The price of spare parts has been declining, but the spare parts prices have not declined but they are still rising. What the manufacturer is doing is wishful thinking: the loss of the whole vehicle will make spare parts to make up for the loss. If you buy my car, are you afraid that you will not come to repair or match? However, this move will not work now, because consumers begin to "not only care about how to afford, but care about how affordable." Recently, Shanghai GM, Shanghai Volkswagen, Hainan Mazda and other auto makers, after drastic adjustment of new car prices, they also cut the "big knife" to their parts and components, which in turn reduced the price of their own vehicle parts. The move shows that the price of finished vehicles, which began years ago, has indeed spread to the automotive aftermarket. In the past, car manufacturers used to play two kinds of "paradoxical" tricks when making price cuts on entire vehicles. First, the most price-reduced models are mostly the same series of low-end vehicles, and they are often price- and vehicle-free. Their main purpose is nothing more than to attract consumers' attention. Second, the prices of accessories are implicitly increased while the price of vehicles is reduced. However, the competition in the auto market has become increasingly fierce, and consumers have also begun to mature. As a result, the first “tricks†have failed first. Therefore, the price wars of auto manufacturers have to enter the melee phase, and the price reduction of the entire vehicle is no longer playing with virtual ones. However, manufacturers still have a way out, that is, take the second move to make up for the loss of vehicle prices. For example, after the vehicle prices drastically dipped in May this year, some auto parts markets, 4S dealerships, and special service stores secretly received notifications of manufacturers' parts price increases. By July, the prices of individual parts had doubled. These manufacturers are playing a wishful thinking: bought my car, I'm afraid you do not come to repair, do not match? However, as the market matures, consumers are increasingly concerned about the price of auto parts. The image is that consumers begin to “not only care about how to afford, but care about how to use itâ€. For example, Shanghai Volkswagen POLO is indeed a good car, but "good car" has encountered a "failure to sell" embarrassment, the reason is that the maintenance of the parts and components prices. A dealer told reporters that consumers who come to the showroom to see the car all admit that POLO is a good car, but after asking about the price of accessories, most consumers will buy other brands. It seems that the second move of the manufacturer also began to fail, so he had to turn to open up the second battlefield: spare parts cut prices. Experts believe that the price reduction of auto parts is also reasonable. According to a data, in foreign countries, about 30% of gross profit realized by vehicle manufacturers comes from replacement parts, and only 18% of gross profit comes from new car sales. In China, the profit rate of parts and components for automakers can reach 40% or even higher. At the same time, in order to reduce production costs, joint-venture car manufacturers continue to promote the localization rate of parts and components, and large-scale production can also reduce costs; due to tariff cuts, many imported parts and components are also reducing costs. These factors make the spare parts prices have room for a downward adjustment, which of course should be reduced. It can be said that some manufacturers' price reduction of parts and components is a signal that the war of the entire vehicle price war has begun to diffuse into the auto parts market. Industry insiders predict that since then, price adjustments for car repair and maintenance services, which also belong to the aftermarket, will not be far off. In the past, some 4S stores claimed to be genuine factory parts. They all said that because of high costs, the fees would naturally be higher. Although many consumers have always complained about it, but in order to buy a peace of mind, each maintenance, repairs have to be carried out in the 4S shop. However, with the development of competition in depth, the costs of repairs and maintenance began to show signs of decline. Some 4S stores in Beijing, Shanghai, and Guangzhou, for example, have started to reduce their maintenance costs and maintenance working hours in the near future. Even lifelong vehicle exemptions have emerged. Hourly fee maintenance practice. According to analysis in the industry, major manufacturers have significantly reduced the price of parts and components, and dealers have automatically reduced maintenance and other after-sales service prices, which means that their profits have begun to be compressed. Taking Shanghai Volkswagen as an example, the original dealers' maintenance and repair of Passat's profit can be as high as 40%. After the OEM adjusts the price of parts and limits its profit rate, the profit they get from Passat will be only about 70% of the original; Passat will have maintenance once. Prices have also dropped from the original 520 yuan to the current 400 yuan. — Profits for the market, this is the inevitable result of competition. The vehicle profits are often directly reflected in the price of the entire vehicle. They can directly touch the price-sensitive nerves of consumers and are easily noticed by consumers. The profits of auto aftermarket products, such as auto parts, maintenance, and maintenance, are relatively indirect. They are transactions that occur after the consumer purchases a new car. When buying a car, the contents of this part are often easily overlooked by consumers. However, buying a car is only a one-time expenditure. Using a car is a long-term process. The cost of using a car is actually much higher than buying a car. Only after the prices of parts and components of the automobile, such as parts and components, maintenance, and maintenance are reduced, can consumers really reduce the cost of vehicles and obtain more benefits.
Car price war diffuse to car aftermarket
The price of spare parts has been declining, but the spare parts prices have not declined but they are still rising. What the manufacturer is doing is wishful thinking: the loss of the whole vehicle will make spare parts to make up for the loss. If you buy my car, are you afraid that you will not come to repair or match? However, this move will not work now, because consumers begin to "not only care about how to afford, but care about how affordable." Recently, Shanghai GM, Shanghai Volkswagen, Hainan Mazda and other auto makers, after drastic adjustment of new car prices, they also cut the "big knife" to their parts and components, which in turn reduced the price of their own vehicle parts. The move shows that the price of finished vehicles, which began years ago, has indeed spread to the automotive aftermarket. In the past, car manufacturers used to play two kinds of "paradoxical" tricks when making price cuts on entire vehicles. First, the most price-reduced models are mostly the same series of low-end vehicles, and they are often price- and vehicle-free. Their main purpose is nothing more than to attract consumers' attention. Second, the prices of accessories are implicitly increased while the price of vehicles is reduced. However, the competition in the auto market has become increasingly fierce, and consumers have also begun to mature. As a result, the first “tricks†have failed first. Therefore, the price wars of auto manufacturers have to enter the melee phase, and the price reduction of the entire vehicle is no longer playing with virtual ones. However, manufacturers still have a way out, that is, take the second move to make up for the loss of vehicle prices. For example, after the vehicle prices drastically dipped in May this year, some auto parts markets, 4S dealerships, and special service stores secretly received notifications of manufacturers' parts price increases. By July, the prices of individual parts had doubled. These manufacturers are playing a wishful thinking: bought my car, I'm afraid you do not come to repair, do not match? However, as the market matures, consumers are increasingly concerned about the price of auto parts. The image is that consumers begin to “not only care about how to afford, but care about how to use itâ€. For example, Shanghai Volkswagen POLO is indeed a good car, but "good car" has encountered a "failure to sell" embarrassment, the reason is that the maintenance of the parts and components prices. A dealer told reporters that consumers who come to the showroom to see the car all admit that POLO is a good car, but after asking about the price of accessories, most consumers will buy other brands. It seems that the second move of the manufacturer also began to fail, so he had to turn to open up the second battlefield: spare parts cut prices. Experts believe that the price reduction of auto parts is also reasonable. According to a data, in foreign countries, about 30% of gross profit realized by vehicle manufacturers comes from replacement parts, and only 18% of gross profit comes from new car sales. In China, the profit rate of parts and components for automakers can reach 40% or even higher. At the same time, in order to reduce production costs, joint-venture car manufacturers continue to promote the localization rate of parts and components, and large-scale production can also reduce costs; due to tariff cuts, many imported parts and components are also reducing costs. These factors make the spare parts prices have room for a downward adjustment, which of course should be reduced. It can be said that some manufacturers' price reduction of parts and components is a signal that the war of the entire vehicle price war has begun to diffuse into the auto parts market. Industry insiders predict that since then, price adjustments for car repair and maintenance services, which also belong to the aftermarket, will not be far off. In the past, some 4S stores claimed to be genuine factory parts. They all said that because of high costs, the fees would naturally be higher. Although many consumers have always complained about it, but in order to buy a peace of mind, each maintenance, repairs have to be carried out in the 4S shop. However, with the development of competition in depth, the costs of repairs and maintenance began to show signs of decline. Some 4S stores in Beijing, Shanghai, and Guangzhou, for example, have started to reduce their maintenance costs and maintenance working hours in the near future. Even lifelong vehicle exemptions have emerged. Hourly fee maintenance practice. According to analysis in the industry, major manufacturers have significantly reduced the price of parts and components, and dealers have automatically reduced maintenance and other after-sales service prices, which means that their profits have begun to be compressed. Taking Shanghai Volkswagen as an example, the original dealers' maintenance and repair of Passat's profit can be as high as 40%. After the OEM adjusts the price of parts and limits its profit rate, the profit they get from Passat will be only about 70% of the original; Passat will have maintenance once. Prices have also dropped from the original 520 yuan to the current 400 yuan. — Profits for the market, this is the inevitable result of competition. The vehicle profits are often directly reflected in the price of the entire vehicle. They can directly touch the price-sensitive nerves of consumers and are easily noticed by consumers. The profits of auto aftermarket products, such as auto parts, maintenance, and maintenance, are relatively indirect. They are transactions that occur after the consumer purchases a new car. When buying a car, the contents of this part are often easily overlooked by consumers. However, buying a car is only a one-time expenditure. Using a car is a long-term process. The cost of using a car is actually much higher than buying a car. Only after the prices of parts and components of the automobile, such as parts and components, maintenance, and maintenance are reduced, can consumers really reduce the cost of vehicles and obtain more benefits.