Sun Jinfeng: How Many Car Brands China Can Contain

How many car brands do China have in the end? I am afraid that it will be difficult for someone to make it clear for a time. According to rough statistics, China has more than 100 existing car brands and has become the country with the largest number of car brands. Even so, there is a steady stream of new car brands entering the market. In the next two or three years, more models with new brands will appear in the next two or three years, with the newly-launched joint-venture brands and newly-entered brands of multinational companies and the reintroduction of old brands such as “Beijing” brand and “Shanghai” brand. China's streets. However, can China's auto market accommodate so many car brands?

What brand is in front of the car? There are too many brands.


Since the beginning of the new brand, the listing plan for new brand models has been continuously exposed by the media. The Changan PSA Citroen DS series and the VW SEAT LONE will soon be imported into China. For domestic cars, Beijing Automotive's first sedan, the E-Series, and FAW's new brand, Oulang, will all be launched in March. And many new brands, such as Chery Viewfinder, GAC Mitsubishi, GAC Fiat, Dongfeng Nissan Kai Chen and Beijing Modern Shouwang, will also be available in the next year or two. A predictable future situation is that consumers will often encounter unnamed car brands on the road.

There is still much room compared to the mature European and American markets, and there has been a serious excess of Chinese car brands. In addition to the three major automobile companies GM, Ford, and Chrysler, the U.S. market has only Japan and South Korea and a few European car brands; in Europe, which has an annual sales volume of tens of millions, except for the dominant European brands, foreigners also have only a few Japanese and Korean cars. Even American cars are hard to see.

Although China has become the world's largest consumer of auto consumption for two consecutive years, its explosive growth period has passed. The slight increase of 3% in 2011 indicates that the Chinese auto market has gradually moved toward a rational development stage. In other words, the opportunity for the new brand to “get rich overnight” is no longer available. In addition, from the perspective of China's auto industry and brand concentration, the degree of concentration is increasing.

According to statistics from the Automobile Industry Association, sales of SAIC, Dongfeng, FAW, Chang'an, BAIC, GAC, Chery, Brilliance, JAC, and Great Wall in the top ten auto sales companies in 2011 accounted for 87% of the total automobile sales. It has further improved over the previous year.

From the point of view of brand concentration, it is subdivided into the A-level and B-level markets. There are dozens of models in this range, respectively, and the days are better than two or three. From the point of view of luxury cars, Mercedes, BMW, Audi, last year monopolized the market share of domestic luxury cars Bacheng, leaving Lexus Yangge and other luxury brands have little room for survival. With such a high degree of concentration, if a new brand does not have distinctive brand features, differentiated products, and a clear market position, it is difficult to eat from the population.

Big brand analysts believe that the emergence of so many brands in the Chinese auto market is a necessary stage in development, but the merger and reorganization of the auto industry will intensify in the next two to three years. The more brands, the more intense the competition will be. arrival.

From the perspective of the development of the world's automobiles, various brands have been dying, such as Hummer, Saturn, Mercury, Oldsmobile, Rover, Maybach... And the Chinese auto market will have more brands in the future. Mergers and even demise, but it is certain that one or two large multinational corporations will be born in China’s own brands and become leaders of the Chinese auto industry.

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