Chapter 593 Profiteering Optional Kits, the Rise of the Boutique Industry

Suddenly, sports cars seem to have entered the car purchase choice of consumers in China.

Many companies originally did not attach much importance to this market segment, and they have begun to reconsider their product layout.

In response to the movements of various car companies in the market, Zeng Tingting will naturally report to Cao Yang in a timely manner.

Now in this situation, she is a little unsure whether it is good or bad for Nanshan Group.

"Mr. Cao, judging from the current situation, the starting price of BYD S8 is 199,900 yuan, Geely Beauty Leopard is 149,900 yuan, and Zotye has released a rumor to produce a sports car of 99,900 yuan."

"Normally, their brand power is naturally not comparable to Jaguar."

"But since they are all using the powertrain of the Nanshan engine and the Nanshan transmission, I am worried that it will have a certain impact on the sales of the Jaguar F-TYPE."

The development of many businesses is a double-edged sword.

Selling engine products to various independent brands can naturally contribute to the development and growth of Nanshan Engine.

But if you sell engines everywhere, when others use them to produce low-end cars, it may have an impact on your high-end cars.

After all, consumers are not stupid, in the case of the same powertrain, but the brand is different, the price is a big difference.

Of course, these things are not absolute.

It's like Toyota and Lexus, Volkswagen and Audi, and even Volkswagen and Porsche, all of which use a common powertrain.

However, there is a clear difference in the final selling price.

"It doesn't matter, Jaguar's brand power in China is not comparable to Geely and BYD, let alone Zotye."

"The price of 399,900 is already very advantageous compared to other luxury brand sports cars."

"In the next step, we can even make a 1.5T version of the entry-level model, we just need to increase the power a little more, so that this engine is slightly different from the others."

"Then you can carry out some simple matching, leave some space for boutique sales in 4S stores, and directly reduce the market guide price to 299,900 yuan, and completely build F-TYPE into a popular model."

While the price reduction may affect Jaguar's brand power, this is not the case.

Nanshan Group now has the high-end brand of Xingchen Automobile in its hands, so it is not very worried about the reduction of the brand power of the Jaguar brand.

It's a big deal that Jaguar will become a luxury car of Audi's level, and then Xingchen Automobile will be built as a luxury car of the same level as Porsche.

It's not a bad thing to have some differences in positioning appropriately.

Of course, if we can maintain a relatively high brand price and everyone is high-end, it will naturally be better.

After all, if Jaguar's brand is high-end, but the price of the model is very competitive, the sales volume is definitely worth looking forward to.

It's a big deal to build a Jaguar sports car with millions of dollars to distinguish product power and meet the needs of different consumers.

"That's the same idea."

"I think as long as the price of the entry version is 299,900, I don't think anyone will buy BYD's S8."

"Even Geely's beauty leopard is not fragrant, as for Zotye, everyone is not a competitor of the same channel at all, and you don't need to watch it."

Although the sales performance of Zotye Automobile in the past two years has been good, Zeng Tingting definitely does not look down on it.

has been relying on the road of cottages, without the intention of developing technology by itself, this kind of enterprise is impossible to attract Zeng Tingting's attention and respect.

Of course, people don't need your respect.

As long as the car sells well and can make money, it is enough.

"Actually, I think that people buy sports cars from various car companies, and it's not a bad thing for us."

"As a relatively special market segment, sports cars actually have room to become bigger and stronger."

"The sales of sports cars in the market have gone up, the products have been enriched, and the sports car culture is easy to cultivate slowly."

"In the end, it's also good for the sales of our high-end sports cars."

With the development and growth of Nanshan Group, Cao Yang's pattern of looking at problems is naturally becoming more and more different.

Sometimes, he is no longer obsessed with the success or failure of one city and one pool.

However, Cao Yang can be so generous, and other car companies may not be able to.

People like Mercedes-Benz cars, seeing the popularity of BYD's S8 getting higher and higher, are depressed.

"Yang Ming, why do all Chinese companies like plagiarism so much?"

"BYD's S8 model is exactly the same as the appearance of our SLK, which is too much, right?"

August stared at Yang Ming with an ugly face.

Although he knew that this matter had nothing to do with Yang Ming, looking at the photos of the S8 model released on BYD's official Weibo, he was bleeding on his head.

"August, the appearance of the car is such a thing, it is more difficult to prevent others from plagiarizing."

"Although the shape of the S8 is indeed very similar to the SLK, they will also make some detailed adjustments."

"Even if we sue the other party in court, it will be difficult to win the lawsuit in the end."

"It's wisest to ignore this situation and treat it as if there is no such thing."

Yang Ming touched his nose and explained a little embarrassed.

He naturally saw the news on BYD's official Weibo.

In recent years, he is also very clear about the development of independent brands.

In fact, it is not only the S8 model that has problems, but also many models that are being sold by other independent brands also have similar situations.

In fact, Yang Ming wanted to scold Auguste, saying that Germany actually relied on similar methods to start.

Before the 20th century, most of Germany's industrial products were shoddy, copycats of low-end products.

At that time, the English people rated German products as "brazen" and junk products.

Not to mention plagiarizing appearance, such as directly forging trademarks, many German companies have done it.

In 1887, England, as a world power, passed a special law stipulating that all goods imported from Germany must be labeled "Made in Germany".

In this way, the products of the two countries are distinguished.

This approach was considered an insulting clause by the Germans, so after that, they worked hard and began the path of independent research and development.

It was only after many years that the result was that Made in Germany was synonymous with high quality.

Of course, this information flashed through Yang Ming's mind, but he had no way to say it.

Who made him work for the Mercedes-Benz car in Germany now?

If he really said it, then he probably couldn't sit still in the position of sales director.

"Of course I understand what you said, but I can't help it!"

Like an enraged lion, August clenched his fists and waved his right hand.

It's not the first day he's been in Huaxia, so he naturally knows what the actual situation is.

It's just that in the past, he watched the models of Honda, Toyota, BMW, Audi and other car companies being borrowed, but now when it is his turn, the mood is different.

Eating melons and eating on his head, it is strange that he can be in a good mood.

"This year, everyone's expectations for the Huaxia automobile market are very high, and our new factory is also under construction."

"When more models are put into the market, there is a high probability that the sales target of 100,000 units will be exceeded this year."

"Of these sales, it is estimated that SLK accounts for less than 1%, and we don't need to focus too much on SLK."

"It's better to think about how the E-class sells a little more, and how the S-class enters more wealthy families."

"At the same time, we will further accelerate the localization of SUV models and find the headquarters to ask for more SUV models, so that it is possible to sell 200,000, 300,000, or even more in the future."

Yang Ming didn't want to continue to discuss the matter of BYD S8 with Auguste, and the discussion would affect everyone's mood.

Unless you ask the lawyer to sue the other party directly, but this process is bound to become more emotionally disturbing.

So the best thing to do is to leave it at all.

After listening to Yang Ming's persuasion, August slowly calmed down and let himself not think about the BYD S8.

……

"Mr. Cao, sports cars are very popular during this time, can we also consider making a sports car with hundreds of thousands of yuan?"

Zhu Zhengfeng is not a person who can endure loneliness.

Nanshan Hongqi has a very high status in his heart, what type of car is more popular in the market, and he hopes that Nanshan Hongqi also has this model.

So seeing that BYD, Geely and Zotye all announced the information of their sports cars, he finally couldn't help but call Cao Yang.

Nanshan Hongqi will have a medium and large 7-seater SUV on the market this year, and the three main models will work together to hit the goal of 200,000 units.

But Zhu Zhengfeng felt that it was not enough.

"The sports car market is relatively hot during this time, but it is definitely still relatively niche in the end."

"If Nanshan Hongqi wants to produce sports cars, it must be at the level of BYD and Geely to be competitive."

"But then, I'm afraid the profit margin won't be very high."

Cao Yang is not opposed to investing in more new models in Nanshan Hongqi.

After all, this is also a layout of its own in the low-end models.

The entire powertrain is provided by Nanshan Group, and the main components are also provided by Nanshan Group.

Although only 40% of the shares in Nanshan Hongqi belong to Nanshan Group, most of the profits are taken by Nanshan Group.

It can be said that Chuncheng Automobile mainly takes the name, and Nanshan Group mainly takes profits, and this cooperation is to take what they need.

"Other independent brands can make the price down, and I believe that Nanshan Hongqi can also do it."

"As long as the price of the sports car is low enough and the quality is not problematic, it can become a scooter for young people."

"When the time comes, the monthly sales will exceed 10,000, in fact, it is not impossible."

"At that time, Mazda, Nissan, Chevrolet and other car companies had sports cars of a similar level, and I think Nanshan Hongqi can also do it."

As soon as Zhu Zhengfeng said this, Cao Yang didn't insist anymore.

If you want to do it, you can do it.

At that time, it will form a high-low combination with Jaguar F-TYPE to accumulate more potential users for the starry sky sports car.

People who like to play sports cars, when they have money, there is a high probability that they will also want to buy a better sports car.

These people are all potential users of Star Sports Cars.

Just like why some OEMs sell entry-level models without making money, the main purpose is to cultivate customers, so that customers can continue to consider themselves when changing cars.

For example, if you buy a Toyota Yaris, you are likely to buy a Toyota Camry or Highlander when you change your car.

Among the mainstream auto giants, the proportion of consumers who buy this kind of exchange can account for more than 20%.

This is definitely a force to be reckoned with.

"Mr. Zhu, what you said is also reasonable, then let the management team of Nanshan Hongqi give a specific plan as soon as possible, and then arrange for R&D personnel to start development."

The communication between Cao Yang and Zhu Zhengfeng opened a chapter in the development of Nanshan Hongqi sports car.

Of course, Nanshan Hongqi did not release relevant information in a hurry as BYD and Geely this time.

Now there is nothing, and the release can't eat too much traffic, so it's better to just wait.

……

"Big brother, the boutique sales of Jaguar 4S stores have skyrocketed by several thousand percent year-on-year in the past week, almost all of which are contributed by F-TYPE consumers."

"When there were no sports cars before, consumers of other models were not very interested in buying optional packages, but consumers who bought sports cars generally bought optional packages."

"Although the price of these kits that we bought back from Nanshan Auto Parts is not low, it is nothing compared to the selling price."

"In the future, our 4S stores can sell all kinds of boutiques."

Guo Shufu returned to Huaqiang Group today to report to Guo Shuyin on the operation of 4S stores in the past month, and the first thing he said was the sales of boutique products that had changed the most.

For a long time, no matter which 4S store has done some boutique business.

A variety of parts such as films, carpets, reversing radars, dash cams, navigation, front grilles, and rims can be purchased or replaced at the store.

The profit margin of these parts is generally twice as high as that of ordinary aftermarket parts.

And the various aerodynamic packages used on sports cars are even more exaggerated.

It is absolutely normal to buy a kit for tens of thousands of dollars and sell it for tens of thousands of dollars.

After all, carbon fiber parts sound very different.

People who can afford sports cars are often very interested in these personalized things.

"No matter how exaggerated the growth rate of the boutique business is, the turnover is also very limited, right?"

"What do you think you care about so much?"

Guo Shuyin is mainly responsible for the auto parts business, although the business development is very fast, but the profit margin is generally more than a dozen points.

Occasionally, if a project can achieve twenty or thirty points, it is a huge profit.

But this profit margin is obviously not enough to see in the face of high-quality products.

Without 100% profit, they are embarrassed to say that they are selling high-quality products.

For example, it is normal for some things to sell for ten times the cost price.

You don't need every car owner to buy it, as long as one of several car owners buys some, it is a considerable income.

Even when the car market is highly competitive, this part of the income may be higher than the income from selling the car itself.

"Big brother, you don't understand this."

"For general economy cars, consumers may not buy any special products, and profits are very limited."

"But for luxury cars, a lot of the spending is not too bad for money."

"When it comes to sports car consumers, it's even more unconventional."

"For example, the F-TYPE with medium and high configuration actually has a spoiler, but some consumers feel that this spoiler is not distinctive enough, and some have bought one in the store."

"There is also the seat skin, some people want our special leather perforated skin, and they will spend tens of thousands of dollars at once."

"Even our calipers have been asked to be changed to a different color."

"The price of these things is not cheap, and if you replace a few more kits, you may be able to buy a mini car."

Guo Shufu was very happy to eliminate the illiteracy of his eldest brother.

Although they still belong to the automotive industry, the difference between the parts business and the dealer business of 4S stores is quite big.

"According to your statement, the 4S store of a luxury brand is suitable for vigorously developing the boutique business, and the general brand may not be so significant?"

"There is nothing wrong with this statement, but I think the boutique industry will slowly rise in the future, even if it is a general brand, it can be done well."

Guo Shufu obviously intends to deepen the car dealership business and do a good job in all aspects.

"Then you have to communicate well with Nanshan Auto Parts, so that they can cooperate with the development of more optional high-quality parts."

Guo Shuyin naturally has no reason to oppose the business that his younger brother is optimistic about.

Anyway, this is also something that does not have much investment, even if it is not done well, there is not too much loss.

If it is done well, according to Guo Shufu, it is estimated that it will be able to make a lot of money.

Especially after this method makes the income of 4S stores more diversified, the ability to resist risks has been improved a lot.

After all, the car market can't be so prosperous every year, there will always be troughs.

When the industry is at a low point, diversified sources of income can greatly reduce the operating pressure of 4S stores.

Otherwise, a bunch of 4S stores may close down one day.

"I have made an appointment with their Mr. Dai to communicate in detail tomorrow, and there will be some special actions within Nanshan Auto Parts."

"When the time comes, we will work together to do the boutique business."

Guo Shufu didn't think about eating alone.

The production cost of some Nanshan auto parts is not particularly high, but if you go outside to look for it, you may not be able to find a qualified supplier.

Even if it is found, the cost may be far behind.

Of course, this mainly refers to high-end boutiques, and low-end Nanshan auto parts do not do.

For example, all kinds of carbon fiber kits, not to mention Huaxia, there is no more competitive supplier than Nanshan auto parts in the world.

From raw materials to production equipment, to tooling and processing, everything is handled in-house.

Such an advantage is simply not something that other manufacturers can crack.

And just after Guo Shufu communicated with Dai Hanbiao, Dai Hanbiao quickly came up with a plan to report to Cao Yang.

After all, if you want to make some adjustments to the organizational structure of Nanshan Auto Parts, you still need Cao Yang's approval.

"Set up a special boutique business department to connect with various 4S stores and dealer groups?"

Cao Yang quickly finished reading the content prepared by Dai Hanbiao and began to think about the feasibility of this plan.

He also knows that he makes money with boutiques.

But whether it is worth doing it specifically requires some consideration.

From Dai Hanbiao's proposal, it is worth engaging in now.

"Yes, you can not only find 4S stores and dealer groups to dock, but also find the after-sales service departments of various OEMs."

"In the past, our sales were mainly dealing with the procurement of OEMs, and the supply was mass production parts and corresponding after-sales parts."

"But now these boutique businesses are generally not the specific responsibility of the procurement department, but the after-sales service department is responsible for handling them."

"It's much more flexible than mass-produced parts, and the margins are much higher."

"And we can give full play to some of our advantages and make it a new growth point."

Before Dai Hanbiao reported to Cao Yang, he naturally made some preparations.

Otherwise, if the proposal thrown out at that time had a bunch of problems, he would have a dull face.

"The water in this industry is quite deep, right?"

"Many leaders in the sales field of OEMs have their own related manufacturers, and many boutique businesses will be produced by these related manufacturers, right?"

"After all, these parts are much less technically demanding than mass-produced parts, and they don't require a lot of testing."

Cao Yang is naturally not a budding newcomer who doesn't understand anything.

He has also heard a lot of insiders about the automotive industry.

For example, for high-quality parts, the final payment is made by the purchasing department, and the relevant fixed-point process is nominally completed by the purchasing department.

However, in fact, the selection of suppliers and the promotion of related business are handled by people in the sales department.

In this business, the purchasing department plays the role of a plasticine.

In fact, the purchasing department of most OEMs does not have a very high status within the company.

This is quite different from what many laymen understand.

On the contrary, the sales department and the production management department have a higher status within the company, and even the status of the technical department and each workshop will be higher than that of the purchasing department.

Not to mention departments such as the finance department and the personnel department, which must belong to the department that no one dares to bully in the company.

Even when you have a meeting, if people want to scold you, you will also want to use gentle words as much as possible.

"If the threshold for such parts is relatively low, then the water must be very deep."

"After all, in this case, there will be more related households."

"But we mainly do some high-end business, and there are not so many competitors, or even no competitors."

"In this case, as long as you have a good relationship with the other party, things can be done."

As the general manager of Nanshan Auto Parts, Dai Hanbiao naturally often deals with OEMs.

He is also very experienced in how to engage in relationships.

So Cao Yang is still more at ease with Dai Hanbiao.

The boutique industry has a future, so let's do it!

It's been a long time since I've asked for a monthly pass, and on the first day of the last month of 2023, the old irons will give me some encouragement~

(End of chapter)