Brand advance and retreat under new normal from luxury car market trend

2022-05-14 0 By

In 2021, the main factors affecting the automobile market include epidemic disease, rising raw material prices, chip shortage, etc., which will rise and fall.Under the comprehensive action of multiple factors, China’s luxury car market presents some new changes and new trends.In terms of sales, several major brands in the luxury car market showed mixed results.In 2021, the sales volume of Mercedes-benz, which has been leading the luxury car market for many years, decreased by 2% year on year, while BMW gained 8.9% growth, and won the sales volume champion of the luxury brand in 2021.In addition to the top luxury brands that have joint ventures in China, Lexus, which imports a full line of lexus brands, also saw steady growth, selling 226,000 units for the year, up 1.1% year-on-year.BMW’s electrification strategy contributed to its growth, with 48,000 new-energy models sold for the year, up 69.6 percent year on year.Mercedes Benz is facing a period of product adjustment, and the sales volume of c-class after the replacement has not been released.Lexus, on the other hand, has grown through stable pricing, refined marketing and improved service.Lexus won’t have much to announce in 2021, just a mid-year revamp of the ES and the all-new NX.Therefore, the launch of new products is only a boost to the annual growth, and more power comes from the deep digging of intrinsic value.The youth trend in China’s luxury car market remains strong, and Lexus’s steady, classy style has made it harder to tap into that segment.The launch of the new GENERATION OF NX shows that Lexus is trying to change, and more and more popular elements are being integrated with the Japanese luxury brand, such as immersive experience, little red book punch card, manga, blind box.In addition to pushing new boundaries, Lexus is also examining its traditional strengths and building on them.Service has now become a new battleground for luxury brands, and new power car manufacturers are using technology to empower traditional after-sales service models, and thus create huge potential value.But what really gives the service value is not only the digital and interconnected functional interface, but also the core service system, which is exactly the traditional advantage of Lexus.The service system and standard established over the years are still very representative among luxury brands.Lexus China Deputy General Manager Chen Chen once said: “Must dare to insist on doing what you should do.”In a time of chip shortage, it means to create more value for users by relying on quality services rather than products alone.At present, Lexus uses the “roving” system instead of the “regional manager” system, in the difficult times of the market, so that the brand side and dealers stand together to overcome the difficulties.For example, an itinerant can visit customers with a dealer.From the user’s point of view, they can face the manufacturer, the manufacturer can also directly listen to the voice of the customer, and the dealer feels the brand and the dealer share the same attitude.This model inspires dealers’ confidence and motivation, and finally the returns brought by this huge initiative are reflected in the customer satisfaction.After years of rapid growth, the overall growth of the luxury car market will gradually level off.How to deal with market changes in the new era is a common topic for luxury brands.Lexus is still figuring things out, and electrification may be the new focus.The year 2022 is the first year of Lexus Electrification in China. Akio Toyoda has clarified the development direction of Lexus brand electrification in the pure electric strategy. Lexus’ first pure electric model developed based on the new electric platform will also appear at the 2022 Beijing Auto Show.Lexus will join other luxury brands on the electric track, and a new race is about to begin.Source: China Fortune