Domestic Rural Auto Market Flourishing

15 July 2009

Recently, the 6th National Top 100 Towns Automobile Touring Exhibition 2009 has been held in Zhucheng of Shandong, Qian'an of Hebei, and Wafangdian of Liaoning. In the Qian'an exhibition, the reporter found that, under the guidance of relevant policies, this year's touring exhibition is characterized by such aspects as a great number of new cars, special models, events, attendance, and transactions. It stands out previous exhibitions.

 


During the exhibition, 383 dealers from 25 major domestic auto brands conduct promotion of their brands and vehicles in all exhibition locations. According to the organizing committee, 3316 vehicles have been sold in 16 exhibition locations, and 14,088 visitors have expressed their intention for purchase. There is a huge potential in the secondary and tertiary market.

 


The countryside is becoming an important market for auto sales

 


In the venues of the Top 100 Towns Touring Exhibition, countryside consumers are not rare among visitors who come to see, choose, and purchase cars. The farmers in these towns, who are getting richer, have become an important group for automobile consumption.

 


It is understood that the residence in these top 100 towns are mainly farmers. In recent years, the government has been implementing policies that are favorable to the farmers, and specialty economy, township enterprises, and countryside factories have been developing rapidly. These have resulted in a great increase in the consuming capacity of the farmers in these towns. Farmers here have long possessed the ability of owning automobiles. In Xinji, many farmers are running business or factories. For examples, in the Nanlv village, farmers there are mostly in the business of manufacturing and processing foam plastics machines. Nearly every household in the village owns automobiles, even some luxurious ones. Also in Tengzhou, richer farmers are choosing middle-grade cars as their family use.

 


Qian'an is also nicknamed Iron Qian'an, for it is very rich in iron resources, and farmers there live relatively rich lives. One of the sale consultants of a 4S dealership of FAW Mazda Motor in Jidong Haofeng in Tangshan told the reporter that in April, they sold more than 20 units of Mazda 6 during and after an exhibition co-held by several brands in a village in Qian'an.

 


Chery Motor enjoys a large vehicle ownership in Qian'an, and is a reputable brand there. A sale consultant of the 4S dealership of Chery in Jirui in Tangshan pointed out that Chery's market in Qian'an has shifted to the countryside. The number of automobiles purchased by farmers takes up a proportion as high as 80 percent of Chery's total sale in the region. Its subsidiaries frequently hold touring exhibitions in the towns, spreading the influence of the excellent domestic brand into the vast countryside market, bringing the convenience of automobile to the farmers.

 


Enterprises are accelerating efforts in exploring the market under favorable policies

 


During the exhibition, 383 dealers from 25 major domestic auto brands have promoted their brands and vehicles in 16 exhibition locations. Many exhibiting brands are digging the potentials of the "automobiles go to the countryside". In the event of "Hafei takes the lead to go to the countryside", exhibitors of Hafei Motor explained in great details to the consumers about Hafei's relevant policies of go to the countryside, and introduced Hafei's auto models that are go to the countryside. An exclusive sale company of Hafei vehicles of Power Diversity Automobile Trade in Qian'an expressed that the policy of "automobiles go to the countryside" had greatly promoted the sale of Hafei's vehicles. Its sale in Qian'an in the past two months have witnessed markedly increase.

 


The auto companies taking part in the exhibition understand well the auto market in these top 100 towns. They never forget to promote their sale policies and car models at proper time. In Qian'an, exhibitors from Brilliance Auto put full-length text of its going-to-the-countryside policies on the windows of its Jinbei vehicles, so that farmers can fully understand what favors the policy would bring them. Changan Suzuki Cup fuel-saving knowledge competition passed practical fuel-saving knowledge to the consumers. KIA's power parachute performance put its brand promotion in a commanding height. In Renqiu, Gonow Motor placed its new minivan in the most prominent position, attracting much attention from the farmers. FOTON took the exhibition as an opportunity for it to explore the market in the county level, putting up numerous activities during the exhibition, attracted much attention from the consumers. In the 2nd day of the exhibition in Zhucheng, a blue FOTON Ollon was purchased very soon after the exhibition began.

 


The rural areas in China have a large population, yet the market potential there remains largely untapped comparing with that in the urban areas. Currently, low-grade farming vehicles are still the main production and transportation tools for farmers. They are having increasing desire and intention to improve their transportation tools, which means that the phase for rapid development of the rural market is imminent. In spite that the "automobiles go to the countryside" policy does not involve family sedan cars, many mainstream sedan-car companies participated in the touring exhibition nonetheless. Exhibitors all said that "automobiles go to the countryside" pointed to the direction of future market expansion.

 


In the exhibition venue in Qian'an, Wu Yue, deputy secretary of the organizing committee of the touring exhibition, pointed out that auto market in China's rural areas contains vast potentials. "Automobiles go to the countryside" policy leads the new development of the market. Its promulgation and implementation have profound significances, including shortening the gap between cities and countries, improving the status quo of the auto market in rural areas, promoting the sale of vehicles, exploring new fields of consumption, boosting domestic demands, and guaranteeing economic development. Wu Yue believes that the market in towns is closest to that in the countryside. 5 years ago, the top 100 towns touring exhibition has taken the lead in guiding the market from cities to towns, which is also a kind of "go to the countryside". In the future, the touring exhibition will continue to make use of relevant policies of the "automobile go to the countryside" to guide more car companies into the deeper and broader market ahead.
 



Source : internet

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