China's luxury car market has increased year by year Infiniti has been adding value in China

Executives at Nissan Motor Co. may find that Infiniti, a premium brand for the North American market, finds it particularly difficult to get rid of North American dependence. As one of the key strategies for the first “Nissan Value-Added Program”, the slow expansion of Infiniti’s overseas markets has become the only failure of the plan.

Although Nissan was seen as the world's most core luxury car market, Infiniti still failed to open up after 30 months of entering Europe. Gasgoo’s sales statistics of passenger cars show that in the first ten months of the year, Infiniti sold only 158 cars in the UK, which is even worse than the MG brand “SAW” that was just revived by SAIC Motor.

Although Infiniti's China Division released a very bright sales report - "Sales from January to August increased by 117.4% year-on-year, far exceeding the overall increase in China's luxury car market." Mr. Lu Zhengyu, who was appointed as the general manager of the division in July this year, said . However, this is very different from the data on the recent disclosure of the traffic control department. “In the first three quarters of 2010, the imported vehicle market maintained rapid growth. From January to September, the number of imported cars on the market reached 474,000, even exceeding the level of 353,000 vehicles in 2009, an increase of 92.5% year-on-year.” In this authoritative analysis In the report, Infiniti sold 5725 vehicles in the same period, and its 66.3% year-on-year increase ranked third in the premium car category. According to this calculation, it is no better than to have a 10,000-year sales forecast for the entire year. Like Honda Acura Acura, the brand bottleneck of Japanese second-tier premium cars has no revenge in front of old German manufacturers.

Lu Zhengyu hopes to use a large-scale launching ceremony to promote the new QX56 and M series to business elites who prefer the art scene. On the evening of the September 20 press conference, Wang Xiaofei, who became the first M-line user, overshadowed the ceremony with too much entertainment. "The unique figure of Zhang Lan, the only son of Qiao Jiangnan, and the owner of Ferrari, make it easier for Wang Xiaofei to get in touch with the 'rich second generation'," said a public relations planner on the Times Weekly.

Overseas expansion strikes J. D. Power's recently released data is seen as a straw for second-rate luxury car brands like Infiniti. “At present, the number of wealthy households in China is around 1.6 million, and will increase at an annual rate of 16% in the next 5 to 7 years. It is estimated that there will be more than 4.4 million households by 2015. These wealthy families will become the main force of luxury car consumption. J. D. Power's report said.

Nissan’s top executives had long planned to change the stance that Infiniti had been heavily dependent on the North American market since its inception in 1989, which made it difficult to be seen as a global high-end brand. Nissan President Ghosn launched a three-year Infiniti promotion plan in 2005, setting the Middle East, South Korea, Russia, China, and Ukraine as the key target markets for global expansion. In the following year, it announced plans to expand into Europe.

But being able to win a foothold in the United States is entirely different from gaining a foothold in Europe. Germans who control most of the luxury brands have made it difficult for Infiniti’s overseas trip, which fell after reaching a global sales peak of 131,401 units in 2005. The financial crisis and the lack of strong support from emerging markets have accelerated this figure to 81,089, which is almost equivalent to Infiniti’s sales in 1999. In the same year, its Chinese market sold less than 5,000 cars. The decision to stop the sale of 350Z, Fengya, Nissan and other Nissan brands to make way for Infiniti has now appeared to be less effective. The position of the director of Nissan’s imported car division in China is even easier in three years.

The slow expansion of Infiniti’s overseas markets has cast a shadow over the “Nissan value-added plan”.

The use of Chinese executive Lu Zhengyu is considered to be an appropriate candidate to help Infiniti seize the growth opportunities in the Chinese market. To a large extent, the experience of being a sales director in Ferrari China has given Lu this recognition and made him become this year. The first general manager of the Infiniti China Business Unit was officially formed on the month.

"In order to adapt to the rapid development of the market, we hope the team can get closer to the market and understand the needs of the market." Andy Palmer, Nissan's senior vice president, said that as a yellow-haired, blue-eyed Briton, his understanding of luxury It must be different from the Chinese, and the Chinese team must be more aware of the local market. “Under Lv Zhengyu’s leadership, both marketing and network development are run by the Chinese team and the first line of information is communicated to us so that we can make the quickest response in the world.”

As the core of Nissan’s global value-added plan, Infiniti has put a key card in the Chinese market, even more than Europe. Lu Zhengyu was given unprecedented power, and he said that he felt pressure on it.

“The German luxury brands entered China earlier, so their current performance in China is very good. And for Infiniti, which was born in North America and has only recently entered the Chinese market, what we are currently doing is to introduce quickly. The latest and best products, and the rapid completion of Infiniti's channel construction." Lu Zhengyu said that Infiniti's potential is still there. The accumulation of wealth of the Chinese people and the rapid growth of high-end consumer groups exceeds his imagination. He believes that China's rigid demand for luxury cars will exist for a long time.

“The goal that has been more certain now is to increase market share and expand sales networks to more inland cities. By the end of 2015, the number of dealership stores will exceed 100, which is now more than four times.” Insiders told reporters.

Difficult to break the brand bottleneck "The brand does not necessarily have a long history, but the quality is no less inferior than the old luxury brands, the appearance of the emphasis on the design of a more beautiful and stylish, more emphasis on the interior comfort, in the car's performance is more emphasis on the engine's Power." Nissan Motor Co., Ltd.'s former director of the imported car division Shang Yuan You Guiyan described the Infiniti brand image they hope to create.

As a matter of fact, German manufacturers with both brand and technology advantages have already launched luxury cars that fully consider the needs of Chinese buyers at the beginning of R&D—ample space, comfort and controllability. If it can't effectively increase brand awareness, any business goal is an empty talk to Infiniti.

At the launch of the first new car project, the QX56 and M series, Lu Zhengyu attempted to create a grand scene of art to inspire Infiniti to be different from other high-end brands. “Infiniti will set off an elegant storm of strength [reviewing image forum], which is a brand with a lot of enthusiasm, restraint, and internal passion.”

Lyu Zhengyu’s client, Ferrari, Wang Xiaofei played the role of the first M driver in the evening of the press conference. This is not a wise choice for a public relations planner who does not want to be named. "Wang Xiaofei's identity is reminiscent of the 'rich second generation', not the business elite or opinion leader that Infiniti expects."

In addition, Infiniti’s inherent product technology structure will also create trouble for Lu Zhengyu’s expansion plan. Like other large-displacement technology lines favored by Japanese automakers, 80% of the models in this brand's product line are more than 3.0 litres. Their mediocre performance is far from enough and European companies are leading the market. The turbo technology contends. In addition to coping with the increasingly stringent global emissions regulations, Chinese buyers will be forced to pay up to 144 percent of Infiniti’s new QX56 for comprehensive taxes, which will cost US$ 1.498 million in exchange for US sales of only US$ 60,300 (about US$ 400,000). Renminbi, a renminbi, is used by Americans to call this full-size SUV.