Market distributors in second-tier and third-tier cities start a new wave of sales

If it is difficult to extinguish the enthusiasm for developing and investing in real estate in China, it is equally true that the construction of 4S stores in the automotive industry has become the most enthusiastic thing for investors. At the end of the year and the beginning of the year, the Pearl River Delta set off a wave of 4S stores, and distribution groups with great ambition also accelerated the pace of mergers and reorganizations. It seems that there is not enough capital to support the company. A distributor group that intends to open an imported 4S shop in Guangzhou suffers from nowhere to sit and has to withdraw from the Guangzhou market. The vast second and third tier cities not only beckoned to real estate developers, but also extended their olive branches to auto dealers. The “going to big urbanization” in the crisis of “blocking and controlling” in first-tier cities may be the opportunity for auto dealers to develop. .

Dealers open new stores

On January 6, 2011, Guangzhou Nanling Huitong Chevrolet Store opened. It is the 7th 4S shop of the Chevrolet brand in Guangzhou and a new member of the 25 4S stores of Nanling Group. The founder of the car dealership group, which was founded more than ten years ago, was a couple from the northeast. They started from after-sales maintenance and had no background. They initially depended on foreign capital. Not long ago, the husband and wife both controlled the group. In the initial period, Nanling had not obtained a strong brand authorization. Under continuous efforts, in the second half of 2010, Nanling obtained the franchise authorization from the Audi brand and successfully involved in luxury brand sales.

Guangzhou Nanling Huitong Store is its fifth Chevrolet 4S store, plus a Buick 4S shop still under construction. It is expected that by the end of this year, Nanling will have 8 Shanghai GM 4S stores. With the continuous expansion of the group size, Nanling also implements a large part of its internal structure like Zhongsheng Group and Guangwu Automobile Trading. The 4S shop of the same brand is governed by a brand director. For example, the Shanghai General Brand Director is the original Nanling. Zheng Jianqun, general manager of Tongdian.

Also located on Baiyun Avenue in Guangzhou, another company named Guangzhou Hong Yue Rui Tiger Land Rover 4S Store has already been commissioned and operated. Investors are another distributor group that is forged in Guangzhou Baiyun Avenue, the same as Nanling Group. Yue Group.

At the same time, Guangzhou Hongyu Hongzhong Store, the second Guangzhou Volkswagen 4S store invested by Hongyue Group, was officially opened for business in Panyu, Guangzhou. This 4S shop that covers over 10,000 square meters was honored For the import of Volkswagen's largest flagship store in South China. In addition to the previous Guangdong store, Hongyue became the exclusive agent of the import public in Guangzhou. Taking into account the Lexus store opened in 2010, less than a year, Hong Yue Group successfully completed the transformation of the Group's business to a luxury brand, which accounted for a large proportion of luxury brand business.

If the expansion and transformation of the above-mentioned two dealer groups in South China is not yet representative, then the actions of Zhongsheng Group listed in Hong Kong last year are of industrial significance. At the end of December 2010, Zhongsheng Holdings announced that it plans to invest 260 million yuan to acquire a 55% stake in Sunwin Enterprises. After the transaction is completed, the number of 4S stores in Zhongsheng will increase to 98. It is reported that Xinrong Enterprises has 15 4S stores such as Dongfeng Nissan and Guangzhou Automobile Toyota in Liaoning, Shaanxi and other regions. After this transaction, it will help Zhongsheng expand its market share in the northeast and northwest regions.

After the successful listing and financing of Zhongsheng Group was even stronger, only in 2010, Zhongsheng Group spent nearly RMB1.3 billion to acquire the equity of two companies engaged in automobile sales and service in Mainland China, namely, having 8 4S stores operating brands including 50% of B & L Motors, including Porsche, Lamborghini, Mercedes-Benz and Audi, and 100% of the shares of Fuzhou Huarui Sales Service Co., Ltd. and Fuzhou Guangyuda Trading Co., Ltd., have two Dongfeng Nissan 4S stores.

Want to open a shop? No place

“Suzie quit,” a person familiar with Guangzhou’s auto market told Nandu’s reporter. Despite getting authorization from Guangzhou’s import Volkswagen 4S store, he was struggling to find land. The St. Zee Group had to give up its original idea.

The above-mentioned Shengze Group was the parent company of Zhengtong Auto, which was listed on the Hong Kong Stock Exchange on December 10 last year. The Soros Fund, an international financial tycoon, made a name for itself by investing 50 million US dollars.

According to the plans of Zhengtong Auto, 46 ​​new 4S stores will be added in 2012, and one of the 4S stores will be disappointed in the land.

“Listing financing solves the problem of the expansion of dealer groups, but it is not a matter of money, especially in the first-tier cities, to get a piece of land suitable for opening 4S stores to test the dealers.” In this regard, the auto industry analyst Sun Shiqing is analysis.

It is not difficult to explain that more car dealership groups have chosen a path of mergers and reorganizations and big fish to eat small fish when expanding. Take Guangzhou as an example. Baiyun Avenue, Dongpu, Yingbin Avenue, Meihua Garden, Longdong, and other areas where cars are purchased are difficult for many investors to obtain authorization from manufacturers. It is more difficult to find a piece of land in Guangzhou to open stores. Land is impossible, and it is not easy to rent a plot of land,” said a dealer surnamed Lin to the South.

Distributors eager to expand the map have found an eclectic approach, which is to acquire existing 4S stores and do large-scale. Since last year, a person in charge of the South of Dongfeng has been exploring in Guangzhou where the store is misbehaving and intends to take over. “To open a new store and not find a place, there is no way.” In his opinion, this is even more helpless. Lift.

In addition to the difficulty in getting the land, the recent fall in the joint venture group after the United States listed in the United States, but also reflects the risk of dealer groups to invest in first-tier cities. This group of only 8 4S stores, all of its business is concentrated in Beijing, Beijing's "blocking governance" Yaohao policy, so that the capital market is full of doubts about its prospects, stock prices are not surprising. Southern Reporter Lei Min