Chery Car Brand China

Chinese Car Brands Gain Market Presence through Chinese Cars

China roads which were once flooded with bicycles are now full with various models of cars which is produced by different car manufacturers. This has become a possibility as the Chinese car brands have been able to understand people’s need for luxury cars and have geared up to target the vehicles towards this group. This in turn has started creating some kind of awareness about the Chinese car brands in the current scenario.

Until the recent growth in the car segment, the Chinese consumers always preferred to shell out their money on premium foreign car brands which offered them adequate performance and good quality. They were highly satisfied with the imported cars, which gave a heavy competition for the Chinese car manufacturing companies.From the year 2006, Chinese car brands are trying to gain a market presence by accelerating the car production process.

What are the Main Challenges Faced by the Chinese Car Brands?

Firstly, building a brand name requires quite a lot of experience and promotions which is still a developing concept among Chinese car brands, when compared to other major competitors like the Hyundai, Mercedes, BMW etc.

Secondly, as there is already a huge market which has been captured by foreign brands in China, repositioning becomes a tedious task. Even the risk of switching is quite highwhen the targeted customers prefer a particular known brand.

Thirdly, the automotive industry needs to work in a more structured manner with proper planning and care should be taken to improve the quality of engineering and design of the cars that the companies plan to produce locally.

Which Car Brands are Picking up in China?

China is quite densely populated and most of the consumers prefer to buy medium-sized cars or Sedans with Volkswagen leading the race since 2010. The other top selling cars which rank the list are Ford Focus, Buick Excelle, Chevrolet Sail, Volkswagen Sagitar, Jetta, Passat and Bora, Nissan Sylphy and Chevrolet Cruze, which are all internationally recognized and were produced in China by subsidiaries of foreign brands.

When the local Chinese car brands are compared to the other expensive brands, the Great Wall Havel H6 is said to be a good performing model and the Chery’s QQ model has been sold the most. This hike in popularity and sales of these cars indicate that there is further scope for growth and bigger impact generation for the home-grown car models, if they keep up the pace.

Chinese Car Brands
Chinese Car Brands Logos

Apart from the popular local brands, a few other cars companies like HongQi, BYD, Geely, Hafei, Lifan, Brilliance Auto etc are trying to climb the ladder to success and may get more recognition in the future.

To increase the brand consciousness for local Chinese car dealers and to pump up the automotive market, joint ventures can be signed with other well equipped and established international brands and low cost models can be generated initially, keeping the Chinese customer preferences in view. This may make way for a healthy competition among the local car companies and in turn may lead to a surge in demand for such vehicles.