Since the beginning of the year, the tireless dealer conferences of various tire companies have attracted the attention of tire users across the country, indicating that the industry is really "painful." Where is the "pain"? The pain is not clear about the industry trend, pain is not clear breakthrough bottlenecks, the most pain is that it can not find a way out. As the industry continues to promote the development of capacity, environmental protection inspections, tire prices caused by rising prices of raw materials surge after waves, many tire companies miserable, and even struggling on the verge of life and death. They questioned, where exactly is the break?

Tire pictures

Some industry experts pointed out that there are pains in the tightening of environmental protection policies, but there are more opportunities for the market to conduct big reshuffles, eliminate low-end production capacity, leave behind powerful companies, and then be able to see the target market. Size, survival of competitors, through the grasp of tire brand positioning, cost conditions, make a rational decision-making assessment, the limited resources used in tire performance research and development and brand building, in order to find the vitality. There is no "shortcut" in itself.

"Pain"? This is a good time

At present, the low-end, homogenized production capacity has felt pain for the entire tire industry, but this is virtually protecting the manufacturers in the industry. The stringent industry requirements have increased the threshold for new entrants, and the companies within the company have resisted external competition. Challenges of the opponent, many manufacturers doubt: in the end to do the brand, and when to do? In fact, the current is a golden opportunity, before the excess capacity, the company will never worry about the source of raw materials, because the main producing countries a large number of exports, domestic raw materials inventory Also sufficient, the tire manufacturers are "handy" for raw materials.

On the other hand, almost all tire companies are now aware of the importance of upstream partners, because the shortage of raw materials under production constraints will directly affect their own production. Moreover, under the current policy of de-capacity reform is worth thinking tire manufacturers, such as "painful pain", why do we still want to buy my tire brand? That is to take advantage of the current tire price increases, more income funds, investment and management Your own tire brand will increase the potential consumer base.

But what are the core customer bases of the company? It is understood that many companies conduct user decision-making research on a regular basis, and big data through feedback shows that the impact of retail stores on vehicle owners' purchase decisions is profound and far-reaching. Statistics indicate that 70% The owner of the vehicle accepted the retailer's branding advice when changing tires, which meant that for a long time, the retailer was the customer group for corporate brand promotion. "Terminate the person who gets the terminal," This is not false at all.

There is a dead end for products and brands

Many tire companies do not have their own brands but produce many types of tires. The lengthy homogenization of product lines has made the business process inefficient. However, the status quo is that tires with brand promotion and input will have vitality in the market.

The creation of a brand is not easy to say. It is not easy for a company to create and operate its own brand to achieve sustainable development. On the one hand, it is necessary to make a thorough understanding of its own tires and do a variety of brands according to the type. Then locate the right product by screening the right brand. In this respect, domestic domestic companies have made remarkable advances in Jiangsu General Motors Co., Ltd., which has Chollima tires, red rabbit tires, Zidartong tires, Tongyun tires, Hummer tires, and is suitable for a wide range of road types. Brand development, different brand price, adaptable terrain is not the same.

If you can't sell it, you will cut the price?

Many foreign companies have persisted in the image of the brand or even the product for many years, such as Michelin 's “Be Bi Deng”. These corporate logos have brought out a big “faithful fan” for the consistency of brands and selling points; Some domestic manufacturers are very aggressive. Some branded products will be renamed, changed and reopened after the drop in profits. Perhaps it will be possible to recover some profits in the short term, but we must know that brands that have invested in energy and money in the past have been "One change and one change" was put in the middle. Seemingly a “shortcut” to revenue, it actually missed the evergreen brand.

Michelin tires

After summarizing the development of many foreign-funded brands, their tires have a long life cycle. Since entering the market so far, it has been a slow process of "suctioning powder." More and more loyal owners are present, although there are sales. It fluctuates but the whole has been kept increasing, but for some products it is really good, but they need to be innovative, they will also actively create new documentaries or propaganda, let users rekindled the interest in the tires, let the tree sprout .

Is it worthwhile to cut sales to sell in the end?

Tire pricing is the most troublesome problem for each tire business. If sales volume is too high, sales will be blocked, prices will be low, and how much will be low. After all, this is an autonomously priced market. There will always be small profits and quick sales. Zhaizi uses low prices to seize the market.

However, many foreign-branded tires will not cut prices because of their “years of age”, nor will they be eager to go for sales because of low profits. Domestic companies should also be cautious about price cuts because selling more quantities is more expensive than keeping their original prices. Hard work, and now the tire sales channels are diversified, especially the development of the e-commerce platform has a great impact on the physical store business.

Therefore, after we have segmented market segments and divided the needs of different customers, adopting a multi-brand and multi-channel strategy is the only way for tire manufacturers to rapidly expand market share or consolidate their brands.

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