Hot spare parts in aftermarket

After years of rapid growth, China's auto sales market is returning steadily. With the continued increase in the number of car ownership, the after-sales service market has become even more eye-catching. In particular, as a continuation of the vehicle sales business, the spare parts business has gradually become the focus of attention in the industry.

Xinhuaxin, a well-known automobile research institution, pointed out that the problem of imperfect price system led to the loss of profits, the chaos of external channels to seize market share, and the low brand recognition leading to the loss of users. This is the main problem facing China's OEM spare parts business at this stage.

First of all, the unreasonable setting of spare parts prices will easily lead to the loss of profits of the vehicle manufacturers. During the period, regardless of whether the price of spare parts is too high or too low, actual profits will be less than theoretical profits. For example, when the price is too low, the actual profit is naturally lower than the theoretical profit; and when the price is too high, the actual sales will be lower than the theoretical sales and still affect the profit. Moreover, under the condition of price confusion, the price difference of the same product will cause the increase of factory management costs and cause the loss of profit again.

Therefore, Xinhuaxin believes that the establishment of a reasonable spare part price is very important. Manufacturers should improve profits by changing pricing strategies. Through competitor, external environment, user psychology analysis, multi-angle research on the current situation of prices, setting up price system, and perfecting the price of spare parts, we can achieve profit maximization and customer satisfaction. For example, after a state-owned enterprise adjusted the prices of spare parts, the sales of spare parts increased by 13%, equivalent to profits, equivalent to "earning more" for 47 million yuan.

Second, the impact of external channels on the spare parts market cannot be ignored. According to reports, pure spare parts are generally used by authorized vehicle manufacturers for maintenance, and the remaining channels are non-genuine spare parts. However, for external channels, there are a large number of non-genuine spare parts, among which the most impact is the auxiliary parts and OEM parts. To this end, Xinhuaxin advised the automaker to strengthen channel control. It can conduct investigation and crackdown on external channel infringement through the monitoring of its existing channels, and then re-plan and improve market channels.

Third, consumers have low recognition of spare parts brands, price-sensitive issues have always existed, and the demand for service quality is getting higher and higher. Therefore, Xinhua believes that the automaker should lay aside its position to further understand the end-user's consumer psychology and make pricing on spare parts and services. During this period, it is necessary to consider the user’s perception of the price of spare parts, as well as its consumer experience. It is also necessary to understand the user’s ability to accept brand premiums. In the long run, manufacturers should increase consumer awareness of the brand through continuous publicity; in the short term, they can increase overall profits through price adjustments.

All in all, increasing the sales of spare parts and increasing the profits of spare parts are the ultimate goal of the automaker. In order to make the spare parts prices of manufacturers more competitive, Xinhua believes that "weapons" means that we can see how our competitors are priced and see where their strengths lie. At the same time, manufacturers must also pay more attention to user needs, investigate and understand the status quo of the spare parts market, so as to be able to know ourselves, to successfully improve the level of spare parts business, and to achieve overall corporate profits.