From Xinhua News Agency
SHANGHAI — China’s thriving car market boasts huge business opportunities, yet automakers should put more effort into making the local consumers loyal to their products, according to a recent survey of three major metropolitan Chinese cities.
The survey was conducted by market research company AC Nielsen, in Beijing, Shanghai and Guangzhou, China’s three major automobile markets.
Private car owners in China have not yet established loyalty towards certain brands of motor vehicles, according to Philippe Coquelle, head of the automotive department of AC Nielsen.
Though some specific brands have built a monopoly on the Chinese market, they have not yet won absolute favor among the local consumers, the survey said.
The survey discovered that about 11 percent of Beijingers owned a motor vehicle, placing the city first among the three investigated. The popularity rate stood at 4 percent and 5 percent, respectively, in Shanghai and Guangzhou.
The ratio was largely decided by price level for motor vehicles, according to the survey.
A private vehicle is priced at 139,000 yuan ($16,747 USD) on average in Beijing, while in Guangzhou and Shanghai, the figure rose to 190,000 yuan ($22,892 USD) and 220,000 yuan ($26,506 USD), respectively.
Besides deluxe models, brands have not showed their competitive edge for consumers yet because there is still no close contacts between makers and consumers, Philippe said.
Car dealers should also put more effort into improving service and gradually build up brand loyalty, he added.
It is predicted that China will produce over 2.8 million cars this year, up from the 2.07 million last year.
Copyright 2004 Xinhua News Agency. All Rights Reserved.
Click here to view the rest of today’s headlines.