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Prediction: Four Irreversible Trends of Chinese auto market

Although domestic auto market emerges leaders turn by turn, some ever-green brands still exist.  Now let’s predict what irreversible trends will take place in domestic auto market.

First: Chinese brands’ rise

Technological suppliers’ contribution and consumers’ return to reason will help Chinese brands’ rise. The design, quality and supplying system of self-independent brands has come in line with joint-venture brands, recovering its market share to a large degree. Besides, self-independent brands have marching towards middle-and-high-end market in SUV area, showing some effects. Consumers are also showing little interests in brands’ difference and returning to reason, choosing the most suitable brand rather than satisfying vanity.

Second: auto prices continuously drop

The imbalance of supply and demand, along with Chinese brands’ rise and fierce market competition, will result in the continuous drop of auto prices. Luxury brands have to drop prices to compete for joint-venture brands’ large market share, providing many choices for consumers.

Third: the downfall of Korean brands

Korean brands rose at an earlier age, but has not built their own characteristics over all these years. Korean brands have to face their downfall in the current middle-and-high-end market, which puts more importance on quality and performance. The Chinese brands’ rise also left little room for Korean brands in middle-and-low-end market.

Fourth: Audi’s degradation

Once called the luxury brand which understands China most, Audi began its degradation after it crazily pursed for benefits and cost performance. The fast expand of sales network makes it become the cheapest brand among “BBA” camp, with the highest sales volume. But the fast change of domestic market is narrowing its market share when BMW and Benz are fighting back.