for independent car companies. Whether hitting the market through high-end products or setting up high-end brands, obviously the trend for independent brands is to cooperate and evolve together.

Although the independent brands have expressed their confidence, however, some experts expressed their worry whether the time is right for independent brand strike for high-brand.

Car sales experiences ups and downs

When it comes to the sales situation of Changan automobile, Zhu Huarong is optimistic, "sales of Changan automobile independent brand passenger car is higher than expected. In the first 10 months of this year, sales have reached 1 million and is expected to reach more than 12 million throughout the year."

However, although the year sales may reach a new high, it could not hide the present situation of the ups and downs which Changan's products experience.

"Sales promotion is a double-edged sword. Used well, it can expand sales and achieve the purpose of striking rivals; Used badly, it tends to kill the brand. Referring to the “promotion dependency”, a principal of independent brand says promotion does have a "quick fix" function and sales tend to rise immediately, but sales increase does not represent solving the problem of market thoroughly . " Only when we offer competitive products, satisfactory marketing and after-sales service can we maintain and develop markets.

In addition to the use of sales promotion methods, preferential policy support also is an important guarantee for auto companies to maintain the sales. Changan has also said the sales rise this year is related to policy support.

In fact, independent brands relying on policy support and public encouragement opinion for a long time is also considered to be one of the reasons for the difficult to achieve "brand up" and enhance market competitiveness. Rational consumers will not be affected by public opinion and policy among independent brands. “Therefore, independent brands needs both the encouragement of country and the test of market, only in this way can they become brand high-end finally”. The related personnel said.